How can aspiring young entrepreneurs win in today’s competitive real estate investment environment?
Real estate offers amazing opportunities for the young and entrepreneurial. It’s never too young to start, and there are few opportunities which offer as much reward. There are the financial perks of income and wealth building, which are especially important for getting ahead in a lean job market. Then there is the free time and control of your own life. Those that begin younger also have the power and luxury of time on their side. They can invest right, make sound – not rash moves – and with current conditions could end up being one of the wealthiest generations we have seen yet. Still, many are intimidated by their inexperience and the amount of competition out there. So how can you win big?
Eight Tips for Young Real Estate Entrepreneurs
1. Invest in Your Real Estate Education:
Don’t make the massive mistake that has bankrupted so many others. Take the time to invest in your education. This doesn’t mean that you can’t get a fast start, but it is a necessity if you actually want to keep any of your winnings. Look for proven real estate investing systems, apply them, and keep learning as you are earning.
2. Stay Lean:
Keep your real estate business lean. Nothing kills a business, startup, or investment like too much overhead. Get a good start, and keep your business and personal bills down.
3. Get a Mentor:
It’s impossible to learn everything there is to know about real estate in a few weeks. Those that want all the advantages they can get, as well as a fast start, should get a mentor. This may be a family member who has done very well in real estate and business themselves, or a dedicated real estate coach. Make sure your mindset is right too. A mentor won’t do you any good if you aren’t “coachable.” Be open to learning, even when you don’t understand the why.
4. Recognize Your Weakness:
Everyone has certain strengths. You might have a particularly good eye for design, a mind for numbers, DIY talent, or emotional intelligence which empowers you to better connect with people. However, recognize where you are not as strong. Being able to admit and pinpoint these areas will become a strength in itself. It’s no secret that young entrepreneurs can suffer from a lack of experience, being prepared to deal with other sharks in the business, and being overly optimistic. Recognize it, and find balances.
5. Hire Experience:
A great way to make up the gaps is to hire people that are more experienced than you. It could help your real estate business to be taken more seriously, to attract more investors, and other things you may not realize. With a great vision and a lot of passion, you might be surprised at the team you can assemble. Don’t be afraid to hire the best, even if they are more experienced than you.
6. Get in and Sweat:
While hands on DIY and other tasks may not be your cup of tea, or how you want to run your real estate business and investments, there are great advantages of digging in deep. The beginning may be one of the only times when you have the luxury to do this. It can also offer unique insight into what your team faces, and where there is room for innovation and improvement.
7. Find Your Niche:
While it may seem like there is a tremendous drive and appetite for investing in real estate, and starting real estate businesses right now, there is plenty of room for new entries. There are plenty of market segments and niches being ignored and under-served. There is plenty of room for innovation, disruption, and improvement. Find a void, that you can bring value to, and excel in, and fill it. It could be new technology, better customer service, better ethics, speed of service, affordable housing, revitalizing distressed neighborhoods, or helping a specific set of real estate investors. Just make sure you do your market research thoroughly first. Then find your niche, stake claim to it, and own it.
8. Build a War Chest:
It may take a little time to master running a business or investing in real estate in the most profitable way. That’s okay, there will be even more opportunity later on. There will be great opportunities you will kick yourself for if you miss. There will be mistakes, and unexpected costs. So even if you are starting out with nothing, and no money down real estate deals, work on building up financial reserves and a war chest that you can use to squash issues, and step into dominate later on.