Posted by kj (MD) on January 04, 2003 at 12:22:00:
Can you send me the web site address to Dealmakers Cafe’? I am a Newbie and want to all the advice I can get.
Info for Newbies… - Posted by Phil
Posted by Phil on January 03, 2003 at 19:17:30:
Hey Newbies!
So, you want to be a Real Estate Investor? You?ve read some books, maybe taken a few courses and spoke to other investors. You may be sick of working at your J.O.B., and have decided to do what ever it takes to become successful in this business, so you can say good-bye to your job. You also may find that the more books you read, the more confusing things are becoming. As you start to understand Subject To, L/O, Rehabs, flips, CFD, etc, you begin to see everyone has their own opinion about how you should conduct your business; that just confuses you more and you feel frustrated. So you buy more books and courses trying to get a clear understanding of the business. TIME TO CHANGE THAT.
You?re now ready to begin your Real Estate Investing career and ready to jump off the fence and do something. Sitting on the fence is what we call people who read and talk about Real Estate Investing, but never do anything. You may be asking yourself: Where do I start? What if I screw up? What if I make a mistake? What if I?.? These are all questions that we have all asked ourselves. Most people let their fear of failure control their life. What if you were able to turn your fear into a passion to succeed in this business? Well, you can. Take one step at a time so you can build up your confidence in yourself and abilities. Dealmakers Café is where you need to be if you are serious about this business. I personally can tell you this site has changed me, for life.
What are these little steps that you should take? Well, you are standing on part one, of step one- if you are brand new to this site. Dealmakers Café is now your lifeline. If you have a question, post it. People that have experience in this business will help you if you are serious about this business. Personally, I love to help those who jump off the fence and start doing something; because it shows us that your serious- I think it?s safe to say the Pro?s feel the same way. Part two of step one is to put all the books and courses your reading in the corner right now. Don?t worry; you?ll get back to them.
The second step is read the Archives on this site. The archives will answer many, many questions that you may have now- and will have in the future. It will give you the best overview of the business than any book out there and give you ?Real life? questions by real investors on this board.
The third step is the most important step that you will ever make in this business. The third step will determine your success in this business. On this step, you have 2 choices. The first choice is to grab a chair and some more of your ?How to Invest in Real Estate? books and courses and sit and read until your ?Ready? to take action. I have heard people say, ?I?m going to finish reading these books I have and take the courses I have coming and then start investing in 6 months. I can?t wait!? Well, good Mr. Newbie, that ?sounds? great, how long have you been studying? ?I?ve been studying this business for over a year and I know it?s for me, it?s great and I can?t wait to get going!?
You may think that won?t be you. Well it can be you, so let that scare you. If you think that?s uncommon, feel free to look at other sites, go to Meetings and you will find these people everywhere. Trust me, it will happen to you if you decide that the next few weeks, your going to study and read just a little more. Days turn into weeks, weeks into months and before you know it, your on a REI board out there telling people how great this business is, and giving people advise with all of your book smarts. I don?t mean to come across so harsh, but I was one of these people, before I came across this site. I took action and I am making things happen. I have lost the fear-factor and there is nothing that can stop me.
If you don?t take action NOW, you will never take action. How many businesses have you looked into? How many have you tried? How many did you put your heart and soul into? Think about the last question. There are thousands of people in this business. From what I see out there, it is those that put their heart and soul into their business, that are the ones that are the most successful.
The second choice you have, as you stand on the third step is to take action. TAKE ACTION. I know you have read posts from others who say you need to get out there and start looking for deals and talk to people, but exactly how do you do that? That?s what Dealmakers Café is for- to take you to step three, four, five and so on. One of best ways to get started and to over come your own fears, is by talking to sellers on the phone.
Let?s talk about the ?Newbie Newspaper Call Blitz?. This is a post I made to help others get off the ?Comfort Fence?. It is the initial step that I made, and got the ball rolling for me. This is a great step to get you moving. Do yourself a favor and read that post. Why should I start by calling ads in the newspaper? First of all, you get the ball rolling. You are calling FSBO?s in the paper and TALKING to sellers. This will accomplish a few things:
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You can practice asking the right questions, qualifying them to see if they?re truly a motivated seller.
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You are now out of your ?comfort zone?. GOOD. Know that it is normal to be scared when you first start calling because you don?t know exactly what to say. Also know that you will not reach a lot of people and you?ll get a lot of people that are not interested in talking to you, unless you pay the top dollar they are asking for. That?s OK too. You may even get frustrated because after you spend hours of calling you may not have anything to show for it. But guess what you just did? You took action and learned form experience! If you really want to be a Player and a DealMaker in this business, then you should now be hungry after making these calls. Hungry to find motivated sellers and willing to do what ever it takes to find them!
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If you can handle calling FSBO?s you can handle anything! You’re throwing yourself into the mud. Some Pro?s may not agree with this because calling these ads is the hardest part of the business. The whole point is to realize if you can call these people on the phone and hear no, no, no, I?m not interested and no thanks a few times, YOU can do this business. It only gets easier and more fun! After calling these ads you realize that, ?Hey, I can talk to these people. That wasn?t that bad!" Now it?s time to have the motivated sellers call you. The WORST that could happen is that you find a Motivated Seller and not know what to do. In that case, come to this site and post everything that?s going on and you will be guided through everything. REMEMBER: If you can handle calling these people, YOU CAN HANDLE ANYTHING!
Also, one point I want to mention is that you do not want to make offers on the phone. If you find a motivated seller on the phone or if one calls you from your marketing efforts, NEVER make an offer on the phone. You want to meet the seller. It is important that you create a rapport with the seller at their house. Sit down with them, become a friend. Remember that your there to help and most of the time the reasons they have to sell are not good reasons.
Some may need to vent and talk to you about a bad divorce, a death in the family or a job loss. It is very difficult to create a good rapport over the phone and MUST be done face-to-face. Down the road and someone may call you from an area you know like the back of your hand. You still have to see the inside and talk to them face-to-face. People are not always truthful about problems they have in life or about the house over the phone. Go there, look at the house, talk to them, and find out what their bottom all cash price is. Then you can work the terms in your favor.
You see taking action is what will make you or break you. Even when you’re active with your marketing and have some deals under you belt, are you going to sit there and wait for people to call you? I hope not! Again, you need to take action! Even when you have ads in newspapers, fliers everywhere, mailings going out, bandit signs up and even people calling you, you still need to be out there driving around looking for abandoned houses, making phone calls and making things happen. The most successful people in this business are taking action every day. Yes, you can make a good living with the motivated sellers calling you from just your advertising, but if you want to be a DealMaker you need to be out there taking action!
The choice is yours. If you can?t make the initial few steps, this business may not be for you. There?s nothing wrong with that. I personally looked into hundreds of business over the last few years. I try some? Yes. Did I put my heart and soul into it? No. Find a business you can put your heart and soul into and things will fall into place for you over time. If you decide to jump in and give it everything you?ve got, we?re here to help guide you.
Once you complete the first 3 steps, see the posting: ?Newbie Weekend Warrior Blitz?. This will help you develop your ?farm? area. As you go through the Archives, you will determine your own game plan. You may chose different route to get your business off the ground- that?s fine. Each investor does things differently. Just find a method that will get you motivated and keep you motivated to take action. Good luck Newbies and I look forward to seeing your posts about the results you had in taking action.