Real Estate Coaching or Mentorship: As a Newbie, Which is Right for You?

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How many times have you thought about buying a coaching program?

How many times have you asked yourself, how do I find a mentor to help me get started as a real estate wholesaler?

Probably many times — because these are often the first question new wholesalers or investors ask themselves before getting started.

Well, I was recently asked this two-part question the other day: Which route would be the best way to go? Should I purchase a coaching program, or should I find a mentor? 

This is a great question, and my response was: it all depends on a few things. Such a vague answer, but here’s why:

There are a few things that I would suggest before going in either direction. I would like to compare and contrast both options for those who are beginning and wanting to know before spending a lot of time or wasting a lot of money.

I am totally neutral on both because I know that both options are viable, and I do not want to discredit either. I have met some wholesalers and investors who have become successful using either strategy.

Here are a few things that I encouraged the beginner to process, think through, and take actionable steps on before making the decision.

Related: Everything Newbies Should Know BEFORE Seeking Out a Real Estate Mentor

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Take a Self Assessment Test

Before choosing a coaching program or utilizing a mentor, you will first need to know who you are and what your strengths and weaknesses are.

Conduct a simple self assessment; many people are unaware of what qualities they possess that set them apart from others, and I would suggest you get to know these qualities. The self assessment will give you the opportunity to know what makes you click and better yet, why they make you click.

StrengthsFinder is a great place to start. This a web-based platform by Gallup, Inc. (American research-based, global performance management consulting company) that helps individuals outline their talents and identify their weaknesses.

There are many other assessment tools that can help you, such as Myer-Briggs, Jung Typoloty, and so many others, but I would advise this being the first step to your success. Not only should you conduct the self assessment, but you should create a plan to work on strengthening your strengths and finding a way to develop your weaknesses into strengths.

Review your assessment quarterly to gage your progress. This is a tool that helps with self discipline.

Gauge Your Time Constraints

Again, either option — coaching or mentoring — works depending on your personal needs and desires. Timing is one of the most critical factors. If you have the time and you would like to build a scalable and sustainable investment career, I would suggest finding a mentor who is willing to help you through any difficulties. This can be done with a coaching program, but the one-on-one tutelage of a mentor is always a bonus. A perk of coaching is that you will be able to learn at your own pace; however, you will need to make progress.

If you are more aggressive and a “bulldog” wanting to get started and get started fast, coaching is a great place to start, especially if you are not afraid of making mistakes and learning quickly. It’s better to do something productive versus being stagnant.

With both programs, you will need to make an effort to keep moving forward. Anything that is not moving is dead!

Understand Your Need for Relationship Building 

We all understand the importance of a quality, resourceful team. If you don’t understand the importance of a team approach in real estate wholesaling, read my recent article, “The Beginner’s Guide to Highly Effective Real Estate Networking,” which will give you some insight on the value add teams give you.

Coaching and mentoring will both provide relationship building opportunities, especially if you’re a part of a coaching team that holds you accountable. This is another critical piece to ensure you are working to build small successes. With a coaching program, you have the coach and a small, supportive cast that want you to succeed. With mentorship, you will have the support of the mentor who needs you to succeed, and you will have access to a host of resources.

If you prefer to work as a lone ranger, it will be difficult for you to create the success you are looking for. I am not trying to discourage anyone, and this is not to say that the lone ranger approach is not possible, but the benefit of having a support system is great during times of heartache — and you will have those times. Remember, even the Lone Ranger had Tonto as support.

Evaluate Your Money Situation

Either you have it or you don’t, but as long as you do what your coach or your mentor tell you to do, then you will make some money. Starting out, you definitely need some money, but if you lack the financial resources, then I would suggest you steer towards mentorship.

By partnering with a mentor, you will have the opportunity to learn, build relationships, and make some money, but you still have to have some skin in the game. Maybe your investment is time, scouting areas, answering seller calls or many other things, but you will need to have some investment.

Utilizing a coaching program, you have to start normally with a large initial investment. Again, for some this is a way to get on the fast track to their first deal, but others cannot afford the initial investment, and they must invest their time first. I have found recently that those who utilize the coaching platform and are self starters have found much success buying a coaching program.

Join a Mastermind Group

If you have not explored joining a Mastermind Group, I believe this a must.

What is a Mastermind Group? This is a group that comes together once a month (normally) to offer a combination of brainstorming, education, peer accountability and support in a group setting to sharpen your business and personal skills. This group helps you, and the group members achieve success.

