How to Learn About Real Estate
What is the best way to learn about real estate? Where can someone go to learn more about it?
I know of four different major ways to actually get involved in real estate.
The first one, probably the most common “do-it-yourself.”The collective consciousness in our country especially surrounding real estate is this idea that go “do-it-yourself” if you want it done right, do-it-yourself. How many times did you get taught that? I know I heard it my whole life. growing up, I don’t necessarily believe in that anymore. But when it comes to real estate someone says “wow my neighbour bought a house they made money, maybe I should buy a house.”Or maybe “I live in a primary residence and we’re moving, how about we keep our old home and just rent it out.” That’s probably one of the most common ways that someone gets involved in this do-it-yourself real estate model. It comes with a pretty high price, because a lot of people will make money on accident and then they’ll lose money on accident. So when the market goes up and down, if they didn’t buy with equity, if there wasn’t a strategy, if there wasn’t a plan, if it was just “we’ll get a house and rent it and make money right” well that’s what I would call a very haphazard approach to real estate. So do-it-yourself that’s one way of doing it. I think of all the ways it is probably one of the top most least effective.
Real Estate Education Courses
Another way of getting into real estate is with the very well-known real estate education courses. You’re up in the middle of the night, you’re watching infomercials and the gurus are out there telling you “hey just take my course, buy this.” And then of course the next thing you know someone’s trying to upsell you into a $500 or whatever workshop and from there now it becomes a $10,000 if you really want to get the help.There is an entire game out there in the real estate education industry. I actually worked in that industry for four years when I was in college and it really taught me couple things. While I built my own portfolio and made all this money I couldn’t attribute it to the seminar industry. Me personally, I don’t think that industry works for the majority of people, I’d say save your money and put it into real estate and look at some of these other ways that I’m about to share with you.
Real Estate Investment Trust
The third way of getting real estate would be a very passive way through like a REIT or a hedge fund. So just like the stock market has you investing in these companies, well you can actually on the stock market purchase into a REIT. You can use qualified funds, like for example a self-directed IRA and 401 k and things like that. So a REIT stands for Real Estate Investment Trust, and it is some large company that the public can all throw money into and then they’re going to take that pot of money, and then they’re going to go buy real estate, they’re going to go invest and then they’re going to pass out some occasional dividends. So a REIT is another way. Some of the down sides of that is that you forfeit 100% of your control, you don’t always have the level of liquidity that you like, at least its real estate though and that’s something I believe in.
Build a Team
The fourth way of actually getting into real estate, my favorite way, is to build a team. They call it a power team and have that team do it for you or with you. I like to make the executive calls, make the decisions and then I like a team to step in and actually facilitate and do all the work. With a team, you really do accomplish more because here’s the problem with doing-it-yourself, you’re trying to wear 12 different hats and it’s just you and think how stupid that is. You’re jumping into real estate with zero experience just because you read a book or had an idea. And if you really don’t know what you’re doing, I mean you could do 99 things right and 1 thing wrong and get beat up. When you have a team, you’re leveraging other people’s experience. Now you got to make sure you got that philosophy, that strategy and that system that I’m always talking about. But if you can pair that up with team I think that’s going to give you a best shot of succeeding in real estate.
So what are you waiting for? Go find that power team or go start building one, go make something happen.
If you’d like help creating a game plan specific to you?
We offer a free game plan consultation. I look forward to talking to you, to help you figure out your own plan of how you can invest in real estate with no money, like I did.