Eight Methods for Getting Started in Real Estate Investing
Advantages and drawbacks just the basics for getting started in real estate investing. This is simply not a how to article but a piece of writing that gives you some good info about things to do to get going. Everything in this article is tools that can be applied to helping anyone start real estate investing. I am going to provide you with my eight secrets to getting started. Nothing is right or wrong but reflects the point of view of the author. Laws and legal practices consist of state to state, and laws can transform over time. The author won't vouch for the legality of his opinions, nor is there any intent to provide legal advice. The author strongly encourages your reader to consult with professionals plus an attorney prior to entering in any real estate transaction or contract. The writer is not a writer but he or she is a real estate investor. There will be grammar mistakes and errors, so you shouldn't be too critical in the grammar but focus your efforts on what is being said. With that in mind prepare yourself to think just a little differently and expand the mind. Let's get started on an amazing adventure.
The Eight Tips are as follows
2. Goal setting tips
3. Learning What direction to go
4. Attending a Real Estate Investing Seminar
5. The Billings Montana Market
6. Locating a Mentor
7. Your Real estate property Team
8. Simply do IT
Prior to getting in to the bolts and nails of real estate investing in I want to speak to you about desire. If you are intending to be successful at anything in everyday life including real estate investing you need the desire to do it. Desire is described as longing or craving, in terms of something that brings satisfaction or enjoyment. Desire stresses great and bad feeling and often implies strong intention or aim. In actual estate investing with no a desire to learn and grow as a human being and really get satisfaction out of it, then real estate investing will be hard to do. When I get out there and look at a property it brings us a lot of enjoyment. Every aspect brings me joy from actually talking to home owners, figuring out how I can make a deal work, to buying the house and to obtaining a good homeowner or tenant for that house. Real estate investing will not be for everyone but real estate can offer anyone the financial freedom we all crave for. If you don't have the desire for property investing that is ok, it may still help you to live your dreams and help you to get that you want to go in the future.
Why is real estate investing a wonderful avenue for anyone to live out all of their dreams? I want to ask you a few questions. Have you got enough money to do anything you want? Do you have whatever you want? No debt? A nice house? Great Marriage? The liberty to do anything it doesn't matter how much it costs as well as the time it takes? In case you have all of these things then you are one of the few people in America would you. Most people may be working fifty hours per week and making sufficient to pay their bills. In our day and age most people are living pay check to pay check never really knowing when they will make enough to spend the bills that just keep piling up. If you cannot keep up with your regular debts how are you going to insurance policy for retirement or send your kids to college or have time for it to enjoy life. The answer to most of these questions is becoming financially free. Now you won't be easy everyone should get off the couch and from their comfort zone. Real estate is proven to be one of the fastest ways to get your out of the rat race of the nine to five and commence living the life you ought to live. Everyone wants something else entirely out of their life. Some dream of traveling the world, spending more time with family, volunteering, golfing, laying over a beach, giving to the community, or something that will make them happy. There are thousands of things that make people happy.
So that it is in real estate requires a person who has a strong want to change their lives for that better and think big. Anyone can become a great property investor. It is going to take a lot of work and could be a struggle at times but in the end it will be the most wonderful feeling ever. The folks that make it in real estate investing have the ability to a few things in common. First they run their property investing business like any other business on the market. Second they just go network with anyone and everyone. Some people might be just like me and have a hard time conversing with other people. If you are that is certainly ok, anyone can learn how to become a people person, it merely requires hard daily work. You have to push yourself past your safe place. The third thing is you cannot be afraid to fail. All of us have failed at something however the most successful people out their study from their failures. The final thing is that you have to put a good team together. I'll go into putting a team together in a later chapter. The very idea of putting a team together is so that when you don't know something have team members that know what to do and can help you with questions. The can also make sure that you are not working yourself to death. You do not want is the person doing my way through your business. Doing things are a receipt for failure. You must put together good people who you can trust and depend upon. The fifth thing is that you simply need a mentor. Sixth and final will be the desire to do it. No-one can become successful at something whenever they don't want to do it and don't get satisfaction out of what they are doing.
2. Setting Goals
Having goals is one of the most important aspects of achieving what you look for in life. You don't want to have your goals up in your head you want to write them down and past that which you have wrote on your wall somewhere or in the lavatory mirror. You want to review your goals daily and focus them out loud to yourself. In this way you remind yourself everyday that are used for building your business.
