Great real estate team = successful real estate investor
When first starting out with real estate investing, forming your own real estate team is one of the hardest, most challenging aspects of getting into the game. It is typically trial and error to find your team members; not every person will be a great fit. Every one has different attitudes, competencies, and weaknesses.
The most important members of your real estate investing team are as follows:
1. Deal finder – This will typically be your real estate agent. A real estate agent who also invests in real estate is a really good place to start when building your real estate team. You can leverage their market knowledge, network and influence in the field. They can be your first mentor, and can show the ins and outs of your market. Your deal finder can also be a wholesaler, who can find you off-market deals.
2. Lender – These are your banks, credit unions, mortgage brokers, and hard money lenders. Being able to leverage your money through financing is a very powerful tool in building wealth. Real estate investors are currently enjoying historically low interest rates and very favorable terms. Funds can also come from private money – this can be your family members, friends, or acquaintances who are interested in investing in real estate.
3. Property manager – Property management can make or break your investment. You really have to spend time interviewing multiple property managers to find the right one. Make sure they have great systems in place to ensure your investment is running efficiently. They help pricing your rents, ensures there are no deferred maintenance items, and most of them also helps with bookkeeping using property management software.
4. Handyman / General contractor – Best way to get your handyman/ GC is through referrals. You can ask your agent, property manager and other local real estate investors for someone they liked working with in the past. Great ones are hard to find. Be patient!
A real estate investor can take any of the roles above – you can be the agent, lender, property manager, or handyman. I know a lot of investors who do everything on their own. This saves them a lot of money but there are also drawbacks. It is very difficult to scale a business when you are try to do every single thing on your own. You will end up getting in your own way when trying to grow.
I strongly believe in self reflection. Every individual has their own strengths and weakness. It takes some humility to accept that we are not the best at everything. Look yourself in the mirror and be honest. Pick out a role that you like the most and aligns with your strengths. Then, find and surround yourself with people who are great with your weaknesses. Finding partners that complement you is like pouring rocket fuel to your business to achieve extraordinary success.
What type of person do currently need in your business/ life?
Keep safe everyone!