This post is a warning for beginners to Real Estate Investment.
I’m sorry this is not meant to shock you or make you worry. I’m just hear to lay it out for you in black and white.
Maybe you attended or are thinking of attending a seminar with one of the real estate investment gurus who told you that real estate investing was all going to be easy and you will not have to invest much time and effort.
Real Estate Investment Warning:
This is complete nonsense.
You need to bear in mind that some of these “gurus” just want to sell you their latest real estate investment courses. So for sure they are going to tell you that you can become financially free through real estate investment without having to work hard.
Half an hour a day or a week, is all you need right?
I’m sorry but the reality is completely different.
OK if you are absolutely loaded and can afford to buy a new property every week then maybe you will not have to work very hard. But are you in that position?
I am guessing like most of us, you do not have untold wealth already. Call it a hunch but why would you be visiting this blog if you already had all the money and freedom that you want?
My Biggest Tip for Real Estate Investment Beginners
I am not going to pull any punches here. Real estate investment can be a real battle at times. It has taken me years of hard work and struggle to get where I am today.
I did not achieve financial freedom via investing in property overnight – and I’m sorry to say this but nor will you.
Look I promise you that you will always get honesty on this blog. If you want get rich quick with real estate investment fairy tales then I am sure that there are other websites that will provide this.
But I prefer living in the real world rather than some fantasy. I highly recommend that you do the same.
Is Real Estate Investing Easy? – ABSOLUTELY NOT!!!
It is really hard to get the right results with real estate investment. I am not saying that it is not possible because it is – I am living proof of that. But to suggest that it will be easy and you will not have to work hard is ridiculous.
You need to prepare yourself for battle. There are going to be many others competing with you to purchase a property, especially if there is alot of upside potential.
Finding the right opportunities for your next real estate investment project will not be easy. You will have to work hard and work smart to uncover great deals.
When you finally find a property that is right for your project then you will have to battle with the owner who will probably want far too much money for it.
Then there is the problem of uneducated real estate investment “newbies” that will pay over the odds because they don’t know what they are doing.
You will probably have to identify several properties and go through the offer process each time before you eventually land the right deal.
It can be pretty demoralising to have to put in the effort time and time again only to see deals fall through because you couldn’t purchase the property at the price that was right for you, to make the numbers work.
But that is the battle that you are up against. It requires hard work and dedication to find the right real estate investment deals. You need to keep working through until you find that sweet deal.
Some newcomers will fold at an early stage and end up paying way too much for a property because they are frustrated with how many deals have passed them by.
Please don’t do this – stay patient and always believe that the right deal will come your way, you just need to work harder to find it.
High Performance Habits For Newcomers to Real Estate Investing
In his excellent book “High Performance Habits”, author Brendon Burchard talks about high performers having the right habits that drive them on to success every day. This is where you need to be.
He also explains that achieving success is not about being a particular type of individual but having these high performance habits to drive them forward all of the time.
Bruchard has identified 6 habits and 3 practices that are required to strengthen high performance habits and take you to the next level.
He believes that truly successful people choose to practice their high performance habits each day which sets them apart from the rest.
So what are these habits and practices?
1. Seeking Clarity
- You need to envision the future of “self”, “skills”, “social” and “service
- Identify with the feeling you are looking for
- Determine what is meaningful to you
2. Energy Generation
- You need to set intention and release tension
- You need to bring joy into your life
- You need to be in optimum health
3. Increase Necessity
- Identify who requires your “A” game
- Identify your “Why” and affirm it
- Build your winning team
4. Improve your Productivity
- Identify what matters and increase outputs
- Plot your 5 moves
- Become a master with the important skills
5. Build Influence
- Teach people how to think properly
- Challenge individuals for growth
- Be a role model to show them the way
6. Be Courageous
- Have great respect for the struggle
- Share your honesty and goals
- Identify an individual to fight for
Just knowing these habits is not enough. You need to put them into practice regularly. Share the habits with others and then have them test you and provide feedback.
You can use these habits with new real estate investment projects and even day to day tasks such as meetings and phone calls.
Bruchard says that high achievers are always optimistic and believe that they will achieve success through their actions. When you are in the real estate investment business you need to think like this too.
I strongly believe that every action I take will bring me closer to what I want to achieve.
Another trait of high performers is to ask the right questions. Instead of asking yourself “what do you want?” ask yourself “what do the people that I serve want?”
So for example if you are pursuing a buy to hold investing strategy then think about what potential tenants want for their new home and then give it to them at the right price.
Brendon Bruchard’s book is very inspiring and I would highly recommend it as an excellent read.
Don’t Give Up, There is Hope
I am sorry if this post is sounding really negative. I’m not trying to put you off real estate investing, I’m just being realistic and honest.
Although there are a lot of great mentors out there, there are ones that only care about themselves.
They just want to sell seats on their courses and have no thought as to whether a person is really in a position to put the effort in.
They sell false dreams of fortunes to be made in thirty minutes a week. Please don’t fall into this trap.
Extremely rarely it might happen to one person, but on the whole, we all have to work hard and put in consistent effort over time.
So, think very carefully before spending thousands of dollars on a real estate investment course. Do you really have the time to dedicate to this? Do you really have the determination to make it work? Are you going to go the extra mile if needed?
Before spending any money on courses, find local REI clubs and investor meet-ups, learn from their speakers and network with other experienced real estate investors.
Quora, Reddit, specialist Facebook and LinkedIn Groups as well as YouTube are also great sources for anyone look to learn more about real estate investing.
There are a huge number of real estate investing books on Amazon.
Check out real estate investing forums such as BiggerPockets, CREOnline, and REI Club. Read. Ask questions. Discuss. Network. Learn as much as you can.
Then there are seminars, events and meetups you can attend as well as online training courses. Udemy has some great real estate investing for beginners courses, as well as for more experienced investors.
Final Thoughts on my Real Estate Investment Warning for Beginners
I have been in the real estate investment business for a good number of years now. I have spent a lot of time and effort putting the right systems and people in place so that my business operates efficiently.
But I do not sit back and relax on the back of this.
I challenge myself with new goals all of the time. I am still working hard and struggling with the real estate investment battle – I am just better at it now than I was before because I have a lot of experience.
Don’t believe the hype – investing in property is not a get rich quick scheme. So work hard, stay committed and be a high performer.
I am sure if you do that, you will be able to build life and financial freedom via real estate investment.
Now I’d like to hear from you please:
Have you been given false advice in the past? What did you do about it?
Let me know by leaving a comment below right now. Thank you and have an amazing day!!!