Chapter 12 Need something more?

Many people may not be satisfied with my ten steps, they see these steps more as a thought than an action.And I think that the process of understanding this thought is an action in itself.There are many who are willing to do but not think, and many who are willing to think but not to do.I felt like I was willing to both think and do.I love new ideas and love to put them into action. So, for those of you who want to do it, how do you get started?Here I would like to briefly introduce how I did it for your reference. Stop what you are doing.In other words, stop and evaluate what is working and what is not working in what you are doing.To be insane is to do the same thing and expect a different result.Don't do things that don't work, find something that works, find new ideas.I often go to bookstores looking for unique and different propositions from which I can derive new investment ideas, which I call patterns.

I buy this kind of book that introduces various patterns that I don't know.For example, in the bookstore, I found Joel.Moskowitz's (The Sixteen Percent Way), which I bought and read in one sitting.On the following Thursday, I started to follow exactly what the book said step by step.I went to lawyers' offices and banks looking for cheap real estate deals.Most people do not take action, or are persuaded by others not to apply any new patterns learned.My neighbor once told me that a 16% yield was impossible, but I didn't listen to him because he had never tried it.Find someone who has done what you want to do, ask him to have lunch with you, and ask him for tips and tricks for doing business.Take the sixteen percent tax lien.I went to the tax office to meet with a government employee, and I found out that she was also investing in tax liens, so I immediately invited her to lunch, and she excitedly told me everything she knew about the practice.Even after lunch, she spent another whole afternoon explaining the whole process to me.On the second day, with her help, I found two great deals, and I was able to earn sixteen percent a year interest ever since.I spent a day reading about it, a day taking action, an hour eating lunch, and another day finding two great deals.Take tutorial classes and purchase related tapes.I look in the newspapers for interesting advertisements for new tutoring classes, many of which are free or for a small fee.I also attend some expensive seminars because they discuss the things I am eager to learn.It is because of taking these courses that I am richer and do not have to go out and work hard.I have a lot of friends who never took this kind of tutoring class, they said I was wasting money, and now they are doing the same job all the time.

Make multiple offers.If I need a piece of real estate, I look at multiple properties and make a general offer.If you don't know what the right offer is and I don't know, it's up to the real estate agency to make the offer. A friend wanted me to tell her how to buy a condo.One Saturday, she, her agent, and I went to inspect half a dozen condos.Four of them are not so good, and the other two are better.I am proposing to issue an offer for all six at half the seller's bid.She and her intermediary were taken aback and thought it would be rude to offend the vendors.But I think this is just an excuse for the intermediaries not wanting to work hard.

They didn't make a single offer afterward, and that person was still looking for a deal at the right price.In fact, you don't know what the right price is unless you have another similar transaction as a reference.Most sellers' asking prices are too high, and few sellers' asking prices are lower than the actual value of the subject matter. The theme of this story is: make multiple offers.No one who has ever been a seller knows what it's like to try to sell something.I had a property and wanted to sell it in a few months and at the time I was open to any offer, didn't care how low the price was, I would have been happy if they had only offered ten pigs.The quotation itself is not important, the key is that someone who quotes means someone is interested.Maybe I would counter-suggest a pig farm in exchange, don't be ridiculous, that's how the game works.Remember, business is a game, and it's fun.When an offer is made, someone will say yes.

