First Week of Action!

This past week has been a pretty good week.  I think I'm moving towards my goals.  A few "firsts" have occurred:

1. First call to a real estate agent - he is a guy from Nevada that my parents worked with before so we had some common points.  Very friendly guy and also an investor, which is important.  He knew what exactly what my family and I are looking for in a property.

2. First walk-in to a real estate brokerage firm - they're local.  I went in there on a whim because I had seen it before and always thought about what they do.  So I bucked up and went in there with no idea what to say.  I came up with stuff on the fly, like "how's this area", "what is the rate of return on local properties", etc.

3. First call with a wholesaler - these guys buy properties, repair them, and put them on the market again.  After you buy the property, they will also do the property management and finding tenants for you.  Again, totally new situation where I had no idea what to say and learned a bit about the industry from them.

What I took from these situations was a bunch of info that I had no idea about earlier.  I may have found out some of this stuff with a bit more research, but I like the people interaction part of real estate and gaining knowledge from a local guy in 5 minutes beats reading 30+ minutes online for the same thing.  All I had to do was ask.

I think that I was help back from doing these things before because I was scared.  I had that fear in me and it's completely normal.  After listening to the 10X Rule and learning that fear is a good thing, I just acted on that fear.  Having fear means that whatever you're scared of is what you should be doing.  Obviously there are limitations to that (let's not use any crazy/extreme examples here), but the idea is that we are usually held back because of fear when we should be going all out.

Thanks for reading guys and enjoy your Friday :)

George

"If you love your work, you'll be out there every day trying to do it the best you possibly can, and pretty soon everybody around will catch the passion from you - like a fever." - Sam Walton

Goal Setting & Reaching Them (or not... but that's OK!)

So I listed a few goals last week that I want to go back and reflect upon:

• Meet people at this networking thing..... DONE.  I was at a networking event so I tried to bring up investing in each conversation, which was a bit forced, but I did get some positive responses.
• Write at least 2x a week on this new blog............. not so done
• Buy a multi-family apartment that cash flows....... not so done yet

And looking back on these goals, what I think of is I should always be working towards these goals no matter what happens.  Good or bad, happy or unhappy, I should always be working towards my goals.  Now most of those are along the lines of financial goals, which is fitting for a real estate blog.

My other goals are more personal development focused and they include:

• Reading a book a week (credit to Tai Lopez for opening my mind to how much I could be learning).  What's fascinating is that I learned that I shouldn't be limiting myself to one type of book, like business only.  I have a bunch of self-improvement / self-help books but I'm also reading economics and evolutionary stuff.

• Writing my goals at least 2x a day.  This is kinda weird writing about it as I do it, but I think it's great to keep on reminding yourself of your big goals.  And that leads to...

• Write BIG goals.  I was listening to a BiggerPockets podcast that featured Grant Cardone, author of "The 10X Rule" and his philosophy is to have big goals that are almost impossible to achieve.  This way you have something to always strive for that's bigger and better.  When you achieve the reasonable goal, it's as if you've sold yourself short.  When you go big (my goal is $500 million in real estate), it keeps you focused on your end goal.
• Listen to it here: BP Podcast w/ Grant Cardone - the 10X Rule
• btw I'm waiting for the 10X Rule to arrive on my doorstep but it's taking forever...

So onto real estate... today was also my first time calling a property management company.  I am looking to invest in Colorado where tons of people have said it has peaked already... BUT it's still cheaper than New York metro area.  I'm not just buying on price though; I'm currently in my due diligence phase and I'm spending time reading up on the market and economic trends and what not.  

At first, I thought that doing the due diligence and everything would take ages.  Reading through endless PowerPoint slide decks and multiple reports, but it really hasn't been that exaggerated so far.  I listened to Chris Clothier's (http://www.memphisinvest.com/) speeches before and what he said really stuck with me.  It went something like "it's your hard earned money so you have to know what you're investing in". (misquote right there...)  

As part of the due diligence process, I called a property management company and it was pretty standard.  They were very professional and said they would take care of everything.  I was sure to ask about different types of fees that would be involved and I think I got a decent feeling about them, well as much of a feeling as you can get from thousands of miles away.  But I know that I have to go and talk to more companies to see what other options are available.  

Overall, I think this was a good first step though :)

Starting Out

As a quick introduction to new blog, this page is meant as a diary of sorts to accompany me in my real estate investment career.  This is the start of my journey and I have all the optimism a new investor should have -- along with all the uncertainty almost all people experience when putting something at stake as an investor.

A quick intro about me and why I started on this journey.  Over the past year, I had stumbled upon various podcasts which centered around self-help.  One of them (Tai Lopez's "Grand Theory of Everything") really preached about attaining the good life, "health, wealth, love, and happiness".  This real estate venture is focusing around the wealth and happiness component in striving for the good life.

As a young professional with a year or so of experience in the business world, I had come to the realization that I want to do something... something where would have all the decision making power, where success and failure is dependent on my skills alone, and where I would have real accountability for my actions. (I guess the fear of being broke is a good motivator!)

This entrepreneurial mindset has REALLY called out to me and I've been scratching away at this itch for the past few months.  I think currently I am in my "learning" phase but I think that this has just been an excuse for me not to take action.  So, in an effort to force myself on this journey, here are my goals for next few months: (some are shorter term, some are longer term)

• Start a blog to write about what I've learned.  I'm going to try to keep this up at least 2x a week.

• Talk to 10 people regarding investing/where to invest in the next 2 days (finish my goal by June 10, 2015)

• Buy a multi-family property - I'm looking at multi-family properties right now.  The general criteria are as follows:
• Cash flow about $200 per unit per month
• Meet somewhat close to the 2% rule (should I allow for 1.5%?)

• Reach goal: Invest in a large apartment building (30+ units) that meet my criteria

So some people who happen to accidentally get to my page may ask, "How'd you get to this mindset?"  Below are some of the resources that have helped me to get to the starting line:

• Tai Lopez: http://www.tailopez.com/
• Tai Lopez reads a book a day and strives to be a modern day renaissance man.  He's the one that's taught me to think bigger and start out to be an entrepreneur.  Check out his list of top 150 books to read.
• BiggerPockets: http://www.biggerpockets.com/
• The online real estate community where tons of knowledgeable investors come to talk about their experiences.  With a blog, podcast, and books, BP has been an amazing resource to help start my learning journey.
• Rich Dad Poor Dad: What The Rich Teach Their Kids About Money That the Poor and Middle Class Do Not! by Robert Kiyosaki - 
• I think this has been almost everyone's start in real estate.  The mindset of being either a business-owner or investor (I think this is in Cash Flow Quadrant) has changed the way that I think.

With this, I think this is a decent end to a sub-par first post. 

Cheers,

George

PS:  I'm a big fan of quotes, so I'll probably add one at the end of each post....  Here's the first!

"If something is important enough, even if the odds are again you, you should still do it." - Elon Musk