You are reading this article because you want to make the leap of faith that will take your real estate investing career to the next level.
You are concerned that the big fish in this big commercial real estate investing pond will see you as the small fish that you feel you are and if they don’t eat you alive then at least they will let you know that you don’t belong.
Whether you’ve already got your feet wet in real estate investment or you are completely new to it, this article will help you.
It will help you to see that you need a positive mindset if you are to make a success of commercial real estate investment and it will show you how to maintain that positive mentality.
Apartment and multifamily investing may seem ambitious but believe me when I say that not having the proper mindset will be your biggest obstacle.
This article will help you to cultivate the right mindset and this mindset will be the key that unlocks the psychological barrier to your success.
Where to Start
Start by consciously trying to think about the benefits of owning commercial real estate.
Avoid the erroneous thinking that only the rich deserve to get richer. Disabuse from your mind the idea that because you do not have the financial advantages of the wealthy then you don’t belong in this arena.
Positive Thinking Will Get You Deals
As a commercial real estate investor you must work positively to acquire the right investment property.
Instead of fixating on the price of the property, you must focus on the current and prospective value of that property, this doesn’t mean that you should not evaluate the deal with a critical eye; it just means that you should not let fear and anxiety blind you to the reality and benefits of that investment opportunity.
This subconscious mentality can be the difference between going that extra mile to find the dollars to match that great deal you found and falling at the first hurdle.
Believe me, when I say that by the time you approach investors to finance one of your deals you better believe in that deal, potential investors can smell fear and if that confidence is not exuding from your every pore they will not trust you with their money.
You also have to work on your self-esteem; don’t be afraid to hear the word, no. If you are too scared to put in that offer because the seller might say no to you, then you are going to hesitate at just the wrong time, someone else will make that offer before you and snatch away that dream deal.
Of course, there will be times when you will make mistakes or fail to hit a bulls-eye but people who are not yet successful are merely people who have not yet failed enough times to work out how to be successful. It’s part of the process.
When you can look at miss steps as necessary steps on the path to success, then you can turn those negative emotions into positive ones and keep on moving forward to reach your investment goals.
Disappointments will not derail you.
The Abundance Mentality
The meaning of the term is fairly self-explanatory, take for example the fact that many will tell you that there are not enough attractive commercial property investment opportunities out there anymore or that these good deals are just too hard to find. They are effectively telling you that there is a shortage of opportunities.
That type of thinking is the opposite of an abundance mentality which says that there are still plenty of great deals out there if you work hard enough and smart enough to find them.
The resolve that you need to continue thinking this way will be tested not just once or twice, it will be tested over and over again and it will be tested on a weekly if not a daily basis.
To be successful in the world of commercial real estate investment requires that you have a consistent winning mentality.
Take, for example, motivated sellers. A motivated seller is someone who is motivated to sell at less than market value.
On the surface, it may seem unlikely that anyone would ever part with their home for less than market value.
In the minds of those you might speak to within your social circle, the motivated seller business model may seem unlikely.
They might try to dissuade you on the basis that there must be an impossibly short supply of such motivated sellers.
The abundance mentality will help you combat that type of negative thinking. The reality is that there are an abundance of sellers and due to life circumstances which unfortunately are not at all uncommon there are a significant percentage of those who need to sell quickly and are willing to sell below market value.
By working hard and smart and with a positive mindset, you will be one of the first to find and capitalize on these deals. These deals are out there.
It might be that a seller has inherited a house and he wants to sell it quickly with no hassle.
A seller might be facing a financial crisis and needs to address an urgent financial need.
It could be that due to a divorce, a property needs to be sold quickly and efficiently.
There are many reasons why a seller is motivated and that for them now is the right time to sell.
Take Home Point
Once you overcome the psychological obstacles then you can get on with the fruitful work of researching how you can acquire a property with limited capital of your own. Hint – investigate creative techniques like seller financing and master leases.
Don’t allow your current poverty mindset to prevent you from stretching yourself to achieve more. If you want to make your investment dreams come true, you may need to stick your neck out to win by a nose.