Personal Development

3 Reasons Newbie Investors Should Hire a Coach

Expertise: Personal Development, Real Estate Investing Basics
21 Articles Written
Opposing direction arrows on asphalt ground, feet and shoes on floor, personal perspective footsie concept for finding your own way

As a new investor, real estate can be very daunting. There is so much to learn: various strategies to pursue, financing options, deal structures. Then, there’s the challenge of finding the deal, running the numbers, and doing your due diligence.

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No wonder so many people never buy their first property!

If you’re a new investor and you find yourself feeling overwhelmed, it’s OK to ask for help! In fact, it may be one of the best investments you ever make. Finding the right coach could change everything for you!

This investment in yourself is something that can never be taken away. No recession will put it at risk, and no market turn can damage its value.

The most successful people in our society, from athletes to corporate executives to artists, understand the value of coaching. These individuals know that a coach can up their game in a way they might never be able to on their own. They are willing to pay tens of thousands of dollars to harness this power in order to get to the next level.

Related: How to Level Up Your Investing Business With the Right Real Estate Mentor

Please don’t misunderstand me and go out and spend $25,000 on a coaching plan before you’ve even purchased your first property.  At this point, you don’t know if investing is even for you, so let’s scale this back a bit. There are plenty of programs out there for new investors that won’t break the bank.

How Can a Newbie Investor Benefit From a Coach?

Extensive research has been conducted on the return on investment (ROI) of coaching. The statistics paint a clear picture.

Eighty-four percent of study participants claimed that coaching led to improvements in their performance and goals. Seventy-nine percent also found that coaching allowed for more complete use of their talents and potential.

talking-future-goals

Let’s take a look at how a newbie investor can benefit from coaching.

1. A coach can give you much-needed direction.

As a newbie investor, figuring out where to start can be a challenge in and of itself. There is so much learning material available that any investor can easily become overwhelmed and even distracted.

Figuring out where to start with your education is critical! And ensuring that you build the right base is paramount. Only once you understand the basics and the true power of real estate can you really navigate the various strategies available to pursue.

Coaches can help with this. They can put you on a path, starting from a point that makes sense. And once you understand the basics and figure out the strategy (or strategies) you want to pursue, coaches can help tailor your approach and continued education.

2. A coach can save you lots of time.

And I don’t mean a few hours a day—I mean coaches can save you weeks, months, even years! This could be years spent waiting and thinking or years floundering with the wrong approach or strategy. Coaches can help you find another way and get out of “race mode.”

A good coach will help you determine exactly where you want to go and why. Coaches can help you get to the root of your motivations, so you know what is driving you. This will allow you and your coach to strategically set goals that enable you to get to your desired end state as quickly as possible.

They can also help you navigate a path that will keep you on course and get you to your goals much more quickly than you likely could on your own. The truth is, even the most motivated individuals can easily get derailed and mis-routed. A coach can hold you accountable and keep you moving in the right direction.

two men wearing casual clothes sitting on a brown couch drinking coffee from mugs and talking

3. A coach can provide encouragement and motivation.

Buying your first property is incredibly daunting. There is so much at stake, and you don’t have any experience to rely on. This is why most wannabe investors fall prey to analysis paralysis and never actually buy anything.

Related: The 7-Step Antidote to Cure the Silent Wealth-Killer Known as Analysis Paralysis

A coach can help you get through this and reiterate a good deal or steer you away from a bad one. This second set of eyes and reinforcement can be exactly what an investor needs to take the plunge.

They can also help you out of a slump. And we all have slumps! If your motivation is lacking, or you just need some encouragement, a coach can remind you of your goals, where you’re aiming to go, and why you wanted to go there in the first place.

Once you decide that a coach is right for you, you have to be willing to commit. This will require resources—both financial and time resources—as well as a commitment to your personal development.

Have you ever hired a coach or considered it? Why or why not?

Share your thoughts in the comment section below.

