Eye on the Prize: Why an Established End Goal is VITAL to Your Investing Plan

by Engelo Rumora

Hello, everyone! The last few weeks have been crazy busy here at the office. I have had several phone calls scheduled every day with potential clients. We have also been working tirelessly to get another business up and running, real estate consulting. And we have purchased another 5 properties ,which takes a lot of logistical fortitude. The theme of this past week was “seal the deal.”

One question that I seem to get asked on nearly every call I take — that I often just brush past with a short answer — seems to be prevalent among those just getting started. The question is: Why did you get into real estate and become an investor? Although my response is something I now regret, I have found that many, not all, have the same mindset, and it’s all wrong.

My Start in Real Estate

When I started in real estate as an investor, I had done really well with some stock trades, I was reading a lot about finance and thought to myself, “Wow, this is simple. Anyone can do this with a loan.” I was right. I was also in the motivational mindset that being an investor brought me a higher status in life, and I really enjoyed playing the part. I was young. I had purchased several properties and found it was a great tool to assist in picking up chicks at the club.

Enter young, handsome and well-dressed me. Enter a great looking young lady and the topic that starts the conversation is, “So what do you do?” Why, I am a real estate investor! BOOM! I am now sad to say that it worked well — but none of it was really mine.

The bank owned the investment, and in some cases, I was not collecting enough on properties to service the debt so other properties picked up the slack. At that time the investment model in Australia was not based in sustainability or in cash flow, but instead in the appreciation game. Everyone was waiting for the market to go up, to get higher. It was unfortunate that I didn’t really know what I was doing.

I bought in all the wrong areas, taking advice from people who were intentionally manipulating me to do the wrong thing. They made a lot of cash on me while my entire multi-million dollar portfolio was teetering on complete financial ruin. I had no goal set. I was just in it because it seemed good, and I wanted to build wealth in the worst way. The girls were a bonus!

Learning From Experience

I now get asked that question and think about all of the things I would have done differently. I had several properties in Australia and purchased several more in the US and had nothing to show for it but huge debt. Oh, I also had taxes. Huge tax bills that were also eating me alive. That type of investing was just not sustainable unless you had large amounts of cash to throw at it while you were waiting to sell out for a potential capital gain profit.

Today, several years later and a few hundred deals under my belt, all of my Australian portfolio has been sold off, thankfully. I focus on investing for cash flow without loans or hard money. Cash is my king, and cash flow is my queen. I stress the importance of educating yourself on the market and finding honest, trustworthy people on the ground to assist you. I also stress the importance of the end goal. The five year plan is critical to building a solid portfolio.

What to Ask Yourself BEFORE You Invest

You as an investor need to be picky, picky about the property you buy, the people you work with, and you need to know what you need as a return on that investment to support your end goal. Ask yourself these questions:

  1. What do you want to accomplish by investing in real estate? (Supplemental income, early retirement?)
  2. Do you have cash reserves, or will your investments be financed?
  3. How large of a portfolio can you see yourself having?
  4. What is your desired level of return?
  5. Do you have an exit plan in the event you need to sell out?
  6. Do you have a relationship with honest and trustworthy people for assistance?
  7. How can this investment allow you to live better, to accomplish your dreams and goals?

Some of these questions may not apply to you if you’re already building a portfolio or if you’re a seasoned real estate veteran. In my experience, if I would have answered these questions when I was getting started, I would have done things differently. Admittedly, I was young, dumb and just wanted to be an “investor.” I now know that there is a lot more to real estate, and it’s truly about building a long term lifestyle. Even more so, it’s about setting up your goals to support your dreams far into the future and not just for short term gratification.

I have made mistakes along my path and have learned so much about myself and what my goals mean to me.

Why do you invest in real estate? What mistakes have you made along the way?

Please reach out if you have any questions. I’m here to help.

Interested in Finding out More? Reach out below

Shawn Ireland

Phone: 913-225-6231

Email: Ireland_Investments@yahoo.com

Address: 1415 Main St. #823, Grandview, MO 64030

Website: www.irelandinvestmentsllc.com/

Facebook: @IrelandInvestmentsLLC/

Instagram: @irelandinvestmentsllc

Twitter: @IrelandLlc

Tumblr: ireland-investments.tumblr.com/

Ireland Investments llc

This information is intended only for the use of the intended recipient(s) and it may be privileged and confidential. Please note that any views or opinions presented in this post are solely those of the author and do not necessarily represent those of the company. This is reposted information and is not original thought of Ireland Investments or anyone associated with the business.

Popular areas we service;

Kansas city Missouri, Overland Park Kansas, Kansas city Kansas, Olathe Kansas, Independence Missouri, Shawnee Kansas, Blue Springs Missouri, Lenexa Kansas, Leavenworth, Kansas, Leawood Kansas, Liberty Missouri, Raytown Missouri, Gladstone Missouri, Grandview Missouri, Belton Missouri, Prairie Village Kansas, Gardner Kansas, Raymore Missouri, Grain Valley Missouri, Ottawa, Kansas, Lansing Kansas, Excelsior Springs Missouri, Merriam Kansas, Harrisonville Missouri, Cameron Missouri, Mission Kansas, Kearney Missouri, Smithville Missouri, Pleasant Hill Missouri, Oak Grove Missouri, Bonner Springs Kansas, Roeland Park Kansas, Parkville Missouri, De Soto Kansas, Richmond Missouri, Greenwood Missouri, Paola Kansas, Basehor Kansas, Tonganoxie Kansas, Odessa Missouri, Peculiar Missouri, Platte City, Missouri, Higginsville Missouri, Lexington Missouri, Edwardsville Kansas, North Kansas City Missouri, Osawatomie Kansas, Louisburg Kansas, Fairway Kansas, Mission Hills Kansas, Sugar Creek Missouri, Riverside Missouri, Buckner Missouri, Pleasant Valley Missouri, Lawson Missouri, Plattsburg Missouri, Lake Lotawana Missouri, Weatherby Lake Missouri, Wellsville Kansas, Edgerton Kansas, Westwood Kansas, Garden City Missouri, Gower Missouri, Claycomo Missouri, Lone Jack Missouri, Drexel Missouri, Lake Tapawingo Missouri, Glenaire Missouri, Dearborn Missouri, Avondale Missouri, Osborn Missouri, Sibley Missouri, Oaks Missouri, Unity Village Missouri, Levasy Missouri, Randolf Missouri, River Bend Missouri, Jackson County Missouri, Johnson County Kansas, Clay County Missouri, Wyandotte County Kansas, Cass County Missouri, Platte County Missouri, Leavenworth County Kansas, Miami county Kansas, Lafayette County Missouri, Ray County Missouri, Clinton County Missouri, Bates County Missouri, Linn County Kansas, Caldwell County Missouri, Crossroads Real estate, 18th and vine Real estate, Hospital Hill real estate, library district real estate, longfellow real estate, dutch hill real estate, quality hill real estate, river market real estate union hill real estate, Greater downtown KCMO real estate, East Side KCMO real estate, Midtown KCMO real estate, Westport Real estate, Hyde Park real estate, Northeast KCMO real estate, Northland real estate, Plaza Real estate, South Kansas City Real estate, Fairway Kansas real estate, Kansas city Kansas real estate, Lake Quivira Kansas real estate, Lenexa Kansas real estate, Mission hills Kansas real estate, overland park Kansas real estate, prairie village Kansas real estate, Shawnee Kansas real estate, weatherby lake Missouri real estate, westwood Kansas real estate

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

Website Built with WordPress.com.

Up ↑

%d bloggers like this: