Naive investors are out of business or bankrupt. The economy has forced home values to tumble and home sales are slow. So now, the remaining investors have chosen to sit on the sidelines and mumble things like, “I’m playing it safe. I’ll jump in once things have settled down.”
Savvy investors laugh at this “poor man’s mindset.” But some of them can’t. Why? Because they’re too busy doing deals and cashing checks. On occasion, they do laugh… when they walk out of yet another closing with a big fat check on the way to the bank.
So what do these savvy investors know that the others don’t?
They realize that they’re not investing in a market. They’re investing in a deal. And they realize that in today’s market, there are more desperate sellers and more deals than ever. They know that the best time to invest is when there is the most opportunity. And clearly, that time is now.
Warren Buffet explains it best. “I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful.” In today’s market, others are fearful. What will you choose to be? Choose to be rich.