Successful Real Estate Investing Depends On The People You Listen To

Here in Phoenix I sit listening to differing views about how to market real estate and work with people looking to buy or sell real estate.  And although none of the speakers to this point has addressed real estate investing specifically, there is a correlation to be had here.

I’ve said it again and again and again that the people you choose to listen to will have such a bearing on the success, or failure, of your real estate investments that it’s not even close to funny.  I say that because I am hearing things here that, based on my experiences and what I know to be true, are both brilliant and completely off base.  At least for how I choose to do business.

No one is saying you can’t make money flipping houses, or buying notes, or owning trailer parks, or working with short sales.  What I am saying is know what the end result is supposed to be.  Then, where are you starting from?  If you are a busy executive that travels, has a family, a solid income, a solid start on your retirement assets do you really want to be supervising a construction crew to squeeze out a few extra thousand or are you looking for turn-key investments that will require as little personal attention as is reasonable for real estate investments?

Conversely, if you are a twenty-something with limited assets you are probably not ready to start plunking 20% down on three properties at one time.  You have to know that the person you are working with is familiar with you and your situation

If you are in the Kansas City area, call me.  Let’s sit down and talk.  Out of the area, call me and we can work by phone on an hourly consultation basis.  And I’ll find you an agent in your area that can help with the peripherals.  Either way, call me. 

8 Comments

Filed under Real Estate Investing

8 responses to “Successful Real Estate Investing Depends On The People You Listen To

  1. The hardest thing for new investors to do is start taking action. Many training courses, informational books and seminars go over many different types of investing methods, they all sound like great money making strategies so new investors have trouble deciding where to start. Talking to experienced investors is always a great idea. Local REI clubs are usually a great place to start when looking for local mentors in your area.

  2. There is a lot of confusion in the beginning that does stunt action. Great comment.

  3. Starting in investment isn’t as difficult as it first appears. What you can achieve depends on how much money you can lay your hands on. If you are starting with relatively little cash, but can borrow enough short term, I recommend that you purchase a new build property direct from the developer. You want one that is stock – i.e. about to complete. Negotiate a discount on it. This shouldn’t be that difficult at the moment. Then re-mortgage it immediately and pay back the money you borrowed to get started.

    Investing in property is like any project, and projects go in phases. The first phase for you maybe to create equity quickly. The next phase will be to either create a portfolio of properties that give you a rental income, or buy to flip.

    Happy hunting,

    Stu

    http://www.offplanpropertyexchange.com – New homes for sale and property investment opportunities.

  4. where are you starting from? If you are a busy executive that travels, has a family, a solid income, a solid start on your retirement assets do you really want to be supervising a construction crew to squeeze out a few extra thousand or are you looking for turn-key investments that will require as little personal attention as is reasonable for real estate investments?

  5. Your points are very, very valid. I have worked this very successfully for many a client. Both here in Kansas City and abroad.

    There are pitfalls to be wary of. But overall it’s an extremely sound strategy.

  6. Great post. Thanks for the continued insight into the world of REI. My wife and I have had similar discussions over the last several months as we move closer to starting. Do we want to be purely an investor or should we become involved as an active property manager as well?

    Right now, we’re going to focus on being real estate investors and let someone else help us manage the details. This is easier to do when you’re an out of town investor (like we will be) as I imagine the idea of doing your own PM to save some money is a bigger lure if you’re co-located with the property.

    Thanks again for the continued education and helping to shape my approach to REI.

  7. Chris-What a great point!
    On the East Coast there are several local “gurus” that won’t be in business long. They may be good investors but approach the training/mentoring side very poorly. They seem to only be interested in the extra income of selling their “system”-which is poor at best!
    I don’t profess to be the best in the RE investing game, but I will always guide my clients in a direction to meet their goals. I have a solid list of investors that both buy & sell through me because they know I have their best interest in mind-100% of the time.
    Thanks for the great post-I look forward to more.

  8. Wow. Fiduciary duty. What a concept! 🙂

    Thanks for the kind words.

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