The 10 Best Real Estate Investing Books (2024)

Looking to diversify your investment portfolio? Real estate investing may be your best bet. After all, home prices in the United States have largely increased every year from 1963 to 2007, while the housing market is valued at around $33.6 trillion.

Whether you plan to invest in the short or long-term rental industries or even commercial real estate, we’ve got you covered with our picks for the best real estate investing books.

Best Overall: The Book on Rental Property Investing

The 10 Best Real Estate Investing Books (1)

Brandon Turner’s “The Book on Rental Property Investing” is a solid starting point for anyone looking to dip their toes into the world of real estate investing—more specifically, rental property investing. Turner's 400-page book leaves no (real estate) stone unturned, from advice on how to get started to how to set up rental property income streams to common mistakes real estate investors commonly make, even how to find great deals on rental property investments. Turner is also the co-host of the BiggerPockets Podcast.

Best on Commercial Real Estate: Mastering the Art of Commercial Real Estate Investing

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Doug Marshall’s “Mastering the Art of Commercial Real Estate Investing” schools readers on how to get started investing in real estate, from the six “laws” of investing in this sector to determining the best loans for any given investment property, plus how to manage your commercial property, Marshall has more than 35 years of experience in the commercial real estate industry and is the founder Marshall Commercial Funding, Inc., a commercial mortgage brokerage firm.

Best for Flippers: The Book on Flipping Houses

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If you’ve ever watched HGTV, then you’re probably familiar with the practice of flipping houses for a profit. In “The Book on Flipping Houses,” J. Scott lays out an easy-to-follow plan for doing just that. He shows readers how to finance a flip, evaluate its profitability, determine what type of property to invest in, as well as the best location to start your flipping career, plus how to create a scope of work, budget, and schedule to ensure your flip is profitable. Scott, who worked in Silicon Valley and at several Fortune 500 companies, practices what he preaches. He and his wife quit their jobs in corporate America to pursue flipping houses full-time and have since flipped more than $60 million in properties.

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Best on Real Estate Taxes: The Book on Tax Strategies

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Investing in real estate has tax implications, just like any other type of investment. There are a lot of expenses you can deduct as a real estate investor, but the key is making sure that you're claiming every deduction you're eligible for. And aside from that, you also have to report the income you're earning from property investments to avoid getting in trouble with the IRS.

Amanda Han and Matthew McFarland are both certified public accountants, and they draw on their knowledge and expertise to offer a thorough tax guide for real estate investors in "The Book on Tax Strategies." If you're not sure how depreciation works, for example, or how to use a self-directed IRA to buy real estate investments, you can get pointers on both here. It's a must-read to add to the list if you're looking for strategies and tips to minimize what you owe to Uncle Sam on your real estate investments.

Read Next: The Best Personal Finance Books

Best for Building Wealth: The Millionaire Real Estate Investor

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Wouldn't it be great to invest in real estate like a millionaire? There's just one problem—you don't have a million bucks lying around to sink into property investments. That's a challenge "The Millionaire Real Estate Investor" addresses. Author Gary Keller draws on the wisdom of more than 100 millionaire real estate investors to create a handbook for building wealth through property.

The book covers the biggest myths about money and investing that often prevent people from achieving millionaire status, as well as how to vet real estate opportunities to find the ones that prove most profitable. You don't have to be rich to appreciate the strategies and techniques Keller advocates, but it's possible that you could get rich in real estate by applying the principles he touts.

Best for Beginners: The ABCs of Real Estate Investing

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If you're just entering the world of real estate investing, opt for "The ABCs of Real Estate Investing" by Ken McElroy. As the title of the book suggests, you'll learn basics like how to achieve wealth through real estate, ways to find and evaluate properties, negotiating deals, how to increase income through property management tools, and much more. McElroy himself has over 26 years of senior-level experience in multifamily asset and property management. Even more, reviewers agree that this is a great starter book, praising how informative and easy-to-read it is for first-time investors.

Related: The Best Investing Books for Beginners

Best on Out-of-State Investing: Long-Distance Real Estate Investing

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"Long-Distance Real Estate Investing" challenges the myth in real estate that you should only look into investing in your locality. This is a great read for investors who live in an area that's not particularly suited for investing or for those looking to widen their real estate investments nationwide. Although out-of-state investing is considered risky, author David Greene argues that rules, technology, and markets have changed well enough so you can successfully invest anywhere.

