Always Negative Responses When I Talk About Real Estate

85 Replies

I'll never understand why 99% of the time people have negative responses when I tell them I am trying to get into real estate and rental properties.  I mean literally every time I tell someone about it I get one of the following responses:

"You think you do, but you don't"

"It's not easy"

"You'll end up with horrible tenants and want to get rid of it"

"What happens when your tenant doesn't pay?  You can't get them out of the house"

"What happens when the economy falls to pieces and you can't rent the property"

Like, yes I get it, it's not an easy industry.  I never said it was.  I understand that being a landlord isn't the most glamorous job in the world and a lot of people fail at it....even the people who have given me those responses.  Everyone I talk to has either had rental property that they hated, or knows someone that hated it. 

I don't understand what they expect me to say to these responses?  "Okay, now that you've told me that it's hard, I'm definitely not going to do it".  

I think there is a lot of ignorance to the industry.  I think a lot of people come into the industry ill-prepared and fail at it and there is this persona of how horrible it is to own real estate.  Even when I give them responses to these questions such as:

"I know it's not easy, but if you don't take a risk, there is no reward"

"Well I plan on thoroughly screening my tenants to mitigate the risk"

"I will evict the tenant if they don't pay by following the processes set forth by local legislation" 

"I plan on having multiple exit strategies"

It doesn't matter what you say to the nay-sayers, they still think you're crazy for even trying to get into it and that failure is a certainty. 

But I just use it as fuel to work even harder at it.  I look forward to seeing them later on and telling them how well I am doing at it.  I am not satisfied just working my job and collecting a pay check (i love my job and I have a very good career).  I just need more.  

Sorry for the rant, but it's just frustrating how many people want to see you fail at real estate because they heard it's not easy.  

Nick,

Don't worry about it. I'm 19 and every time I do anything remotely related to real estate I get the "you're too young to know anything about real estate" phrase, or I am just ignored by those who think they know everything.

Have a couple of trusted mentors and listen to their advice, if you have people telling you you're doing something wrong chances are you're moving in the right direction. You will eventually be wrong and make mistakes, but that's just part of the game. Keep your head up and stick with it.

Cool post this most definitely happens but I feel these people "the naysayers" are just aren't like people like us the"go getters". Stay focused they are just another obstacle in the course of this path called success.

@Nick Noon

Hi Nick

I think most of us on this site have experienced this frustration.   People tend to have limiting beliefs that if we are not careful will creep into our subconscious and affect our thinking.  I have tried to surround myself with positive people and always listening to motivational speakers such as Zig Ziglar, Jim Rohn, Napoleon Hill, etc.  Some people really care about you and don't want to see you fail, while others feel that if you succeed, then they will be left behind and your relationship will no longer exist.  Let the haters hate, they don't have their own dreams.

The fact that you need more says it all.  Remember, if we don't continue to grow in life, we will only wither away and die.  I think we are here to serve others, and real estate can allow you to serve people who can't buy their own home.  You will be providing a needed and vital service

Gino

@Nick Noon Simple reason.  People feel safer being part of the majority...which is why the majority are also failures...and your (our) customers/buyers/renters.

If you had 99 people out of 100 telling you it can't be done...but just 1 out of that 100 that made $1M at it...who would you follow?

People tend to speak negatively about things they don't know, in this case the real estate business.

No business is easy and takes dedication and passion to not care what naysayers say. Keep it up, you can do whatever you set your mind to!

Just about everything they say will come to pass & possibly much worse...

but that's what separates those of us that persevere from those who attempt to reduce your drive down to their innate lack of ability. 

They will still be trying to 401(k) their way into a mediocre retirement when you're already there collecting significant passive income streams.

Make a success of it. Years from now when you have a lot of income from investing, most of those people who said it can't be done will still be working 9-5 for someone else.

@Nick Noon stay focused on your goals and your "WHY". There will always be people out there telling you cant do something. Ive noticed this myself while getting into REI and I believe most are uneducated and are scared to take any "risk" in life. Let them sit in the cubicles and work their 9-5's and we will build real wealth and financial freedom! Best of luck and always stay positive as mindset is crucial to success.

Originally posted by @John Thedford :

Make a success of it. Years from now when you have a lot of income from investing, most of those people who said it can't be done will still be working 9-5 for someone else.

 ...and that "...someone else" you mention will probably be the one of the rest of us.

I listened to a couple of naysayers and delayed getting into real estate by 15 years. Think of what I could have built with a fifteen year head start. 

When I read your post I wonder if you are hanging out with the wrong people. It's great you are not letting them drag you down!  The circle of friends I have today are all positive and successful people.

@Ned Carey right! We are only limited by our beliefs and fears! I highly suggest an excellent book: "Illusions" by Richard Bach. It makes a great gift to those who fear taking a chance in life!

Originally posted by @Ned Carey :

I listened to a couple of naysayers and delayed getting into real estate by 15 years. Think of what I could have built with a fifteen year head start. 

When I read your post I wonder if you are hanging out with the wrong people. It's great you are not letting them drag you down!  The circle of friends I have today are all positive and successful people.

 We're the average of the 5 people we spent time with the most right?

