My Conscious Endeavor

Instead of going to the retail booksellers for a copy of Dean's book I ordered his latest from the website, and I'm really glad I made that choice because I got another of his books for free along with some other valuable information. The first step of many has been taken on this road to success.

It's exciting. I've wanted to do this for a long time. Instead of talking about what I lack I will say instead that I have a desire to learn and a willingness to apply that knowledge to achieve the results I desire. Life lived this way really is a grand adventure, and I can barely wait to see where it will take me next.

The added benefit of having the books available for immediate download is fantastic. I can easily have the pdf's converted for my e-reader and I'm a pretty voracious reader when it comes to something I'm interested in. It wouldn't surprise me if I have them read by the time the physical copies arrive.

Welcome to the site. There is a lot of great information here. If you have questions, just go to the search box under Dean's head in the banner above. Then hit "enter" as the magnifying glass does not function. Enjoy.

congratulations on starting your journal and taking your first steps towards your rei goals. This is a great way to keep you motivated, and you will enjoy seeing all the progress you will make by reading back your own posts.

DG books are the best! I keep referring back to them.

wishing you great success,

Valerie

I logged on this morning to post an update and found four replies from good people who took a few moments to encourage me. That means a great deal that people you don't even know would take the time to offer a welcome and some kind words.

My reading began with Your Town, Your Real Estate Profits. I put the ebook on my reader and dove right in. I'm well into Chapter 3 right now. The Seven Levels exercise is something that can really help a person get clear on their purpose.

I've also been watching Dean's videos on the Rock Bottom Blueprint, and I have to say that the man has a knack for providing information in a way that is not only uplifting but entertaining. He even cooked in the third video!

Tomorrow is the 1st of August, so today I'm going to dust off my planner and work some toward getting organized. Structure seems to work best for me and keeps me on track.

Congratulations on taking your first steps.

I was curious as to what .pdf converter you use? I have a Kindle. Although it will read .pdfs it's just not the same as a document that was formatted specifically for the Kindle. Thanks for any info you can share.

Sounds like you're doing great and headed in the right direction. I look forward to reading more of your posts.

Take Care!

Yes,it is a Kindle. I was a little nervous about mentioning the name and breaking any rules.

The converted documents are a little different than ones formatted especially for it, but most of the time it's just an omitted or misspelled word here or there and I find that my brain can usually fill in the blank. I wouldn't trade mine for anything.

Thanks for the welcome, Mark!

It's amazing what one can accomplish just by taking action.

Today I spent some time looking at listings in our local trade paper and even made a couple of phone calls. After that I spent some time looking online at one of the properties I had inquired about. Using Google Maps I was able to view not only the home but take a virtual tour of the entire neighborhood.

The next thing I know I'm looking up crime statistics for the surrounding area and seeing what I can find out about the property on a couple of sites. My research uncovered a similar size home within a couple of blocks and allowed me to obtain a general idea of market value, which is about 15k above the asking price of the home I'm looking at.

Whoa! Wait a minute! Is this me? Here I am, with no REI experience whatsoever, and accessing this information and THINKING like an investor. Just the few pages I've read from Your Town, Your Real Estate Profits have already begun to take root. That's very encouraging.

I'm going to do some further reading before bed and call it a day. Up early tomorrow.

It seems perfectly normal to me that a person would have a belief that without money or excellent credit it is impossible to begin a career as a REI. What I'm learning is that the simple act of changing our beliefs can tap an amazing level of confidence that we never knew we had.

After I write this post I am going to begin to prepare a little package to present to those who might be able to assist me with short-term funding for my goals, and as I sit here this morning I am 100% confident that I am going to receive the funding I need. My beliefs are beginning to change, and I can attribute a large part of that to the motivation gleaned from Dean's books and videos.

This journal is mostly written for me; I freely admit it is a somewhat selfish endeavor. What I wanted was something to keep me on track and a reference point, something I could look back at and review my progress. I understand that it will be read by others, however, and what I am about to say now is really meant for them.

For years I watched a ton of infomercials about investing in real estate, many of them Dean's. When I watched I would be super-excited, really caught up in the moment, but when the end of the program came and all that remained was dialing a phone number I either convinced myself that I didn't have the money or, most of the time, that all infomercials were bunk. My belief system just wouldn't let me accept that this was for real and that these systems couldn't possibly deliver on what they promised. When I finally was able to overcome a flawed belief system and move forward I experienced a profound realization. The value in Dean's material for me has been that it has prompted me to take action. It really can be summed up that way. So, I say to anyone who relates to where I was at ask yourself this: Even if you never bought or sold one piece of real estate but were motivated by the material to take immediate action to improve your existence wouldn't that be worth the small amount required to buy the books? It was for me. The Catch 22 is that taking action will indeed make me a successful REI, but I could just take what I've gained right now and it would still be worth what I paid for it because it has helped me to start thinking differently and tapping my own self-confidence.

