Introduction
You’ve probably heard the phrase: “Real estate is the best investment you can make.” And while that’s largely true, getting started can feel overwhelming. Whether you’re a first-time investor or a homeowner thinking about buying a second property, the right plan can turn bricks and mortar into long-term wealth.
Here’s a straightforward guide on how to dip your toe into real estate investing—without drowning in confusion.
1. Understand Your Investment Goals
Start by asking yourself: What do I want from this investment?
Are you looking for:
Monthly cash flow from rental income?
Long-term appreciation as property values rise?
Tax benefits and write-offs?
Or maybe all three?
Your goals will shape the type of property you choose and the strategy you follow—so define them early.
2. Explore Different Investment Types
There’s more than one way to invest in real estate. A few beginner-friendly options include:
Single-Family Rentals (SFRs): Easiest entry point. Low management, strong resale market.
Multi-Family Homes (Duplexes, Triplexes): Higher income potential, but more management involved.
House Hacking: Live in one unit and rent out the others to cover your mortgage.
REITs (Real Estate Investment Trusts): Invest in property portfolios without owning physical property—great for passive investors.
Pro tip: Work with an agent (like me!) who understands investment math, not just curb appeal.
3. Run the Numbers—Always
Emotion has no place in investing—only math does. Learn to calculate:
Cash-on-Cash Return (how much profit you earn from the cash you put in)
Cap Rate (your return if you bought the property outright)
Rental Demand (is the property in a desirable location with stable tenants?)
Don’t just guess—get real data. I help clients break down these numbers every day to make smart, strategic moves.
4. Secure Financing Like a Pro
Getting a mortgage for an investment property is different than buying a primary residence. Expect:
Higher interest rates
A larger down payment (typically 15–25%)
Stricter approval requirements
Tip: Shop around with lenders who specialize in investor loans. A solid pre-approval is your ticket to making strong offers.
5. Build Your Team Early
Real estate investing isn’t a solo sport. Build a team that includes:
A realtor who knows investment properties
A lender who understands your financial goals
A contractor for quick repairs or renovations
A property manager (optional, but great if you don’t want hands-on involvement)
With the right support, you’ll make better decisions—and fewer costly mistakes.
Final Thoughts
Starting your real estate investment journey might seem daunting, but it’s completely doable—with the right guidance. I've helped dozens of clients turn their first property into a profitable investment, and I’d love to help you too.
Want to start investing but not sure where to begin?
Let’s schedule a free consultation. I’ll walk you through your options, run the numbers, and help you take your first step toward financial freedom.
✨ Let’s connect:
📧 dexter@dexterwilkie.com
📞 902.314.9686
🌐 dexterwilkie.royallepage.ca
You only get one first impression —
Let’s make it unforgettable.
- Dexter