11/05/2021
Warren Buffett studies his investments so well, that he can very well predict what’s going to happen. That is actually his key to success and massive wealth. Warren’s intimate knowledge of an investment allows him to know when to wait, when to buy, when to hold, when to partner, and when to sell. You’ll soon learn in commercial real estate, that you can do the same.
Also, when Warren buys a company, he negotiates and gets control of the company. He gets control over 6 parts of a company that are the life and blood of any successful company. They are: income, expense, asset, debt, management, and insurance. Commercial real estate investing offers you these same 6 controls as well. There’s no way you’ll get these 6 controls with a stock or mutual fund!
1 - You control the income by raising rents
2 – You control the expense because you’re calling the shots
3 – You control the asset because you can sell it or refinance whenever you want
4 – You control the debt because you’re the one who arranged financing
5 – You control the management because you hire the property management
6 – You control the insurance by choosing the type and level of insurance desired