Investing in real estate is as much about the entrepreneur mindset as it is about mastering a particular set of skills. If for nothing else, an objective ability to invest and an inherent ability to apply logic to a respective deal are mutually exclusive. You can’t run a successful investing company if you aren’t capable of exercising the appropriate skills, and you certainly can’t realize your true potential without an entrepreneur mindset that will promote success. But I digress; while you need both of these traits to succeed as a real estate investor, one takes precedence over the other: the entrepreneur mindset.
While your ability to invest can take you far in an industry such as this, ability is rendered moot in the event the individual using it doesn’t have the right mindset. Skills — great as they may be — are useless if they aren’t applied. That said, an entrepreneur mindset is a powerful tool that can’t be ignored. Not only will an entrepreneurial mindset serve as the perfect catalyst for putting your ideas into motion, but it can also improve upon the abilities you already have in place. At the very least, your entrepreneur mindset is the foundation on which everything you do will be derived from; treat it well and it will reward you accordingly.
I am convinced that small business owners who intend to discover an entrepreneur mindset of their own need to start with a clean slate. Those that intend to carry over old habits run the risk of importing the bad with the good, so I recommend starting from scratch. Whether you are a seasoned investor or a greenhorn intent on closing a real estate deal for the first time, it’s of the utmost importance that you look at your business from a new, fresh perspective. The day you decide to develop an entrepreneur mindset is the day you start anew; it’s in your best interest to remember that.
Forget what you thought you knew about running a business, and take the time to learn it all over from the very beginning. At the very least, the most prolific entrepreneur mindsets of today may not bare any resemblance to what worked for those entrepreneurs in the past. What worked in the ‘90s, or even just 10 years ago, may have no relevance in today’s fast-paced real estate industry. Think about it; the world has changed dramatically in just a few year’s time.
It’s worth noting, however, that there is one constant exhibited by the best entrepreneurial mindsets. I maintain that the best entrepreneur mindsets are those that derive from a purpose. I like to call the purpose that drives my business my why, but perhaps you are more familiar with the term cause. Regardless of what you call your reason for becoming an entrepreneur, it needs to steer your every action. Everything you do should be for one specific reason: your very own why. There is no greater navigator for a business owner than the reason they got into the business in the first place, and the mindset of a business owner can help you get there.
Your purpose for going to business will add another dimension to your company; one that transcends monetary gains or material possessions. It will serve as your reference when things get crazy; your very own North Star, if you will. To find the right entrepreneur mindset for closing real estate deals, you must first understand what it is you are working for. Is it to be able to go on a trip around the world or pursue another passion? Is it to make yourself proud? Or perhaps it’s to spend more time with your friends and family? Whatever it is, it needs to be strong enough to light a fire under you; only then will your mindset receive its true compliment.
Your reason for going into business should be so strong that failure isn’t an option, which is why it is so important for establishing a truly great entrepreneur mindset. Those blessed to be endowed with a truly exceptional entrepreneur mindset are few and far between, but don’t worry, that doesn’t mean those that aren’t born with one can’t get to that point. If for nothing else, a great entrepreneur mindset is like any other tool; it needs to be sharpened and honed over time.
With enough due diligence, determination and will, there is no reason you can take your business to the next level with an equally great entrepreneur mindset. There is no doubt about it, the right attitude is everything in the real estate business, which begs the question: How can an entrepreneur mindset actually help you close more deals as a real estate investor? How does a particular view of the real estate industry turn into more cash in your pockets?
It should go without saying, but the success of your real estate investing company is the direct result of how you, its founder, think about it: The product it provides, the people it serves and how it does everything. How you view the very company you are running will go a long way in determine the path you take, and those with the right mindset will begin to see their dreams and aspirations become a reality.
Of course, goals won’t be met by pure willpower alone; you need to get your feet on the ground. However, in order to do so you must have the right mind set; see where I am going with this? If you want to close more deals, you must first bring in leads, market for potential buyers and sellers, and a whole slew of other activities, not the least of which would be possible without the right entrepreneur mindset. Your own mindset is the catalyst to your actions — the preverbal fuse to the dynamite. Without it, chances are you would be perfectly fine resting on your laurels.
Now that you have a better idea of just how important an entrepreneur mindset is to getting a business off the ground, let’s take a better look at what makes for a great mindset. Without getting ahead of myself, it should be noted that there isn’t a one-size fits all answer; different mindsets work for different people, and even different industries. Outside of the why I discussed earlier, entrepreneur mindsets can come in all shapes and sizes; the key is to determine which one works best for you.
For the sake of this article, let’s assume you want to close more deals. If that’s the case, there are few attributes that would benefit your very own mindset, and — in no particular order — here they are:
While far from the only attributes exhibited by the most prolific entrepreneur mindsets of today’s real estate market, these fundamental traits are integral to the success of small business owners in our industry. On their own they are incredibly important to the success of a real estate investor, but combined with the right why and a little due diligence, they can bring almost any business to the next level. There is no reason your business couldn’t benefit from an entrepreneur mindset founded on these six principles.