1. Not enough due diligence

Due diligence is key before purchasing a property. Analyzing a deal and making sure you get all the correct information is very important. Click here for the commercial due diligence sheet that I have created.

2. Doing everything by yourself

It is important to get help managing your real estate because it helps you focus on doing more deals. Hiring a property management company and having brokers for every sector of purchasing real estate, finding capital, etc is very important.

3. Overleveraging

It is important to know the value and future of the asset you are leveraging. For example, if it is retail, you may not want to leverage too much because some of the value of retail have gone down.

4. Underestimating Expenses

It is important to know what your expenses are on your real estate. This goes with due diligence and is very important to not miss.

5. Not getting good financing

It is important to find a reputable financial institution to get your financing.  Also, it is important to get an attorney to look at the loan agreement to make sure there are no surprises within the loan document.