Accountant · Los Angeles, CA · Member since 2016 · 2k+ posts · 912 votes
I am not religious, but something funny happened to me yesterday. I was feeling down on myself because I have working hard on my real estate business and still unable to find a deal. At the same time, I see other investors closing on smaller deals. I found myself asking "what am I doing wrong?"
Suddenly, a Facebook unsolicited message from a college friend popped up on my phone. I havent
talked to this guy in years . His message read, "how can I invest with you?" That message was such a booster when I was so down. It feels so good to know that some people really believe in me and see my vision. Growing up with Cerebral Palsy, I'm just so used to going through life with a "me against the world" attitude. It's refreshing to know that I'm actually influencing somebody in the world with this thing I'm so passionate about... real estate.
I started to think, "what if that was god telling me, 'I'm testing you how bad you want this. Don't give up. You're almost there.'"
That lit a fire in me I'm going to turn my weaknesses to strengths. I'm doubling down to master underwriting. Maybe may underwriting is too conservative which is causing my offers to be way too low. I'm revamping our follow up strategy to build stronger connections with owners.
Tie your identity to daily actions...the results will take care of themselves. If we eat healthy every day, the weight will come off. If we exercise every day, we will eventually get in shape. If we analyze one property per day, we will eventually get good at underwriting and understanding the market. Driven people always raise the bar; so, reaching the original goal is often anticlimactic anyway...need to find happiness in the daily actions instead.
Tie your identity to daily actions...the results will take care of themselves. If we eat healthy every day, the weight will come off. If we exercise every day, we will eventually get in shape. If we analyze one property per day, we will eventually get good at underwriting and understanding the market. Driven people always raise the bar; so, reaching the original goal is often anticlimactic anyway...need to find happiness in the daily actions instead.
You go, Bro...! And always remember...Real Estate is just a big numbers game. You have to keeping throwing offers and deals out there. One will eventually work out for you....It doesn't hurt to be picky either, may take ya longer, but you will get a better property
@Jason Malabute - most people I meet who aren’t doing deals are too conservative with their underwriting. Or not trying to find any wholesale or soliciting off market deals (either driving for dollars, posting on Facebook pages, calling places for rent and seeing if they want to sell as is). Mainly, if you put in like 8% vacancy and 10% PM and 10% maintenance / capex and $$$ rehab, and very conservative rent, you can make any deal look bad. Is it really a bad deal or are you making it look like a bad deal? I blew my rent estimates out of the water because the rental market is so hot where I am right now.
@Jason Malabute - most people I meet who aren’t doing deals are too conservative with their underwriting. Or not trying to find any wholesale or soliciting off market deals (either driving for dollars, posting on Facebook pages, calling places for rent and seeing if they want to sell as is). Mainly, if you put in like 8% vacancy and 10% PM and 10% maintenance / capex and $$$ rehab, and very conservative rent, you can make any deal look bad. Is it really a bad deal or are you making it look like a bad deal? I blew my rent estimates out of the water because the rental market is so hot where I am right now.
In reality those assumptions are actually conservative! Assume even higher expenses. Anything less than 50% of rent (not incl mortgage) on rents of around 1K is just not going to happen in the long run.