Analyzation is Limitation

It is true.

I spoke to a lady who had been in the DG program for over 9 months. She had studied the classes and books and knew the program very well. She called sad because she hadn't make a nickel and wondered why. When I asked how many offers she had, she said that she hadn't made any.

She had a good real estate agent who had shown her houses, but had made none. She was analyzing everything way too much.

I give her the assignment to make a minimum of 10 offers in the next 7 days. She called me about a week later and was in process of making 20 offers. I don't know if any were accepted, but at least she was putting what she had learned into action.

Great question and post!
I believe strongly in the idea of Paralysis by Analysis. It's real, and it's true. I'm sure that you have also heard of the popular slogan "Just Do It"? A certain company out there built itself on that slogan and it rings so true in this busines as well. People tell me everyday that they are waiting to "learn" so they can go out and "do". Not Good!!!!! I believe that you will learn more by doing than you ever will learn by reading...... Network and work with other people to help you to become the investor that you want to become and you will help people along the way. I also am a firm believer that the most effective way of learning is through teaching. That is why I love being a mentor for this great program.
Happy Investing!

Matt W.

i find it very interesting that only coaches have responded to this thread. i know i can get way too caught up in analyzing because i like that kind of stuff, but i can tell you from experience it doesn't make you any money.

Linda,

You are so right about this. Don't be surprised about the lack or responses. Most are here for the very reason you state!! They don't take action and would rather read motivational cheer leading stuff than really look at themselves and take the action required. It get's them way out of their comfort zone. I tell people time and time again to take action and the next day they post a question that they should already know the answer to OR they post something that has nothing to do with acquiring a property!! They refuse to listen. What can you do?

Over analyzing and doing proper due diligence on a deal are two different things.

Michael Mangham
Mentoring/Team Building Nationwide
MD Home Acquisitions LLC

so right. been very guilty of it myself. i like that you mentioned that analyzing and proper due diligence are 2 different things.

I am guilty - have not made offers - slow to take action out in the field. I am constantly working on learning and organizing plans and goals. Problem is that I am stuck in a rut but not for much longer. I am determined and I am an honest person committed to break free and move forward. I hit a real big bump in the road and made a clerical error in my personal business. I am in the process of clearing up a couple of obstacles so that I can make REI happen. Every day is a gift and my future looks very bright no matter what happens.

One problem I have is that I go slower that everybody else and I need to speed up and do things fast. I have never had a real support system in my life with family or business and that impacted my confidence. I tell myself that I am a smart lady and try to realize my accomplishments. But I am a gemini and my twin trys to tell me that I am stupid. That is a word that I dispise and try never to use. I only use it here for the purpose of learning and in the hopes that what I have to say will help someone else.

I like what Matt Walton said about teaching being the most effective way of learning. I think that is so true and it goes along with "it is in giving that we receive".

thank you for stopping by. i know you can do this and i know you will make it happen. we all have our issues and we are the only ones that can overcome them. i believe you will.

Linda, I used to be there, I don't do it that often now, But I used to over analyze things a lot! (I guess by nature, I have an engineering back ground, and engineers over analyze everything!) Since I met my wife, or starting dating several years ago, I knew she was a risk taker and I was the kind of person who used to over think Actions! What if?, what if, what if??, This really put me behind and I have to say that over analyzing doesn't help you just delay one from taking an action. I do believe that taking risk will help you build confidence in yourself and what you do. Sometimes you win, and sometimes you lose. But, when you lose, take it as a learning process to help gain more confidence. But, how much risk are you willing to take? As Michael said, do your proper due diligence as this will help you mitigate risk. Tom

will re-visit later

so right. i understand that engineering background. my sister's ex-husband read encyclopedias for fun. i think one of the things about risk is that most of us have been taught that making mistakes is bad, so we do our best to avoid it. i know that is an issue i have had most of my life. instead, we should be taught that making mistakes is a good learning process and not a bad thing. i'm working on changing my thinking on that.

Thanks for the support. I so much appreciate it. Even though I have lived alone for 28 years now, I know that I am not alone with regard to the current economic issues. Everyone does have problems and we each have to work thru it to the best of our ability. I look forward to the day when I have my first deal and can go on to the next one. I do not like feeling and being stuck in a rut. Things are always changing and this is only temporary. I will continue to walk daily with the Lord and do something each day in REI. Doing something is better than doing nothing and by doing something I just get closer to success.

you're right. it's all the baby steps that make it, not just taking a few big steps. you will get there and we all will celebrate with you.

Paralysis analysis is what I had allowed to happen to me. It appears that an unknown fear was the cause of my paralysis. Expecting all green lights without course deviations before making a move. Odd that I didn't have an issue while working as a real estate sales agent with investors of multi-family dwellings. When I started investing myself I found I was constantly I over-analyzing the same info over and over.

Now, I have stopped treating this business like a hobby and I'm starting to get results. I'm sure to have a deal completed soon and share the results on DG.

Joe

Great job on changing your thinking on that. Since going to school we're taught that failing is bad and we should not make mistakes. Yet in the real world he with the most failures(who learns from them), wins.

If you want more info with that and creating a strong wealthy mindset I strongly suggest you read Rich Dad Poor Dad by Robert Kiyosaki, if you haven't already done so. Great book!

i guess when we are "spending" someone else's money, it's much easier. i understand that unknown fear totally and i prefer all green lights with no deviations myself. i love perfection! well, at least i think i do. not sure i've ever really seen it. can't wait to hear about your deal!

i have read the book; it's a good one. i work on my attitude, thinking, emotions, etc., every day. it's a lot to deal with, believe me.

