Books, blogs, and magazines are full of great tips on what to do to become a successful property investor.
However today I'd like to look at a number of things successful investors don’t do.
Successful investors are comfortable with the reality that their future can’t be predicted.
They know that despite having the best plans and strategies, there are always X-factors coming out of the blue that may affect them negatively, so they protect themselves by planning for the worst yet expecting the best outcome.
In an uncertain world, we love to be right because it helps us make sense of things.
One of the ways we strive to be correct is by looking for evidence that confirms we are correct.
Psychologists call this confirmation bias.
For example, property investors tend to look for information confirming their hunch about a property strategy, region, or trend.
I’ve found those who display strong confirmation bias tend to be more overconfident, yet tend to make the least money.
It seems we like to be right, even if it costs us money.
Instead successful investors understand that most of us are ruled by our prejudices, so they maintain a healthy skepticism and question new information before accepting it to be true.
Successful investors don’t look for the next “get rich quick” scheme, knowing that those with a long-term perspective and who delay gratification are more likely to be financially successful because wealth is the transfer of money from the impatient to the patient.
They set themselves up by living within their means, budgeting, sacrificing, and saving.
Then they invest their money and keep reinvesting until they grow a substantial asset base.
Successful property investors don’t try and time the markets.
They know there isn’t a “right” time to do anything.
I’ve found successful investors gather the necessary information quickly, make an informed decision and then take appropriate action.
They’re able to see the big picture and don’t get caught up in the detail.
And even when they don’t have all the information they need, they believe it’s better to make a decision with some information, than to make not make a decision at all.
They then take action and gather the balance of the information as they move on.
Successful investors know that if they’re the smartest person on their team they’re in trouble, so they’re prepared to pay good advisers and have mentors who inspire and motivate them and keep them accountable.
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Interestingly most things we fear will happen, never do.
They are just monsters in our minds.
And if they do happen then they’ll most likely not be as bad as we expected.
The lesson here is that you shouldn’t take things too seriously because that seems like a big problem today, you may not even remember in five years.
When you compare yourself to others you let the outside world control how you feel about yourself.
Successful people pursue what makes them happy without worrying about what others think, especially other people's definition of success.
The lesson here is to strive to become the best you can be and look at how far you have come, what you have accomplished, and how you have grown.
You see…while many people measure success in dollars, successful people recognise true wealth is what you're left with after you take away all your money and properties.
In my mind to be truly wealthy you need much more than money.
You need money PLUS your health, money PLUS family and friends to share it with, money PLUS time to appreciate it, the ability to keep growing and learning, and money PLUS the desire to contribute back to the community and charity.
Successful people are human so of course, they also make their share of mistakes, yet they’re willing to accept responsibility and admit their faults.
Sometimes negative experiences, mistakes, and failures can be even better than success because you learn something new that another win could never teach you.
Successful people confront problems as soon as possible.
Like all of us they’re tempted to neglect things that are difficult to deal with, but tackle them anyway, because putting off a problem only turns it into a bigger one.
Rather than following the latest fad, successful investors follow a time-proven strategy that they repeat again and again, recognising that you can’t become an expert by doing one hundred things once.
Instead, they do one thing a hundred times till they become proficient and can produce repeatable results – that’s how they know they’ve become an expert.
It may make their investing boring, but the results make their lives exciting.
No matter how busy they might be, successful investors make time to tend to their personal relationships, knowing how empty life would get without love and friendships.
So there you have it – 11 things not to do if you want to be a success.