One of the popular uses of government funding is acquiring real estate. Many of my students have used government funding programs to buy their first home or upgrade their existing residence. Others still are real estate investors, either with some experience or just getting started.
No matter whether you’re a novice or a seasoned investor, there are four basic principles of real estate that you can put to work to catapult your success as an investor. They are called the four P’s and if you keep them in mind, they can be your ticket to wealth.
The first P is for people. Your success as a real estate investor largely depends upon your relationship with people. In the course of your investing career, you’ll be working with buyers, sellers, renters, bankers, mortgage brokers, lawyers, title company representatives, other investors, and many others. If you cultivate relationships of mutual trust, respect, and professional behavior with all of these people, your transactions will go more smoothly and, in many cases, more profitably.
The next P is for processes. The processes that you develop help determine your success as a real estate investor. You need to develop a specific formula for success and follow it. Some components of the formula are goals, objectives, and an action plan, which will help you determine the best way to get grant and loan funding for your properties.
The third P stands for persistence. Persistence is the ability to maintain your course of action regardless of your feelings or any setbacks you may experience. You keep going even when you feel like quitting.
And the fourth P is for properties or portfolios. If you follow the other three Ps of always putting people first, developing and following processes, cultivating a mindset of persistence, then you will acquire properties. As you continue acquiring properties, you will build a strong portfolio. Your real estate portfolio can help you achieve wealth and financial freedom over time.