Good Habits Equal Increased Profits

Formulating good habits are necessary to success. Habits help to lay a solid foundation from which consistency and growth and wealth building occur.  The keys to successful real estate investing and real property purchasing are multidimensional.  The steps are practical and easy to follow for the ardent investor.

According to Industry expert Jean Folger, there are 10 Habits of Highly Effective Investors .

10 Habits of Highly Effective Investors

1. Treat Investments as a Business They develop business plans which help to focus on goals, rather than any minor setbacks.
2. Know Their Markets They understand the markets  in which they purchase to help make sound decisions.

3. Maintain High Ethical Standards They understand the importance of a credible reputation.
4. Develop A Focus or Niche They understand that it’s better to do one thing well than multiple things poorly.
5. Strive to be Good Customer Service Representatives They conduct their business in a positive and professional manner.
6. Stay Educated They take the time and make the effort to stay educated on markets and adapt to regulatory changes and economic trends.
7. Understand the Risks They fully assess the feasibility of each transaction and make decisions based on their goals.
8. Invest in a Reputable Accountant They understand the importance of reputable tax and accountancy advise.
9. Find Help When They Need It They understand the value and risk of wasting time and money trying to solve difficult problems by themselves and understand it’s worth the additional cost to engage professionals whether lawyer, accountant, etc.
10. Build a Network They understand that you are only as strong as your team. This group of associates can be comprised of mentors, business partners, clients or a non-profit organization whose interest is in real estate. Because much of real estate investment is experimental-based learning, savvy real estate investors understand the important of building a network.

When buying investment property there are also many considerations the investor should apply to determine overall feasibility.

Three of the primary considerations are:

Location. This factor will always impact the value of real property.

A Business Friendly Building Department. Avoid unexpected cost impacts and delays as well as overall demand for a variety of housing types.

According to a recent article “How To Buy Investment Real Estate” by Amy Hoak, Market Watch, Wall Street Journal. special attention should also be given to the health of the local economy and performance of the school district .

Emphasizing the importance of habitual thinking when addressing real estate transactions should help investors make sound and practical decisions.  Decisions which culminate in meeting the short and long term goal of the investor.