By Mike Baird
If you’ve ever watched an episode of Flip Men, you know how much I love flipping houses. For me, being a real estate entrepreneur is a dream come true because I love being my own boss. There’s nothing like being able to take the afternoon off without having to ask anyone for permission, or not worrying about performance reviews or if I’ll get that pay raise I’ve been asking for for the last two years. But I’ve got to be honest—being the boss of your own real estate business isn’t for everyone. That’s why I came up with this quick quiz that you can take to find out if you’re really ready to become a real estate entrepreneur. Let’s get started!
1. Do You Have a Business Plan?
Being a real estate investor means owning your own business. You may be your only full-time employee, but you’re still running a business. You’re going to be hiring contractors, working with real estate agents, talking with accountants and attorneys, and much more.
If you want to be an entrepreneur of any kind, you need to come up with a solid business plan and stick to it. Determine what kinds of properties you’re going to buy and whether you’re going to wholesale, rent, or flip them. Decide whether you and your spouse will be working together or not. Choose whether to become realtors or to hire someone. If you have a good business plan, you have a strategy to carry you through your first weeks and months of investing and flipping.
2. Do You Know Where to Get the Money?
When you made your business plan, did you remember the money? Do you know where it’s coming from? As you know from watching the show, sometimes we use our own savings, but we usually partner with investors and private lenders to fund our flips. If you’re just starting out and don’t have a lot of investment connections, you might want to go with a hard money loan to pay for your first flips. It doesn’t matter which way you go, but you do need to know where you’ll be getting your funding.
3. Are You Ready to Be the Boss?
Are you ready to wake up in the morning and go driving for dollars? Can you keep a schedule and stay organized without outside motivation? Are you good at sticking to deadlines that you set for yourself? If you said yes, then you’re ready to be the boss!
4. Do You Love Networking?
We get a lot of great leads on potential flips from our friends and family, but we also get leads from our professional contacts. For example, we have wholesalers who call us first when they have properties they know we’ll like.
The benefits of networking don’t end there, though. We also have some really great working relationships with contractors, accountants, and investors. All of these people make our job easier. And we help them out as much as they help us. Networking is a huge part of flipping houses.
5. Are You Ready to Be On the Lookout for Deals All the Time (Even If It’s After Business Hours?)
I can’t tell you how many deals I’ve found “on the fly.” I’ve found them while drinking my morning coffee and perusing real estate listings, I’ve found them while driving one of my kids to a playdate, and I’ve even found them through a chance encounter at a grocery store. The bottom line is you always have to be on the lookout—there’s no time you shouldn’t have your eyes open to spot deals.
If that sounds like something you can do, and you can get as excited as Greg and I do about finding amazing real estate deals, then you’re ready to be a real estate entrepreneur. Want to know more? Sign up for one of our real estate seminars and learn all of the secrets to successfully flipping houses from a couple of veteran flippers who love getting great deals.