19 Feb The Danger of Following Investing Advice from BiggerPockets

BiggerPockets is a popular online community for real estate investors, with a large database of resources and advice for those interested in real estate investing. While BiggerPockets can be a great resource, following investing advice from the platform can be dangerous for those new to the industry. In this post, we’ll discuss the risks of following investing advice from BiggerPockets, including some specific examples.

1. Mostly New or Inexperienced Investors

BiggerPockets is a community that attracts a lot of new and inexperienced real estate investors. While this can be helpful for those just starting out, it also means that a lot of the advice given on the platform may not be based on extensive experience or knowledge. It’s important to take advice from a range of sources, including more experienced investors and professionals in the industry.

2. Echo Chamber

BiggerPockets can also be an echo chamber, with a lot of investors sharing the same ideas and tactics without considering alternative approaches. This can lead to groupthink, where investors may not be critically evaluating their own strategies or considering other potential risks or challenges.

3. Small-Time Investors

Another issue with investing advice on BiggerPockets is that many investors who give advice on the platform may be small-time investors who are not able to scale their tactics. While it’s important to learn from those who have experience in the industry, it’s also important to consider whether their advice will be applicable to your own investing goals.

In addition to the above examples, other risks of following investing advice from BiggerPockets include:

• Outdated or incorrect information
• Not considering the individual investor’s unique circumstances or goals
• Overemphasis on particular investing strategies or niches without considering the broader market conditions or trends

In conclusion, while BiggerPockets can be a valuable resource for real estate investors, it’s important to be cautious when following investing advice from the platform. It’s important to consider advice from a range of sources, including more experienced investors and professionals, and to critically evaluate any advice given on the platform.