Related: Learn on Your Own or Hire A Coach…The Best of the Best Always Have Coaching!

Although with coaching or mentorship you will have a small real estate support group, you need a team that is independent of your field. Please do not fall into the trap of joining a Mastermind Group that is built of all real estate professionals. I implore you not to do this; it will only provide you with one singular viewpoint from a real estate perspective, and your purpose is to build a business.

The Wrap Up

I can conclude with this: Neither option, coaching or mentoring, is bad, but it depends upon your personal preference. I was a coaching basher at one point in time, but I understand now that just because it was not the route that I took doesn’t mean it won’t work for some. Please make sure you evaluate yourself and come to a conclusion on which option is right for you. Do not be swayed by someone else’s bias because you have to be able to make decisions independently of others. Whatever you do, just get started and do not be afraid to fail. The more failures you have, the closer you are getting to your successes.

I would love to hear your thoughts, and I’m sure others would like to hear some more of the pros and cons of both. Let’s help provide as much information to those who are trying to decide which direction to go in as we can.

Coaching or mentorship: What do you think is best?

Leave your thoughts below!

About Author

Marcus Maloney

Marcus Maloney G+ is the Executive Officer of Equity Realty & Investments as well as 3rd Generation Management & Holding LLC, both are family owned and operated real estate investment firms. The firms' goal is to provide affordable solutions in real estate while providing exceptional opportunities for community redevelopment for the residents of Phoenix, Arizona and Chicago, Illinois. You can follow Marcus on Twitter

6 Comments

  1. Larry Russell

    Great article. I like the way you evaluated both options stating how neither option may not be right for someone as well. Finding a traditional mentor is tough these days. What I mean by traditional is when someone takes a liking to you and genuinely wants to help you grow.

    • Marcus Maloney

      Larry,

      It is difficult to find a mentor but one thing mentors look for is someone taking action. I garauntee if you start sending some mail and have a few of the local wholesalers evaluate some of the deals you have potentially they will be willing to help you. Remember there are tons of newbies wanting to start but talk and never take action. Investors love having newbies start as birddogs, and that would be a great way to start.

      Start slow and that mentor will find you.

      “Enjoying the Journey”

  2. Marcus Maloney

    Kevin,

    As I told Larry it is difficult finding a mentor, a good way to start is Google “sell my house ___________(your city) and you will find those who are doing deals and not the coaches that’s selling programs. Investors love to have deals come to them and birddogging is a way to learn and make some $. I wrote an article about birddogging and the benefits links below, hope this helps. It works this was how I got started.

    https://www.biggerpockets.com/renewsblog/2014/04/04/warning-newbies-stop-wholesaling-now/

    “Enjoying the Journey “

  3. Augie Cabral

    I am new to this site and a new RE investor. I have had one rental in the past but just sold it for a big profit to help with a DP for our next home. I currently have another job, and make good money, and plan to use that money in my RE deals on the side. I am seeking a mentor and recently came across Renatus. Its an educational platform that also offers mentorship, weekly meetings and saturday workshops. There is also an mlm aspect to it, which I am certainly not interested in. I am planing on joining for the experience, education, and mentorship…not the MLM!

    My question is two fold.

    1. They are very big proponents of starting an LLC or S-corp for tax reasons, so as to be a “business owner” and get the writeoffs, ect.. Is this a key to being fiscally smart in REinvesting?

    2. What if anything does anyone know about this company?

    I am a highly actionable person. I am not a sideline RE investor “wannabe”. So I am extremely motivated, just inundated with so much information

    Thank you!

    Augie

  4. Lisa Phillips

    I say check out what a person puts out. If a person you are interested in coaching with has written a $20 book, or has a lower cost educational tools (free videos, online courses, etc), view their content then decide before making a big purchase. This is definitely the age you can more than test drive material (some people are giving away the house for free). Ive recently purchase coaching myself in business (not real estate), but I was able to see their blog content first, so I knew EXACTLY what I was paying for, so I was very confident that their program, if expensive, would deliver on the results. The research and the outcome has more than paid for itself, so I am definitely big believer in paying for good people who show you what they are capable of then deliver on that promise.

    For all newbies – leverage the internet and freely available information to determine if this WOULD be a good fit, then feel confident and go forward. A lot are on here where you can see their content first.

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