Winners and Losers - Posted by JB

Real Estate Investing
1

Posted by JohnB_Nj on January 02, 2002 at 22:44:44:

Joe,

I am a full time RE investor. I am successful, not mega-bucks rich, but comfortable. But I have worked very hard the past 3 years to get here. Now, as far as Guru’s, either website or Latenight TV, selling their courses and seminars, yes, they are in it for the money. But isn’t that what business is all about. Making a profit on your hard work. Now, next time you see Carleton Sheets on TV look at the fine print on the testimonials, “Results are not Typical, your income could be higher or lower”…or something of that nature.
You see, your success is up to you. What will you do with the information you purchase? Some don’t even read it, some read it and do nothing and others try once or twice and get shot down and never dust themselves off and get right back at it.

So, it is up to you not some stats on the ratios of “winners to losers”. When you look in your mirror what do you see…I would hope you see a winner.

Now, if I was into advice, I would say read up on everything you can get your hands on and then put a deal togethor. You can find a variety of books in the library or on Amazon.com. But I can assure you that any courses offered here are very good. JP only sells what works. You won’t find any “junk” here. Pick your RE niche and study up. You might even consider the upcoming convention.

The best of RE success to you in 2002.

-John

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Winners and Losers - Posted by JB

Posted by JB on January 02, 2002 at 20:12:18:

I just have one question for anybody. Does anybody have an answere on how many people that decide that they are going to become real estate investors are actually successfull. What I am looking for is the ration like 2:1 or is it higher or lower. How many people have become casulties by not doing the due diligence or just plain ole bad luck. Any responses to this post are appreciated. Is this information even kept.

Thank you

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Re: Winners and Losers - Posted by Mark Nj

Posted by Mark Nj on January 03, 2002 at 17:16:52:

It depends on your perception of success. I do a few deals a year and put a s-load of money into my SEP-IRA, to me that’s success.Others may see 100 deals a year as success.

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Re: Winners and Losers - Posted by JThompson(WV)

Posted by JThompson(WV) on January 03, 2002 at 14:44:37:

I generally lurk around this board, and have for about ten months now. Just felt that I don’t have the experience to pass ‘wisdom’ on yet. I have done one very profitable deal, and had two others fall apart on me. One out of three, now some would say that isn’t a very good track record. BUT, on my one, I did pretty good.

Back to the issue at hand. Each of us must define what SUCCESS is. As I have said, I have been around this board for about ten months. Guess what, many of you weren’t here ten months ago, and many that were here ten months ago are gone. My how the names change on this board in such a short period of time! There is really only a handful of those that post that I consider the ‘veterans’ of this business that continually post on a consistent basis.

You want a ratio, based on what I have seen in ten months, I would (and this is purely an educated) guess that the numbers are very close to what William has pegged. I would say that only 1 or 2 out of 100 make it.

Why?

Because they see that this is truly a BUSINESS, and any business takes hard WORK. Many come here looking for something to ‘get rich quick’. Others run into what I had, and that is a deal to go bad, and they turn and run and say “REI will never work”.

So, what will it be. Are you up to the task? Or will you post for a month or two and then go away, to never see you again?

That is up to you. Me, I’ve got deal (hopefully) #2 in the works. And I have taken a keen interest in the Mobile Home side of this business. Studying it real hard.

Look in the mirror, and decide if you are a Winner or Loser. We can’t tell you.

Johnboy, one of those handful of successful people that post to this board, writes “If you think you can, or you think you can’t, YOUR RIGHT!”.

Truer words have never been spoken.

Take them to heart.

I am a winner, and that is the only ratio or statistic that matters to me.

John

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Re: Winners and Losers - Posted by Steven Rose - WA

Posted by Steven Rose - WA on January 02, 2002 at 23:05:48:

Hello,

While the information I have obtained does not directly relate to real estate investing, I believe it is relevant since real estate investing is a business.

From the Small Business Administration site:

A Harvard University study showed that the
amount of time spent in planning a business is
directly related to its success.

Owners spending six months or less ended up with
an 80 percent failure rate. Those who took a year
or more to plan ended up with an 80 percent suc-
cess rate.

Just the facts maam…

Good luck,

Steve

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Re: Winners and Losers - Posted by WilliamGA

Posted by WilliamGA on January 02, 2002 at 22:46:31:

JB,

What difference does it really make how many succeed or fail?

If I were to tell you that 90 out of 100 made it, do you think that would improve your odds?

If I tell you that 98 out of 100 fail, which is probably alot closer to the truth, would that make you decide not to try it?

Two years ago, I didn’t know the difference between a mortgage and a deed. No, I am not kidding. I actually got information overload from reading the Carleton Sheets course. If you hang around here long enough, you will eventually see the humor in that statement.

One year ago, I left the rat race for good. Now I never have to set an alarm clock again.

Unless I have a plane to catch for my next awesome vacation, that is.

Everyone here has access to the same information. Fact is, if you really have the desire and the commitment to make it, you will.

If you don’t, you won’t.

As my friend JT says… “Just the way I see things”

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Re: Winners and Losers - Posted by Chip (Tx)

Posted by Chip (Tx) on January 02, 2002 at 22:43:36:

Having been down around the block a few times, I’d guess most investors will fail if they don’t really WANT success. Once you do a deal and make 5,000 profit you feel really great… until you get sued for 25,000. Then you question your motives. This might end your r/e career! The purpose of education is not to so much to teach you how to make money, but to prevent the financial potholes that will eat your lunch! One BAD deal can eat up the profit of MANY good deals!

