I spent $125,000 On an Attorney Because I wouldn't Spend $15,000 On A Mentor - True

[Ken M.]

I made a big mistake when I was first starting out and it bit me badly. Now, I'm sure no other investor has even been sued (smile) but I didn't think it would happen to me. 

I bought a property, it was a "distressed" property actually and I followed the "rules" or so I thought. I made the payments on time, I paid the taxes & bills on time, I even recorded the deed properly. I claimed the tax exemptions on my taxes and changed the insurance  properly. 

I saved $25,000 not using a realtor. The property wasn't on the MLS and no realtor would work with me. They didn't understand the offer. (I never have used a realtor to buy an investment property, because realtors don't generally understand "off market" properties.)

But, 6 years later on, yes it was six, 6, six, let me be clear, 6 years later, I got a notice of lawsuit in the mail. I thought it must be a mistake, or  just your everyday nightmare. Well, the court wanted proof. Wanted proof I didn't "take advantage" of the seller. What?? How do you prove that?? 

The lawsuit took years and ended up costing $125,000. 

Instead of $15,000 for a mentor, money I thought I didn't need to spend. But, I really should have hired the mentor. Hind sight is 20/20.

Now, THAT lawsuit was disruptive. All because I thought I knew one thing, which it turns out, I misinterpreted. I wound up in court and any decent mentor already knew, and kept me from that one ridiculous mistake. There are a lot of ridiculous mistakes in real estate.

So, my attorney got me started, I educated him and I won the lawsuit. But it cost me, when it didn't need to.

So buyer beware, or get a decent mentor. Let's talk.