We always hear the phrase, "find your niche" in the seminars we go to and in
the books we read, whether they be about Real Estate Investing or any other avenue in which we wish
to generate income. For some finding their niche means creating a new way of doing things and for
some it means just finding where you are comfortable and fit in.
We began our Real Estate Investing careers by attending a seminar on Creating Wealth
through multiple streams of income. At the end the men who would become our Mentors said, "Now
first, find your niche, find one of these things and perfect it before you move on to the next. Do
not start everything at once, because that is a recipe for disaster."
So, what did we do? You guessed we started EVERYTHING all at once. We were so excited
and we were running on pure adrenaline. We were ready to conquer the world and that is exactly what
we intended on doing. We targeted foreclosures, MLS listings, mortgage notes, for sale by owner,
cold calling, direct marketing, etc. What we quickly found out is that we were wasting a LOT of time
and money without achieving great results. Sure, we were doing okay, but not as well as we could
have been doing. We were getting stuck trying to juggle too many things.
Fast forward one year later, while the twelve months have been absolutely amazing,
hindsight is twenty-twenty and we've realized how much time was wasted by not taking the time to
find where our strengths and weakness are. The truly successful entrepreneurs are the ones who take
a strategy that they are comfortable with and really to know it inside and out. They implement these
strategies and then make them systematic. By creating systems, you will create more time for yourself
to learn new strategies and then create more systems.
When you are looking for your niche, you must look at several things. The first being
what you enjoy doing, and the second being what you are good at. Many times, they will go hand in
hand, but many times, they will not.
Even now, people come to us and tell us that they want to start with 6 or 7 areas to
find deals. We recommend that you start with one or two, become successful, and then implement other
strategies into your bag. You have so many variables when you are getting started and there is so
much to learn already. You are trying to put together all of the creative alternatives and trying
to get over a lot of fears. When you deal with different types of people, you will have to handle
them differently. For example, if you are dealing with a probate sale, you will have to take a much
different approach than if you are dealing with an expired listing.
They are all great ways to find deals, but also very different. This brings us to our
next point. And that is that you need to look at what you are good at. If you are a great negotiator,
but you don't have a lot of patience and don't have a soft approach, probate may not be your best
choice. However, foreclosures may be a great fit for you!
Another thing to consider when looking for a place to fit in is what your exit strategy
is going to be. Are you going to wholesale, retail or hold. All are valid strategies and important
in the big picture. But, depending on your situation, one or the other may not be right for you at
this time. There are many options available and many financing techniques that work in different
So... where do you start?
First, evaluate your personality. There are many personality tests that you can take to
see where you fit in.
Second, look at your financial picture. Where are you right now and where do you want to
be one year from now? Can you do it with rentals? Or do you need to wholesale some properties to get
started? Are you good with a hammer or do you have possible partners with whom you can joint venture
for the work? This will also affect your ability to run direct mail campaigns or other more expensive
Next, what is it that you like? First, as an individual. Do you enjoy talking on the
phone? Do you enjoy face to face contact? Do you prefer to stay quiet and work on the back end of
things? Figuring this out will help you determine how you are best suited in looking for sellers.
After you have figured all of this out, it is time to open your books, whatever training
program you are using, and look at all of your options: exit strategies, ways to find deals, creative
financing techniques, etc. Choose a few places to start and get going.
The good news is that the opportunities are everywhere and anyone can be successful in
real estate. Our challenge to you this month is to find your niche and start working it! Good luck
and let us know what you find! We are interested in your accomplishments.
Stacy Holder and Heather Seitz began their real estate investing career with absolutely nothing! They
learned to leverage other people's time, money and resources to purchase over $2 Million in real
estate in their first 8 months.
They have just completed two products, The
"Complete Guide to Getting
Started" and "The
Complete Guide to Organized Rehab."
Back to Real Estate Investing Articles