How in the event you start to write down you goals? To begin with you should think big, through big I mean HUGE. In case your goals are too small you'll easily achieve them and still have nothing else to look forward too. You should begin off by thinking about the question if I had the money and time in the globe what would I do, what would I buy, how would I spend my own time, and how would I spend my energy. Are you currently starting to write these down? You should be. Think about what you need, spending time with family, traveling the planet, the best cars, a castle, buying a small country, running for president, obtaining the biggest real estate investing business in your area or in the country. Whatever your dreams and just what you want out of your life, write it down. Some of my goals are getting to be free, traveling the world, having a Ferrari, having 10 vacation homes all over the world. Right now I am just trying to get you out of your comfort zone of thinking and allow imagination run.
There are several ways to set goals. I've learned a lot of ways you can set you goals and there is no right or wrong way. The top ways that I have found to set your goals is to break them up into two categories. First your short term goals. This should be goals coming from a month out to around a year. The second is your long term goals these goals are you currently think big goals and just what you see for your future.
For year one I like to first make a list of the I want to achieve this year and I will give you an example of how to do that. For year one you want to be very specific is actually a program want to list what you want your income to be at the conclusion of the year, next what quantity of money in the bank you want (this can be money in your checking account, not assets). Then you want to list the amount you are going to give. Giving is a very important, this can be giving to charity, giving of gifts to friends, giving to your school or what you can dream of. As long as what you give brings joy to other people who need it more than you. Next list what improper habits you have that you want to eliminate. Weather is be giving up smoking, spending too much on junk, drinking an excessive amount of, working too much, not spending plenty of time with family, excessive TV, not exercising and many more. We all have bad habits that must be changed in order for use to grow as human beings. Under all these bad habits list out some steps you could take in order to quit them. Should you bad habit will be lazy and not exercising enough what else could you do to change that. It's now possible get a gym membership or perhaps a home work out program. Dedicate yourself you following through having a plan to work out 3-5 days a week. For you to change these bad habits you have to be totally committed and follow through with a detailed plan you add for yourself. After you have your plans in position you should start listing a number of things you want to achieve or do over the following year. This can be start a successful business, hang out with family, travel to 2-5 places and the like. Now under these you should also write an in depth plan on what you need and just what you need to do in order to achieve these goals. Finally you ought to take all of this information you've got a write on page on what you see your life being in the next year. Doing this is a superb exercise to really see what you need out of life.
Goals Year One
This is exactly what I am going To Do This Year
Behaviors that will be changes:
Over Sleeping 1. Go to bed at 11 p.m. 2. Work with a timer and set it for 8 hours 3. Set the timer on the other side of the room
Buying issues that you don't need: 1. Going out shopping less 2. If you possess the urge to buy something think to yourself is thing item likely to help me to achieve my goals to become financially free? 3. Tell friends what you are doing, so they can help to keep you.
What I want to Achieve:
Begin a successful Real Estate Investing Business: (you need to write a detailed step by step plan of everything you need to have your goal)
Travel: Where must i want to visit? 1. Gators football game (things i need to do it, money, etc)
And last your individual page about what you need to achieve using words like I am going to and only positive words.
For too long term goals you don't have to be as specific right now, but you should list them and under them list a number of steps or smaller goals that must be achieved before you are able to achieve them. With the long term goals always think big. Yet another good exercise for long term goals is always to make a collage people goals. Put pictures of the house you want about it, places you want to travel, a picture of your family, a number of what income you would like in or anything you can think of.
Knowledge builds confidence and destroys fear. If you're starting any kind of business you need to learn the ins and outs of that business. The simplest way I have found to learn about real estate investing is to read all about it. But once you know it you have to apply your learning. Learning and reading is only one step to take. There are many books on the market about real estate and everyone has something can learn from. You don't just want to read property investing books though. You also want to fill yourself with motivational and leadership books. Every successful person that I know if a reader and so they all spend around 30 minutes a day reading something which will teach them about improving their business or helping themselves to turn into a better person. The best books that I would recommend reading are the following.
