Good deals don’t just land in your lap. Finding good deals is more like a treasure hunt. You have to turn over dozens and dozens of stones before you find a hidden gem.

Periods like 2008 – 2011 during the Great Recession are the exception to this rule. The treasure hunt for real estate deals was much easier then. Warren Buffett in his 2016 letter to Berkshire Hathaway shareholders described this period nicely

Every decade or so, dark clouds will fill the economic skies, & they will briefly rain gold. When downpours of that sort occur, we must rush outdoors carrying washtubs, not teaspoons

Here is an excerpt from Dave Ramsey

Dave Ramsey, “HIRE” a real estate expert (agent), buying for the right (low) price, & do NOT believe what you see on HGTV

“Flipping a house means you purchase it, make updates & improvements, and then sell it—all within a fairly quick amount of time

When flipping a house, remember that the key is to buy low. In most cases, you can’t expect to make a decent profit unless you’re really getting a great deal on the front end. Before you jump into house flipping, talk to a real estate agent about the potential in the local market

Flipping houses isn’t always as glamorous as the HGTV shows make it seem. If you absolutely love hands-on work, then have at it! But make sure to budget plenty of time and money for the process. Updates & renovations almost always cost more than you think they will

I was taught the following phrase from one of my newer investor clients – “Pigs Get Fed, Hogs Get Slaughtered”. Build your team, feed your team & your team will feed you

Real estate is a team sport, & you are the leader of your team. You don’t necessarily need employees, but you will need independent contractors & advisors who can help you in their areas of expertise

Building a real estate team is a important

“Inner Circle” – your personal, closest team members
– Spouse Business partner
– Mentors / personal advisers
– Licensed Realtor who preferably is an investor/Licensed Realtor who specializes in working with investors

“Support Circle” – your fiduciary or critical relationships who help you with important, ongoing tasks
– Property manager (if applicable)
– Attorney specializing in real estate or business
– CPA
– Lender(s)
*Mortgage lender – for long-term financing
*Hard money lender – for short-term financing
*Private money lender – for flexible, short/long-term financing

“Service Circle” – functional relationships for tasks you’ll need for your investments
– Closing agent/title company
– Home inspector
– Electrician
– Plumber
– HVAC technician
– Handyman
– Painter
– Yard service
– Pest & Moisture control
– General contractor (for bigger remodels/pulling permits)

Roland Kier
CEO – America’s Best Smart Realty
Principal Broker – Georgia/Florida/Alabama Markets
roland_kier@americasbestsmartrealty.com