
We have a lot in common. We both started reading books about real estate when most of our fellow students were only thinking about buying cool cars.
After we graduated college, we pursued our real estate dreams in different ways. Gary put his energy behind acquiring properties, while Donald gravitated toward development.
But when we got together last year to work on the book Trump University Real Estate 101, we learned that we shared some common traits. In sum, they could be termed The Trump Mindset for Real Estate Success. It is a mindset that is explained in depth in that book.
What parts make up that mindset? Let's take a closer look.
A Thirst for Knowledge
We're both voracious readers. We continuously open our minds to new ideas and new information about real estate - and about the world at large too. We also share a love of motivational self-help books, because we are both positive thinkers.
A Mastery of Details
Positive thinking won't help you if you haven't sweated the details. To develop real estate in New York City, for example, Donald has needed to know just about everything about zoning, contractors, architects, air rights, unions, tax law and thousands of other details. Donald says, "People often comment on how quickly I operate, but the reason I can move quickly is that I've done the background work first, which no one usually sees." Without in-depth knowledge, which comes from curiosity and education, you will never make a fortune in real estate.
Responsibility
You need to make decisions. You listen to the opinions of experts, of course, but you can never allow your advisors - even the best of them - to make the important decisions for you. That is your job.
High Standards and Impeccable Integrity
This is another way of saying that your goals should not just serve you, but other people too. Dishonest people are out there. They will urge you to cut corners or do things unethically. Stay above that. Don't let them influence you.
A Drive to Make Deals
To get to the top of the real estate world, you need to make deals: deals with property sellers, property buyers, contractors, and so many others. Real estate progress is made in deals. That's why it is important to spend time with some of the classics on the topic, like Donald J. Trump's now-classic The Art of the Deal.
Donald J. Trump is Chairman of Trump University. Gary Eldred, PhDis Professor of Real Estate at Trump University.
Now's the Time to Get Started . . .
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13 Comments
In the case of the stock market- the task is to maximize profit and minimize loss. The math gives you an opportunity to organize all known factors that affect whether or not profit or loss will be achieved in a given situation and how to trouble shoot to change things around in the event things aren't satisfactory. Artists already use this sort of process, although unrefined. The math refines it. Based upon what I'm seeing, people in business have yet to achieve the level of intellectual refinement and problem solving that are routine parts of creating art and instead as we speak today deal with things on a point basis- looking at individual elements that go into- say creating a building to be sold- without any real understanding of how the elements relate to one another. Whereas in art you HAVE to be able to look at all the individual elements that go into that piece of art at once and be able to see how they all relate to one another at once to be able to see if the finished artwork is working, and if not, what isn't working so that the artwork can be fixed to work as expected. So it is very interesting to me how people tend to look down on artists and regard them as stupid when in fact they are consistently operating at a higher level intellectually than your average businessman.
Since this is a real estate column- Let's apply how artists think to selling real estate. So what is the question to be answered when analyzing a piece of real estate to figure out how to best handle it? That depends upon what your goal is. So let's assume real estate is a product to be bought and sold. What is the purpose of that venture? To get the product sold - correct? So analyze the real estate according to all possible factors that might affect the ability to sell the real estate and rate the real estate against those individual factors for how likely or not you will be able to sell the real estate, treating them as isolated events and make changes accordingly to compensate for weak factors- For example you may find upon analyzing the real estate product is that a weak factor preventing the product from being sold is the asking price is wrong (i.e. too high or too low). That means in order to get the real estate sold is you change the price. Or the timing may be bad so in order to get an acceptable price requires that you wait. So the resolution is you hold on to the real estate awhile before selling. What you can also do is take an average of the ratings to get a sense overall of how likely it is you can get the real estate sold. So if you rate all factors on a scale of 1 to 10, with 10 being the greatest probability of a sale, a mean average of 8 is a good prospect. A 10 means the product moves. And as you compensate for weak factors to trouble shoot, your average can go from a lower rating to one approaching 10 .This method of approach gives you an opportunity to trouble shoot to bump up your average so you can get what you want of the situation at hand.
So this is the way artists think as applied to buying and selling real estate. A higher level of thinking that people in business have yet to achieve. So what was that you were saying about artist
I have been investing in realestate for one and a half years now. I would still consider myself a new investor. I bought some properties. Did some work and bought smart. Refied some and bought more.My rents are at a good level but if I keep refing propeties I am cutting into monthly profits.The first year was tough. Should we still take money out and buy others. What is the next step?
Thanks,
Trump U rocks and the show is great!
Mike D...
overwhelming and perplexing.
I talk much but taking a closer look,
so simple 5 steps can lead somebody to soo biiig responsibility!Think Big!
accidentaly on yahoo I¨ve found the Go Trump and see a part of the deals and imagine the mastery of details on wich one of them that¨s mean scanning at mm and recreate it?!each one look gorgeous.
no words. Dana
Regarding the art based mathematics analysis method outlined below as applied to real estate/business- is a general textbook explanation of how the math works. As with a general textbook explanation of how a nuclear bomb works, as North Korea has demonstrated, is not the same as getting it to work in practice. I do like the way you think so I am certainly open to the idea of helping you apply this math in a way that will work for you so you can apply it to support your various businesses. As with trying to create a nuclear bomb based off a general textbook explanation of how nuclear bombs work, you are certainly welcome to go through the school of hard knocks to try to get it to work on your own. However, provided you are prepared to provide me with fair working conditions, fair compensation and my fair share of credit, please do contact me so we can better explore how I can help you help yourself to business practices that will make your businesses run better! I like the way you think and think we can work well together. Cheers.