Tips for Investors
1. DIVERSIFY. I recommend investing in property that can work as both a rental or a flip, in case one doesn't work out. I'm not sure about you, but spending large amounts of money terrifies me... still. Also, I FIERCELY believe in always having a back up plan and never putting all your eggs in one basket! This is the key to survive and thrive long term at anything you do!
2. RESEARCH. In real estate investing, you must research the market (financial and real estate), the renovation budget, and your crew of contractors.
3. KEEP YOUR DAY JOB. Start your real estate investing business as a side hustle while keeping a steady income, saving up, and working on good credit.
4. START SMALL. Don't make your first rental or flip and $500K investment. It's better to learn from mistakes on low risk properties vs. high risk ones, and you will make mistakes early on. I'm still making them. Remember, baby steps... unless you're rich already.
5. TEAMWORK. It makes the dream work. Your crew can make or break a flip deal so spend time on choosing the right group of contractors. Finding a good crew is kindof like finding those pink fluffy unicorns dancing on rainbows. They do exist though. I've seen them.
Also, connect with others in your field. This could be real estate agents, flippers, landlords, etc. Find people that know more than you do! Help each other out, whether its sharing experiences, advice, or deals, but choose these connections carefully. No matter how many flips or rentals a person has purchased, you don't need to connect with disrespectful or untrustworthy colleagues to be successful. In fact, it will only hold you back.
6. MAKE BIG GOALS. It doesn’t happen overnight, but stick with a timeline and plan to achieve your real estate goals. Review your goals, update them often, and track your success.
7. MARKET YOURSELF. Invest in social media training. Mail letters. Blog regularly. Learn how to best reach your target market. Marketing/advertising will be the key to finding the best deals.
8. INVEST EARLY. The earlier the better! There's this thing called compound interest, and it meant that saving a little early is like saving a lot later (read more about that here). Real estate investing should be treated as part of your retirement plan (hopefully, an early retirement plan). With that in mind, put as much money as you can in your investments (401k/IRA/real estate) as soon as you can. That means NOW.
9. BE HONEST! Your integrity is the thing that will keep people coming back to work with you time and time again. As an investor, your reputation will precede you wherever you go. This means that you need to continually act with the highest level of integrity. Also, it saves time! ;)