How to Get Started in Apartment Investing: Real Talk No Fluff
I'm here to address the elephant in the room, the question I get hit with the most: “How do I get started in apartment investing?” “Everyone” wants to invest in apartments, but then they realize they have no clue where to start.
Now, most folks are cozy with the cute idea of buying a house, maybe playing landlord, renting a room out, or dabbling in Airbnb. But when it comes to apartment investing, it's like navigating a minefield. Then you look like a deer in headlights. “You don’t know what you don’t know,” and that's something no one wants, but it’s true. YES, the resources are out there — podcasts, websites, and books — but nothing beats the good ol’ face-to-face learning. Like the kind you get from conferences, networking events, or even Zoom calls. Take these ideas and run with them. At the end of the day do what’s best for your situation and style. Believe me that’s what I do all the time.
Before we full send into the nitty-gritty, though, pause and think about this: In this investment arena, who do YOU want to be? Who cares what others think and say but look at yourself first. I initially thought house flipping was my thing, but apartment investing was always my dream as a kid. So just think about it.
Do you want to be the one doing the heavy lifting, making the calls, and running numbers late in the night?
Or would you rather put your money in, let it grow, then get your returns without the daily hustle?
The Active Investor – Leading the Charge:
Picture yourself as the team leader, the first one in but last one out. Your initial steps? Education. Plunge headfirst into books, courses, workshops, podcasts, you name it. You will need to learn about spotting the deals, doing the math, and understanding the lay of the land. Get into the trenches with Facebook groups and online communities, talk to heavy-hitters or active investors, and learn the ropes directly from the folks on the ground. Meet them at conferences or attend meetups. After you're all geared up, it's time to build your squad: brokers, attorneys, financial wizards—you name it. Learn their lingo and their tactics. Then, Go Full Send!
The Passive Investor – Riding the Investment Wave:
Now, if you are more inclined to invest without getting tangled in the daily operations, your mission is simpler but no less important: education, find a trust worthy investor, and watch your investments grow. As a passive investor, you are not in the weeds every day; instead, you are surveying the landscape from a higher vantage point. You are not the one setting the party and cleaning up after, but you need to trust those who do and enjoy the party.
Once your homework is done, and you have shaken hands with an active investor you trust, it is time to dive in. Review the deal, dot the i's, cross the t's, and put your money in. After that, it is about stepping back and watching the magic happen. You will see the fruits of collective labor through regular updates and, better yet, the returns hitting your account. This is not about being on the frontlines; it's about having the smart investor pick a winning team and the patience to watch your seeds grow.
Debrief:
Whether you're spearheading the operation or riding shotgun, your duty is the same: know enough to dive in confidently with education. A solid understanding of the basics will boost your confidence, propelling you into action. And, as you venture deeper into the world of multifamily real estate, you'll find that with each step, the journey gets a tad bit easier.
So, are you ready?