Linda i know this is true! the more you think about something the more you doubt your self and think that REI is just not for you. Ive noticed that the more you take action and get out there the less scared and nervous you are about making an offer or putting out signs.

so right! the thinking is what can get you into trouble. i'm a big thinker and i am working on curtailing that in my life. i have found through the years that some of the most successful REI's are people who just do it and deal with things as they go along. they don't put tons of thought into it and just go for it. we thinkers are the hard nuts to crack.

I think this is the biggest problem people have, not just in real estate, but in a lot of things! I see people complain about how they don't like the way something is, yet they're perfectly capable and in the position to do something about it.... and they do nothing...
MichaelMangham is absolutely right.
As for risk, let me tell everyone a story from a local entrepreneur. This man became a dentist, built his business, made money, and when he was young, he went out and bought ten rental properties(all separate single family homes)without even really knowing what he was doing. He told me when he bought the properties, he thought he was just going to have a manager and just rake in the cash while not having to do anything with the properties. Needless to say, he found it was going to take a lot more involvement on his part. The point? He took action with little knowledge and made things work.
He did end up making a good profit from the properties. He has owned them for nine years now.

Ha! Gabriel, Robert Kiyosaki's books are great (Mr. Kiyosaki actually did something similar as in the story above when he bought his first rental property)
My take is, read my tag below.

RENinja

i always love ninjas!! (my dad was a black belt in karate and actually had to take the black belt test in front of a Japanese sensei in NYC.) i love the story of the local entrepreneur. he didn't do a lot of thinking; he just did it and dealt with things as they came up. i so admire that.

When I was working with my investor clients and "spending" their money I could take care of everything for them, no problem. I start working my own deals and I was in a state of shock.

You're right Michael, over analyzing and doing proper due diligence on a deal are two different things. I reference your posts often when I start thinking TOO much. It gives me the kick that I need at times to just go out, take action, and stay persistent. Thanks for that.

Joe

You're afraid to make an offer because you're afraid it will be accepted and then you would be afraid you wouldn't fill out the contract correctly. And then you would be afraid the contract would fall through..If it didn't fall through, you would be afraid you did something wrong and if you did something wrong, you would be afraid that you would wind up buying the property yourself and that would scare the hell out of you because you have no money!!! BEEN THERE... DONE THAT. Now I'm over it. I did this for over a year. I would take 2 steps forward and then 1 step backward. After I joined the REI club over a month ago, it lit the fire under me that I needed I guess... and more importantly, I paid dues for a year and I'm sure not going to miss a meeting if I can help it. LOL.. the money is probably the main reason!! LOL

I had the horrid disease... PARALYSIS OF ANALYSIS... another name for FEAR and Yes, analyzing will limit you from doing what you are capable of doing.\

Shirley

I have worked with many many different people that have have been through several different real estate programs. People want to learn everything they can before they do anything. When it comes time to take action they are still unsure and don't want to do anything. It is not easy to take action, but it has to be done. Do the hard things until they become easy. No Body can do it for you. Make it happen by taking action.

And I had an investor sit down with me and explain why my ARVs weren't accurate; because it was really messing with my offer amounts. I was using the AVERAGE of my comps less the highest and lowest. Well, he showed me 20 or 30 flips he had done and showed how they all closed towards the high end of the $/sq ft. I had to struggle tremendously taking the higher end of the spectrum until I talked to my appraiser who said that they do grade homes based on their relative comparison in the market to the higher and lower ends of the spectrum of ARVs.

I still analyze things thoroughly, but I know to just jump in and do it when the preliminary numbers look good and then do the super crunching when the offer is accepted. It took me several months to overcome this hurdle. Its very important to get the ARV right, so I now look at the high, middle and low to come up with a sliding range of possibilities.

There are only 2 things that we need to remember to be afraid of; and that is NOT doing all we can to achieve success and regret! Don't be afraid of success, or you will never get there!

Thanks Linda & Tammy (& Everyone!) for sharing this! I am currently in the process of super crunching numbers and doing my due diligence as my potential "buyers/investors" require it. (they are also new investors and mainly depending on me to provide the information that they want in order to feel comfortable about the deals!). (I am doing all these, like what I read from Carol's posts, "DO IT AFRAID!"..

Cris

i'm glad to hear that you have found a way to nip that "analyzation" thing in the bud. now you can't be stopped!

i think most of us experience it one way or the other. sounds like you found a solution for you and that is great. i'm just like you with the dues i paid for my REIC; i do my best not to miss. i did have to miss this month because i was too sick to go, but i've gone pretty sick before. now i hope i only go healthy and wealthy!!

who have responded. they know about this as much or more than anyone. i have always wanted perfection and i think we're taught a lot of that growing up. there is no such thing and we might as well get comfortable with that. talk about changing your mind set!! but, it has to be done!

you are a great example to everyone on here. i remember in the first parts of your journal thinking about how thorough and analytical you were, but you made some corrections to that and look at you now!!! you are unstoppable and the main reason is that you took action and you are so persistent!!! we all admire you so much.

yes, we must do it afraid. ooh, that really scares me!! we are so much better than we give ourselves credit for, and for some of us, what have we got to lose???? for some of us, nothing! so why worry and be afraid. you can't squeeze blood out of a turnip, and some of us barely have that. am i rambling? again, just do it and do it afraid if you have to. thanks for reminding us of that.