The hook the salesmen use is that you need a coach to “get you to the next level.” If you don’t know what the next level is, the coach will help you get to whatever the coach thinks the next level is.
For many, the next level is defined in terms of income. If you are basically doing buy and hold, the coach will insist that the real money “multiplier” is in flipping. The coach may have a preferred niche for property acquisition such as subject to, short sale, or lease option; as well as a preferred niche for disposition such as wholesale flip, rehab flip, contract for deed, or lease option.
Many coaches will stress that the buy and sell technique does not really matter because you can make money at each of them, provided you know how to use the technique. If you don’t know, then the “coach” will offer to teach you and get you up to speed quickly.
If you already know the techniques, then the coach will tell you that what matters is volume. If you increase volume, you make more money by doing more flip. To increase volume, you “need” better marketing tools and you “need” an internet presence.
If you don’t know all the details about all the buying and exit strategies, then you can get nearly all the detail you need in the forums at this site. If you need something more specific about a certain technique, there are home study courses you can purchase that will be a lot cheaper than the “coaching” program.
I guess my point is that you need to know what you want, and how to get there. If you know what you want and can’t get there yourself, then you need help. You have to decide whether that help needs to come from a hired coach, or whether you can get it by networking the forums and the members of your local REIA.
For me, the goal has always been financial independence. If there is more than enough passive income to meet my lifestyle needs, then I am financially independent. I have been financially independent since August 1998. As far as I am concerned, there is no “next level” for me.
The salesmen who call to extoll their coaching progams tell me that even Tiger Woods, as good as he is, uses a coach. They then ask if I would agree that a coach could help me get my investing to the next level. When I ask what the “next level” is, the salesmen usually talk in terms of revenue. When I tell them that I am already financially independent, that I don’t have to chase the next deal to put food on the table and that I don’t know what I would do with another $1 million yearly income, the salesmen usually hang up and don’t call back.
Coaches can be useful if you lack confidence or need a push to get motivated. I just don’t believe you need a coach to define your long term goals then develop an investment plan to get there. There is no “secret” blueprint or roadmap to successful real estate investing that only the coach knows. Every one can figure out their own roadmap on their own, develop a plan to reach their destination, then implement that plan to get there.
Chances are you will get there if you sweat your own blood. If you don’t work at it yourself, you won’t be truly invested in your success. If the coach is doing all the hard work for you, chances are you will quit as soon as the coach leaves.
Just my 2¢ worth. Keep the change.