Real estate investing is an involved process. If anyone tries to tell you that you can just up and buy multi-family real estate today, I would take a minute and re-evaluate! Because there are a few things that you should do in order to prepare yourself to make your first deal. Here are a few of our tips for how to set yourself up for success right from the get go!
No matter how many people are working inside your deal, there is a “culture” to every business. There is lingo to be learned, shortcuts to understand, miles of paperwork to have under your belt, and generally a distinct atmosphere or attitude in any company. Understanding these things before you embark on your first deal could be a game changer. When you understand the people in your circles and are able to relate to them, you will find that they are much more willing to go above and beyond for you. Understanding and cultivating your culture includes understanding those around you as well as those who have gone before you, it means honing in on your priorities, values, and principals. When you place people within the culture of your company, you are giving them a hypothetical guidebook for what you would like them to look like as an extension of you.
Cultivate Your Network
Network, network, network. Those of us in the real estate world are seemingly obsessed with it. But there is a reason for this madness. When you have a network, you have information and you have the ability to grow. One deal turns to two, one connection turns to thirty, and you are much more likely to have a successful business and acquisitions if you leverage your network properly. Your network should include a support system, other investors, professionals who can aid in your business (CPA’s, lawyers, RIA’S, wealth managers, lenders, etc.), and those who have skills that you do not possess (writers, bloggers, marketing companies, and others who can help you with the bits and pieces of business)!
The biggest mistake you can make when going into any kind of business is not having a plan. There is a reason why you are advised to spend months honing in on your plan and why there are hundreds of books on how to write a business plan. Having a business plan will help you determine what you are and are not capable of. You will be able to measure shiny, new deals against your business plan and make sure that everything you get involved in will ultimately line up with your plan as well as help you reach your end goal. Don’t shy away from this intensive process. You’ll regret it if you do!
If you’re looking to get into multi-family real estate investing, head to our contact page and leave your information. We are a syndicated, multi-family real estate company who deals with B & C Class properties and we are always looking for other investors who are looking to diversify their portfolio. Here are Magnolia Design Properties, we work with one investors client, one property at a time!