In 2012, Time magazine named Warren Buffett one of the most influential people in the world. Buffett is known for his value investing philosophy and for his personal frugality despite his immense wealth. He is also a notable philanthropist, having pledged to give away 99 percent of his fortune to philanthropic causes, primarily through the Gates Foundation.
Buffett once said, "Risk comes from not knowing what you are doing."
How does this apply to real estate? What we can infer from this quote is that those who do not know how to properly analyze, enter, and exit real estate transactions think today’s market is risky. Those who fully understand the intricacies of real estate investing continue to do so and profit.
Education and preparation are the keys to success.