Because Real Estate investing has the reputation of being a great way to acquire wealth—there is a lot of interest in learning how to become an investor. Real estate is a great way to start on the road to wealth but there are many questions that need to be answered before you make your first offer.
Many of the publications and articles about how to get started investing from real estate gurus are vague and confusing. And trying to learn to invest in real estate out of a book is probably possible but is also very difficult.
One of the biggest problems new investors encounter is that they don’t even know what questions they need to ask in order to get started. The famous author Rudyard Kipling in one of his most quoted poems once wrote:
"I kept six honest serving men,
They taught me all I knew,
Their names are Why and What and When,
And How and Where and Who."
As with many other things--these questions will also guide you well in your quest to learn how to become a successful real estate investor. Let’s take a closer look at each in turn.
Why? Why do you want to start investing? The answer to that question will go along way in determining the degree of your success. If you have a strong enough why—you will be able to continue and endure when the inevitable problems arise. Many--without that strong sense of purpose--will falter and quit at the first signs of trouble.
What? There are many—what—questions that will need to be answered. What are your goals? What is your criteria for the properties you want to purchase? What techniques do you plan to use to locate good property investments? What system or software will you use to determine the optimal amounts to offer for properties?
When? When do you plan to purchase your first investment property? When will you be able to devote your time and efforts to the numerous tasks involved in the investment process? When will you make the time to study and acquire the massive amount of knowledge you will need in order to become truly successful in the real estate investment business?
How? How will you fund your property purchases? How will you find all the information needed in order to place informed offers? How will you market your properties after the purchase? How will you deal with tenant problem?
Where? Where will you set up your office? Where will your farm area be? Where will you get answers to the many questions with which you will be faced? Where will you find the educational materials you need to study and learn? Where will you find the help you will need to run your business?
Who? Who will do the fix-up and maintenance on your properties? Who will manage them? Will you manage them yourself or will do you plan to hire a management company? Who will answer the legal, financial and tax questions you will surely have? Should you enlist a mentor? If so who? Who will you turn to if the market goes south?
As you can see there are many questions that will have to have answers before you will be able to find real estate investing success. But the good news is that the answers are readily available to you if you take the time to seek the wisdom needed for success and the rewards of that success can be wealth and riches beyond your grandest dreams.
