What’s the Purpose of Real Estate Investing?
The obvious answer, and the purpose most people begin Real Estate Investing is to make money. A better place to begin is asking, “What is money?” I believe money is the lifeblood of the human super-organism. Money is the channel of reward, like Dopamine, which propels humanity forward. An incentive program for continuing human evolution. Without money, humankind would not have the ability to cooperate at a global level, or even a local level.
When I got into real estate investing it took me 6 months to close my first deal. I was pretty much broke at the time, 26 years old, and living with my mom. My 5 year old daughter was in town, and with no one to babysit, I had to bring her along to the appointment to meet the seller. It was a high crime area, but I didn’t really know that at the time. I signed a contract for $5,500 & found a buyer willing to pay $11,500. That $6,000 profit changed my life. It was about the money back then, until I realized the wide ranging impact of investing with purpose.
Our Purpose is Evolution
Back then, the sole purpose of the business was to make money. Now, with a few thousand deals under my belt, the purpose of Real Estate Investing-actually all of my investing activity, has become Evolution. I’m looking to further impact human evolution with every deal I work on. Even if that means simply improving one house on one street in one neighborhood. I’m sure the neighbors on either side are happy once we are done flipping a house.
I know that many business owners & their customers are happy at our Desert Oaks Plaza shopping center, now that the vacancy is cured and the improvements have been made. The center has been transformed by our investment in both time & money. That deal is available for sale, if you’re interested in a well located, stabilized Las Vegas shopping center with rapidly rising rental rates.
Our Purpose is Making Dreams Come True
When you flip a house, you are evolving that property into an even better state than you found it. The buyer likely has a dream of homeownership-buying a newly renovated house. They lose sleep during the contract period-maybe like you, the flipper-hoping & praying that the deal closes. Once it closes, you have fulfilled that buyers dream of homeownership & made that neighborhood even better. Oh, and you’ve made a few bucks doing so.
Transform Communities One Property at a Time
This is Diamond Equity’s #1 Operating Principle: “Transform Communities One Property at a Time”. Every deal you successfully complete serves to continue the ongoing transformation of our existence. While an investor could, in theory, just buy a property and sit on it-in decrepit condition, this is NOT how we choose to invest. We believe in the impact our efforts & money can create. This is good.
The Real Estate Super Organism’s Purpose
Every person who applies effort in our field of real estate contributes to the evolution. Without the Broker, the deal may never begin. Without the lender, there is no money to buy, and certainly much lower prices across the board if they didn’t exist. Without the contractor-even the laborer-the building never goes vertical. And of course without the Principle-those of us who spot the deal, make the offer, & take the risk, none of this would happen.
Plus, God said So…
Genesis 1:28, “And God blessed them, and God said unto them, Be fruitful, and multiply, and replenish the earth, and subdue it..” Our purpose as real estate investors is to be fruitful, and multiply, and replenish the earth.