I like to think of myself as a prudent and organized real estate investor. But I am not a control freak. Not by a long shot. Control freak investors are the hardest personality types for me to work with. Let me explain.
A control freak has an energy about them that is rooted in fear. They somehow think that if they don't make frantic phone calls and pour over copious data that something will go wrong and they'll lose the farm. They make everyone crazy with their constraint and fearful questions. They push too hard. Everyone on the team can feel their fear. It is a repellent energy.
When I come across a control freak investor, I realize it pretty quickly and regret working with that person. They call, email, text every member of my team incessantly with the same type of questions. They drain our patience, energy, resources on a deal that should be simple. And after all of this, they often cancel deals that another investor then swoops right in on and makes a great profit.
If you can relate to this fearful energy, it is time to question your approach. The best investors approach each deal with an equal measure due diligence and faith. You've done your homework, you know you've got a great deal, it's time to be zen.
Here are three steps to letting go of your control freak nature and being a cool, calm, and SUCCESSFUL investor.
1. Go with your gut.
Of course you want your deal to be profitable and I assume you've done your homework but a certain measure of investing requires faith. I live and die by my 80-20 rule. If you're 80% sure of something then it's time to pull the trigger. You're never ever going to be 100% sure of anything in your life. Don't lie to yourself because you know it's true. When it comes to buy and hold investing I've seen so many great deals slip through our customers hands because they wanted to be 100% certain that it was a great deal. You can imagine what happened next! You guessed it, they waffled too long on a decision and the property sold in a few minutes to another investor. If the numbers make sense and you've done some due diligence, then just take action.
2. Put a time limit on your research.
You know the saying: Shit or get off the pot? This is the point I want to make here. I have no time in my business for investors who are going to sit on the pot all day, squatting on my deals.
That does not mean I think you should leap before you look. I expect you to do your homework and understand what you are getting into. But how long should you do this? Set yourself a time limit. You will look into this deal for X amount of hours. When the hourglass runs out, be done! Make a decision. Eventually everyone makes a decision. If you have lollygagged past the deadline, you're not ready. Let someone else who is ready have this deal.
3. Trust your team.
Do you know how to manage a property? Pull permits for the city for improvements to the property? File taxes on that property? Find a good deal from a distressed seller? No? Then you'd better trust that the people who are doing this for you know what they're doing.
If you've found people who are experts at finding and managing investment real estate, for goodness sakes, let them do their job! Dealing with you and your fear-based questions only slows them down.
Breathe in, breathe out, be zen about the whole thing. No amount of anxiety EVER changed the outcome of anything.