As I took a right down on to Main Street, things began to look eerily familiar. The three family property to my left had boards screwed onto each window. A similar property just up the street to my right had fallen onto the same fate. As I took a right on to Harvard Street, I saw a six family with the same style windows. I was just following an old route that I had traveled many a time as a young investor as I attempted to get to Easton, Massachusetts.
Since I live to the east of Easton, the only way to get to where I wanted to go…a pastry shop….was to go through the city of Brockton.
Although I still own a few small properties in this city, holdovers from days gone by, most of what I bought had been converted into bigger properties in other parts of the country. For many years, I traveled from my home to my office in Brockton. I spent my days going from property to property either looking at potential deals or looking after deals that I had added to my portfolio.
With the upgrading of my portfolio and the purchase of an office building in another city, my daily travels through Brockton started to become very sporadic.
On this particular day, it felt like I was going through a déjà vu experience. The more I drove, the more boarded up houses I saw, single family, multi-family and a few businesses here and there. I felt like I was back in 1997 when I bought my first property here.
At that time, the northeast was just starting to come out of one of it’s worst real estate down turns in it’s history. Those were the days of the government controlled RTC auctions. Property were going for prices that had not been seen since the seventies.
I started scooping up three to six unit properties, not because I saw a huge opportunity in front of me, because I heard that multi-family properties not only pay for themselves….all of their operating and management costs but also give you money each month that you can put in your pocket….I liked that idea!…and the bonus was, the tenants paid the mortgage for you each month and you ended up owning the property free and clear!
So I started buying, and when I realized it was true!….I started buying more!! Within a very short period of time, I owned a bunch of small three to six family properties that generated an income of over $10,000 a month positive cash flow and that changed my life dramatically!
As I sat in my BMW driving through Brockton, I realized if I hadn’t taken that risk back then, if I hadn’t taken that first action, I probably would not be in a BMW. I think back to all the places I’ve been able to visit in the world, all the things I’ve been able to do with my family, all the different places that I was able to give back and make a difference, and it all started because back then, I took an action.
I bought one small property and it gave me the confidence to buy another…and then another…and then another. Back in 1997, that was my time.
That was my time to break free of the grips of poverty and mediocrity that had strangled me for most of my adult life. It was my time to step forward and take advantage of a situation that I wasn’t even smart enough to know existed.
I just knew that I could buy those properties for below replacement value, using other peoples money and they cash flowed….and that was my formula for success. Now it’s your time. It’s your time to recognize the opportunity that exist before you.
Realize that it has a limited life span. Go out and obtain all of the knowledge you can in the shortest period of time and begin to use that knowledge.
Slowly at first, get comfortable with doing something new. Take small steps, start to create a new routine in your life.
That is the routine of success.
When you start to do something new, it’s uncomfortable, frightening and fear comes into play. Your mind rationalizes why you don’t have to do something instead of taking the bull by the horns and doing it.
Actually, most people do not go forward and succeed because they feel that the task at hand is overwhelming. Break it down into little steps, commit to analyzing three to four deals a week to get comfortable with the process. Commit to talking with two new brokers a week, to realize that they are just people too and they don’t make money until you buy something….they need you!
Commit to making a little bit of progress each day and before you know it, two years will have gone by, you will own over 12 properties and you life will be cash flowing like it never did before. These are the “good old day’s” that you’ll be talking about five years from now.
This is your time, don’t let anyone tell you that it is not. It’s up to you to take advantage of it…..or sit on the sides of the road with all of the poor soles that say “I could have” …” I should have”….the time is now! Do it NOW! This is YOUR time!!!
David Lindahl, also known as the “Apartment King” has been successfully investing in single-family homes and apartments for the last 18 years. He is the author of four popular, money making home study courses “Apartment House Riches”, “How To Estimate And Renovate House For Huge Profits” “Managing For Maximum Profits” and “The Real Estate Investors Marketing Tool Kit”. Click here to receive a free copy of his latest free book ” A Complete Guide To Making Money In Real Estate In Your HomeTown”