Personal Development

Analysis: The Real Estate Investment Club Meeting From Hell

Expertise: Real Estate Marketing, Personal Development, Real Estate News & Commentary, Mortgages & Creative Financing, Real Estate Investing Basics, Landlording & Rental Properties, Flipping Houses, Personal Finance, Business Management
301 Articles Written
Here’s a cautionary tale for everyone out there . . . I recently attended a real estate investing club meeting and was absolutely shocked and angered by what I heard and saw. If you want to find out about what an investment club shouldn’t be doing, then read on. Lack of Real Estate Education I [...] View the full article: Analysis: The Real Estate Investment Club Meeting From Hell on The BiggerPockets Blog. This content is Copyright © 2017 BiggerPockets, Inc. All Rights Reserved.

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Joshua Dorkin is a serial entrepreneur, investor, podcaster, publisher, educator, and co-author of How to Invest in Real Estate. He started BiggerPockets to help democratize the real estate investing landscape for himself and others, aiming to make it accessible for everyone, regardless of income or education. Today, BiggerPockets is the premier real estate investing website online with over one million members and reaching over 70 million people with the message of financial freedom through real estate investing. Joshua, along with his wife and three daughters, make their home in Denver, Colorado, and spend any time they can traveling, exploring, and adventuring. Read more about Joshua’s story in 5280 and Inc.com.

    barry wolf
    Replied over 12 years ago
    Sounds like you found the same clubs I came accross when I moved here. It seems most RE investment clubs here serve the people who started them and not the people who want to learn. If you have any luck finding a legit RE club pass it on vise versa. In all honesty I have given up on finding a club and gone back to gettting to know everyone I can and in time I find deals or they find me. Everyone I met when I moved here told me how hard it was to make money in CO on RE. In my opinion if you do your homework and find the right deal you can do 1 or 2 a year and do just fine. It is much easier then busting you hump for 4-5k per house @ 10 homes a year. Spend more time looking and less brain damage.
    Jennifer Steck
    Replied over 12 years ago
    It’s amazing how many of the investment clubs are intended to line the pockets of the founders. I’ve been very disappointed. There are so many people out there looking for the easy money, that they spend a fortune on books, tapes and speakers. I agree with Barry. Take your time and do your research.
    Michael Krotchie
    Replied over 12 years ago
    Joshua, first off great blog, added to my techno favs. It really is disheartening to discover that the majority of the general populus really has no basic understanding of how real estate works. Maybe we should make it a mandatory high school class?.. Reply Report comment
    Michael Krotchie
    Replied over 12 years ago
    Joshua, first off great blog, added to my techno favs. It really is disheartening to discover that the majority of the general populus really has no basic understanding of how real estate works. Maybe we should make it a mandatory high school class?..
    Eunice
    Replied over 12 years ago
    Hello all, My name is Eunice and I’m a Real Estate Investor. If you have any questions myself or my team of investors will be more than happy to assist you. Sincerely, Eunice Real Estate Investor
    Eunice's admirer
    Replied over 12 years ago
    Wow, Eunice, you’re a real live Real Estate Investor?? That’s AWESOME, I’ve been reading the biggerpockets.com blog pages for weeks trying to find someone like you. I’m especially grateful that you posted a reply to this, offering your help and giving us all the ways to contact you (errr, strike that. But I know there can’t be too many Eunices out there, so I’ll ask around and find you). How do I get a title like yours? {rolling eyes} (and just so I’m not wasting a posting to complain about THAT… I, too, was frustrated to attend the two largest REI clubs in Orlando and find the same thing — although one of them has dozens of smaller focus groups each month, covering various topics… So now I filter what I can from the general meeting, and enjoy the focus groups for true networking and knowledge.)
    Kent Palmer
    Replied over 12 years ago
    This problem is rampant across the entire industry. As an investor and broker, I find myself invited to every variety of “seminar” you can imagine. The most frightening examples of what you are writing about are the Continuing Education course brokers are required to attend to keep their license active. They are almost always built around some form of product. The sales numbers for what ever the host may be pitching always seem to be more important then the educational aspect of the lecture.
