Strapped for cash!  Economic uncertainty!  Fear of the unknown!  These are some of the emotions that govern the thinking of most people today.  Nonetheless, the fact that real estate investment is still the smartest way to achieving financial independence remains irrefutable.

Wasn’t it Carnegie who originally said to “get aggressive when everyone is fearful, and be fearful when everyone is aggressive?”   Recently Warren Buffet was quoted as repeating the same adage.  If these famously wealthy businessmen agree to that strategy, then one has got to get busy now!

Earlier this year I was in San Francisco and saw a billboard.  It read:  “Bill Gates stared Microsoft during a recession.”  Are we seeing a trend here?  It would seem that the most successful see opportunity where others see peril.  Are you programmed like these entrepreneurs or are you like the majority of the world’s population…motivated by emotion?  If you feel you are in your element with these great history-making men, then you likely see that we are at the right place to create wealth in this housing value decline.

More pointedly, I believe we are facing the perfect storm for cash home buyers across the United States.  The secret is out and many Europeans, Asians, Middle-Easterners and others have recognized that America is on sale and they are already scooping deals on our home turf every day!  So, to answer the question at the top of the page:  Yes.  Only IF you see the “glass half full.”

Before embarking on any business venture it is always wise to do your research, set a mission statement and plan of action.  Before that, though, one must do some soul-searching in order to determine whether he or she is proceeding with the mindset of the great entrepreneurs or plagued with the typical negativity of the general populace.  Make sure you have a clear vision of the opportunity and determine to KEEP that vision clearly in mind.  Maybe even write it down and hang it on your refrigerator door, but do it.

It is imperative that a new real estate investor seek the right groups and networks in order to conclude deals with ease, moving quickly onto the next one.  A website you can check out is www.invesdoor.com for an example of a reputable group.  They have an extensive buyers list from all over the world and independent territory managers nationwide.

Another factor that has played into the success of most if not all wealthy capitalists is having a mentor.  There has usually been someone behind the scene coaching and leading by example.  Ask anyone who has done something of high significance and they will likely tell you of those who inspired them.  The REI market is no exception.  We all need a mentor at some point.

Unfortunately, there is no end to the “gurus” wishing to sell us some “program” for a lot of money.  In reality, their responsibility ended when your payment was processed.  In my opinion, it is best to find a mentor willing to teach you and then partner up with you for a time, splitting the profits off each deal.  That’s what your business will need entering the uncertain market conditions of the future.  So cheer up!  Do some self-analysis and adjust your thinking to “positive.”  Opportunity is knocking.

For That to Happen, Somebody’s Got to Lose Money.

At times I am amazed when I analyze the simplicity of real estate investing. We often refer to it as “REI” and in my real estate investment mentoring program I constantly try to keep it as simple as possible. From the real estate investment expert to the sincere student of real estate investing for beginners, all must recognize the “see-saw” of equities that takes place in each transaction.

With the dust settling from the events of the last 2 years, it is evident that the average homeowner cannot afford to withstand the huge debt-to-value ratio that so many are faced with. Still today, there are fully 1 in 4 families that are “upside-down” on their mortgage debt due to the dramatic shortfall in home values. Everybody needs a place to live and not all houses will end up investment properties to rent. Many families see the advantages of homeownership and have opted to do what they can to retain their status as home owners.

Foreclosure is still a very bad word and worth avoiding if possible. Nevertheless, is it really prudent to keep the debt by just massaging the monthly payments a little? Many Americans have seen the folly in that and have chosen to let their lenders carry the burden of the imbalanced debt against their homes.

The preferred option in this case is the short sale. Short sales are becoming very popular since both the owner and lender can cooperate together to avoid foreclosures. The banks are benefitted greatly since they are not faced with vacant REOs that often get vandalized in the process. They usually get much more cooperation from owners and tenants when a short sale is being executed.

Many real estate investors who buy foreclosures are now turning their attention to short sales as the number of foreclosures drops and short sales become more plentiful. As I teach in my mentorship program, there is a clear psychology to each deal and when both lender and owner cooperate towards the same goal, good faith is generated and fewer losses are sustained.

So, yes. Somebody’s going to lose money along the way. However, the lender is more likely to come out of the crisis intact than the “average Joe” who must walk from their home due to the financial woes of this recession. As a result, some REI professional will be able to buy low what sold so much higher a short time ago.

