Second question to ask the Box

Yesterday we touched on some criteria you should have for your investments and that we here at the RESA focus on keeping you in the box. One of those reasons was because the instructions for your success are IN the box.
One thing we do not want you to misinterpret is thinking we don't want you to think outside the box. Being creative in this industry is critical and necessary, especially in the market we are in now. However, when it comes to becoming financially free through real estate there are a few rules you need to follow when getting into any deal.
We talked yesterday about a deal being quantifiable.

The second part of the BOX you need to look at when it comes to a possible investment is your investment needs to be predictable. A lot of people ask me,
“Predictable and quantifiable, isn’t that the same thing?” Not really. What
I mean by predictable is that you can predict the future based on what your
numbers should be. Based on how you quantify things, you can predict
where things may end up. Again, predictability is key to any investment.
In other words, if you’re going to buy a property – say you’re going to flip
a property (fix it up and sell it for a profit) – you can use what you’ve
learned here to quantify it, to predict time tables; thus, you’ll predict how
soon that profit is going to come. And with that time table, you’ll then
predict your true rate of return on your investment over a one-year period.

Now you have two sides to the box. Tomorrow we will continue with the third and very critical side.