The Shakiba Report: Is real estate a good investment?

What you need to know before buying real estate and how to pick the right place

HOUSTON - If you want to get started in real estate investing, there are important things to keep in mind, especially the age-old question, is the risk worth it? Private Wealth Advisor, Trevor Shakiba with Ameriprise Financial and Tom Wilkinson with KET Enterprises Incorporated break it all down for us. 

The short answer is yes, it can be a great investment. Although it's not a risk-free investment... but you hear sometimes that you can never go wrong with real estate, because it only goes up. Just remember that is not true, there are down turns in real estate," said Shakiba. 

THE SHAKIBA REPORT

  • Is real estate a good investment?
    • The short answer is yes 
    • There is no risk-free investment 
    • It's not as easy as reality shows make it seem
       
  • What's the most important thing to understand?
    • Knowing the numbers: it reduces your risk substantially
    • Ask yourself: What type of real estate best suits you?
    • What are you investing for? Appreciation, cash flow, etc.,
       
  • Rental properties are great - except when they're not
    • You'll lose money if your tenants only cover the mortgage
    • Vacancy is the biggest negative with rentals especially single-family homes, try to find long-term tenants
       
  • Keep location in mind
    • Where are the jobs?
    • How are the schools? 
    • Are people moving in and out?
       
  • Don't overleverage
    • Biggest mistake real estate investors make
    • Think worst case scenario: there will be another recession & money won't always be this cheap 
       
  • Think multi-family, not only single-family
    • Scale is critical and can solve the vacancy issue
    • A great property manager is key

 

For more information or to request a complimentary consultation with The Shakiba Group, click here or call 281-724-9917.

The initial consultation provides an overview of financial planning concepts. You will not receive written analysis and/or recommendations. 

Sponsored by The Shakiba Group

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