The Ownership Mindset

I ask current renters to take a HUGE mental leap. I’m asking you to go from a Tenant to HomeOwner and then from a HomeOwner to a Real Estate Investor.

The Ownership Mindset

Once you've determined you should own real estate, the next (and often bigger) hurdle to overcome is believing you can.

I’ve had an easier time taking HomeOwners to Investor status. I can't say for sure, but I think this is mainly because of what I call the Ownership Mindset. The Ownership Mindset applies to real estate ownership, yes. But, even larger than that, the Ownership Mindset broadly refers to everything we control. 

This website talks about real estate strategies & concepts and action steps to own real estate, which will all be for not if you prevent progress yourself with a limited belief system.

To cultivate an Ownership Mindset:bb french ownership mindset

  1. Take responsibility for everything in your life. 
  2. Focus entirely on things you can control
  3. Observe your thought patterns - question yourself when you tell yourself anything related to negative terms / phrases such as, Can't, Shouldn't, Don't Know, Unqualified, Not good enough, etc.
  4. Practice re-phrasing negative self talk into more empowering self talk. For example, change "I can't buy a house?" to "How can I buy a house?" Observe how the simply rephrasing immediately changes your thought pattern into problem solving and inspires action.
  5. Read books, listen to podcasts, more or less brainwash yourself into believing you are capable, worthy, and deserving of everything you want.

The Ownership Mindset empowers you to take and maintain control of your thoughts and life outcomes. The next section will apply the rephrasing practice to common fears and doubts experienced by newer real estate investors. 

Common Fears / Doubts

Limiting Thought - I'm not a real estate investor

The phrase, “real estate investor” brings up self-doubt in a lot of people. After you finish this free course, you will be very qualified to move the next step of acquiring your first investment property. An investor invests money to make money.  When you set the intention to produce a specific financial outcome from your real estate, you are a Real Estate Investor. 

If you have a plan to make money from your real estate, you are a real estate investor.

Ownership Mindset Re-Phrase

Say this outloud - I’m a real estate investor utilizing an Owner Occupant loan to jump start my real estate portfolio.

Limiting Thought - I can’t qualify for a loan

There are literally hundreds of loan programs available for hard working people. Private lenders, local, state and national governments as well as private institutions offer a variety of opportunities to help people get into home ownership.  

Lack of income, down payment, or a low credit score are all temporary situations that you control.  With your Ownership Mindset, you have control of the variables that determine whether or not you can obtain a mortgage. 

It doesn’t matter if you get a loan today, next month, next year, or 3 years from now. Taking ownership, making a plan, and consistently working on that plan means you can qualify for a loan.

Ownership Mindset Re-Phrase

I’m getting qualified for a mortgage.

Limiting Thought - I don't want to take on all that debt

There are 2 important points to combat the fear of taking on millions of dollars in mortgage debt.

1 - Making mortgage payments every month is the same as making rent payments every month. Another way to think of this, whether you are paying rent or making a mortgage payment, you are paying a mortgage. Who's mortgage do you want to pay?? Your own or your landlords?

2 - Leverage. If all debt is bad, why would anyone take out a mortgage? The answer is leverage, using debt to increase the potential return on investment. What other investment allows you to control an asset worth $500,000 with as little as $25,000? There is only one, Real Estate.  With a mortgage, you are leveraging $500,000 for only $25,000; If the asset increases in value 10%, it is now worth $550,000 and you’ve doubled your money. Spend time researching online, watching videos, and working through examples until you fully comprehend the concept of leverage. 

Once this concept clicks, you will never be the same. 

Ownership Mindset Re-Phrase

Say this outloud - I leverage debt to control assets

Limiting Thought - I don't know how to invest in Real Estate

Of course not! That’s why you’re learning, literally right now. When I first got into real estate, someone gave me the advice “go as far as you can see, once you get there, you’ll be able to see further.”  This little quote helped me trust the process, continue to learn, and keep going even when I couldn’t see the full path.  

Ownership Mindset Re-Phrase

Say this outloud - I’m learning how to invest in Real Estate

Limiting Thought - I might have to move, so I don’t want to buy now

The sooner you move out, the sooner the property can be converted to an asset! We'll get into this idea in depth a little later in the program, but for now, if we are strategic in how you acquire your property, you will be able to move for work or another reason and still keep the property for long term. This isn’t really a limiting factor, it’s just a material fact we need to consider while developing your specific acquisition model. 

Limiting Thought - I'm / my spouse is looking for a new job / not sure what our income will be, so I don’t want to buy now

Are you getting a lower paying job? Probably not. This is not a reason to delay your real estate acquisition. You may need to focus on the job search and transition period, which would require your real estate acquisition to take a lower priority. But double check this thought pattern isn't actually rooted in fear and producing procrastination.

Final Thoughts on Limiting Thinking

Limited thinking creeps in all the time and manifests itself in a variety of ways, such as non-action, negative self-talk, procrastination, comparing yourself to others, and perfectionism.  We are never done cultivating an ownership mindset, requiring consistent observation of our own thinking and behaviors to replace disempowering thoughts and behaviors for empowering ones.

How to Buy Real Estate

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