Nah, all of them got lucky off one or two deals that paid off. If it takes 100 failures before you reach 1 success, how many will have suffered during the time that success occurs? And is financial success all you're concerned about? I think it was P Diddy himself who said "mo money, mo problems."
“For God will not permit that we shall know what is to come... those who by some sorcery or by some dream might come to pierce the veil that lies so darkly over all that is before them may serve by just that vision to cause that God should wrench the world from its heading and set it upon another course altogether and then where stands the sorcerer? Where the dreamer and his dream?”
As I mentioned before, my dream as a kid was to be a professional musician or martial artist. I didn't need to be a rock star or to choreograph fight scenes along side Donnie yen. So no, money's not the ONLY thing on my mind.
All of them got lucky? You said yourself, and I'll quote again: "but if you are properly prepared and educated, then they aren't really risks, or at least they are reduced risks so it's for all intents and purposes a 'sure thing'." You make it seem like these people walked into a building, flipped a coin and bought it on the basis of the coin flip, or sneezed on a paper and bought whatever "lucky" stock the booger landed on. No, they had an idea in their heads of what a "good risk" was, most of them from proper education about the risks they chose to take, and found a risk that fit the "good risk model" they had in their heads. So they took it, and it payed off.
I asked a friend of mine once why he didn't invest his inheritance money into real estate, and said "it's too risky." When I asked him if he knew anything about something called "equity", he said "no". I asked him this after I asked if he knew anything about real estate, to which he replied "yes." So basically, he doesn't know what he means by "too risky". Probably never researched it, and his understanding of "too risky" was probably implanted him by someone or some people who themselves knew nothing of it. Last I checked, he bought a car, has most of the money in a back account, and a small portion invested in an unremarkable mutual fund. That last part may seem like a good idea, but agian, It's basically someone else having control of his cash.
Well lucky for him he didn't follow your risky scheme to buy real estate, what with the housing market falling out in the past year. He might owe more than the house is worth now. His parents didn't work all their lives to leave him an inheritance that he can squander away on risky deals. He owes them better.
“For God will not permit that we shall know what is to come... those who by some sorcery or by some dream might come to pierce the veil that lies so darkly over all that is before them may serve by just that vision to cause that God should wrench the world from its heading and set it upon another course altogether and then where stands the sorcerer? Where the dreamer and his dream?”
Anyone who knows a little bit about real estate knows that the housing market works in cycles. Anyone who knows a bit more knows that if you bought a worthwhile piece of property, it barely matters when you bought it if you can hold on to it. His inheritance was more than large enough to do that. As in, buy a good piece of property, and sit on it. Anyone who knows a little bit over that much, knows how squeeze a deal no matter what the market looks like. Following my advice blindly would've been foolish. Following it after having taken four months to read up on the subject, and seeking out the advice of some professionals after having done some self education, would've made him a millionaire three times over by now, or in the forseable future.
He owes himself better than to follow blindly.
It sounds like you have more confidence in your friend and more aspirations for his money than is warranted.
If making money from real estate was that easy and assured, we'd all be rich.
“For God will not permit that we shall know what is to come... those who by some sorcery or by some dream might come to pierce the veil that lies so darkly over all that is before them may serve by just that vision to cause that God should wrench the world from its heading and set it upon another course altogether and then where stands the sorcerer? Where the dreamer and his dream?”
"Easy" is a very subjective concept.Originally Posted by Animeniax
For example, it would seem "easy" to put your money into solid stocks and sit on it for 10 years. However, far too many people make the mistake of buying high and selling low.
fear, impatience, greed, and haste can turn something that's easy into something that's complicated.
10/4/04 - 8/20/07
I'd mentioned something about an education component to this. The four month estimate I made in the previous post was particular to my friend, who is rather intelligent. Might take someone with less intelligence a year. I have no aspirations for his money. I made a suggestion a few years ago, probed a bit when he said no, and didn't think about it again until this discussion, when bringing him up as an example was useful. Unwillingness to learn and fear is what hold most people back from even trying. Impatience and emotional decision making is what causes a lot of people who do have the proper knowledge to fail. It seems rather simple to me.
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