In this episode, I discuss why I believe that the connections you make and the friendships you form in this business are your best assets. No matter how much you learn, it will never be more than the accumulated knowledge of all of the people you meet and form friendships with. This is not to say that you cannot be successful if you don’t have a big network, but having a larger network makes it that much easier.
The connections you make in this business are more important than you might understand at first glance. It seems that I contact someone I know in the industry almost on a weekly basis to bounce ideas off them, ask them for their assistance, or ask them if there’s anything I can do for them. It is very important that you’re not always the one asking for help, but that you sometimes are reaching out your hand to help someone else in the industry.
Today I was on a coaching call with a student. This particular student had questions that were very specific to equity, portfolio loans, and how to leverage property that he currently owns in order to fund future buy-and-hold properties. While I could give him general information, I knew that my knowledge and expertise did not cover this subject as completely and comprehensively as I would like in order to help him. Because of this, I reached out to a colleague in the industry named Jimmy Moncrief (I have interviewed Jimmy on episode #47 of the show). Jimmy is a bank underwriter and real estate investor. His knowledge and expertise in the world of institutional financing is unmatched in my opinion. The guy is a rockstar in that world, so I asked him if he would join me on my coaching call with this particular student. I knew that by bringing Jimmy in and lending his expertise to the situation, I was providing the absolute highest level of value to my student through leveraging my relationship with Jimmy. I am incredibly grateful that he was generous enough to take the time to help one of my students; the student definitely benefited from Jimmy’s insight, knowledge, and guidance. I simply could not have answered his questions as completely as Jimmy was able to.
The important thing here is that I was able to help someone with the help of a friend of mine in the industry. I would absolutely do the same thing for Jimmy if he ever needed me to. That’s just the way it should work in this business. If you take the time to attend functions, make connections, and ultimately form friendships, you are doing yourself and all your friends in this industry a huge disservice if you don’t utilize each other’s strengths and knowledge. Investors who try to do everything themselves and act like everyone is their competition ultimately have a much harder time succeeding than those who have an attitude of abundance. There are plenty of deals, and certainly enough money to go around for everyone. It is highly unlikely that you or I have any proprietary knowledge that we need to protect and be secretive about. Real estate has not changed a lot in the past decade. It really hasn’t changed a lot in the last thirty or forty years, except for computers; computers make a lot of things much easier now, but the concepts are still relatively the same as they were forty years ago.
Again, the point of all of this is to illustrate the fact that all of the connections you make in this business can and should be leveraged to help you grow your business and succeed in real estate. Just remember that, just like you have a network of experienced investor friends, you are in their network as well, and could be called upon to help them in certain situations. Always go out of your way to help others in the industry. Good things almost always come of it!
Leveraging the knowledge and experience of those around you will help take your business to the next level!