Can You Handle the Competition in the Real Estate Industry?

Ok—you’re thinking about investing in real estate.

Maybe you’ve decided to take it up part-time or change your career trajectory entirely. Or you want to generate income even as you transition into retirement. Maybe you’ve recently received an inheritance or your W-2 salary allows you to join a syndication as a passive investor.

There will come a time that you’ll start to notice…there are a LOT of people who work in the real estate industry. It can be a very competitive field, with everyone from financiers to property owners to private equity firms all seeking a piece of the lucrative real estate investment pie.

It can feel pretty intimidating when you’re new to the game. The good news is there are plenty of opportunities to go around.

 Why Real Estate is Worth It

When you’re just starting out, you may wonder whether you’ll ever be a big fish in the real estate pond. Well, we’ve got more good news: you have nearly limitless opportunities to grow and expand your reach over time. Real estate investing can be highly profitable if you know what you’re doing—or if you invest with a firm that knows what it’s doing.

The Us population is projected to rise over the next decade, driving up demand for both residential and commercial real estate. More people will need more places to live, work, shop, and gather, a dream come true for a real estate entrepreneur.

Both active and passive sides of this business are ripe with opportunity, so you can be as hands-on or hands-off as you wish. And in both cases, you have the potential to grow and scale your revenue and assets in a way that’s virtually unheard of other industries.

 Handling the Competition

The promise of real estate success lures in a wide range of professionals, some of whom you’ll go toe-to-toe with. Yes—the competition can be fierce, but so are the rewards. Real estate investors can find ways to collaborate, even if they’re technically competitors. For example, in an era of mixed-use development, real estate pros with different skill sets and networks can work together to get deals done, build these community centerpieces, and turn significant profits together.

It’s important to note that not everyone in the real estate market will be an opponent. In fact, there are a host of professionals who work in different facets of the industry, many of whom are likely keen to share knowledge and work side-by-side to scale their individual ventures. For example, investors closely network with:

• Investment advisors
• Bankers/lenders
• Real estate agents
• Real estate brokers
• Title professionals
• Developers

You each have a specific skill set and deep knowledge in a particular area. Take the time to connect with them—the fruits of this labor will be both productive and profitable.

 Final Thoughts

Real estate professional or not, you’ll see greater success when you approach life with curiosity and a desire to learn more. That includes whoever or whatever you perceive as a “rival.” Those who view their competitors as a tool instead of a threat are often more motivated, flexible, and successful.