Breaking out of Analysis Paralysis

[Annalisa Brown]

Quick update: Bought a house in Port Angeles, WA in January of 2020 to BRRRR. Still working on it. Been waiting on plumbers and electricians for 9 months. Learning a lot about finding and managing contractors. Doing all the other work on our own (drywall, flooring, siding, landscape, cabinets, finish work, etc.) Been working as Construction Crew Lead for Habitat for Humanity of Clallam County through Americorps, the position comes to an end in September and I have been offered the position part time, 2 days a week to continue to help with the builds. Could turn into full time at 4 days a week if they need it and if I want to do it.

  I don't know if I want to continue with them quite yet. Of course I will continue to volunteer but as far as employment, I feel ready to just dive into real estate entrepreneurship. I feel comfortable with this because I know I can always fall back on serving if I need to (there are a few restaurants around here that are always hiring, and that's the work I've done for years that allowed me to save up for this house).

This is an intentionally vague, opaque post. I am calling myself out for not having my vision clear and my goals outlined. I visited the 'goals' page in my Pro account to set a 90 day goal, and I could not think of one. This was my wake-up call. I have not been focused. We are on forbearance for our home until the end of my Americorps position (I applied to the 10 month Americorps program when the restaurant I was working for shut down for COVID, I earn a small stipend now....) so I don't know if 'buying our second property' should be my goal.

Here is what I know: I want to focus on value-add buy-and-hold investments for the primary focus of providing affordable housing. 

                                I am not interested in vacation rentals, the money does not entice me. It feels socially irresponsible.

                                I DO want financial freedom. I also want to help others achieve financial freedom.                      

Current habits: Reading daily. Listening to podcasts. Analyzing deals. Driving around, looking up properties in county websites. Scanning MLS.

Action plan:          Post an update in BP forums (this is it).

                            Take a proficiency course for Quickbooks.  

                           Rough-draft a Vivid Vision. I don't feel ready, but I need to stop this self-limiting pattern.

                           Attend my first meet-up. 

Finish this house and cash-out refi or HELOC! Make a plan for the capital. (we do have a detailed and specific punch-list)

I have been thinking that it would be wonderful to find an investor to work for, but everything I imagine doing for an investor I can just do for myself and actually get a deal and move forward. This may be backwards thinking. I need to put myself out there and get networking, fast track my growth!

Thanks everyone if you read this at all. I just need something to look back on in 3 months to wince at. 

[Kerry Baird]

These two sentences are at odds. This is why you are not able to discern a path forward. You are conflicted.

The money does not entice me; It feels socially irresponsible. =/= I DO want financial freedom; I also want to help others achieve financial freedom.

In my time profiting from real estate, I have helped many people earn money by their labor on my properties; I have been paid by many people for my work, either renovating or as a landlord.  These people have benefited by my passion for real estate: people in foreclosure, divorce, folks who inherited a house they do not want, who have lost a job. I purposely hired addicts in recovery who were learning new skills, who have remodeled my houses, people who started their own business doing lawns and power washing, painting.  Then there are plumbers, electricians, Home Depot and Lowe's.

So, what is your niche?  I don't get any indication that you know. I started by doing live in flips, stayed for 2 years to get the tax benefits, sold and did that again.

I started reading about how to do direct mail from a now-defunct site.  I hand wrote letters to people who were in distressed situations (divorce, probate, foreclosure), and I also door-knocked those properties.  I found off market deals this way, and was able to offer moving money to the owners, and we renovated those houses to rent or to sell.  We were up to 3 a month that we renovated. 

I mention this phase of my journey because you could go this direction.  You are learning several skill sets to include parts of a renovation, maybe management of a renovation from a higher level, and you are meeting contractors and realizing time lines for renovations. 

If you want to monetize your time in this manner, you may consider doing something similar to my start, and also help folks who are stuck in a difficult real estate situation such as inheriting a house (or getting divorced) but they can't afford to fix it up, and don't want it. 

Photos of my 45 or so houses are in my bio page.  I am now selling my long term rentals and moving into vacation rentals.  :D  I love renovating and I love hosting families!