1st Timer
Hello all. If anyone could suggest a way to shake the fear of the first deal I would appreciate it. My wife and I are a little scared to pull the trigger even though the numbers work and the property is good and even financing is ok.
If you keep doing what you've always done, you'll keep getting what you've always got. --Robert Kiyosaki
Greetings Mark,
I’m no Guru, but the only way I know is to "just do it". BUT, you may want to post all the details and particulars of your deal on this site. The people here will give you all kinds of great feedback, and offer suggestions and ideas. If nothing else, it may help confirm that it really is a good deal, and give you a little moral support.
Good luck!
Don't invest money that you're not prepared loose.
If the numbers and the financing are truly "good" then you should feel good! Ask yourself, "What do you and your wife think would be the worst thing to happen if you did the deal?" If you can live with it--do it.
Most people have that lump in their throat on more than just the first deal. Good Luck.
Dave
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Heres a suggestion. Go to your local RE investors club. Mention the deal to someone else and let them do it. Then you can spend the next 6 months kicking yourself in the pants that you didn't do it. Then, the next time a good deal comes along you will be better motivated. (or you will cry in your beer that its not as good as the last deal.)
Just do it.
I've found a couple beers prior to signing calms the jitters without impairing your thinking. :-o
Seriouly, post the numbers here and let people with lots of experience confirm your analysis (or find things you missed). At worst, you'll learn something and this 'good deal' won't look so good. At best, you get affirmation.
Once you find the numbers work on a deal, figure out the worst possible thing that could happen (vacancy, T/B walks, accident, fire, etc.) and see if you can handle it. If not, maybe you should look at a different exit strategy (wholesale instead of rental, retail instead of L/O).
If the numbers work, go for it. And, keep updating your exit strategy because things change.
Peter
I would agree with the posts here you should post the deal here for the investors to give you feedback. First timers tend to cut deals closer to the edge like raise rental return and underestimate vacancies and no allowances for management fees etc. That can change a good deal to a bad deal in a hurry.
Wishing you positive cashflow!
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