This is the second part of a terrific lesson from a superstar in the world of real estate investing, Sean Terry. Because Sean has executed hundreds of real estate investment transactions, with a cumulative transaction value of about $120 million (yep, million!), he is definitely an investor we should listen to.
If you like what you find in this lesson, (we know you will!), you may want to take a minute and check out his other awesome lessons – here and here and don’t forget this one, too. In this business, you can never learn too much, and Sean is an incredible coach and mentor.
In Part I of If I Had to Start Over From Scratch, Sean talked about how he actually did have to start over in this business. He had gained millions and then lost millions. It was devastating, but amazingly, he didn’t give up. He came back stronger than ever.
In that lesson, Sean explained how he was given a wake-up call to let go of the past, focus on the future, and increase his energy to make it happen. In this lesson, he goes into further detail about what to do if you have to start all over.
Have at it, Sean…
The Only Way to Scale Up
When you’re crawling up out of that pit of rock bottom, one of the things you must do is reinvest into the marketing of your business. I know what it feels like to finally get some cash in your hand after being so broke. You don’t want to let go of a penny. But the only way you can scale up is to reinvest.
As you focus on the future, think something like:
“I'm going to spend 100 grand a month on marketing and I'm going to be in multiple different markets."
If you think in those terms, and then you reinvest $1,500, it will seem like a small amount. It’s all a matter of perspective.
You don’t explode your business overnight. You scale into it. You go out and make $20,000, then invest $3,000 in marketing. You're playing with the house's money then. You reinvest in your marketing and boom, now you’ve got more leads coming in; you’ve got people talking.
The Biggest Problem
Want to know what I see as one of the biggest problems with investors getting started? It’s actually getting started!
Let’s use the analogy of digging for gold… You’ve decided to go out and dig for gold. Now what?
The first thing you want to do is buy the equipment. You’ll need the shovels and the gloves, maybe some suitable clothing. You take the seismic readings that determine where the best place is to dig.
Now it’s time to make a few test samples of the dirt just to make sure this is the right place. Then maybe you need backup equipment just in case something happens to the equipment you now have.
Next, you’ll want to chat about it and tell everyone that you’re digging for gold and how excited you are: “Hey, let's go down to the bar. Let's go sit around and talk about how we're digging for gold.”
Sound familiar? Get my point? Then go do it, now!
Make it Happen
Stop with all that extraneous stuff. Get the shovel out and just dig. Dig till you’re hot and sweaty and your palms are bleeding from the blisters. Be willing to do whatever it takes.
If you want to be successful in this business, you can't be lackadaisical. You’ve got to make it happen. The opportunity is there. The gold is there.
It’s the same with the real estate business. There are motivated sellers out there, I don't care what market you're in. They want to sell and they want to sell to you. You’ve got to believe that.
I learned right off that if I expected to grow, I had to make my business grow by reinvesting in the marketing. That was crucial to my comeback.
Hang on to This, let go of That
As I pulled myself back up out of that pit of being broke, I had to decide what to hang onto and what to let go of. To you I would say, hold onto your knowledge. You know how to talk to sellers; you know how to talk to buyers. Now get rid of the baggage as if it never happened.
Focus on what you want. Focus on where you're going. Be willing to work until you get there. This business isn't easy. It takes time, energy, and lots of effort. But it's worth it.
Don’t worry about if you have the talent; if you have the ability; if you have the education.
I don’t have a college degree – I used to be a U.S. Marine – but I’m not the smartest guy on the block. What I do know is that I’m not afraid to work hard and make things happen.
Check Your Attitude
"I'm going to try this and see if it works."
If that’s your attitude, you might as well just quit right now. It’ll never work.
You must decide that you're going to make it happen at all cost, and then increase your energy level, and go for it.
Know Your “Why”
Here's the underlying principle: you’ve got to have a why…
Why are you waking up early in the morning? Why are you staying up late? Why are you pushing? Why are you digging for the gold? Why, why, why? Why are you doing all of this?
You have to know or you’ll cave at the first obstacle that gets in your way.
Want to know my biggest why?
During the blackest time in 2008, a man came and knocked on my door and told me that he had come to repossess my car. That's how bad it was. That to me was my worst nightmare.
Now, my why is this: To be so far away from that, that it will never, ever happen again to me, or my wife, or my kids. EVER! Whatever it takes, I’m willing to do it.
You Have What it Takes
I don’t want to make this sound like it’s all drudgery. I love this business. It's a blast. I have so much fun. I love my life and I love what I do.
The opportunity is now. The market is prime right now. While everybody is lining up all of their shovels, and they're thinking about digging, and chatting about digging – you’re out there digging for gold – and you're gonna find it.
You have what it takes to do this. I know you do…
You know how I know? Because I can do it. If I can do this, you can do this. I promise you.
It just takes a little bit of action, attention, and motivation. And, your big why to keep you going.
A Free Book for you (You’re Welcome)
If you're brand new and you’re reading this lesson, go to my website and download my book for free. People tell me that they spent well over $1000 for the same information that I give away for free. Go there, download it now, read the book. Then listen to my podcast. It’s all free.
Also, on the front page of my site, you can register for the webinar where I present four newbies in the business who went out and became incredibly successful. Their stories will light your fire!
I’ll Spell it out
There's no time to think about what happened in the past. That’s over with. Now's the time to make a decision; now’s the time to get out there and do it; now's the time to find your burning why.
You can do this. And when you do, I want to hear from you. Maybe I’ll be using your story on my website to inspire and encourage other investors.
The things I’m setting forth here are not hypothetical – I lived this. I lost everything but I came back stronger – and wiser – than ever.
When you apply these principles, you’ll be head and shoulders above every other investor out there.
Holla at us
Have you hit rock bottom and crawled and scratched your way back? We wanna hear how you turned things around. Leave a note in our comments section below. Your story could help other investors.
Slowly scale up your business by reinvesting a percentage of your income back into marketing – every time, without fail.
Stop talking about the action you’re going to take – and instead take action.
Find your why and stir it up and fan the flames.
Determine that you can do this – and then do it.