Today, Real Estate Investments Have Become Especially Challenging

#EntrepreneurOfTheWeekDoreen – Post 6

Today’s real estate market is more complex than ever.
Interest rates are shifting, global markets are opening, and emerging neighborhoods are taking center stage. But with change comes opportunity—especially for those who ask the right questions before jumping in.

Before You Invest, Ask Yourself:

• What is the goal of this investment?
  (Monthly cash flow? Long-term appreciation? Retirement security?)

• What level of risk am I comfortable with?

• Where do I want to be financially in 5–10 years?

The best investors aren’t chasing every opportunity—they’re building balance.
They’re looking for the sweet spot between profit and peace of mind, between strong numbers and smart strategy.

That’s why when I work with investors—whether it’s a first rental property, a development deal, or an overseas purchase—I focus on the bigger picture.

It’s never just about a “good deal.”
It’s about a clear, smart, sustainable game plan.

Real Estate Is an Investment in You

More than anything, real estate is a personal investment:
In your growth. In your decision-making. In your future stability.

Whether it’s your first home or your tenth property, the place you invest in should be the place where you thrive.

“Do I Need to Be Rich to Invest in Real Estate?”

I hear this question all the time. And the truth is—absolutely not.

The first step is understanding you’ll need around 20% down, but there are creative ways to get there:

Today, there are loan options that don’t require tax returns.
Instead, you can qualify based on bank statements or profit & loss statements—opening doors for many people who never thought they could invest.

But the money is just one part of the puzzle.

What You Invest In (and Where) Matters Most

I always tell clients: focus on up-and-coming areas.

Look for neighborhoods where land is still affordable, but there’s clear potential for job growth, demand, and economic expansion.

And don’t overlook a critical factor most people ignore:
Lot size.

Sometimes, the land beneath the home is worth more than the building itself.

Bigger Isn’t Always Better

A lot of buyers chase square footage, thinking bigger = more valuable. But when you’re investing for returns, that’s not always true.

A smaller home in a high-demand area will often outperform a large house in a less desirable location.

Why? Because when it’s time to rent, location wins every time.
Tenants with good credit scores want safe, walkable, clean neighborhoods—even if the home is smaller.

Don’t Just Look at the Price—Look at the Numbers

A smart investor always runs the full financial picture. That means factoring in:

• Interest rates

• Financing costs

• Closing fees

• Renovation estimates

• Ongoing maintenance

• Future taxes

• Cap Rate (ideally above 4%)

The only way to know if a deal makes sense is by putting all the numbers on the table. A shiny property may look great—but if it doesn’t cash flow, it’s not an investment. It’s a liability.

Data Over Drama

Great investors never skip the spreadsheet.

They don’t chase hype—they analyze the bottom line:

• Is the return realistic?

• Is there a clear profit margin?

• Will the cash flow keep me safe even if something changes?

When you take this approach, you stop gambling and start building.

If you’re thinking about investing—or just want to learn how to approach real estate like a pro—I’d love to talk.

Feel free to reach out anytime.

Doreen Varon
Luxury Real Estate Agent | Keller Williams Luxury
818.220.4533
[email protected]
www.DoreenVaronProperties.com