There is nothing like being in control of your income.
The ability to directly dictate your finances is one of the main reasons people get involved in real estate. As great as creating your own schedule, working from home and not having anyone constantly look over your shoulder can be, it is not without some downside. It can be a stressful experience being solely responsible for your income. You can work 50 hours a week, but unless you are producing income, it doesn’t make a difference. The highs of entrepreneurship are amazing, but there are also lulls of action and periods of doubt. Instead of stressing about every decision you make and relationship you form, you are better off enjoying the ride. Here are five tips to help you enjoy the journey of being a self-employed real estate investor.
- Go With What Works: Right now, there is a prospective investor out there deciding how they want to tackle the business. They have spent days, even weeks, researching various niches trying to figure out the best one for them. The bottom line is that while you are trying to find your way you should simply go with what works. Find the path of least resistance and make that your niche. As your business develops and you start producing revenue you can expand your focus and try other things. In the early stages of your business you need to bring money in asap. Don’t try to reinvent the wheel or make things more complicated then they have to be. It is ok to wholesale a deal you can’t do and earn a small fee. It is ok to partner up with someone, even if it means making much less than you anticipated. Go with what works, until you have enough capital to try new things.
- Stop Planning And Act: There is a fine line between having a plan and being paralyzed to act. Of course, you should have some idea of where you want your business to go or what you will do with a property. However, you don’t need to map out every single action from start to finish. By doing this you will always find some flaw or risk along the way. You are better off to stop planning and start acting. Nothing you will do in your business takes the place of action. You will learn more from a small mistake than anything you will read or anything someone will tell you. This doesn’t mean you should blindly pursue every property or opportunity that comes your way, but you shouldn’t overthink things either. There is always risk, on every deal, regardless of your diligence. At some point you need to take a leap of faith and trust your education and act. You won’t always be right, but once you are involved in the business you will greatly accelerate your learning curve and start to figure out how things work.
- Enjoy Success: Running a business isn’t easy. Real estate is one of those businesses that anyone can do, but not everyone can do well. There will always be ups and downs and struggles along the way. When you do close a deal or cement a new relationship you should take time to enjoy it. This doesn’t mean you have to have an expensive dinner or a long vacation, but you should treat yourself to something special. Even if it means simply not working for the day or even playing a round of golf you should remember why you work so hard in the first place. As long as you know when it is time to refocus short rewards can help enhance your actions and prompt you to work harder. You can’t put the pedal to the mettle all the time. You need to come up for air every now and then and take time to smell the roses.
- 3-Month Blocks: There are plenty of stories stressing the importance of mapping out your long-term business vision. Sure, long term plans are necessary, but business often works in 3-month cycles. Plenty of things change in a 90-day period. Something you were steadfast on just a few months ago can be totally different today. It is important to break your business up in 90-day blocks. Think about how you can be successful and where you want to be at the end of 90 days. Anything farther than that may not be realistic and cause you to miss the mark.
- Remember The Big Picture: Every day there is a new real estate investor that comes from the corporate world or an industry completely unrelated to real estate. The enter the business full of excitement and ready to change their futures. When things don’t go your way, you have to remember the big picture. Go back to the reason you make the change in the first place. Whether it was scheduling flexibility, income potential or a new career you must use this to drive you. If real estate investing was easy everyone would do it. The reality is that there are times when every investor struggles. The best ones know how to fight through it and ultimately make it out stronger for it.
The journey of a real estate investor is full of ups and downs but can be a joyful ride. Use these five tips to help you get the most out of real estate entrepreneurship.