One of the best ways to build wealth over time is through real estate. Buying and holding property can yield both short-term rental income and long-term capital appreciation. The buy and hold strategy is ideal for investors seeking a retirement income stream or those who want to create generational wealth. However, there are some drawbacks to consider before deciding whether or not this investment strategy is right for you.

For starters, the up-front capital needed to purchase an investment property can be considerable. Moreover, landlording can be very time-consuming and requires a significant amount of effort to manage tenants effectively, keep vacancy rates low, and make necessary repairs. Additionally, a landlord may be subject to tenant lawsuits and evictions that could eat into profits. Finally, the buy and hold strategy requires a great deal of patience and dedication to succeed. has something amazing to offer for their clients.

When it comes to buy and hold real estate investing, a good place to start is by creating a business plan outlining your short- and long-term goals. This can help you determine if buy and hold is the right strategy for you and can help you set your expectations accordingly. Ideally, you should also enlist the help of an experienced real estate team who can guide you through this process and ensure that your investments are on track to achieve success.

Another way to get started in buy and hold is to seek out turnkey real estate or new construction properties that are in high demand for rental income. These are typically less expensive than a rehab and can be much easier to manage, which can be beneficial for beginner investors. It is important to remember, though, that any type of turnkey property you invest in should still be thoroughly inspected before you close on the deal. This will help you to find any issues that need to be addressed and ensure that the property is meeting our Real Income Property standards.

Investors should also consider the location of their buy and hold property. A property in a city where prices are lower than the national average is likely to generate higher returns than an expensive urban gateway market. In addition, a property in an area with an expected growth in population can potentially provide even more return on investment over the long term.

A final benefit of buy and hold real estate is that it is a more stable option than other types of investments. Compared to stocks, which can lose value quickly, real estate is less prone to fluctuation. Additionally, as a long-term investment, a buy and hold strategy can help mitigate the effects of a downturn in the housing market.

Are you interested in learning more about buy and hold real estate? Then be sure to sign up for our free membership! We offer education, networking and research to help you build a real estate portfolio that will bring you both passive income and wealth generation.