In order to see success in a real estate investing career, one must have specific disciplines. Being good at one or two won’t get you anywhere. This three-legged chair is vital. Opportunity, capital, and team. Let’s dive into the importance of each discipline so you can see which you may need to work on.
In order to gain confidence and knowledge, you must be willing to search for opportunities. If you take on a big apartment complex, you need to be confident in your ability to do research and develop solutions. Opportunity also stands for the skills you have and those that you are on the brink of gaining. If you are very talented in one area, such as painting, you can bring that knowledge to help you solve problems within your real estate property, whether it is for a business or tenant. It’s all about getting things together to make something even better.
As many people know, you can’t do much without money. In real estate, capital is always the end all be all. Finding deals can be more complex than finding money, but successful sales lead to a rise in capital. Capital is broken down into two aspects. Debt capital includes working lenders and banks that help you maintain strategic connections. Equity capital , on the other hand, is where your investors are. Transactional investors are those whose primary focus is to churn capital while charging you a fee. And then some actual investors plan to gain experience along the way, and they provide a substantial investment. Working with others can be very beneficial, but focusing on your capital can bring you outstanding investments.
There is so much energy, speed, and efficiency that comes with having a team. In real estate investing, it’s the owner’s job to allow their team to share their thoughts and ideas during deals and decision-making. Honesty, execution, and integrity are important things to practice when working with a group. When looking to evaluate your team, be sure to assess yourself as a leader and the head of investment decision-making.