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A Beginner’s Guide to Part Time Real Estate Investing

Key Takeaways

  • Working with a partner can be a great way to get more done, in less time, and also ensure a business has all skill sets it needs to succeed.
  • Automation and outsourcing can remove key bottlenecks that may stunt a business’s growth.
  • Allowing yourself to learn the investing business in short bursts, such as during your morning commute or your gym workout, is a great way to stay on track without needing carving out huge blocks of time you may not have.

Wondering how to boost your investing game while you work a full-time job? Curious if efforts spent on part time real estate investing will help you see the career gains you desire? Looking to get a crash course on “real estate investing for beginners” while you get a paycheck from somebody else?

There are many ways to increase your productivity and boost your career, without quitting your day job. They include working with a partner – as long as that partner has complimentary skills to you — using technology and automation properly, using your downtime to build up your investing knowledge, and focusing in on the tasks that deliver real value to your business.

Here are four tips for giving your investing career a full-time boost, even if you’ve only got the hours to spare for a part time real estate investing effort.

The Basics of Investing on a Part-Time Basis

Investing basics

  1. Find a Partner

Though working with a partner is not ideal for every single first time investor, there are numerous advantages to working within a real estate investing partnership, especially when starting out.

For one, there’s the simple division of labor; two people putting in extra hours – when they’re off the clock – can usually propel a business farther, and faster, than it would otherwise under a single owner.

There’s also the benefit of expertise, especially if you’ve chosen a partner who has a different skill set and personality than you do. For example, you might have a profound grasp of how to buy an investment property from a distressed seller and make sure the numbers pan out. But perhaps marketing and office systems isn’t your strength. Then you’d want to find a partner who can complement you, as an investor, in different and multi-faceted ways.

And perhaps one of the biggest benefits of all when working with a partner, is the extra bit of motivation you’ll get knowing that someone else is depending on you. (A key factor when the hours get long and you’re trying to juggle a full-time career with your new venture.)

  1. Automate and Outsource

A key lesson that every entrepreneur must learn, not just real estate investors, is that just because you can do something, doesn’t mean you should. And this is doubly true when you’re trying to launch your investing career when you have little time to spare.

This requires focus and clarity, in being able to identify key bottlenecks in your business, areas where your lack of time and energy are preventing your business from expanding, and look for alternative ways to get those tasks accomplished.

This can be done in a number of different ways:

Automation tools: From call forwarding apps to email autoresponders, from social media schedulers to landing page template builders, there are a number of tools a part time investor can use to help them focus on the basics of investing…not how many times to schedule a tweet.

Specialists: Instead of feeling like you have to learn every aspect of the real estate investing business — such as advertising, bookkeeping or property management – utilize the experts of others far more knowledgeable than you to save you time and free you up to build a more efficient business.

Virtual Assistants: Whether it’s mailing postcards or posting on Craigslist or screening potential clients on the phone, your investing business has vital functions that can, and should be, performed by someone else. Make a list of all the systems crucial to your business, that can be outsourced to others, and watch your productivity skyrocket.

  1. Learn In Sips

It can be tempting, when starting out as a residential redeveloper, to get frustrated by the lack of available time to brush up on their investing basics. But one key ingredient to being a successful real estate investor is realizing you don’t have to wait for huge blocks of time — “I’ll spend the entire weekend reading entrepreneur books” — in order for you to make real inroads to understanding the basics of investing.

In fact, one of the best ways to boost your real estate investing IQ in short order is to look for periods of downtime – such as on your morning commute or while you work out at a gym – and add some educational component to that time.

Whether it’s listening to a podcast or poring over the latest entrepreneurial guide, utilizing downtime this way helps you literally carve out more time each day, and get you that much closer to your career goals.

  1. Find Your 80/20

The Pareto principle, named after the Italian economist Vilfredo Pareto, who theorized that for many events, roughly 80% of the effects come from 20% of the causes.

While this can certainly be frustrating, if much of our time is spent dithering on the 80% that doesn’t move the needle in our business, as a part-time investor it can be liberating to know that more hours – and more effort – isn’t necessarily needed to push your venture forward.

It’s all about finding the 20% of causes in your business that will deliver 80% of the effects that you want. This means taking a surgical look at every activity in your business and asking questions such as:

  • Which 20% of my leads make up 80% of my business?
  • Which 20% of my marketing directly translates to 80% of my conversions?
  • Which 20% of my daily activities lead to 80% of my productivity?

By pinpointing the exact activities and processes that deliver the biggest bang to your business, you’ll have the ability to focus your energies – or that of your staff – toward the tasks that really move the needle in your career. (Not just take up hours of your time.)

And armed with intel like that, you’ll get more done in one hour than most people get done in eight.

Are you trying to go the part time real estate investing route? Any tips you’d like to share with others going through the same journey? Let us know in the comments below.

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