Investing in real estate is a long-term commitment—at least, to achieve the kind of success we read about so often on books and blogs. Sure, some investors hit it big or have a lot of resources to leverage from the very beginning. But for most of us, it’s years of hard work on a solid buy-and-hold strategy that guides our investments.
Over time, our passive income adds up to something big—something that fuels retirements, futures, and lifelong passions.
The dream is great. The reality is hard.
Anyone in real estate investment will tell you: it’s not magic. It’s not instant money. It does take hard work, no matter how passive it is. It will take effort, it will take strategy. You’ll find frustration and failure as much as you’ll find profit and triumph.
Not everyone is cut out for that. The question is:
Are you a real estate investor with staying power?
When the recession came, it was a great time to invest in real estate. Pretty much anyone could invest with little barrier to entry and at remarkably low risk. It was easy. When it stopped being so easy, a lot of investors bailed.
They quit when it got tough. Maybe you’re just starting out and you don’t know if you’re cut out for investing for the long haul. You don’t know if this whole real estate investment thing is right for you. We can tell you right now that there are certain qualities that, if you have them, you’ll make it just fine:
You Have What it Takes to Make it In Real Estate Investment When...
You Leave Perfectionism at the Door
Perfectionism can rob you of joy, energy, and satisfaction in just about everything. If you can accept that things won’t be perfect, that plans will change, and even your best strategies might go awry, you’re going to be okay. In real estate investment, adaptability is a big strength. If you can think on your feet and change gears when things don’t quite turn out, it’ll work in your favor.
You Accept Failure as Part of Life
Any successful real estate investor will tell you that they’ve failed, failed, and failed again getting there. Deals fall through. Inspections miss big details. Properties turn into lemons. Tenants turn out terrible. Disasters happen. Some things are in your control, and some aren’t. Failure happens: period. It’s natural. It happens. What’s important is how you handle it. Will you bounce back, or will you have a meltdown?
You Know That Mistakes are Opportunities to Learn
As with failure, you will make mistakes. Even veterans in the industry make them. How you react makes all the difference in the world. Owning up to your own mistakes and shortcomings, striving to put things right, learn from them, and avoid the same pitfalls in the future will serve your career well for the long haul.
You Have a Long Term Plan
Every real estate investor needs a plan, period. When you don’t know your goals, you’re going to get off track. If you don’t have a solid strategy for achieving those goals, you’ll likely get lost in the weeds and lose sight of those goals. Do you know how you’re getting to where you want to be?
You’re Wise With Your Resources
When you’re looking to buy a property, you use real numbers. When you make renovations, you look to make ones that will really count. You pay down your debts and are wise in your spending. You have a financial adviser and a trusted planner who helps you identify every savvy tax deduction available to you. Every resource you have is precious and used to leverage further success. Simply put, real estate investors with staying power are smart with their money!
You Turn to Proven Wisdom
Investors that have been in the business for years know that there’s value in listening to others. They know that mentors are valuable. They have favorite finance books. They look up to other titans of the industry. They don’t isolate themselves. Instead, they learn from the success of others and are constantly looking to learn more.
You Aren’t a Fair-Weather Investor
The real estate market is constantly in flux and it’s never, ever a sure thing. As much as people like to make predictions, it’s an unpredictable thing. Fair-weather investors are only interested in getting in when it’s easy and jumping out as soon as they have to work for it. Dedicated investors have the know-how to make it through market fluctuations.