Thinkin’ In Terms Of Clichés Simply Doesn’t Cut It For Real Estate Investors

Posted @ 8:00 pm - Filed under Market Correction, Purposeful Planning, Real Estate Investing, Real Estate Markets, Retirement, San Diego Property Owners

It’s of little import whether you’re a seasoned real estate investor or a rookie in the making — whether the market is boomin’ or bustin’, clichés are spouted like weeds in an untended garden. We all fall prey to it, including me. I try to catch myself when I do it, ‘cuz most of the time the cliché is a building constructed on a foundation of sand, unanchored to any real meaning.

Ah, and there’s the rub. Words mean things. When we invoke clichés, even if in some sort of implied general context, when they’re not anchored to specific contextual facts, they become meaningless. In fact it’s worse than that. So often they’re used to keep the speaker behind the curtain of supposed, but faux expertise. Every time you read or hear someone say something that doesn’t really say much if anything, ask them to say it in a different way.

Then wait for one of two sounds. Crickets or stuttering.

Before continuing down this road, let’s agree there is usually many viewpoints on most any real estate or general economic subject. The point I’d make here is that whatever position one takes on a given topic, said position should be able to be at least minimally supported by other than mealy mouth clichés. That’s not askin’ too much, is it?

Take the designated rule in baseball as an example. Debate on the topic can become heated. I’m a traditionalist and think the DH rule is simply a cheap way to inject more offense into the game artificially, which, according to that school of thought, results in more tickets sold. Fair enough. It’s obviously not that simple to many, but that’s their rationale. No stuttering, to silence, no, ‘Just ‘cuz it makes more sense’ foolishness. You can disagree, as I do, but you can respect how they arrived at the position, right?

Same goes for real estate investing. Pick a subject, and you’ll have 2-6 sides. One says, “You should never EVER sell anything you buy — no exceptions.” Another says, “You should do what the market dictates. What makes sense now, may be clearly a stoopid move five years from now — or was, unfortunately when you did it five years ago.”

In today’s atmosphere, one of my favorite clichés is, “We’re waitin’ this one out on the sidelines. It’s a little too crazy out there for us.” Oh really? Please tell me what the heck that means in plain English.

Crickets. Stuttering.

They don’t know — which is, of course, a huge part of the rationale. Ignorance sometimes breeds fear in us all. Not taking action is many times viewed as the safe option. Yet how many times have we all opted for inaction only to discover we denied ourselves access to some tremendous benefit? I know I have — and more than once.

Whether it’s baseball’s DH rule, real estate investing, our diet, exercise, or what car to buy, leaning on clichés in the decision making process is not only foolish, but can have seriously negative and completely unintended consequences. Yeah, yeah, BawldGuy, you’ve made yer friggin’ point. So what’s the answer? The answer?

Before I continue, I’m reminded of something Grandpa used to say when he’d frustrated me no end by insisting I back up my position with logical, rational thinking. He’d look at me with those smiliin’ eagle eyes and say, “Please, Jeffrey, confuse me with some facts. I’ll try to muddle through.”

Sometimes there isn’t a clear answer. Sometimes there’s a clear preponderance of the empirical evidence. But I’ll guarantee one thing fer sure — substitute solid, honest, in-depth analysis and research on any question or challenge you deem important, and your ultimate course of action will at least be based upon empirical data, not a cliché your Uncle Fred’s been spewing out every year at Thanksgiving.

Let’s now apply this specifically.

I’m located in San Diego, and hear local folks say, “We’re waiting ’till all this stuff shakes out naturally. We don’t wanna force anything.” Fair enough. In the next breath they say, “Real estate is local, what’s true in one market isn’t a factor in others.”

Does that mean you’re waiting for your local San Diego market to ’shake itself out’ while missing out on those markets for which growth and jobs are both very positive? See? They don’t listen to what their own words convey. Let me put it another, much simpler way.

We’re waiting for this brackish watering hole to clear up naturally, though we realize there’s an easily accessible watering hole down the road with perfectly safe drinking water. What? Huh?

Understanding what’s on your real estate investment menu is #1 on any serious investor’s list. Until you know what viable real life are available, any decision will be based upon either incomplete info or worse, a dearth of empirical data.

If you own income property in San Diego or any area like it, stop thinkin’ your menu is restricted to your local market. That’s simply not the truth. Anyone who tells you a different story is either makin’ it up as they go, shamefully ignorant, or will benefit from your belief in that false limitation.

Can it be said more plainly than that?

In the spirit of clichés, have your people get a hold of my people, and we’ll talk. We’ll construct a Purposeful Plan written in plain English which will put your retirement plans back on the right freeway. You know, the road to success. Sorry, couldn’t resist just one more cliché. Have a good one.

This entry was posted on Thursday, November 20th, 2008 at 8:00 pm and is filed under Market Correction, Purposeful Planning, Real Estate Investing, Real Estate Markets, Retirement, San Diego Property Owners. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.