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The Mindset You Need to Succeed in a Challenging Real Estate Market with Trevor McGregor · The Academy Presents podcast

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Did you know that 90 % of the world's millionaires
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invest in real estate? Well, I'm Angel with the
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Academy Presents Real Estate Investing Rocks
0:13
and I'm here to help you if you want to go for
0:16
your piece of that pie. Are you new? Are you
0:20
new to this and you just don't know where to
0:22
start? It's okay. Are you someone that has invested
0:26
but you feel stuck? You feel like you've lost
0:29
momentum? You don't know where to really head
0:31
from here? Are you a seasoned real estate investor
0:34
who is doing great, but maybe you just want to
0:37
hone a few skills here and there? This is the
0:39
place for you. The Academy Presents Real Estate
0:43
Investing Rocks podcast will connect you with
0:46
industry experts so that you can save time, avoid
0:50
costly mistakes, and begin living the life you've
0:54
dreamed of all through real estate investing.
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You're already taking the first step. just by
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joining us here today. Hey guys it's Angel and
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you are at the Real Estate Investing Rock Spring
1:08
Summit and I hope that you are having as much
1:11
fun as I am. These are my six favorite days of
1:13
the year because we do this twice a year. I've
1:17
had amazing guests and I want to remind you that
1:19
there is that super stealthy way to get over
1:22
to the VIP upgrade if you get your VIP subscription
1:25
and remember with that subscription you're going
1:26
to get over 350 hours of content from every summit
1:30
we've ever done amazing sessions that you get
1:33
to go through at your speed at your leisure on
1:36
every repeat you want so that you can take every
1:38
note you need so with that We're going to flip
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over because now we have my friend, my coach,
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Trevor McGregor, and we are going to talk about
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some things that are really real right now because
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I think there was a lot of discouragement going
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on out there in the space and you don't need
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to feel discouraged. There's no reason to be
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discouraged. There are tons of deals out there
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still. And even if you feel like you're fighting
2:02
tooth and nail and you can't get anything, you're
2:05
still learning in that process. So don't discount
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what's going on. And don't let it discourage
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you because you're learning each and every time
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you work through one of those things. So Coach
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T, I'm going to hand it over to you and let you
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intro yourself because I don't want to miss any
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of those important parts. And then hopefully
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we can have a really great conversation. Well,
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thank you so much, Angel. Great to be here with
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you as always. And yes, for those that know me,
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hello. And for those people that don't know me,
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I am Coach T, Coach Trevor McGregor. And I'm
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a high -performance, peak -performance master
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platinum coach with well over 30 ,000 coaching
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sessions under my belt. I worked with and for
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the man, the myth, the legend, Tony Robbins,
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for half a decade as one of his top business
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coaches. And further to that, I am a real estate
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investor. I've been investing in real estate
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now, gosh, angels, since 2003. So we're hitting
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the two decade mark or the 20 year mark, which
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is just mind blowing. So it starts to tell my
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age here, but you know, I'm that guy that people
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hire or call or turn to when you want to go further
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faster, when you want to turn decades into days,
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when you want to optimize and maximize what it
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is that you're doing. And a lot of it boils down
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to what Tony Robbins says, which is success is
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80 % in psychology and then 20 % mechanics or
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what you do. Because again, as you know, and
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Jason knows, it's this three pound mass between
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our ears, that's really going to help or hinder
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us from going out there and doing what it is
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we want to do. And it's also this three pound
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mass between our ears, our brain, that can literally
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go into a funk in a difficult time. And let's
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be honest, like you teed it up at the top of
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the call here, you know, it's a different time
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than it was in 2017 2018 2019 2020. Right, we
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go through the pandemic. of 2021, you know, kind
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of, you know, curtail it in the end of 2022.
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And here we are in 2023, facing a little bit
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of a different landscape in the economy with
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interest rates, you know, with cap rates with
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deal flow. And a lot of people can go into a
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little bit of a depression, thinking, Oh, my
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God, what am I going to do? And that's what we're
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going to talk about today, how to get on the
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other side of that, because for the committed
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There's always a way. And as always, I like people
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to take notes as we go here, because I'm going
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to drop some bombs. And by the end of this conversation,
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people are going to have a whole new paradigm
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to see through about what's possible in 2023
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and beyond. So how does that sound? That sounds
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amazing. And I'm looking forward to it, too,
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because, guys, this isn't just for you. This
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is for me, too. We're all being discouraged.
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We're all facing the situations where we're all
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going through backfills. We're going through
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people that sign all the documents and the next
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we know. Nothing gets wired. We're all facing
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these things. We're all facing what seems like
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zero deals. And there's 20 of us fighting for
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one deal that really isn't even that great. And
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how do we face that? How do we grow from that?
