What separated those investors that survived and thrived through the pandemic from the rest, and what’s next?
Overall real estate investors have been enjoying their best years ever since the pandemic started. Not all have, but some have emerged even stronger financially than ever. How did they do it? How are they working on staying ahead of what is coming up next?
- They Looked For The Opportunity In The Challenges
There is no question that the initial onset of the COVID pandemic, and the policies instituted were a big deal for everyone.
Those that thrived through it chose not to see the sky was falling and allow themselves to fall victim to the doom and gloom, but to look for the opportunities in the challenges.
They also stayed flexible. They were not those that insisted on staying glued to the old office and ways of doing things. They accelerated their evolution.
- They Kept Marketing & Stayed Visible
Nothing kills a business faster than slowing or pausing marketing. It takes guts, and commitment, but the few that kept marketing through it have now emerged with a lot more market share and credibility.
While there were times when no one knew exactly how it would play out and what the timeline would be, they stayed visible, and went through the journey with others, rather than hiding under their desks like most.
- They Were Well Diversified In Advance
Those that weathered this period the best were those that were already well diversified in advance of it. They had future proofed their finances with intelligent diversification.
- They Communicated
They didn’t just keep on marketing and showing up on social media. They kept on communicating with their investors, tenants and borrowers. Even if that was to say they didn’t know exactly how it was going to play out, and they were still figuring it out. They granted workouts that made sense.
- They Focused On Long Term Versus Short Term Thinking
Crisis moments can bring sprints when you need to hustle and tweak things and optimize. Yet, that should never be at the expense of the longer term, your real goals and vision.
Short term thinking may have temporarily propped up some stocks through price gouging, market manipulation, stripping back services, and burning vendors, laying off staff and taking advantage of customers. Of course, the consequences of those moves are already showing up as 50% to 70% drops in the prices of stocks in those companies. People are not going to forget and go running back to them either.
Looking forward you can expect more of the same from these investors, businesses and leaders. Those that thrived through this period, just like they bounced back after 2008, are going to continue to expand multiple streams of passive income with solid risk adjusted returns, and balance that with gaining liquidity from opportunities in the market.
Find out more about investing in secured debt and real estate, go to NNG Capital Fund