I know that was long-winded and I probably rambled, but I think you know what I was trying to say.

Ever forward....

Yesterday I went into Bossier City to take a look at the property I called about on Sunday evening. The home is definitely a rehab, 2br/1b, and is pretty much just a shell. It looks as is someone began the remodeling project and abandoned it.

My major concern with the property was some evidence of termite damage. Two small sections of facing were so rotted out that you could pull them off the house. Mmmmm?

A second call to the owner was made today and I inquired about the damage. He told me that the problem had been pine beetles, but that measures were taken to eliminate the problem.

I came away from the experience somewhat wiser. The first thing I came to accept was that I would NOT pay anywhere near the asking price and discovered that I have the will and confidence to negotiate for the price I am willing to accept. Being the first property I've really looked at I realized that I needed to be careful and not sacrifice business sense in favor of enthusiasm. If it's not a good deal I can accept that and move on.

As a result of this visit I also began to form ideas about my team, and realized that I had contacts already that I didn't even realize I had. One of my poker buddies is actually a real estate agent. I hadn't even thought about that,and promptly made a call. It then occurred to me that it might be possible to utilize the services of a pest control service that offers free estimates in order to get a more reliable assessment of possible structural damage. I'm not saying that I distrust the seller. This just demands diligence.

Some might ask why I'm even bothering with this particular property. Two reasons, really. By going through the various processes involved in making a deal I'm getting an education. If there is structural damage I can easily walk away from it. In the event that we are just talking about a couple of rotted boards then I'm actually in a pretty good spot because a lot of the rehab is work I can do. The bottom line is that I feel like I am taking control of my life path. I'm driving the car.

At this point it is all about taking action and building momentum.

Wonderful start to your journal!

This is such a good way to keep yourself motivated and accountable. And believe me, this time next year when you go back and read it you will be so surprised to see how far you have progressed!

May I make a suggestion? It would be wonderful if you would fill out your bio telling us a little about yourself, such as where you are located, etc. That way when you have questions, etc, we know where you are, because some things are more effective in certain areas than others.

You are off to a great start! Keep it up and keep involved on here. You will find that you will make some amazing friends here. And I mean REAL friends. It is AWESOME! The support will carry through to succeed.

Karen

Karen, thank you for your suggestion and warm welcome. I am going to take action on that right away.

It truly has been inspiring to interact with the good people here and, as I mentioned in another post, being involved adds to that feeling of momentum and moving forward.

Thanks again!

The story is told of an old Indian chief from a plains tribe who was taken to see the ocean for the first time. When he arrived, the old chief waded into the surf and asked for a quart jar which he promptly filled with brine. When asked why he replied, "My people have never seen the Great Water."

Putting a limit on what you are able to accomplish if you truly believe and take action is like trying to capture the ocean in a quart jar.

Good morning, DG Family!

My phone rang shortly before 11 a.m and it was my friend who just so happens to be a real estate agent. We had a nice long conversation and I just took the opportunity to tell him what my plans are for REI. You better believe I was very thrilled when he got on board immediately and began to offer helpful advice.

First he told me that he would have his wife, also an agent, do some research on the FMV of homes similar to the one I've been looking at. Then he went one better. "I'll be glad to come out there and look at it with you to help you get an idea of what your rehab costs are going to be," he told me.

The conversation just got better from there. He told me that he would have his wife keep me up to speed on what he called the "hot list", or homes that have just hit the MLS, and keep an eye open for the kind of deals I'm looking for. This is all happening so fast.The agent was also able to give me a good referral for a real estate attorney.

Everything is falling into place just like Dean describes. Here I am, putting my team together and taking action. This is going to happen for me. It is really going to happen.

My education is continuing also. I've finished about half of Your Town while waiting for the physical copies of my books to arrive.

It has been so blasted hot here...108 in Shreveport. I can't ever remember that happening here. In fact, that just might be the hottest day I've ever experienced. Whenever you come in from a heat like that you're just drained. Time for me to rest up now, catch a few pages of Your Town before bed, and get ready for an exciting day tomorrow.

What a great day. I just received an email from my real estate agent:

Hi Scotty, I did a CMA today and found some homes in the same area with 2 bedrooms
and 1 bath that have sold over the past 9 months. Based on the average price per sq
foot that they sold for and on the fact that all of these were in very good shape, remodeled,
nice appliances, etc. the home you are looking at on Garden Street should be able to bring in about $600 -
$650 rented per month. This would be after you make repairs, new appliances, etc to the
house. Al said it is in need of a lot of work so I would say that $20,000 - $22,000 would be a
fair price to pay.

