TWENTY REASONS MOST PEOPLE FAIL TO MAKE IT AS REAL ESTATE INVESTORS

I always strive to tell it to my readers as it really is. I do not believe in sugarcoating the truth. And that is why I want you to know that most people— more than 51 percent—fail miserably as real estate investors. I am telling you this not to discourage you, but to warn you about the consequences of investing in real estate in a haphazard manner.

I attribute this relatively high failure rate to the fact that the real estate investment business does not have any of the so-called barriers to entry, which many other businesses have. In other words, there are no background, educational, competency-testing, licensing, insurance, or capital requirements to set up shop as a real estate investor.

Anyone can enter the business at any time, without the slightest clue as to how to operate a profitable real estate investment business. As a result, most people usually fail to make it as real estate investors for one or more of the following reasons:

Reason 1: Paying above market value for property.

Reason 2: Lack of persistence.

Reason 3: Lack of organizational skills.

Reason 4: Lack of local real estate market knowledge.

Reason 5: Inability to stay focused on a single objective.

Reason 6: Failure to act in a timely manner.

Reason 7: No clearly defined exit strategy.

Reason 8: Lack of capital and credit.

Reason 9: Lack of clearly defined investment goals.

Reason 10: Unrealistic expectations.

Reason 11: Bad advice from unreliable sources.

Reason 12: Lack of planning.

Reason 13: Poor record keeping.

Reason 14: Lack of self-discipline.

Reason 15: Lack of basic real estate investment knowledge.

Reason 16: Lack of patience.

Reason 17: Lack of mental toughness.

Reason 18: Inability to manage time.

Reason 19: Failure to perform adequate due diligence inspections.

Reason 20: Failure to prioritize tasks in accordance with their importance.