Newbies... YOU need to read this (long) - Posted by Bob

Real Estate Investing
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Posted by Xarvet on December 17, 2002 at 19:43:28:

I think one of the points made earlier needs to be repeated. This business is 90% about taking initiative/being proactive and 10% about knowing all the recipes for creative deals, understanding legal details (lawyers are for that), understanding financial details (bankers and CPAs are for that), etc. Proactively trying to figure things out – rather than waiting for someone to spoon feed it to you – is the most basic behavior anyone needs to be successful in this or any other entrepreneurial venture.

My $0.02

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Newbies… YOU need to read this (long) - Posted by Bob

Posted by Bob on December 15, 2002 at 23:47:10:

It’s amazing to me how many times I visit the board and find answers toward the bottom, and then the same questions asked again from someone else at the top. Example “is 0 down possible” that must be debated several times a day.

New folks, please have courtesy and respect for our seasoned pros, you are asking for their time, knowledge, and experience, and it shows very little respect when a newbie won’t or doesn’t take the time to make a little effort to find the answer on their own in previous posts/articles.

If you’re reading the posts/articles first, and just don’t like the answers don’t expect them to change much, the pros know what works (for them anyway) and stick by it. …doesn’t mean you have to listen, be a free thinker, and then come back and post how you did it and it worked. But, DON’T do anything illegal.

This business is entrepreneurial, roughly translated this means “you are it” on your own. Thinking, both conservative and creative, as appropriate, is your only unique asset. If you’re source of creativity is [post new message] [wait for answer] [do what they told me] you should probably consider a more traditional career.

If there were an article titled “what every newbie wants to know, but doesn’t want to hear” it would go something like this.
Q: 0 down?
A: Forget about it
Q: Title in LLC
A: Ask your lender, they’re all different
Q: 125% LTV, 351 FICO, Unemployed, Ch 7, Possible?
A: What do you think?
Q: How do I find out …?
A: Courthouse
Q: And then how do I find out…?
A: Start a courthouse, follow leads from there.
Q: Where do I find a HML?
A: 1) Not from me! 2) Good Luck 3) Start in the HML’s “circle” and work outward, basic algebra finding the value of HML :slight_smile:

You see, these aren’t my answers, these are the answers that have been repeated over and over again in just the last week or two, yet they are still being asked (over and over)

Again, if you’re a real entrepreneur you won’t be to rattled by any of the above that present a problem, because you’ll find a way to overcome the problem. But please, don’t keep asking the same question hoping for the answer you want to hear. If there was a magic recipie for the never ending source of sellers, buyers, funding, etc. there would be a lot more Pro’s and a lot less Newbies because everyone would be immediately successful.

All that said, please first read the post by Ron Starr:
http://www.creonline.com/wwwboard/messages/41053.html

Then start scouring the articles, read 'em all. Watch the posts and read anything that looks remotely relevant. At some point, once you think you’ve pretty much ‘got it’ feel free to ask a question. Don’t get me wrong, the point of this forum is questions and sharing experiences, questions are great just be willing to do your own fair share of research too.

End of Rant, Bob.

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JP, how about an FAQ for each Newsgroup? (nt) - Posted by Mark_IL

Posted by Mark_IL on December 16, 2002 at 21:48:45:

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Re: Newbies… YOU need to read this (long) - Posted by Ronald * Starr(in No CA)

Posted by Ronald * Starr(in No CA) on December 16, 2002 at 16:57:53:

Bob---------------

I think what you say makes a lot of sense. I remember stubling on this site close to 2 years ago. I read a few dozen posts and posted a request for how to order a real estate investment program I wanted to buy. Then I realized there was a search function and searched for the author’s name. Presto: 6 or 7 different telephone number for calling and ordering. THe first put me on hold for seemingly forever. The second took my call soon and I got my order about three weeks later. After I found what I wanted to know, I went back and posted to my original post: “I already found it.”

The search function is a great resource. I agree with you that too many people just post their questions without doing research. What bothers me is that so many people post their questions without even thinking about them. They do not frame the questions in a way that they can be answered. They do not tell what state they are in, when so many real estate laws vary from state to state. They don’t take the time to really think about what they should be asking and how they should ask it.

