October – Find your niche
Now that you are great at finding new opportunities everywhere you can, it is time to learn how to find your perfect niche.
Having a niche is really important when you are looking to grow your portfolio and become an expert in a particular area of real estate. Doing so will give you an edge in this fast-paced, competitive industry.
Here are a few things to consider when working to discover your niche:
A geography-based niche is the most commonly practiced and it can be specific to a neighborhood, county, zip code or city.
You can also try to be hyperlocal, looking for properties in one very limited location, making the area you are selecting as small as possible to be able to completely specialize in it and look for the best opportunities there. The market can vary drastically from city to city and, in some cases, even from neighborhood to neighborhood. So make sure to do your research when looking for your geographical niche!
Find what property type interests you the most and research as much as you can about it. Some property types are:
- Single Family – Single residential structure.
- Multi Family – A building with multiple units for several families.
- Condo – An individually owned unit in a building with other units.
- Co-Ops – A property owned by a corporation formed by several different owners.
- Commercial – Buildings used for commercial use like office buildings, warehouses and retail.
- Historical – Properties over 50 years old with certain historical and cultural characteristics.
- Luxury – Usually defined as the top 5% of the market.
By taking on only one type of property, you can make sure you get the process of getting it ready down to a T. Each type has pros and cons so it is important to weight your options before deciding!
Find your passion
Try thinking about what you like from real estate and make sure you take it into consideration when choosing your niche.
It may sound cheesy but, working in something you love will make it easier for you to really get into it. Passion goes a long way when it comes to motivation and success!
After you have found your niche, you may want to find a good property management company that complements the niche you have chose and can help you take care of your investments so you can focus on growing your portfolio!