1. Rich Dad Poor Dad by Robert Kiyosaki (see this first and also ready everything in the rick dad poor dad series, great books to start with and will expand you mind)
2. Be a Real Estate Millionaire by Dean Graziosi
3. Flip the right path to financial freedom by Preston Ely (it is really an E-Book)
4. Four hour week by Timothy Ferriss
5. The Attractor Factor
6. Short Sale Pre-foreclosure Investing by Dwan Bent-twyford and Sharon Sestrepo
7. Secrets of success, by Napoleon Hill
8. Think and Grow Rich by Napoleon Hill
9. How to win friends and influence people
10. Any Book by John C. Maxwell (he has tons of amazing leadership books)
11. Cleaning soap making Real Estate Day Trading by Larry Goins
12. The E Myth by Michael Gerber
13. The best way to be a quick turn real estate property millionaire by Ron Legrand
14. The effectiveness of Full Engagement
15. The It Factor
16. Anything by Anthony Robins
You will find loads more you can read however, these will give you a great start. You should also read books on negotiating, sales, motivation, and biographies on American business owners.
I hope this list will give you the knowledge it has given me. If you locate and apply your learning from these books there is absolutely no reason that you should not become successful.
4. Attend a Real Estate Investing Seminar
Attending a genuine Estate Investing Seminar is usually the best places to learn about real estate investment from some adequately known experts. There are numerous seminars going on from coast to coast every weekend. If you reside in a big city it will be very easy to find one. If you live in a town like Billings Montana you might have to travel a little ways to find one. Now a lot of the best meeting cost money to attend them. Some cover anything from five hundred dollars for three days and several can be up to $20,000. There are a few that I would recommend. Than Merrill is a great speaker to go hear. We have learned a ton from him. You will discover his company online by Google searching him. Also rich dad poor dad has seminars everywhere. I attended one of their seminars in Billings Montana for less than $500 dollars and learned a ton from it. There is also Preston Ely, Larry Goins, and countless speakers out there. If you find a great book that you enjoyed, then just simple search for that person online and find out if they are speaking somewhere or give you a seminar close to you.
Another excuse I recommend going to a seminar is because they get you pumped up and motivated. I have not yet found other things that just gets you feeling like you can do anything. When you invest in back from one of these seminars you should have tons of energy and knowledge. Every time I get back from one all I wish to do is going out and perform deal or ten.
These seminars will even provide you with several the opportunity to purchase amazing property investing tools, software or learning material at a fraction of the cost. Keep in mind that when I tell you every one of the low priced seminars sell you something. But many of times what they are selling is some really good stuff.
Another excuse to attend a seminar is always to network with other investors and produce relationships with them. You can meet other investors who you can partner with with a deal, sell an arrangement too, people who offers you deals and so on. You should have hundreds of business cards comprised and try to give them all the way. You never know how much one business card you hand out will make you.
5. Learn About the housing market in your area
Most real estate investors start their career off my investing around their homes. This is why I do my real estate in Billings Montana. You are able to venture out when you have more experience. The reason behind this is because we feel confident with the areas and know the areas better. It is usually easier to get local real estate property information that we need. Purchasing your local market is also cheaper to begin on, there is less travel costs, you can see what you are buying and it may give you a feeling a comfort.
First you have to decide which part of town is the best destination to invest in. This can be based on what kind of real estate investing you decide to pursue. I have not gone over the sorts of real estate investing but some include rehabbing (improving and selling), wholesaling (finding deals and selling these phones other investors), buying to book, and there are a few others. These are the real estate strategies that we use for the most part. When examining the market you need to see where other investors are buying their houses. Most of the best deals will be found in low to middle class neighbors hoods. By low I don't mean drug infested war zones, i mean , blue collar safe neighbor hoods which may have somewhat older houses and houses which are not on the higher end price side. You can now find deals in the higher priced neighbor hoods but most will be in the low to middle income neighborhoods. When looking where others are buying ask local realtors, other investors or appraisers.
When they talk with investors question them several questions including what neighborhoods they like, what type of houses they buy (3 bed 2 bath), as well as what they do (rehab, rent, wholesale). You ought not look at other investors as competition but try to work with them.
