Investor · Midlothian, VA · Member since 2015 · 305 posts · 199 votes
I am seeing a lot of people jump in and out of the market. Why do you think that is? There have always been a lot of "part time" investors; people who do deals now and again. Maybe a flip a year? One or two wholesale properties every 6-10 months? Do you think it is because people are too scared to make the jump? Or are they not finding the success they want? Perhaps they find it too challenging but at the same time, they don't want to totally give up? I would like to see the people in the business be more committed and full time. I think it would raise the professionalism level in the industry. Yes? No?
Rental Property Investor · RVA · Member since 2016 · 5k+ posts · 4k+ votes
6y
Not everyone wants to go full time. Some folks love their day jobs but also want to make a nice return on the side. Professionalism is an interesting concept, because I think we've all interacted with professionals who behaved in an unprofessional manner at one point or another.
There are many busy professionals whose main motivation in real estate is to build a healthy early retirement, prepare for kids' college expenses, live a more comfortable lifestyle, diversify their income, and other goals along those lines. My investors pretty much fall somewhere in there. It's helpful to understand their goals and priorities, so that next time you need some private money at a better rate than professional hard money lenders, you're better equipped to get an investment from a busy pro!
I'd much rather see people do a small number of deals from time to time than sit out because "it's a bad time to invest in real estate" or "I don't have the time" or any of the other limiting beliefs we've all heard time and time again.
Rental Property Investor · Upstate, NY · Member since 2012 · 3k+ posts · 3k+ votes
6y
We're now guilty of the opposite, although often motivated by 'you can't lose money taking a small profit', we end up holding. But then we invariably allow the sale of the property to a fellow investor, either via CFD or just hold the note.
In retrospect, some of my greatest regrets was a quick 'in & out' to survive making payments on 18% interest rates. Some of those homes I got for half a years salary are now worth over $600k.
This from my agent recently on a smaller home next door to one we have owned since '85
Listed. $599,900 Sold. $675,000 Days on Market. 8 Obviously multiple Offers !! Roy.
Good point about understanding your investors. If you understand them you know how to approach them. I would rather see less people in the business doing more deals than the opposite. Maybe that is just me though.