Get rid of Toxic Waste! That includes friends, investments and bad habits.
Not too recently I was talking to another investor who looked stressed, sick & tired and worried – you know just “out of it”. Although we exchanged pleasantries I could not walk away with out digging deeper.
I’m no Dr. Phil or Oprah, but the guy needed a couch.
After a short time he shared with me ….
- That his tenants were behind in rent and he did not have the money to cover the deficits
- He was on the hook for a house out of town if he did not find a buyer in 2 weeks
- His business partner was super busy with his career (he’s a dentist and summer is $$ time)
- He was out of cash and out of ideas.
We can all relate to these and likely we all would have the same basic “stressed out” responses. But after speaking further I realized that the root cause of many of the problems listed above was that he was hanging onto “garbage” for too long and it was becoming “Toxic” to his business and health.
Wiki’s definition of Toxic Waste:
“Toxic waste is waste material that can cause death or injury to living creatures. It spreads quite easily and can contaminate lakes and rivers. The term is often used interchangeably with “hazardous waste”, or discarded material that can pose a long-term risk to health or environment.”
Get Rid of Toxic Property
As investors getting rid of Toxic Property means the following:
- Under performing properties must be sold or re-purposed
- Sell off under performing notes and leases-purchase contracts
- Undesirable tenants need to be released or at least approached with a stern hand
- Unsupportive business partners, friends and advisors need to be shown the “no contact” pile
- Bad habits, like procrastination or poor budgeting, need to be addressed immediately and possibly with professional help
Getting rid of your Toxic Property Woes will benefit you in the following ways:
- Release stress
- Free up capital
- More time and energy to regroup
- Think of the tax benefits of your losses
- Repair or stop negative credit rating issues
Bottom line…YOU WILL FEEL GREAT! And with a healthy mind and heart you can ace the next chapter in your real estate investing career.