One of the aspects that make real estate such a great career is that it is made up of so many entrepreneurial-minded professionals. Most professionals in the business want to eventually go off and do their own deals. However, the challenge every real estate professional faces is determining when is the right time to go out on their own.
While there’s no perfect time, I think there are a few pre-requisites every real estate entrepreneur needs:
- The technical skills and knowledge needed to run all aspects of a deal from sourcing and acquisition to financing, asset management and disposition.
- A diverse and trusted network of investors, lenders, brokers, and other market participants.
- A competitive advantage; it can be as simple as intimate knowledge of a market and asset class, grit, passion, and willingness to put in the work, or the ability to think differently and execute a unique business plan.
I think Seth Godin sums up the ideal moment to go off on your own perfectly:
You might be waiting for things to settle down. For the kids to be old enough, for work to calm down, for the economy to recover, for the weather to cooperate, for your bad back to let up just a little…
The thing is, people who make a difference never wait for just the right time. They know that it will never arrive.
Instead, they make their ruckus when they are short of sleep, out of money, hungry, in the middle of a domestic mess and during a blizzard. Whenever.
As long as whenever is now.
There is no good time to go off on your own, unless that time is now. The opportunity cost of leaving your job will only increase, there will always be an excuse, and the time will never feel perfect, but you need to rip off the band aid and jump into the entrepreneurial world head first.