5 Habits of Successful Real Estate Investors
It has been said that all you have to do to be successful is, find someone who has the level of success you desire and do what they do. Habits, by definition, are not casual or every once in a while occurrences. The habits developed to be successful must become a part of us. Grant Cardone, decamillionaire, author, entrepreneur, and real estate investor, has said, “Persistence is the single most common trait of the most successful. Among others, Zig Ziglar famous sales and business motivational speaker said, “Anything worth doing, is worth doing everyday.” Disciplined habits are at the foundation of any successful person.
Here are 5 habits we have found to be present in most successful real estate investors.
Habit 1
Take Total Responsibility Profitable investors take total responsibility for their investments. Unprofitable investors, and people, blame everything and everyone else: the property manager, Wall Street, the government, etc. Not taking responsibility destroys your opportunity to grow, get better and improve your business. It’s easy to blame the tenant for not paying their rent, but this attitude fails to address the problem created by the person who put them in the property in the first place. Taking responsibility puts you in the mindset of making adjustments to your process creating a greater likelihood that the problem does not happen again. Build a relentless attitude, and nothing can stop you. It’s your money, your risk, your work…and your success!
Habit 2
Know Your Numbers. Businesses fail every day because they failed to take the time to know their numbers. They often continue to operate, some without even realizing they are losing money. Knowing your numbers allows you to see where you can be more profitable and make plans to fix it. Because the cost of vacancy does not show up on the profit and lose statement, this is one number that this often missed by most investors.
Habit 3
Regular assessments are essential to maintaining and protecting your investment. Visit your rental unit once per quarter, and hold tenants accountable. Although assessing the tenants care for the property is important, it is also critical to assess the property to determine preventative maintenance needed to maintain the properties value and to keep tenant turnover low. Do not limit assessments to the property. You must assess your accountant, tax advisor, property manager, forms, systems, and more. Professionals spend time assessing their entire investment system, not just the property and the tenant.
Habit 4
Habitual personal growth the habit of taking responsibility is critical to your ability to grow. A commitment to personal growth is what will allow you to recognize opportunities in the market that would have passed you by unnoticed previously. Your ability to grow is directly related to you even having the ability to handle the requirements of a large real estate portfolio.
Habit 5
Read something new every day. Working Americans read an average of 1 book per year. It has been reported that CEO’s from Fortune 500 companies, read an average of 60+ books per year. Successful people read constantly, find mentors to learn from, and value new information that can help propel them forward. Regardless the industry, you must learn before you earn.
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