Permit me to rant a little about something that absolutely “gets my goat.”  It is the ongoing real estate investment scam of the century.  From the late night infomercial to the “free” webinars, there are a plethora of programs for sale by people who had successes in yesteryear and want to capitalize on that while they rest on their laurels.  What I mean is, there are a number of systems, methods and techniques that may have yielded profits in past markets yet they don’t work now.  The problem is that hundreds of thousands of unwary, but sincere entrepreneurs are being sold a stale product that is hardly effective anymore.

The responsibility has to be jointly carried, though, as it stands to reason that if a product is touted as an “end all/cure all” REI program it should suffice for a while.  It is almost laughable how the self-proclaimed “Guru” will sell the public on his/her system as if there was nothing better, only to hit up their list 3 months later with a “new and improved” program that the REI home business “cannot live without.”

From the 1970s till the present, I have observed the tall claims that these guys make and watched a seemingly endless number of REI program “junkies” buy up their inventory.  Sadly, the term “junkie” is most appropriate as these folks are addicted to buying programs with little hope of any measurable result.  They just keep buying this stuff!

After over 20 years as a highly successful real estate investor, making millions of dollars in the process, I came to the conclusion that a change was sorely needed.  It had to be something so revolutionary that one would never have to buy another REI “program” again.  In late 2008 I established a company that integrated comprehensive training and coaching of student enrollees with a personalized mentorship to see each deal through to closing.  I recognized that the ONLY way a real estate mentor would be truly dedicated to his student’s success was if there was a vested interest in their business.

That was when my good friend and I came up with the “Mentor for Life” Business Plan.” With this plan each enrollee/student acquired an exclusive territory, much like a franchise.  Under this arrangement, each territory is operated as a private business, yet in joint venture with me as their partner.  This has enabled me to tap into the nationwide market by partnering up with my students in local territories around the U.S..

That was a year and a half ago.  Today, I am proud to say that I have assembled an awesome team of dedicated, principle-based experts that I work with every day to that end.  As a team, we have refined our online Training Center, and put on state-of-the-art weekly coaching calls that are designed around the current needs of our T.M.s around the country.  In fact, the entire team is available for T.M.s via phone and email, especially when there is a deal in the works.  Personally, I am available whenever a student has a deal to close.  We are just as motivated as they are to get it closed profitably!

I am proud to say that, in fact, with the “Mentor for Life” Business Plan there would be no need to EVER buy another REI program again.  Because we have the resources, we are constantly doing research and development into the market, designing ways to stay ahead of trends.  As a result we may alter methods from time to time.

As an example, take short sales:  Are any investors handling short sale business exactly like they did in early 2009?  Of course not!  Times have changed and so must we.  A wise man once told me that there was one thing in life that remained constant: Change!  I am glad to say that in my “Mentor for Life” Plan my team works hard to stay ahead of trends so that our TMs continue to receive fresh, timely ideas, methods and techniques that address today’s market climate, not yesterday’s “leftovers.”

With all of the half truths and false hopes being pushed by the nation’s REI scam artists, I hope this article has placed the REI industry in a new light for you.  If you like what you’ve read and wish to obtain more information on the exciting home based business opportunities in real estate wholesaling and investment, please visit: www.realestatementorforlife.com as soon as you have a moment.  I hope to hear from you soon.

In my many real-estate-investment-related articles, I have at times stated that we are faced with the “perfect storm” for wholesaling investment properties.  While the current state of the economy and housing market is prime for real estate investing, there is another factor that we have not yet considered.

I would like to address the present financial status of the many desirous of starting a home business in the real estate industry.  As many of my readers know, my company, Invesdoor™, came up with the “Mentor for Life”™ plan for entrepreneurs across the country.  Each week my team interviews scores of sincere entrepreneurs looking to break into the exciting world of real estate investing.

Historically, one had to have a huge “war chest” of cash and excellent credit to successfully accomplish branching out into this type of career.  What my team discovered is, that there are a plethora of very intelligent, motivated folks across the U.S. that are themselves victims of the economic reversal in the housing market.  Yes.  Many who are looking for a real estate mentor and apply to enroll in my mentorship are themselves ones who have suffered damage to their credit and possibly even lost their own homes.

