Yes, there really is a bulletproof 8-point system to take you from zero to hero as a real estate investor. Follow this action plan to accelerate your success with top profit deals.
If you’re looking for a way to make the most of your investments, I have some great news for you. U.S. real estate is still the hottest commodity of our lifetime and you have about 5 years to cash in before it’s too late.
The bad news is: the deals are getting harder and harder to find.
With an influx of foreign real estate investors in the U.S. market right now, MLS listing are showing pro forma investor numbers that yield pennies on the dollar begging the question: Are there any deals left?
Let me share a pro investor tactic with you: The best deals are NEVER found, they are CREATED.
Creating deals in real estate is about innovation and systems. The real trick that you want to implement is going to be separating from your singular desire to make money or find a great deal, and focus on your system of how to do it. This is how business works.
When the crowd all clamours around one particular investment, you get that warm fuzzy feeling that you are in the right place. The downside is, you’re a little late to the party.
So how do you get in on the U.S. real estate bonanza?
Be creative! If the MLS doesn’t have deals, broaden your search. Use innovation to create systems to stand apart from the crowd.
Over the last month alone, I implemented a new system to create a continuous stream of hot deals. I have two buildings under contract right now and I’m taking my pick of even more. My secret? Off-Market Listings.
Sounds like a lot of work right? It is – but the time for your dollars in real estate investments CANNOT be matched in any 9-5 job.
There’s more to real estate investments than just handing over cash to a portfolio manager or buying into a stock – that’s why real estate delivers massive returns while stocks and funds tend to stay flatlined. The really hot deals are not just waiting for a willing buyer, they are those deals that are hidden, discovered and negotiated – especially for the new kid on the block. The truth is, real estate investments is a business.
A real estate investor is an entrepreneur. From number crunching to relationship building and sales – all those same key aspects of a business are part of your strategy and systems.
If you are focused on your goal, you haven’t given enough thought to the system you are using. In order to stand apart from the crowd and innovate, you have to ask different questions.
- What is your niche market?
- How can you find a new source of deals from the standard U.S. real estate listings on the MLS
- What type of marketing campaign will you use?
But to make it even easier for you, I’ve outlined your 8-Step System to get started buying and selling U.S. real estate with success.
Here are 8 ways you can get into U.S. real estate and achieve:
#1 – Pick Under-the-Radar Markets
Don’t go into the market that Forbes just listed and complain about the lack of deals. The person who picked that market as an emerging market did research, found demographics and names a location that shows strong economic indicators.
Do your own research and find a market that has a strong economy, development plans and job growth. Start off by checking stats on the U.S. Census Bureau Website and narrow your market selection. Once you have a few markets in mind, dig deeper by searching the Camber of Commerce websites and local newspapers.
#2 – Get to Know the Neighbourhood
Every state, city and town has good and bad neighbourhoods to invest in and that’s key for you to ID right from the start.
Use Google Earth to walk along and really get to know where you are going with a few clicks of your mouse. Technology has given you so many free resources that just didn’t exist before – leverage that.
#3 – Build Your Power Team
Your power team is crucial for your success.
You need to establish connections in your local market and decide on your internal power team tasks. Get on the phone, social media and internet search to find realtors to help bring deals (along with important info) your way.
#4 – Create Partnerships
Often, people seek out partnerships to accelerate real estate growth. This is a great idea for a particular strategy but be careful not to create a long-term partnership unless you really know the person.
It’s really common in real estate to pair up a backer with someone who is going to do all the legwork. Just be sure to write out your agreements and keep operating on a case by case basis rather than lock in your business entirely.
#5 – Plan Your Exit Strategy
The same property that is a great buy and hold is not necessarily going to be a great flip. Some of the top performance deals I’ve executed involved a lot if ingenuity to tap into the full potential of your acquisition.
Be sure to run the numbers and write out your timeline and exit strategy. This way, you know exactly what you need to do to keep your deal a profitable one.
Don’t fudge the numbers, ever.
The deal should show you that it’s worth it all on it’s own.
#6 – Research Local U.S. Real Estate Regulations
Be on the up and up of what type of regulations you’re dealing with.
Due diligence is not just the physical property – although don’t skip that by any means! Before you start buying, find out what regulations impact you as an investor and landlord.
#7 – Check for Financing Options
There are a lot of ways that you can play with money as a real estate investor.
Your new investment is not only a business and project, it’s an asset. Find out how you can set up financing through loans, refinancing and investors to give yourself the best possible deal. Avoid over-leveraging, you want to be able to use your asset to buy a new deal.
#8 – Be Creative When You Negotiate
Too often there is a focus on the total cost instead of alternate ways to arrange a deal that is beneficial and represent monetary value. Find ways to negotiate your deals that represent value to you and the seller.
Get creative and focus on taking action before it’s too late.