Property investment is one of the smartest ways to gain passive and stable income. Although
there has been a big raise in interest rates and housing prices, property management is still
Real estate investment is a perfect way to maintain assets and stable income while
simultaneously growing your wealth and business. The question many rookie investors have is
whether or not it’s a good idea to start real estate investing without a real estate license. The
truth is that not only can you start a real estate business without a license, but you can also
succeed in property management and property investment without a license.
Before discussing the ways to start investing in real estate, we should discuss the current
housing market and the opportunities it gives us.
Popular Market Investments
We are facing the pandemic aftermath, which is the reason for a lot of economic problems and
high-interest rates. However, property investment could still very well play out to your benefit.
The important thing is that you choose the right way to increase your property value and gain
income from it.
Buy-And-Hold investment is the most common property investment which means that a buyer
holds the property before reselling it. The most popular buy-and-hold investment is rental
property investment. The property owner uses real estate to rent out to tenants and gain
monthly passive income this way. You can also use your property as an Airbnb and rent out
According to these Los Angeles property managers, this type of investment requires thorough
property management. You need to market your property, conduct a tenant screening process,
determine the rent prices, and take care of property maintenance.
If you have a rental property, you can even cover the loan monthly using the property itself.
Therefore, you will be able to earn a profit while also covering your debt. You can even start
hiring property management companies at some point and expand your business. To own a
rental property, you don’t need a real estate license. You can handle the property management
process on your own or with the help of professionals.
Fix-and-flip is another common property investment type. This type of property investment
requires several expenses on renovations, however. You can purchase a cheap and low-grade
property with low-quality wallpapers and flooring and then renovate it to make it look desirable.
Afterward, you can resell the property for much more money than you bought it for.
Although you need to make some expenses on renovations, you can figure out ways to spend
way less than you can profit. For example, you could repaint the property yourself, you could lay
the flooring, and create the design on your own, without the help of contractors or designers.
This type of investment does not require a property license either. You just need to have a good
eye to find a property with great potential and fix it up!
When you make up your mind on which way you wish to make an income, you need to start
considering the risks. Although fix-and-flip and buy-and-hold are both great ways to earn a living
using property investment, there are some considerable disadvantages to owning real estate.
For example, property maintenance costs can be a lot. As a landlord, it is your duty to keep the
property well-maintained and take care of costs. If you plan to fix and flip a property you need to
create the most desirable and high-quality environment so that you can make a big profit. You
need to keep up with market trends and property evaluations.
You have to keep the budget ready to make some expenses. You will have to take care of
renovations, and you might have to hire a designer or a property manager. Therefore, you
should have every expense sorted out.
Whatever method you choose to make a profit out of a property investment, you do not need a
real estate license. However, if you wish to become a wholesaler, a real estate license is
In conclusion, property investment does not require a license, you just need to have some good
marketing skills and a good eye for properties with potential. Just be aware of some risks and
ensure that you have thought everything through.