There are various types of markets like appreciating markets, flat markets, and deprecating markets. Appreciating investing arenas are markets that there is no enough houses or even a very high demand for houses that causes the price of houses to increase. The reason there is a sought after for housing could be because of job growth, an extremely appealing area, or several reason. Flat financial markets are markets that have no or little or no growth. This means that there isnrrrt a lot of demand; buy adequate to fill every ones needs. Depreciating markets are where there is a lot more houses than website visitors to fill those house. This leads to house prices to start out going down. This can be because of a large employer leaving the location, a natural disaster or simply over building. It has an old saying buy inside a bust and sell within a boom. In depreciating markets you can pick up several deals, when it's in appreciating the house cost is going to be much higher and harder to get great deals. The deal it is out there you just have to know finding them.
Learning your market is another key to success. Real estate Brokers and experts locally can be the best resource for you. Learn to utilize them to find out what kind of market you have. If you are in Billings Montana we're in a pretty stable market. Billings Montana hasn't seen the good and the bad that other markets have seen. I will have to say that we have been noticing a little bit of a downward trend but not much. Once the first time buyer credit is over with organic beef see a little more decline. Every market can differ by neighborhood, so make sure you know you market well. I have come across the same houses just one single mile apart selling for completely different prices.
6. Locate a Mentor
Having a mentor that may help you can be your biggest learning experience. Mentors can help you with any queries you may have, walk you step-by-step through the investing process, offer you moral support, you learn from their proven system, and also network you web-sites in the business. Every successful real estate property investor that I know says they owe plenty of their success towards the mentors they have together in their lives. I've had one of the best mentors around, my pops. He is teaching me a new challenge every day and pushing me to become successful.
7. Your Property Team
Building a powerful team can make your lifetime as a real estate investor easier. You are only one person and should not do everything or be a specialist in every aspect of real estate investment. Going at a project alone can be one of the most frustrating experiences you will ever encounter. Many individuals have become frustrated and quite real estate investment because they try and juggle too many things. Make sure that when placing team together you provide everyone with win-win opportunities. If someone else knows that working with you is going to make them money they'll put you as a higher priority on the list. But you need to prove it to them that you are the real deal.
Individuals to have on your real estate investment team include
o Real Estate Agents ( find the top agent for volume of sales in your area as well as other agents who use real estate investors)
o Real-estate appraisers (find an appraiser which includes done a few hundred jobs or more and make sure they carry errors and omissions insurance)
o Real-estate contractors (good rehab crews that may get the job done in a timely manner, have 3-5 crews and also on every deal get 3 estimates done. Request referrals from them and make sure they are licensed)
o Real estate attorneys (every investor needs legal counsel, they can help to protect your assets, ensure you find one that works with investors)
o A house management company (can manage your properties and may give you leads on property these are managing that might appear for sale)
o Title companies (keep up with the legal process and be sure there are no liens against the property you are buying, choose one that does hundreds of closings a year)
o Home inspectors(charge about $400 and often will give you a great inspection and can save you thousands in the long run)
o And your Mentor
All of these people can help you in various aspects of real estate investing. You might find that there are a couple others that are keys to your business but this is just a list of several.
8. Just Do it
There isn't any better phrase around then JUST DO IT! Once you have learned all you can networked with investors in Billings and learned property investing strategies there is nothing left to perform but get your feet wet. There is no better learning tool out there then doing a deal. Once you've completed that first deal you will be aware what to expect and find out that it is not as hard because you thought it would be. You will possess learned what you did right as well as what was frustrating. Take that experience and ask yourself an amount have made it run smoother. Apply that on your next deal. Then a next deal will likely be easier and it just get easier as you go. I'll say that every deal differs from the last but that the thing that makes this business fun. You should be creative and always go on learning and growing with your business.
The average person never uses what you learn. Don't be average apply your understanding. When going out and doing all of your first deal work like you have done 1000's of deals. The best way to change a practice is to act like it is a fact.
Five keys for achievement
1. Specialized Knowledge
2. Tools of an professional
3. Hold the mindset of a winner
5. Money and also the knowledge of leveraging it (you won't need to have millions to invest in real estate, there are many strategies on the market to use other people's money, or no cash at all)
This is gonna conclude this article about cleaning soap making real estate investing. I hope this gave you ideas about how you can get started. I didnrrrt give you any strategies at this time but look for some in upcoming articles. These are simple steps you can use to get going. If you read this article we appreciate you listening.