Every business leader is faced with tough decisions and seemingly insurmountable obstacles throughout their career. Regardless of business size and industry, it is these experiences that define us as professionals in our line of work. Our successes shape who are, just as much as our failures do, and the lessons we choose to learn from them.
Whether it’s a price pitfall, being burned by your partners or incorrectly evaluating the true value of a property, there are many possible real estate investing failures you could face. What matters the most is how you come back from them. Here are several valuable lessons to learn from your professional setbacks, according to 12 members of Forbes Real Estate Council.
1. Partner With The Right People
Business is easy; people make it difficult. Real estate is not a one night stand, but rather a marriage. It takes five, 10 or 15 years to get to where you need to be. So really make sure that you partner with individuals where you have mutual respect and equal bigger picture thoughts. Long-term thinking and delayed gratification will definitely be the key to your success. – Engelo Rumora, List’n Sell Realty
2. It’s OK To Make Mistakes
When you’re young and inexperienced, it’s easy to get down on yourself for making a mistake, especially if it’s costly. We need to remind ourselves that all the most revered business leaders have made a lot of mistakes to get where they are. The path was not paved in gold for them either. The mistakes are a necessary part of the learning process. It’s critical to learn from them and keep going. – Dave Zirnhelt, Snap Up Real Estate
3. Anything Worth Doing Requires Persistence
When we launched the first crowdfunded real estate deal, it failed before it succeeded. We spent a year getting the offering cleared by the SEC, while creating the web platform. When we opened the offering for investment, no one came. We spent the next four months getting people to pay attention. Now, after rolling the snowball for five years, the work from the initial years is paying dividends. – Ben Miller, Fundrise
4. Follow Your Heart
When I sold my first business to VCs after 25 years, I stayed on as CEO to expand. The corporate world is much different than an entrepreneurial world. When it wasn’t a fit, I stayed on 15 months longer than I should have. Now I’m liberated and my focus is expanding two businesses and a startup. Waking up every day and loving what you do has a direct impact on your bottom line and your heart. – Susan Leger Ferraro, Peace, Love, Happiness Real Estate
5. Understand Your Potential Partners
When growing a business, it can become necessary to make quick decisions about potential business partners based solely on a resume and recommendation from a trusted source. The chances of this person being the wrong partner are high. Spend the time to truly understand the motivations, life goals and background prior to on-boarding an individual that you’ll trust with your business operations. – Abhi Golhar, Summit & Crowne