Trump: The Best Real Estate Advice I Ever Received

100 Top Experts Share Their Strategies

Donald J. Trump

• Publisher: Thomas Nelson
• Year: 2017
• eBook ISBN: 9781400207664
• Topic: Business
• Subtopic: Business General
• Index: Business

Donald Trump has gathered in one book the best advice on real estate from the brightest and most experienced people…

 “Don’t try to take the last penny off the table; make sure that the people who buy from you also make money. If not, they won’t buy from you again.” –Michael Shvo, Founder of the Shvo Group and “the most successful young real estate broker in New York”

“Mom said, ‘If you don’t have big breasts, put ribbons in your pigtails.’ Good salesmanship is nothing more than maximizing the positive and minimizing the negative. Although your competition might offer something you can’t match, that doesn’t matter. What matters is that you identify and play up what you’ve got.” –Barbara Corcoran, Founder of the Corcoran Group, New York City’s leading real estate company

“Real estate can be so much fun you almost feel guilty earning money at it!” –Monda Bassil, President of Prestigious Properties of New York

“When you sell real estate, pay tax only if you want, when you want, and in the amount you decide.” –Gary Gorman, Founder of 1031 Exchange Experts, LLC, and author of Exchanging UP!

“Whether it is a real estate deal or any other venture, the key is to find something you enjoy doing, and then do it better than anyone else—because success comes easier to people who follow their passion.” –Donald Trump, J r., Executive Vice President of Development and Acquisitions for The Trump Organization

1

BUY WHERE THE WEALTHY LIKE TO PLAY

 

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ARTHUR L. ALLEN

Arthur L. Allen is founder, president, and CEO of Allen Systems Group, Inc. (ASG).

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Computer software has been my focus, my passion, and my life since I began working as a systems analyst nearly forty years ago. But one of my most profitable decisions, and one in which I take great satisfaction today, is my decision to act on a friend’s real estate advice.

Regardless of downturns in the economy or slumps in the technology markets, my real estate investments in Naples, Florida, have flourished. I will always be grateful that I acted on my friend’s advice, and kept investing over the years. If I were to generalize about this real estate advice and why it turned out to be so successful, I would say, buy real estate where the wealthy like to play.

When I moved to Naples in the seventies, this Gulf Coast community in southwest Florida was already a popular winter-residence community for many of the country’s most affluent families. I certainly recognized the importance of Naples’s climate, and few places matched its natural beauty. I did not think much about real estate investments, however, until my friend gave me this advice: “Buy all the real estate you can in Naples. It’s a unique place, and you will make a lot of money investing in property here.” At that time I started thinking about Naples real estate in other ways than just being a great location for my software company.

I knew the history of this part of Florida and that it attracted many wealthy people. Some of its early residents included such notable figures as Thomas Edison, Henry Ford, Harvey Firestone, Greta Garbo, Gary Cooper, and Barron G. Collier.

In the fall of 1975 I bought my first home in Naples, and I have been buying and selling real estate here since then. I have made many millions by following this advice. I paid $875,000 for that first property, and it is now valued at well over $14 million.

Even though my business now has fifty offices worldwide, I still have my company headquarters in Naples, Florida. Naples has grown many times over since I bought my first property, and it still attracts affluent individuals escaping from the cold winters of the North. People come here for many reasons—to play golf or tennis, to enjoy their pleasure yachts, and to retire. More than two hundred current or former Fortune 500 CEOs have homes here, as well as such celebrities as Larry Bird, Mike Ditka, Greg Norman, Mary Carillo, and many, many others.

2

DON’T BE AFRAID TO INVEST TIME

 

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ADINA AZARIAN

Adina Azarian is president and CEO of Adina Real Estate and a member of the Real Estate Board of New York.

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Real estate is all about wasting time. The more time you waste, the more money you make.

If you are a person who thinks about conserving your time, then you are not right for the real estate business, or you need to change your thinking. When I first started in the real estate business, I felt I was wasting a lot of my time—whether it was making phone calls to find listings or working with clients that I wasn’t able to close. After some time, I went to my trainer and said, “I feel that I am wasting a lot of my time.”

And he said, “Real estate is all about wasting time. The more time you waste, the more money you make.” So instead of giving up, I kept at it, and things started to click. Eventually phone calls turned into listings, and appointments with clients turned into closings. The more and more I did it—even though, sure, sometimes things didn’t work out—technically, the more time I spent at least making the effort, the better the results.

Cutting back—saying, “I won’t meet as many clients today,” or “I won’t make as many phone calls today”— doesn’t work in the real estate business. You must never view any time you spend working as a waste of time in order to become very successful in real estate. The more people you put yourself in front of, the more phone calls you make, or the more doors you knock on, the more money you will make. It’s simple. So whenever one of my salespersons comes to me and says, “I wasted so much time with that client and I didn’t close,” or something to that effect, I remind her that the closings will come with time and experience and she simply can’t gain experience without wasting her time! And don’t forget to send a thank-you card, even to those clients you didn’t close. Now that’s the right thinking!

