has your strategy changed after being on BP?

[Rich Weese]

I'm curious. We have hundreds of posters, thousands of posts and tons of questions posed on here.
It made me wonder today as I was posting some advice to questions I received. Does ANYONE ever take the advice? I'm serious. Most come to this board with our built-in preconceived methods. Cash is king. I want to wholesale. I want to rehab and flip. I only want sfrs. I want to buy only in ohio, and on and on and on.
My question is this. Has anyone on BP changed their methods, interests, or ideas due to replies here on BP? Everyone knows where I stand on most subjects, as well as some of the other posters stand. Do we ever change anyones' mind?
I think it would be interesting for BP posters to share their ideas when they started here, and if they've changed any of their core beliefs, methods or locations to play the real estate game. We might all learn something from those that have made changes, why and the results. What do you think?
I'll go first. I'm one of the older and more experienced posters on here. I've always felt I could be ahead of the curve on areas to boom and I've been lucky and good at it. I believe in free and clear as well as a second tier of highly leveraged properties for long term growth. I've changed my thinking in a couple areas somewhat.
1. I'll buy older properties for cash flow, irregardless of age or depreciable basis.( this has changed from only wanting newer properties for buy and hold)
2. I'll not be involved in the mgmt of these older properties at all. It is no longer worth my time and effort.

These aren't huge changes, but I guess even old dogs can learn new tricks. What about you? Any influences you've had on here that caused you to change something? What? Rich

[Richard Warren]

My answer is yes. While my basic strategy is the same, I have added a new one. After reading a number of posts from Frank Adams, all_cash here on BP, I have added a wrinkle. Frank likes to purchase properties for cash, which I’ve done as well, and then sell them after rehab using owner financing.

I’ve added owner financing as an exit strategy. It allows me to sell properties quicker and for a higher price. I also receive income from the notes that are at a higher rate of interest than I could receive elsewhere. I also have the option of selling the note for cash should the need arise.

I never considered this strategy prior to becoming a member of BP.

:cool:

[James Ward]

Rich,

I have always bought short sales and sold them for profit. I did have the desire to look into buying a multifamily complex. But after doing MANY hours of research on BP, I decided that now was not the time. I read over many posts and threads and came to a very simple solution. I did not feel comfortable with the deal, so I must walk.

That is how BP has effected by business directly! I could never thank everyone that I have learned from on this site. But a BIG THANKS is sent out to all!

I truly believe that anyone could gain much knowledge from this site. And everyone should not only read and learn, but express their knowledge back.

James

[Will Barnard]

Rich,

I have changed some focus as far as strategies but it was due to specific market changes in specific areas and not directly related to advice from BP.
For instance, I am heavily focused on buying and flipping REO properties here in CA simply because the market is right for it. It was not a year ago and may not be again in a few years (or maybe it will, only time will tell).

I will say that I have learned some great ideas and taken advice very seriously in regards to strategies I use. For instance, I have used advice from Ryan Weber on wholesaling, from Nick Johnson on SHort Sales, and so on.
Point is, there are several members who specialize in certain aspects and their advice on BP has been valuable to me.
Did I change my entire business model? No. I made adjustments and additions.

I also made some friends, yourself included and have enjoyed our converstaions and dealings together. That is also a benefit I have enjoyed here on BP.

Thanks for your post topic Rich.

[Ty Hines]

I have gained tons of valuable knowledge and made many changes to my business model from reading and participating on the forum but I would have to say the most significant change would be the one to really become a student of long-term investment techniques instead of going after the "quick buck".

[Rich Weese]

Thats' a good point Ty and something important to loan, imo. Rich.

[Nick J.]

vote up for you Ty

[Rich Weese]

correction on my post. Important to learn, not loan. Rich

[Ty Hines]

Thanks Rich and Nick, you guys post have really been instrumental in me seeing the "light".

[Raymond B.]

The knowledge on this site, is extremely helpful.
The "rules" that you use, to buy and rent, using the 50% rule, has made a huge difference in my life.
It has saved me a lot of problems, in the future.

Thank you!

[Ted Harris]

50% rule has become paramount in my search for long term investments properties ... bBP (before BP), I dramatically underestimated the costs of being a landlord.

[Mike McKinzie]

I am not sure I would say my strategy has 'changed' as much as it has been broadened. Although I have not actually done any deals with my broadened strategy, I plan on buying at least one "low price" rental before the year is out. It is difficult to get out of your comfort zone, which for me is the West and West Coast.

