"Find yourself trustworthy professionals who can help you feel comfortable with the process." - Matthew Lapish, Senior Investment Analyst
Regret is part and parcel of everyday life.
We all have a list of things we wish we had and hadn't done throughout our life journey.
Sometimes you might wish you'd taken another career path, travelled more or taken advantage of an opportunity presented to you.
Many people, when faced with a crossroad, are plagued with questions of 'what if' and 'if only'.
And interestingly, the bulk of regret comes from things we didn't do rather than regrets about the things we did do.
When it comes to property, regrets are rife.
But for property investors, some regrets are bigger and have more repercussions than others.
Poor decisions produce greater regret when it is harder to justify those decisions in retrospect.
And regrets tend to be strongest for lost opportunities.
1. Moving too slowly
Perhaps it's because you're waiting for the perfect property, or for the perfect timing.
Either way, delaying the start of a property investment journey is one of the biggest regrets that investors (and buyers) have when it comes to the property market.
After all, excuses make us feel better about not doing what we know we should have done because we don't want to look like a fool.
When it comes to property investment, many buyers and investors become obsessed with the idea of timing their property purchase with the view that buying at the bottom of the market for the cheapest price is a formula for property success.
Fear of a boom or downturn, political uncertainty, COVID-19 uncertainty, interest rate anxiety and even fear of the myth of the mortgage cliff might put you on edge, but the reality is that sitting on the sidelines means you'll miss out on significant gains.
That's because the property market is cyclical.
There is never a perfect time to get into the market.
No matter what point of the property cycle you get in at, time in the market is going to be the key to success.
2. Not buying enough
Buyer's remorse is also rife for property investors, even if they are successful.
In the longer term, many investors regret not buying more properties.
In other words, the opportunity to buy was there, but it wasn't taken.
3. Not doing enough research
Understanding the real estate market is crucial for making informed decisions.
Factors to consider will change depending on where and what you're buying.
Researching recent comparable sales, property values, local supply and demand, and potential future developments can help you determine the fair market value of a property and guide your negotiation strategy.
The problem is, that so many investors are excited by the idea of property, but skip the boring but vital step of doing research and due diligence (or don't do enough of it) to make a sound investment decision.
And then they regret it….
It might cause them to overstretch financially, misunderstand projected growth or rental returns, or even miss a significant development proposal for the area which will affect the property or even the suburb value as a whole.
Sometimes, poor research sees investors fall down the rabbit hole of shiny off-the-plan investments that falsely promise guaranteed rent and failsafe price growth, without realising these 'opportunities' are often overpriced at best.
4. Not getting (the right) advice
Poor investment choices are another key regret of property investors.
It's also the reason so many property investors never get past the hurdle of their first investment property.
From poor advice to not understanding the advice received or even just going it alone, many property investors without a strategy or the right team find themselves making poor investment choices, which means they end up buying an underperforming property that doesn't achieve the rental or capital growth they need to grow their portfolio.
This not only derails their future portfolio-growth ambitions but erodes their confidence in the property investing game.
I have found sophisticated investors to pay for their address while investor gets their advice for free over the Internet, or from salespeople disguised as advisers.
The most expensive advice you can get is free advice that is wrong.
Full Article: Your Investment Property