So, tonight we went to another networking meeting. Anyone in this business knows exactly what I'm talking about--a roomful of hopeful newbie entrepreneurs, at least one "guru," and one long pitch for some product or another sprinkled with nuggets of helpful advice that, for the most part, only raise more questions.
I think I hit the networking wall with this one because I had to make a grown-up, big boy decision, and after choosing the wiser of two options, I ended up feeling sorely misled. The meeting was supposed to have an actual networking session beforehand--something where we could grip and grin, exchange cards, maybe build helpful contacts for later down the road. Or even right now. Instead, well, it wasn't.
There was supposed to be free pizza, and I could smell it, and I even saw someone in the back who'd found this mythical pizza and was eating it, but the "opening act" guy never got around to inviting everyone to take a break for dinner before the main event got underway. So there I am, listening to him go on and on about his latest deal, (but never getting into the particulars, of course), starving to death, (literally), but having nothing to munch on but the handout pitching yet another boot camp.
It was stale.
I know these things are helpful. I know that. I believe it. But after a while, you start hearing the same things over and over again. "You can make a killing in real estate with XYZ method. My boot camp will show you how. A lot of guys will charge $20,000 for this information, but you can get into my mentorship program for only $3,000." When you're just starting out and don't know the difference between wholesaling and equity, I suppose one of these things are worth it--if you've got the money, that is. I happen to know of at least two people who have spent over $20,000 on various boot camps, mentorship programs and weekend conferences.
Whenever we go to these things, we inevitably run into people at the same stage we are, roughly. They're eager, but apprehensive. They believe, but they have yet to fully convert. And yes, that includes the people who've dropped tens of thousands of dollars on educational materials. Laying down the credit card or writing a check feels like a real investment in their future; it feels like they've accomplished something. And yet it does very little for a lot of folks. So, when they hear that we've made 50 offers through MLS, sometimes people look at us as though we're Keepers of the Fire of Secret Knowledge.
I don't say that to brag, because let me tell you, we're nowhere near any secret fire knowledge-keeping. We're poor. Our debt is growing. But still, by virtue of the fact that we've jumped that incredible hurdle of the First Offer, people treat us differently. Hell--I've even been asked to participate in one investor's monthly teleconference as the guest of honor. (And thanks to you, G., if you're reading this. It was fun, even if I doubted my authority to speak about anything in this industry.)
Anyway, tonight I reluctantly went to this thing, and I was bored to tears. The skepticism I've been fighting won this battle. I'm not entirely sure why, but I think it has something to do with the fact that if you go to enough of these things, and if you're paying attention, you start hearing little contradictions.
Like what, you ask, dear reader?
Well, one guy says that when you start out, you should be making tons of looooowwww-ball offers through leads you find through the MLS system. The idea is that volume will lead to at least one deal. This guy, by the way, sells a system with a heavily implied promise that you will have a deal within three-or-so weeks.
However, at another networking group, one of the experts rolled his eyes at that guy's "system." And he's not the only guy who expresses skepticism with the MLS approach.
Another example: one real estate agent recently told us, solemnly, that short sales and REOs are the way to go in this market. Another guy (tonight, actually) said those were "okay," but what you REALLY want to focus on is Sub-2s.
Now, I realize two things, of course. The first is that the scientific part of real estate investment is only in the numbers. Other than that, it's all art, and there are a lot of fallible artists out there. The second thing is that these aren't that great of "contradictions." It's just different opinions. (Maybe that's just one realization...)
Tonight confirmed something I've been thinking lately: When it comes right down to it, you've just got to dive in, get bruised and learn it your own way. Anyone who sells you a "system" that "guarantees" you to be wealthy in X amount of time--or even just guarantees you success, is trying to sell you something. Every one of these gurus will tell you the truth in one respect--this is a business, not a get-rich-quick scheme. But then they'll tell you about their systems...
Once again, my dad turns out to be far wiser than I ever gave him credit for...
