With a new year and a new president approaching, change is on the horizon for the real estate market. While we’re cautiously optimistic that the U.S. housing market will turn in our favor, we also know this: success depends less on market conditions and more on our informed decision-making backed by solid fundamentals.

Rental property turnover: the bane of an investor’s existence.

Could a construction boom be on the way for 2025? Some experts seem to think so. Our friends at Bigger Pockets are also discussing the possibility – foreseeing the lower rates will kickstart construction activity – if not in 2025, certainly within the next five years.

One of the biggest real estate investment fraud schemes in recent history has been exposed. Wells Real Estate Investment promised investors that their money would be used to buy, renovate, and develop commercial and residential properties across South Florida. Instead, they gambled $28 million of $58 million in investor funds on speculative options and futures trading.

Mortgage data from Freddie Mac suggests that, as inflation slows, interest rates will continue to slide back down. And no – we’re not going to see 3% rates any time soon – but that doesn’t mean it’s not worth your while to revisit your existing mortgages! But when should real estate investors look to refinance? And how do they know it’s the right time?

To our Floridian readers out there, fair warning: we’re about to pick on your state a little.

Have you ever watched a trapeze act? Performers dazzle crowds with their impressive aerial feats. They balance, swing, and fly through the air! These acts are entertaining no matter what, but some feel the need to up the ante by removing the safety net. The tension – and entertainment – comes from the knowledge that a single mistake could mean serious injury…even death!

When investing in real estate, some risks are obvious. Others? Less so. Effective risk management involves recognizing and mitigating all risks, from the common to the rare. Are the chances slim? Sure. But you’ll be kicking yourself if you don’t do your due diligence in handling these sneaky buy-and-hold real estate investing risks! 

Every stage of the real estate cycle – even recessions – provides opportunities for investors who know where to look. Your success in this business isn’t up to fate or the turning tides of the market. Ultimately, success comes down to how much you’re willing to work for what you want – and whether you take hold of the opportunities in front of you.

Whether you’re an investor, an entrepreneur, or a person with a pulse navigating the world, you have an inherent level of risk tolerance. It’s the amount of risk that you’re comfortable taking – what you’re willing to lose.