There are plenty of virtues that make for a successful, well-rounded real estate investor. We’d argue the one of the most important is patience. In a world that teaches us to crave instant gratification, it’s practically a lost art!
For many, real estate investment is seen as a quick fix: maybe they’re not so naive as to call it a get-quick-rich scheme, but they expect things to work out quick and easy.
Any successful real estate investor will tell you that that’s far from the truth! Any type of real estate investment—even passive real estate investment—takes time and effort before the fruits of your labor really build and begin to multiply.
You’re not going to wake up one morning and suddenly be rich. Part of being a successful real estate investor is just in managing your expectations.
That said, patience isn’t just about being able to wait for your bank account to grow month after month. For the real estate investor, patience should work its way into every single thing we do.
5 Ways to Apply Patience to Your Real Estate Investments
Be Patient With…
1. Your Day Job
For some real estate investors, one major goal is being able to rely on investing enough to quit their day job. The idea of an early retirement, financial freedom, maybe even world traveling: it’s all appealing. That said, there’s a right time and a wrong time for these things.
Not every investor needs to quit their jobs and make their investments their sole source of income. Don’t rush into that kind of decision without careful consideration. You may find yourself sitting at your desk and dreaming of Maui, but securing your financial future and having a solid footing to grow and scale your investments is more important right now.
2. Your Vacancies
We all know that vacancies are the most costly time for real estate investors. The pressure is on! But wait—that doesn’t mean we can throw patience out of the window. If we’re not careful, the desperation to fill a vacancy, especially if we feel like it’s been an uncomfortably long vacancy, may lead to picking any tenant to fill the spot, instead of the right tenant. It might mean skimping on the screening process.
Don’t take shortcuts just to get someone in! Make sure your manager is still going to select to right tenant for your property: not just filling the space with anyone. The wrong tenant can be just as bad as no tenant at all.
3. Your Renovations
When a property is under renovation, whether for repair or an upgrade, it’s also an exercise in patience. Not only are you dealing with timelines that usually get pushed back, but you may have unpleasant surprises to deal with that increase costs. Sometimes renovations are extensive enough to prevent the property from being occupied, too: adding to the pressure to get things done quick!
But remember: it’s always going to be better to get it done right over getting it done fast. Avoid cutting corners, DIYs, and fast-tracking just to finish. Getting it done right is the best for lasting power and for your property’s value.
4. Your Property Hunts
Property hunting is no one’s favorite. Sure, closing a deal is exciting. Finding a deal is exciting. But the actual hunt can be incredibly tedious for anyone who’s been in the business for any amount of time. Though you might want to rush the process, have patience. It might be tempting to settle for something that you think you can make work, or for a so-so property.
It’s far better, however, to remain vigilant and patient. Keep looking. Don’t settle for a property just because you feel like you have to. If it’s not right for your portfolio, just wait. Something better will come along eventually.
5. Your Portfolio
One common mistake new investors make is trying to scale too quickly. This leads to spreading themselves or their resources too thin, and thus, being unable to adequately manage their properties. Be patient with your portfolio! Don’t try to grow it before it’s ready—instead, wait until you know you can scale and absorb an additional property’s time and costs without a hitch.
In every aspect of real estate investment, taking things slowly and patiently is crucial. Remember, it’s not about getting there as fast as possible. It’s about having the integrity to do things right, the patience to see things through to the end, and the willingness to let your wealth grow through careful, strategic planning.
One of the best ways you can watch your portfolio grow? Passive real estate investment! Let us take care of the details so you can deal with the big picture.
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