New investors, by no fault of their own, try to be all things to all people. Instead of focusing on one target group, either for marketing or networking, they are too spread out and end up missing their mark. It is almost impossible to be efficient when spreading yourself too thin. By definition, an expert is someone that has superior knowledge on one specific topic. You lose credibility when you try to be an expert on short sales and tax liens at the same time. You can certainly have knowledge on both topics, but specializing in one area is preferred by most.
The next investment meeting you are at, try to develop one or two relationships rather than trying to talk everyone in the room. By speaking with everyone, you end up speaking with nobody. If you narrow your target to an investor that may be local to you or a realtor you have seen before, your time will be much better spent. You may think that shaking hands and giving out as many business cards will increase your exposure, but that is largely unproductive. People want to work with people that they feel they know and are comfortable with. A ten minute conversation will start that process much better than a quick introduction and a business card.
The same strategy applies when you are deciding how to market. If you are after distressed homeowners, you need to narrow that down to distressed homeowners in a specific town, price range and area. Any marketing expert will tell you that it is always better to mail a smaller list multiple times than a broader list just a few. You may get lucky with one post card or letter, but you can make your presence felt more sending multiple mailings to a smaller list. Instead of trying to close ten deals at once, try closing one deal and moving on to the next one.
When new investors get started, they are often overwhelmed by all of the different areas and niches that are available. There are many ways to be successful in real estate. Instead of trying to conquer all of them, start out by picking the one niche you feel most comfortable with. You should make this niche your own for 30, 60 or 90 days. If you get leads or phone calls about other areas, put them on hold until you feel that you know everything there is to know about your niche. This may seem counterproductive if you are just starting out and trying to get going, but if you are constantly shifting gears you will never go anywhere. It is indecisiveness that leads investors to wonder what they are doing and how to do it. Pick one area and focus on that and in a few months evaluate if you can continue on this path or branch out. You will never know if you don’t give it a chance.
It is overwhelming setting a course for your business to travel down. Instead of trying to do everything, take a step back and reduce your options. Focus on a smaller area and you will find that your results will greatly improve.
