Questions to ask experienced investors?

Question

What are some questions a new investor should be asking more experienced investors in their area? For example: "what do you look for in an investment property?" or "what kind of CoCROI do you look for?". I've been pushing myself to network and reach out more so I'd like to create a list of questions to study for future meetings. Thanks!

David Faulkner · Answer

Ask them about whatever you want to learn ... the purpose is to learn and spark a conversation, not to try to impress them with the questions you ask.

A good conversation starter may be open ended questions like "Can you tell me about how you got started in Real Estate investing?" That one question right there could be an hour long conversation alone, and most investors love to tell all about the good old days when they first started and how they built up their portfolio from nothing.

Other tips may include being honest and sincere about your experience and knowledge as a newbie ... it is ok being a newbie, but pretending you are something you are not and acting like you know more than you do or are working all sorts of deals when you aren't will be a major turn off and any experienced investor will see right through it.

Also, don't try to pitch anything to an experienced investor when you first meet them ... RE is a relationships business and it takes time to build a relationship before any business is done. Finally, try to focus on if there is anything you can do for them, rather than just what they can do for you ... I would consider this to be golden rule of this business ... always put your clients needs ahead of your own, always try to add value, and make sure that the value you add is in excess of the fees you charge ... do that consistently over time and you won't need to go in search of business, business will come find you through referral.

All these things kind of strike me as common sense personal interaction and networking skills, but I'm amazed by the number of folks out there that don't follow these basics.

Martin Ceja · Answer

@Ben Wilkins Value add, natural, casual conversations (oh and don't approve tenants with 8 dogs haha!). Got it! Thanks!

Jonathan Twombly · Answer

@Martin Ceja, I would add one tiny wrinkle to what @Robb Almy said, which is - if you offer to bird dog for experienced investors, don't send them deals you find on the internet.

The experienced investors have the internet too.

They also have access to off-market deals from the brokers they've already closed deals with.

Sending them a deal that you found in the internet won't add value to them, and will just waste their time.

Ferret out a great deal that's not on the market and that they did not find themselves - even if it's introducing them to another experienced investor who has an off-market deal he needs to JV on - will impress them and get their attention fast.

David Faulkner · Answer

You can ask them for examples ... what are you good at ... listen to what they are doing, what they need, know what you are good at and marry up the two to add value ... figure out how to do that on a consistent basis with other investors, sellers, buyers, and really everyone you meet and the world is your oyster ... and that is true in REI but goes well beyond. It is a skill that needs to be nurtured and consciously developed. God gave you two ears and one mouth for a reason ... in a conversation try to listen at least twice as much as you speak, and when you do speak ask questions that will allow you to drill down into what the other person's needs are, then match those needs against your personal toolbox of resources, network, and skills to see where value can be added. Long answer, but I'd rather try to teach you to fish than to toss you a sardine :)

Robb Almy · Answer

Things you might be able to help another investor with could be...

Connecting them to someone else who would benefit them.

Providing information that would be helpful to their business (an article, report, podcast or news).

Offering to do research (comps, markets, zoning).

Bird dog for them.

Help them with their website.

A lot depends on your own gifts and what they need and are doing.  Those are just some thoughts.  Be creative.  Best wishes and good luck!

Martin Ceja · Answer

@David Faulkner Yes, I definitely don't want to make it seem like I'm "using" them for their knowledge or anything. I just want to make sure that I'm walking away from the conversation having learned as much as possible. As far as focusing on "anything you can do for them" what would be some examples of that?

Martin Ceja · Answer

All great questions, thanks @Sean Carroll I'll keep that in mind!

Ben Wilkins · Answer

Ask them how many dogs are in a herd.

Joking aside, @David Faulkner has some good advice. General conversation starters would be to ask what excites them in their niche of real estate. It's always motivational to hear why others have gotten involved in REI, and it doesn't come across as soliciting for help or money.

The point of networking is to find people of like mind, and add value to each other. It's tough to partner up or learn from an investor who is fine with the rough and tumble C class multifamily units when you want to do A class SFH's.

Sean Carroll · Answer

What do you know now that you wish you knew when you first started?

Do you have a team? If so, how did you find awesome team members and how do you keep them?

How do you handle those "gut check" moments when something happens with a property?

My questions are more leadership/mindset related, because I think as a new investor, these are the things that can really accelerate or sidetrack folks. Of course numbers, analysis are very important too, but these types of questions also I think will attract conversations that can really help you grow as an investor.

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Questions to ask experienced investors?

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