During the latest and greatest podcast featuring Jay Papasan, Jay brought up an interesting point made by Trump that he learned nothing when the markets were good and everything in down markets (I'm sure I butchered the quote, but I was driving and wasn't able to write it down!). As a newbie, I am finding great information here and really enjoy the success stories that are shared. Obviously I don't like to focus on the negatives, however sometimes we can learn just as much if not more from the mistakes we make.
What was the best lesson you have learned from a mistake in your REI career, or when a deal didn't turn out as planned?
I apologize if this is an unoriginal thread and has been discussed before!
My worst negotiation was a deal I was never able to take (although I was really close to making a mistake). It's key to project potentially 'small' issues out into the future and see what they will be like. In this case, I dodged a major bullet with a seemingly nice but questionable tenant who turned out to be a real problem for the owner. I walked away from the deal and the problem tenant they had hoped to unload.
I could have still made lemonade with lemons, but I certainly would have sacrificed a full year and a half of cash-flow with the eviction process, in a major urban area that is not too landlord friendly.
I would say when my husband Matt and I started real estate investing (10 years ago) we got involved with so many different areas. Buying a commercial building, flipping properties, buying some tax liens, and buying a raw piece of land! I am not kidding we were all over the place. Our largest focus 10 years later is buy/fix/hold. We also fix/flip @ 5 properties or so a year, but buy and hold is our main focus. The greatest lesson is to focus on one area and become amazing at it before you go into any other areas! I wish we had done that but it was a great lesson to learn for us!
Hope this helps!
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