In this episode, I discuss whether real estate is strictly local, or if it is common throughout the United States and around the world.
First of all, what do I mean when I ask whether real estate is local? Let me clarify. My mentor always told me that it is really not possible for someone in Michigan or Florida, or California to teach real estate to someone outside of their local real estate market.
I have thought about this quite a bit over the last six months since I started this podcast. And I have come to a conclusion. Real estate condition, prices, appreciation, etc. are definitely localized, meaning that they are different from state to state, city to city, region to region. It is not possible for me to tell people that real estate prices are on the rise, because that might not be true in their local market. So, it is difficult for me to speak intelligently about specific markets outside of my own. That being said, teaching someone how to be successful in real estate has almost nothing to do with the current, specific market conditions of any certain area. In other words if house prices are on the rise in my market, but they are on the decline in Orlando for example, that doesn’t mean that fundamental real estate techniques do not apply. The fact of the matter is that most markets will experience a variety of conditions over the course of years. So even though my local market might not be experiencing the same real estate conditions, certain things remain constant:
- Real estate requires massive action.
- You must always be evaluating, whether it’s through the MLS, networking, or direct marketing, etc.
- You must always be looking for funding for your deals.
- One of the best ways to find leads and to acquire financing is through networking.
- Real estate is a people business.
These are just a few examples of principles of real estate investing that are true no matter where you live.
I told you that I have come to a conclusion at the start of this episode. And here it is: although the conditions of real estate are very local, real estate investing techniques and learning to be successful in real estate translates across city lines, state lines, and even countries.
I can guarantee you that a very successful real estate investor in California can teach you to be successful in Ohio, and a very successful real estate investor in Michigan can teach someone in California how to succeed in their local market.