Real Estate Investing Basics

Be Careful Having Trust In The Real Estate Business

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
We’ve all seen it before . . . a clean, polished smile uttering the words “trust me.” Sadly, these two words are some of the most dangerous out there. I want to talk a little about trust and the real estate business. As a person with too much faith in humanity, I tend to get [...] View the full article: Be Careful Having Trust In The Real Estate Business 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.

    Personal Development
    Replied over 12 years ago
    Great advice! This goes for almost anything in life, these days. Usually, it’s the smoothest criminals who have the nicest smiles saying “trust me”, whether it’s a playa in the dating game, or a dishonest broker/seller. Loved your post.
    Chris Lengquist
    Replied over 12 years ago
    Thank you. I’ve been screaming this from the top of my lungs for quite a while. The crooks don’t get a free pass. But the victims, often times, could have prevented the situation by doing more research or hiring an independent set of eyes. Good post.
    Chris Lengquist
    Replied over 12 years ago
    Thank you. I’ve been screaming this from the top of my lungs for quite a while. The crooks don’t get a free pass. But the victims, often times, could have prevented the situation by doing more research or hiring an independent set of eyes. Good post.
    Real Estate Investor Girl
    Replied over 12 years ago
    Thanks Josh! I posted my own thoughts on this, and linked back to your article on my blog, Real Estate Investor Girl. Thanks again! http://www.realestateinvestorgirl.com
    Louisville Real Estate
    Replied over 12 years ago
    I totally agree. Relying on bad information from others is one of the cardinal sins and can ultimately lead to disaster. Great post!
    Tom
    Replied over 12 years ago
    ” Educate yourself so you don’t need to rely on bad information from others ” – this is what I am always saying to my colleagues. Common sense + education = great weapon against stupidos 🙂
    Tom
    Replied over 12 years ago
    ” Educate yourself so you don’t need to rely on bad information from others ” – this is what I am always saying to my colleagues. Common sense + education = great weapon against stupidos 🙂
    J.D.
    Replied over 12 years ago
    My parents are going through an annoyingly hard time getting qualified buyers to put an offer in on their California home. At least their agent is really qualifying the people putting in their submissions. We’ll see if the agent is decent or not when a real offer comes in. I’m glad I’m not selling a house right now. So, so glad.
    J.D.
    Replied over 12 years ago
    My parents are going through an annoyingly hard time getting qualified buyers to put an offer in on their California home. At least their agent is really qualifying the people putting in their submissions. We’ll see if the agent is decent or not when a real offer comes in. I’m glad I’m not selling a house right now. So, so glad.
    Bruce Swedal - Littleton Real Estate
    Replied over 12 years ago
    You can’t rely on bad information. It is a tough market righ tnow. Good post!
    Bruce Swedal - Littleton Real Estate
    Replied over 12 years ago
    You can’t rely on bad information. It is a tough market righ tnow. Good post!
    John
    Replied over 12 years ago
    Go with your gut instinct. Don’t rush into anything. Walk away. Due your own due diligence even when the agent does it for you. Build relationships, then when someone says ‘trust’ it holds more weight. Enjoy your blog and site – keep it up.
    Investing Foreclosures
    Replied over 12 years ago
    I think it’s especially true in Real Estate for the “Buyer to Beware” A realtor has nothing to lose, and a whole lotta commission to gain. Do your homework, ask tough questions, and don’t feel rushed into doing anything!
    Investing Foreclosures
    Replied over 12 years ago
    I think it’s especially true in Real Estate for the “Buyer to Beware” A realtor has nothing to lose, and a whole lotta commission to gain. Do your homework, ask tough questions, and don’t feel rushed into doing anything!
    Brian Smith
    Replied over 12 years ago
    Self education certainly is the best answer! Another trouble I have run into on a property I own is a title company mishap that has me running all of my businesses on credit right now! The debt piles up, and while I’m sure I will be paid off from legal reciprocation, in the mean time, my credit history gets destroyed.
    Charlise
    Replied over 12 years ago
    Real estate is a shady business. You need to have a very healthy sense of skepticism as well as a LOT of common sense (which seems to be not-so-common). I’m always surprised how many fast-talking con-men (and women) are out there that made a TON of cash in the last few years. Not only do you need to be a people person, but being naive will drain your pocketbook.
    Charlise
    Replied over 12 years ago
    Real estate is a shady business. You need to have a very healthy sense of skepticism as well as a LOT of common sense (which seems to be not-so-common). I’m always surprised how many fast-talking con-men (and women) are out there that made a TON of cash in the last few years. Not only do you need to be a people person, but being naive will drain your pocketbook.
