There are plenty of qualities we’d say are necessary for one’s success as a real estate investor. There are two of the traditional “holy virtues” we’d consider non-negotiable for success: diligence and patience. But let’s be honest, we’ve hammered in the importance of diligence (in the form of due diligence). We’re going to keep talking about it, too. 

It’s almost a given at this point. That’s why we want to discuss the neglected, overlooked, and fundamental virtue of patience.

In today’s real estate climate, it’s more valuable than ever.

5 Reasons Every Real Estate Investor Must Practice Patience

Reason #1 – There’s no such thing as an overnight success.

Sure, we hear of so-called “overnight success” stories. What we see is only a tiny portion of the complete picture. Behind breakout success are years of hard work, a solid support system, and countless trials. Real estate investors can no more expect instant success than anyone else. 

Inexperienced investors are tempted to throw in the towel early because they don’t see immediate results. Successful investors, though, practice patience. They know good things take time. 

Reason #2 – Not every opportunity is the right opportunity.

Investors must wait for the right opportunities. The market is plagued by low inventory, so you may be tempted to seize any property that fits your most basic criteria. Beware! Not all properties – even good ones – are the right fit for your portfolio and long-term goals. 

A portfolio advisor comes in handy here. They won’t let you be distracted and will recommend only properties that suit your needs. In this business, time may be of the essence, but it’s far more valuable to wait for a property that fits your portfolio versus buying for the sake of it. Sometimes, it’s more prudent to focus on other aspects of your portfolio simply because suitable properties aren’t available yet.

Reason #3 – The real estate market always moves in a cycle.

We’ve said before that there’s never a wrong time to invest in real estate. That’s still true. However, there are times in the real estate cycle that are more favorable for property acquisitions. On the one hand, you want to start as soon as possible – the more time you have, the better. On the other hand, you may want to wait out more challenging seasons and focus on portfolio refinement, cost management, and risk mitigation more fully. 

Because the market moves in a predictable, natural cycle, you don’t have to worry about missing some small window of opportunity. There will always be options out there. It’s up to you to decide the actions and timing that make sense for strengthening your portfolio. 

Reason #4 – A world-class portfolio is intentional and targeted.

We can’t stress this point enough. A world-class portfolio isn’t haphazardly assembled. It’s not made by picking up a property here and there with no rhyme or reason. Investors are very intentional about the properties they buy. They consider the individual role of rental property and how they fit into the grand scheme of things. 

Portfolio diversification is an essential part of risk management. You never, ever want to rush into things. It’s tempting, especially in a fast-paced and competitive real estate market. 

Wise investors carefully evaluate potential properties, working out the numbers and weighing the risks before they act. It prevents unnecessary regrets and headaches down the line!

Reason #5 – Your portfolio is like a pot roast.

You need two things to make an incredible pot roast: a choice cut of meat and a “low and slow” approach. Your investment portfolio is like a pot roast. The only way you make the most out of that meat is to use a low temperature for a long time. In the same way, investment properties do best when they’re in stable markets (low heat) with plenty of time to earn passive income, build equity, and appreciate. 

Obviously, that takes patience. Ideally, it takes decades. Investors don’t need to concern themselves with quick returns. That’s not what this is about. It’s about building lasting wealth brick by brick. 

At the end of the day, patience allows investors to reflect on their decisions and thoroughly evaluate potential rental properties. It prevents hasty decision-making and poor choices. Be the investor willing to take your time to do things right – you won’t regret it!

Ready to start building your real estate portfolio? Tap the button below.