5 Networking Mistakes Investors Make

Okay, you know you need to network. We’ve already established how important it is to build those professional connections, and how it can lead to exponential increases in opportunities, growth, and success for you as a real estate investor.

But, are you doing it right? Are you networking effectively?

All too often, I see investors at networking events that are NOT being effective. And even after the seminars and meetings are over, these guys are still making mistakes, because they’re not doing the right follow-up steps to ensure their time spent networking is paying off.

Here are the networking mistakes you need to avoid as a real estate investor:

1. Inconsistent, infrequent networking. Going to one event per year isn’t going to cut it. Neither is relying solely on social media to fulfill your networking “requirements.” You need to get out there and attend face-to-face meetings with real, live people. People need to be able to make the connection between your name and your face, and you need to do the same for theirs. So many investors claim they don’t have enough time to do this, or they feel it doesn’t pay off, or they’re not actively looking for new properties so why bother with networking? This is baloney. Networking should be part of your everyday investment strategy, and the best way to make it pay off is to do it regularly and do it well. Look for seminars, meetings, or other professional/social events where investors and others in real estate gather, and make it your business to attend several per year.
2. Being anti-social or only talking to the people you know. It seems a little silly that anyone would attend an event and then not talk to anyone, but it happens. There’s always that one person in a room full of people who is sitting by themselves with their face buried in their phone. Obviously, this is extremely counterproductive, and there’s no point in even going if you’re not going to interact with other people. So talk. Introduce yourself. Work the room. NETWORK.
3. Not establishing your intentions for going. Going to a networking event just for the sake of going doesn’t really make much sense either, does it? No. You need to go with a purpose. Before attending, ask yourself what you’re hoping to get out of it. What are your objectives? Be specific about them, too. For example, you could make it a point to leave with the contact info of a wholesaler, a contractor, and 3 other investors in your market.
4. Not listening. Too many people talk, and not enough people listen. This happens everywhere, not just in real estate. The truth is, if you’re like most people, you need to step up your listening game. Instead of focusing on your contributions to a conversation, make an effort to really hear and understand what others are saying. You may be surprised at how much more you can learn.
5. Not following up. And here’s the biggie…the mother of all networking sins – not following up with the contacts you made. There’s really no point in attending any sort of event or doing any kind of networking if you’re not going to reach out to the people you’ve met. I’m not saying you need to follow up with everyone (although, a quick “it was nice meeting you” email doesn’t take much time or effort, and could pay dividends later on), but you do need to develop a realistic plan for follow up. Email is great, and so is connecting on social media. I challenge you to take it a step further, though. One way to do this is to invite your contacts to join you at other events. Not only does this help build potentially important relationships, but it also shows that you’re interested in helping others, which in turn will make them more likely to help you.

Networking is an important part of any investor’s strategic plan, but it only pays off if you know how to do it well. Avoid the mistakes above, and remember, practice makes perfect. The more you network, the more effective you’ll become.