real-estate-investing-is-craftWith anything in life, there are a whole bunch of ways to approach something (but! – nothing one-size-fits-all). There are a lot of teachers out there in real estate development who will tell you there is one sure-fire way to get results as an investor. What they don’t tell you is simple: there are a lot of approaches that will work. The thing is, and this is a big thing, what will work for you? What most resonates with you? What is your skill set? How much time do you have? What do you want to achieve?Obviously at Hipster, we think turnkeys are magic (for us, they really are). Cash-flow is king, and turnkey renting is your safest way to create genuine in cash-flow in real estate. We advocate getting great at the craft of turnkey renting. If turnkey renting isn’t for you now, or ever – what is for you? Don’t spread yourself too thin by trying to do it all.

Pick a way to invest and get good at it…really good. Think about crafts and artisans. You can’t be an ace artisan if you do a little bit of everything: painting, glass-blowing, wood carving and welding. Most of us don’t have the time or money to be even half-way decent at all of those things. Pick your poison, learn everything you can about it and then start turning that talent into cash. Real estate investment is a craft. Whether it’s crafting deals through flipping or rehabbing mass amounts of properties, pick what you want to learn, what you want to make, and do it well.

Ask: What Makes This Craft Awesome?

In choosing which type of investing is for you, you’ve got to find out what makes an approach awesome. If there’s an investor you admire, or a type of deal you’re interested in getting great at, start finding out what’s going on behind the scenes. How? Dissect it. If, for example, you think flipping might be for you – don’t get caught up in the glamor or promise of easy money. Look at what a flip actually is. What are the risks? Could you handle the stress? Could you excel at it? Or – are you interested in turnkey renting? Find out what turnkey renting is all about. Look at the numbers. Would you invest in your own backyard or out-of-state? Would you hire a property manager? Dissect what you’ll actually be doing before you commit.

Learn: The Principles

In any craft, you need to know the basics of how to do it. You can’t sew a fisherman’s sweater without knowing some basic stitches. Don’t jump into anything without having a background on how to do it. What are the fundamentals? Why? Get a handle on, and an overview of, any approach to investing. Look at examples of others who have done it well. Read books. Network. Work with others. Write down your questions and find answers for them. Know what your target cap rates will be. See the ROI you want per deal. The principles are like structural beams that hold up the metaphorical house you build as you invest. Make your beams strong.

Do: Put Your Own Spin On It

So, you’ve picked a craft. You’ve learned how to do it. Great – but that’s not it. Just doing something well isn’t going to make you stand out. For example, Hipster is great at turnkey investing. But that wasn’t enough – we wanted to put our spin on things. What did we come up with? A drive to educate and help others who want to invest in turnkeys in addition to our pretty serious emphasis on seriously awesome living through lifestyle design. Without putting your own spin on investing, you’ll get bored. You’ll give less – and you’ll get less in return.

Key Takeaway
Real estate investing is absolutely a craft, or a form of art. We investors are artisans. We approach investing with skill, passion, creativity and hope. We want to change buildings, neighborhoods and lives (including our own). Pick your approach. Learn it inside and out. Then, make it unique: invest yourself in what you do.

 

Photo Credit

 

 

Leave a Comment

Your message.

Who are you?