TOP 5 REAL ESTATE INVESTOR MISTAKES TO AVOID IN 2012 REAL ESTATE GAME
I have been investors the majority of my real estate career. My entire radio show was focused on how to invest in real estate. I did my radio show for five years before I temporarily ended it last year for personal reasons. Now, I am honored to meet new investors each week when they come in wanting to invest in real estate. This is not my first rodeo. So, here are the top 5 mistakes that I see investors make regarding real estate investing:
- LONE RANGER MENTALITY-Investors think they know everything and can do everything themselves. Real estate is a team sport as expressed in Rich Dad, Poor Dad book series. The Lone Rangers of the world will get to the top. However, it will take them longer because they do not have a network to assist them.
- NO PLAN-Many investors do not create a plan before investing in real estate. That is a huge mistake. "Make the Call, Set the PLAN, and Do the Deal$" is my tag line on my radio show. First, we create the plan. Then, we do the deals. There is a natural order to follow.
- LACK OF PROTECTION-Many investors do not cover the proper insurance both personally and professionally. Furthermore, most investors do not have their properties in LLCs for a layer of protection in case of lawsuits down the road. Many investors continue to increase their investors. However, they do not protect their assets.
- OVERPAY-Investors will work with a real estate agent without asking their own experience. There is a lot of due diligence when it comes to researching investment properties. One must be skilled to judge the market and current market value. I have witnessed many investors pay too much for the property. Here is my motto"DO NOT PAY RETAIL."
- ANXIOUS-Real estate is a game of patience. It reminds me of playing chess. Most investors jump the gun too quickly. This costs them big time down the road.
Please review my list above and share some of your experiences when working with real estate investors.
Make the Call, Set the Plan, Do the Deal$!
Feel free to listen to my Radio Show to learn more about the phoenix real estate market, new trends, and the latest opportunities. The Real Estate and Beyond Radio Show Airs every Saturday from Noon-2:00pm on Conservative Newstalk KKNT 960am in Phoenix, Arizona. You can listent to past shows, or stream on-line.