These next two most incredible highly effective habits for successful real estate investors hits home with just about everybody I come in contact with.   There is no real estate investing business that can survive the times with them.   It is impossible, yes impossible, to sustain the decline of retail buyers, wholesale buyers, and investors without a very strong Buyer’s List and a very strong source or many strong sources for Private Money.

Build a Buyer’s List

I am pretty sure that if you’ve been following along you may have run across my article that touches on how to effectively build a buyer’s list through free ad sites.   I can’t say enough about the importance of “THE LIST.”   If you do not have anyone to sell your properties to and you do not plan on holding these deals yourself, why are you going out and securing contracts.   I really want you to play close attention, however.   There are some extremely large buyer’s lists that you can either buy your way into through education or that you can buy online through different list brokers.   Although you need to get a buyer’s list, the size does not matter.   You want quality, well educated investors who can close the contracts you present to them.   It is very clear to see who is buying and who isn’t if you look at affiliations and the contract assignment fees of aggressive wholesalers.   If you have 25 legitimate buyers, you are ahead of the game.   There is no use in having a list of 800 people if they don’t buy.

I have one more note about the buyer’s lists; you need 3 of them.   When you do ads and different solicitations of buyers and investors, you need to make sure you are targeting buyers with different interests.   There are retail buyers who are usually possible owner occupants.   There are investors who generally need to purchase at 65% of market value less the repairs needed.   The last group is the wholesale buyers who are looking for anything that they may be able to hold to rent or lease option for a number of years.   In our market, this is the smartest investor.   Make sure to change your titles and ad (solicitation) content to appeal to those different groups.   Even if it is the same house that you are marketing to attract these buyers.    I guarantee you won’t have any trouble building a quality list with this highly effective habit.

Solicit Private Money

Ever since my business partner and I ever got into real estate investing, the first thing we were told to do was to solicit private money to use on our deals.   I don’t think we really understood how important it was until we started getting deals and started getting stuck.   The rules of the most incredible highly effective habits of successful real estate investors requires that there should be an ever-constant pursuit of private money.   You can never have more than enough available to use on transactions of all sizes and terms.    I have definitely shared with you a few effective ways to solicit private funds but once again I would say that the free ads sites are one of the best ways to find private funds.   Private investors comb the internet looking for the best ways to use their idle funds.

You just have to let people know that they aren’t alone in their frustration with low returns on your investment dollars. And in response to that problem, you have created a solid program that will eliminate the low returns that they are now receiving, and pay them a passive, predictable 10% to 12% interest from real estate notes.   It will work, I do promise.   Just make sure you never touch the funds.   Always have private funds wired to the title company you are using for the transaction and secure all monies with the actual real estate being purchased.   This avoids any claims of fraud or theft.    Private money is certainly a most incredible highly effective habit of successful real estate investors.