People have been investing in real estate since this country raised its first flag on American soil. With a few simple investing strategies, hardworking investors found a way to make money and for generations, many became very rich in the process.
Around the turn of the 21st century, things began to change in the real estate industry. Once-confident investors felt the rug being pulled from beneath their feet. Before the first decade of this century was over, the real estate industry began to crumble. The dreams investors had been following for almost 200 years had—almost overnight–turned into nightmares.
Many novice investors are still wondering when they’re going to wake up.
Are you one of those novices—someone not sure what to do with what seems to be? As we near the end of the second decade of this century, know that you’re on the brink of one of the most exciting times in American history.
The number one rule in successful real estate investment is DON’T GET GREEDY.
These people might have the money to invest but not the time, and if you have the time and business savvy to seek out investment properties, the relationship you build could be priceless. These types of relationships, which may or may not be partnerships, create a win-win experience for both of you.
Where do you find these investors? In some cases they might be closer than you think. You may have a family member or close friend who has the resources to invest if you’re willing to put in the time. Again, you don’t have to form a traditional partnership business. You can keep your assets separate, but agree to divide the profit.
Do you divide 50/50? Maybe. Whatever you decide, be sure the arrangement is worthwhile for both of you so you continue to feel rewarded by the affiliation. If one or the other of you feels your contribution isn’t being fairly compensated, your relationship may be short lived. That goes for both your business and personal relationships.
The number one rule in successful real estate investment is DON’T GET GREEDY. Be fair-minded and reasonable with clients, partners, and sellers, and your business will be set up to thrive.