When you decide to become a Real Estate Investor, then it is time to decide what type of investor you will be. Pro active, passive or sideline. Here are the four profiles that define a Real Estate Investor.
1. The true successful investor: They love the opportunity and the buy the right thing. They base their decisions on the three areas of focus for the Real Estate Investor, Their Criteria, what they want to buy, Their terms, how they will buy it and their network, who will help them. These are the buy and sell Investors. They understand taking the minimal risk and getting the maximum return.
2. The investor that collects properties. They also love the opportunity and will buy something, not necessarily what will give them the best return. They often have not decided on their three areas of focus. They do tend to be overly cautious loosing good potential deals. Their focus is usually very low risk and usually brings a low return.
3. The Investor that is a speculator. They will buy anything. They love the action of buying and very often have no regard for the three areas of focus. This is a high risk investor who is looking only for the high return. Done properly they can be very successful in the short term. Make a mistake and they can be financially ruined.
4. The investor that is actually on the outside looking in. This investor loves the idea of investing in property and will look at all the available investment properties in the area. The problem with this investor is they also have not looked at the three focus areas of investors so although they love the idea they never buy anything.
So which investor are you? To be successful in anything and especially in becoming a Real Estate Investor, you must have a plan of action and then work that plan. Many would be investors never take the action needed to succeed. Hope this helps and as always if you have any questions just let us know.
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