You must be logged in to reply to this topic.
-
A long time ago I remember reading in a Tony Robbins book that no one will make the effort to learn new skills and put in the hard work in to changing their life unless there is a BIG ENOUGH reason why.
What’s your BIG ENOUGH reason why?
Jack Miller wrote this:
I like to read books about the lives of successful people. In these books, I see the ?rags to riches? pattern repeated over and over again. If we are to take any lessons from the lives of successful people such as Benjamin Franklin, Henry Ford or Bill Gates it?s this: The yellow brick road to success starts with a person?s dissatisfaction with some aspect of their life; followed by a desire to do something about it; coupled with the expectation that a change can actually be created to improve the situation. The success of this concept rests on the conviction that the change can actually be accomplished and that it will decrease dissatisfaction.
Perseverance and patience are the next attribute of successful people. They don?t expect miracles. They do expect to be able to measure progress toward their objectives; and are willing to persist until they reached their ultimate goal. Think of the personal rag-to-riches history of anyone whom you regard as successful. Now, consider their background and the way they moved from where they started to where they are now. Compare their personal trek up the ladder of success with the attributes listed a few paragraphs back. Can you see the connection?
Now, by way of contrast, picture someone you know who somehow has failed to grasp the brass ring when it came around. How and why did they miss? Look again at the previously listed personal attributes. How many of these traits are missing in those who don?t succeed? They might truly be dissatisfied with their lives and desire something better, but in their heart of hearts, they don?t have the conviction that they can do anything about it. Unless a person really believes in what he or she is attempting to do, seeds of failure are sewn before they start out.
If one were to list failure-attributes, they?d include low expectations; disbelief and pessimism about the chances of doing anything that could make things better; plus an unwillingness to risk the disapproval of others for changing the status quo. For successful people, each obstacle overcome, or challenge met, builds self-confidence, for others, each concession to personal anxiety and each retreat from a potentially rewarding challenge steals a little bit of confidence. Where success becomes an exercise in synergism, failure is a vicious cycle that is hard to break. At some point, fear of failure overrides any promise of reward, and they just stop trying. The bright promise of a glowing future is replaced by a drab existence devoid of the satisfaction that only personal achievement can bring.
Sometimes it takes an external force to give a person the impetus to become an entrepreneur. As a youngster, I was pressured into trying to sell the Saturday Evening Post, a popular weekly magazine of the era. I?d knock on the door and say, ?You don?t want to buy a magazine do you?? The answer was invariably no! I quickly convinced myself that the problem wasn?t with me, it was with what I was trying to do, and that being a salesperson was not a worthwhile calling. This prejudiced my attitude against direct sales for the next 30 years.
One day, without warning, I was fired from my secure job (dissatisfaction) and forced to become a salesman to support (expectation) my family. Then, without the luxury of being able to fail (conviction), I completely turned my attitude around. I discovered that perseverance and patience; a willingness to keep on trying without an immediate reward is crucial to achieving any goal. It takes time for a new enterprise to bear fruit. It?s also helpful to have low expectations. In my personal transition from a salaried job into real estate sales, I gave myself six months to match 3 months expectations like a carrot in front of a donkey to motivate myself to keep the pressure on.
My reason why was that I was a stay-at-home mom with 2 kids. We were 100% dependent on my husband for our livelihood. If something happened to him, his job, or if I got a divorce, I realized I was 1 step away from the welfare lines. So I HAD to learn how I could stand on my own two feet to support myself and my kids.
What’s your reason why?
I’m struggling with that question right now Jackie.
I can certainly attest to the truth of Jack’s article above. I got started in the business in 2005, buying one house at a time with bank loans that I signed personally. The cashflow was marginal, but that was ok – house prices always go up, and rents will raise $50/month, so in two or three years we’ll be entirely OK.
Ummm, yeah. At least, that was the thinking. In 2007 when the markets crashed and the housing market really started to tank, I was stuck with 5 houses making $600 total above PITI. Not only that, but I was also a very poor manager. My repeated tenant screening mistakes cost us thousands and thousands of dollars.
When I really realized the predicament I was in, I was terrified. I spent a lot of sleepless nights haunted by the situation. I had put my family in a situation where I had invested a lot of time and energy into potentially bankrupting us. Because of this stress level, I often snapped at my wife and kids, making my not very good of a husband and father either.
I knew my situation HAD to change, or my family was going down, and I was the cause. I took a few critical steps that I didn’t realize at the time, but that were critical to turning my situation around. First, I took a Dyches Boddiford advanced strategies seminar. I’ll be honest, I got almost nothing out of the presentation itself — I wasn’t ready for it at that stage. The one thing I did benefit from, was meeting Danny and Ann Williams. That led me to a local investment group Danny leads, where I learned strategies that made all the difference. I learned how to make risk-free equity-sharing deals with private investors (half-pie deals, as Danny calls them). I learned from Danny about Cashflow Depot and the Extreme Success group, where I learned about Highest Bidder Sales. And finally, I was led to take a David Tilney seminar, where I FINALLY learned to screen tenants and manage property correctly.
Fast forward a few years. I picked up three half-pie deals with different investors. I picked up three lucrative (and almost risk-free) sandwich leases. I bought my first every home with owner financing (and no personal liability). Last (but CERTAINLY not least), Jackie pretty much held my hand through a luxury home Highest Bidder Sale that, with the help of Latron Thorne, put $20,000 in my pocket at a point in time where I wouldn’t have survived without it.
Now, I am in such a better situation with my real estate business that it’s night and day. We’ve got a 50% margin cash flow above and beyond PITI (compared to 15% a few years ago). Cash flow, cash flow, cash flow – and all of it either 100% risk free, or at least far safer than signing personally on a note!
As I’m finding, this presents its own set of challenges. The very real panic is gone, and that drive to succeed (conviction) in order to protect my family has lost its driving reason. Now, we’re in a very comfortable situation with the business – perhaps too comfortable. If we’re going to take this business further, I really need to discover (and soon) what is my new driving reason for succeeding and growing.
Chris
I remember that Highest Bidder Sale – it had a lot of moving parts but with your perserverence, you and Latron pulled it off to make $40,000 that you split.
Each of us has to decide when is enough enough or if we want to work until the week we die.
I met be cash flow objectives a long time ago and made the decision to slow down and travel more.
Other’s work for 15 or 20 years and never seem t reach their cash flow needs – either because they live “large” or they just don’t focus on the kind of deals that produce cash flow.
And still others, like Jack Miller, love to work and do deals and keep at it until the very end.
I think for those getting started, the state of the economy and job market should be enough reason to put everything you have in to your real estate business so you can create more financial security.
what does everyone else think?
You must be logged in to reply to this topic.