The homes I used to base this information on are as follows:

1. 629 Garden St - sold 6/11 at $28,000 with a 2/1 and 900 sq feet - it had been
renting for $650 a month.
2. 2318 1/2 Walnut - sold 6/11 at $38,280 with a 2/1 and 1025 sq feet - has been renting
for $550 a month.
3. 2611 Hoyer - sold 10/10 at $44,000 with a 2/1 and 994 sq ft
4. 1308 Delhi - sold 3/11 at $55,000 with a 2/1 and 1054 sq ft

I would say if you can get the home for $20,000 to about $22,000 it will be a great deal
and you will have it paid for in just about 3 years if it just rented for $600.00.

How awesome is that! It took one telephone call to begin my relationship with the agent and get this great information.

So, as of today it has been 8 days since I joined the site and 6 I think since I ordered the books and I am making my first offer on a piece of real estate.

The strategies work!!!!!!!!!!

The past few days have been a bit of a challenge. My attempts to gain funding for the down payment on the deal I was working on have been unsuccessful,and the seller is not returning my phone calls. This created some discouragement, but this morning I am moving on. There are more deals and more sources of funding.

Yesterday's mail brought a pick-me-up; Dean's books arrived. I got them yesterday afternoon and didn't really have a chance to look at them until this morning. I'll watch the DVD first, as instructed.

Back to work, as the saying is, but for the first time I can truly say it doesn't feel like a grindstone.

Scotty,

It's great to see the steps you have taken so quickly in just over a week, it is motivation for me to go even faster as I just started yesterday on the 30 days to quick cash deal and I want to work 24/7 to get more done faster. Congrats on finding a good realtor who you already know.

Jeff

Good luck to you, Jeff. I've learned you can indeed make things happen very quickly if you will just take action.

I am honored to have motivated you on your journey.

You're making very good progress in a short time...keep it up.

Is your REA friend and wife also investors? If not, why not? ask them

Ask them about their pocket listings

double check his rehab cost by getting 2-3 estimates from licensed contractors

use the offer formula listed here on DG(you can find it by typing 'offer formula' in the search box, top left, and hit enter

Thanks for the valuable input, Mike!

It's neat that you mention the offer formula; I just read that section in Profit From Real Estate Right Now.

I will definitely use these questions as I evaluate real estate agents as potential members of my team.

5:25 a.m. on a Friday morning and here I am at my computer with a nice cup of coffee and my copy of Profit From Real Estate Right Now.

This book has been very helpful in taking me step-by-step through this process. It really is like having that recipe Dean talks about. I'm one of those guys who can hardly wait for the finished product, so I have to remind myself to take care with the ingredients and not miss anything. One step at a time.

For a couple of days this week I was flat on my back; I took a nasty spill on our porch and banged my knee up a little. Of course, this just gave me more reading time and also some time to think about where I want this journey to take me. Doing that clarified one ultimate goal and a time frame for accomplishment.

I want to have a net worth of $1,000,000 by my 50th birthday. October 15, 2017 is the day. So, I have a big target and ample time to get there using these techniques.

On my action list for today is to research marketing options for a voicemail service for recorded messages, craft an email for potential real estate agents, and approach a friend about short-term funding. There are also some properties I want to look at on Craigslist. I also want to finish my first read of PFRERN this weekend.

Yesterday I awoke with the intention of continuing to pursue funding for the deal I have been working on for a couple of weeks. My list of prospects had only one name left on it. For the purposes of this post we will call him "Uncle George".

I called Uncle George in the early afternoon and laid out the scenario I had in mind--a six-month personal loan at 20% which would be used to make the down payment on this FSBO. I also had all the figures from the agent I've been working with which substantiate the FMV of the property once the rehab is complete and also how much it can be expected to rent for. Uncle George is a businessman and I thought he would appreciate an opportunity to make a greater return on his money than he could in a bank. I was right. Uncle George told me the only problem he saw with the scenario was that there weren't five more in the same neighborhood I could buy. I thought I was going to explode. He was willing to make the loan.

Then we hit a small snag. As I said, Uncle George is a businessman. He wanted me to secure the note with some type of collateral, and I own so very little. There was nothing I could envision putting up which would satisfy this requirement. He told me to think about it and call him back.

About two hours later I called him again and said, "Uncle George, I think I have a solution. Don't laugh when you hear it. I've been laughed at before."

"I'm not gonna laugh, Scotty. I've been laughed at too, but those who did the laughing are crying now."

Uncle George told me the only thing that would make him laugh was if my solution involved a certain part of my anatomy and a jar to keep it in. I told him I didn't think it would come to that.

