Why You Must Always Remain In Control

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The quickest way to lose a deal is by giving up control. By giving into way too many demands of a high maintenance seller or by allowing the rehabber you’re wholesaling a deal to, to jerk you around and close when they want to. If you’ve been in real estate for longer than six months you probably know what I’m talking about and you’ve probably experienced it yourself. If you haven’t been in real estate very long then unfortunately, you probably will experience it yourself. Why? Because when we start out as brand new real estate investors we don’t have a lot of confidence. Of course, this is completely natural because we’re new to the business and buying and selling houses is intimidating when you’re new.



Plus, since we don’t have a lot of confidence we’re not even sure this whole real estate business actually works. Even though we’ve seen hundreds and perhaps thousands of successful people do deals, we still don’t believe it’s legit until we actually close a deal ourselves… and that becomes the problem. You see, new investors who lack confidence and want to close a deal badly, will do almost anything to close a deal and will let people walk all over them. For example, if your goal is to have 60 days on a lease option before you have to start paying a landlord rent, you might let him talk to down to 30 days. Or, if you usually get a $2,000 deposit on a wholesale deal you might let a savvy rehabber talk you down to $500. Or you may have the rehabber who tells you the date you’re going to close and who even makes you come to his settlement attorney.



Now the bad news is that almost all investors fall into this trap of giving up too much control in the beginning. But the good news is that if you can quickly close a few deals and gain some self-confidence then you’ll never let people walk all over you again and you’ll be more happy and successful. For instance, these days I maintain 100% control in all of my deals. If I get a seller who is giving me a ton of problems or a rehabber who is making unreasonable demands I’ll just walk away from a deal or tell the rehabber I’m going to wholesale to someone else.



Often times, when I do this, the seller or rehabber will backtrack and won’t cause problems anymore and I easily close a deal with them. But you must always make sure you’ll walk away and that you’re not bluffing in these situations. Sellers can “smell” weakness and fear, which is why you cannot show any during your negotiations. You want to project a highly confident investor who doesn’t take crap from people and who can get the job done. Even if you have to fake this level of confidence in the beginning it’s well worth it and will save you a lot of headaches.



So remember, from now on you’re a confident investor who doesn’t let people jerk them around and who dictates how “the rules of the game” are going to be played.

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