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How do we put that in perspective and not be
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just mowed over by it or just totally destroyed
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by it? Because you don't have to be. We can all
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grow from this. We can all learn from this. And
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you can just use it as a springboard so that
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the next time you're going after a deal and there's
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20 people after you can be like I've already
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been through this man I know how to get through
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this and you'll make it to best and final and
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you'll get that deal so that was all I wanted
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to say because that's just something on my heart
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and I don't want people to think that I'm above
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and beyond what we do here because a lot of what
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we talk about is what's on my heart and guys
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I'm just as discouraged as you are right now
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That's it. And I love that you say that. I love
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that you're real. You're raw. You're vulnerable.
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Just like some of my other clients. I think,
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you know, and maybe the listeners know that I
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coach people like Joe Fairless, right? Who's
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arguably one of the leaders in the space or Dave
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Lindahl. I coach Dave or Dr. Vikram Raya with
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Viking Capital or Tyler Chester with CF Capital
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or Holly Williams or Amy Silvis. I coach a ton
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of people, but I also coach Angel Williams and
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Jason Williams and have for years. And again,
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like I said, for the committed, there's always
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a way age, age, angel and Jason are doing deals,
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they're, you know, bringing like minded people
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together. So it's not that they're sitting on
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their hands waiting for this difficult time to
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go away. It's almost like they're leaning into
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this difficult time knowing that they're building
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the muscle of calling brokers, underwriting deals,
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you know, seeing who is either interested or
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committed to raising capital. And sure, you might
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have to make a few more calls than you did. Like
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I said, in 2018, 2019, 2020. But I'm telling
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you, there's a lot of people out there that are
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looking to place capital because they're afraid
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of the stock market, right? Or maybe they've
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been hurt in cryptocurrency. I know that I've
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experienced some stock losses and some crypto
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losses. And that's why I double down on real
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estate, knowing that it is the best, you know,
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wealth vehicle on the planet. We know the statistic
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angel. 95 % of all multi multi multi millionaires
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or billionaires made some money and a huge portion
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of it through real estate. And that's really
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where I want to talk about that there's a reason
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for every season. And I'd write that down. If
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I were you, there's a reason for every season.
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And sometimes it's been summer for real estate
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investing where it's easy. It's fun. The sun
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is shining. We're at the beach. We're jumping
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in and out of the water. We're building sandcastles.
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It's enjoyable. And then this little thing comes
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along called fall where, oh, the weather starts
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to get a little bit of cooler. Maybe the water
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is colder. Maybe the beach starts getting deserted
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a little bit. And then comes winter. And again,
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winter is part of the seasons. That's how this
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whole planet was created. And I'm telling you,
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Angel, some people are going to freeze to death
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in winter. And then you get the other people
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that embrace winter. and they'll build a snow
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fort a snowman put on skis or snow shoes and
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go out there and have fun well that's a metaphor
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for the time we're in right now because let's
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be honest summer has sailed right we have enjoyed
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literally a beautiful run up after 2008 and 2009
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that was a pretty cold winter 2010 right through
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to 2015 2018 2020 even 2021 and 22 I know a lot
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of people who made a lot of money in real estate
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investing. And it doesn't matter if you're new
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to real estate, maybe you're an intermediate,
8:23
maybe you're an expert in it, right? Maybe you're
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in multifamily syndication or self storage or
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mobile home parks or assisted living. Doesn't
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matter what asset class you're in. Doesn't matter
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how long you've been doing this. We're all going
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to have a reason for our season. So as we've
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left summer, we got into fall and now some people
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are thinking it's winter. You have to be at cause
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of choosing up here, whether you're going to
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freeze to death in winter or if you're going
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to build a fire and surround yourself with like
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minded people like the Academy rocks or this
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people of this summit, which is phenomenal. I
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honor you for putting this on and literally remember
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that a high tide lifts all boats because I know
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that I, along with a lot of my high performing
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clients, some of those names I've mentioned,
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but there's tons more aren't just interested.
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We're committed to continuing the journey. right?
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Because we know as we go through winter, and
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we go through winter, and we stretch through
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winter, and we, you know, really persevere and
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have a lot of resilience, and access courage,
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we have a unique opportunity to know that markets
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are cyclical. And as interest rates go up, I'm
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pretty certain that at some point, interest rates
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are going to come down, you know, and the market's
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going to shift. And it's going to be springtime
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again. And after springtime, because we've done
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the work in winter, spring is going to be a lot
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more fun that then leads us to our next amazing
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summer. So Angel, I'll let you speak to that.
