Beware of Stumbling into a Deal
When people are interested in becoming a real estate investor, they often make an opportunity they come across into more than it really is.
It often begins by someone daydreaming about becoming an investor. So it’s on their mind. They aren’t really doing anything specific to become an investor so much as thinking about it.
And then they come across something they think is a great deal… Ahhhh, the perfect opportunity to make the dream into reality.
Maybe it’s a property they pass on their way to work every day, and it catches their eye. Sometimes it’s a property that someone they know is trying to sell because of a death in the family, for instance. It could be a foreclosure they see on Zillow. Or maybe a friend or coworker mentions something about a “great deal” they came across they should jump on that’s three towns away which nobody else knows about.
The next thing you know, they get tunnel vision, and they’re going after it without really thinking through whether it is a good investment. They look at it through rose-colored glasses.
Don’t get me wrong, a great deal can fall into your lap. But it’s unlikely. In the least, it’s unlikely that it’s the best deal you could find than if you looked more thoroughly and methodically.
So, if you find that a “deal” is finding you, rather than you finding it, take a moment to think it through objectively. And take another moment to look and see if there isn’t a better option for you to invest in. Don’t just stumble into a deal and chalk it up to fate.