Steps to Purchasing Your First Investment Property in 2025

Are you considering real estate investing this year? Buying your first investment property can be an exciting yet complex process. Follow these three essential steps to set yourself up for success.

1. Talk to a Lender

Before diving into the market, schedule a meeting with a lender to understand your financing options. Interest rates, loan programs, and lending criteria can change, so staying informed will help you plan effectively.

I make it a priority to check in with my lender multiple times a year to stay ahead of financial planning. Pro Tip: If you're considering big financial moves—like applying for a home equity line of credit (HELOC) or opening a new credit card—consult with your lender first. These actions can impact your loan approval and overall borrowing power.

2. Find the Right Market

Not all markets are equally beneficial for investors, particularly for those new to real estate investing. Consider your investment goals—are you looking for steady cash flow, long-term appreciation, or a combination of both? The right market will depend on your strategy.

For example, some areas are ideal for short-term rentals due to high tourism, while others may be better suited for long-term rentals with steady tenant demand. Research local trends, vacancy rates, and property values to identify the best locations for your investment.

3. Pick the Right Property Type

The type of property you choose will significantly impact your investment returns. Decide whether you want a short-term rental that you can occasionally use for personal getaways or a long-term rental that provides consistent, passive income.

Each option has its advantages:

• Short-Term Rentals: Higher potential income but more management-intensive.

• Long-Term Rentals: More predictable income with less hands-on management.

Consider your lifestyle, risk tolerance, and financial goals when making this decision.

Let’s Talk About Your Investment Plans

Not sure where to begin? I can help! Whether you’re purchasing your first investment property or expanding your portfolio, let’s discuss your goals and find the best opportunities for you.

Reach out today to start your investment journey with confidence!