I feel part of the frustration you and I feel could be aleviated by the website having a prominent article titled something like “FIRST TIME VISITOR? Here’s how you can get the most from this resource” on the home page. There would be list of the most commonly-asked quections, some suggestions about searching, and some suggestions about how to post a clear, answerable question.

Well, I encourage you to contine to post your views. At least on this one, you an I agree.

Good InvestingRon Starr**

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Re: Newbies… YOU need to read this (long) - Posted by Rob FL

Posted by Rob FL on December 16, 2002 at 11:05:36:

You say in your post, zero down - no way. I’m actually trying to think back to the last property that I actually contributed closing costs or a down payment for. It was about a year ago. I’ve bought probably 25 since then without any money. Zero down is very easy. There are lots of hard money lenders who will finance you 100%, and if you wholesale properties you don’t need any money out of pocket either.

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Re: Newbies… - Posted by John_CT

Posted by John_CT on December 16, 2002 at 10:15:58:

BOB…I really Don’t understand your frustration, Isn’t that what keeps ANY bulletin board alive, activity? Also, is any deal identical to the previous deal, of course not. A newbie is exactly that, a new person to the business and to this board.

If your simply frustrated that the info is available through a search and that feature is not being used, that is another story. Welcome to human nature.

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Re: Newbies… YOU need to read this (long) - Posted by Matt - CA

Posted by Matt - CA on December 16, 2002 at 02:55:29:

I just bought for 0 down and I am a newbie. It was my first purchase ever actually! Bob, I will always try and find answers first on the board before posting a question. I’m am gratefull that you are all here.

The deal I just made wasn’t even creative. I just felt that is time to take it to the street and that i’d never really learn anything until I just start doing it.

-Matt

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Re: Newbies… YOU need to read this (long) - Posted by Kristine-CA

Posted by Kristine-CA on December 16, 2002 at 24:02:11:

Bob: thanks for the post and the ideas. However, I’m wondering about zero down…Seriously. Why do you say no way? There is certainly no consensus on this board that zero down can’t be done. Zero down is easy! Good deals are difficult. Positive cash flow is challenging. Zero down is a piece of cake!

I think the answer to can you buy with zero down should be: Yes, so what.

Sincerely, Kristine

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Slightly out of context - Posted by Bob

Posted by Bob on December 16, 2002 at 12:46:08:

Rob, I don’t want to be labled the anti-zero-down guy lol!! Seriously, I beleive anything is doable.

Those answers under the heading “what every newbie wants to know, but doesn’t want to hear” were largely sarcastic and humorous with a thread of truth. Please take it with a grain of salt.

Either way, it seems to have stirred up a healthy debate, which is what this forum is all about.

Thanks for you post,
Bob.

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That Human Nature thing… - Posted by Bob

Posted by Bob on December 16, 2002 at 12:13:43:

…is what I’m referring to. I agree, the boards interaction is great, and every deal is different or maybe appears different. This board is a wonderful resource that offers support & interaction with folks that speak the same language.

And I’m not picking on all newbies, most of their questions are great. There are some however that could try just a little to find their answer before posting. I’m not a newbie or a pro, somewhere in the middle, and I very much appreciate the time our pros spend with us, and I think we should be respectful in return.

My point, which i obviously didn’t make clear, was to think outside the box and if you can’t do that from the beginning, you’re probably in for a long ride.

You may not agree with my opinion, and you don’t have to, that’s another terrific facet of this forum: differing opinions and dialogue exploring them.

Thanks for your post.
Bob.

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Congratulations!!! - Posted by bob

Posted by bob on December 16, 2002 at 12:22:56:

Matt, that’s terrific! Thanks for your post, it is very encouraging.
I’m glad you take your investing seriously and are willing to do your share of research, I really didn’t mean to imply ‘all newbies’ don’t try. I apologize if it came off that way.

And please remember, the answer I gave about 0 down was not my opinion, it was what I thought a conservative blunt answer would be for anyone who had not investigated on their own.

It’s doable, anything is doable.

good luck and good investing!