TBT: Ask Marco - Real Estate Newbie! What Properties and Markets for a First Time Investor?

Sep 18, 2025

A first-time investor in Southern California grapples with high home prices. Discover a top-down, market-first strategy for smart investing! Learn how to identify markets with job and population growth. Focus on B-plus/A-minus neighborhoods for balanced returns. Uncover which properties to avoid and why quality matters. The importance of assembling a solid investment team, including property managers and lenders, is highlighted. Perfect advice for anyone looking to start their real estate journey without mistakes!

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ADVICE

Use A Top-Down Market-First Approach

Start with the market first, not the property.
Use a top-down funnel: pick a healthy market, then neighborhoods, then properties.

INSIGHT

Jobs Drive Market Stability

Job growth drives population growth and rental demand.
Healthy local economies create stable housing demand whether people buy or rent.

ADVICE

Favor Tier-Two Markets

Prefer tier-two markets for balanced opportunity and affordability.
Look at midsize MSAs like Kansas City or Indianapolis for diverse economies and better numbers.

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In this episode, we answer a key question from a first-time investor in Southern California who’s feeling the pressure of high home prices. We break down a top-down strategy for smart real estate investing—starting with choosing the right market, narrowing in on strong B or A-minus neighborhoods, and finally selecting properties that are safe, clean, and functional. You'll learn how to spot markets with job and population growth, why investing in quality neighborhoods pays off long-term, and what types of properties to avoid. We also highlight the critical role of your investment team, from property managers to lenders, in making your first deal a success. This is a must-listen for any new investor who wants to avoid beginner mistakes and build a solid foundation.

Think you need to buy cheap or stay local to start investing in real estate? 🤔 Think again. Learn how to invest confidently in strong out-of-state markets 🌍 and why neighborhood quality matters more than a low purchase price 🎯

Ready to make your first real estate investment the right way? Connect with our team to find the best markets, neighborhoods, and properties to grow your portfolio 📊. Start smart—start today! 🚀

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Throwback Thursday Episode (The episode originally took place in the year 2021)

This episode is part of our Throwback Series and may include references to older content such as webclasses, events, promotions, or links that are no longer active or available. While the conversation and insights still hold value, please note that some information may be outdated.

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