December 23, 2024 | 4 Minute Read
Since 2015, I have been part of a real estate investing (REI) mastermind group. Prior to that, I was more of a maverick (and still am) — focusing on self-study, networking locally with other investors, and simply doing deals. However, I felt something was missing: the ability to expand my range of possibilities.
While my processes and systems worked at the time, I knew they might not be effective if the market shifted.
Think back to 2008, when the market crashed. Many wholesalers quit because there were few buyers. Wholesaling was their one strategy — the only one they knew well — but in a bear market, it was the first strategy to take a hit.
I’ve been a member of Collective Genius, which first began in 2011 (that’s me in the above photo in the lower center frame on the right). Over the years, I’ve witnessed their growth from about 70 members to over 260 today and become the top REI mastermind group in the country. When I joined, the membership requirement was 100+ deals per year and $2M+ in revenue. That’s now considered the Premier group. Today, there are also two additional groups: Select (30+ deals/$500K+ revenue) and Elevate (10+ deals/$200K+ revenue).
We meet quarterly, with two meetings in Tampa and two in San Diego. And, there are monthly training calls via zoom on just about every topic you can imagine including strategies, commercial investing, creative financing, sales and marketing, operations, financials, property management, and much more.
It’s not cheap — the Premier group alone costs $30,000 per year — but is it worth it?
Joining a real estate investing mastermind group offers a variety of benefits that can significantly enhance your investment strategy and overall success.
Here are some of the key advantages:
Networking
Networking with like-minded investors offers numerous opportunities to share experiences, insights, and strategies. By connecting with other successful investors, you can access potential business partners for joint ventures, flips, and other opportunities. Networking also opens doors to new markets by allowing you to collaborate with investors from different regions, which may present opportunities outside your current market.
Accountability
Mastermind groups provide a platform to set and achieve clear goals, with regular check-ins and progress updates that keep you accountable. The shared commitment and energy within the group can also motivate you to take action and overcome obstacles. By engaging with the group, you can gain valuable insights from experienced investors who have faced similar challenges, helping you stay updated on trends and tools in the real estate market. This environment also offers problem-solving support, whether related to deals, property management, or legal concerns.
Knowledge Sharing
Learning from the experiences of others can save you time and money. You’ll have the chance to avoid common pitfalls by understanding the mistakes and successes of fellow investors. Additionally, exposure to innovative investment strategies and diverse perspectives can challenge your current approach, leading to growth. The group dynamic fosters creativity and can inspire you to explore new business models.
Resources
Access to resources is another significant benefit of mastermind groups. Members often share exclusive tools, materials, and resources like templates, checklists, and calculators that simplify the investment process. You can also get trusted vendor and contractor recommendations, making it easier to streamline your business. Moreover, shared deals, including off-market opportunities, can give you an edge in the market before properties are publicly listed.
Increased Opportunities
Mastermind groups often encourage collaboration on larger projects that individuals may not be able to handle alone. This leads to an increased deal flow, where private or off-market deals are shared exclusively among group members. Cross-promotion within the group also helps expand your lead generation and deal-sourcing efforts.
Personal Growth
Being part of a mastermind group can boost personal growth and confidence. Surrounding yourself with ambitious individuals fosters a growth mindset, which encourages bold actions and thinking bigger. You’ll also improve your negotiation skills through shared tips and strategies, making you more adept at securing better deals. Additionally, exposure to different leadership styles can enhance your ability to manage teams, contractors, and investors.
Cost Savings
Cost savings are another advantage, as many mastermind groups offer group discounts on services such as legal consultations, marketing, and software tools. The collective buying power of the group can also help reduce costs for materials or contractors, benefiting your projects.
Access to Capital
Access to financing options is often enhanced through mastermind groups. Connecting with other members can introduce you to private lenders or investors who can support your projects. Additionally, group members may be willing to co-invest in larger deals, expanding your access to substantial investment opportunities.
Mentorship
Mastermind groups also provide regular mentorship, where more experienced investors offer tailored guidance. During market downturns or challenging projects, the support of your group can be crucial, offering advice and encouragement to keep you on track.
Business Efficiency
Mastermind groups help improve business efficiency. Members share systems and processes that streamline operations in areas like property management and deal analysis. By learning about new technologies or software tools, you can automate processes and improve scalability in your real estate business. Joining a mastermind group gives you access to a wealth of knowledge, support, and opportunities to elevate your real estate investing to the next level.
Worth it? Every penny.