Real estate investment may seem straightforward, but it's more akin to running a business than simply buying and selling properties. Here are some essential tips to consider before making an offer on your first investment property:

1. Invest in cities with a promising future: Prioritize cities with strong economies, job growth, population growth, and low vacancy rates. While a city like Toronto may have higher upfront costs, it can be less risky due to its favorable economic fundamentals.

2. Be smart, not cheap: Research thoroughly before purchasing a cheap property, as it may come with hidden issues such as high vacancy rates, maintenance problems, or troublesome tenants. Make informed decisions based on thorough due diligence.

3. Cash flow isn't immediate income: Don't expect rental property cash flow to provide immediate retirement income. Typically, rental income is reinvested to support long-term property ownership and appreciation.

4. Time in the market, not timing the market: Focus on long-term property investments. Real estate markets fluctuate, but with a property that generates steady cash flow and has low vacancy rates, you can navigate market ups and downs while staying invested for the long haul.

5. Understand the multiplier effect: Utilize the equity in your existing property to finance the down payment for additional investments. This strategy, known as the multiplier effect, can expedite portfolio growth when executed wisely in the right market.

6. Work with an experienced realtor: Collaborate with a realtor specialized in investment properties who can conduct cash flow analyses, provide insights on tenant profiles, and identify areas of deferred maintenance.

7. Ask pertinent questions to your realtor: Inquire about your realtor's personal investment experience in the neighborhood, the tenant profile, suitable investment models, development prospects, and their track record in similar property transactions.

8. Consider proximity to public transportation: When purchasing an investment property, prioritize locations near public transit. This accessibility increases tenant demand and allows you to command higher rental rates, providing a better return on your investment.

9. Explore owner-occupied properties: House-hacking is a strategy where you live in one unit or room of a property while renting out the others. This approach can offer advantages like lower down payments, better mortgage rates, and potential tax benefits.

10. Real estate investing requires active involvement: Remember that real estate investment is not passive income. As an investor, you'll be responsible for various aspects of property ownership, including marketing, customer relations, maintenance, accounting, taxes, insurance, and more.

By keeping these tips in mind, you can make more informed decisions and increase your chances of success in real estate investing.