Many ways to get the same result…that’s property investment
“Hello and welcome back to weekly buying tips I’m Dean Berman from Berman Buys.
See, trying to make money in property isn’t a one size fits all.
There are many ways to do the same thing.
Some things are right for me, but they won’t be right for you. And vice versa.
I mean what’s the difference between someone who makes $100k flipping a property in a year to someone who makes the same because the market increases or the land is re-zoned or a developer comes and knocks on there door?
Wouldn’t the flipper have the most satisfaction as they have physically created that profit?
Could the same not be said for the investor who bought land that is re-zoned knowing their research was bang on?
Or the one who timed the market perfectly?
I think it really comes down to time, money and skills.
The flipper likely has the time, money and skills to fully dedicate to the project, whereas the researcher may only have a few hours a week.
I would argue on a likelihood scale of success, the flipper will have the highest chance of success as they are less dependent on external factors, whereas the researcher is very dependent on external factors falling into place, particularly in the short-term.
Then again the flipper has more cash flow risk, particularly if undertaking on a full-time basis as they may not have a full-time job and income security, unlike the researcher.
Which then is the right approach?
In my opinion, it’s the one that you feel comfortable with and can work within your lifestyle.
No point trying to hands on flip a property when you have less than 5 minutes a day spare.
In that situation, maybe you hire a builder to undertake the work, provided there is still enough potential profit margin left.
Set realistic expectations as well.
Like anything, property is a process and you learn with experience.
Don’t be discouraged if your first effort didn’t achieve what you wanted or your fear of trying stops you in your tracks.
Think about the lessons you will gain from the experience.
They may just make you $100k in a year.”