5 Simple, Common, & Preventable Mistakes Made by New Investors
Why are some investors successful and other investors not? Why are some investor's first deals their last? Are some people just lucky or destined for greatness while others are not? As Peter Drucker stated about being a successful entrepreneur, "It's not magic, it's not mysterious, and it has nothing to do with the genes.
It's a discipline.
And, like any discipline, it can be learned.
" The good news is that everyone has an opportunity to be successful in this business.
The purpose of this article is to assist you with your success by pointing out some of the following common mistakes: * Not investing in yourself - Investing in real estate requires involvement in tens of hundreds of thousands of dollars.
With so much money involved, shouldn't you know and understand as many options as possible when it comes to purchasing or selling properties? How about learning how to acquire properties without using any of your own money or credit! As the above quote states,...
'it's a discipline that can be learned'.
So get educated! Many 'former' investors are such because they fell in love with one or two strategies only, and when the market changed, they were unable to adapt due to their lack of knowledge.
There are more than 2 dozen ways to acquire properties and many do not involve using your own money or credit.
Understanding these different types of strategies allow investors to adapt to the market as well as find potential deals about which they otherwise would not have known.
* Not treating real estate investing as a business - If you are looking for a hobby, find something safe like backpacking, bike riding, or needlepoint! Dealing with the dollar amounts successful investors do demands a high degree of education, planning, and systemized processes.
If you are seeking to create wealth through real estate investing, then spend more time and effort taking this opportunity seriously.
This means developing a business and marketing plan, creating an entity, building a team of professionals, establishing business credit, attending educational events, and dedicating non-negotiable time on a daily or weekly basis in which you will construct this business.
Finally, people can do hobbies by themselves.
Successful investors surround themselves with others who share the same passion, and find a mentor who is willing to share their experiences.
* Hiding your new venture - Be your own Billboard! Let everyone know that you're a real estate investor.
Everyone knows someone who is behind on payments, motivated to sell, or looking to purchase but cannot obtain conventional financing.
Successful investors understand the importance of leveraging other peoples' resources and relationships.
These relationships will build your business tenfold! So don't be shy about becoming an investor...
GET THE WORD OUT! * Thinking online marketing is not needed - More people are using the internet than any time before.
They use the internet to not only look for options on buying or selling a property, but they use it to also research the investor to see who you are or what experience you have.
One of the best ways to build credibility or legitimacy in you as an investor is to have a professional looking website.
Getting involved with press releases or article marketing will assist you with creating an 'expertise' level of knowledge on the subject.
People will 'Google' your name.
Have websites, articles, and press releases written so you can control the information people find out about you! * Not utilizing the services of real estate agents- A good real estate agent can be one of your greatest allies.
But not all agents have the same knowledge, skill set, or experience.
The key is finding an agent who understands your investing strategy and your end goals.
Agents have better than average knowledge about developments, trends, and can also let you know about great potential opportunities before they are listed! Plus, they are able to provide great assistance with running comparables.
Therefore, there are some tremendous advantages to having a Realtor on your team.
In conclusion, no one is perfect.
Every investor has made mistakes, and you will too.
It is much more fun to make smaller mistakes rather than huge, expensive ones.
So talk to others and find out not only what they did correctly, but also discover what mistakes they made! By taking this opportunity seriously, planning well, and leveraging the resources, skills, and relationships of others, you will put yourself in a better and quicker position for success.
It's a discipline.
And, like any discipline, it can be learned.
" The good news is that everyone has an opportunity to be successful in this business.
The purpose of this article is to assist you with your success by pointing out some of the following common mistakes: * Not investing in yourself - Investing in real estate requires involvement in tens of hundreds of thousands of dollars.
With so much money involved, shouldn't you know and understand as many options as possible when it comes to purchasing or selling properties? How about learning how to acquire properties without using any of your own money or credit! As the above quote states,...
'it's a discipline that can be learned'.
So get educated! Many 'former' investors are such because they fell in love with one or two strategies only, and when the market changed, they were unable to adapt due to their lack of knowledge.
There are more than 2 dozen ways to acquire properties and many do not involve using your own money or credit.
Understanding these different types of strategies allow investors to adapt to the market as well as find potential deals about which they otherwise would not have known.
* Not treating real estate investing as a business - If you are looking for a hobby, find something safe like backpacking, bike riding, or needlepoint! Dealing with the dollar amounts successful investors do demands a high degree of education, planning, and systemized processes.
If you are seeking to create wealth through real estate investing, then spend more time and effort taking this opportunity seriously.
This means developing a business and marketing plan, creating an entity, building a team of professionals, establishing business credit, attending educational events, and dedicating non-negotiable time on a daily or weekly basis in which you will construct this business.
Finally, people can do hobbies by themselves.
Successful investors surround themselves with others who share the same passion, and find a mentor who is willing to share their experiences.
* Hiding your new venture - Be your own Billboard! Let everyone know that you're a real estate investor.
Everyone knows someone who is behind on payments, motivated to sell, or looking to purchase but cannot obtain conventional financing.
Successful investors understand the importance of leveraging other peoples' resources and relationships.
These relationships will build your business tenfold! So don't be shy about becoming an investor...
GET THE WORD OUT! * Thinking online marketing is not needed - More people are using the internet than any time before.
They use the internet to not only look for options on buying or selling a property, but they use it to also research the investor to see who you are or what experience you have.
One of the best ways to build credibility or legitimacy in you as an investor is to have a professional looking website.
Getting involved with press releases or article marketing will assist you with creating an 'expertise' level of knowledge on the subject.
People will 'Google' your name.
Have websites, articles, and press releases written so you can control the information people find out about you! * Not utilizing the services of real estate agents- A good real estate agent can be one of your greatest allies.
But not all agents have the same knowledge, skill set, or experience.
The key is finding an agent who understands your investing strategy and your end goals.
Agents have better than average knowledge about developments, trends, and can also let you know about great potential opportunities before they are listed! Plus, they are able to provide great assistance with running comparables.
Therefore, there are some tremendous advantages to having a Realtor on your team.
In conclusion, no one is perfect.
Every investor has made mistakes, and you will too.
It is much more fun to make smaller mistakes rather than huge, expensive ones.
So talk to others and find out not only what they did correctly, but also discover what mistakes they made! By taking this opportunity seriously, planning well, and leveraging the resources, skills, and relationships of others, you will put yourself in a better and quicker position for success.
