​7 Characteristics of Successful Property Investors

Success is something we talk about a lot on this blog. Seems reasonable, given that’s what anyone wants in the world, and especially so when it comes to making money and building personal wealth. However, being successful and achieving success are two different topics, and today we’re going to touch on the second one. Working with so many investors over the years, we’ve picked up on a few of the traits that the most successful of these folks seem to share - and now we want to pass those onto you. Here are 7 of the characteristics that can help you find success as a property investor.

1. 1. Know your stuff. First and foremost, a successful investor has a solid understanding of real estate, local markets, and what qualities make a property a great investment. Recognizing economic trends and market fluctuations and applying that knowledge to real estate buying/selling is also critical. Basically, getting familiar with real estate principles and being able to “speak the language” is at the foundation of successful investing.
2. 2. Honesty and integrity. Having good ethics is important in any field, real estate not excluded. In fact, some would argue that maintaining your honesty and integrity is even MORE important in real estate, because there are so many others who come into this area looking to make a quick buck - regardless of who they have to run over to do it. However, most of these people don’t achieve as much success, in large part because their lack of ethics is damaging to their reputation.
3. 3. Surround yourself with the right people. No single person can handle every aspect of property investing on their own, and the most successful investors recognize this and delegate as necessary. They don’t delegate to just anyone, though. Instead, they rely on a team of experienced, like-minded professionals who specialize in certain areas, like contracting or property management. Building a group of reliable contacts is an important step in successful real estate ventures.
4. 4. Patience and discipline. Another critical trait is the ability to practice patience and discipline in your decision-making. Making snap judgments rarely works out for investors, but careful, thoughtful consideration can go a long way in ensuring that wise decisions are made.
5. 5. Good financial sense. It should be no surprise that the best investors are those with good financial sense. An innate ability to understand financial data - and make good decisions in this area - is closely tied to successful investing. Similarly, an understanding of financial concepts as they pertain to real estate investing is a must. If you don’t understand how cash flow and cap rate work, then you’re going to struggle.
6. 6. Great communication skills. Any investor will tell you that good communication is a key skill to have, because so much of your time will be spent working out deals with others. From the moment you decide to invest in property, you’ll be coordinating with a long list of people, including realtors, lenders, contractors, tenants, and many more. Being able to effectively communicate is a necessity to ensure that your interests are protected.
7. 7. A true passion for what you do. A genuine passion for property investment is another key ingredient for success. When you love what you do, it makes everything so much easier, which in turn leads to more satisfaction and success. Passion fuels action, giving you the motivation to work hard and achieve your goals.