I also often use avoidance clauses to make offers.For example, in the real estate transaction agreement, I will add the consent of my business partner.I never specify who my business partner is, and most people don't know that my business partner is actually my kitten.If they accept my offer and I don't want to close the deal, I call the kitty at home.My purpose in telling this absurd story is to show how easy this buying and selling game is.So, I think a lot of people are taking things too seriously and complicating things too much. Finding a good deal, a good business, the right person, the right investor, or anything like that is like dating.You have to go to the market and talk to many people, make many offers, counter-offers, negotiations, rejections or acceptances.I know people who would rather sit at home and wait for the phone to ring, but unless you're CindyCrawford or Tom.Cruise, otherwise you'd better go to the market, even if it's just a supermarket.From seeking, quoting, rejecting, negotiating to accepting and closing a deal, it is almost the whole process that a person has to go through in his life.A ten-minute jog, walk, or drive in an area each month reveals the best real estate investment opportunities.For a year, I often jogged in the neighborhood in order to find some changes.For a transaction to be profitable, two conditions must be met: one is cheap, and the other is change.There are many cheap deals in the market, but only when there is change can a cheap deal be turned into a profitable opportunity.So when I go for a jog, I go for a jog near a potential investment location.By repeated observation, I was able to notice some subtle differences.I'll notice real estate sell signs that have been hanging for a long time, that means the seller is eager to close.Watching moving trucks coming and going, I would stop and talk to the driver.I also spoke to postal truck drivers, and from these populations you can get surprisingly detailed information about an area.

I found a very bad area, the kind of area that everyone is afraid to avoid. I drove through this area from time to time over the course of a year to watch for signs that things were changing for the better.I talk to retail store owners to figure out why they're moving in, especially for newcomers.It takes a small amount of time per month to do this, while I can do other things like exercise, or go to the store. As for stocks, I like Peter.The method of selecting stocks with rising potential in value is introduced in Lynch's (Dominate Wall Street) book.I've found that the approach to finding value-add is the same whether you're investing in real estate, stocks, mutual funds, a new business, a new pet, a new house, a new spouse, or a laundry for sale.

Procedures tend to be consistent.You have to know what you are looking for before you go looking for it.Why consumers are always poor.Whenever there are discount sales in supermarkets, such as discounts on sanitary products, consumers will flock to supermarkets, rush to buy them and store them at home.And when there is a markdown in the stock market, which most people call a dip or correction, buyers are eager to get out of it.When supermarkets raise prices, people shop elsewhere; conversely, when the stock market rises, buyers rush to buy stocks.Focus where appropriate.A neighbor bought a joint jurisdictional right for $100,000, and I bought the same right adjacent to it for $50,000.

He told me he was waiting for the price to go up.I told him your profit is determined when you buy, not when you sell.He bought it through a real estate agent who didn't own the property himself.And I bought it in the insolvency department of a bank.I paid five hundred dollars to take a class on how to do this kind of trading.My neighbor thought five hundred dollars was too much for a real estate investment class like this, and said he couldn't afford it and didn't have the time, so he was counting on the prices to go up.I first look for people who want to buy, and then I look for people who want to sell.A friend wanted to buy a piece of real estate. He had money but no time to find it.I found a property that was a bit larger than what my friend wanted.I asked my friend if he wanted one, and he said he would have one of them, so I sold him that one, and then bought the rest for a small sum, which I kept as an income.The essence of the story is this: buy the pie and cut it into small pieces.Most people are looking for something they can pay for, so they see smaller things.They only buy a slice of the pie and pay more for it.People who only focus on small businesses will not have big breakthroughs.If you want to get rich, think of the larger business first.

Retailers like to offer quantity discounts because most merchants like big-ticket buyers.So even if your investment is small, you can think more about big business.When my company wants to buy a computer in the market, I tell a few friends that if they are also ready to buy a computer, we can buy it together.Then we go to different retailers to negotiate this big deal, because we need so many computers in total, we can choose the best price, and I do stocks in the same way.Small-scale investors are good at small-scale actions, because they think in a small amount, and they either do it alone, or they don't do it at all.Learn the new by reviewing the past.All the big companies that go public started out as small companies.

Colonel Sanders didn't get rich until he was in his sixties after losing all his fortune.Bill.Gates became one of the richest men in the world before he was thirty.These are all cases that we can study and study.Action will always beat inaction. These are just a few of the things I have done in the past and will continue to do.The most important words are done and done.I've said many times throughout the book that you have to take action before you get financial rewards.Then act now!