The SECRET to raising capital is helping your jv real estate partners feel more comfortable.
You are a professional real estate investor – you know that there are “risks” when it comes to real estate investing…
But you’re trained to understand how to deal with all of it right?
We have to understand that MOST of the jv real estate partners we speak with are NOT.
They get caught up in the ‘what if’s’ of real estate investing.
- What if the tenant trashes the place?
- What if the interest rates go up?
- What if the property value decreases?
- What if the property goes vacant for a month, or two, or six?
and so on..
My first question/answer to them is “what if it DOESN’T?”
And they may respond with:Â “yea, but I’ve heard…” or “well that’s not the way the world works…nothing’s perfect”
BINGO.
Nothing ever IS perfect – so I’m sure whatever they’re investing in right now is NOT perfect either!
When you’re talking to potential jv real estate partners, you have to identify and understand their concerns.
People will not invest with you just because you have a fancy brochure or PowerPoint presentation.
Here’s a tip from my Joint Venture Presentation Formula:
people will only ‘buy’ from you when they feel understood –Â not just when they understand you.
Read that again because it’s important.
We feel we need to make people understand US.
When it’s really the other way around.
WE need to understand THEM so we can HELP them understand US.
And it’s not only in real estate investing.
A lot of my coaching clients have challenges elsewhere in their lives besides getting more jv real estate partners.
It could be with property managers, renovation teams, tenants and yes, even their spouses.
One of the questions I always ask them is if they are truly present in the conversations…
Are they listening to what the other person is saying?
Are they making it a point to understand them FIRST before countering with their own perspective?
I know I’m not 100% on this…
And I would guess that most real estate investors could use some work on listening to the other person before they come to the conclusion “they don’t understand me”…don’t you agree?
In life, in any negotiation or influence situation, it comes right back to understanding the person you are negotiating with or influencing.
And when you understand what they want first, it’s so much easier to help them…
Including offering them your real estate opportunity.
I’d love to know your thoughts on this – let’s start a conversation below!
The old adage of “Seek first to understand, then to be understood,” has always rang true.
Joe you are so right.
Most of the stuff we already “know” – but are we actually “doing” it?
My mentor and coach Brendon Burchard always reminds me “it’s common sense, but is it common practice?”
🙂
Thanks for the comment Joe!