The expression “can’t see the forest for the trees” helps describe many investors problem when seeing a true investment opportunity. You can work out details and numbers, but sometimes you need to see the potential and overall picture.
Real Estate is an asset class, like gold, like stocks, like anything bought, sold, and traded, and not everything is able to be quantified and analyzed at the time of the sale. Sometimes you need to forecast, predict, and have a general sense of the market.
A deal today may never come around again at the same level on a particular property, and yes there will always be properties and opportunities, but if you are experienced enough to have a feel of the market, then sometimes you must trust your intuition and act. The details and due diligence are great traits of a good investor but so is decisive action on a deal that you know is right.
It is a balancing act this risk vs reward thing, but action trumps indecision, and without risk there is no reward, so when sizing up a possible real estate investment, the tree can provide a great indication but if the opportunity is within the forest, and you lose sight of the overall picture, the overall deal and opportunity will pass you by.
Duplexes are great investments, and provide great opportunity, but its not a stand alone asset, the timing, the deal over the next 2 years, 5 years, 10 years, factor into that opportunity. If you see and predict changes in an area, the dynamics of renter behavior in the region, the rise of demand, etc…, that ability help serves you in your quest for the right mix of properties for your future.