What You Need to Get Into Real Estate
You Don't Need Everything, Just Something.
Some things take time, some things take money, some things take skill and some things take persistence. In order to take on real estate and begin to build an empire, you don't need all 4 of these things but you need a combination of at least two of them. As you get into the world of real estate, talk to people in the business and hear their stories, you will notice a few things they have in common - their drive and commitment, maybe some have the money, maybe some have the skills or time but chances are they don't have everything. In order to start you only need to possess two of these things, then you need partners to fill in the gaps.
Time [ tahym ]
- the indefinite continued progress of existence and events in the past, present, and future regarded as a whole.
We all know that everyone has the same 24 hours in a day and 7 days in a week to make everything happen. What you do with that time is up to you, if you happen to have free time or time that you can devote to real estate, that is an asset. Use this time to call brokers, analyze potential deals and network with like minded people to find someone that can fit into your business. Use this time wisely and you could push yourself in the right direction. Remember that not everyone can fit these things into their day so if you can you automatically have a one up on many.
Money [ muhn-ee ]
- a current medium of exchange in the form of coins and banknotes; coins and banknotes collectively.
If you have it then its not a concern to you but if you don't then there is a good chance that your mind wrestles with thoughts regarding how to get it and how to save it all too often. There are many ways to get into real estate without any money of course, including no money down techniques and the like. But if you do have it then you can leverage this and partner with others that do not. If your able to put the funds in a deal for the down payment, closing costs, capital expenses or any other expenses that are associated with the purchase, then you can team up with others to do the rest of the work for you. A bonus is that you can typically negotiate a larger percentage of the real estate deal because it would not be happening without the money.
Skill [ skil ]
- the ability to do something well; expertise.
You're not born with the knowledge and skills to buy real estate but you can learn them by taking classes, having mentors, reading books, listening to Podcasts or just by doing. There is a lot to this business and you will never know it all but once you know enough you can get into the game. You need to know about management, construction, local laws, local economy, financing techniques and more, luckily you can hire people or partner with people to help you out with all of those things but the more you know the better. Use these skills to find and get into a great deal or better yet multiple great deals. Then continue to use your skill during the entire length of ownership, increase the properties value and prove that you have what it takes.
Persistence [ per-sis-tuh ns, -zis- ]
- firm or obstinate continuance in a course of action in spite of difficulty or opposition.
This is an important one in my mind. It isn't always a quick process to get into this business, there are fairly large barriers to entry and hurdles to jump, so you need to have the right mind set and be in it for the long haul. It is true that some can attain massive portfolios in short periods of time but for the majority it will probably take years. Be ready to work consistently for as long as it takes. Have goals, make lists, find others that have succeeded or are on their way so that you continue on the right path. It might not be easy but constant persistence will eventually get you to where you hope to be.
I said above that in my mind you need at least two of these qualities to be successful and that is because you can work with others that have what you do not. Don't have two of these qualities yet? Make it a priority to add one or more to your repertoire to get you that much closer.
If you have the time and the skill to make a deal happen but do not have the money find someone that does and become a team. Have the persistence and money but not the skills and not a ton of time, then find someone that knows what they are doing to put you money with. Once you are teamed up with someone you are bound to learn from them and grow in this field. As an added benefit partnering with others that have complementing attributes will propel you forward even faster!
Let me know how you were able to get started with just some of these things in the comments below!