It’s no secret that there’s plenty of money to be made in the real estate investing arena. There is, however, a rather large learning curve to get through before you start cashing those checks. Following are six tips to help your journey through the learning curve be a little less bumpy.
Find the Experts in Your Field and Copy What They are Doing
Whether you decide to pursue short sales, REO wholesaling, rehabs, or rentals, you should be taking advice from those who are successful at what you are trying to do. There’s no sense in reinventing the wheel- instead, figure out who the successful investors are in your market, and mimic what they are doing.
Get in the Habit of Making Offers
As my friend and mentor, Steve Cook says, “An offer a day keeps the bill collector away.” Bottom line- if you aren’t making offers, you aren’t doing deals. If you develop this habit early on, you will reap the benefits down the road.
Distance Yourself From the Naysayers
The last thing you need when you are just starting out is someone chirping negativity in your ear. Do yourself a favor and put as much distance as you can between yourself and those who try to discourage you. If the Negative Nancys happen to be close friends or family that you can’t easily distance yourself from, then make it a point to avoid the topic of your investing endeavors while they are around.
Pick a Farm Area and Become an Expert at it
Trying to learn the market values of every neighborhood in your city can be an extremely overwhelming and daunting task. Instead, pick a small farm area and become an expert at it. Once you have mastered one neighborhood, then move on to another.
Whether you are marketing for motivated sellers or making offers on REO properties, you need to remain consistent with your efforts. Keep in mind that you will most likely get many rejections before you get your first deal, so make a commitment to yourself to keep going until you get that “yes” that you are looking for.
Set Realistic Expectations
Although some of the real estate gurus out there would like you to think that you can become an overnight millionaire, the truth is, the road to real estate riches takes time. There is a learning curve involved that everyone has to work through, and it’s best if you realize this from the get-go. It’s great to have lofty goals, but you don’t want to set yourself up for disappointment by expecting too much too fast.
I hope these tips will be helpful for those of you who are just getting started on your real estate investing careers. Good luck, and happy investing!
Photo: JOE M500