602: Why The “Right Way” to Buy Rentals is Wrong

<p>If you want to <a href="https://www.biggerpockets.com/guides/ultimate-real-estate-investing-guide" rel="noopener noreferrer" target="_blank"><strong>invest in real estate</strong></a>, you’re probably taking a safe, slow approach to building a rental property portfolio. As a real estate rookie, people tell you that the safest way to invest is to get good at one thing while keeping a distance from <strong>doing deals outside your comfort zone</strong>. While this type of advice isn’t wrong for everyone, it may miss the mark for some.</p><p>Investors like <a href="https://www.biggerpockets.com/users/marjoriep" rel="noopener noreferrer" target="_blank"><strong>Marjorie Patton</strong></a> have found ways to <strong>dramatically diversify themselves</strong> in the world of real estate, without their losing shirts. Marjorie is the <strong>head of sales for a financial technology firm</strong> by day and a <strong>real estate investor</strong>,<strong> house hacker</strong>, <strong>flipper</strong>, and <strong>private money lender </strong>by night. With some rather<strong> unexpected </strong><a href="https://www.biggerpockets.com/blog/how-to-estimate-rehab-costs" rel="noopener noreferrer" target="_blank"><strong>renovation costs</strong></a> on her first property (and with no safety reserve), Marjorie was forced to learn real estate investing on the fly.</p><p>Fast forward to today, Marjorie has a<strong> seven-door portfolio in the expensive Denver, Colorado area</strong>. She’s grown quickly and has seen healthy profits, but has no need to quit her W2. Instead, she’s going to <strong>creatively parlay any deal that comes across her desk</strong> so she can build wealth while continuing to work somewhere she loves.</p><p><strong>In This Episode We Cover:</strong></p><p>Why <strong>diversifying in real estate</strong> isn’t such a bad idea, plus how to prepare to do different deals</p><p>Using the concepts you know in everyday life to <a href="https://www.biggerpockets.com/blog/build-real-estate-portfo