Erin Helle is an Army veteran turned entrepreneur specializing in flipping houses, turnkey renovation products, and real estate investor coaching...
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    Raj Jain
    Replied 9 months ago
    how do i find a coach
    Erin Helle Investor from Monterey, CA
    Replied 9 months ago
    There are lots of ways to find a coach! I’ll send you a PM.
    Deshaun Dumas
    Replied 9 months ago
    Send to me as well, please.
    Erin Helle Investor from Monterey, CA
    Replied 9 months ago
    I think there are a lot of ways to find a coach. To start, I’d look around your network. You may already know someone who is a coach and if you know they have a good track record, trust them, and already know you can work together, you basically just won the coaching lottery! If you don’t know anyone, start telling people you’re looking for a coach, and start networking with people who are successful. Go to meetups, get on real estate investor Facebook pages, engage on the BiggerPockets forums and posts. You can also start by googling coaches. You can check on reviews and see what people have to say about their program(s) and ask all the questions you want before committing to anything. I’d be very careful with any generic programs. I’ve never met two investors with the same goals or strategies, so why should a “coaching” program not tailor to the individual being coached? Also, decide what is reasonable to spend on a coach. I 100% believe in coaching, but think it makes much more sense to put $30,000 down on a property as opposed to a coaching program. I’m happy to help you more specifically if you’d like!
    Shiloh Lundahl Rental Property Investor from Gilbert, AZ
    Replied 9 months ago
    Erin, Great article and I agree with it 100%. The simple truth is people do better, go further, and excel their greatest under the careful watch of a great coach. And it is sad more people don’t realize this. I would like to say that you are very bold to write this article. Whereas many podcasts talk about the value of having mentors, the majority of people I have come across on the forums are against the idea of paying someone for coaching. You and I have both probably seen and experienced the value of coaching but many others may speak negatively about it in order to help them psychologically justify their mediocre investing results. Many people live way below their capabilities and are naïve of that fact because they are not capable of seeing what could be. I went through a coaching program and one of the coaches in the program helped me see what could be for my investing career. I went from wanting to do 4 flips a year to owning 85 properties (65 with a partner) within 4 years and we plan on doubling within the next 2. So coaching absolutely has its value.
    Erin Helle Investor from Monterey, CA
    Replied 9 months ago
    I agree! I was a swimmer in college and in the three years I swam, I had two different coaches. Under one, I excelled and was at the top of my game as a freshman. Then the next one came and swam me into the ground, so to speak. I got so injured, I couldn’t swim my senior year and ended up hating swimming for a long time. This is how I learned the importance of coaching. Everything I pursue in life, I try to surround myself with coaches, mentors and people that will lift me up and help me elevate my game. No matter how driven we are, we all have bad days and tough breaks and having someone in your corner to push you (usually farther than you ever thought you could go) is so critical! All the most successful people have coaches, so why shouldn’t we?
    Guy Gimenez Investor from Corpus Christi, TX
    Replied 9 months ago
    Coaching has definitely helped serious investors, including me. But the issue I have with the coaching circuit far too many of these "coaches" don't practice what they preach. Too many "coaches" are tireless self-promoters and make their living by promoting their coaching programs, not investing. When seeking a coach, most newbie's don't know the right questions to ask, the documentation they should seek from the "coach" or how to address benchmarks for any coaching program. As such, these "coaches" make bank and the newbie investor has nothing to show for their investment.
    Erin Helle Investor from Monterey, CA
    Replied 9 months ago
    I absolutely agree. I think good coaches are willing to help out for free because they love it. They aren’t afraid to give valuable advice, answer questions or assist without sending an invoice. This also helps both the coach and the investor to figure out if they will work well together. I would never spend money on a coach that I wasn’t certain I could work with. We all communicate differently and work better with certain people. This is so important in terms of a coaching relationship. Kind of a tangent, but I think a lot of programs for newbies are too generic and can’t help a specific individual because there is no relationship developed and the “coach” doesn’t ever get to know the investor, their goals, desires or motivations.