(From an old guy who is still hanging around)

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100% - Posted by Chris

Posted by Chris on January 02, 2002 at 21:58:13:

100% of the people who decide that they are going to be succesful will be. Not necessarily right out of the box, but they will be - IF they have DECIDED that they WILL be succesful. It’s simply inevitable.
But what percentage of people who decide to try their hand at real estate are successful? That’s a very different question. Probably about 10 - 20% I would guess, just a guess.

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Re: No Guarantees - Posted by Rolfe K (Mpls/StP)

Posted by Rolfe K (Mpls/StP) on January 02, 2002 at 21:43:12:

JB;

What do you mean by winning and losing? A lot of folks at this site have lost money. Is that losing? I’d rather lose money on a well planned business investment than never try at all.

As you know, the game we play is a business, and in business, some succeed and some do not.

Identifying and then managing risk is one of the prime factors in determining success. When I started my development/investment business, I was unemployed and had $5,000 in my pocket (of course, I also walked to school in the dead of winter and it was uphill both ways!). To survive, I had to rely on the income from this business, which was not enough at the get go. I had to work various jobs to make ends meet.

I would not recommend that route to anybody. A safer bet is to start investing while you have a job or other source of income. If things go well, keep investing. If not, sell and move on.

If you have a fair job, and then decide to put 20% down on a well located rental property which, based upon your research, will generate a positive cash flow, and you’re capable of managing that property, that’s a winner. That may be the only property you ever invest in.

In my opinion, there’s not much risk in that scenario. As Ed Garcia and others say, you make your money when you buy. If you did not pay to much for the property, you can always sell and get most, all, or even a profit out of the deal.

On the other hand, if you may want to live off the income derived from investing in real estate, the risk is much higher.

The only way to “lose” is to never try, or to quit.

Good luck! Rolfe

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Re: Winners and Losers - Posted by MikeD

Posted by MikeD on January 02, 2002 at 21:01:37:

J.B. IMHO less than 10 % are going to be successful, because they are the ones who are going to stick with it and make a success of themselves. Anybody can do this, but most won’t! They give up way too soon.

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Re: Winners and Losers - Posted by Tony Cooper

Posted by Tony Cooper on January 02, 2002 at 20:59:48:

I have read that most that have great success have great failures. I am an example I am only 25 and have lost thousands and made thousands. If I had not played the game I might have less scars but I am sure that I would not have the attitude that will some day make me a millionare. Educate yourself the best you can then get out there and make something happen. If you fall down at least you are headed in the right direction.

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Re: Winners and Losers - Posted by Bob taylor

Posted by Bob taylor on January 02, 2002 at 20:31:41:

Hey, I can tell you exactly how many! The same number of medical students that go on to become doctors. And, that is the number that make the committment to do what they started.

Neither is a cake walk, but, R E I is not hard. You just have to be determined that is what you are going to do, and, then BY GEORGE, do what ever it takes to get the job done. Don’t be a 'couda, 'shouda.

The rewards in R E I are so great I don’t know why anyone would quit, but, then some do. Just like marriages. 50% end in divorce. Go figger.

Good luck, and good buying/selling,
Bob Taylor…Alabama

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Re: Winners and Losers - Posted by Joe Hardy

Posted by Joe Hardy on January 02, 2002 at 20:20:50:

Hello,
I’m a newbie and I just come here to read the posts I rarely offer up my 2-cents, but I have wondered the same thing. In fact, I wonder why so many of the gurus seemed to be more preoccupied with selling courses than making deals. It certainly makes you wonder. If I’m in error please set me straight.

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Glad to see you back on the board! (nt) - Posted by Dee-Texas

Posted by Dee-Texas on January 03, 2002 at 07:05:07:

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Progress is… - Posted by Bob (Md)

Posted by Bob (Md) on January 04, 2002 at 09:17:34:

A wise person once commented that progress is an infinite series of three-steps-forward and two-steps-back. Sort of like climbing a sand dune. Perseverance pays in the end.

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Re: Winners and Losers - Posted by Bryan

Posted by Bryan on January 03, 2002 at 11:15:01:

If you’re going to get out and try and fall…
Just make sure you “fall forward”…

I am getting ready to start my career in real estate investing and have learned a great deal from this site. Hang in there and press forward…we’ll all get there in due time…

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Re: Winners and Losers - Posted by Eric NC

Posted by Eric NC on January 02, 2002 at 20:55:21:

I agree with everything you said, Bob! Anything that’s worth doing, takes some doing, and most people crap out way before the payoff because it’s too hard. The medical students/doctors example was great. Hey, what about law students/lawyers, engineering students/engineers; it goes on and on. Hell, how about college students/college grads?

If you put the time in, you must believe it will happen. I’m a newbie. I bought Lonnie’s book, Deals on Wheels, and started working the plan last weekend on PURE FAITH (since I’ve never done anything like this before). So far everything is going EXACTLY like he said. Yet a few weeks ago, on this same site, I read about how you just can’t do Lonnie deals in my area. All that means is that guy who wrote the post can’t make it happen in my area. I believe I can.

And belief is everything.

So don’t worry about the ratio, JB. Come at this thing with a positive attitude and forget about the rest of 'em. You’re already way ahead of the game just finding this site!

Happy Investing!
Eric