That is why wholesaling is a prime avenue for newcomers into the REI home business arena.  In fact, you need neither a lot of cash or good credit to make a good living as a wholesaler.  Of course, real wealth will come through actual ownership of investment properties in time.  However, in the meantime, with the proper mentoring someone with neither a bunch of money or great credit CAN break into this industry.  I suggest a long-term plan, maybe 2-5 years if one wishes to become completely financially independent.  It is possible.  It is being done right now.

Certainly, without proper guidance, it’s not likely that it will happen anytime soon…if at all.  The key is first your attitude, then finding a seasoned mentor that you can afford with excellent teaching skills.  You can find self-proclaimed mentors anywhere, but do they really have valuable experience to offer and are they skilled in the art of teaching.  If you find a real estate mentor with those qualities you may have struck gold.

There are some factors, though, that you will want to be on guard for.  I will address those in my next article.

In my last article we discussed the importance of finding a real estate mentor with well-rounded experience and success, but also skilled in the art of teaching.  They would have to be patient, open-minded and innovative.

The word innovative is key when it comes to real estate investing.  This is because as the market goes through its cycles, methods and techniques must change.  What worked a few years ago just doesn’t apply now, period!  That’s why these “gurus” who claim to offer the “end-all” system for wealth in real estate investment make me laugh.  Actually, the laughing soon turns to nausea as I see a myriad of sincere folks flocking to purchase a “dead” program.

It is important you recognize that anyone offering a system that came from a different curve in the market may not have any value at all.  Successes from those days may be completely irrelevant.  That’s why I am an advocate of extreme creativity.

In my Mentor for Life™business plan my team works hard to stay ahead of the trends so I am able to keep fresh material and training in front of my students.  Many of the methods we use were not employed 12 months ago and many others will likely not be used 12 months from now.  Thus, if a mentor is not willing to change with the times, they are not a good bet and a pathetic waste of money.

In all actuality, one who sells a system from yesteryear is conducting a scam.  Each technique should have an expiration date on it, much like fresh food.  I doubt you would buy meat, dairy or produce that was 12 months past its freshness date.  If a Grocer was selling goods like that they would be shut down in a heartbeat!

Another feature that should come with a qualified Mentor is integrity.  It’s one thing to produce a bunch of content and yet another to care what’s being done with it.  What I mean is; a true “mentor” works to assist the student in each deal until they are completely confident with their new found skills.  They understand and teach the principles behind deal making and see to it that the student fully comprehends the philosophy.

Often, so-called “mentors” will simply provide materials and then it is up to the student to make it happen.  Understandably, without a vested interest in the student’s business it’s not likely that adequate follow-through will take place.  In my next article I will talk about some positive aspects of good real estate mentorship and where to find it.

“Mentor for Life”™ What a concept.  The mere title indicates that long after one is trained and coached in the desired career path, the Mentor is still available because he cares about his protégé.  In a moment we will discuss why this concept is so effective and how it is possible to achieve.

In my last two articles in this series we discussed the need to have a real estate mentor who is seasoned, a good instructor, innovative and full of integrity.  Now we want to examine if and how it is possible to have such a mentorship in the field of real estate investment.

Let’s face it:  When we talk about a real estate mentor we visualize someone who is 1) not a kid and perhaps 2) a multi-millionaire from his/her many successes in real estate investing.  There are so many scams on the internet that it can make your head spin.  That is one of the reasons I am so passionate about bringing some integrity to the profession.  My “Mentor for Life”™ business plan is just that means by which I intend to provide honest value in training, coaching and mentoring to the real estate home business person.

So what does it take to convince a highly successful real estate mentor to take you under their wing, so to speak?  It’s all about vested interest in your business.  Honestly, why else would someone with this kind of background practically adopt a student as if they are their own child?  It’s simple:  They are still a business person with a business mindset.  If they can have a number of students in multiple locations it would be possible to tap into many markets at the same time.  Even a little piece of the action represents a huge portion of profits if the protégé is successful.

Therefore, while training and coaching are essential, real mentorship involves concern about the outcome with the future in view.  This is the basis for “Mentor for Life”™ and itreally works.  You see, in this type of arrangement, each students maintains their autonomy as individual real estate home business entrepreneurs.  Nevertheless, they enter a joint venture agreement with the Mentor for all subsequent deals.

