Using SMART Methodology to Achieve Real Estate Investing Goals
I want to talk to you about setting goals for your investing this year. I think 2021 will be a great year for a lot of investors, and you guys have been taking the time to learn as much as you can. 2021 will be a great year to put all of that to work. I'm going to go over some of my 2020 goals and show you that is also important to look back at our goals, see what you have accomplished, what you didn't accomplish, and also why we did not accomplish some of our goals. Let's jump into goal setting. As I look back at my 2020 goals, I have accomplished some of these goals, but not all. I'll share with you some of my goals for 2020, what got accomplished and what did not get accomplished. So very quickly I'll share the non real estate goals first, because we all have different areas of our lives besides real estate. Faith is number one, and faith is always going great, thank God, I'm very blessed. Health is number two, in my opinion. So that's always a check for me, thankfully, it's one of the things that I have always made a priority. The love life is a complete disaster. God has a plan, they say, and I have yet to see that plan. Family side, check, I have a great family and we see each other often. The fun side, also check, I have great friends.
Now on to the juicy part, real estate. Here were some of my goals for 2020.
1. Buy land, I definitely accomplished that. It's definitely not the nicest piece of land by any means. But that was accomplished. It's so funny how it happened. I wasn't even thinking about this goal that I wrote down. And when I looked back, I was thinking Oh, yeah, I actually bought some land this year!
2. Have a specific net worth, I accomplished 75% of that number. So I am short 25% of that goal.
3. Buy three commercial properties, I ended up buying four. So that is 25% more than my target.
4. I wanted to create what I call the Full Circle Project, which is a big retail center focused on tenants that are health conscious, like salad bars, a meditation place a yoga studio, juice bars, healthy food, healthy mind, holistic doctors, and so on and so forth. And this one did not get accomplished. It did not go far. Although I did find a great partner for that.
I had a few more goals and all in all, I would say that I accomplished about 50% of my goals. When I look back and I, Okay, what went wrong that I did not accomplish 100% of my goals? We all know why we did not accomplish our goals. It should not take a lot of time for you to figure out why you did not accomplish XYZ goal. The biggest issue I see in not accomplishing the rest of my goals is that my official accountability buddy and I did not follow up on our calls. And that was both of us, we did not hold each other accountable with our calls and our goals. Another serious part of this is that I did not block part of my day to really look at what is the most important thing that I can do that day, to help me get closer to my goals and take a couple of hours to just do that before getting into emails, before everything else. When we're having this one or two hours for ourselves in the morning, I think it's really important to always include the thought of how can I increase this by 100 times? Some people say 10 times, and I think 100 is even more powerful, because it really gets you thinking outside of your box, for instance who is my richest friend who would be super interested in investing in real estate? Or who is the most well connected friend of mine that has other wealthy friends that would love to invest in real estate syndication? Or what is the property that is going to give me the most return for my time? Definitely not carwashes, I can tell you that!
Let's talk about one of the most popular forms of goal setting. And that is called SMART methodology, having Specific, Measurable, Attainable, Relevant and Time-Bound goals. So let me give you one example of one of my goals for this year:
Specific: I want to partner up with a friend who is an architect and has a lot of experience in not only remodeling things, but also adding things to spaces, and not only in the single family space, but also in other commercial and multifamily space. So we want to start small, and we want to build this relationship and grow from there. So that is the goal to get into the real value add through development and improvement of a property business. Measurable: What is a measurable number for that? I want to buy and exit 12 properties, or 12 units with this friend in the Bay Area, which is where we live this year, we're going to be buying homes, or multi unit properties. At some point, she will take care of the renovations and the additions. I'll take care of the rest. And then we're going to exit. Attainable: Are 12 units attainable? Yes. She said that she will be comfortable managing even 10 projects at a time. So 12 projects in one year, I think is very doable. Relevant: Is it relevant? Yes. Homes right now are selling like hotcakes. And this is also a great way for us to not only make sure that we work well together, and also for us to be able to see and learn what other areas we can grow exponentially. Time-Bound: The last part of the smart format of goal setting is for your goal to be time bound. So we are already in January. I think it's realistic that we start with one property by February, we'll start to reach out to lenders and real estate agents to help us with the properties, and then fundraise whatever we need for the project and start working with the contractors.
This is an example of a SMART goal for the year, the SMART format. I really want everybody to thrive this year because there are going to be many opportunities for everybody to thrive. I urge you to set your goals this week for yourself, for your real estate investing.
If you want to join our group, I will be doing these calls every Thursday at 2pm Pacific, 5pm Eastern. If more than a handful of people sign up, I'm going to schedule another time a little bit later in the day. As of right now, we're definitely going have this goal setting group started, it'll be $20 a month, or even better $200 a year so you really commit to the entire year for yourself, and you get two months off.
I really want to clarify that I do not want to get into the business of real estate education. $20 doesn't even pay for an Uber ride here in San Francisco. But I really think that we can help one another out. And the reason why it's important to charge is so that people take it seriously. I have given a ton of free advice last year, and after I give people their first homework, and I tell them, When you're done with the homework, send me an email, and we'll schedule the next call. Guess what? Nobody follows up. That's because they're not paying for it, there is no skin in the game for them to show up. And so this really is to help all of us thrive and really keep ourselves accountable. I'm also going to create a Slack channel for everyone who will be part of this goals group, we're going to have different channels for people to talk about different asset classes or issues that they may be having. Right now, I don't even have a formal page for you guys to sign up for this. So you just have to PayPal at the link below if you want to participate. I hope to at least see one person there so I can hold myself accountable as well!
I do think this year will be incredible for real estate investing, there is a lot of money out in the market. And there may be some distressed properties out there. We are going to have our very first call on January 14, I will be sending you a couple of goal setting sheets that you should fill out by the 14th, that'll give you guys a full week to do that and really think about your real estate goals. And if you don't have money to invest in real estate, that's okay, you can always raise money. So this is for everybody to work together and help one another out and hold each other accountable.
Subscribe to our Goal Accountability group here: www.paypal.me/regoals
Send $20 for Jan OR
Send $200 for the whole year (2 months off)