    Kathy Young retired from Huntsville, Alabama
    Replied 9 months ago
    How to find a coach? What to look for and not get ripped off. I tried two that are well known and spent between 7-8 thousand dollars for nothing.
    Greg Dickerson Developer from Charlottesville, VA
    Replied 9 months ago
    Kathy - You want to find a coach who has done what you want to do at a high level and has been in the business for a long time.
    Erin Helle Investor from Monterey, CA
    Replied 9 months ago
    Kathy, this is very sad to hear! That money could have been much better spent and could really be working for you right now! I would go back and ask for your money back. Good coaches will offer a 100% money back guarantee. If they don’t help you, they shouldn’t get paid, as that’s the entire point in your hiring them. Check out my replies on some of the above questions and let me know what you think!
    Michael P. Lindekugel Real Estate Broker from Seattle, WA
    Replied 9 months ago
    i have yet to meet a "coach", guru, etc. that knows financial due diligence and the difference between capitalization rate and ROI. i attend a lot seminars and classes for giggles.
    Greg Dickerson Developer from Charlottesville, VA
    Replied 9 months ago
    Michael - sounds like you’ve definitely been in the wrong rooms. That’s basic stuff any investor or coach should know in the commercial space. Also as you know underwriting is much more than ROI. That’s just a very small piece of the process.
    Erin Helle Investor from Monterey, CA
    Replied 9 months ago
    That’s not good. And may be true with a lot of the big name coaching programs, but I know a handful of coaches that have more knowledge than I would ever know what to do with! Maybe you’re looking in the wrong places!
    Mark JOhnson Investor
    Replied 9 months ago
    For anyone looking for a coach, I recomend understanding what Napolean Hill did. If you want to be successful, do what the successful people do.
    Greg Dickerson Developer from Charlottesville, VA
    Replied 9 months ago
    Exactly. Find mentors and coaches who have been there and done that at a high level. That’s how I learned. I was mentored by very successful people.
    Erin Helle Investor from Monterey, CA
    Replied 9 months ago
    I totally agree! Find the successful people and emulate them. When you figure it out, then go down your own path. This is kind of like the old ‘fake it til you make it’ mentality.
    Greg Dickerson Developer from Charlottesville, VA
    Replied 9 months ago
    Erin - great post. I would add that it’s all about knowledge. You don’t know what you don’t know and that’s what can make you or cost you millions. Most of my clients will tell you one conversation with me changed the trajectory of their business and their life. All it takes is one idea, one concept you didn’t know that can make all the difference.
    German Vellon
    Replied 9 months ago
    Send me as well..thank you
    Shion Queen
    Replied 9 months ago
    This is a great topic with frustrating suggestions. I say this because it’s hard to find trustworthy people that don’t prey on newbies. My fear is finding a deal and having a “Facebook” found coach taking my deal instead of guiding me. I thought I found a mentor and he showed me who he was and I believe him. He didn’t cheat me, but I saw his capacity to. Because of this, I’m hesitate to tap into his talents and resources. My issue right now is creating a solid plan from selecting a market, raising the capital and taking that leap. I’d love a person to share my thoughts with. How do you find passionate people.
    Erin Helle Investor from Monterey, CA
    Replied 9 months ago
    I am so sorry to hear this! The truth is, there are PLENTY of deals to go around! And once you wrap your head around this idea, you’ll get somewhere! An attitude of abundance and faith in yourself is critical to your success as an investor!
    Erin Helle Investor from Monterey, CA
    Replied 9 months ago
    Send me a PM and we can talk a little more about it!
    Peter Giardini Rental Property Investor from Baltimore, MD
    Replied 9 months ago
    Erin, Great post and insight only achieved by having lived it! If I may, I would add on additional item that I have found invaluable in a coach... and that is a coach who is willing to open their network to those they are coaching. Keep the great posts coming. Pete
    Erin Helle Investor from Monterey, CA
    Replied 9 months ago
    Thanks for your comment! And I agree! Connecting great people is my favorite thing to do in real estate!
    Marc Arty Jacquet
    Replied 9 months ago
    I never hired a coach, not that I don’t want to, but I am waiting for time to find the right one who really help me achieve my goals which is built a solid Real Estate Buslness!
    Erin Helle Investor from Monterey, CA
    Replied 9 months ago
    My advice: don’t wait! Starting taking action NOW! Your dreams don’t work unless you do! 😀