People new to real estate investing often have no idea where to start.  However, if you take the time to build a solid foundation of knowledge before you begin, you will be off to the races.

Determine why you want to buy a rental property

This step is extremely important. However, it is a step that is often overlooked by people because they do not perceive it as being an important step.

It is an important step because, knowing ‘why’ you are buying your first rental property, will help you to stay motivated and focused on this goal when times get tough for you.

In the world of real estate investing, times often get tough because owning and managing real estate is not easy. It takes time, effort, and organization on the investor’s end in order to successfully manage a portfolio of rental properties.

Also, people who do not have a clear sense of why they are buying their first rental property tend to get confused. If you don’t have a crystal clear vision of why you are doing it, it is easy to lose your focus and shift your attention towards another project. For instance, one day someone could be interested in real estate investment, the other day, they could be interested in stocks and the financial market. Although on the surface, this may sound okay, it is not. A lack of focus is never a good thing. You need to be focused like a laser.