Real estate investments have been steadily growing in popularity in recent years, and the increased interest in this type of investment has resulted in the creation of many myths around it. Real estate investor Dolmar Cross is the creator behind the ‘Automated House Flipping App’, an app that helps people buy properties at discounted prices and then flip them for profit. Having seen many different aspects of the real estate investment world, Cross is aware of many of the myths surrounding it, and here, he debunks three of them.
You need to be wealthy
Cross explains that the most common myth about investing in real estate is that you have to have a huge amount of capital to begin with. While Cross concedes that access to a larger amount of funds is likely to bring more peace of mind when investing, it’s not essential. He shares that limited funds don’t have to limit your real estate investment opportunities. He says, “There are so many options now for budding real estate investors from equity partnerships where two parties pool their funds to apply for government loans. A lot of new investors don’t realize the opportunities open to them.”
It helps you get rich quick
Another major misconception that can lead new investors to lose hope in real estate quickly is the myth that it creates quick revenue. Cross acknowledges that real estate investments can be incredibly profitable and provide concurrent streams of revenue, but profits don’t come fast, at least at first. Cross elaborates on this by saying, “When you invest in any market, you are not securing future funds, you are building them. Real estate investments will take time to build into profitable assets and although your overheads may leave you in the red at first, with patience, you will see returns.”
You have to invest close to home
Cross hopes that the ‘Automated House Flipping App’ will help to debunk this myth as it allows people to visit and purchase properties virtually. Cross explains that there is a common myth that you should only purchase property in your state or within your zip code, but he believes that this misconception is causing budding real estate investors to miss out on profitable opportunities. Cross explains that all it takes to expand your property investment choices is efficient planning. He says, “If you utilize good property managers and build up knowledge on the property’s area, you can greatly increase your choices. Though it seems riskier, investing outside your local area can often be a smarter move, as it forces you to do more planning and prepare for any eventuality.”
Dolmar Cross believes in making real estate investment opportunities available to everyone, especially those from overlooked communities. Cross feels that the myths and misconceptions that have built up around real estate investment are causing aspiring investors to second guess themselves and doubt their abilities. For this reason, he feels that it’s important that these myths be busted.