5 Mistakes to Avoid when Starting your Real Estate Career

[Rick Howell]

When you are just starting a new business, the first few months are critical. You only get one chance at a first impression, and in the early days of your role as business owner, every contact counts. In the real estate world, this can be the difference between staying in business and washing out before you ever really get going. Now is not the time for mistakes. Here are five mistakes you want to make every effort to avoid.

Not Sticking to your Plan

When you are starting out, it’s easy to start to second-guess yourself and to be swayed by other people’s opinions. But what works for them may not work the same way for you. When you started this venture, you had an idea of what you wanted it to look like. Don’t forget that. Even if you need to make minor adjustments, or face unforeseen challenges, keep that vision in your mind.

Giving Up Too Soon

Don’t be surprised if your first couple of investment deals don’t pan out. It’s just a fact of this industry. The sooner you come to terms with this, the better—and the faster you can move on to the deal that does work. Don’t throw in the towel on your vision at the first sign of trouble. Give your marketing strategies a chance to be effective. Work on making connections and building relationships. Keep moving forward.

Taking on Too Much

In addition to not quitting too soon, don’t go the other extreme and take on too much at once. Balance is key. When this is all new, you may feel like you can’t say no, for fear of missing out on a great opportunity. But you need to know your limits and keep from overstretching. Otherwise, you run the risk of completing a lot of deals with less-than-optimum quality, which will negatively impact your reputation and future opportunities.

Failing to Build a Reputation

Not only do you want to avoid tanking your reputation, you also need to make sure you are in fact doing the work to build a good reputation. This takes time, particularly if you don’t already have a lot of local industry contacts. In today’s digital world, it’s easier than ever to reach your target audience. You just need to know how to use social media to your advantage. Other channels include networking groups, local chambers of commerce, industry-specific conferences, and mail flyers and advertisements.

Making Assumptions

Don’t assume. You know what happens. Do your homework and then draw your conclusions. Mistakes happen when you assume markets haven’t changed, or that what worked for another investor will work the same for you. Whenever possible, gather facts and reliable data before making a decision. There is enough inherent risk in this field without adding more unnecessarily.

Even when we have all the information at our fingertips, property investing can be a difficult road. What is important is that you don’t give up and that you learn to work through stumbling blocks. We all learn more from our setbacks than we do from our successes, and there is a definite learning curve to property investing. Don’t give up, stay focused, do your research, and be patient. The right deals will come your way.