Are You a Real Estate Investor or a Speculator?

Are you a real estate investor or a speculator?

A real estate investor uses education and skill to make sound investments with substantial returns. A speculator invests with the hope that the investment will actually work and make money.
A real estate investor understands that money is made when you buy, while a speculator gambles on hoped-for future appreciation (or other miracles).
Sometimes a speculator gets lucky and makes money, but the real estate investor sleeps much better.

Speculators Often Die Broke

Oh, it might be more fun to be a speculator…. More action and excitement as you wait to get rich or go broke.
Think back in history to the Gold Rush of the 1840s. Thousands of speculators went to California to get rich. Some did, but the majority sat cold and wet on a mountain and died penniless.
Today’s speculators are sitting in bars crying in their drinks over what “could have” been and the money they “could have” made, while savvy real estate investors are looking at the slowdown as an opportunity that comes along once in a lifetime.
The savvy real estate investor understands that the slowdown of the real estate market creates an unprecedented level of foreclosure properties and a huge opportunity.
In today’s market, you must have the knowledge and skills to be in the game. So please, don’t speculate when buying properties. Don’t count on appreciation to realize your profits, because it may not be enough, and it may never happen.

Acquire the Skills and Learn the Ropes

The golden rule when buying investment properties is to understand the exit strategy. You need to figure out all the holding, selling, and repair costs, and the deal needs to make you money even if the market stays flat or goes down a bit.
In addition, I advise you to learn how to buy houses without using any of your money or credit, since that will further minimize the risk and increase your investing leverage. You’ll be able to buy more properties with no risk and create wealth more rapidly.
So you really have two choices: acquire the skills and learn the ropes… or don’t play. You are better not playing–than playing with fire!  One “speculative” decision may put you in a position where you risk your credit, money, or even your assets.
It’s a mistake not to play at all.  You would miss out on one of the best times in history to create wealth in real estate. The opportunities today are endless.
I say, jump in, learn the ropes and get rich. The wealth you can create over the next few years will change your life forever.
You need guidance, you need knowledge. You’re on the right website so dive in and read, study, and implement. You’ll do well!

By Marko Rubel

Marko Rubel is a bestselling author, self-made millionaire, and master real estate investor. He immigrated to the U.S. from Croatia as a champion boxer in his 20s without speaking English and having little money. He has been named a real estate expert at the National Real Estate Investing Association that represents over 40,000 investors nationwide.