    Jim Harrison
    Replied over 12 years ago
    This “Trust me” comment . .spoken by people who you barely know, is something you really need to be careful of. I’ve had several situations where people were very dishonest and I was hurt.
    Jim Harrison
    Replied over 12 years ago
    This “Trust me” comment . .spoken by people who you barely know, is something you really need to be careful of. I’ve had several situations where people were very dishonest and I was hurt. Reply Report comment
    Jim Harrison
    Replied over 12 years ago
    This “Trust me” comment . .spoken by people who you barely know, is something you really need to be careful of. I’ve had several situations where people were very dishonest and I was hurt. Reply Report comment
    Jim Harrison
    Replied over 12 years ago
    This “Trust me” comment . .spoken by people who you barely know, is something you really need to be careful of. I’ve had several situations where people were very dishonest and I was hurt.
    Pradeep
    Replied over 12 years ago
    Absolutely, right. With advanced technologies and internet savvy generation holding the reigns of this modern world the process of marketing has undergone a sea change. Approaching people has now become much more easier but the authenticity is often doubtful, specially when it comes to selling or buying houses. I would say look for an agent who has a good reputation, inquire about him and make sure that he is reliable. Being a real estate agent myself, I have seen agents misguiding the buyers just for the sake of business and money. And that is the reason why i always insist on my clients to clarify all their inhibitions before going for the actual trade.
    Bryce Beattie
    Replied over 12 years ago
    I think your three sum up points are great. But wouldn’t following them actually require effort?
    Bryce Beattie
    Replied over 12 years ago
    I think your three sum up points are great. But wouldn’t following them actually require effort?
    Investing Foreclosures
    Replied over 12 years ago
    I think the best thing to do is to find a real estate mentor, a real, true friend in the real estate industry that can be your eyes and ears in the market. You know how they say everybody needs to have a really good lawyer in their Rolodex? I think the same can be said about a really good real estate guru that isn’t out to make a quick buck off of you, but can be your friend and adviser. Reply Report comment
    Investing Foreclosures
    Replied over 12 years ago
    I think the best thing to do is to find a real estate mentor, a real, true friend in the real estate industry that can be your eyes and ears in the market. You know how they say everybody needs to have a really good lawyer in their Rolodex? I think the same can be said about a really good real estate guru that isn’t out to make a quick buck off of you, but can be your friend and adviser.
    pregnant
    Replied over 12 years ago
    I totally agree. I have a mentor that helps me with exactly that. A true friend that helps me to chose the right way.
    Julie Simms
    Replied over 12 years ago
    I’ve always been interested in real estate. I have read all I can and feel fairly good about my knowledge. My only problem now is my credit. I really need to get that worked out ASAP. Thanks Julie
    BusinessMan
    Replied over 12 years ago
    Friend of mine in college once said: Don’t believe anything you hear and only 1/2 of what you see. Every year that becomes more and more apparent. 🙂
    BusinessMan
    Replied over 12 years ago
    Friend of mine in college once said: Don’t believe anything you hear and only 1/2 of what you see. Every year that becomes more and more apparent. 🙂
    BusinessMan
    Replied over 12 years ago
    Friend of mine in college once said: Don’t believe anything you hear and only 1/2 of what you see. Every year that becomes more and more apparent. 🙂 Reply Report comment
    havensofmanhattan
    Replied over 12 years ago
    It’s too bad that we even have to discuss this. You have to go through so much work these days to not get ripped off!
    realgirl
    Replied about 12 years ago
    Great post. I’ve been witness to some seriously ugly stuff while working for some of the big-name mortgage lenders. My motto has always been, “Trust, but verify”.
    realgirl
    Replied about 12 years ago
    Great post. I’ve been witness to some seriously ugly stuff while working for some of the big-name mortgage lenders. My motto has always been, “Trust, but verify”.
    realgirl
    Replied about 12 years ago
    Great post. I’ve been witness to some seriously ugly stuff while working for some of the big-name mortgage lenders. My motto has always been, “Trust, but verify”. Reply Report comment
    realgirl
    Replied about 12 years ago
    Great post. I’ve been witness to some seriously ugly stuff while working for some of the big-name mortgage lenders. My motto has always been, “Trust, but verify”.
    Nadine
    Replied over 11 years ago
    Nice post!…I agree with you regarding the importance of learning to trust only the real facts. Maybe the most difficult thing is to find the real facts. Many times I feel that it is easier for me to believing what other people said as “real fact” than find it myself… Need more effort to do the research our self.