Property Investing is not a foolproof guarantee of success because sometimes, the unexpected will happen.

One of the biggest mistakes that first time property investors make, is giving up when their expenses are more than their revenue, and they start to see money flow out more than it flows in.

It is very important to always overestimate expenses rather than underestimate.

By building a buffer into your finances, you will have some wiggle room when the unexpected occurs.

That way, you won’t panic if you have a vacancy period or some large unexpected breakdown or repair happens.

Sometimes, the rental market can suddenly take a dip, requiring you to carry more of the financial weight than you expected, so having some room to move is crucial until the market evens up again.

Often, when investors are forced to find extra funds every week to hold their property, it can cause them to panic and worry that their investment is costing more than it is making them, and this is when many investors want to jump ship.

Even the most successful property investors have been faced with these types of setbacks and it is quite normal for this to happen.

It’s better to be in the game so don’t be discouraged when this happens, just be realistic and prepare yourself for the ups and downs and the wins and losses.

One way to reduce your expenses is by Self Managing your Investment and slashing exorbitant and needless property management fees.

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