In the book, 7 Habits of Highly Effective People, the 2nd habit is: Begin with the end in mindBut what does this mean?
4 Things You Must Consider Before Becoming a Property Investor
Becoming a property investor might seem like a great use of your time and resources.
On the surface, it may sound like the ideal way to make money: you invest in a property and reap the rewards at the end.
But it’s not as simple as that. There’s a lot to think about, and there are lots of different approaches, maybe hundreds of different ways to invest.
Correctly plan your entry into the industry. Ensure you have a clear understanding of what you want to get out and what you can put in (time and money).
Here are four things to consider before becoming a property investor.
1. “Begin with the end in mind” – Stephen Covey
Stephen Covey is a renowned educator and motivational speaker.
In short, your plan for entering property investment should centre around your end goals.
Work out what it is that you want to achieve from property investment. Making money might sound like the right answer, but it needs more depth.
This is the no. 1 step that people skip. Be careful not to run before you can walk.
Know what you want to get out of all this hard work and time you’re about to put in.
2. Get your ducks in a row
To be successful in a financially orientated industry like property investment, you must have a good handle on your finances.
If nothing else, you’ll find it difficult or impossible to get loans or backing if you’re a financial mess.
It might seem obvious, but your income needs to be greater than your expenses.
‘You get what you measure’ so track both moving forwards. That’s the only way you know.
3. The riches are in the niches
Your property investment strategy will be much more successful if you focus on a single niche.
Will this be property development, new builds, investing in buy to lets, or something else?
Identifying and understanding a particular niche will provide you with the best sense of direction and the best overall chance of success.
Importantly, factor this into your plan and commit to it.
4. Go Go Go – Decide, Commit, Plan
Planning is one thing, but it’s nothing without clear commitment.
You can only turn a good plan into results through decisive action. Therefore, this is the first step.
Know that you want to enter into property investment, decide how best to do that, and commit to your strategy.
Then plan what to do… And TAKE ACTION.
Only then will you be able to reap the rewards. After all, you can’t learn to ride a bike by reading a book.
Like any business, property investment presents unique challenges.
However, your ability to identify and manage these will be much greater if you have a clear plan of action.
It’s only through planning and an appropriate end goal that you’ll know how to tackle the market head-on.
If property investment sounds like an appealing option, and you’d like some support along the way, why not check out what you could gain from my mentorship programme?
Wishing you every success,