I see something happen a lot, where people approach deals with this kind of mentality. “I’ll know the good deal when I see it”.

It sounds harmless and so obvious. But it’s an easy way to remain stagnant. Missing out and never moving forward.

Here’s why that mentality will make deals pass you by, and what to do instead.

Why “I’ll know it when I see it” hurts deals

It relies on one underlying assumption. Good deals are obvious. That couldn’t be further from the truth.

Good deals tend to look anything but obvious. Often they are complicated or messy.

Red flags:
– They look untidy on paper
– The property might have defects or challenges
– The seller is difficult to understand at first
– It’s unclear how you’ll leave the deal

So what happens after you come across one? You overthink it. You hesitate. You procrastinate.

And eventually another buyer comes along who knows how to evaluate a deal, and snatches it.

Here’s what’s really going on

When you say “I’ll know it when I see it”, what you’re really saying is: “I don’t have a good deal evaluation process.”

As a result, every deal looks like a coin flip.

And when every deal looks like a coin flip, your default behavior is:
Doing nothing.

Because doing nothing seems to be the safer choice.

The Cost Of Hesitation

But there’s more at stake than losing out on opportunities.

With every missed deal:
– You waste time
– You miss out on learning
– You lose potential relationships
– You stay stuck in analysis paralysis

While all the while other investors are:
– Making their mistakes
– Adjusting on the fly
– Improving their skills

They’re not smarter than you. They’re working with a proper framework.

The Solution: Build a real deal buy box

Rather than relying on your feelings to tell you which deals to pursue, here’s a better approach. Give yourself clear and specific criteria to work with. In other words, create a “buy box”.

Here’s what to consider:

Step 1) Define your deal model
– Flips
– Rentals (BRRRR)
– Wholetailing
– Wholesale
Choose one and learn it inside and out.

Step 2) Specify your numbers
– Profit requirement
– Maximum rehab budget
– Minimum equity spread

Stop guessing and start filtering.

Step 3) Pinpoint your deal criteria
– Price range
– Location
– Type of property
– Condition (cosmetic, light, moderate, serious)

This is your lane.

Step 4) Decide your risk tolerance
Would you be happy taking risks? Or do you only want to stick with deals with zero risk involved?

Honestly. Being afraid of risk typically leads nowhere.

The Point Of No Return

Pro investors look at deals objectively as a subject to underwrite, not with emotional attachment.

They ask themselves:
– Does this deal fit my criteria?
– Does it satisfy my financial requirements?
– Am I able to control the risk factor?

Yes? Then proceed. No? Then decline. Without hesitation.

A Quick Reality Check

Most of your best deals aren’t going to be clean and obvious. Most deals are going to feel somewhat uncomfortable. And that’s perfectly fine. Because if they are, you wouldn’t have a competitive advantage over others.

If I were doing it all over again…

I would forget about looking for the perfect deal. Instead, I would do this:
– Choose one strategy
– Figure out my deal criteria and numbers
– Quickly review 20-30 deals
– Offer based on numbers, not feelings
– Plan on getting several rejections
– Adapt as soon as possible

It’s simple: speed + reps = skills, which is what generates income.

Conclusion

“I’ll know it when I see it” is not a strategy. It’s hesitation in disguise. To generate real momentum in your real estate business, you’ll need a system, criteria and clear deal making rules.

And if you want help setting them up – don’t hesitate to reach out.