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- Feb 18, 2008
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From my blog this morning: Six Reasons No One Wants to Buy Your F%^$ Real Estate InvestmentI get to talk with a lot of people who are new to investing. As a rule, they`re amazing and frequently very successful, particularly among the REIN crew.
Most of us know that one person who just won`t shut up. Since I`ve been one, and I`ve been exposed to quite a few lately, I`m going to have a little rant about the six attributes that piss me off the most I find most annoying.
http://www.flickr.com/photos/themadlolscientist/ / CC BY 2.0
1. You`re just about the money
If your profile picture on any social networking site includes you and your dream car/boat/trip or something else related to money, you`re doing it wrong. People might invest for just monetary reasons, but the best investors you can cultivate will care about you more than the money. They`re highly unlikely to look like the rich ***** you seem to be interested in becoming. Real estate investing is a long term game, so build relationships. Don`t waste your time trying to attract the wrong sort of people.
2. Cash-flow? Amortization? ROI? What the hell are you talking about?
Real estate investors have their own language. We`re almost as bad as stock brokers, lawyers and teh computer game g33kzors. Remember, every time you write something that other people are going to see, try this exercise. Keep a copy of a real estate glossary beside you, and try not to use any of the words in it. Or you can just wait till you`re done and just go through and delete them. Take a minute and flip through some of the `investor wannabe` posts on myREINspace. Try to speak their language.
3. You don`t seem to think about other stuff
Please, stop spamming your Facebook/Twitter/email/LinkedIn with endless links to your own articles. Stop talking real estate at least once a month. I do that with my Song of the Week. For sites like Facebook, topics such as real estate or economics should make up no more than 1 update in 5, especially if you`re on there often. LinkedIn is a more professionally focused site, so you can be a little more frequent. Either way, never forget that people invest in you, so your online presence should reflect that.
4. You don`t add value or give back
I don`t care if you`re just starting out, you have an ability or knowledge which will support the group (whatever your group happens to be). Asking for tips, help and analysis is fine; doing it without giving back isn`t. Find one thing you can share/do/learn/work on, and give it back for free.
5. You don`t thank the people who help you
Here`s one idea: send everyone who helps you personally a handwritten card. Give it back to your investors, friends, team members and the other investors you know. Here`s another idea. Say thank you. Get used to doing it often.
6. You get distracted
If you`ve got a history of running from one money making scheme to another, or worse, from one Real Estate Investment group to another, you`re screwed. I hereby diagnose you with Bright Shiny Object Syndrome (B-SOS). Personally, a someone who had B-SOS, I knew I was on to something when my wife said, "You`ve been really focused on the REIN real estate stuff, and it looks like it`s really starting to work." If you can`t be relied upon to stay the course, you can`t be trusted with $150,000 worth of investment capital.
Now if this list struck a chord with you, good. You might think I`m wrong, and have $50k in profits to show for it. My point is without playing it my way, for the long term, you`re not likely to make $500k. If you do manage it, it`s going to be lonely at the top.
If you`re doing ok, keep this one handy. We can all improve.
Focus on relationships. Focus on being consistent. Focus on building a stable business. All else will come.
Most of us know that one person who just won`t shut up. Since I`ve been one, and I`ve been exposed to quite a few lately, I`m going to have a little rant about the six attributes that piss me off the most I find most annoying.
http://www.flickr.com/photos/themadlolscientist/ / CC BY 2.0
1. You`re just about the money
If your profile picture on any social networking site includes you and your dream car/boat/trip or something else related to money, you`re doing it wrong. People might invest for just monetary reasons, but the best investors you can cultivate will care about you more than the money. They`re highly unlikely to look like the rich ***** you seem to be interested in becoming. Real estate investing is a long term game, so build relationships. Don`t waste your time trying to attract the wrong sort of people.
2. Cash-flow? Amortization? ROI? What the hell are you talking about?
Real estate investors have their own language. We`re almost as bad as stock brokers, lawyers and teh computer game g33kzors. Remember, every time you write something that other people are going to see, try this exercise. Keep a copy of a real estate glossary beside you, and try not to use any of the words in it. Or you can just wait till you`re done and just go through and delete them. Take a minute and flip through some of the `investor wannabe` posts on myREINspace. Try to speak their language.
3. You don`t seem to think about other stuff
Please, stop spamming your Facebook/Twitter/email/LinkedIn with endless links to your own articles. Stop talking real estate at least once a month. I do that with my Song of the Week. For sites like Facebook, topics such as real estate or economics should make up no more than 1 update in 5, especially if you`re on there often. LinkedIn is a more professionally focused site, so you can be a little more frequent. Either way, never forget that people invest in you, so your online presence should reflect that.
4. You don`t add value or give back
I don`t care if you`re just starting out, you have an ability or knowledge which will support the group (whatever your group happens to be). Asking for tips, help and analysis is fine; doing it without giving back isn`t. Find one thing you can share/do/learn/work on, and give it back for free.
5. You don`t thank the people who help you
Here`s one idea: send everyone who helps you personally a handwritten card. Give it back to your investors, friends, team members and the other investors you know. Here`s another idea. Say thank you. Get used to doing it often.
6. You get distracted
If you`ve got a history of running from one money making scheme to another, or worse, from one Real Estate Investment group to another, you`re screwed. I hereby diagnose you with Bright Shiny Object Syndrome (B-SOS). Personally, a someone who had B-SOS, I knew I was on to something when my wife said, "You`ve been really focused on the REIN real estate stuff, and it looks like it`s really starting to work." If you can`t be relied upon to stay the course, you can`t be trusted with $150,000 worth of investment capital.
Now if this list struck a chord with you, good. You might think I`m wrong, and have $50k in profits to show for it. My point is without playing it my way, for the long term, you`re not likely to make $500k. If you do manage it, it`s going to be lonely at the top.
If you`re doing ok, keep this one handy. We can all improve.
Focus on relationships. Focus on being consistent. Focus on building a stable business. All else will come.