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What do you think of that analogy? Well, I think
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that's really awesome. And I really think about
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like, even like a hibernation, you know, your
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your animals that hibernate or they're eating
9:57
everything they can before they go into a deep
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sleep. And I think of that as like an educational
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process. So there's going to be a lot of pivoting
10:05
happening. And I know everybody talks about pivot
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this pivot that But I'm talking about people
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are going to pivot from massive, massive action,
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like on the scene, getting deals done to educating
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themselves as to what needs to happen in this
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current environment. So you're going to be eating
10:21
up all of this education because you might need
10:24
to hibernate for a little bit. You might need
10:26
to be very careful and cautious about what you're
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going after because you might be hibernating
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for so long that when a first deal kind of breaks
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its head out, you think this deal is amazing.
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and you jump on it when it might not have been
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that amazing and so be careful yeah just be careful
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about what you're choosing because it's a little
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slim and you don't want to go after something
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just because it's showing up so use this time
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to really eat and get ready for some hibernation
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and that way when you come out of that deep sleep
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you are ready to attack because things are going
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to get better Every business cycle has ups and
11:06
downs. That's just how it works. And I want to
11:10
be a helper for you. I want to be a place where
11:12
you can educate yourself and you can get a lot
11:15
of food and a lot of nutrients before you go
11:17
to hibernate for a little bit. And so you can
11:19
come out of hibernation with this newfound thought
11:23
process and newfound storage of information so
11:26
that you can come out and attack and do it great
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and go after it and do amazing things. Yeah,
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well said, my friend. And again, it's almost
11:33
like that Tony quote that those who fail to plan
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plan to fail. And it's in a time in winter when
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you can study, you can learn. That's why the
11:42
summit is so powerful. If you look at all of
11:44
the different speakers here and all of the different
11:47
panels, it's empowering to see that these people
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have also navigated ups and downs and summers
11:53
and winters. But if there's one common theme
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is that they double down on their education,
11:58
they double down on their peer group. They double
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down on literally remembering that repetition
12:04
is the mother of skill, right? And that's why
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we are still, you know, like you say, gorging
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on the berries and all of the different foods
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or education that we can. Maybe we're learning
12:12
better terminology. Maybe we're underwriting
12:15
better so that when the time comes and we do
12:17
have a deal that pops up, you know, we're not
12:20
sitting there wondering, geez, what should we
12:21
do now? Right. That's why I say you got to keep
12:24
your foot in the game. And again, it's different
12:26
strokes for different folks, Angel. Some people.
12:28
aren't hibernating and they're going after it
12:31
while everyone else is sitting on the sidelines
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waiting for you know numbers to change and then
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you got the people that are taking it very carefully
12:38
and like you said not just jumping into a deal
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to do a deal because that's a disaster right
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there's still a ton of outstanding deals available
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to us because we know that you might have to
12:50
look at a whole bunch of them and where you used
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to look at you know 50 deals to find i don't
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know 30 that might pencil or 20 or even 10, you
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might put in an LOI and get to best and final
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on maybe one or two or three of those. So now
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you have to just expand your belief system and
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say, all right, I might have to look at 100 deals
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or 200 deals or 300 deals. But the fact remains
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that, you know what, success leaves clues. And
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the more you do what she's talking about and
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you hibernate and you underwrite and you practice,
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I'm telling you what you practice in private
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makes perfect in public. And again, that's a
13:25
Tony ism, where when you really, really are not
13:28
again interested, but committed to furthering
13:31
your education and real estate, furthering your
13:33
peer group furthering what I call professional
13:36
pillars, that is, do you have the right, you
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know, asset managers? Do you have the right property
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managers? Do you, you know, have the right, you
13:45
know, attorneys, do you have the right lenders?
13:47
Or do you need to look at credit unions? This
13:49
is also a time where we can do a ton of market
13:51
research and data. see and not only, you know,
13:54
what's the migration, but where jobs and, you
13:57
know, where are offices opening up new world
13:59
headquarters. And there's just so much that we
14:01
can do to be at cause rather than at the effect.
14:04
Would you agree? No, absolutely. And I really
14:06
think this is, this is really a time where you've
14:10
got, you've got the time and space to do a lot
14:12
of internal reflection too. And this is really
14:15
one of those places where you can do those internal
14:18
audits or those friend audits where You can take
14:22
some of that introspection and be like, man,
14:25
if I'm the average of the five people I'm closest
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to, do I need to change those five people? Or
14:32
do I need to change those five friendship groups?
