I want to talk about how to move from a transactional based mindset to an exponential leveraged based mindset.

So if you’re a real estate agent or not, a lot of us tend to be trapped in a way of thinking. A way of viewing business, a way of doing deals and it’s very deal centric. It’s very transactional by nature. We initiate and originate a deal. We work to close the deal we move on, right? Simple. But what we don’t often do is look beyond that and challenge ourselves to think a little bit differently. Real estate, personal finance, planning for the future, creating wealth using the time value of money.

Exponential leverage based mindset

Look at real estate as a means to an end, looking at deals as a stepping stone. A lot of our disposable income comes from scaling and building your brand. We start to have more and more disposable income that we can use to invest in other assets and things. I’m a big fan of looking at real estate. What’s close to us what we know, we understand the markets. We can find and locate and source deals off market.

Oftentimes come across things before the general public does, is why not invest our hard earned money into real estate. And the thing that we know a lot about, we have familiarity, we have lower risk. We have better opportunity versus just turning it over blindly to a financial planner or investing in a mutual fund or stocks or other what I call paper assets.

So when we start to look at a different way about wanting to build some passive income streams over time so that we don’t have to be trading time for money for the rest of our career, we don’t have to be working 50, 60 plus hour weeks as a broker in a transactional mindset. So in order to switch the mindset, we have to do a couple of things. What I’ve realized is we have to start looking at real estate from the lens of a principle and investor and owner, much like a principle client that we serve and work for.

So instead of just being an agent, servicing the needs and the desires and the aspirations of our client, we want to start serving the needs and aspirations of ourselves too. So to do that we need to start thinking like an investor. What does that mean? That means, and this is a whole body of knowledge. I’m going to just touch on a couple of high points here. Investing in the education, the knowledge base, the skillset to evaluate deals and markets to capitalize and fund these acquisitions. To structure partnership agreements, to manage a property, right. We have to learn the skills and the knowledge around it.

Then we need to start thinking a little bit bigger and differently. Challenge ourselves to look beyond the next deal. Why don’t we take some of our commission money from the last couple of closings and invest it as a down payment in a duplex or a four unit apartment complex, bring in a property manager or management company when you get up to several different units and then start to create and establish a passive income stream.

It’s not time for your labor

This I’ve been able to do through hospitality properties, apartment complexes and multi-family and some other sectors or property types of real estate to great success. Because now I actually make more of those businesses, largely passively, some management and time spent obviously, but far more passive than let’s say being a real estate broker. I make a lot more on those than I do as an agent and broker. When we shift that thinking, we can start to open up and create new evidence of income of wealth and of freedom of time. For me, at least I work really hard to create more independence, more freedom, more options, to travel and engage in the projects I want and do the things I want to know that people want to do that with when I want to do them.

So we’re going to do that. I can’t be tied to a location or a transaction, always need to find other ways to think differently, to think exponentially. And to do that, to the concept of leverage, leveraging my money, other people’s money, meaning the banks, leveraging my skill set and knowledge in investing in real estate investing and putting all this together to start to become a sophisticated investor. And that’s what I’ve done. I love being able to think and grow income and wealth and create freedom this way. And I want to help other people do the same.

So hopefully this inspired you in some way to think a little bit differently about mindset. About the transactional mindset that a lot of real estate agents have and move more toward a transformational one. Moving more towards being a little bit more exponential in our thinking. Do more with less, use the concept of leverage of capital knowledge, time, access to deals to create more income and wealth. Because that’s what good astute real estate investors do. So if you’ve found value here, drop me a comment, share with somebody who could benefit from it. And again, as always to your success, your happiness and your freedom, we’ll talk to you next week.

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