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Deal SourcingGetting Started

Real estate investing 101

Foundations: what residential investing is, key terms, and how to get informed as a new investor.

12 min read

What is real estate investing?

Residential real estate investing means buying properties to generate income (rent) or profit from appreciation.

Key terms

  • Cap rate: Net operating income divided by property value.
  • Cash flow: Rent minus expenses and debt service.
  • 1031 exchange: Tax-deferred swap of one investment property for another.

How to get informed

Start with trusted sources, then use tools like Prop Cafe to analyze deals and manage your portfolio.

Next in path

Continue the Getting started path with this article or video.

What is cap rate? (5 min)

A quick introduction to capitalization rate and how investors use it to compare properties.

Deal AnalysisGetting StartedYouTubeMicro5 min

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