Have you ever wondered how people build wealth with real estate? Have you known anyone who did it and just stood in amazement at their achievement and questioned, “but how?”
Here’s the thing: it’s not as hard as you might think, but there are some important things to understand and move past if you, too, want to build wealth and move towards financial freedom.
I work with so many women who want to get into a better financial situation. Sometimes they just want to teach their kids wise financial stewardship principles, or other times they just don’t want to pass down debt. Other people desire to instill a sense of pride, ownership, etc. or they want to pass on a legacy of entrepreneurialism to the next generation. Whatever your motivation, I want to help you achieve your goals and live out your dreams.
So, let’s talk about how to build wealth.
How to Build Wealth by Investing in Real Estate
There are a TON of different methods and strategies that people use when looking to build wealth, especially through investing in real estate. My absolute favorite method though is always with no money down creative financing techniques, namely lease options. I LOVEEEEEE lease options. There is just nothing better than working with seller and renters to bring everyone to a better situation and walk out ahead financially. This is why I love to teach it every time I can.
But, I digress.
Here are my top 10 tips to build wealth by investing in real estate:
#1 Learn from those who have gone before you
You may be totally confident in jumping headlong into real estate investing. Or, you might feel completely overwhelmed with the prospect and defeated before you even begin. Here’s the thing: your feelings are normal. Everyone feels like this at one moment or another, which is why it is always important to invest in your education and learn from those who have achieved what you want to achieve.
There are so many ways to do this. Online courses, conferences around the world, coaching or mentoring programs, etc. are all valid ways to grow and learn the ways around this new arena to help you keep from getting in over your head, and encourage you that this is a feasible option if you are willing to do the work.
Invest in yourself first, and your dreams will have the foundation needed to grow and be achieved.
#2 Reject Analysis Paralysis
Now, though it is important to learn and grow in your knowledge of real estate, there is a fine line in the process to keep you from getting stuck in analysis. Have you ever just simply researched and researched and researched, but never took that knowledge you’ve studied and put it to application? THIS is paralysis by analysis.
Again, it is a normal feeling and experience by SO many people, and across the spectrum of various industries and topics. But, don’t get stuck there. Study, research, learn; then DO. Jump in, get started DOING the work needed to apply the things you’ve learned about and studied.
Knowledge without action is simply a good idea unrealized.
#3 Accept the problems, and keep going
Problems will crop up. They just happen, so be ready to accept that this comes with the territory of doing anything. You will have your ups and downs, but keep going. Don’t let some struggle stop you from achieving your dreams or learning a valuable lesson.
Struggles are simply opportunities to learn and grow. They test the character and show us where we need to change if we are going to actually achieve what we want. Do you see your own weak spots? What are you willing to do to overcome them?
#4 Seek your OWN approval, not someone else’s
When I first made the decision to pursue investing in real estate, my boyfriend thought I was crazy. He was NOT shy about his feelings either. But, guys, I was not doing this because I wanted him to agree with me or believe in me. I was doing this because I wanted to do it. I saw the potential and the steps and the value and I knew I could do it.
Don’t get caught up in chasing after the approval of others. I know it is tempting, and can even seem like you are simply seeking out good counsel, but there is a huge difference between asking the opinions of people who know nothing about real estate investing, and people who are in the thick of it. If you are going to seek counsel, look for people who know what they’re talking about and who build wealth the way you desire. If you are going to tell your friends and family, do it because you want to share your life, not because you are seeking their approval.
You are worth more than the approval of others.
#5 Decide, Commit, ACT
This is a big one. I know how easy it is to get sucked into the motivation and rah-rah energy of online articles, videos, or blog posts. It takes just about no energy to get riled up and excited to take action. But committing to the work and than actually taking ACTION are VERY different things.
If you are going to do this, be all in. Decide that this is the way you want to achieve your goals, commit to doing whatever is needed to make it happen, and then get moving! Don’t let fear stop you from achieving the results you want.
#6 Do NOT do it like a realtor
Ok, I know this is going to bite some people in the butt, but hear me out. I have had my real estate license. I jumped all in with as many different arenas of real estate as I could when I got started. But, you know what I learned? I make more money if I work with sellers on a direct, one-on-one, for-sale-by-owner (FSBO) basis than I would if I was simply a third party agent of a listing.
