Entrepreneurs are confronted with a variety of scenarios every day. Some may be easier to handle than others. Of course, there are those situations that are frighting to some. Fortunately, there are ways to face these challenges. How can real estate investors overcome fear when dealing with home sellers?
As exciting and motivating as the rewards of real estate investing are, it can still be daunting to deal with homeowners, especially when you are new to the business. What are the best practices for overcoming fears and experiencing success?
1. Know Your Stuff
New real estate investors are often confident until they find their first deal to make an offer on. If they are unprepared, panic sets in when they realize they don’t know what they are doing. Fortunately, these are uncertainties which can be squashed by picking up a good real estate investing education course and simply taking the time to read over contracts. The more you know about your business, the better off you will be.
2. Overcoming Fear of Rejection
It can take a while to get over the fear of rejection, especially for those new to any form of sales. A lot of offers, negotiating and purchases can be done entirely online. Still, many real estate investors find knocking on doors to be a great way to nail down deals and receive the best bargains. Those wholesaling and flipping houses can find it especially daunting when offering homeowners a fraction of the price their home used to be worth. It is important to be sensitive, but that doesn’t mean paying more makes sense. Make sure you are delicate and make it clear you aren’t trying to offend them. Find a price point that benefits both parties. If not, you should be able to part amicably. Maybe they’ll call you later when they are a little more motivated to sell fast.
3. Fear of Objections
Some new real estate investors get a little squeamish when approaching sellers with demanding or creative terms. Investors are advised not to sweat it. If you are really dealing with motivated sellers and are presenting reasonable offers that mean win-wins for both parties, there shouldn’t be any reason to fear objection. Just be transparent. It is important to expect objections though, regardless of how great your offers and terms are. Just work to understand why they are really being given, when to walk away, and when you should pre-empt them.
4. Fear of Talking to People
There is no question about it; real estate investing is a people business. It’s changing a lot, but it’s a business about making new connections, professional networking, in person negotiations, diplomacy, fielding calls form agents, tenants and panicking sellers in the middle of the night. However, before you hit the back button, know that there is plenty of room for introverts in real estate. For those ready to take on the challenge, this could be the best way to break out of your shell. If you aren’t, don’t worry. The internet is your best friend.