Finding a Qualified REI Mentor

[C.J. Lauria]

You have probably observed that your best first investment is in yourself. Even if you have closed a few deals in the past, you must have a mentor who can help take you to the next level in your real estate investing business.

For many years I have been a successful real estate investor and I still marvel at the masses of less experienced RE Investors who flounder in this REI business. They attend seminars, read books, listen to CDs and watch videos on getting rich in real estate. Unfortunately, almost all of these folks never make any money investing in real estate. They just spend what they have on more "education." Don't do that!

The sad truth is that there are so many real estate investing scams out there that you need to be very cautious about who you trust. So, what are some things to look for if you are to secure an honest apprenticeship from a true qualified mentor? The following is a checklist that you can use when choosing the right real estate investing mentor for your REI business.

1. The mentor must have actually had success investing in real estate. That means that they would be a millionaire.
2. They should currently be investing on their own. What are they doing right now?
3. Your mentor should be of good character with high moral values. If you are not comfortable that they are, run!
4. He/She should have a vested interest in your success. If not, they have zero motivation to see you through to your own success.
5. Your mentor should be a skilled communicator with exceptional teaching skills.
6. They should be patient and be willing to work with you on a 1-on-1 basis.
7. They must be reachable/available for you when you really need them.

The foregoing is a short list that I have created from my real estate investing experience over 3 decades and and my direct experience as an active real estate mentor of 5 years. Over the next few weeks I will blog about these points in a series of blog posts. I believe that it is truly imperative that you seriously consider each of these points carefully. If you do, your chances of real estate investing success are greatly multiplied.

My recommendation of getting a mentor is purely because I hate seeing sincere, regular people spend their last dollar on a huckster who is only after their money. This is criminal in my book. Remember, you are always responsible for the decisions that you make. Do your homework. You are starting a business!

[Brian Gibbons]

@Bill Gulley , first of all Merry Christmas to you and all of your loved ones. You are a treasure here at BiggerPockets, contributing to a level that is truly immeasurable and without peer.

Second of all, being an ex US Marine, "giving a kick in the pants" to who I am fortunate to coach REI to is a gentle kick in the pants.

Hell I think I am harder on my lacrosse boys (13 - 15) than I am on my REI Coaching Clients.

First of all, What is your "why"?? is a conversation I have with my potential students.

If your personal "why" is weak or without strong conviction to build a business over time, I do not want to get involved as a REI coach.

"Awaken the Giant Within" by Tony Robbins gets to your real motivation. If you do not know what your real "why" is read that book.

"The Emyth Revisited" by Michael Gerber helps you visualize working "in your business" for a while, then working "on your business" and supervising.

Being creative in deal making involves many skills. Listening well is one of the most critical. One of my favorite books about learning high level listening skills is "The 5 Essential People Skills: How to Assert Yourself, Listen to Others, and Resolve Conflicts" by Dale Carnegie Training. If you lack people skills, PLEASE read this. Also the classic, "How to Win Friends and Influence People."

Selling is a skill, and ethical selling is importnant. "How to Master the Art of Selling" by Tom Hopkins is extremely valuable. If you are talking to wealthy people re: Private Lending, the best book I know is "Values Based Selling" by Bill Bachrach. It is written for financial planners and stock brokers to sell to the wealthy.

Know the Fair Credit Reporting Act, the FTC, and how Credit Reports are created and improved are important when assisting seller financed home buyers getting home loans. "Hidden Credit Repair Secrets" by Mark Clayborne is a fine book to lean some interesting tactics to have to improve credit FICO scores.

How to Finance any Real Estate Any Place Any Time by James A Misko is one of my favorite "creativity books". We in REI are problem solvers, first and foremost. He goes into IRAs and Real Estate, Using Options, 1031 Exchanging, Combining Purchase with a Lease. Using Zero Coupon Bonds to Secure a Loan, Sale Lease Backs (not with distressed properties), using loan to equity options, and more. There are 45 examples to learn from. And he is a CCMI, and has been a NAR Instructor.

Gary Keller of Keller Williams wrote a book called "Shift - How Top Real Estate Agents Tackle Tough Times", and in Chapter 10 he wrote about using Creative Financing to help Sellers and Buyers. Many times I will buy that book in mass and give it to real estate brokers that I like to work with. You can buy cheap slightly used books at Amazon, like for a buck!

As far as never stopping to learn, the 2 references I use DAILY are "Dictionary of Real Estate Terms" by Barron's, and "Black's Law Dictionary" by Brian A Garner, et al.

The books by the Wall Street Journal are awesome: "The Complete Homeowner's Guidebook" by David Crook, and "The Complete Money and Investing Guidebook" by David Kansas.

Lastly, business savvy books I like to read at night:

"What They Dont Teach you at Harvard Business School", by Mark H. McCormack, like how to run meetings, running a business, et al.

And my all time favorite, "Swim with the Sharks" by Harvey MacKay, of MacKay Envelope Company and the Minnesota Twins. I have used that book to assist me run my businesses since 1986, especially see the chapter on Negotiation.

Merry Christmas to all at BP Nation, and let's have a great 2014, in the Dodd Frank Era of Real Estate Finance! Sub2 anyone? :)