Sam and Frank dream of financial freedom through real estate. They’re both about the same age and have similar house, families, time, and economic resources.
One evening they both decide to attend their first real estate club meeting. They quickly become convinced that investing in apartment buildings by raising money is the way to achieve their financial goals in 3-5 years and quit their jobs.
After 12 months, neither of them have a deal or any money raised. On the surface, neither of them have made ANY progress whatsoever.
But remarkably, 6 months later, Sam does his first deal: a small 15-unit building about a 3-hour drive from his house. He was barely able to raise the $100,000 he needed to buy the building, and it looked a bit dicey a week or so before closing because one of his investors pulled out at the last minute.
Nine months after that, Sam closed on a 56-unit deal, which required $750,000 in investor capital to close.
An overnight success.
How to Purchase Real Estate With No (or Low) Money!
One of the biggest struggles that many new investors have is in coming up with the money to purchase their first real estate properties. Well, BiggerPockets can help with that too. The Book on Investing in Real Estate with No (and Low) Money Down can give you the tools you need to get started in real estate, even if you don’t have tons of cash lying around.
What About Frank?
Frank still has a good job he doesn’t like very much, but he’s comfortable. He attended several more boot camps and even signed up with a coach. But after 18 months, he STILL didn’t have his first deal or raised any money.
Because he never took action. And I’m not talking about MASSIVE action. I’m talking about TINY action.
Here’s what I mean:
After attending the real estate club meeting, Sam decided that he needed to make time for his real estate investment goals. He decided that he would watch 30 minutes less TV before he went to bed and instead listen to a real estate podcast or read a book.
Frank did not make a change to his leisure time.
After 3 months, Sam watched another 30 minutes’ less TV, and after 9 months, he found he had no interest in watching TV at all. Instead, he was voraciously consuming all he could about real estate.
Sam was offered a promotion at work and was thrilled. But he thought about it and decided that the extra responsibility would give him less time to learn about real estate, and so he declined.
Frank, too, was offered a promotion and is now head of his department. But he works 10 hours per day, takes work home and travels 2-3 times per month.
Sam bought a notebook and wrote down the next 3 things he needed to do. They were normally simple things, like “Read 10 pages of this book,” “Call a friend and tell him about my real estate investing,” or “Attend the real estate club meeting this week.”
Small things. Easy things. Things that ANYONE could do without trying very hard and without any kind of big sacrifices.
Just three things.
And then he would cross them off and add three new ones.
After 6 long months of doing this every day, he looked up and was surprised at the progress he had made: Brokers were sending him deals; he had spoken with about a dozen potential investors; he had analyzed close to 25 deals and made a dozen offers. But he was frustrated that he didn’t have a deal or had raised any money yet.
Frank wasn’t any better off. He didn’t have a deal, either.
But he also wasn’t tracking his next three to-dos in a notebook, either. The whole thing overwhelmed him, and he didn’t know where to start.
What About You?
Are you like Sam or perhaps a little more like Frank?
How are you doing with your goals for this year?
Is it possible that you’re not on track because you’re too busy? Don’t know where to start? Or overwhelmed by the whole idea?
Related: Why the Small, Seemingly Insignificant Actions You Perform Daily Are VITAL to Your Success
Then may I suggest that you start by taking TINY action.
Not MASSIVE action. While this is widely taught, it only works for something like 9% of the population.
TINY action is doing TINY things each and every day until they produce MASSIVE results some time in the future.
What TINY action can you take?
- Could you carve out an extra 30 minutes per day to dedicate to real estate?
- Could you buy a notebook and write down the next 3 things you should do next and do them?
I guarantee to you that if you do these two TINY things each day for the next 30 days YOU WILL BE AMAZED AT HOW FAR YOU’VE COME.
What small actions do you plan to take TODAY?
Try it. And let me know how it goes.