Should You Follow This Warren Buffett Homebuying Tip?
As a real estate investor, you may be familiar with the idea of buying properties with cash. Of course, that's not an option for everyone. But if you have enough cash on hand to purchase a home outright, in today's market, that will serve you well.
As of February, there was only a 1.7-month supply of existing homes for sale across the residential real estate market, according to the National Association of Realtors. That gives sellers the right to be picky -- and favor cash offers over those who are reliant on buyer financing.
But as you may know, tying too much cash up in a single income property is a mistake you don't want to make as a real estate investor. Doing so could mean losing out on other opportunities to build your portfolio. And so while cash offers may be king today, you may want to take a different approach to buying a home -- one that investing giant Warren Buffett is a strong advocate of.
Source Fool.com
