Are you held back by the fear that you might pay too much for a property as an investor? Well, I’ve done it before, and learned a TON, so I want to give you my insider secrets to NEVER pay too much for a house.
How to NEVER Pay Too Much for a Property as a Real Estate Investor
I know that fear is a major thing for a ton of my ladies just getting started in real estate investing. And I understand it…I get it. I have been there, and I have actually made the mistakes.
But, this fear controls so many lives. They fear that they will pay too much for a property, or make a bad investment. And if this happens the natural next thought is that it will somehow devastate them. If they pay too much for a property, then they believe they will be overloaded, overwhelmed, under water, and bust through their life savings trying to get out of this problem. The fear absolutely paralyzes people!
It is just a crazy whirlwind and downward spiral of terror. I see it all the time.
And, I have a secret that I need to unload: I have spent too much money for properties before.
I know. I know. GASP!
But, I did. In fact, one house I bought was basically falling down a mountain (which I did not know since I did not get it inspected). This house also had crappy plumbing and NO indoor heating/cooling (which I did not know since I did not get it inspected).
When we closed on that house, the sellers basically laughed in my face and told me that I paid too much. “We are SO glad you bought this house. No other investors in the area offered us nearly as much as you did!”
OHH! The pain! Stab me in the chest, why dontcha?!
I died inside. It was a shock to me! I did not know I could pay too much for a property, especially since I only paid about $20,000! Wasn’t every house worth at least $20,000? The answer is “no.” Since then I have bought houses for $2500!
In the beginning, though, I had to learn how not to pay too much for a property. And, I learned my lesson. I know exactly what it is like to actually live that fear! Yes, I spent my entire life savings to pay too much for a house. So, if you are nervous about paying too much for a house, I’ve been there.
But, I still own that house and still make money on that house. In fact, I just got an offer on that house from someone who wants to buy it from me for double what I paid for it!
It was painful to pay too much for a property, but I got over it.
I learned from my mistake, took ownership of the experience, and have made lemonade out of life’s lemons!
In fact, I did not even learn this lesson right away. I did it TWICE (actually, even more)! Not only did I spend all of my life savings on a property, I ALSO spent all of my brother’s life savings on another property. In a matter of six weeks, it was all gone.
But, again, I made it work out. Yes, it took some time to get things right in the property, but now I have made over $4000 in a month on that other property as an AirBnB. A little creativity goes a long way.
These two houses have taught me SO much. While it might suck to pay too much for a property, it will teach you a TON if you let it! You gotta learn these lessons, and sometimes the best way to learn them is to buy a house and pay too much for it!
Every investor I know has at least one or two houses that did this for them. They have houses where they paid too much and it taught them a year’s worth of education in a month! What they did not know at the sale, they know now after buying it. And, it made them a better investor in the process.
But, there is one way to guarantee that you NEVER pay too much for a property: do not ever buy a house.
If you never make an offer, you will never be able to pay too much. Stay away from those contracts, and you will never pay too much for a property. In fact, if you simply stay away from real estate entirely, you can absolutely be sure you will never pay too much!
That is the truth. I can guarantee it.
If you play it safe and never take the risk, you will never pay too much for a property. But, you will also lose out on all of the benefits that come with investing in real estate. If you sit on the fence, you can never experience financial freedom. When you keep doing the 9-to-5 thing, you cannot experience the beauty of passive income with real estate.
Sure, maybe you do not have to buy a house that is falling down a mountain, but every successful investor will still make a mistake or five as they learn.
So, the question is do you want to be a successful real estate investor?
If you do, then you need to expect that you will have some imperfect purchases in your portfolio. Yes, you will pay too much for a property at some point. And you can be sure you will make a bad deal somewhere along the line. But, none of these things have to stop you from doing great things, making great money, and creating a life you love!
There are thousands of ways to make money in real estate, but the only way to make sure you never pay too much is to just stay out of it all together. But, is it worth it?! Is it worth avoiding all of the great things in fear of the few tough things?
You have to decide that. I don’t believe it, though. My ladies don’t think so either. That is why this group of women join the She Buys It community and get FDDF! They know that the reward is worth the struggle!
Do you get it yet?
Don’t stay stuck on the sidelines because of the fear that you might pay too much for a property.
It is not worth costing you everything because it could cost you a little something. Get in the game, and change your life for the better!
I know it might seem like there is just too much at risk, but you also have to ask yourself what you have to lose? What changes can you make in your life if things go right and you make the money you want to make? What if you succeed?
I know how easy it is to spiral and get paralyzed with fear. But, instead of asking yourself “what if things go wrong” ask yourself “what if things go right?” And, then make your choices based on that future hope. Because you can always come back from paying too much, but you can never come back from a step you never take.
Take the step today.