Forget everything the gurus taught you other than the confidence you are carrying with you. Don’t let go of that, you will need every bit of it.
In order to make money as a real estate investor, you first need to have your basics covered. Get a website up and running. Make sure people know how to get in touch with you. A website usually won’t generate a ton of leads but it will give you a central point to direct all of your marketing to. You will need to have a plan for what to do with the properties once you have one under contract.
You are more of a marketing company than a White label crowdfunding software Singapore real estate company your first three years in business. Keep that in mind when your marketing budget is your biggest expense. Handling rejection in your business will be one of the toughest things you ever do. Try to remember they are rejecting your ‘style of business’ and your offer, not you personally. If you haven’t been through a lot of adversity in life, this might flush you right out of the business.
Predictable monthly income comes from predictable marketing. You have to develop a system that allows you to process X amount of leads and buy X amount of properties each and every month. You will want to watch your numbers carefully. Changes in marketing strategies should always keep a core base of business in place at all times.
An example of this is direct mail. You know that you are going to send a minimum of 1,000 letters to potential sellers each month. This will bring in twenty to thirty calls. Out of those calls you should buy one to two properties. If we know that we make an average of $7,500 on each property we purchase then we may have our monthly income with just one property purchase each month.
If you want to keep properties as rentals, add their expense to that bottom line number and adjust your marketing as well. A successful way to buy properties in our business model was to flip the two bedroom, odd-shaped and five bedroom houses and keep the three and four bedroom houses as rentals. Unfortunately, just about everyone else has this same train of thought and you will be able to sell your three and four bedroom houses for the most money.
Having a mentor is probably the key contributing factor to me being successful in real estate. Being able to rely on someone else’s experience and letting them direct your ambitious energy will allow you to focus on what’s important when beginning real estate investing, making money.
You want to focus on money making activity. As an investor, I make the most money sitting in the dens and living rooms of potential sellers. Focus on getting appointments, but get the right type of appointments as well. Make sure you ask the following question and say the following before you go to meet with a seller.