Category Archives: Personal Real Estate Opinions

I have a pet peeve.  Actually, I have more than one.  But real estate investing sayings drive me nuts.  For fun, I thought I would mention a few that I can think of right now.  Your comments and additions are definitely welcome! 

In fact, the commenter that comes up with the best additional stupid real estate investment (or any kind of real estate is fine)  saying is going to win an autographed Christmas card from me and quite possibly, James Spader and William Shatner.  No joke.  I’ll be “hangin’ with the boys” on Monday.  But I can’t speak for them.  🙂

• “This property really cash flows.”  (Really?  How much down?  What are the rents, expenses and growth projections?)
• “All it needs is carpet and paint.” (If you didn’t notice that the roof is 50 years old.)
• “Can’t miss.”  (No comment.)
• “Every house on the block gets (fill in false number here) for rent.”
• “The only expenses are taxes and insurance.”  (Sure.  And Santa Claus is real.)
• “Rents easy.” (Only sorority girls…I better stop.)
• “I have good credit but…”  (Run!)
• “Turn key.”  (How much work do I have to do to make it turn-key?)
• “Here is a pro forma.”  (In a library, pro formas would be filed under FICTION.)
• “Maintenance free.”  (Nothing about a house, any house, is maintenance free.)

There are ten.  Now I’d love to hear from you.

While reading today’s Kansas City Star I noticed in the Local section an advertisement that Rich Dad Poor Dad Education was going to be putting on three days worth of seminars right here in the Kansas City area.

While I find the book to have some great principals and mildly entertaining I couldn’t help but think of Christopher Smith’s thoughts on the book. Well, actually. I think along those same lines.

If you choose not to follow the link here is a bit of Christopher’s post:

In reality, real estate investing isn’t fluff. And it’s not rocket science or mysterious. It’s a practical, hands-on form of investing and a proven way to diversify your returns and build wealth. It’s not particularly sexy to talk about discipline, managing risk, building credit, evaluating properties, managing tenants and negotiating with contractors – but that’s what real estate investing is all about.

Think twice before buying the whole program hook, line and sinker.

I love the 2004 version of the tale of King Arthur. The movie was done very well and is more historically correct than previous versions. The movie relates the very human principles of honor, purpose and destiny. It speaks to a side of me that is very dominant. The side that says these principles are not lost forever. Rather overlooked by pop culture. But exist they still do.

In the movie the Germana invasion leader is a fierce sort. A man who has lived by the sword his entire life. When he finally meets Arthur he finds a man more afraid of not living on principle than of dying in battle. As Arthur turns to go to ready for himself for battle the warrior says to no one, “Finally. A man worth killing.”

A compliment of respect to be sure.

I work in a business where dishonesty and quick gain are there for the taking. There are many, many chances a year to overlook my moral code and to grab the cash. I’m not perfect. Nor are you. But the complete lack of respect for the laws, principles and morals that made this nation what it is today are what has given us the savings & loan debacle, Enron, Westar, the sub-prime crisis…and more.

What does this have to do with real estate investing and real estate sales? Well, I implore you to live by the verse found in the Bible located at Matthew 7:12.

“Do onto others as you would have them do unto you. For this is the law and the prophets.”

You don’t have to be a Christian to see the wisdom in that. You just have to be human.

I was speaking to a client today and the subject of his work on Boston Legal came up. I asked him when Alan Shore and Denny Crane were going to take on the whole real estate foreclosure mess that has been taking place.

There was a pause, and then he said “soon.” Seems Alan Shore is working up one of his passionate closings to expel the evils of banks, mortgage brokers and quite possibly real estate agents.

One of the reasons I like Boston Legal is because it takes on relevant current events. The show’s format and characters allow several points of view to come forward before the inevitable closing filled with emotion, un-arguable logic and conviction.

Since real estate, real estate investing and the current condition of the market are of great importance to me I cannot wait to see how Hollywood interprets this current condition we find ourselves in.

As noted, here in Kansas City, Tulsa, Dallas and other cities the market really isn’t that bad when compared to California, Arizona and Florida. I can’t wait to see what their view cooks up. And I’ll probably be siding with Denny Crane. 🙂