Jobs, jobs, jobs… that is what we all need to see economies grow but what happens when the people who are hired for a job do not show up for work after they have been hired? If you are just starting out as a real estate investor, your real estate business might be feeling like a revolving door, but take heart the learning curve will pass.
Here are some ideas and suggestions to make this process easier, while making the experience of building a real estate business more rewarding and exciting–the way it should be.
A Common Challenge
At some point in time, every real estate investor has encountered the challenge of building an efficient investment team in any given market. It really takes the right combination of determination and perseverance on the part of everyone on the team whether the team member is a real estate attorney, a real estate agent, a property inspector, or a project manager. If a team member is not 100% on the same page, it shows through their unmotivated behavior, and then it impacts the team by slowing it down.
For the most determined investors, which are typically those investors who know that real estate is their blood, they know it is only a matter of time before they find the right people to fill the important roles on the investment team. For investors who are new and who do not want to learn how to lead teams effectively, they may give up after encountering the first one or two “bad apples.” Generally speaking, the hiring and management of investment teams requires a lot of patience, as well as the ability to keep communication open, honest, and solution-based.
Three Ideas to Overcome Challenges
Here are three ideas to manage the challenge of finding the right people for your real estate investment team. Solution
1. Realize that the interview process is just the beginning.
In a perfect world, we hire people and they are always a perfect fit for the position. In the real world, however, a persons’ true character and work ethic does not come through until after working with them for a little while. This might be after the first one or two deals, if they make it to a deal at all. To manage the uncertainty of this process, it would be a good idea to establish a trial period, and understand that the hiring process is just that–a process.
A process cannot be rushed it can only be managed to minimize the wasting of time and resources. A good investment team member recognizes this, and has the patience to work through the “thick-and-thin” of developing long-term wealth-building partnerships. Only when you truly have good people on your team will your real estate business ever grow to the next level. Solution 1 ties in with Solution 2.
2. Going in with expectations in check – Establishing realistic expectations.
Real estate is neither easy, nor glamorous. The daily work of sifting through countless properties in constant search of financially feasible properties requires a non-stop commitment, tenacious perseverance, and the determination to get things done when they supposed to be done. This is what it takes to maintain a constant supply of good deals. Finding a steady supply of financially feasible properties is at the foundation of being a successful real estate investor whether a wholesaler, rehabber, landlord, or lease-optioner. With expectations in check, and an acceptance that not all personalities are suited for the role they are supposed to play, it could provide a paradigm shift needed to adopt a mindset that will endure and manage the team building process over the long term in a sustainable way.
3. Watch for tell-tale signs of behavioral incompatibility.
Non-responsiveness, slow, or lackadaisical behavior is a red flag. Seeking to understand the issues that might be preventing a team member from doing his or her job effectively is always the best first step but when the problem continues to be a growing problem, then a decision must be made. Usually, the best path forward dictates the decision, and the decision may be to let that team member go–whether they were asked to do so, or they volunteered.
Whatever the circumstances, when people can not communicate and work through the issues together, they cannot really work effectively together but when people are on the same page, expectations are realistic, and everyone is committed to building a successful real estate business together that is when a business reaches the next level of growth, and growth is what we need to feed our own economy.