Tips for Setting Real Estate Investing Goals
We all know setting goals in life is important. The same is true when it comes to real estate investing goals.
Check out these tips for setting real estate investing goals:
1. Know Your “Why”
In order to set goals that you’ll work hard to complete, you must know your why. Real estate investing is a means to an end–it can move you financially to where you want to be. But why do you want to be there? Do you want a bigger house, more time with your family, or do you want to be able to be more generous? Are you working to cash flow your children through college or pay off debts? Whatever your why, it must be compelling enough to get you through the difficult times when you may want to give up.
2. Make Your Real Estate Investing Goals Specific and Measurable
A goal is just an idea unless it is written down, and it must be specific and measurable. For example, just saying that you want to invest in real estate is not a goal. A goal says: “I will invest in 4 rental properties by June 30, 2018.” Then this goal would need to be broken down into specific, measurable steps to make that happen. For example, that could mean buying one property every 3 months. In order to do that you would need to have X amount of investment dollars to work with. How are you going to get the money or financing? What research do you need to do to know which properties to buy? Asking these questions can further break down your goal into manageable bite size chunks that you can measure.
3. Make Your Goals Achievable and Timely
As you look at your real estate investing goals and their breakdowns, ask yourself if they are achievable and timely. Can you realistically get your hands on the money you need in that time frame? Can you find worthwhile, affordable real estate to invest in? How many hours per day will you need to put in to meet your goals? Will you need to hire help to flip a property or get it ready to rent?
4. Evaluate and Adjust Your Goals
As time goes by and you work the steps you’ve outlined to meet your goals, it’s important to evaluate and adjust them as necessary. How are your timelines? Are you achieving milestones? Are your real estate investing goals specific enough and are they still in line with your why? Do you need to do more or less?
Get to where you want to be financially by setting real estate investing goals and doing what you need to do to meet them.