The Secret To Successful Real Estate Investing Is Networking
There’s no secret to successful real estate investing. Others will even tell you that for $50, 000, they can coach you how to become successful in this industry. Their fee is of course inclusive of the big “secret”.
The truth is, there is a secret to successful real estate investing and it is not worth $50, 000. Can you believe that the secret is networking?
The Real Secret Unveiled
Business Networking International group did a survey on 12, 000 business professionals. The study revealed that people, who attributed their success to networking, spent at least 6.3 hours per week networking.
Those who spent fewer hours per week networking were not as successful in their business. The study concluded that the more time you spend networking, the higher your chances are of succeeding.
Those who spent over six hours every week networking claimed that almost 50% of all the business they got was from referrals. These referrals were as a result of networking. Without a doubt, the more networking you do, the higher your chances of success.
How Relationships Contribute To Good Networking
Out of the 12, 000 survey participants, women spent less time than men did networking. The funny thing is that men generated a lower percentage of business from referrals than women did.
Does this mean that men are terrible at networking than women? It’s possible but there is a logical explanation.
Men approach networking with a “cut to the chase” attitude and this is clearly not as effective as the women’s approach. Women tend to talk about personal matters first before business while men do the exact opposite.
When men try to focus on building a relationship first, they appear like they are forcing the issue and so it becomes awkward for them. So to avoid any awkwardness, they jump straight to business- which is easier to discuss.
Grow Your Business- Get Personal
The survey further showed that women knew how to engage in small talk without getting too personal. People like you better when you appear natural not trying to be something you are not.
The people who achieved a lot of success in their business through networking felt it was better to build a relationship first before getting into business.
Try as much as possible to know the other person intimately without crossing the line. This way, you will network better.
How To Get Better At Networking
It’s very difficult to develop a relationship all at once when you are at networking events. The real relationship starts when you take a business card. From there, you can invite your business contact for lunch, coffee or breakfast. That way, you can elevate your relationship to the next level.
The goodwill and trust that you create by getting to know them on a personal level is what will create the perfect foundation for a mutually beneficial business relationship.
If your efforts to network are not bearing any fruits, you are probably doing one of these things:
- You are not using the right strategy
- You are not doing enough of it
In my experience, I can say that the more I networked, the more my business grew. Every minute I spent networking was a minute well spent.
Networking is the best way to grow your real estate business and propel it to success. It all starts with forging personal relationships with your business contacts.
Make Networking A Part Of Your Marketing Plan
If you think of networking as a chore that you have to do, then you will never do it right. Instead, you should make it a part of your marketing plan. Focus on being relational rather than transactional.
I remember that some of the best contacts I’ve ever had are the ones that I didn’t talk business with until the very end of the conversation where I go like “by the way, what is it you said you do?”
If you get to this point, where you have built a comfortable, strong relationship, then you are definitely on the right path. Chances are very high that you will build a good personal relationship as well as forge a mutually beneficial business relationship.
The next time you look around your area for networking opportunities, dedicate at least six hours every week to attend events organized by local real estate investor groups among other groups.
Interact with people and get to know them before you can start talking business with them. You are all there with the same goal, to network so business talk will come naturally.
What do you think? Has networking helped you improve your business? I’d love to hear about some of the other secrets in successful real estate investing.
