3 Myths That Keep Investors from Buying and Holding Rental Property

Are you ready to start investing for long-term wealth and cash flow? If you can invest for the long-term, then you’re ready to buy and hold real estate assets and build your portfolio of rentals. And we have a fantastic market for buying and holding real estate investments.
Rental demand is the highest it’s been in several years and although prices are inching upward, there are still great deals for diligent real estate investors who know how to buy houses at discounts.
What prevents most real estate investors from building their portfolio is fear. The fear is typically based on myths, not reality.

Myth #1: All Houses Are Bought with Realtors and Brokers

Let me assure you that this is just not true. Many of the very best deals available in your local market will never make it to the MLS. You can learn to connect with motivated sellers who must sell their home right now as-is. These are typically homes that will not appeal to first-time home buyers and will not qualify for typical bank financing.
The circumstances and conditions are what opens the doors for savvy real estate investors to buy these houses at big discounts. Often, the situations will open the door for seller financing, so there’s no need to go get a new bank mortgage to buy their home.

trashed rental house

If you carefully screen your tenants, this won’t happen to you.

Myth #2: All Tenants Are Trouble

When I was employed in Corporate America and had hundreds of employees, I discovered that if I was diligent in my search, did background checks, and verified the information on resumes, I could find the right employees most of the time. The same is true with being a landlord.
If you learn to review rental applications, check references and previous landlords, verify employment and carefully screen tenants you can be right most of the time.
It is not rocket science, but does require processes and discipline to market to and carefully select the right tenant for your property.

Myth #3: You Need Great Credit, Cash on Hand, and a Good Job

Once you learn the skills of buying houses at discounts, rehabbing them to attract great tenants, and learning to manage property long-term, you have a very specific skill set that’s in high demand to private investors looking to diversify their investments and invest in local real estate.
You’re in a great position to work directly with private lenders to joint venture and build a portfolio of rentals without needing great credit or having a job. You can structure joint ventures without needing any of your own cash. You can market to connect with motivated sellers who can provide you with seller financing opportunities.
When you overcome these 3 myths, you can succeed massively as the market has tremendous opportunities right now. The good news is that you can buy houses with nice discounts without needing a Realtor, without needing a bank, and you can still find great tenants for your properties.
What about you? Are you ready to invest for the long-term and build a portfolio of rentals? What is your fear that holds you back from buying and holding assets? Leave me your thoughts in the Comments.