Risk is a part of investing. Without risk takers, America would not be where it is today. Real Estate Investing, Loan Investing, and Private Lending are no exceptions to that rule. It’s why the National Institute of Lending and Real Estate exists…to help investors build wealth while mitigating the downside risk to their portfolios as much as possible. Before you start your journey into the world of real estate-based investing, you need to understand that risk and sacrifice are a large part of our business.
In 2020, Tampa will be the home of Wrestlemania 36. In preparation for the event, Stephanie McMahon said in an interview that her parents mortgaged everything they owned to make the first Wrestlemania happen. The risk was immense, but decades later, so was the reward. I
During my 25 years in banking, I worked with hundreds of affluent clients over my time. Most were business owners that had “made it.” There was always jealousy among their employees and others that only saw the success, but not the sacrifice. I’ve seen how many times these business owners worried that they wouldn’t make payroll. I’ve seen businesses go belly up putting the business owner in dire financial straits. Owning your own business in not all roses. People don’t get to see the sacrifices, the divorces, the missed little league games, and the long hours it takes to be deemed a “success”.
Owning a real estate-based business is no exception. It will take long hours and sacrifice. There will be times when you have a huge bank account and there will be times when you struggle. To me, the struggle was worth it, but do not think for a minute that it will always be easy. Real estate-based investing, to me, has been a very rewarding path for my family and I, but you also must plan for the “what ifs”. It’s why the Institute exists…to help investors succeed.