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Friday, May 30, 2014

Discovering the Correct Pattern, Size & Color

When any fly fisherman heads to his favorite water, the first thing he must do is select a fly from his box. Typically, we carry any where from a few dozen different patterns, to hundreds of different flies. It can be daunting. After observing what insects might be coming off the water, or the time of year, we make our selection, tie one on, and give it a few casts to water we perceive as holding fish. If nothing happens, we switch flies. I've been on the river and have gone through 10 or more flies before I find out what the fish are keying in on. There is nothing more frustrating than seeing fish rising and not being able to catch them. Changing flies is time consuming. I can assure you, casting the wrong pattern to rising fish is not the formula for a good time.

Once we get the right pattern, size and color, the odds are in our favor. Knowing what the fish are biting puts the advantage on our side. We stick with that pattern until it stops producing. If you're getting drive-by's, bites and landing fish, why would you even consider switching to another pattern or color? Once you discover what leads you to success, you need to work that pattern for all it's worth while it lasts.

In my business, a question I often ask myself and others during consulting sessions (if you need one please sign up here) is, "What makes you the most money in your business?" This is a very powerful, thought provoking question. For me, the answer is, without a doubt, making offers. If I don't make offers, I don't get deals. I originally thought the answer was marketing. Marketing makes the phone ring. That creates leads which I can work. By working my leads, I filter out the junk, find the motivated sellers with equity, make an offer, and every so many offers I get an acceptance. The problem with marketing is, it is easy to send out lots of marketing. It is easy to make the phone ring. It is also easy to work my leads and analyze the properties. Only through the offer am I able to present myself to the seller as a serious buyer which leads to me getting an acceptance and a deal in escrow. I've asked myself this question many different times through my 10+ years in real estate and the answer has changed over time. Now, as a self reliant investor, meaning I have no partners, when I asked myself this question recently, as had happened many times in the past, I initially (and proudly) wrote down ''Marketing." I think I did it almost as an auto-response falsely believing it was the correct answer. As I looked at the word, I realize it was in fact, quite wrong! I crossed it off, and wrote "Making Offers" underneath it. It was like an awaking.

Making offers!

My goal, every morning I sit at my deal maker desk (which is the Iceberg 8' utility-grade resin folding banquet table, platinum granite from Staples), is to put a green check for each offer I make in the box for that day on my At-a-Glance desk calendar, also from Staples. The more green checks, the more successful the day. Just making offers doesn't get deals, but nothing happens until the offer gets made. I also do lots of follow up and I never stop marketing. The former two, however, always come AFTER I make my offers for that day. Any leads that come in throughout the day are taken down, processed, then set aside until the following morning when I have my time block for making offers. This is my priority. I don't need to and I won't deal with anything else until the offers are made. The contractor can wait. Escrow can wait. The buyer with to many questions about the wholesale deal I sent him can wait. I do my offers, then I let everyone else eat up the rest of my day. My making offers revelation was like finding the right pattern, in the exact color and perfect size.

This post was inspired by The One Thing by Gary Keller. An absolutely must read book for anyone needing more focus in their business, or any where for that matter. Click the link and buy your copy now.