The real estate cycle is a predictable and valuable indicator of current risks and opportunities for real estate investors. The real estate market moves in four different phases in the cycle before repeating. It’s important to note that every stage comes with its own unique risks and opportunities. A savvy investor can succeed in any season of the cycle. 

I want to address some common misconceptions I’m hearing in my conversations recently. There are a lot of investors who believe passive and active investors should take the same approach to due diligence.

After 23 years buying and selling real estate, 18 years owning and operating a passive, turnkey investment company with my family, and having personally made or witnessed every mistake an investor can make, I believe it’s my duty to share my insight.

If you read this and take away nothing else, please take this: There is a fundamental difference in the approach a passive investor should take in doing due diligence as compared to an active investor.

As millions of COVID-19 vaccines are expected to be distributed this week, with many more to follow across the United States, it seems like the end is in sight for the coronavirus pandemic that thoroughly shook our social, economic, and wellbeing in 2020. Of course, access to vaccinations is our best line of defense in face of deadly illnesses. Historically, vaccines have all but eradicated notable diseases throughout history.

It’s been a wild year for real estate. It’s difficult to think all the way back to the beginning of 2020 as it feels like it has dragged on for an eternity and, at the same time like we’re still stuck in a March quarantine time-loop. Despite the fog of the year, plenty has happened in real estate. You could say that this year has been one of the most surprising and exciting in quite some time! 

As an investor, what’s the biggest challenge you face? While you might say scaling your portfolio or having enough capital to fulfill your big plans, one of the biggest struggles investors face is internal. After all, we’re human. When it comes to our money and something as big as one’s financial future, investment decisions can be scary.

This week’s Transformation Tuesday comes from Oklahoma City, Oklahoma! This single-family home from the ‘60s was hidden behind massive bushes and an unkempt yard. Inside, the interiors were just as chaotic; leftover belongings and unmaintained rooms required much effort from our expert team. To see how we revealed the true beauty of this home, keep on reading!

What does HGTV have to do with real estate investment? Apart from the romanticization of flipping housing, it may have more to do with investing than you thought. Yes — that includes you, buy-and-hold investor.

Investing in real estate offers a wide variety of benefits for the investor. While we tend to think of cash flow as the primary advantage of owning rental properties, it’s far from the only or the greatest advantage. We would argue that it is the combination of various benefits — including tax breaks, appreciation, cash flow, hedging against inflation, and more — that make real estate a truly worthwhile investment.

This week’s Transformation Tuesday comes from Memphis, Tennessee! This single-family property had seen better days with its boarded windows, overgrown yards, and deteriorating walls. To see how our expert team of contractors transformed this property from dull to dynamic, check out the before and after pictures below!