For many individuals, the goal of passively investing in real estate is to grow their personal wealth, whether it’s to gain financial freedom, shore up their retirement plans, or simply increase their existing bank balance to ensure they can continue living in the style to which they’ve become accustom. One way to help get yourself well on your way to achieving that high balance goal is to begin educating yourself on ways to grow your wealth, whether it’s by starting your own business or diving head first into real estate investing. In fact, one of the best things you can do for your real estate investing endeavors is treat them as a business in the first place.
Below we’ll take a look at three books that I strongly recommend for overall wealth and business growth.
- Think and Grow Rich - Napolean Hill
This book is considered by many, including BusinessWeek, to be one of the best resources of all time for building wealth. It was originally published in 1937 after Hill was “inspired by a suggestion from Andrew Carnegie.” Yes, that Andrew Carnegie. From there, Hill researched and interviewed other successful business magnets and eventually developed 16 “laws” that could be applied to achieve success. He then edited down these laws into 13 principles that form the Philosophy of Achievement. In the 80 years since the book was first published it’s sold over 100 million copies and has inspired a number of seminars and courses devoted to helping people achieve their goals.
- Good to Great - Jim Collins
If you’re looking for a book that’s a bit more updated (by 60 years or so), this is a fantastic resource. In it, Collins discusses the factors that differentiate a good business - one that is simply getting by - from a great business - one that is turning a profit “several multiples better than market average.” This book was written as the culmination of a five-year research project consisting of a team of over 20 researchers and led by Collins who sifted through thousands of articles, interviews, and reports. Their research led them to identify seven characteristics of a company that went from being “good to great,” including using technology to accelerate growth and being realistic about the “brutal facts” of the situation. These characteristics can also be applied to real estate investing in terms of setting yourself up for the realities of the market and what needs to be done to keep your wealth growing.
- Competition Demystified - Bruce Greenwald and Judd Kahn
This pick is the most recently written of the three and was published in 2007. This book is largely based on the coursework that Greenwald teaches in his popular business class at Columbia School of Business. The main focus of Competition Demystified is learning how to identify and understand the “competitive structure” of a particular industry and figuring out how to develop an appropriate strategy for positioning your company to work within - or surmount - that structure. The real estate investing world is incredibly competitive, and the advice in this book can certainly assist an investor - whether they’re new to the game or a veteran - with making smart investing decisions.
Are you interested in learning more about investing in real estate? Check out our guide: