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Investors don’t put money into something without thinking of the return. They jump into something if they see themselves achieving their goals. Every real estate investor has their own story but the core to their success lies in their mentality towards achieving their goals. However, it’s not easy to become an expert in real estate investing right away. It takes experience, some ups and downs, and good habits. What are these habits? Check them out below. 

Effective real estate inventors’ habits

Real estate is a huge industry and a big business. You need talent, social skills, and endurance. Here are other things you need to develop as well. 

Make a plan

Jumping blindly won’t do you any good. It’s always best to lay out your plan first and determine your short-term and long-term goals. You need to do your readings and educate yourself on every aspect of your investment strategy. Check the risks, don’t leave out the pros and cons. There’s no end to learning. There are always new ways to attack an investment to attain greater success. Keep learning and associate with people who add value to your investing journey. 

Determine your investment criteria and stick to it

Goals and investment criteria are different from one investor to another. However, successful investors have something in common, they set specific investment criteria before they make the investment and they make sure to stick to the criteria. So, take your time and consider the following: 

• Risk tolerance
• Return requirement
• Target market
• Size of the property

You can follow the SMART acronym when deciding on your criteria. It should be specific, measurable, attainable, realistic, and time-bound. 

Build your network

Building a network is critical to all businesses that pertain to people. It’s important that the people within your network know you and trust you. This is easier if you’re able to add value to them. If you can, aim to meet new people every now and then. Socialize and attend web conferences, join clubs and organizations, and add value to others by giving talks/webinars, and giving out resources. Building a network is a two-way street. You won’t only be giving them your piece of experience but you’re also getting access to their success stories, habits, and experiences as well. You get to expand your circle when you join other people’s networks. 

Treat every investment as a business

First-time investors make the mistake of putting themselves out there and filling every role in the book. Similar to doing a business, it won’t do you any good if you’re going to do everything by yourself. Successful investors outsource other roles to other people. They get the help of experts and experienced people in the field to help them with their investment. Taking a step back and letting others operate some part of your investment should be part of your strategy. 

 

Real estate involves people. Habits are a critical part of your success but more so if you do business with respect and integrity. You wouldn’t want to work with dishonest people and that goes both ways. 

 

You may have passed a vacant land on your way to work today or on the way to the grocery store. You may have been passing the same vacant land for years and thought to yourself how undervalued it is. Vacant lands that just sit there are a waste and many investors see this. While others see a barren land, the right investors see a golden opportunity. Do you share the same mentality? Before you dive into investing in vacant land, it’s best to arm yourself with ample knowledge about its pros and cons and other considerations. 

 

Vacant land is a plot that’s not been developed or prep for any construction. Even then, there’s an increasing demand for vacant land because its value appreciates over time. Typically, investing in land is a safe bet. However, not the only reason why you should be looking at vacant lands as a good investment opportunity. 

Benefits to investing in vacant land

There are always risks to land investment but as we always say, the rewards outweigh the risks. The key to successful land investment is to make sure that you understand your options, have a planned exit strategy, and have done your research. Below are more advantages to vacant land investing. 

Freedom to put the land to its best use

Having your land with nothing in it gives you the freedom of doing whatever you want with it. You can start from the ground up depending on what’s the best use for the land. You can get creative as much as you want. Still, you need to remember the zoning and the limitations of the land. Make sure to check with the local government or ask your real estate agent about the zoning requirements of the land before you buy it. That aside, buying vacant land is more affordable than other properties. It also has a lower property tax and fees compared to developed lands. 

Less maintenance and competition

Unlike other properties, vacant lands are far easier to manage since it requires less maintenance. Other expenses such as the rental, the plumbing, repairs, and related costs don’t apply to vacant lands. Since there are no buildings and structures, your land is also free from possible vandalism. Compared to residential real estate, there’s less competition for vacant land. With fewer investors, you have higher chances of getting the prime location at an affordable price. 

 

Investing in land is a huge decision regardless if you’re an experienced investor or not. You can’t decide on a snap. Before you buy the vacant land, you must do your due diligence. It’s important to have a clear goal in mind. Determine what you want to do with the land and start planning from there. Even with experience, it’s still better to ask for help from expert and professional real estate agents. They know the ins and outs of investing in vacant lands. They can present to you not only the pros but also the cons of buying vacant land. The knowledge will help you make an informed decision.

Once you’ve set realistic goals and prepared yourself for the homestead lifestyle, you can formally start your journey to self-sufficiency. Homesteading may sound simple and wonderful, but in reality, it is a process that involves hours upon hours of hard work and effort. To begin the process, one will need to set smaller, more achievable goals according to priority. There are several good ways to start a homestead; one of the best projects to begin with is creating a vegetable garden.