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What do I need to do so that I can level up?
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Because hibernation doesn't mean you're sleeping
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on the job. It means that you're taking the time
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to be introspective and make sure you know what
14:44
you have to know to excel as soon as the time
14:46
comes for you to be able to jump out there. It
14:50
sounds really crass and cruel that you're going
14:52
to be auditing your friends circle, but. Sometimes
14:55
we outgrow some people and that's not them. Yeah,
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I love that too. And again, I think what stacks
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on top of that is we can do that. You know, personal
15:04
inventory of our friends, but we can also do
15:07
personal inventory on ourselves, right? Because
15:09
I guarantee that all of us, me included, all
15:12
have another level to where we want to go. I
15:15
mean, if you're poor at something. Poor is not
15:18
the way to show up in 2023. You want to at least
15:20
get to good or great. If you're already good
15:23
or great at something, why not push the pedal
15:25
to become excellent or outstanding? And sometimes
15:28
that means surrounding yourself with different
15:30
people, going to different meetups, attending
15:33
things like, you know, Joe Fairless is best ever
15:35
event that I know we're attending together with
15:37
Jason, and you know, about 100 other of my favorite
15:41
peeps on the planet. Because again, this is all
15:44
being you know, really future friendly, knowing
15:47
that every single thing that you want is available
15:50
to you. And holding that belief that even though
15:53
it might take a little bit longer, even though
15:55
we're in an economic winter, summer is around
15:57
the corner. And that's where you got to really,
16:00
you know, take that personal inventory of, you
16:02
know, how are you at talking to brokers? How
16:05
are you at underwriting? How are you at raising
16:08
capital? How are you at running the asset? right?
16:11
How are you at negotiating better insurance terms?
16:14
And if it's not you, who on your team can help
16:17
you do that? Because as you know, I really subscribe
16:19
to Dan Sullivan and Dr. Benjamin Hardy's book,
16:22
Who Not How, and if you people have read it,
16:24
congrats. And if you haven't, that is a must
16:26
read. It's a really short, easy read. But at
16:29
the end of the day, when Angel talks about taking
16:31
that personal inventory of friends, you can also
16:35
take a personal inventory to see where you're
16:37
at in your real estate journey. and what I'd
16:40
speak to there is don't make it good or bad or
16:43
right or wrong no matter what you know level
16:45
you're at or what number you give it because
16:47
that's just a benchmark that invites you to go
16:50
to the next level right so you might say on a
16:53
scale of one to ten um I'm a six at underwriting
16:57
right don't make that good or bad right or wrong
16:59
maybe you want to get up to a seven or an eight
17:01
or you maybe want to subscribe to the who not
17:03
how philosophy and find somebody that's an eight
17:06
or a nine to bring on your team or that you can
17:08
contract out. Same thing with any of these things,
17:11
because how you do anything is how you do everything.
17:15
And the same thing is true in terms of sales
17:17
and marketing. I mean, I know we got a lot of
17:19
capital raisers watching this, and they're struggling,
17:22
as we talked about pre record here, with just
17:25
how tough it appears to be to raise capital,
17:27
right? Or how many people say they're coming
17:30
in, yet the wires never show up. or if they say
17:34
they're coming in for 100 grand, they call you
17:37
up and say, you know what, I'm only coming in
17:38
for 50 grand. And so we tend to really get disappointed
17:43
as capital raisers when we enter a different
17:46
time because of the law of familiarity. And what
17:50
does that mean? Well, the law of familiarity
17:52
is a law that decrees or means that when something
17:56
is unfamiliar to us, it tends to take us down
17:59
a rabbit hole. versus, I mean, you could raise
18:02
capital in 2016 2017 2018 2019 2020, even 2021
18:08
and 22 fairly easily. But now we've hit the top
18:11
of the curve and we're coming down the other
18:13
side to where, you know, people start to feel
18:16
like they're not good enough. They're not smart
18:18
enough. They've run out of family and friends
18:20
to call. They're not sure how to go out there.
18:23
And you know, whether it's a you know, a 506
18:26
B or 506 C, they don't want to get into trouble.
18:29
And ultimately, they don't leverage things like
18:32
the internet or LinkedIn or Facebook or educational
18:35
based webinars or some of those things. So you
18:38
can see how we've come full circle here that,
18:40
you know, if you're struggling to raise capital,
18:42
this is a great time to do what Angel is saying
18:45
and double down on taking a personal inventory
18:47
of what you could be doing, like some of the
18:50
other people because success leaves clues to
18:52
take your capital raising to the next level.
18:55
But you first got to start with the mindset.