Let's talk about mentors and payment

[Tammy B.]

So I was having a conversation with another newbie real estate investor who wanted to make sure he was taking all the proper steps before approaching his first deal. He tells me he was talking to someone he met at a real estate investment event and was told that mentors can cost a nice amount of money. I was immediately taken aback by this because I never even thought about paying for a mentor.

I thought the whole concept of a mentor was that they give you guidance because it promotes good will and that since this business is built on relationships it’s good for seasoned and newbies to come together. Especially if you both are working in the same area since as a professional you would want newbies to succeed as future deals that would make you money could develop. Plus the more people doing things the right way sheds a positive light on the profession as a whole. Besides even though a newbie may be inexperienced in real estate investment as a whole, there may be something he/she can offer to a prospective mentor besides money.

At least, those are my thoughts. So just thought I’d reach out to the BP community to see your take? Would you ever pay for a mentor and if so what’s your reasoning? And for the seasoned professionals, would you expect someone to pay you to mentor them?

[Bill Gulley]

Has all the snow melted up there yet? Ft. Drum.......very cold!

Your thought on a true mentor is correct. As with anything in RE, there are scammers, folks who work off others, make claims as to expertise to sell it or some method, so you need to select them carefully. There is a thread, How to choose a mentor (I think it is) try that. Your friend was probably referring to the partner-mentor-teacher-coach type that turn newbies into birddogs and split deals.

And, just because someone splits a deal doesn't make them bad. Not many people can afford to just give advice without expecting something in return. Keep in mind no one likes to be used. Helping to a point is fine, but if you need to hold hands you need to compensate who ever you work with in some manner. :)