Scarcity and Negativity
Scarcity and negativity are two peas in a pod. Scarcity is you always thinking it’s a zero sum game. That it is dog eat dog. That you must win because if you don’t then you lose. There is not enough to go around. Negativity is seeing the bad in any situation. It’s never going to work. This, this, and this is wrong with the plan. It’s a never ending circle. You get into the scarcity mindset you become a negative thinking person and it’s a hard cycle to break. The cycle can be broken and we WILL break it.
Abundance and Positivity
Abundance is defined as … a very large quantity of something… There are over 20 million multifamily units and 50 million potential clients. There is over 5 trillion dollars that is traded each day. There is plenty out there for everyone.
Now that you know there is plenty, start formulating your thinking in the positive. Start forming your questions with How can I? What is the best way to? What will it take to?
Make the Pie Bigger
I have a friend that named his company Bigger Pie Properties, talk about the abundant mindset!
Don’t think the pie is too small I cannot share it.
Think of how to make the pie bigger so you can share some.
There are ways through creative financing, finding motivated sellers and creating a value add component that you are able to increase the size of the pie. In doing so you may be able to make it more attractive to more investors. Can you use economies of scale and buy the property next door or across the street in addition to the one you are looking at. Can you buy an adjacent property to turn it into a parking lot, clubhouse, dog park? Can you convert the basement into storage compartments? Think creatively and make a bigger pie. Blue Ocean Opportunities is a great book to read for getting a better feel for what is possible with real estate.
What we are doing right here is all about the abundance mindset. When we help each other, when we offer ideas and help we are building a bigger pie. When someone asks me how to screen a tenant, do I think “If I tell him he will steal all my future tenants”? “If I tell him then he will get good tenants and turn away bad ones, so when I have an available rental there will be more bad tenants then good ones” NO! I help him out. When someone ask me how I source my deals do I think “If I tell him he will scoop up all the good ones and I will be left with the trash” NO! I tell him because there is no better high than him coming up to me 3 months later and saying “Hey I used that tip you gave me and found a property that’s cash flowing $250 a door.”
When looking for deals do you think about getting a deal for cash (Scarcity) or about how you can help someone (abundance). How can you add value to someone? I’m not saying buy properties regardless of the numbers just to help someone. What I am saying is if you set off on this journey with the intent to help others in any way you can that the journey will be fulfilling to you and in the process you will create wealth and freedom for your family.
Are you terrified of cold-calling. Why? If you are like most you will say I don’t want to disturb them. What happens if they yell at me? What if they are not looking to sell? All scarcity mindset negative thoughts. Try some of these on for size. They have been looking to sell, but aren’t sure of the best way to go about it. They want to sell but do not want to pay the taxes. They just retired but cannot enjoy it because they have to tend to the property. Every time you have a lead and do not want to place that call think of it like you are calling to help them solve a problem. Hey if they don’t want to sell you potentially just made a friend in the biz. I can’t tell you how many times that has happened to me.
“Man attracts not that what he wants but that what he is”
~ Garrett B. Gunderson
Author of Killing Sacred Cows
Be the person you want to be
You have to plant the seed first. If you want to be a real estate investor then the seed planting would be getting yourself educated.
Do what you want to do
Now start doing it. Get involved with real estate groups. Help an investor on a deal. Start networking, building relationships, talking with people. Creating value, helping others, immersing yourself in the arena of real estate investing. Buy your first small (or big) property.
Have what you want.
After taking those two massive actions you will see things happening. You will through small, but massive actions have what you want. The family time, the freedom to wake up at 9 in the morning on a weekday. The freedom to pay someone to mow the lawn or clean the house. The freedom to never miss your kids events.
Having the right mindset is crucial to success. Have you ever thought, How come I can’t find a deal? How come I can’t make money? I’m smarter then that guy, why is he so lucky? I work hard how come I can’t get ahead.
Do you live your life in scarcity or abundance?
Do you think why me? It’s not fair? I can’t do it? I’m not that smart! Those are all examples of a scarcity mindset.
Do you think:
Why would he help me?
I can’t split the cost.
If I tell him how I do it he will steal all my business.
Well maybe, but according to the National Multifamily Housing Council there were north of 20,000,000, that’s Twenty Million units across the U.S. With 87% of those units being one and two bedrooms there is plenty to go around, stop making excuses.
There is trillions of dollars trading hands each and every day. Think about that for a second. In what manner did you think of it. What was your primary response? Was it something like:
Why can’t I get some of that? Or, How can I tap into that resource? Maybe you thought, “What do I need to do in order to gain access to some of that capital?”
Do you recognize the difference between the first question and the next two questions. Start asking the last two questions and as you do the first question will melt away like a snowball in the spring never to return again.
There is plenty out there and I’m going to give you THE SECRET. Are you ready, here it comes………..
Abundance, Abundance, Abundance.
Wait. What? That’s the big secret? What the hell does that mean?
Change This To This
Why me? What can I learn?
It’s not fair! How can I fix it?
I’m not that smart? Where can I learn?
Why would he help me? How can I help him?
If I show him he will steal my business. If I help him, he will help me.
Now I know some of you are saying yeah but what if he doesn’t help me. Then I shot myself in the foot. No you didn’t it is your job to stay ahead of the curve. It’s your job to be a true professional. The honest truth is you won’t know until you help. But instead of thinking about failure think about success. What happens if he helps me?
One point I want to make here. If we are looking at the same property I am not sharing with you all I know. We are competitors and frankly I want to crush you. But if you win the deal don’t think for a second I won’t give you the heads up on something I heard down at the coffee shop. I am fiercely competitive I can be so and still go for a drink with you or invite you over to have a couple of beers and burgers.
So as you go through your day, as you meet some folks, as you navigate your investing journey. Stop along the way and smile. Reach out and offer your help. Think abundance. Think the farmer must plant the seed before he can harvest the bounty.
Next week we will continue this with learning about the 7 levels of Self Perception. We operate each minute of our lives in one of 7 levels. Depending upon how we perceive the situations and how WE CHOOSE to react to it.