The Realty Millionaire » 2. Control

The Fear of Real Estate Investing

JimPellerin — Tue, 31 Jan 2012 02:09:29 +0000

The Fear of Real Estate InvestingWhat’s Stopping You?

Most people you talk to think that Real Estate Investing can be a good investment. They have heard all the stories about how so-and-so made it big in Real Estate Investing. They have also seen the TV shows that show these same types of success stories. If so may people are getting rich in Real Estate, why aren’t more people taking advantage of it. FEAR. Here some reasons why people don’t get into Real Estate Investing.

Too Complicated – You should have a good Real Estate Investing education before you start investing in Real Estate. Or you should be working with a Mentor. After 15 years, I am still learning.
Too much time – Sure there are Real Estaing Strategies that can take up a lot of your time (Fix and Flip). There are also simple strategies that are very simple and don’t require a lot of time and involvement (mortgage holder, Lease Options)
Too many day-to-day problems – These are the kinds of problems associated with Property Management of rentals. Again, there are other strategies that can be very passive.
Very Risky – This fear is usually related to what the property is worth relative to what you bought it at and if your investment is cash flowing or not. You should never invest purely on speculation. You want to make sure your property has a good positive cash flow. You should make sure that you have a fund setup to handle such an emergency.
Psychological – Deep down they have a resistance to taking the next step, to take action and to acquire the property.
Not a good investment – Obviously they never did the math and they are relying on what other people have told them. In some cases you can double your investment in a very short period. The key is high leverage investments.

The ability to move and take action is what is hurting most people.

Happy Investing

Jim Pellerin

Investor, Advisor, Speaker, Coach, Writer

7 Steps to Real Estate Riches

The Realty Millionaire

Changing The Way You Live

JimPellerin — Tue, 31 Jan 2012 01:55:32 +0000

A Life Paradigm ShiftChanging the Way You LiveYou are the product of your society and your upbringing. You were taught at an early age to go to school, get a good education, get a good job, work hard, get married, have a family, work hard to support your family, retire and spend some time doing what you want then die.

Real Estate Investing provides you a different way of life. It is a lot different from what you were taught and what your friends and family expect you to do. With Real Estate Investing you can get a good education (in real estate investing), become a real estate investor, work when you want and how much you want, get married, have a family, work less so you can spend more time with your family and do what you want to do, no need to retire since you are spending so little time managing your investments, enjoy life the way you want to live it, live longer and then die.

The key to making this switch is that you have to be able to convince yourself that you do not need to work 8 hours a day for a pay check. Your income is the result of your investments working hard for you and not you working hard. You will spend your days how you want with the security of knowing that you will work when you want to work, when you need another investment. The difficulty with this lifestyle is that people won’t understand what you are doing and will sometimes make you feel guilty.

If you are having fun, ignore what other people are saying and enjoy the life you have chosen.

Happy Investing

Jim Pellerin

Investor, Advisor, Speaker, Coach, Writer
7 Steps to Real Estate Riches

The Realty Millionaire

Take Action

JimPellerin — Mon, 30 Jan 2012 06:24:43 +0000

Take Action

Knowledge is Power?
Knowledge when acted upon is power!!There are a lot of educated people out there who never become real estate investors. The problem is that they can’t take that next step. The step called Investing. Up until that point, everything else is just learning. Sure, maybe you are making some contacts but are they good contacts or are they people like you who “want” to become a Real Estate Investor but haven’t taken the plunge.

There is an expression that “knowledge is power”. There is also a more accurate expression that “knowledge, when acted upon, is power”. There are a lot of educated people who never learn to use that knowledge and to take action.

What stops people from taking action? The most common thing is fear. There are many different types of fear. Fear of failure and losing money and having everyone say “I told you so”. You wouldn’t believe how many people have “told me so” when one of my investments have gone bad. “Real Estate Investing is too risky” they tell me. They have no idea of all the successful investments I have made that far outweigh the poor ones. Sure I have some bad investments. That’s the cost of doing business.

There is an expression in weight lifting that says “the only reps that count are the last ones”. Well if you quit too early you never get to experience the effect of the ”last rep”. You put in all that hard work and you didn’t get to realize the benefits.

Sure, I still get a bit nervous when I am putting in an offer. My fear is that I don’t want to lose a good deal. I want to make sure everything is perfect. Have I offered enough? Or too much? Is it the right investment for me? It doesn’t stop me from putting in the offer. There’s no such thing as a perfect deal.

“Successful people are willing to do what others aren’t willing to do.”

Happy Investing

Jim Pellerin

Investor, Advisor, Speaker, Coach, Writer

7 STeps to Real Estate Riches

The Realty Millionaire