You can do real estate investing part-time: Before the Internet, this wasn't as easy a statement to make. As research and due diligence are some of the biggest time-consumers in real estate investing, the Internet has opened the door to the regular person with limited time to spend in the process. What used to take a full day of tramping through courthouse offices and looking through books of records can now usually be accomplished in an hour or so on the web at any time of day or night.
Costs don't always track with income: Doing everything right in the purchase process and getting the tenants into place will not guarantee success. An unexpected vacancy or two for longer than anticipated has ruined many a new real estate investor. The mortgage, base utilities and upkeep costs continue, even when the rental income stops. At those times of stress, a regular income is invaluable.
Decisions shouldn't be made under stress: Getting into negative cashflow situations creates great stress. Too many real estate investors have lost money selling properties at the wrong time for the wrong reasons.
Getting Out is Easier Part-time: If you're testing the water and your swimming ability, it's a lot safer to wade in slowly than to go off the high dive. That's especially true if you don't know where the rocks are in the water. Taking on your real estate investments slowly and carefully at first may save you financially when you find it's not as you expected.
Real estate investing part-time is definitely the way to go for most investors. Keep that steady income for stress reduction and backup funding.