I am capped as an agent, and so are you; 6% max, no matter what the profit potential. But, removing that step, taking out the option of listing, and working directly allows me to decide how much I make on a transaction, and all without and out of pocket cash.
This is what I teach in my course First Deal Done Fast, because I believe SO much in the power of one-on-one direct engagement. I’ll tell you more about this later.
#7 Buy, Rent, REPEAT
Say it with me: The way to build wealth is through a continuous, dependable monthly income. If you truly want to build wealth and create a sustainable income for your family, rental units are critical.
Yes, you can make a quick buck with sales. And, yes, so many people think flips when they think about making money with real estate. But, that’s not what I’m about. I want you to truly have a solid financial game plan. Buying and holding real estate to rent is absolutely a game changer when it comes to long-term income growth potential.
Think about it. You buy a house with a seller (again, one-on-one, FSBO) making an agreement that you will give them $850 a month for their home cost. They hold the mortgage until you are ready to buy (this is called a lease option with the option to buy) and you bring in a renter who pays you $1250 a month to rent the home. You have lost nothing in the agreements, but now you are making $400 extra every single month!
Now, let’s say you repeat this same thing ten more times in the year. By the end of the year you will be bringing in an additional $4000 every month. And year by year, you continue to do the same. After two years you’re at $8000 additional every month, and so on. See what I mean?
Again, this is what I teach because I am so convinced of the power of renting and lease options to build wealth and create true financial freedom.
#8 Capitalize on your strengths
Now, I know it can be intimidating to get started. Maybe you feel totally inadequate even considering talking to people or putting yourself out there. But, what are you great at? What can you do with ease and simplicity? Get creative and weave that strength into your game plan. Are you awesome at small talk? Build relationships with everyone and anyone while going about your day, and then drop a card to let them know you buy houses.
Are you amazing at home decorating? Hold a monthly town meeting as a side method to bring in new leads by making mention to the group that you buy houses. Even if the person sitting in the chair is not interested, they may end up knowing someone else who is.
Do what you do best, and balance your weaknesses through education (refer to point #1).
#9 Short-term Sacrifice means Long-Term Gain
Look, I get it. It’s work; hard work at that. It takes mental energy, and thought and effort. But, what has anyone ever achieved without putting in the necessary hours to achieve it? Think long-term. I know that right now the discomfort is in your face and real. You might need to sacrifice some of the more important things in life for a short time while you are establishing a path to enjoy them for the long-term.
This, though, is why we have the adage “short-term sacrifices bring long-term gains.” And, it is true. Decide to make the sacrifices now to enjoy the life of your dreams tomorrow.
#10 Focus on the Finish
I just mentioned having a long-term focus and being willing to accept short-term sacrifices on the road to achieving your goals. In the process of doing this, you need to know what you are working towards. Make a vision board. Write down or glue images of the life you dream about! What is it that you want to achieve? If you build wealth like you want, what would it look like for your life? What would it change? How would you live? What would you be able to do that you can’t do now?
Focus on the finish. Set your mind on the end game and what you want to be able to experience down the road, and then get to work.
Don’t wait to get started.
How much do you truly want to change your life? What are you willing to do to make it happen? I love teaching women how to change their lives through investing in real estate. There really is such incredible power when you build wealth and take control of your finances.
This is why I have been teaching my program First Deal Done Fast for so long. And I am always blown away by the results that my ladies achieve. There is just nothing better than the mentorship and engagement that is part of the process. If you are ready to get started, you do not have to do it alone! My premier course is absolutely going to set you up for success, and I back this with my guarantee.
First Deal Done Fast will give you all the instructions and teaching to get you moving fast. You will also get connected with an amazing group of other starting investors with which to share ideas, get inspired, learn from, and grow. I LOVE our group and get so energized by all the group engagement, discussion, sharing, and success! It’s truly an incredible group to be part of. AND, you also are able to enjoy the benefits of investment education on your own timeline, since the entire course if self-paced.
I know you’re going to love it!
You ARE worthy of your dreams!
You can do this. I promise your dreams are not impossible or unattainable. If you are willing to do the work, everything you want to achieve can be your reality. And, when you do, tell me all about it! I’d love you hear all about your road to success.