There might be more than five reasons for having reservations as an investor in the real estate market. However, below I’ve listed the ones I hear most often and want to address.
Fear of failure
It’s normal to feel afraid when first starting out in something. It’s also natural to fear what you don’t know or understand.
There’s a good chance you’ll make a few mistakes. Learning from mistakes and being cautious is a good thing – it keeps you alert.
Find a mentor, someone who is successfully doing what you want to do. There’s no need to go it alone.
Not enough time
We’re all busy. However, you can always reprioritize. Determine how many hours you can take out of your free time to spend on what you really want to accomplish.
Not enough funding
There are always ways to fund real estate deals. Luckily, most investors will jump at the chance to be involved in a great deal. Talk to your mentor to discuss new innovative ways to finance.
‘I’ll do it in the future’
Ask yourself, is what I’m doing the best use of my time? Will I look back 12 months from now and wish I’d started today? There’s always opportunity to make money in real estate no matter what the economy. If you don’t start now, you may regret that you’ve waited. Don’t you wish you’d started five years ago?
An uncertain economy
How healthy will the economy continue to be? Although we can never be certain, we know that real estate investing works.
By following your mentor’s advice you can modify your strategies depending on the economy. For example, right now banks are lending and interest rates are low. It’s a great time to be selling.
However, when the economy was more depressed and banks weren’t lending, it was a great time to be a landlord as there were so many more tenants than in a strong economy.
No time is better than any other time in real estate – you just learn to shift as the market shifts.
Jim Williams of JKK Property Investors LLC, an independently owned and operated HomeVestors franchise, is a vendor member at the Metrolina Real Estate Investors Association, which provides education, mentoring, and networking for real estate investing in the Charlotte region. He can be contacted at email@example.com For more information, visit www.MetrolinaREIA.org.