"Uncle George, I don't own much of anything. What I do have is a back...a strong one. My back is my collateral. I'm willing to let you have it for labor on your farm for two days a week completely free until the loan is repaid. Now, if I gave you some piece of collateral you'd just wind up giving that back because I will pay this note. This is collateral you get to keep, and you still make 20% on the loan. If that doesn't work then I've got the (body part) if you've got the jar."

Uncle George was silent for several seconds. I was beginning to think I had lost him. Finally, he spoke again.

"Scotty, I appreciate your willingness to do that. Right now it's all I can do just to keep the workers I have busy and come winter time there just won't be enough work to do."

I was deflated. It was the only solution I could think of and he turned it down. I was about to thank him for his time and consideration when he started talking again.

"I'd rather do it this way. See if the owner will take a cash buy for the whole amount. That way I can just hold the mortgage and you can pay me. Of course, I'll have to make some money in the deal so we'll have to figure in interest."

I was dumbstruck. Instead of loaning me the money for the down payment Uncle George was offering to float the entire deal. I told him I would contact the seller immediately and make the offer.

When I got the seller on the phone I told him I was willing to purchase the home for $21,000. He had asked $39,000. The FMV of the home once the repairs are complete (which are minor) will be approximately $55,000 and the numbers suggest a rental rate of $600/$650 per month. The seller told me that he had just spoken with someone who had offered $19,000 and was going to take it. I asked him if they had signed a contract. He said no.

"Well, I am willing to sign a purchase agreement immediately and I have cash to put in escrow on Monday morning. Are they willing to do that?"

He thought about it and (unbelievably) asked if I would do $22,000. Hahahahaha! What that was all about I have no idea but I chalked it up to him needing to feel like he won in the deal so I said yes.

We are meeting at noon today to lock it up on contract!!!!!!!!!!!!!

If anyone is reading this who is so close to taking action but is hesitating, wondering if these things Dean teaches really work, I say to you that they do indeed. You just have to be willing to take action and do whatever it takes to create that better life you deserve.

That's awesome to have a relative that thinks outside of the box like that!

I was curious, you didn't mention what line of work your uncle is in. If he's a contractor or something similar maybe you two could work out a deal where you find the killer deals, he finances and his workers rehab the places.

Keep up the great work!

Actually, he's not a blood relative. But he's kinda like that proverbial rich old uncle...lol.

He is actually a cattleman, but the great thing is the area where we all live just happens to be sitting on the biggest natural gas shale in US history. With over 600 acres of producing land, Uncle George has made a lot of money and had been actually looking at real estate as an investment. When we talked he told me he knows nothing about it so I'm hoping the things I am learning can profit us both. I'll supply the know-how and rehab and he can supply the cash.

The thing is, Mark, I never would've even thought like this if it had not been for Dean.

Just wait until you read my next post!

Not fifteen minutes after that last post I was sitting in the kitchen and in walks my girlfriend Sharon with a real jaw dropper. About a week ago I had sent a proposal to a friend of hers about a short-term loan for funding. He did not respond so I just dropped it.

This morning Sharon saw him and he asked her what the deal was. He told her that on the day I had left the proposal for him he had forgotten his glasses and couldn't read it then had forgot to take it with him when he left our barn (this fellow helps us with our horses on the weekends and that's how we communicate--by leaving messages for one another in our feed room).

She took my proposal back to him and without even looking at it he said YES!!!!!!
Another $3,000 in funding just because I had the courage to ask.

So, change of plans. I'm going to hold off on that contract because instead of settling for what I had the means to get I now have the ability to evaluate better properties because of my increased capital. I'm going to be very thorough and diligent, but I could still lock up the property I was looking at and assign it.

This has been the best Saturday morning ever.

keep up the good work - you're well on your way!!

BTW 'Uncle George' had the idea of protecting his interest- you could always offer a 1st place mortgage position for the amount to PML

Due diligence has prompted me to pass on the first deal I considered. Further reflection has allowed me to determine that the rehab costs are going to be far more extensive than I anticipated in my initial enthusiasm. At the end of the day I just don't think the profit margin I'm looking for is there, so I'll pass. There are also some other concerns which would prohibit my desire to attempt to assign the property. At any rate the evaluation of the property was a superb education.

The upside--and there is PLENTY of upside--is that I know I can access some funding for my deals and that I have the confidence to proceed.

I'm almost finished reading PFRERN, and about halfway through Your Town. My intent now is to focus on the specific action steps given and keep moving forward.

It's been right around two weeks since my last post. That's too long, really. My journal is a tool to keep me focused and on track, so I need to do a better job of updating.

In the interim most of my focus was centered on finishing a first reading of the books. Only a few pages remain to be read of Your Town.

Today is Monday so I'm thinking that a good idea would be to map out an action plan for the week, and I'm going to begin with the steps Dean outlines in PFRERN.