At last count, there are now at least 163.5 real estate investment associations (REIA’s) in Maryland. Ok, maybe I missed one or two, but I’m pretty sure of my count. How many of you are actual members of a REIA? Let me break down for you what I think about REIA’s and then put out a call.
Maryland, for whatever reason, seems to be a hotbed for Real Estate Investment Clubs. Perhaps its the ever-hot market, perhaps we just have a lot of budding entrepreneurs – or maybe, we just have a lot of guys who are tired of doing deals, and they want to teach. Whatever the case, I know of at least TWELVE REIA’s in our little-tiny state.
Here’s the list I came up with, but I’m sure its not exhaustive:
Baltimore REIA
DCREIA.COM
Mid Atlantic Real Estate Investors Assoc
Capital Area REIA
Washington DC Metro REIA
Washington REIA Network
District REIA
Beltway Breakfast Club no website only an email address
Maryland Real Estate Exchange Network
Young Investors Club of Crofton no website only an email address
DMV REIA
Hub City REIA
The Real Deal
Are you kidding me? Do you get it? If so, shout it out!
Let me explain. In the past, REIA’s for the most part started out rather innocently. A small group, or even a single guy would get an idea to share his idea’s, tips, failures and successes with other like minded folks. Doing so would enable each to hold-up each other and therefore all would be more successful more quickly. Get it?
That was then. Let’s fast forward to a year or so ago, and allow me (the grizzled veteran) to pull back the curtain for ya. I hope this doesn’t shatter your view of humanity.
REIA’s, my little newbie pals, are nothing more than incubators for dollars. By in large they are now set-up to bring in newbies who hopefully have fat wallets. Think about it. Do you honestly think every organization above is run by charitable people who are all simply giving of their time and money just for the betterment of others? C’mon!!!!
The Guru comes to town, making his pitch.
Most REIA meetings start with a open forum where attendees can pitch a deal, or business. Then a the featured speaker gets up, fires up the crowd about a particular investment topic, tells you just enough to get you all foamy about making an easy bazillion, then says, “I just don’t have enough time tonight to go into all the details, but my whole system of books and tapes is for sale right now in the back of the room,” and, “I’ll be here on Saturday doing a morning workshop where I’ll speak in depth about how to make that bazillion.” That meeting will cost…..dollars.
And before the guy steps down from the podium, the newbs are already reaching for their wallets.
The speaker makes a killing…..but wait…..he only makes 1/2 a killing. Guess who makes the other 1/2? You guessed it. The REIA!
Now don’t get me wrong, I’m all about the free-flow of good info. And I even think that you should pay a price for knowledge.
Problem is, most info Guru’s have figured out how to make far more selling their stuff online rather than doing a dog-and-pony show at every REIA all over the fruited plain. That has left the REIA’s in search of new ideas to make profits.
The new profit center for REIA’s: Education and Mentoring.
Today, REIA leaders see themselves in a different, yet much more lucrative light. They see themselves as that of a teacher or mentor. Now, ANYONE with any level of success (or failure) can start a REIA. If I wanted to, I bet I could have 50 attendees at my first REIA meeting.
REIA’s are now in the business of mentoring and deal partnering. Most make no bones about it. They say, “Go find the deal, put up the money, and we’ll help you….for 50% of the profit.”
That’s not so horrible, actually. But you have to ask – who am I getting into bed with? Does this person have an extensive track record of success in THIS market as well as in previous markets? Can they illustrate real proof? Can they show me a track record? And, most importantly, are they in this for my success as well as theirs, or are they in it for a fast buck?
I dare any REIA leader reading this post to tell me I am wrong. Do your research. Look into the each of the Maryland REIA above. I guarantee that most if not all offer mentoring services.
Here’s my call to you.
If you have a deal, and you need to wholesale it quick – I urge you to contact me. I’ll make you a sweet wholesale fee, and I won’t jerk you around. On the partnering front: I get so many requests to partner on deals and to mentor others. Let me just say - if you want to partner on a deal, shoot me all the details. Under the right circumstances, I’ll think about it.
