They say “Big Hat and No Cattle – Talk is cheap!
There are many con-artists out there taking advantage of folks who want a short cut to riches in the real estate business. I personally believe that a learning curve could be accelerated by working with a proven mentor in the real estate business, someone who has already made mistakes in this business and can teach others how to avoid them.
If you are considering paying for a mentor you should be sure you will get what you expect – so check them out before you take out your credit card.
- Do they own properties now, where, how many? What’s their net worth – prove it- look at their financial statement. (talk is cheap)
- How long will the relationship be, how much, what guarantees, will all forms be provided, contacts and referrals?
- Do they want to participate in your deals?
- Ask if they can mentor you on how to write an offer, use a skinny contract, and necessary protection clauses – look at their forms before making a decision.
- Principal mortgage, delayed settlements, subordination mortgages, possession clauses, legal assignment forms and agreements, wrap around mortgages – how to stay legal and honest in your real estate business. Can they discuss those items?
- Prospecting – negotiating, hybrid offers, second stage negotiations, long form offers, commercial contracts, joint ventures, piggy back offers, raising funds.
- Public auctions – how and where to profit, where to stand, how to bid, when not to bid, conversation with trustees and auctioneer before the live out-cry action, farming for commercial properties, closing deals post auction.
- Title companies – credit lines how not to use HML’s, and tenant management, local rental requirements – staying legal – eviction and tenant retention.
I always suggest that when hiring a real estate mentor you interview them as if you are an employer for your corporation (which you are) – if they don’t pass the smell test – you should pass – find a reliable mentor or coach who has a track record of continued financial success.