Real Estate Investment Gurus

What you must understand is that some things work for some people, but don't work for others. For example, it would be difficult for me to go out and replicate what Donald Trump has done.

First of all, his father left him several million dollars. Secondly, because of his father, Mr. Trump had very good connections to lenders and others that I don't.

But, I can still learn a lot of things from him. Like how to run a company, or how to negotiate.

I created Straight Up Real Estate Investing because I feel like a lot of the real estate investing advise out there is unrealistic. The core of this site is dedicated to the beginning real estate investor or those that simply want to have some investment property in their portfolio. Those that understand that they can get a better return on investment with real estate investments instead of stocks or 401(k) plans.

As you are seeking to learn more about real estate investing, you will probably run across some guru out there touting some product that will make you a millionaire overnight with no money down or no credit. Hopefully this page will help you see through some of the bogus claims out there.

Keep in mind though that you can learn a lot from watching the "big dogs". And there are some good books and study systems out there.

As I review these real estate investment gurus, I look to see first what they are teaching and then whether or not they live what they preach. Did they make their wealth through selling products or through real estate investing.

What to Watch Out For

Here are the top things that send up a red flag to me that the person is bogus.

1. Overnight Success Listen folks, if you never hear anything else I say listen to this. Wealth is built over time and not instantly with very few exceptions!

Okay you might be thinking "Hey what about the guys who started Google and are now billionaires in their mere '30s"

My response would be: What about the thousands of people who lost all of their money trying to get rich quick in the Dot Com era?

Or "Hey you can get rich overnight buying penny stocks and then watching them go from 10 cents a share to $20 per share!"

My response: 99% of the time this doesn't work

You see, the majority of wealthy folks built their wealth through compounding interest and building equity.

So any guru who preaches Get Rich Quick is a major turn off.

2. Over simplifying the process There is nothing easy about real estate investing. It isn't rocket science and anyone can learn it- but it isn't easy!!!

3. Over-priced Products If they are charging a fortune, it probably isn't worth it. You can learn a lot by browsing this site for free and by joining a real estate investing club.

There are some good books out there, but don't spend a fortune.

4. Fluff If they repeat themselves a lot or just spout off cliches, then it's a waste of money and they are just trying to fill pages of a book.

Make sure the information is fresh and unique

5. They aren't really real estate investors Look, I created this site and yes I really am a real estate investor, but I do not claim to know it all!

I have a lot more to learn. I'm just trying to pass some things I learned on.

But it troubles me that a lot of so-called gurus didn't even make their money real estate investing! They might invest now, but they made the majority of their wealth through selling products.

Let's get started!

From real estate investor to TV star, Donald Trump has done a lot! He is one of the biggest real estate investment gurus of all time. I can't help but be a fan. Donald Trump is somewhat controversial as he had a major feud with Rosie O'Donnell. There are some qualities of Mr. Trump that you can admire and some he himself should be ashamed of. But all in all, there are some things you can learn from "The Donald". Read about Donald Trump books here.

Robert Kiyosaki is another one of the more controversial real estate investment gurus. His advise flies in the face of some modern teachings. Love him or hate him, there are some key points that Rich Dad brings out. He scores high points on uniqueness, but is guilty of "fluff". All in all, I would say that there are some good things to learn from Mr. Kiyosaki. A lot of other gurus hate him, but I believe it's because Rich Dad has become so popular. I can tell you the key products to purchase from Rich Dad series. Some critics think the whole Rich Dad story is made up. Read more about Robert Kiyosaki here.

Who can forget the late-night infomercials of Carleton Sheets? I have been sucked in a few times myself late at night. After all, they were quite captivating. But unfortunately, just because you make a good infomercial doesn't mean your real estate advise is good. Mr. Sheet's advise is very elementary. If you knew absolutely nothing at all about real estate investing then you might get something out of his products. Although he appears to be a nice man, and is a real estate investor himself, I'm not impressed a whole lot read more...

Dolf de Roos- I purchased Real Estate Riches, an audio program from Mr. de Roos. It was very basic and elementary. There were two things I didn't like:

1. Mr. de Roos leads the readers to believe that investing in real estate is simple. He way over simplifies the process.

2. He claims that simple inexpensive things such as painting can add several thousand dollars to a property's value. Not True.

Here's what I do find interesting about Mr. de Roos. He has something he calls a 100-10-3-1 rule. Basically, you look at 100 properties, put an offer on 10, 3 offers should be accepted and you purchase 1.

I don't agree with that entirely, but I do agree with a variation of it. I applaud him for encouraging investors to look at numerous properties.

It's important to look at numerous properties, and I believe 100 is a good number, because you really get to know the market by looking at that many.

But don't make offers on 10. Mr. de Roos claims that if 3 offers are accepted you offered the right amount. If more than 3 are accepted you offered too much. If less than 3 are accepted you didn't offer enough.

The problem is that you will anger a lot of realtors if you do this. They will not want to work with you if they know this is your method.

Instead, look at 100 (yes I know that's a lot but it's worth taking your time) and narrow your list down to 5-10 properties. Than have a realtor show the properties to you.

Pick out the best one and make an offer where you'll have at least 20% equity in the property compared to market value.

If they don't accept and you cannot buy it at a discount- move on to the next.

Soon your realtor will kick in and realize what you are trying to accomplish and will help you greatly.

Dolf de Roos c.d.'s are okay if you find them cheaply on Amazon or something, but don't waste a lot of money on them.

Robert G Allen- I have never read any of Robert G Allen's books or products. I do know that Carleton Sheets was associated with him and a lot of his products are titled "No Money Down", so I would be very skeptical of him.

I want to be honest and fair and state clearly that I haven't read any of his books. So I don't feel right about offering a critique.

All I will say is be cautious. If you do purchase one of his products, please let me know what you though of it.

In summary, be careful of any guru selling you anything. The best way to learn real estate investing is:

1. Find a mentor who invests in real estate. You'll learn more from this person than me or anyone else could teach you.

2. Browse free websites. You're here reading this, so you're already doing it, but continue browsing websites, blogs, and forums.

3. Buy a small single family rental and hire a property manager. The small investment will give you a taste of real estate investing. Hire a professional management company because they will teach you a lot also because they work with investors and properties for a living. I've learned more from my property manager than almost anyone.

4. Join a real estate investing club.

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