This week we celebrated America’s birthday so in honor of the 4th I’m sharing my 4 steps to getting started with real estate investing. Before I get to the list, I want to share a quote that was shared with me earlier this week. It’s a simple quote but will be relevant to you as you start your business.
“I don’t know anyone that makes really good money without working for it”.
So simple, so true. I don’t think we’ll see it written on motivational cards anytime soon but it rings true. So please don’t fall for the get rich quick scheme / investor guru gimmicks that are out there. This is a business and needs to be treated as such. Nobody is going to give you money but you can earn it. Revestor doesn’t have all of the answers but we do offer the ability to search, analyze and acquire. It’s up to you to learn the process and understand the numbers.
That being said, here is a simple format you can follow to get your business started.
#1 Choose a strategy
A couple weeks ago we shared a screenshot of what our new homepage will look like. As a refresher, we will allow you to search by
- Long term rental (buy & hold)
- Short term rental (vacation rentals)
- Fix & Flip (rehab & re-sell)
It’s important to decide which type of investor you are. It will be vital to the success of your business, the execution of your plan and the overall growth of your portfolio. I would recommend getting familiar with each of these strategies, applying them to markets you’re interested in and deciding which works best for you.
#2 Develop a business plan
Don’t just have a vision of what investing in real estate entails, have a plan. I’m talking about a physical business plan with a market overview, financial projections, executive summary and more. There are countless templates that you can find online, it’s up to you however to do the homework and develop the plan. One of my favorite methods for business development is the critical path. The basic principal behind this method is to start with your end goal and then develop a timeline with all the tasks you’ll need to complete in order to reach the goal. You can find several templates for the critical path method online as well.
#3 Do your homework
If you take the time to truly develop a business plan then you’ll be doing your homework along the way. That’s a good start but you always need to be learning in this business. And if there was one area to master the terminology and the numbers associated with it. Here’s a good place to start.
#4 Expand your network
Here’s another quote for you.
“Your network creates your networth”
If you want to be successful then you need to surround yourself with like minded people. This doesn’t mean cutting off your social circles and attending the next get rich quick real estate seminar. It means pick up a book or two on real estate investing. It means reach out to a Realtor on Revestor and start a conversation. After all, you can’t grow your business and do great things with basic people.