Balls or Stupidity?

Sometimes I wonder which category I fall into when it comes into real estate investing.

We often times work with investors who want to start investing in real estate. My estimate is that less than 10% of these qualified and motivated leads actually follow through.

(Let me define qualified: 1- Good Credit 2- Good Employment 3- Strong assets whether in the form of equity, cash, stocks, retirement, etc...)

Today, a general contractor with over $250,000 in the bank bailed on a property and lost over $5,000 in earnest money. What?? This is the most qualified flipper I've ever seen!

Back to balls vs. IQ....

It probably takes a little bit of both.
-I've never met anyone who has told me that making money in real estate is easy. It's just not. -I've never had anyone tell me that nothing unexpected popped up along the way. Stuff happens.
-I've never met anyone who stayed on both their budget and timeline with their first flip.

This is the reality. Flipping real estate offers the highest risk and highest returns in the industry. It's not for everybody and that's okay.

Before you jump into flipping, you have to be 100% dedicated and willing to put everything you've got into the project.

It takes balls.
It might take a small dose of stupidity.

Dig it?