How To Invest In Real Estate For Beginners
Investing in real estate is a great wealth-building tool that can generate passive income and create financial security. Unfortunately, real estate investing continues to be a male dominated industry, with women making up only 32% of real estate investors.
Often times, financial constraints, imposter syndrome or lack of industry knowledge hinder women from investing in their first property, keeping them on the sidelines for way too long. Though women may face one or more of these stumbling blocks, there are several ways to get started and create generational wealth.
Start Small And Educate Yourself
With the cost of living on the rise, investing in real estate can seem difficult — or even out of reach — for many women. However, with the right resources and education, it is still possible. Using free resources like Bigger Pockets or watching YouTube videos, is a good way to start small.
At no cost to you, you can learn the fundamental concepts of real estate then you can continue to seek personalized mentorship or online courses that will be more tailored to your needs as an investor.
Funding And Capital
Funding and capital is a big part of investing. It is important that women know of the funding options they have. Women may be able to purchase a property by qualifying for FHA loans, which can lower down payments or by joining free programs like the NACA homebuyer workshop.
Beyond these funding options, women may also be eligible for additional financial resources, including grants, private lending, and real estate partnerships.
Real Estate Investment Strategies
There are different investment strategies that women can look into when starting to invest. This includes:
Understanding the basics of real estate is a great first step when starting in the industry. To go further, learn from three real estate leaders who a paving the way for other women and changing the future of the industry.
Ashley Kehr – Find Partners
Ashley Kehr is a real estate expert and co-host of BiggerPockets Real Estate Rookie podcast, which educates thousands of rookie investors. In a recent blog post, Ashley highlighted the importance of partnering with others as a way to start real estate investing. Aware of the common obstacles that keep Women hesitant to start, she suggests finding external support.
“I always think of: time, money, fear, and experience,” she wrote. “If one of those things is holding you back from securing your first deal or any deal, find a partner.”
In her podcasts and blog posts, Ashley says networking is a powerful tool to learn from others, build connections, and unlock real estate opportunities.
If you want to hear more from Ashley, listen to her most recent podcast episode here.
Kendra Barnes – Invest In A Property That Is Profitable In More Ways Than One
Kendra Barnes is a real estate mogul and business owner who used real estate to retire at the age of 32. In an interview with Erika Brown, Kendra said through all of her experiences, she has learned to buy properties that can be profitable in more than just one way.
“I want to position myself to pivot and still be profitable,” Kendra said.
Kendra encourages all investors to prepare for the unexpected: fluctuations in the economy, changes in government policies, or issues with tenants. As a newbie investor, it is important to have high expectations but also to be aware of problems that can arise when owning an investment property, Kendra said. If you want to hear more from her, check out her interview here.
Liz Faircloth – Know Your Market
Liz Faircloth helps women live on their own terms by leveraging real estate. With a background of helping women overcome substance abuse and mental health challenges, Liz said she always felt called to uplift her fellow sisters. Today, she continues to answer the call through her company, The Real Estate InvestHer, which provides resources and community for Women aspiring to become investors.
In a 2024 podcast with Entrepreneista, Liz said women should focus on studying the markets heavily when buying properties.
“One of the biggest mistakes I see people make, is that they become so enamored with a property without being well educated on their market,” she said. “You want to really get obsessed with the market. Don’t get obsessed with a property because you cannot control a market, you can only participate in one.” Understanding uncontrollable factors, such as job growth in the area or average rent prices, is important to consider before you decide to invest.
Listen to the full interview here.
