Real Estate Investing Mastery Podcast

We grow the most through the pain because when we figure out that we’ve fallen on our face, we never want to do that again. At the height of the market, before everything crashed in 2006, Brad Weimert bought a couple of multifamily units in Indianapolis, Indiana. Everything looked like it was going to go up forever, and the banks were happy to loan him the money for what he thought was a great deal.It took Brad a little while to figure out that just purchasing real estate wasn’t building a passive income. The quad barely cash flowed even when it was full, and he certainly hadn’t taken into account the cost of repairs or capital improvements. If a property is only bringing in money when it’s full, that’s a massive red flag for any functional investor. But as a newer investor, Brad didn’t have a mentor to point that out.Is it reasonable to think that the value of the property will increase? Sure. But it won’t increase forever, and if it starts out overvalued, then it won’t ever increase enough to make up for th