In my business, it has laid the basis for some very nice long-term relationships.  I like people and the team that we have formed is fun and inspiring.  Hey, sometimes one of my students comes up with an idea that I had never before entertained.  With this kind of synergy we have been able to move on to some bigger and better avenues of real estate investment.

Is this type of plan right for you?  More importantly, are you right for a “Mentor for Life™ partnership.  In my next article, as the final part of this series, I will run through some of the criteria we use to determine an applicant’s qualifications.

What an interesting question!  “Of course, I’m right!”  Well, are you?  Unlike the majority of REI programs for sale, “Mentor for Life”™ really only wants qualified applicants to enter their program.  Why?  Because,  it’s “for life.”

When I founded this company, Invesdoor™, I had already determined to surround myself with like-minded individuals who share my vision of business.  Right off the bat this eliminated anyone who was in any way greedy, dishonest, lazy, irresponsible or negative.

Now let’s dwell on the positive aspects of qualification.  Shall we?  It’s really very simple, actually, if you want a true real estate mentor with successful experience, teaching skills, innovation and integrity you must bring some positive qualities to the table for me to work with.

To begin with, nothing attracts people more than one’s ability to accentuate the positive.  I am a firm believer in having the proper attitude before launching a new career.  This will stem from a thorough understanding of the industry as well as general principles of business.  However, regardless of background, an enrollee must have the ability to consistently see the glass as half full whenever a situation appears incomplete.

Additionally, our approach to every endeavor must be with passion.  Passion is not the possession of everyone and if you tend to view things in an anemic manner I suggest you talk it over with one of my staff.  Passion is often an inherited quality.  However, it can be acquired through proper training & coaching.  Making the transition involves a shift in one’s paradigm or viewpoint.  This leads to a third attribute that we look for.

The third and last of this discussion is motivation which is evident in one’s willingness to follow direction and apply all that is taught.  After all, if we are going to commit to a real estate mentor program of some sort, we will want to be mentally and emotionally prepared to give it our all.  Now, doesn’t that make sense?  Why embark on a business venture unless we are prepared to take it to completion.

There is no “magic bullet” in real estate investing, even if you secure a costly mentor.  Every Mentor will expect this kind of dedication to the common cause.  If, however, you come aboard “Mentor for Life™ you will have already been screened and determined to be a good business partner in this exciting business of real estate investment.

It’s a sad scenario, but reality.  The Madison Avenue ad agencies have conditioned the American public to seek the “magic bullet” for everything.  From a stain on your shirt, to weight loss, to the world of investment….they make it seem as easy as picking up the phone and ordering a pizza!  This illusionary world has misled millions of people to miss out on real value.

When it comes to losing weight, is it reasonable to say that a certain weight-loss plan is ineffective because you know of someone who entered the program and lost very little, or lost weight but gained it back again?  It would hardly be fair to pass judgement on a program without knowing all of the facts.  How do you know that your friend actually DID everything they were instructed to do?  Maybe they chose not to follow the suggested exercise routine or they took in more calories than they should have.

Face it, there is no magic bullet.  The bottom line is, not just knowing but, doing. You can’t blame the diet if you don’t stick to it.  The same goes for real estate investing.  As a leading national real estate mentor, I know that if my students don’t do exactly as they are instructed, there is a good chance that they are wasting a lot of their time as well as mine.  In my company, the issue is compounded as I maintain a vested interest in all of my prodigies.  We are joint venture partners and if that student chooses not to follow directions closely, well, I prefer that he never enrolled in the first place.

The key is not to let the advertising world force us into their mold; one in which reality and logic do not exist.  Everything takes effort and the greatest achievements take a whole lot of effort!  I am glad that we have the screening process in place that we have.  Unless an enrollee possesses the right frame of mind: the mind of an entrepreneur, he/she is not invited to enter.

Even when one qualifies to join my company, Mentor for life!™ , the first few training modules deal with personal development and not the “magic secret  techniques of real estate investment.”  I would be derelict as a true real estate mentor if I expressed it otherwise.  I firmly believe that we either do it right or not at all.

With that said, I want to take this opportunity to denounce the myriad of “gurus” who are in the business of selling REI programs to the many unwary out there who actually believe they can become millionaires by owning another “program.”  Get real.  Hard work and the right mentor and mindset will help ensure success in business.  For everybody else, you may as well play the lottery.  The chances of success are about the same.

