Saturday, October 15, 2011

Staying Positive as a Real Estate Investor: BiggerPockets' Investor's ...

Realty team with client wide Staying Positive as a Real Estate Investor: BiggerPockets Investors CornerquestionsRealtor.com is working with BiggerPockets.com, to bring beginning real estate investors helpful advice and tips for getting started in real estate. Join us here each Wednesday morning for wisdom directly from the BiggerPockets team:

Whether you are a brand new investor who has never done a deal or old pro with hundreds of deals under your belt, you need to realize you have absolute control over the single best ingredient for your success.

What is it? Your ATTITUDE!!!!

First let me speak to the new investors.

So you have decided that?real estate investing is your long term plan to wealth? Now what? What are you doing every day in your business? Are you running around looking for some silver bullet? Are you spending hours in the bookstore, library or on the internet?

How is that working for you? Making any progress? Frustrated Yet?

Now let me talk to the investors that have done a deal or two.

Congratulations you took action and you put some money at risk. How is it working out? Any surprises yet? Are you seconded guessing yourself? Are friends or family calling you crazy? Is financing the next deal just too difficult? Is competition rising and you just can?t find a deal?

How can you keep moving forward with all the chaos and change?

Finally let me speak to the investors that have been in the game for more than five years. Make any mistakes over the last 5 years? Did you lose or almost lose a property? Do you wish you bought less? Do you wish you sold more? Does the model you were using so successfully five years ago work today?

How can you move forward when you are stuck with a few mistakes made in the past and you just can?t shake them?

Why did I want to talk to each group individually? A Couple of reasons.

First, I wanted the brand new, never done a deal investors to know that the people ahead of them on the real estate acquisition scale have problems, doubts and concerns as well. Said another way there are no magic thresholds of deals where issues simply disappear. You could have done one, ten or fifty deals and still have obstacles to overcome.

Second, I wanted each group to see that while the challenges or questions might be different there is still one variable that holds constant across each group. Your attitude when faced with questions, concerns or obstacles is your best tool.

The attitude of the individual will be the key ingredient to their success. A positive attitude will keep them moving forward and working on making their business stronger and more profitable. While a negative attitude will cause the issue to grow, the business to suffer and in most cases an exit from the business.

I have said it before and I am sure I will say it again. Real Estate Investing is a simple business but not an easy business. Always remember if it were easy everyone would do it.

Now let?s put a little meat on the bone.

1) Hopefully I have made myself clear and you now understand that you control your attitude regardless of how many deals you have done.

2) A positive attitude means you keep moving forward while a negative attitude means you are stuck and potentially moving backwards.

3) Momentum is a powerful force in this business and a positive attitude keys momentum working with you and not against you.

4) Positive Attitude without work and effort is simply a sugar high that will lead to a crash and a quick exit from the business.

5) Understand where you are in the real estate investor progression and simply worry about the next step forward. If you have never done a deal and all you do is think about retirement you will fail regardless of how positive your attitude is. You need to be positive and think about what is required to find and secure your first profitable deal and then the second, and then the third, etc.

Using the Negative REI Press to Your Advantage

The final thing I want to talk about stay positive is actually how to use all the negative press about real estate investing to your advantage. Like you I read and consume a lot of material and some days it is darn right sad. Real Estate is taking a pounding and very likely will keep on taking a pounding for several more years.

You can either fall victim to it and let the press just beat you down and turn you negative on real estate. Or you can be like me and treat every negative headline as another opportunity to do a deal. I love buying from motivated sellers and nothing creates more motivated sellers than negative press headlines. I actually use the negative press clippings as my fuel to look for the next deal.

If you can be a contrarian an actually use the negative press to turn your attitude increasing positive you will do well in the business.

Be Positive it is a lot more fun than being negative!!!

Good Investing

This post by Michael Zuber was originally posted on BiggerPockets.com.

Related posts:

  1. Await the Positive Real Estate Cycle
  2. Adopt a ?Why I Shouldn?t Do This Real Estate Deal? Attitude: BiggerPockets Investor?s Corner
  3. Real Estate Investing At The Speed of Opportunity: BiggerPockets Investor?s Corner
  4. Leaving A Legacy With Real Estate: BiggerPockets Investor?s Corner
  5. What Would You do if You Were Starting to Invest in Real Estate Today? BiggerPockets Investor?s Corner

Source: http://www.realtor.com/blogs/2011/10/12/staying-positive-as-a-real-estate-investor-biggerpockets-investors-corner/

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