Real estate investing is potentially a very profitable business, but like any opportunity that offers the potential for big profit, investment in properties also comes with some risks. In fact, just as many businesses fail within the first year of operation, so, too, do many entrepreneurs in the real estate business face burnout and failure. In many cases, these failures are preventable and caused by one of more of these 3 common mistakes:

1) Refusing To Invest a Dime in Your Business. Many entrepreneurs get caught up in those exaggerated claims made by some so-called investment experts and really believe that they can build an empire without investing a penny. In reality, you do need to spend money to make money. To run a successful business, you need to hire a good attorney, pay for inspections, and pay for marketing as well.

2) Making as Much As You Can. You should know exactly how much you will be making from real estate investing, because you are the only one who determines your profits. Don't leave your profits up to chance - decide how much you will earn from your business.

3) Sitting Back. Lots of entrepreneurs get started with the right idea. They go out there, make plans and start researching real estate. Months later, they are still making big plans and researching. There is a point at which you have to just jump in. Give yourself 30 days to get started, get set up, and get educated. After that, you should have a plan and you should start working your plan on the 31st day. Nothing will happen unless you make it happen, so get ready and then take some action. If going full tilt after a month of preparation seems scary, take baby steps. On day 31, contact a few leads or line up that loan. Even small steps will get you there and once you have taken a few small steps you can start going after investing full-tilt. Real estate investing is about making smart choices consistently. It's not about never being wrong. That said, you will be able to profit much more and enjoy the process by avoiding some of the common mistakes entrepreneurs make. Leverage other investors' knowledge and avoid learning by trial and error. Your bottom line will be much better as a result.