Personal Development

What Our Nation’s Founders Can Teach Us About Real Estate Investing

Expertise: Personal Development, Real Estate Investing Basics, Business Management, Mobile Homes, Real Estate News & Commentary, Landlording & Rental Properties, Mortgages & Creative Financing, Real Estate Marketing
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Everyone is entitled to their own feelings and unique opinions about what direction the United States may be going and where it should be headed. However, before the United States was ever conceived, it was only an idea based on certain principles and ideals. These principles certainly must have been important to these men at the time.

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Below we look at just a few of the principles the founding fathers believed in and how these principles relate to us as real estate investors.

Written Documents Are Essential

There is a reason the Constitution and Bill of Rights are written and recorded for all to see. These papers and signatures show proof of a “meeting of the minds” between all parties involved. Verbal agreements are flimsy and can be easily misinterpreted. As an active real estate investor, you want to make sure all your agreements, addendums, changes in these agreements, etc. are written down, signed, dated, and possibly notarized. As a general business rule, always aim to make sure your agreements are in writing and in easy-to-understand language.


Private Property Rights Are a Basis of Our Country

The Founders were influenced by Adam Smith and were firm believers in private property rights. As active real estate investors, you are engaging in a tradition that is hundreds of years old. Owning land is good.

The Most Valuable Real Estate is Between Your Ears

James Madison said, “As a man is said to have a right to his property, he may be equally said to have a property in his rights.” Researchers believe James Madison was referring to when, even if a person owned nothing, he still owned his rights, which is the most valuable property of all.

Related: 4 Influential Business Books Every Entrepreneur Should Be Reading

Question: If you lost all your real estate holdings as a real estate investor, where would you be? Answer: You would be back where you first began your real estate investing career. However, the invaluable firsthand experience building your business cannot be taken away from you.

We’re All Created Equal

This is one of the first principles mentioned by our nation’s founders — the right that people are equal. While we are all born with unique attributes, skills, and privileges (or lack thereof) in life, we all have the same number of minutes in every day. What you choose to do with this time may determine your future happiness and financial stability.

Pro Tip: Outsource what is possible after you have first learned the needed skills involved with investing. On average, you will find brainstorming new ideas, overseeing weekly operations, and making offers to sellers/buyers may be the best use of your time.


Related: 5 Simple Keys to Success I’ve Learned from 10,000 Hours of Investing

The Future Is Coming Whether You Prepare For It Or Not

The founding fathers were men fighting for a cause. Since then, hundreds of thousands of Americans have given their lives to preserve the freedom and beliefs of the American people and way of life. These heroes understood the outcome of tomorrow is a direct result of the actions taken today. As an active real estate investor, you are choosing to commit to the frustrations, anxiety, and successes caused by this business on a daily basis. You are doing this today in preparation for a better tomorrow for yourself and your family. Everyday take action towards your goals.

In conclusion, smile and remember you live in a country where investing in real estate for passive income is possible. Little is holding you back except yourself. Throughout history, the decisions and actions made — and not made — have led to you reading this exact article here today. Go out and create your own history with the same passion and drive our nation’s visionaries wielded.

Did we miss any ideas from our founding fathers that can be related to real estate investing?

Please comment below!

Investing since 2002, John started in real estate accidentally with a four-bedroom mobile home inside of a pre-existing mobile home park. Over the next 11 months, John added 10 more mobile homes to...
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    Jeffrey Allen Real Estate Investor from Southern, Indiana
    Replied about 4 years ago
    Good Article. My thought – emphasize the importance of good alliances. The Second Continental Congress knew they needed the help of France and/or Spain to be able to defeat the British military. If you’re going to tackle the Goliath that is the real estate market, find good accountants, lawyers, mentors, agents, whoever you need to win the battle. We don’t diminish Independence Day because the Colonial leaders had foreign help; get the job done right instead of trying to do everything yourself.
    Ashley E. Investor from Henderson, Colorado
    Replied about 4 years ago
    I love this advice. I got burned on a deal for a rental property by someone who promised a price drop but decided that ‘oops, since we didn’t put it in writing, I changed my mind.’ The deal ended up not working out because after that I did not trust him with anything else, but had I continued with the sale it was not terms that were verbally agreed to. I get everything in writing now. I would love to be able to trust in words alone but in this business, you want to make stone solid sure that everyone is on the same page, with the same expectations. Leave as little room for misinterpretation or confusion as possible great post!