Give Some Love to the New Folks

Too often, I see new investors get beaten silly in the forums by hardened/seasoned investors who should really just stick to what they do best.  Some of these "newbies" are just looking for some moral support or a leg up because they have a tremendous fear of the unknown and let's face it, in this industry, there's a lot to be scared of.

One misstep, one contract that doesn't have an out clause when they can't find funding or one property that shouldn't have been pursued (but was captured because no one else was chasing it) because the foundation's crumbling can literally bankrupt a new investor (or a seasoned one if they're not careful).  While investing is a shiny new toy for some folks, they're afraid the new toy could crush them or cut them or whatever other metaphor for financial destruction you can think of; so they're looking for help.  

So, for the new folks, I offer my counsel and a few words of advice:

• Don't get discouraged when the answer you get is not the answer you want.  Sometimes that answer is the one you need
• Always get more than one opinion.  Sometimes the opinion you're relying on is coming from a person with limited resources.  Someone else may have the solution to your problem.
• Watch and Listen.  God really did give us two ears and two eyes and only one mouth for a reason.
• Do your own due diligence. No one is going to be responsible for you but you.  There is more information available at your fingertips on properties, loans and real estate wealth strategies than ever before.  If you don't read blogs, listen to podcasts and scour the internet for deals, then shame on you.
• Know that we are in a period of historically low interest rates and very forgiving loan programs.  Take advantage of the aggressive nature of lending right now with a clear head, open eyes and willingness to make your projects sing.
• If it were easy, everyone would be doing it.
• Surround yourself with good people.  Yes, they're hard to find, but once you do, treat them fairly, leave some of the pie for others and you'll be amazed what you can achieve.
• Cliches for a lifetime of success in real estate investing; a.  Remember that nothing worth having is free. b.  Good things are seldom cheap and cheap things are seldom good.  c.  Just because you can buy a house for a dollar in some cities doesn't mean you should.