I caught a comment recently from Richard Taylor where someone was about to “go applying for finance to a number of lenders”.
Richard’s comment was “Don’t do that – you will FRY your credit”. Put simply, too many applications on your credit file can be a negative, so don’t “just do it” without checking first.
Richard’s warning then had me wondering about the usefulness of a “Just Do It” attitude in property investing. Certainly, for motivational things, it can be useful – but if applied in an area where we know little, it can be akin to shooting ourselves in the foot.
A favourite phrase of mine is “If you think education is expensive, try ignorance”. A just-do-it approach must surely fall on the side of ignorance in many situations.
Please share any thoughts you have, where a “just do it” attitude can be costly in Investing.
Bump !! Please help out newer investors who might have been bitten by the “Just Do It” bug.
Do you have a story to share where you (or someone else you know….) came off second best by being a bit too “Gung ho”? Moving too fast to be able to mitigate risk, confirm finance, or to complete due diligence, etc.
e.g. Did someone you know end up “buying at auction” without having had their finances pre-approved, only to find that they are struggling to complete as their finances were not as robust as they thought?
Here is one that actually surprised me – as, on the surface, I figured it could have made a few more $$ per week for myself as a landlord. Why not?
Read it end-to-end yourself, and see how “Just Do It” could be a big mistake.
BennyJamie MooreParticipant@jamie-mJoin Date: 2010Post Count: 5,069
I think the “just do it” mentality refers more so to not getting trapped into over anyalsying absolutely everything which ultimately leads to not taking any action at all.
Agree with not applying with lots of different lenders – that can wreak havoc on your file.
JamieCorey BattParticipant@cjaysaJoin Date: 2012Post Count: 1,010
As always, pragmatism is needed.
I do quite like the ideology behind the “Just do it” mentality – it’s unfortunate that I see so many people throughout life who hold themselves back from taking risks in their personal, professional and financial decisions which can improve their lives.
Perhaps it needs to be adjusted slightly to “Just do it… within reason!