Nick, wait till you start pursuing and doing deals, it gets even better! You're entering a field where a large majority of the so-called professionals in this industry will see it COMPLETELY opposite to you, and you'll start hearing things like "Well this offer is half of what it's worth, so clearly, you're still new at this" or "This can't be considered a serious offer" etc, not counting the abuse you get from homeowners who find your offer, or even your marketing or presentation, personally offensive. You'll start saving the best voicemails. 

Just keep your eyes on the prize and learn as much as you can as you go, take your calculated risks when you're ready, and it'll just become white noise that you can brush over. 

tl;dr : I hear you man. Just keep it up.

I'm glad I found this post. After mentioning to a few friends and getting the "you're crazy" speech, I decided to avoid talking about it with them. 99% of people won't understand it but that's not our problem. Our success will speak for itself. 

The key is to listen to the people who are already doing what you want to do, and killing it. Don't listen to that guy who made one halfassed attempt and then gave up, even though "it's real estate's fault" he failed. 

Thank you all for the positive and motivational responses.  It's just so fascinating how many people want to feel justified in not taking a risk.  People taking risks and having a potential to do something great scares a lot of people.  It's a lot of jealousy I think.

I never let people's comments bother me I just get amazed at the resposnses. I'm 28 years old and I have NEVER not achieved a goal I set out for.  Sometimes my goal changes throughtout the process but I never quit.  And I always have goals, never stagnant.

I'm not getting into this industry to get rich quick.  Hell it's not even about the money.  Like I said, I need more.  having the passion and accomplishing goals is what I get high on.  

I feel bad for people that aren't able to take risks and are content.

I told my girlfriend that when we first met.  "I will never be content"  it's a blessing and a curse I told her because always striving for goals and never being content means I will never be satisfied, but thats okay

@Nick Noon Here's a thought:

Who's in charge of what goes on in your head? If it's not you, who is?

Suggestion: Don't talk about your business. Find a standard response that answers their question then change the subject. 

Example: "I'm working on a project I can't discuss just yet. Thanks for respecting that." 

I found tgat nobody wanted to offer encouraging words about real estate until they saw that I made a ton of dough and lived better. Especially over decades.

Classic little red hen syndrome.

Part of the problem is that you (subconsciously) think they ought to be cheering you on but are not. For what it's worth, it's not their responsibility. Your job is to have the right attitude as well as investing in your education and massive action.

You'll be tested soon with the Holidays around the corner. 

Too many nay-sayers in the world. Sounds like you're doing a great job at not letting that get you down. You also have us. The definitely non-nay-sayers... Hmm. The Sayers? Use us to stay strong if you need to. Keep at it. Good luck. 

This happens to everyone that is willing to do something 'out of the box'. And everything that is not a 9-5 job sort of is seen as 'out of the box'. 

So, reconsider who you hang out with. Go to REIA meetings in your area and surround yourself with real estate investors, people that are involved and are doing 'the crazy thing'.

Keep those naysaying friends in a different box - whatever you have in common with them, keep your relationship to that area, if you really like them. And maybe also reconsider who you want to spend time with.

It is my belief that most people lack long term perspective.  Yes, real estate can be a pain in the butt as these naysayers say.  What they fail to realize is that One bad year every say 5 years in a 30 year time horizon isn't significant, at least when you have it in a long term perspective.  Time is everything in investing.  Most people don't look at the big picture and what short term sacrifices can create. 

Also having your net worth in mind, I think is key.  If one of my properties needs significant repairs during the year,  I know that a few thousand dollars in the scheme of long term investing amounts to peanuts.  

Keep pushing. I have been at this 7 years. Like anything else, it has it's up's and down's but it is well worth it. You are exactly right! Tenant selection is everything in this business. Read up on the local tenant and landlord act in your state. Make sure you have a lease that covers your rear end. For i.e Responsibility for repairs and damages, handling late fees and evictions, right of entry etc). The old saying goes don't put all your eggs in one basket. The market works in cycles. You will need to be prepared for the rough seasons. Best wishes with your investing.

i just had a friend today tell me i should flip only because "what happens if all of your tenants decide to leave at the same time"?

Really dude? 

1. All of their leases end at different times of the year and some are on multi yr leases.

2. What are the odds every tenant leaves at the same time?  Like its orchestrated. But even so,  i have reserves.

3.  That's a poor correlation to begin with lol.

I tend to think most horror stories you hear from friends or even a friend that took a flyer on a rental once was because they broke 1 or more cardinal rules. 

They rented to family or a friend. 

They bought a sob story.

They didn't screen at all.   A guy i work with took a person in that had no job, but expected the guy to pay 1k a month. Uh, what?  He sold his 2 rentals off because "tenants suck".  Uh well yah, non-paying tenants sure do suck lol.

@Nick Noon   in certain asset class's those are true statements.

but not all real estate is like that.. there are many many different ways to skin the RE cat.

some of the most profitable 99% of the folks reading this won't have a clue about.

your talking about what the herd does. 

@Nick Noon , I too have experienced this type of negativity, even from my parents. While they have seen the successful investments and returns, they still question the thought process behind pursuing Real Estate. When this happens I just get more excited to get after it.