The Language Of Real Estate Investing Use The F Words To Succeed

The Language Of Real Estate Investing Use The F Words To Succeed



If you’re new to​ real estate investing, you probably haven’t figured it​ out yet. But you will. It’s inevitable. Stick around long enough and​ you’ll discover that successful real estate investors have their own lingo. Yes. Their own language. and​ if​ you ever talk to​ these investors, most of​ them will quickly resort to​ certain “F” words to​ explain their success.

Let me share just a​ few of​ these “F” words.

Focus

The all-important concept that keeps you on a​ clear, purposeful, directed path is​ focus. We are all focusing on something at​ every moment. for​ example, right now you are focusing on this article. How often are we focusing on the​ wrong thing? the​ key is​ to​ be focusing on the​ right thing. if​ you carry a​ lighted flashlight that is​ focused up instead of​ down at​ your feet, what would be the​ odds that you would trip in​ the​ dark? the​ odds, I say, would be fairly good. the​ flashlight is​ pointing at​ something; it​ just might not be pointing at​ the​ right thing.

For example, successful real estate rehabbers focus on the​ process – the​ rehab process - not the​ product. the​ product is​ a​ natural outcome of​ doing the​ rehab process well. Real estate achievers focus on implementing a​ duplicatable process to​ keep their rehab business growing. Non-achievers lack focus and​ haphazardly rehab the​ home. if​ the​ rehabbed house turns out all right, they credit their lucky stars. if​ the​ house is​ a​ dud, well, their lucky stars were not aligned just right.

Focus is​ the​ act of​ actually doing those actions that lead to​ the​ desired outcomes that you have chosen for​ yourself. Focus on the​ right things and​ you will get the​ right results.

Fix and​ Flip

If you are just getting into real estate, fixing and​ flipping properties is​ one of​ the​ best ways to​ realize substantial profits without using your own money. You start by searching for​ motivated sellers with junkers. in​ other words, find people desperate to​ sell their house that is​ in​ bad condition. Once you acquire the​ house, you fix it​ and​ quickly add value through a​ systematic rehab process. Then you resell the​ house quickly for​ a​ profit.

Let’s suppose you stumble on a​ property suffering from neglect by its prior owners. You sense that there is​ a​ lot of​ money to​ be made because you can buy the​ property well below its market value, make the​ necessary repairs, and​ then sell the​ property.

To successfully implement a​ 'fix and​ flip' strategy, you don’t need perfect credit, but you must have access to​ some cash. Preparing a​ real estate business plan to​ present to​ prospective lenders will vastly improve your chances of​ getting all the​ money you need to​ purchase the​ property including the​ repairs.

You can use the​ real estate business plan to​ provide your potential money lenders with your approach to​ your rehabbing business. You need to​ assure them that they’ll have a​ first mortgage on the​ property that will be secured by the​ property itself. Most importantly, your lenders need to​ know that that you’ll only purchase deals that are 20 to​ 30 percent below their after repair value.

After you purchase the​ property, the​ average turnaround on a​ 'fix and​ flip' property is​ approximately 90 to​ 120 days from the​ date you purchase the​ property to​ the​ date you cash out on the​ property. This timeframe is​ based on 30 days to​ fix it​ up, 30 to​ 45 days to​ sell it​ on the​ market, and​ usually 30 to​ 45 days to​ close. This process can be done faster, of​ course, under the​ right circumstances. However, the​ process can also take longer if​ you don't get the​ property up to​ market standards and​ in​ selling condition in​ this time frame.

How many houses do you want to​ do? How much money do you want to​ make? Even on a​ part-time basis, doing a​ ‘fix and​ flip’ several times a​ year can generate a​ nice second income. Yes. a​ second income that can quickly surpass your full time income.

Financial Freedom

Real estate is​ one of​ the​ best and​ easiest ways to​ create wealth. More millionaires have made their fortunes in​ real estate than anything else! Here is​ what some of​ the​ wealthiest Americans have said:

· “Real estate is​ the​ basis for​ all wealth.” - Theodore Roosevelt
· “Buying real estate is​ the​ best, safest way to​ become wealthy.” - Marshall Fields
· “90% of​ all millionaires made it​ through real estate.” - Andrew Carnegie

Generally, most individuals that are looking for​ ways to​ get ahead financially give some serious thought to​ real estate investing. and​ many take the​ plunge. But why do so many that take the​ real estate investing plunge fall short of​ their financial goals?

Well, there are plenty of​ reasons to​ go around, but the​ principal reason centers around unrealistic expectations.

Many new investors are unwilling to​ pay the​ price. All worthwhile endeavors require some sustained and​ focused effort. in​ other words, some real work.

But many of​ us are searching for​ the​ magic key that will open the​ “real estate treasure chest” to​ instant wealth. is​ it​ possible this magic key exists? Honestly, I think I have a​ better chance of​ getting my face carved on Mount Rushmore than you have of​ truly finding that magic key just lying around somewhere.

By now you know that success comes before work only in​ the​ dictionary. Sure, it’s a​ cliché, but it’s also a​ profound truth.

There are other “F” words that permeate the​ vocabularies of​ successful real estate investors. But if​ you will make focus, fix and​ flip, and​ financial freedom a​ part of​ your vocabulary, you will be on your way to​ reaching your financial goals.

I should know. Seldom a​ day goes by that I don’t use one or​ all of​ these ”F” words in​ my business.




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