But having an open mind is necessary for continued success in real estate investing. So please keep posting your ideas, your thoughts and your strategies, you never know whom you may be teaching!

[Mark N.A]

I already had my strategy when I came here: a comfortable plodding-ahead thing kind of like an old six-banger Rambler.

Now I've rejetted the carb, ported and polished the heads, added a turbocharger and put on all-weather tires.

Since coming here I'm reaching my goals faster and more reliably, exploring new roads I didn't know existed, and thankfully avoiding some hidden potholes.

[Rich Weese]

NC- your car sounds fast!! We should race sometime. Mine is 650HP, Hennessey Viper. tic. Rich

[Mark N.A]

No way, Rich! I haven't had a ticket since 1979 and I'm keeping it that way!

[David Hughes]

Great topic, Rich. My general investment strategy has not changed but I have changed tactics based on learnings from others here on BP.

A big insight for me was that successful investors are seeking out opportunities wherever they may be geographically. If deals are not coming to their own back yard, they are willing and comfortable going to the deals, even if that means investing across the country. Of course, different risks need to be managed when doing this, but the pool of opportunities is much bigger.

The other key learning for me was the 50%/2% screening rule which I learned from studying MikeOH's and Jon Holdman's frequent lessons on this topic.

[Rich Weese]

From these posts, Josh should be thanked. There are numerous posters referring to BP helping them "tweak" their system used. It will probably continue changing with more time and more input. Rich

[Jon Klaus]

I've dabbled in RE investing for many years, but late in 2008 decided to get more serious. I read several books and spent many hours reading here developing a plan. The list of things I've learned from you fine people is long, but I'll mention one that has been hammered home.

Buy at the right price. Learn your market so that you know what is a deal and what is not. That you make your money when you buy, and if you buy right, your exit options are numerous and easier.

[Mark Yuschak]

BP has helped me greatly expand on the things I was already doing. I dind't drastically change my entire methodology, just became more aggresive and self confident knowing that I could always turn to this site for advice if I felt I was getting in too deep or unsure of my decision making.

The biggest benefit I've had from being here is simply reading the forums. I don't do a lot of posting, however I ABSORB as much as I can from quietly taking it all in. Furthermore, I've networked with some excellent resources who have been a great help with deal making outside of the forums.

[Rich Weese]

two more "tweakers". It seems the majority of posters on here already had a strategy. I wonder if any newbies have used BP as their initial starting point and continued from there. Rich.

[Richard Ryer]

I have been interested in the rental business since paying through the nose in college for a house with my roommates.

I found BP as I was starting to seriously research taking the plunge and purchase my first property. I can honestly say that the information available here has saved me massive amounts of money and headaches.

I was all set to buy from the MLS figuring that Cashflow = Rent - Mortgage! :oops:

Needless to say, I don't hold that same belief now!

[Rich Weese]

Belated welcome Richard. Rich in FL.

[Dick Green]

Absolutely! Too much to mention!

I owe thanks to many of the members here at the site. I've picked up tons great info on direct marketing approaches, software recommendations, 50% rule, property management techniques, legal concerns, sales pyschology and much more.

Without counsel purposes are disappointed: but in the multitude of counsellors they are established.
- Solomon

[Steve Babiak]

Two things fit here for me.

1. REO offers now have only contingencies that are needed for comfort, and have EMD amount that will get my lowball offers considered by the seller.

2. I am now seeing sheriff sale starting bids (they are set by the lender where I buy) now start far below the debt owed in many more properties, where a year ago it rarely occurred. Somebody on BP mentioned this about trustee sales where they buy, and I grabbed that and started paying closer attention to the starting bids here (and I am now tracking them to know how much they will readily take as REO).

[Account Closed]

I consider myself a newbie, because of my minimal involvement and minimal experience.
A goal is to get more involved, and have been reading more widely because I expect to soon be in a position to take another step or two.
There are a few strategies I've seen expressed over the last few weeks that I hope to be able to use, and plan to start compiling area information.
There are many committed posters (or should they be?) who are totally impressive in what they do and the ethic they hold. This is important to me.
This forum, you all, are a great gift, and I will use you as best I can.
One of the things I JUST read of is the information in the "Buying Real Estate" thread of 2to10K capital to invest.

It never occurred to me that there were properties available in that range that I could start my fortune on. Not here, but elsewhere...
I'm thinking of commercial properties, too. Way outside the box for me.
Thank you all.

Ofgift

[Rich Weese]

There were really some good posts and experiences learned pointed out in this thread. Thanks Ty, Gift etc. Rich