The Biggest Mistakes Real Estate Investors Make (And How to Avoid Them)

Ken and Danille McErloy discuss the essential do’s and don’ts of real estate investing, covering the dangers of rushing in, making emotional decisions, and ignoring cash flow. Learn how to build a clear investment strategy, manage properties effectively, and make informed decisions that ensure long-term success in real estate.

Ken has a real estate strategies podcast! Follow your favorite platform each week.

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ABOUT KEN:
Ken is the author of the bestselling books The ABC’s of Real Estate Investing, The Advanced Guide to Real Estate Investing, The ABC’s of Property Management, and has an upcoming book: "ABCs of Buying Rental Property: How You Can Achieve Financial Freedom in Five Years." Ken is a Rich Dad Advisor.


Ken offers a wealth of personal experiences, practical advice, success stories, and even some informative setbacks, all presented here to educate and inspire. Whether you’re a new or seasoned investor, the information and resources on this channel will set you on a path where you and your investments can thrive.

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Although Ken McElroy and his affiliates take all reasonable care to ensure that the contents of this channel are accurate and up-to-date, all information contained on it is provided ‘as is.’

Ken McElroy makes no warranties or representations of any kind concerning the accuracy or suitability of the information contained on this channel.

#kenmcelroy #realestate #realestateinvesting #realestateinvesting #realestatetips #realestatestrategies #cashflow #propertymanagement #Airbnbinvesting #rentalproperties #HOAfees #investmentstrategy #multifamilyinvesting #realestatemistakes #realestatesuccess

[viviancarolgioao]

Asking a real estate agent whether you should buy a home right now is like to asking an alcoholic whether they think you should have a drink lol. Homes in my neighborhood that cost around $450k in sales in 2019 are now going for $800 to $950k. Every seller in my neighborhood is currently making a $350k profit. Simply unreal. In all honesty, deflation is what we require. The only other option is for many people to go bankrupt, which would also be bad for the economy. That is the only way to return to normal.

[Mihlaligeza-wf]

Buffet was also selling when the pandemic hit, a great entry point for people of my generation (30s, 40s) and a great period for stocks overall. My question is do you think it's a good time to consider selling some stocks too? I’m considering rebalancing my $2M portfolios and curious for the best strategies to do so.

[AbdullahEriden]

Thank you for recommending Michelle Lisa German on one of your videos.
I reached out to her and investing with her has been amazing. I paid off my $529k 15 years loan in 8 months. Now totally debt free 2 paid off rentals. Love having no debt for the last 5 months. Thank you Michelle German

[MrDzdevil]

1. Don't rush
2. Emotional decisions lead to mistakes. Its a numbers game not an emotional one.
3. Don't allow yourself to be cashflow negative. Don't assume a deal will work based on Airbnb only.
4. Understand HOAs fees
5. Develop a strategy
6. Learn how to manage the people and the properties
7. Build a reliable team
8. Airtight lease and screen tenants well!
9. Inspect property annually

[Landeros]

The question of stocks vs. real estate is incredibly easy to answer with very little investigation. The only people who think real estate outperforms the stock market haven't considered all the costs of real estate.

[Nachitoleon]

Aah now i know who ignored my email 😂😂 .. Ken is mi idol . thanks for everything you guys do to help others . 🙏

[LiLLayth-mc]

sup ken, can you eventually touch base on DSCR Loans? thank you again ken.

[lisacampbell]

Your advice is so meaningful! Thank you! People are listing really his prices initially. The math on so many that I’ve seen just does not work.

[Mally__onmyhustle]

Yes, HOA is very important. I bought a condo in PA and walked into high HOA fees, a $3, 000 assessment, and drama. Old owner is now trying to go to court to contest sale after the allowable time.

[RobertBullock]

To do a property check, one technique is to have an HVAC service contract. I pay $13.25 a month for mine. They come out twice a year and check things out. Super important for gas heat (monoxide etc.). But then at least you also have other eyes on the house. And the tenant knows you’re “watching things”. It works out to $70 per visit. One spring for AC once fall for heat. Yea you should do a proper one but it’s a plus.

[dhowto]

Thank you Mr. & Mrs. McElroy!

The state or nationally should disband all HOAs in single family communities. HOAs are a scam.


The neighborhood I grew up in did not have an HOA. It's still a very nice and desirable place to live for all the reason you can think of.


There was some good advice in this video!


Happy New Year!

[RobinBurhorn]

Now is not time to invest in Az. Unless you find distressed seller. 85 percent of ppl have rates 3% and below.
I’m talking residential.

[elanasafina]

How to calculate a good deal to buy? Any examples, please ?

[hertzlertrettin]

I'm favoured $130k every 4weeks! I now have a good house and can now afford anything and also support my family

[INTERNETVID]

Totally agree with a small caveat. You're not necessarily detached from the math per se by countering with a higher offer as long as the negotiating doesn't snowball out of control and the deal remains viable.

[pursuefinancialfreedom]

Great info guys. We are looking at buying a condo in the Toscana development in Desert Ridge. May or may not rent it. Just curious if your feedback on that area/complex. Also do you know what Phoenix doing about water supply sources based on Colorado River issues? Thank you!

[RobWilliams]

But, if you physically walk the property and they meet you, then if you set up an LLC, in say, Wyoming and maybe with a land trust, then they know who owns it, don’t they? I mean, we do it but I have always pondered this question.

[calpal]

Thank you both very much for providing this information, I have a specific folder dedicated to retail on YouTube and it’s called fundamentals of finance. U2 always seem to end up on that list, but this was pivotal to understand how to look at investing properly and develop a strategy.I know you both earned your top spots, but again hats off for not pulling up the ladder behind you because I am brand new. I really do appreciate it.

[DavidMartin-hvmn]

My question would be homes with less than 3000 square feet being priced at 5 to 6 hundred thousand. The home that you have listed there is way overpriced.😮

[INTERNETVID]

NJ landlord/tenant law now states it's a discriminatory practice for property owners to exclude applicants based on a criminal record so background checks here are largely neutered and a waste of time.