Skip to main content

Habits of Highly Successful Small Portfolio Real Estate Investors

Success is little more than the long-term outcome of following a set of simple, and often boring, sets of routine habits. Walter Bond (previously NBA crusher and now motivational speaker) say’s, “Success is a matter of following successful habits and rituals.” Have you thought about your real estate habits and rituals? Highly successful real estate investors share a set of habits. Understanding and adopting these habits will help to ensure your success. Begin your investing career on the right foot. Habits can make all the difference.

Tip the odds in your favor by having effective investing habits:

  1. Successful investors have multiple advisors they trust. The members of the team will vary with the type of commercial real estate involved. An accountant, attorney, banker, title company, and mentor are standard. Contractors, business partners, and property managers might also be required.

  2.  Successful investors are focused. 💰 Find a niche and stick with it until branching out makes sense. If Single Family Homes (SFR) interest you, then stick with SFR. Apartment buildings are a viable option, too. But become an expert and maintain your focus in this area.

I had a friend that thought he was superhuman. He worked 90+ hours per week. His mantra was if it has to get done I’ll just work more hours. The more he worked the less time he spent with his family. He worked so much and then it happened things started falling through the cracks his confidence began to struggle. This friend would also take on new markets things he knew nothing about. He invested hours learning and did not get traction. It’s a mistake to spread yourself and your attention too thin, and this is really easy to do. Choose a niche and learn everything you can.

  1. Successful investors stick with the numbers (Facts). Finding good deals isn’t easy. It can take months to find a good deal. Many beginning investors fudge their numbers out of frustration so they can finally do a deal. Get better at looking for deals instead of lowering your standards. Lowering your standards increases risk and the likelihood that you’ll lose money.

  1. Successful investors never stop farming deals. Since deals take time to find, it’s important to always be looking. It can be argued that the real job of any real estate investor is to find deals. The rest of the team can handle the rest of the work. Spend some time each day making the necessary phone calls, reviewing the real estate listings, and staying on top of the market.

Ideally, you’ll always have a deal in the pipeline and a few good prospects ready to go. It takes time to reach and maintain this level of inertia.
  1. Successful investors have a long-term plan and follow it. What is your plan for the next 5, 10, 25 years? Are you looking to obtain a few good buildings or do you want to give Grant Cardone a run for his money? Your decisions are easier to make if you know your end goals. What are yours?

What short-term goals can be set to make those long-term goals a reality? Start with the end in mind and work forward to the present.
  1. Successful investors create a strong and vast network. Many of the best deals are never listed nor advertised. Know who the players are in your market. Ensure they know who you are, too. Become prominent in your community and good things will happen.

When you find a deal that doesn’t suit you, pass the information along to someone else. Maybe the favor will be returned. Real estate is a people business. You can’t be successful on your own.

  1. Successful investors understand that real estate is a business, not an investment. An investment is something that you can purchase and forget about for a while. A business requires regular attention. A real estate investor that attempts to treat his buildings as an investment, rather than a business, will struggle. You should be meeting with your property manager once per quarter for 15 - 45 minutes and 1 hour annually to review your entire portfolio. You should be networking and finding deals 10 hours - 15 hours per week. You should be working with your lenders and investment partners to provide the financing to continue to grow and scale your business. You should be meeting with owners wanting to sell their property 5 - 10 hours per week. You should be driving your property once per year. This is the work of owning your real estate investment business.

Real estate is a viable way to create wealth, but it requires time, energy, and commitment. Creating a real estate business is easier when you have effective habits in place. These habits help prevent disaster, keep the business running, and maximize profit. Consider what other habits would be helpful to adopt.


Popular posts from this blog

5 Baby Steps For Real Estate Agents to Attract Clients!

There is beauty in Real Estate. Specifically, because the population is growing. In Real Estate you can receive a steady income that you can accurately predict and rely on, unlike typical sales roles. To attract the best clients and make the top dollars you have to start with focusing on becoming a top-producing Real Estate Agent. There are a number of books and references on selling but not much available on the topic of attracting a Real Estate clientele. In Real Estate the skill of persuasion is one you must develop. To get started there are 5 baby steps that you must take to begin a career. 1. Read books on influence, persuasion, marketing, and asset management 2. Write down and affirm your success, “I am closing 35 homes per year” 3. Find an agent with a lot of listings you connect with 4. Find a mentor to show you the way 5. Associate with others who are currently successful in Real Estate Getting your Real Estate License can be the better avenue when starting in real estate.

3 of the Hottest Marketing Technology Trends That Will Shape Your 2020 Efforts In Real Estate

Have you ever heard of Silicon Valley? Likely you have. Did you know that Silicon Valley is constantly trying to innovate the real estate industry? Technology continues to push the envelope and transform the direction of the profession every year. In 2020 several marketing trends are revolutionizing the real estate profession and most follow the sociological trends from recent years.”Today, people’s attention spans are short and the way they like to consume content has also changed. This is why content formats like Stories have become popular. They are short, engaging, and addictive in a way that people can spend hours scrolling through one Story after another (N.A, 2019).” The many marketing trends of 2019 continue to evolve into 2020 with technology tools designed to improve the customer’s experience. One-Click: Think Amazon! Amazon knows that people want instant one-click to purchase. In fact, “When we write the history of electronic commerce, the 1-Click patent … allowed Ama

The 3 Biggest Misconceptions About Horizontal Leadership in Real Estate

What is Not Leadership Often leaders learn from books, podcasts, and blogs written by leaders who sell leadership trainings, books, or courses and it can kind of get boring. It can be hard to sift through the information on leadership and find things you didn't already know.  This is where inspiration is hard to come by. So to help you we have created a post of what leadership is not. There are three words often associated with leadership that actually are misconceptions of Horizontal Leadership and those three words are authority, followers, and servant.  The Big Misconception #1: Leaders have to have authority to lead. Authority is defined as the power or right to give orders, make decisions & enforce obedience. Leaders lead with the influence of their actions, they do not force actions with authority. They are role models, examples. When you study leaders, you want to model their actions and be able to get similar results. Management is all about control. To control you nee