As a real estate investor you want to be successful; you want to make more money by buying and selling homes. Whether you’ve done it before or you’re just starting out, here are 5 tips that you must put into practice if you want to be successful.
Tip #1 – Automate: Many new real estate investors are juggling a “real” job and their new real estate investing careers. It’s difficult to do both. The secret to success is to automate as much as possible. Create systems that can run on their own so that you’re not burning the candle at both ends. This might include using a virtual assistant, getting a voice mail system that allows potential sellers to get more information, investing in a website, and more. The more you automate, the less you have to do yourself.
Tip #2 – Other people’s money: Investing with your own money is often the first choice for the very first home for brand new investors. But it’s a habit you need to break yourself of quickly. Investing your own money puts too much of your own risk on the line and you’ll quickly reach your credit limit. Instead, gather a group of investors who trust you and invest their money. Start small with each one and win their trust over time and you’ll soon have a list of investors who will throw thousands of dollars at you.
Tip #3 – Pick a market and focus: Don’t spread yourself too thin. Find a few things you’re good at and do them well. Don’t try to dominate 10 different zip codes. Pick 2 or 3 that you’re familiar with. Don’t try to do 10 different investing styles or systems. Pick 1 or 2 that you can do well. I might seem like you’re limiting your options but when you become an expert, you’ll make more money.
Tip #4 – Manage risk: You can work diligently toward a financial reward and that is good. But if you don’t watch your risk you can lose it all. Each type of real estate investing has its own risks and you should learn from the masters and do what you can to avoid them as much as possible.
Tip #5 – Enjoy it or get out: You might get into real estate investing because it is an extremely lucrative opportunity. That’s great. But if you don’t enjoy it, get out. You should only enjoy what you do and there are plenty of other business opportunities out there for those who don’t like doing real estate investing.