Real estate investing is a great way to build wealth, and here’s an example of how to analyze and compare real estate investments.
If you’re thinking of investing in real estate, how do the numbers stack up in your favor? What’s the difference between investing in a San Diego property and one from out of state?
Follow along in the video above as I answer each question for you. I’ve provided timestamps so you can skip ahead to various sections at your convenience:
- 1:40—The cap rates of how a typical San Diego investment performs
- 2:25—The cap rates for properties outside of San Diego (and California)
- 3:18—What happens to the numbers of a San Diego home when you factor in financing
- 4:11—What happens to a property outside of San Diego when you factor in financing
- 5:30—How appreciation affects the cap rates and cash-on-cash returns
- 6:30—Wrapping things up
Stay tuned for the second and final part of my real estate investing series, where I delve deeper into this topic and examine what happens when you convert your asset into cash flow as you near retirement.
In the meantime, if you have any questions at all, don’t hesitate to reach out to me. I’d love to help you.
