There are three key components to becoming a successful real estate investor. Surprisingly, they are not money, luck or talent, despite what many believe. Veteran investors, who have a long-term, successful track record, focus on these three things:
1. Systems
2. Relationships
3. Follow-through
Here's how the system works:
1. Systems: The foundation on which you'll build your wealth. Follow a proven system and stick to it. It must be a system that has been proven to work in your geographic area and focuses on the type of property in which you want to invest. Once you have a system that works, don't mess with it; let it work for you.
2. Relationships: Surround yourself with the best of the best experts and utilize their talents as much as possible. Relationships will fuel your business and make it easier for you to become more successful than you ever thought possible. Conversely, if you focus on money instead of relationships, you will find yourself continually running after the next deal, you'll feel exhausted and anxious, and you'll be constantly wondering where the next deal will come from. That is why you need to learn how to find these ultimate relationships. Some of the key relationships you'll need to develop and nurture are:
a. A realtor for your system who understands your type of properties and your target geographic area. You may need to go through many until you find the right match.
b. A banker or mortgage broker whose expertise lies in the investment residential real estate arena, someone who has expertise in getting financing on difficult deals. Often this will not be the banker you are currently using. You need to learn how to discover the exact steps in choosing and working with a quality banker.
c. A real estate-specific lawyer. There are lots of lawyers, but the one you want is someone with 10 years or more of investment real estate expertise. Do not choose your lawyer based on price: that is the ultimate in false economy and could end up costing you thousands and thousands of dollars more in the long run when something goes awry.
d. A network of like-minded, success-oriented individuals. Even if you only see them once a month or so, this network will become a lifeline as you progress along your real estate investment path. Your network will provide you with the positive outlook and impetus to keep you moving towards your success, even as others question you or try to steal your dream. Make sure your network is real estate specific, and make sure your peers are action takers not talkers, players not pretenders. And most important, pick a group that will continually challenge you to get better. You should always feel a little behind whenever you get together with them. This will ensure that the word "average" never enters your real estate vocabulary.
3. Follow-through: This is the component that most don't want to talk about. Even with the best system in your hand and the most powerful relationships in your life, nothing positive can or will occur without you taking action. Following through on the steps needed to achieve your personal vision is critical. Even if you're not fully confident in what you're doing, at least take the first few steps of a proven system. Even the longest journeys begin with the smallest steps!
