Investing in San Antonio real estate is both enticing and intimidating- especially for beginners. One thing to remember is that everyone had to start somewhere!  If you’re thinking of investing in San Antonio real estate, here are some of the best tips for beginners.

Read up on the subject (and then read more!)

If you’re just getting started investing in real estate (whether it be in San Antonio, Austin, or anywhere), make sure to read everything you can possibly get your hands on about buying, owning, and managing an investment property.

Focus on reading about the basics of making money in real estate first. The Mashvisor blog is a good place to start as it covers real estate investing from A to Z.

You won’t learn everything in one day, and you certainly won’t learn all you need to know from reading. Successful San Antonio real estate investors learn things daily and that knowledge always changes with the shifting trends in the real estate market.

Decide What the Best Investment Property for You Is

Beginner real estate investors are sometimes confused as to which type of income property they should start with. When thinking of this, keep in mind that compared to multifamily homes and apartment complexes, a single-family home is the easiest way for a beginner to enter the real estate investing business.

That said, with proper guidance, beginner real estate investors in San Antonio can be successful in many of the different types of investment properties. 

Familiarize Yourself with Financing Options for Income Properties

Financing an income-producing property can be difficult for beginner real estate investors. There are two things that will help beginner investors are:

  • Ensure you have a good credit score before financing a rental property
  • Learn about the options for financing a rental property (traditional and non-traditional)

Conventional bank loans are the most common in real estate investing, but options like hard money loans, owner financing, and real estate syndication also exist.

Learn to Recognize a Good Location

Buying an investment property starts with choosing a good location within Bexar County. The best start is to look at the areas or neighborhoods real estate experts say have thriving real estate markets.

One thing you want to steer clear of is blindly following generic guides or articles about the best cities for real estate investing. Instead, seek to understand why these locations are great for buying an investment property.

Know the Ins and Outs of Investment Property Analysis

When investing in San Antonio real estate, it’s important to understand what kind of return on investment a property will bring. Investment property analysis helps to determine this.

While an investment property calculator can help you to evaluate what kind of return on investment you’ll get, analysis from an expert Realtor can make a world of difference when performing investment property analysis.

Don’t Over Pay for Your Investment Property

Performing a Real estate market analysis is the key to paying the right price for an investment property. Not only will this ensure not overpaying for an investment home, but real estate market analysis can also help identify rental properties listed below market value (for an even better return on investment).

Build a Real Estate Network

As you move further through the real estate investing process, maintain contact with the people you come across: real estate agents, other real estate investors, contractors, etc. Turn these interactions into a real estate network. A real estate network can be a powerful tool in real estate investing, as many successful investors know.

Decide Who Will Manage Your Rental Property

The work doesn’t stop after buying an investment property and poor property management is a major reason why income properties fail. If you are managing your own rental property,  management will take some time to learn, but it will be worth it when you’re experiencing high occupancy rates and a steady rental income.

The other option is to hire a professional property management company. Opting for professional property management can make things easier, especially for beginner real estate investors.

Consider Property Conditions

Turnkey properties are often recommended for beginners in real estate investing, however, a good Realtor can help find the type of income-producing property that works best for each individual client.

Real estate investing in San Antonio is a business that anyone can enter into. Making money in real estate is a reality that can be yours with the right guidance!