All Forum Posts by: David Clinton III

Being a full time investor for 7 years, the lessons I have learned from those could probably be written in a book!

For building that skill set, I'd start by reading How to Win Friends and Influence People.

For building actual relevant relationships, I'd find local REI groups / clubs and attend as many as often as you can. Meet as many people as you can and seek ways to add value to them. You'll be amazed how many friends you make!

@Edgar Carreno, welcome! I see this is your first post. Great questions.

When I started, I thought REI could be boiled down to basic math skills. Analyze deals, and get the numbers right, and you'll be fine. But I'd say I've learned over the years that it is far more psychology than I realized. Relationships are everything from sellers, to buyers, to contractors, lenders, investors, colleagues, title, escrow, CPA's, property managers, tenants, etc. Learning how to manage these relationships with all their nuances is what can really set you apart. People do business with those they like, know, and trust... this trite saying doesn't just apply to sellers. It's everybody we deal with.

Best of luck in your journey!

@Jagan Reddy, yes be very careful here. I have had local colleagues get deep into a project quoted by experienced asphalt roofers who had not done metal roofing. They thought “how hard could it be?” And everybody lost big time. Winter came before the project was done, lots of water damage, etc. metal roofing isn’t the same install process. Only go with a reputable contractor that has had experience installing Metal. If it’s costing less, there should be a legit explanation. 

@Jagan Reddy, a metal roof will generally have a longer life. If you intend to sell before the roof needs to be replaced, your metal roof will have more life left on it than if you put on an asphalt roof. This is what will be more attractive to buyers.

Hey @Jarred Schmidt, welcome back to Spokane! I recommend going to the Coeur d'Alene and Sandpoint meetups to connect with people. I'm not sure the Spokane meetup has started up again yet. If you wanna grab coffee and chat real estate, I'm always up for helping novices get their foot in the door. Let me know!

Hey @Jason Teeples, If you'd like to get on the phone again, I'd be glad to share my experience. Hope all is well.

@Colton Haaker, that may work... call my number below, and we can firm up details. 

Hey @Colton Haaker, happy to connect. Let me know if you’d like to meet up and grab coffee sometime.

hi @Robert Kincaid, welcome!  I've been a full time investor here for over 6 years now, and Bigger Pockets has been the best place I've found to learn other than the real-life experience. If you ever want to get together and talk shop, let me know!

Hi @Ryan McGhie, welcome to BP!

It's easy to get lost among all the metrics people use to define success in REI. Cash on Cash Return, Cap Rates, "$100/door", IRR, and others. There is no wrong answer with which of these metrics to use, but it's important to understand what your goal is, and tailor your definition of success around that. If 8-15% cash on cash is a range some people are looking for, that's great. I recommend asking them why that's their goal, and what they define as successful, etc.

Once you dig deep into Cash on Cash as a metric, you'll learn that different levers will cause that bottom line number to change. Different financing can have a big effect on how cash on cash looks different for two different investors looking at the same deal. If you're investing 100% cash, COC will always look terrible. If you're financing 100% of the deal, your COC will be literally infinite, because you have no money in the deal. And there is every possibility in between. Be sure you are comparing apples to apples when others are quoting you a specific cash return number.

I hope this is helpful, and I'm glad to get on the phone and chat in more depth. Let me know.