    Kent Palmer
    Replied over 12 years ago
    This problem is rampant across the entire industry. As an investor and broker, I find myself invited to every variety of “seminar” you can imagine. The most frightening examples of what you are writing about are the Continuing Education course brokers are required to attend to keep their license active. They are almost always built around some form of product. The sales numbers for what ever the host may be pitching always seem to be more important then the educational aspect of the lecture.
    Kent Palmer
    Replied over 12 years ago
    This problem is rampant across the entire industry. As an investor and broker, I find myself invited to every variety of “seminar” you can imagine. The most frightening examples of what you are writing about are the Continuing Education course brokers are required to attend to keep their license active. They are almost always built around some form of product. The sales numbers for what ever the host may be pitching always seem to be more important then the educational aspect of the lecture.
    jeff
    Replied over 12 years ago
    hi know where one can find list of investment clubs to attend Reply Report comment
    jeff
    Replied over 12 years ago
    hi know where one can find list of investment clubs to attend
    Joshua Dorkin
    Replied over 12 years ago
    https://www.biggerpockets.com/real-estate-investment-clubs.html
    jeff
    Replied over 12 years ago
    thanx that was quick dude!!! Mr. Dorkin do u know where can find for regular “investment Clubs” non- real estate –where one can contact and meet w/ ?
    Jeff Brown
    Replied over 12 years ago
    At least once or twice a month I’m dealing with folks who ‘learned’ how to invest at some local investment club. I’m not saying they don’t have their place, but they should only be inspiring more questions for an expert. As I often tell my clients – the real problem is, you don’t know what you don’t know. It’s the question you DON’T know to ask that gets you in the end. Please – use an expert to guide you.
    Jeff Brown
    Replied over 12 years ago
    At least once or twice a month I’m dealing with folks who ‘learned’ how to invest at some local investment club. I’m not saying they don’t have their place, but they should only be inspiring more questions for an expert. As I often tell my clients – the real problem is, you don’t know what you don’t know. It’s the question you DON’T know to ask that gets you in the end. Please – use an expert to guide you. Reply Report comment
    jeff
    Replied over 12 years ago
    what if you’d like to approach them to invest their capital Jeff Brown ??
    jeff
    Replied over 12 years ago
    what if you’d like to approach them to invest their capital Jeff Brown ??
    Jeff Brown
    Replied over 12 years ago
    >what if you’d like to approach them to invest their capital Jeff Brown ?? I never pursue that avenue. Why? Because mostly they’ve been hounded by so-called investment guys who couldn’t find their butts with both hands, two helpers, a map, and a GPS. 🙂 When I’m invited, I speak. I never even come close to trying to ‘sell’ anyone on being a client. I’ve learned over time, that if I give them solid information, my experience and expertise shines through, and they can choose to contact me or not. What happens most of the time, is one of the questions is, “How can we contact you?” These clubs suffer from the blind leading the blind most of the time.
    Jeff Brown
    Replied over 12 years ago
    >what if you’d like to approach them to invest their capital Jeff Brown ?? I never pursue that avenue. Why? Because mostly they’ve been hounded by so-called investment guys who couldn’t find their butts with both hands, two helpers, a map, and a GPS. 🙂 When I’m invited, I speak. I never even come close to trying to ‘sell’ anyone on being a client. I’ve learned over time, that if I give them solid information, my experience and expertise shines through, and they can choose to contact me or not. What happens most of the time, is one of the questions is, “How can we contact you?” These clubs suffer from the blind leading the blind most of the time. Reply Report comment
    Jessica Riley
    Replied about 12 years ago
    I’m a new investor in LA county. Does anyone know of a good Real Estate club I can attend? Reply Report comment
    Jessica Riley
    Replied about 12 years ago
    I’m a new investor in LA county. Does anyone know of a good Real Estate club I can attend?
    mortgage marketing genius
    Replied about 12 years ago
    Having just found your blog on Google, I’ll be back many times.
    Kim Tucker
    Replied over 11 years ago
    yep some clubs are like that, but if you are in the Kansas City area you will find that the clubs here are a little different. First off we have over an hour of networking where you can talk with vendors or other people at the event, ask questions, share deals. We also have a speaker for about 90 minutes that teach about some topic related to real estate investing, they may have a 5 to 10 minute sales pitch at the end for thier service or their product, but they are expected to teach you something as well. So if you are in KC, check out our group – http://www.MAREInet.com You will come out knowing more at the end than when you started. Next meeting July 8th.
