🏠 Why I Love Real Estate (And Why You Should Consider It Too)

Next week, I have some students coming over to talk about personal finance, getting ahead financially, and strategy’s for digging out of debt. So naturally, I’m thinking about finances.

And whenever this subject comes up, I always talk about my favorite, Real Estate. So I thought I would take a minute to talk about why I love Real Estate so much.

If I buy Coca-Cola stock, I have no control over what happens next. I can’t make Coke more valuable by drinking it or promoting it directly.

But with real estate, I can directly influence my investment. I can buy a distressed property, apply my time, skill, and creativity, and increase its value through my own effort. That’s powerful. That’s what hooked me.

Beyond that, real estate is something every one of us interacts with. We all have to live somewhere. So if you’re going to spend a huge portion of your life paying for a roof over your head, why not have that roof work for you?

Why Real Estate Wins Long-Term

It’s tangible. You can touch it, improve it, and live in it.

It’s flexible. You can negotiate creative deals—include the boat in the driveway, the furniture inside, or even trade your classic car as part of your offer.

It appreciates. Unlike cars or tech gadgets that lose value, real estate generally trends upward over time. Look at any long-term chart and you’ll see a steady climb, despite short-term dips.

It builds skill. Real estate forces you to learn how to negotiate, read contracts, calculate risk, and make deals. That knowledge compounds faster than the money itself.

Rules I Live By

You’re in no hurry until you’re in a hurry. Be patient until the right deal appears—then act fast.

Never fall in love with a property. There will always be another opportunity.

Don’t lowball unless you’re playing a numbers game. If you plan to send hundreds of offers, go for it. Otherwise, don’t waste your agent’s time or your own credibility.

My Strategy for Making an Offer

The Power of the Weird Number

Let’s say a property is listed at $250,000. Most people would offer $240,000—a clean, round number. The problem with that is it makes the counteroffer too easy. The seller (or their agent) will almost always split the difference and come back with $245,000, right in the middle.

People don’t like to do math, so don’t make it easy for them.

Instead, offer something oddly specific, like $242,900. That number feels deliberate, like you’ve done real calculations instead of just throwing out a random offer. More importantly, it’s not simple to “split the difference.”

Now the seller looks at your offer and thinks:

“That’s a weird number. I feel like I should counter, but if I go to $245,000, that’s only a couple thousand more—it’s barely worth it.”

And that’s exactly the point. They’re more likely to just accept your offer rather than quibble over a small difference.

You’re also learning something valuable about the seller. If they counter over a tiny amount, you know you’re dealing with someone who’s going to fight for every dollar. But if they accept your odd-number offer, you’ve found a reasonable seller who’s willing to work with you.

This one small tactic has helped me close deals faster and save thousands, simply by understanding human psychology and how much people dislike messy numbers.

I also include something like a home warranty in the offer. I don’t actually care if I get it—I include it because I can trade it away later during negotiations. Every bit of leverage counts.

Where the Real Negotiation Begins

Most buyers think once the offer is accepted, the deal is done. But, that’s just the start.

Next comes the home inspection, which costs around $500–$1,000. This step gives you:

Proof you’re serious.

A detailed report of everything that’s wrong with the house—your new negotiation checklist.

Let’s say the inspector reports that the roof needs replacing ($15–20k) and the air conditioner is near the end of its life. I go back to the seller and say:

“The roof and A/C need work, which looks like $20–25k in repairs. I’ll stay at my offer of $243,000 if you replace them.”

Now it’s their move. Maybe they fix both—saving you $25k. Maybe they knock $25k off the price instead. Either way, you win.

If they throw it back to me and say “you fix the problem,” I’ll ask for an additional $5,000–$10,000 off the price because the house isn’t move-in ready. I’ll have to handle contractors, permits, and the time commitment—so I deserve a concession for taking that on.

Sometimes these things don’t need to be handled immediately, which means you can push that expense down the road and still come out ahead.

And if they push back? That’s when I “negotiate away” the home warranty I didn’t care about in the first place.

“Okay, if you handle those repairs, I’ll drop the home warranty request.”

Perfect. I gave something when I asked for something.

Be Ethical

Don’t play games just to wear people down. It’s okay to push for a good deal, but always act with integrity. The best investors make strong deals and strong reputations.

The Long Game: Build, Don’t Break

Here are a few guiding principles from my own experience owning multiple properties (from California to Florida):

Get preapproved early. Even if you’re not ready to buy, talk to a loan officer. Learn your credit score, your borrowing power, and where your weak spots are.

Don’t buy at your max approval. If the bank says you can afford $450,000, aim for $325,000. Leave room to breathe.

Forget the “dream home.” That’s usually your fifth or seventh house. Start small. Build equity. Trade up over time.

Use leverage wisely. The first property opens doors. Once you own a home, lenders treat you differently. You’ll have access to better financing and opportunities you didn’t have as a renter.

Look for “Added Value”

This is one of my favorite parts of real estate—spotting what others miss.

Added value means finding something extra that isn’t in the listing. Maybe there’s side-yard access that could store an RV you can rent space for. Maybe there’s a garage that could be converted into a studio apartment or short-term rental.

Think like an entrepreneur. Don’t just buy a house—buy potential.

Study Like It Matters (Because It Does)

Real estate isn’t something you master by watching a few YouTube videos. This is one of the most expensive, life-changing decisions you’ll ever make.

Read books—many books. Take courses. Study market cycles. Understand financing, zoning, and the psychology of negotiation.

You wouldn’t trust a surgeon who “watched a few videos.” Don’t be that person with your financial future.

Final Thoughts

I’ve owned multiple properties—single-family homes, condos, and rentals—and I’ve made both great and terrible deals. The 2008 crash alone was an education that no book could’ve taught me.

Real estate isn’t just about property—it’s about patience, strategy, and creativity.

If you’ve read this far, I hope you take this seriously enough to study deeply before you buy. Get good at this, and you’ll create freedom for yourself that few other investments can match.

These are just some of the strategies I’ve learned and found valuable, but there are as many ways to invest in real estate as there are people doing it. Some buy a quadplex, live in one unit, and rent out the others. Some work with Section 8 or government-assisted housing programs. Others buy vacant land and hold it for years. That’s why the study part is so important—you have to find what works for you, what strategies align with the future you want to build.

Every book I’ve read on real estate, even the ones covering strategies I had no interest in personally, expanded my understanding of how the market moves and where opportunities hide. I’d suggest starting with at least three books that genuinely interest you, but if you’re serious, aim for ten. And if you want to go all-in, read thirty.