Choosing The Best Investment Property In Baton Rouge LA

Want to know a secret about real estate investing? There is no “best investment” overall, in any market.

My “best investment” property would be a terrible investment for many of our clients. Why? There are many factors that go into choosing the best investment property in Baton Rouge, LA.

Matching these factors with your specific situation is the best strategy to efficiently reach your investing goals. We at BuyHousesBR have been investing for a while and have great mentors, and together we will share some of the key factors that contribute to finding your personal “best investment” property.

Strategies for choosing the best investment property in Baton Rouge LA

Choosing The Best Investment Property in Baton Rouge, LA

Strategy 1: Know your investing goals

The best starting place for investing success is knowing what you want from investing. Before you buy, think hard about the following things: How much money do you want to make? When do you need to have that return? Do you want a steady stream of cash, or are you looking for a big chunk (from a sale)? Do you want to invest full time, or are you doing this on the side to save for retirement? Your investing strategy will change and become more apparent with the answers for each of these questions. That will help you decide what types of properties you should investigate. I like cash flow, but am also trying to build long term wealth, so buy and hold rentals that cash flow in desirable neighborhoods fit my strategy. I need cash to buy these houses, so flips come into play too. However, depending on the time of year and what projects are going on, the houses I consider changes.

Strategy 2: Know yourself

Once you’ve figured out what you want, then you need to figure out how your own personality, Knowing what you want is half the battle, but you still need to know how your personality, skills, knowledge, strengths, risk tolerance, and weaknesses will impact your goals. Your strategy will continue to evolve as you think about these factors. Appreciation is a risky play, in my opinion. I never assuming a property will go up in value. Many investors have had a lot of success betting that their properties will appreciate. They get more deals than me because of this. Is one strategy better? No, I just have a lower risk tolerance which impacts my investing decisions. Another thing to consider is what if you don’t have good credit, or cash to fund the deal? Your numbers and options will be much different than an investor with $500,000 in cash available. People usually can give three things to a deal. These things are time, money, and knowledge. What are you lacking, and who can help you overcome that? This question will help clarify your options.  

Strategy 3: Know the market

Do you want to invest in multifamily, commercial, or residential properties? Taking that a step further, choose your “farm area”, such as Baton Rouge, LA. You can take this a step further; in which zip codes do I want to invest? Some are better for certain strategies than others, and by focusing on small areas, you can develop an expertise in your market. This will make it much easier and quicker to determine if properties are actually deals, or if they are overpriced. Focus on one or two markets first and expand as you master those. Spreading yourself too thin increases your risk of overpaying which can set you back long term.

If you decide that you want to focus on a market like Baton Rouge LA then fill out the form here to let us know because we’re always finding deals in the area!

Strategy 4: Know your team

Next, it’s time to start thinking about your team and who needs to be on it. For some investors, this might include real estate agents, contractors, attorneys, accountants, title companies and more. A lot of investors who work with us at BuyhousesBR consider us a part of “their team” because we help them find the deals they’re looking for. Whoever you choose to be on your team, remember this: The answers you give to the first 3 strategies (above) will determine who will be on your team.

Want to fast-track this process? We can help. Talk to us about your investment property strategies and we can help you find the deals you want. Just give us a call at 225-230-2521 or fill out this web form.

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