It was 2007, and I was told by the bank that I couldn’t qualify to buy a house without a 2nd income. The result is that I bought a duplex and became a landlord. I didn’t know any real estate investors at that time…not a single one. I hadn’t studied how to invest, what to do, how to manage my tenants. I knew NOTHING. And I succeeded because I learned along the way. I jumped into a deal that made sense, and I learned the rest as I went.
I made a lot of mistakes, certainly. Poor tenant choices, inefficient systems, emotional decisions. Things were tough and challenging, but I persevered and made sure to learn the things I needed to be successful.
I meet a lot of “would be” investors who are sitting on the fence, not taking action, which is the biggest impact on your success. If you don’t act, you can guarantee yourself a zero return.
You don’t need to know everything there is to know about investing in real estate before you take the leap and become an investor. Yes–you should know how to analyze a deal and make sure that the investment you’re purchasing is the right one for you and your goals–but you don’t need to learn about every strategy, and every option before making a purchase.
Once you jump in and own your property–you will know very quickly what else it is that you need to learn. I started out renovating old run-down duplexes. And I learned about that as I went. Once that was under my belt–I moved onto single family home flips. After that I moved onto small mutli-units, and so on.
I didn’t learn everything at once…I bought deals and built my portfolio and continually learned along the way, and this is a strategy that I strongly recommend for any would-be investor. Choose a strategy–find a deal–and do it!
There are so many partnerships that can be formed in real estate as well. If you feel unprepared to move forward, learning more may not help with that. Perhaps adding people to your team will make up for anything that you lack. Hire a property manager, partner with another investor, hire a coach to get you through any mental hurdles and get moving. There are also great investment groups you can join to meet other investors and learn from them as well. I belong to a few and am continually learning from my investor friends.
The rewards and benefits of investing in real estate are fabulous, and I can say that in 13 years investing, I haven’t had a “bad deal”. There have been some challenging deals, and deals that have not turned out as I hoped-and these are the ones I’ve learned the most from. But I’ve never had a bad deal. Get out there and make it happen for you!