The Secret to Investing You Won’t Learn at a Seminar, and it’s Spelled A.B.E.
A.B.E. is the secret to real estate investing becoming a full-time gig for you!
It’s not so much a secret, however, as it is a simplified concept for you to place your focus. It’s a very simple business model that should you maintain it, failure will virtually be eliminated.
A.B.E. stands for Always Be in Escrow.
I interact with a large number of real estate investors, novice and accomplished alike, and I see a high percentage of them making a big mistake. I see many doing the right activities like prospecting for distressed sellers, marketing for pre-foreclosures, hustlin’ at REI clubs, blanketing cities with their bandit signs, etc… but very few execute these activities with real intent, and that intent being to “Open Escrow!”
And once one escrow is opened, focus on opening the next… I mean focus with real intent!
Having one escrow open is good, but perpetually nurturing that one escrow like it’s your first born making sure no harm comes to it can be a recipe for a turbulent stressful career. Once that escrow does close, it’s right back to the hustle starting from square one.
Always returning to square one is bad enough, but what happens in the event that that escrow doesn’t close and you have nothing lined up behind it?
Your investing career will be very short operating in such a way. The stress that accompanies a real estate investing business like this will take its toll.
Many investors operate this way and eventually end up saying things like, “This doesn’t work. I’d rather have a job.”
Don’t be that investor!
Real estate investing is the average person’s best chance of escaping the “rat race” and living the life of their dreams. If you don’t believe that, I invite you to read the book The Ten Roads to Riches by Ken Fisher. After reading you will know of your ten best possibilities of joining the rich. I am confident you’ll agree, real estate investing is your best shot.
Assuming we agree, a very simple focus to assure your real estate investing career is a success is Always Be in Escrow!
Operating your business with this primary focus will significantly increase your percentages of a fulfilling, fruitful and lasting real estate investing career being yours.
Here are three reasons A.B.E. is a great concept to practice:
1. In most cases, it’s impossible to get paid without escrow. The ol’ axiom goes “You make your money in real estate when you buy,” but you don’t get paid until you sell… and you’re not going to be doing much selling without escrow. No sell, no pay.
2. By always being in escrow, you know there is a payday ahead. When you know there is a payday coming, you relax. You think clearly because you’re not stressed out about how you’re going to pay your bills. When you’re relaxed and thinking clearly, you make better decisions.
3. It’s the best hedge against misfortune. Face it, investing in real estate done correctly is the most secure form of investing there is, however… there are a lot of moving parts to a real estate transaction and numerous things can go wrong, and often they do. Every once in a while something happens to which there is no remedy and the deal falls through. Not to worry, though, because…
You’re always in escrow!