Weekend Millionaire’s Secrets to Investing in Real Estate :: review

Of all the approaches to real estate investing that I have been exposed to (books, seminars, CD’s, and networking), the one presented by Mike Summey and Roger Dawson is the one that I have adapted as my own. I like their approach for many of the same reasons that their book is not a best seller: it’s not about getting rich quickly, it requires due diligence, and it’s based on honesty.

Mike Summey

I met Mike Summey at a Real Estate Wealth Expo in New York. I listened to about fifty different real estate gurus that weekend including Robert Kiyosaki, Donald Trump, and more; and I have to say that Mike Summey was my favorite.

After hearing guru after guru preach slick sales tactics or how to take advantage of people in distress; Mike’s down-to-earth demeaner was a breath of fresh air. He even emphasized how close he was with his tenants, having them over for get-togethers and holidays.

I also found him to be genuinely interested in helping other people. While most gurus were selling their tape sets for thousands of dollars, his was less than a hundred.

Farming

The Summey/Dawson technique focuses upon “farming” a neighborhood one day a week on foot until you are an expert. A “farm” is a real estate term for a neighborhood of just a few thousand homes. By narrowing your search to a farm, you can be in a better position to spot deals than most real estate agents and investors who keep track of an entire city.

Long Term Focus

This book is not about flipping. The Weekend Millionaire approach focuses on finding properties that cashflow and holding on to them for the long haul. Most people that I talk to want to learn how to flip. They hear stories about tens of thousands of dollars being made in a matter of weeks, and want a piece. While flipping has its place, holding properties for long term cashflow and appreciation tends to be a better technique for building long term wealth.

Negotiating

Roger Dawson is a world-renowned negotiating expert and shares some of his advice in this book on how to get the best deal possible. I like his approach because it is very professional and respectful. While many people use negotiating techniques to take advantage of other people, Roger Dawson emphasizes coming up with win-win deals.

Emphasis on the Numbers

The book places a specific emphasis on only entering deals that meet the strictest cashflow standards. There is a very detailed list of expenses that they suggest to consider when running the numbers on a deal. Many real estate investors make the mistake of buying a property that doesn’t conform to strict cashflow standards hoping that they will make up for it in capital appreciation. The Weekend Millionaire approach teaches caution and patience.

This is the first book I would recommend to anyone interested in learning more about real estate investing. Like all legitimate paths to wealth, this one requires hard work and intelligent strategy. Roger Dawson and Mike Summey hit the nail on the head with this one.