Greene, who has built a multi-million dollar portfolio, goes into the strategies he has implemented from investing in over 20 rental properties. Learn how to find great deals in any state regardless of where you live, how to identify which neighborhoods to buy (and which to pass up on), how to renovate a project remotely, and more.

Best First-Person Account: One Rental At A Time: The Journey to Financial Independence through Real Estate

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REITs can appeal to real estate investors who want more of a hands-off approach to investing in property. A REIT is a company that owns property investments; as a REIT investor, you get the benefit of dividend income generated by those properties without any of the headaches that go along with being a landlord and having to deal with tenants directly.

"The Intelligent REIT Investor" outlines the most important concepts associated with REIT investing as a wealth-building strategy. Specifically, the authors dive into how to evaluate and choose which REITs to invest in, based on your overall goals, risk tolerance, and time horizon for investing. If you're interested in adding REITs to your portfolio but you have no clue where to start, this book can help you get your feet wet without getting in over your head.

Best Comprehensive Approach: Real Estate Investing QuickStart Guide

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Symon He’s book takes a multi-faceted approach to real estate investing—both a book and 8 hours of online courses with the author. This pick takes a straightforward approach to getting started with real estate investing, from creating passive income to finding wholesale real estate deals to successfully flipping a property. He is a licensed real estate broker and consultant.

Best for Investors on a Budget: The Frugal Real Estate Investor

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“The Frugal Real Estate Investor” by Aki Suzuki walks readers through how to buy their first rental property on a budget, all based on the author’s firsthand experience. This book is divided into three parts: making sure your personal finances are in order before investing in real estate; concepts and building a foundation for real estate investing; and putting what you’ve learned into practice and diving headfirst into the world of real estate investing. Suzuki is an executive in Silicon Valley, a financial coach, a realtor, and a real estate investor.

Related: The Best Personal Finance Books

Final Verdict

Brandon Turner’s “The Book on Rental Property Investing” (view at Amazon) takes the top spot on our list for its comprehensive look into how to get started with real estate investing, from establishing passive income streams to finding great deals on investment properties to common pitfalls to avoid.

Meet the Expert

Rachel Morgan Cautero has a master's degree in journalism from New York University and more than a decade of journalism experience, most in the personal finance sector. Most recently, she was the managing editor of DailyWorth, a finance-based media destination for women. She’s been published in SmartAsset, The Balance, The Atlantic, Life & Money, Parents, WealthRocket, and Yahoo Finance. These titles were selected based on author credentials, reader reviews, and any relevant awards.

The 10 Best Real Estate Investing Books (2024)

FAQs

What is the best book for investing in real estate? ›

  • The Book on Managing Rental Properties. ...
  • The Book on Tax Strategies for the Savvy Real Estate Investor. ...
  • How to Invest in Real Estate. ...
  • Real Estate Rookie. ...
  • SOLD: Every Real Estate Agent's Guide. David Greene. ...
  • Wealth without Cash. Pace Morby. ...
  • First-Time Home Buyer. Scott Trench & Mindy Jensen. ...
  • The Book on Flipping Houses. J Scott.

What is the 10 rule in real estate investing? ›

The 10% rule is a quick and straightforward way for investors to evaluate the potential profitability of a real estate investment. It involves calculating the expected annual income from the property and ensuring it equals at least 10% of the property's purchase price.

What is the 5 rule in real estate investing? ›

That said, the easiest way to put the 5% rule in practice is multiplying the value of a property by 5%, then dividing by 12. Then, you get a breakeven point for what you'd pay each month, helping you decide whether it's better to buy or rent.

Which real estate investment is best? ›

Commercial Real Estate

One reason commercial properties are considered one of the best types of real estate investments is the potential for higher cash flow.

What is the 1 rule in real estate investing? ›

The 1% rule of real estate investing measures the price of an investment property against the gross income it can generate. For a potential investment to pass the 1% rule, its monthly rent must equal at least 1% of the purchase price.