 

How to Create A Vegetable Garden 

The first step to growing a healthy garden is marking off exactly where you want the beds to go. Consider your garden’s size, shape, and location to figure out the best set-up for you. Keep in mind that it can always be changed over time if necessary. 

 

Start Small 

If you’re a beginner, start small and keep it simple. Select up to five types of vegetables to grow, and plant a few of each type. You’ll get plenty of fresh produce for your meals, and it will be easy to keep up with the chores. A good size for a beginner’s vegetable garden is 10×10 feet. A well-tended vegetable garden that size will usually produce more than a weed-filled or disease-ridden garden measures 25×50-feet. 

 

Start Composting 

Compost is a rich, balanced, natural organic fertilizer and an invaluable resource for gardeners and organic farmers. Finished compost is often mixed into the soil as an addition. It is also applied to the soil surface as mulch. Remember, soil health is everything. So, start composting today, even if it’s on a small scale. 

 

Grow What You Love 

Start by choosing easy vegetables that are also productive. If you choose what you and your family like to eat, then the work will always be worth it. It’s a good idea to grow veggies that are not readily available or herbs that are more expensive at your grocery store. 

 

Grow Vines and Climbing Plants 

No matter how small your garden, you can grow more by going vertical. Vegetables on vines are great for growing on trellises, arbors, pergolas, and fences. Even better, growing vegetable plants off the ground helps with air circulation and can prevent diseases and pests from attacking your crop. 

 

Interplant Compatible Crops 

Interplanting is another way to grow more vegetables in a small space. You can use the plants’ natural growth pattern to match crops together and maximize the space in the garden. These systems have been used by farmers for years to increase production, decrease erosion and save space. Choose the right pairings by knowing the specific requirements of your chosen plants. 

 

Maximize Succession Planting  

 

A good way to extend your harvest is Succession planting. By staggering crops or planting varieties with staggered maturing dates they will be mature at different times. Knowing how to time your crops well allows you to grow more than one crop in a given space throughout a growing season. That way, many gardeners can harvest three or even four crops from a single area. 

 

So, what are you waiting for? Get your hands dirty, and make your heart happy! 

Undoubtedly, the two surest investments are the stock market and real estate. However, under the right circumstances, real estate can be an alternative to stocks and even do better. Investing in property gives returns over time while offering lower risk and providing greater diversification. 

 

Factors to Consider 

So, what’s the most important thing to look for in real estate? Numerous factors can help determine if an investment is suitable for you. Here’s a look at some of the most important things to consider if you plan to invest in a property.  

 

Location, Location, Location 

Location continues to be the most important factor for profitability in real estate. When you set out in search of a property, make sure the neighborhood isn’t just desirable to you but has objective qualities such as attractive amenities, safe streets, and good schools. These will help ensure your investment appreciates over time. 

 

Valuation of the Property 

Property valuation assesses your property’s value based on the location, condition, and multiple other factors. It is important for financing during the purchase, listing price, investment analysis, insurance, and taxation—they all depend on real estate valuation. 

 

Investment Purpose and Investment Horizon 

Given the low liquidity and high-value investment in a property, a lack of clarity on purpose may lead to unexpected results, including financial distress—mainly if the investment is mortgaged. 

Identify what suits your purpose, and then plan accordingly. 

 

Leverage 

Leverage in real estate is using borrowed money to buy a property. You can use significant amounts of financing when investing in real estate without adding a ton of risk. Just make sure you know the terms, conditions, and other charges levied by the mortgage lender. So, shop around to find lower interest rates and better terms. 

 

Overall Real Estate Market 

As with other types of investments, it’s good to buy low and sell high. Real estate markets fluctuate, and it pays to be aware of trends. It’s also important to pay attention to mortgage rates so you can lower your financing costs when possible.  

 

If you’re into investing in a property, stay up-to-date with trends and statistics. Certainly, investing in property returns over time and helps diversify your portfolio. Furthermore, it can provide steady cash flow, substantial appreciation, tax advantages, and competitive risk-adjusted returns, making it a sound investment. Not to mention its low correlation with other major asset classes, which is a good thing.  

 

Start investing now! As Marcello Arrambide, founder of Day Trading Academy, puts it: “Investing in real estate allows you to protect yourself and your wealth. While the real estate market has gone up and down, it has never declined over time. Compare that to when Wall Street collapsed or currencies that aren’t backed by anything tangible. Over time, you will always get value from real estate that produces income — like a coffee farm, for example. Even better if you choose a property with inherent value, such as a location in Times Square.”