Chapter 6: Qualities of successful real estate investors

If you want to earn your passive income through real estate investing, there are a number of qualities that you must possess.

If you don’t already possess these qualities you can learn to master them. For instance, you can train yourself to be more focused or goal-oriented. You can also research and teach yourself how to be a rational thinker.

It doesn’t mean that you give up if you don’t have these qualities. You just have to work hard since they are some of the keys to success.

Dedication

A successful real estate investor must be dedicated. This isn’t the kind of investment that you make if you are still undecided about it. Real estate investments require hard work, time and dedication. You should be dedicated to succeeding as an investor. To be dedicated, you have to give your investment top priority. You can’t expect to put in time and effort and still succeed.

You should also be dedicated to the industry as a whole. Try as much as possible to learn as much as you can. If you are just starting out, you should strive to meet successful investors and learn from them.

You may have to sacrifice something in your life so as to take care of your investment. For instance, instead of hanging out with friends, you can use this time to learn more about how to make your investment more profitable.

Goal-oriented

Like in any kind of investment, you have to be goal-oriented. Set your goals and objectives and strive to achieve them. Working with no goals is not a good strategy. You will have nothing to use to measure your successes. You will also lack focus if you have nothing to work towards.

Remember to set realistic goals. Being unrealistic can get you very frustrated. For instance, expecting to become a millionaire within a month or two is completely unrealistic.

A winning attitude

One quality that is shared by all successful real estate investors is a positive winning attitude and mindset. If you don’t believe in yourself and your ability to succeed then you won’t make it in real estate. Your self-doubt will also be felt by the people working with you.

This is likely to put them off. For instance, a seller may be hesitant to sell his or her property to a buyer who looks unsure about themselves and their decision.

You have to envision yourself as a winner. A positive attitude and mindset will help you succeed as an investor.

Ability to plan effectively

There are people who know how to make a plan and stick with it. This is an important quality of successful real estate investors. There is no room for being hesitant or procrastinating if you want to succeed.

There are also people who are good at making plans and then do nothing about them after that. They don’t follow through these plans. If you decide to buy a property this year, then do so. If three years down the line, you still haven’t made your purchase then real estate isn’t your cup of tea. You can’t second guess yourself if you want to succeed.

If you want to be a successful real estate investor, get a paper and pen and write down your goals and plans. Then ensure that you stick with this plan.

Network and learn

There are many successful real estate investors who are willing to share their tricks and secrets for success. If you are just starting out, it’s always good to mingle with such individuals. They will help you grow in the industry by teaching you the ropes that you need.

Networking will also help you stay in the loop. You will get to learn new developments in the industry. You will also get vital information such as the best investment opportunities in real estate.

Rational thinker

One of the differences between successful investors and those who don’t succeed is the ability to think rationally. If you want to succeed in real estate you can’t afford to be an emotional thinker. You can’t base your decisions on emotions.

For instance, an emotional thinker may buy property in his or her town of birth simply because of sentimental value. However, this may not be the best location for a real estate investment. On the other hand, a rational thinker will consider all factors before buying the property. This makes him or her more likely to make the right choices.

An emotional thinker may also hold on to a property that may not bring in profits instead of getting rid of it. They may be basing their decision on issues such as an emotional attachment to the property. Such an investor ends up making losses. This isn’t something that a rational thinker would do.

In real estate, you can’t afford to make emotional decisions or you may end up being unsuccessful. You have to be a critical rational thinker.

Ability to do research

Education is very important in this industry. This is how you find out which are the best investments to make. It is also how you find out about the laws and procedures involved in real estate.

You can find a lot of research material online or even in your local libraries. There is also a wealth of knowledge that can be found from other real estate investors.

Ethical

A successful real estate investor has to remain ethical at all times. They have to find out the code of ethics that administer the industry.

High ethical standards will help build the reputation of an investor in the industry. It also helps in protecting the person’s investment. There is no need to invest time and money in a property and then lose it by simply failing to adhere to the set rules and standards.

Good people skills

Successful real estate investors normally have good people skills. They know how to communicate and relate with other people with ease. If you are a landlord, you need to know how to relate to your tenants. Otherwise, you may end up with never-ending vacancies.

Investors should also have to know how to relate with other professionals in the industry. This includes lawyers, brokers, agents, sellers, buyers, constructors and others. A person who can’t work well with others can’t expect to be successful in this industry.

You have to be able to communicate effectively and have a relatable personality. Otherwise, people will not want to work with you.