Real Estate Investing:

It’s a Numbers Game and a People Business!

There is a ton of ways to make money in real estate; there are just as many ways to lose money.  The rub is that it’s not about making or losing money.  “Real estate is about relationships and with the right relationships, the money will follow!”  It’s a numbers game and a people business.  If you surround yourself with the right people and understand 7^th grade math, you can make a lot of money in this game.

The painfully simple secret to understanding the numbers side of the business is this, “buy low and sell high!!!”  If someone tells you there is more to it than that, they are lying.  The key here is to understand how to “sustain” the time between buying low and selling high.  If you invest in property that has positive cash flow and does not bleed while you wait to sell, you can’t go wrong.  The cash flow is and should be considered part of the profit.  Now, it’s just a matter of when is the best time to liquidate or sell to realize your profit.

After you have a grasp on how the numbers work and remember its 7^th grade math, you’ll quickly find the most important element in real estate is hands down, the people and teams you surround yourself with to help you hit your goals.  If you are looking for an investment vehicle where you can be a one man/woman show, real estate is not your game; maybe try day trading stocks.  The lesson here again is simple, the more you leverage other people’s time and expertise, the more successful you will be in real estate. There are only so many hours in the day but there are limitless deals and experts in the marketplace.  Success comes from an attitude of Cooperation vs. Competition. I am crystal clear in my belief that “there is no competition”.  Every person I meet is a potential expert at something that will enhance my life and business.  I also must be able to add value to that relationship, “the law of reciprocity”, if there is to be any sustainability or true success in helping one another.

Humbly, I tell you, the single most important skill that has led to our, not my, success is focusing on what we do well which is relationship building and managing while delegating everything else.  Money follows management so it is imperative to manage your systems and team.  Growth and control work inversely. The more you let go of micromanaging and trying to control all the moving parts of this business, the more growth and success you will achieve.  The more you try to control everything yourself, the less growth and success will be reached.

You deserve the best life has to offer, go make it happen and don’t forget to have fun along the way!!!