Anybody who’s been conscious over the last few years can acutely empathize with this situation.  Many sincere folks have been faced with some of the greatest financial struggles of their lives.   I am talking about educated, hard-working, intelligent people who have hit seemingly unavoidable fiscal impediments.  I have had the opportunity to meet quite a few entrepreneurs whose credit has been damaged from the U.S. mortgage crisis.  I have met others who simply have exhausted their savings due to job loss and other economic reversals.  Today, I want to discuss the options one in these predicaments may have that would enable them to start their very own real estate investing business.

It used to be that the term “investor” carried the connotation of a wealthy business person with a sizable cash reserve, and then came the 80s and 90s.  These were the days of the no-money-down strategies and over-leveraging of real estate.  Those times made it possible to take title to investment properties while banks would finance often at very high LTVs (loan to values) just to get the business.  By 2000, the market was clearly following an upward trend and Lenders were known to lend as much as 125% on a primary residence.  Wow, times have changed!

Not only has the scenery changed in the real estate investment market, but many have been left bruised and battered from the fallout of the worst crash since the Great Depression.  The question for today is: “How is it possible to still break into the world of real estate investing, either full or part time, without a war chest of cash and good credit?”  The answer is found in the concept of wholesaling real estate.

The fact still remains that the road to financial independence through real estate investing has generally been traveled by either 1) the fix & flip route, or 2) the buy & hold strategy when a property cash flows acceptably.  I am still an advocate of these two strategies under the right conditions.  Nevertheless, without money it becomes very difficult to actually purchase properties….and I don’t advise it.  The risk would be much too high.

When ones’ credit suffers damage, private money lenders can make a transaction possible…for a price.  That, though, is a subject for another day.  In the meantime, wholesaling makes it possible for a new home business to generate enough cash flow to live comfortably and, in time, save a nest egg for future purchases.  The idea behind wholesaling is to bird dog great real estate investment deals, and get them into contract.  Once a contract is signed and escrow opened, the wholesaler then assigns the contract to a cash buyer (another investor) who will then fix & flip it or hold it as a rental.  This way everybody wins.

The sobering fact about this type of business, though, is that it is not the fast track to wealth.  It is a business…a very good one, but merely a means to an end.  In time the wholesaler will want to jump into ownership, even if it is for the purpose of flipping for a quick sale.  So, there is a way to enter the exciting world of running your own real estate investing home business without money or credit.  And in this stagnant market climate, now is as good a time as any to get started.

Well, what are you waiting for?  My guess is that you’ve discovered that the real estate investing home business isn’t exactly what you thought it was.  Maybe your vision of real estate investing was shaped by some slick self-proclaimed “guru” with a program to sell.  Likely, they promised that anybody could do it with little effort or forethought, and in a short period of time, too.

That may be a bit exaggerated or maybe not.  The truth is that we are talking about starting a business.  This is no small proposition.  Since most new businesses fail in the first couple of years, I suggest we talk frankly about your objectives and see if there isn’t a solution out there.  OK?

To begin with, the answer is not in some kit or informational CD set.  Let’s get that straight right off the bat.  It all starts with a fervent desire to succeed at whatever is our mission.  Without that desire, it is impossible to see it through to completion.  So while some book or CD set may contain a lot of information, we must be prepared to 1) soak it up and 2) act upon it.

Many of you know me as one of the foremost real estate mentors in the business today.  Some of the best free advice I can give you is to have a plan that you have thought through and researched.  Why is this so important?  It is because there will be times when you will doubt whether or not you are on the right track.  Your doubts will become ominous and unless you are sure that developing your own real estate investing home business is what you truly want in life, those doubts can overtake any successes you have.

As the Founder of Invesdoor’s Mentor for life!™ partnership program I am dedicated to seeking out only those who are themselves dedicated to succeeding in this industry as independent REI business people.  An applicant’s desire becomes quite evident once I have a couple of minutes to hear their thoughts and expressions.

So, are YOU on track with your goals and desires?  It may be high time to seek out a qualified mentor now.  Yes, it won’t be free, but it is the first and best investment you will make on the road to financial freedom.  Get your REI business on track today!