What is the best book to read about investment? ›

Best Books on Investing for Beginners
  • Rich Dad, Poor Dad.
  • The Intelligent Investor.
  • The Simple Path to Wealth.
  • The Psychology of Money.
  • The Richest Man in Babylon.
  • The Little Book of Value Investing.
  • The Warren Buffett Way: Investment Strategies of the World's Greatest Investor.

What is the 4 3 2 1 rule in real estate? ›

Analyzing the 4-3-2-1 Rule in Real Estate

This rule outlines the ideal financial outcomes for a rental property. It suggests that for every rental property, investors should aim for a minimum of 4 properties to achieve financial stability, 3 of those properties should be debt-free, generating consistent income.

What is the golden rule in real estate? ›

In November, Corcoran appeared on the BiggerPockets Real Estate Podcast with her son Tom Higgins to describe two methods she says make up her “golden rule” of real estate investing: putting down 20% on an investment property and having tenants of that property paying for the mortgage.

What is the 80% rule in real estate? ›

It's the idea that 80% of outcomes are driven from 20% of the input or effort in any given situation. What does this mean for a real estate professional? Making more money in real estate is directly tied to focusing your personal energy on the most high value areas of your business.

What is the 70% rule in real estate investing? ›

Basically, the rule says real estate investors should pay no more than 70% of a property's after-repair value (ARV) minus the cost of the repairs necessary to renovate the home. The ARV of a property is the amount a home could sell for after flippers renovate it.

What is the 2 rule in real estate investing? ›

What Is the 2% Rule in Real Estate? The 2% rule is a rule of thumb that determines how much rental income a property should theoretically be able to generate. Following the 2% rule, an investor can expect to realize a positive cash flow from a rental property if the monthly rent is at least 2% of the purchase price.

Is 5k enough to invest in real estate? ›

Most people don't realize they can invest in real estate with $5,000, or $500, or even $50. They think they have to save up tens of thousands for a down payment if they bother to give it any thought at all. I used to buy rental properties directly, putting down tens of thousands on each.

What is the safest real estate investment? ›

Here are the best low risk real estate investment types:
  • Long-Term Rental Properties.
  • Short-Term Rental Properties.
  • Buy-and-Hold Real Estate.
  • Multi-Family Homes.

What type of property is most profitable? ›

Commercial Real Estate: Commercial properties, such as office buildings, retail spaces, and industrial warehouses, can offer substantial income potential, especially in prime locations with high demand. Long-term leases with businesses and corporations can provide stable cash flow.

What type of real estate investment has the highest ROI? ›

The Best Real Estate Investments to Consider for the Highest Returns
  1. Apartment Buildings. Apartment buildings are the most popular type of real estate investment. ...
  2. Tiny Homes. ...
  3. Vacation Rentals. ...
  4. Retail Stores. ...
  5. Self-Storage Units.
Jun 1, 2023

How do I prepare myself to invest in real estate? ›

Think about how much time you have, how much capital you're willing to invest and whether you want to be the one who deals with household issues when they inevitably come up. If you don't have DIY skills, consider investing in real estate through a REIT or a crowdfunding platform rather than directly in a property.

How to invest in real estate with $1000? ›

  1. Real Estate Investment Trusts (REITs) Real estate investment trusts (REITs) are one of the best ways to invest 1,000 dollars, and are beginner-friendly. ...
  2. Real Estate Crowdfunding. ...
  3. Real Estate Partnerships. ...
  4. Real Estate Wholesaling. ...
  5. Peer-To-Peer Microloans. ...
  6. Turnkey Rental Real Estate. ...
  7. Tax Liens. ...
  8. Hard Money Loans.

What is the best return on investment in real estate? ›

A “good” ROI is highly subjective because it largely depends on how risk-tolerant a particular investor is. But as a rule of thumb, most real estate investors aim for ROIs above 10%.

How to start investing in real estate with $1,000? ›

How to Invest $1,000 in Real Estate
  1. Real Estate Investment Trusts (REITs) REITs are managed funds that buy, sell, manage and trade real estate all over the country. ...
  2. Real Estate Crowdfunding. ...
  3. Partnerships. ...
  4. Wholesaling. ...
  5. Rent Your Old House. ...
  6. House Hacking. ...
  7. Rental Arbitrage. ...
  8. Fractional Ownership.
4 days ago

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