I think I hit the networking wall with this one because I had to make a grown-up, big boy decision, and after choosing the wiser of two options, I ended up feeling sorely misled. The meeting was supposed to have an actual networking session beforehand--something where we could grip and grin, exchange cards, maybe build helpful contacts for later down the road. Or even right now. Instead, well, it wasn't.
There was supposed to be free pizza, and I could smell it, and I even saw someone in the back who'd found this mythical pizza and was eating it, but the "opening act" guy never got around to inviting everyone to take a break for dinner before the main event got underway. So there I am, listening to him go on and on about his latest deal, (but never getting into the particulars, of course), starving to death, (literally), but having nothing to munch on but the handout pitching yet another boot camp.
It was stale.
I know these things are helpful. I know that. I believe it. But after a while, you start hearing the same things over and over again. "You can make a killing in real estate with XYZ method. My boot camp will show you how. A lot of guys will charge $20,000 for this information, but you can get into my mentorship program for only $3,000." When you're just starting out and don't know the difference between wholesaling and equity, I suppose one of these things are worth it--if you've got the money, that is. I happen to know of at least two people who have spent over $20,000 on various boot camps, mentorship programs and weekend conferences.
Whenever we go to these things, we inevitably run into people at the same stage we are, roughly. They're eager, but apprehensive. They believe, but they have yet to fully convert. And yes, that includes the people who've dropped tens of thousands of dollars on educational materials. Laying down the credit card or writing a check feels like a real investment in their future; it feels like they've accomplished something. And yet it does very little for a lot of folks. So, when they hear that we've made 50 offers through MLS, sometimes people look at us as though we're Keepers of the Fire of Secret Knowledge.
I don't say that to brag, because let me tell you, we're nowhere near any secret fire knowledge-keeping. We're poor. Our debt is growing. But still, by virtue of the fact that we've jumped that incredible hurdle of the First Offer, people treat us differently. Hell--I've even been asked to participate in one investor's monthly teleconference as the guest of honor. (And thanks to you, G., if you're reading this. It was fun, even if I doubted my authority to speak about anything in this industry.)
Anyway, tonight I reluctantly went to this thing, and I was bored to tears. The skepticism I've been fighting won this battle. I'm not entirely sure why, but I think it has something to do with the fact that if you go to enough of these things, and if you're paying attention, you start hearing little contradictions.
Like what, you ask, dear reader?
Well, one guy says that when you start out, you should be making tons of looooowwww-ball offers through leads you find through the MLS system. The idea is that volume will lead to at least one deal. This guy, by the way, sells a system with a heavily implied promise that you will have a deal within three-or-so weeks.
However, at another networking group, one of the experts rolled his eyes at that guy's "system." And he's not the only guy who expresses skepticism with the MLS approach.
Another example: one real estate agent recently told us, solemnly, that short sales and REOs are the way to go in this market. Another guy (tonight, actually) said those were "okay," but what you REALLY want to focus on is Sub-2s.
Now, I realize two things, of course. The first is that the scientific part of real estate investment is only in the numbers. Other than that, it's all art, and there are a lot of fallible artists out there. The second thing is that these aren't that great of "contradictions." It's just different opinions. (Maybe that's just one realization...)
Tonight confirmed something I've been thinking lately: When it comes right down to it, you've just got to dive in, get bruised and learn it your own way. Anyone who sells you a "system" that "guarantees" you to be wealthy in X amount of time--or even just guarantees you success, is trying to sell you something. Every one of these gurus will tell you the truth in one respect--this is a business, not a get-rich-quick scheme. But then they'll tell you about their systems...
Once again, my dad turns out to be far wiser than I ever gave him credit for...
2 comments:
Bingo Chris!
Every time you hear, "I'm only teaching this course so you won't have to make all the mistakes I made in this business", think about your dad - persuing delayed gratification while building expertise.
As for "the ultimate method"(sub-2, REO, short-sale, etc.) - just think of them as tools in your toolbox. The tool that you use depends on the situation. Other wise, if you wield only a hammer, everything looks like a nail!
Best,
Jimi
Right on, Jimi.
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