There is no shortage of advertisements, reality television shows, and YouTube stars that go around talking about the fortune awaiting your next real estate flip. They make it sound easy and straightforward. It can be! Flipping homes has become a popular venture and one that people of all walks of life have taken a stab at. The initial hurdle for average investors seems to be getting over that stage fright or ‘beginner nerves.’ It’s natural to be nervous about jumping into a new financial adventure. But you don’t have to do it alone! There are plenty of resources and advice out there that can help you proceed with caution and an arsenal of knowledge. So let’s take a look at some good ways to break into the real estate business.
Here’s How to Become a Solopreneur
Previously, we wrote about the spirit of entrepreneurship in America and how it drove innovation and economic expansion. Today, there is a new hot button word that takes from this incredible spirit of adventure and transfers it to the work that you can do as an individual. Hence, the solopreneur. While many do house flips as a tag team activity, it is also something that you can do on your own. In many ways, define your own schedule, rules, and goals. It’s why sometimes house flips are known to be one of the favorite activities of solopreneurs.
House flipping can be for everyone: from homemakers, young professionals, and even movie stars and celebrities. Several notable names have made quite the fortune with real estate investing. Some of these people include Arnold Schwarzenegger and Vanilla Ice. As if Mr. Schwarzenegger hadn’t done enough in his life, as a world-famous body-builder, iconic actor, and governor, many people will be surprised to know that young Schwarzenegger got his start in real estate investing. His early investments and the revenue he acquired from them allowed him to pursue his billion other interests. He would scrape together winnings of body-building contests and other gigs to purchase multi-family real estate. He would then, in turn, convert into revenue streams.
Using Fear as a Powerful Motivator
As humans, fear is a defense mechanism to protect us from harm and dangerous situations. Biologically speaking, this can be a very useful tool. However, we all know that fear can also hinder our ability to take just enough risk to do extraordinary things. Just ask anybody who has ever done anything worthwhile, and they will tell you that they suffered from nerves and quite possibly some serious doubt at some point in the process. It’s ok. Television makes house flipping seem very easy, but when was the last time something was as easy as seen on tv? Real estate investing is there for the taking, but it does require some due diligence and smart decision-making. Here’s how to get started.
Tip #1: Learn what you can and continue learning.
Like any other industry, the real estate market and the industry are always changing. It is very closely connected with the market and the state of the economy, so looking out for signs and having some cursory understanding of the many factors that affect investing will only serve you well. Don’t act blindly. Sit down and organize your thoughts and figure out where you might lack knowledge.
Tip #2 Build a Network of Support
Many people try to break through into real estate, and many of those people remain eager to share their knowledge and experiences. There are people out there that dedicate their whole life to real estate and studying the markets. Many communities have open financial advising meetings or support groups for those trying to get into real estate. Get ideas. Learn. And find a network of people that are there to help you with a wise word when you need it.
Tip #3 Partner Up With A Suitable Real Estate Agent & Contractors
Flipping a home is one thing, but you are going to sell the property at some point. Part of building a professional network is looking around for trustworthy real estate agents that specialize in flips and know the market. Real estate agents are on the front lines, and they are filled with useful tips and advice. Working with someone you trust and that you don’t have to micromanage when it comes time to sell is one way to ensure a successful and quick sale of your property. Knowing and trusting contractors or companies that will be part of your ‘repair team’ is also huge. Working with people you can trust to do the job right will save you the tendency to need to micromanage every single repair.
Tip #4 Gain Knowledge of Interior Design and Home Repair
One mistake that people make when flipping homes comes in the form of the repairs themselves. If you’re buying a flip property, it is understood that you will be making repairs on the home yourself. You’ll likely want to oversee some of these repairs, and some you will trust contractors in your area. So, just because you are remodeling and making repairs to the home doesn’t mean you are doing it the right way. More specifically, it doesn’t mean that you are pouring the most resources into the most important kinds and types of repairs.
You also want to think about having a safety net. Don’t go all in the first time and play it smart. Keep your eyes open, and you’ll be just fine.
One of the best things you can do is go with trusted capital. Here at Entrust Capital Funding, we support the entrepreneurial (and solopreneur) spirit. It’s why we provide easy access to loans and help people make a splash in an industry that is open to anyone willing to work for it!