The greatest companies in the world start with what the customer wants; not what they want the customer to buy.  Every customer is different.  At some companies, different products may have different customers.  A mentor told me once, “THE CUSTOMER, THE CUSTOMER, THE CUSTOMER; Tim, have you talked to the customer”.

So here is my frustration today…

The single family investment space is being invaded by “Great Ideas” that are being created by people that are not investors.  They read the Wall Street Journal, see something Uber did, and think it could be the next big thing.  Then they mention it in a conference room overlooking a busy street, and everyone scurries about trying to make the boss’ big idea work.  They cram it down the target customers throat, then wonder why the customer will not buy their great idea.

Here is the biggest secret; THE CUSTOMER IS RIGHT.  Period.  End of story.  I’d love nothing more than for every one of the 1,000 motivated seller calls I receive every year to just fill out a web form; and schedule their appointment online.  It would save me hundreds of thousands of dollars!  It would be so efficient.  There is just one problem.  The motivated seller wants to talk to someone.  They have a problem.  They are confused.  They are scared.  They are not trusting.  They are a dozen other things.  What they aren’t, typically, is an Uber passenger!

You really have to think about the demographic of the person that is going to be your majority customer.  This can change by product line, region, and generation.  What I mean by generation, is the way you sell to a 37-year-old white male (me) today, is going to end up being completely different ten years from now.  What you CANNOT do, is force ME to buy the way you want the guy who is 27 (and will be me in a decade) to buy when he can.  If you do that, you know, if you are ahead of your time; you may not be in business when that customer is ready to buy.

I’ve seen a dozen companies try to be too evolved, too quick.  It is a death sentence for a company, and your staff.  Spend some time TALKING with your customer.  If you have multiple products or services; make sure you truly understand the audience for the different offerings.

AND FOR GOD’S SAKE, don’t try to act like you are smarter than everyone else.  You cannot learn anything if you are always the one talking.

Do you want to grow your personal rental portfolio or scale your fix and flip business?  Are all of the options out there too difficult to understand?  Wish you had one place to call for any and every product?  Now you do!  2020 REI is launching a new finance division on February 1st, geared towards helping the individual investor cut through the red tape that is getting a loan for investment property.  For the last two years, I have been on the leading edge of introducing institutional capital to individual investors.  As many of you know, I left my position at B2R Finance six months ago.   Continue Reading…

As many of you know, I am now a Managing Director at B2R Finance – America’s Buy to Rent Lender. Helping start B2R has given me the opportunity to bring dependable, consistent, and reliable products (financing and more) to our community. We have needed these products for far too long. At B2R, we are focused on you. This company will change the way we all invest in real estate. It will allow us to build rental portfolios, and invest in our own futures. The goal? B2R Finance will be your trusted partner in your residential real estate investing business.

To do this, I have had to place my other companies in the hands of trusted partners. These partners are people I have known and trusted for years. While I am still an owner in these companies, I am no longer directing the day-to-day operations. I am focused on the culture and direction of the companies, and you have my commitment that we will maintain the standard of excellence you have come to expect from me.

I have sold a Continue Reading…

Changes are coming in 2014

January 9, 2014 — 3 Comments

Real Estate Investing can be tricky.  It involves a lot of moving pieces, and you must have a great team, or you can lose a lot of money.  First, please congratulate Jason Riney on becoming my partner within my house buying business. This real estate investing business buys more than 100 houses a year on average.  Jason has worked with me for six years, and has been a part of over 700 transactions. Jason will be taking over the day-to-day operations of our HomeVestors Franchise. This will allow me to focus on Continue Reading…