How are you going to come out of this better than you started?

Question

Crazy times.

I think this is a good time to hit reset and reflect a little, learn a little, and become a better person and investor when things settle down.

That being said, what are some things that you are doing to put yourself in a better position when this is over.

Personally, Ive been taking long walks while listening to podcasts. The newest BP and BP rookie real estate have been fantastic and gave a lot of food for thought on direction forward.

Gave a chance to go over the budget and possibly even cut some things out.

Try to keep building up those reserves and stack up what we can for when we do see a dip in real estate. The plan is to have all ducks in a row and to be mentally and financially ready to add something to the portfolio.

What are you doing?

Jay Helms · Answer

@Joe M. Keep learning and fine tuning your filter through all the noise. One way to keep learning is to attend virtual conferences like this one: w2capSummit.com

John Teachout · Answer

Up to this point, the only effect this crisis has had on us personally is that we've stopped eating out (a good thing) and we haven't been able to attend church (a bad thing).

Our church has virtual services but we don't have broadband and thus can't watch them.

In two weeks we'll find out how this is going to impact us as April rents will be due. We haven't heard from any of our tenants regarding their situation so we'll just see what shows up in our bank account.

We are renovating a house in a nearby town and that continues as normal since we work by ourselves. Either just me or my wife and I together.

I watch very little news, just enough to have a clue but can't tolerate too much of the hysteria.

It's going to be a wait and see. I have been watching our retirement accounts vanishing into thin air. Last I looked, we were down about $50k. I've seen that before. A good time to read the book of Ecclesiastes.

Jonathan Greene · Answer

As you said, I think reflection is key here. Whether someone is a new investor, has a few under their belt or is doing 100 deals a year, this is a great time to identify the parts of your business that you don't like and decide what to do about it. Outsource? Give up that part? It's a good time to focus on our held properties or stalled flips and decide what is really the best outcome for us, putting the ego aside. The ego plays such a large role in REI, you only have to read the forums every day to see that, that we need times like this to stop us from thinking we need to get to 100 doors and start realizing we could probably make the same money with 10 smart doors.

Theresa Harris · Answer

Take it one day at a time. Financially, my mutual funds have taken a hit, but they've done that before a few times and they bounce back. I am still expected to work from home which is challenging and as I live by myself, I've been making more phone calls to stay in touch/talk to people.

Kenneth Garrett · Answer

@Joe M.

The education from BP and most other reputable sources always taught to keep reserves. Don’t buy marginal cash flow properties. Today you see how this will impact landlords. Most should be prepared for 6 months. Hopefully on top of the no eviction, there will be mortgage assistance for all. I fear it might only be for owner occupied properties. I also think to keep businesses shut down for to long will destroy the economy. This will need to be a balance between health and the effect on the economy. Hopefully our government leaders will do the right thing. Wait till the election debates start up again. It will all be about smearing each other about what I did versus what you did. It will be awful.

How are you going to come out of this better than you started?

How are you going to come out of this better than you started?

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