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Why Milwaukee Continues to Stand Out
Tom Sattler:
Welcome back to the Smart Start Podcast. Today I'm joined by Marcus Auerbach, owner of On Point Realty Group, real estate investor, and one of southeast Wisconsin's leading voices on the Milwaukee housing market.
Marcus, from an investor's perspective, what makes Milwaukee such an attractive real estate market?
Marcus Auerbach:
Milwaukee has changed tremendously over the past 15 years. While there are still challenges, the city has made incredible progress, and that's attracting attention from both investors and homebuyers.
Many of the neighborhoods that have historically been desirable continue to perform well today, while areas like Bay View and the Historic Third Ward have experienced remarkable growth and revitalization.
Why More People Are Choosing Milwaukee
Tom Sattler:
What makes Milwaukee different from other Midwest cities?
Marcus Auerbach:
One of Milwaukee's greatest strengths is its quality of life.
People who relocate here are often surprised by how welcoming the community is, how manageable the city feels, and how easy it is to get around. Milwaukee offers many of the amenities of a larger metropolitan area without the congestion and traffic found in places like Chicago.
Many newcomers also appreciate Wisconsin's strong sense of community and family-oriented lifestyle.
Helping New Investors Get Started
Tom Sattler:
You're passionate about educating first-time investors. Where does that come from?
Marcus Auerbach:
When I was getting started, experienced investors helped point me in the right direction. Sometimes all you need is someone willing to share what they've learned.
Now I enjoy helping others avoid common mistakes and understand what real estate investing really looks like.
One of the biggest misconceptions is that investing is fast or easy. Successful real estate investing takes patience, education, and a long-term mindset.
What Is House Hacking?
Tom Sattler:
Many people have heard the term "house hacking." What does it mean?
Marcus Auerbach:
House hacking simply means buying a property and renting out part of it.
Milwaukee is especially well-suited for this because of its large number of duplexes. Living in one unit while renting the other can significantly reduce monthly housing costs while providing valuable experience as a property owner.
It's an excellent way for first-time investors to learn about property management, maintenance, and tenant relationships before expanding into additional investments.
Before You Invest
Tom Sattler:
What's your advice for someone who wants to invest but isn't financially ready yet?
Marcus Auerbach:
Focus on your personal finances first.
Good budgeting habits, strong credit, and financial discipline provide the foundation for successful investing. Real estate won't solve financial problems—it will often magnify them.
Once your finances are in order, you'll be in a much stronger position to build wealth through real estate.
The Importance of Quality Housing
Marcus also discussed the responsibility that comes with owning rental property.
Well-maintained homes tend to attract responsible tenants, while neglected properties often create challenges for both owners and neighborhoods. Taking pride in maintaining investment properties benefits tenants, neighbors, and the community as a whole.
Milwaukee's Housing Market Today
Tom Sattler:
What are you seeing in today's housing market?
Marcus Auerbach:
Demand remains strong despite economic uncertainty.
Even with conversations around inflation, tariffs, and changing interest rates, buyers continue to actively make offers throughout the Milwaukee area.
The biggest challenge continues to be inventory.
Milwaukee has experienced years of underbuilding, creating a long-term housing shortage. That limited supply continues to support home values and keeps the local market competitive for both buyers and renters.
Learning from Other Investors
Marcus encourages anyone interested in real estate investing to connect with experienced investors, attend local association meetings, and continue learning through books and educational resources.
He recommends beginning with:
- Investing in Real Estate by Brandon Turner
- Rich Dad Poor Dad by Robert Kiyosaki
He also volunteers with the Rental Property Association of Wisconsin, where aspiring investors can network with experienced professionals and continue building their knowledge.
Is Your Home an Investment?
One interesting discussion centered around whether a personal residence should be viewed as an investment.
Marcus explained that while a home can certainly help build long-term wealth through appreciation and equity, it also serves a different purpose than an investment property.
His advice is to purchase a home that fits your family's lifestyle while treating investment real estate as a separate long-term financial strategy.
Final Takeaway
Throughout the conversation, one theme remained consistent: successful real estate investing starts with education.
Whether you're purchasing your first home, considering a duplex, or building an investment portfolio, understanding the market, thinking long term, and surrounding yourself with knowledgeable professionals can help you make confident decisions for the future.