Posted by don on August 17, 2009 at 12:41:04:
two words that come to mind when starting over in real estate investing one see and touch the properity no internet i have not found on properity on the internet infor is wrong or old info. Second start slow not too fast if you find and get a properity keep for the long hall dont try to flip not right now.
Starting over in real estate investment - Posted by Dick Bates
Posted by Dick Bates on August 14, 2009 at 15:45:44:
I’m looking for advice on how to start over. My partner and I got greedy in the real estate bubble and lost it all. We had a couple million in asset and mismanaged it. I’ve since scaled back big time and rebudgeted. With 4 kids things are tight but I still have hope.
My question is this. What type of bootstrap marketing could I do and whats the best way to do creative dealings without using banks?
Thanks in advance for your input.
DB
Re: Starting over in real estate investment - Posted by JAMES_CA
Posted by JAMES_CA on August 15, 2009 at 01:58:52:
If you don’t mind for all of us, what are the lessons learned, mistakes made, and how to avoid them.
I like one tip from my Buddhist monk. You can do whatever to build your wealth but don’t do it with ‘greed’. Basically go in with mindfulness so you will minimize the risk and prepare for good or bad.
Re: Starting over in real estate investment - Posted by Rick, the Probate Guy
Posted by Rick, the Probate Guy on August 14, 2009 at 17:22:10:
Just my 50 cents worth (it would have been 25 cents however I’m expecting a lot of inflation and feel you deserve your money’s worth).
Do a thorough take-no-prisoners evaluation of what worked and especially, what didn’t work in both your prior business model(s) and operations.
If you’ve paid the big tuition for your education (read that mistakes) you might as well get your money’s worth. Be sure to see your part in things, however small (even 1% is worth noting).
Survey the viable business models that appeal to you most and that you feel are workable given your strengths. I had some really big issues in the late 1980’s and decided that brokering hard money loans was a good way to get back up. I still do that today (in a way) although the private money lending world has been turned upside down in recent times.
Sounds like you’ve got a handle on your budget and familial responsibilities. How does that mesh with the time that you might need to commit to a new enterprise?
Are there any particular areas of R E where you feel you aren’t as strong as you ought to be (valuation, documentation, legal, negotiation, action, follow up, commitments/over or under, etc.?). I’d get working on those areas which stand in the way of your success post haste.
Have a good handle on what motivates you to get up in the am and work? If not, get clear on that.
Have a good example or two of people who are doing what you want to spend your work time doing? Find a way to help them, hang with them, and don’t ever let THEM buy lunch. Make yourself an indispensible friend.
Re: Starting over in real estate investment - Posted by Rick
Posted by Rick on August 15, 2009 at 06:22:27:
Your monk has it right. We operated from greed primarily. The lesson is don’t quite your day job one day before the income is completely replaced by RE investment, grow slow and deliberate, and get off the computer and start walking neighborhoods talking to people face to face.
Re: Starting over in real estate investment - Posted by IB (NJ)
Posted by IB (NJ) on August 17, 2009 at 08:13:20:
“…get off the computer and start walking neighborhoods talking to people face to face”
Still the best piece of marketing advice I’ve come across over the years.