If you ever attended to an auction, any style of auction, you will have heard the auctioneer’s closing words – "Going, Going, (strikes his hammer) GONE!
We can adapt this call to our real estate investment plan, merely by changing one letter – change the "G" to a "D", this way it goes "Doing, doing, Done!"
You can now use this technique for your three step real estate investment plan.
Step 1 – Doing (but zip definite as of yet)
What is your investment goal? Be specific concerning things you desire to achieve, and the deadline in which to do it. Remember there is a good reason for the goal and don’t get off track.
Case in point, you may think your goal is to give up work, but that’s your dream, not your goal, it needs to be specific.
If you gave up working, what would you live on? What amount little/much are able to you survive on? Assume you would be comfortable with $100,000 per year – you’ll have to come up with your own figure, which might be much less. Which lends to the aforementioned reasoning – you have develop a certain sum.
So, if you need $100,000 yearly, how are you going to achieve that? Is this equivalent to ten rental properties generating $10,000 a piece? Maybe, it’s equivalent to five properties that yield $20,000. Yet again, you figure it out.
What is an acceptable time frame? It has to be reasonably quick, or you will always think you have plenty of time, which leads to procrastination. For instance five months. Which is equivalent to two properties monthly. (this will grow into the DONE aspect), you could further break it down to one investment bi-weekly.
Granted this is now your step 1 investment goal- to get 10 properties yielding by large $10,000 yearly.
Step 2 – Still performing (here is some concrete!)
Work out how you are going to get those 2 properties each month.
This is where you do your research, looking up deals on the internet, or trawling real estate agents. Don’t just look in the window, that’s not DOING anything, go in and see them. Informhome owners you are looking to buy, but be truthful, imagine you are looking for a hundred thousand dollar house that you may be able to purchase for $80,000. Considering you do not know the circumstances of the seller you can get these deals and even better- they could be under the threat of foreclosure, or in the middle of a divorce settlement, or there may be siblings squabbling over their share of an estate.
Continue working this you will likely need to take time off work since searching is time consuming. Make sure your taking the right steps to meet your goals. I am employed by the government, which is full of employees just busy being busy, barely ever achieving something genuinely worth doing. Don’t fall into the trap of just being busy.
Step 3 – DONE!
This step only involves getting that signed contract!
Make up a massive chart that includes three columns.
In column one, the heading; Doing – Step 1.
In this column place the figure 10, or the figure of properties you rely on.
In column two, write the heading; Doing – Step 2.
Just like aforementioned place the names of properties you wish to acquire step 2 above.
In column 3, put the heading DONE, using large brightly colored wording.
Evidently in this column you would put the names of the properties for which you have a signed contract.
Under all three columns, put "Properties to get" and "Days left". Then get the chart laminated and put it up on the wall of your kitchen, or some other prominent position in your home.
Next to the Properties to get heading write ten and for days left 150 days or about five months
All morning, count down the days. Additionally count down the deals remaining.
Trust me without writing your goal like this it will be hard to achieve. At the same time, remember it will be hard work, but assume you put in two weeks or more of complete work – that’s around 100 working hours. Let’s consider you make your goal $100,000. You’ve just been paid $1000 an hour!
Obviously, the forthcoming year is even better – you get paid $100,000 a year for doing nothing!