    Jeffrey Hare
    Replied over 7 years ago
    At SJREI, our policy is clear: “Educate – don’t pitch!” This applies to the regular monthly programs and the introductory JumpStart programs that I coordinate, and will be strictly applied to the upcoming Expo Silicon Valley program. Smart investors want to learn – they don’t like being pitched. Education-based marketing is a solid concept; if you teach, they will learn. Combine that with integrity, respect and straight-talk, and you’ve got a loyal fan who will do business with you. But if you simply “regurgitate Kiyosaki” and jump to the pitch, they’ll see right through you. I really liked the “no contract” idea, and investing in a foreign country to boot! “Hey, I’ve got a deal on a REO in Nogales for you; fully air conditioned after the last raid; don’t tell anyone else – cash only!” Reply Report comment
    Jeffrey Hare
    Replied over 7 years ago
    At SJREI, our policy is clear: “Educate – don’t pitch!” This applies to the regular monthly programs and the introductory JumpStart programs that I coordinate, and will be strictly applied to the upcoming Expo Silicon Valley program. Smart investors want to learn – they don’t like being pitched. Education-based marketing is a solid concept; if you teach, they will learn. Combine that with integrity, respect and straight-talk, and you’ve got a loyal fan who will do business with you. But if you simply “regurgitate Kiyosaki” and jump to the pitch, they’ll see right through you. I really liked the “no contract” idea, and investing in a foreign country to boot! “Hey, I’ve got a deal on a REO in Nogales for you; fully air conditioned after the last raid; don’t tell anyone else – cash only!”
    Jennifer
    Replied over 6 years ago
    I myself have fallen victim to an investor’s sales pitch a few years ago when I first heard about Fix & Flips and Wholesaling. He actually posted a nice, attractive ad on Craigslist about an opportunity for people with no experience. The entire meeting was him selling himself & the school he was promoting. He was trying to recruit people to spend thousands of dollars on the education, and was looking for others to do the same thing by posting ads for the school. It definitely was not what I was expecting/looking for.
    Jennifer
    Replied over 6 years ago
    I myself have fallen victim to an investor’s sales pitch a few years ago when I first heard about Fix & Flips and Wholesaling. He actually posted a nice, attractive ad on Craigslist about an opportunity for people with no experience. The entire meeting was him selling himself & the school he was promoting. He was trying to recruit people to spend thousands of dollars on the education, and was looking for others to do the same thing by posting ads for the school. It definitely was not what I was expecting/looking for.
    Audrey Morgan
    Replied over 6 years ago
    Mid-Hudson Valley REIA http://www.mhv-reia.com, is one of the more reputable REIA in New York State and is still in existence. Some guru selling do occur from time to time but, there is great opportunity to learn from real life investors who freely share their knowledge and give sound advice. The meetings and events are heavily attended by New Yorkers as well as individuals from out of state. Reply Report comment
    Audrey Morgan
    Replied over 6 years ago
    Mid-Hudson Valley REIA http://www.mhv-reia.com, is one of the more reputable REIA in New York State and is still in existence. Some guru selling do occur from time to time but, there is great opportunity to learn from real life investors who freely share their knowledge and give sound advice. The meetings and events are heavily attended by New Yorkers as well as individuals from out of state.
    Joshua Dorkin
    Replied over 6 years ago
    Audrey – I believe that networking that happens at REIAs is wonderful, but the sales pitch thing is old news. REIAs build much more credibility when they focus on helping their members learn, network, and do business vs. selling expensive products to them via trainers and gurus.
    Audrey Morgan
    Replied over 6 years ago
    Mid-Hudson Valley REIA http://www.mhv-reia.com, is one of the more reputable REIA in New York State and is still in existence. Some guru selling do occur from time to time but, there is great opportunity to learn from real life investors who freely share their knowledge and give sound advice. The meetings and events are heavily attended by New Yorkers as well as individuals from out of state. Reply Report comment