3

BUY THE BEST

 

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ROGER BARNETT

Roger Barnett is chairman and CEO of Shaklee Corporation, a natural nutrition company, and founder of Beauty.com.

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Buy the best. The best will always retain its value and appreciate at a faster rate. The best is always expensive today, but is always a good value tomorrow.

I purchased a building in New York City that was run by a foundation. At the time, it was one of the higher-priced single-use sales in the city. However, with the great structure, desirable location, and unusual width and proportions, I invested in bringing it to state of the art. Today it is worth three times my total cost, which is a significantly higher return than that from the rest of the real estate market.

4

FOCUS ON RESULTS

 

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THOMAS J. BARRACK JR.

Thomas J. Barrack is chairman and CEO of Colony Capital, a private international real estate investment firm.

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Don’t confuse efforts with results.

5

LISTEN TO YOUR CLIENT’S NEEDS

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MONDA BASSIL

Monda Bassil is president of Prestigious Properties of New York.

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The best real estate advice I ever received was to listen to my client’s needs. It’s something I do each and every day. A truly successful real estate professional should know: (1) the client’s needs and lifestyle; (2) the neighborhoods he or she is marketing; and (3) current market conditions.

You must prepare well for every appointment and do your homework, earnestly and methodically. If your Tuesday morning appointment mentions that he is a gourmet cook, you must know the available houses well enough to focus only on those properties that will fit his needs. Get organized, do your research, and don’t bother showing him a loft with an under-equipped galley kitchen, no matter how stunning it is. If your latest referral is a couple who is downsizing, listen when they tell you about their lifestyle and interests. Does the property have a garden? Is the theater nearby? Is there enough space for grandchildren to visit?

In residential sales especially, service means a full understanding of areas, markets, and most important, people. I often say, “We don’t sell, we educate.” It is crucial, though, to read “educate” not as if we are teaching clients, but listening to clients. Your clients are entrusting their home search to you, and you must utilize the entire marketplace to find a great fit. You must also understand the neighborhoods you are marketing in order to match the neighborhood to the buyer’s personality. Ask yourself, What kind of opportunities does this neighborhood offer to the buyer?

You know the desired product, you know the neighborhood, and you know the market, but you cannot sell any one of those as a separate entity. Instead all three must combine correctly to give your client a safe haven. This home is where your clients will open their eyes the first thing in the morning and turn off the lights at night. They need to feel a sense of comfort. You are guiding them in the most important purchase of their lives, the one that involves the largest percentage of every dollar earned. You must find the perfect match for your client’s needs and the available property in their desired neighborhood. It’s not easy, but with hard work and perseverance, it is very rewarding when that right match happens.

In some ways, real estate is like the theater. You read the script, you rehearse, you rehearse even more, and then it’s showtime. You are patient; you recognize that a perfect performance takes an enormous amount of preparation and lots of time; and you know you can’t go wrong if you study and prepare. Also, you admit that part-time isn’t good enough. If you say, “I’m keeping my other job, just in case this doesn’t work,” you can bet it won’t.

Once you und...

Table of contents

• Contents
• Introduction
• 1. Arthur L. Allen: Buy Where the Wealthy Like to Play
• 2. Adina Azarian: Don’t be Afraid to Invest Time
• 3. Roger Barnett: Buy the Best
• 4. Thomas J. Barrack Jr.: Focus on Results
• 5. Monda Bassil: Listen to Your Client’s Needs
• 6. Douglas Baumwall: Target Growth Areas, and Try Not to Sell What You Own
• 7. John Bearden: Work with Professionals You Trust
• 8. Frank G. Binswanger Jr.: Always Do the Very Best You Can
• 9. Steve Bollenbach: Focus on Location and Execution
• 10. Robert Boykin: Develop in an Area Where Growth is Coming
• 11. David Brause: Maintain Your Integrity; Be Patient; Do Your Due Diligence; Depend on Local People
• 12. John Brown: Real Estate Auctions Offer Benefits to Investors, Whether They are Buying or Selling
• 13. Robert J. Bruss: Invest in Single-Family Rental Houses
• 14. M. Anthony Carr: A Commonsense Approach to Foreclosure Properties
• 15. Rich Casto: Choose a Real Estate Agent Wisely
• 16. Phoebe Chongchua: Five Principles to Success
• 17. Frank Cook: Listen to Your Television
• 18. Barbara Corcoran: Work With What You’ve Got
• 19. Richard Courtney: The First Offer is Usually the Best
• 20. Lester Crown: Choose a Good Partner
• 21. Gil Dezer: Add Value to Your Real Estate Inventory
• 22. Thomas E. Dobrowski: Choose a Trustworthy Partner
• 23. Crosby Doe: Success in Real Estate Comes Through Hard Work and Direct Sales Contacts
• 24. Marc Ellman: Approach the Business with Candor and Forthright Dealing
• 25. Blanche Evans: Don’t Follow the Crowd
• 26. Michael Fascitelli: Emphasize Quality and Branding
• 27. Debbie Ferrari: Make the Most of the Internet
• 28. Robert L. Freedman: Aim High and Trust Your Instincts
• 29. Doug Frye: Embrace Change
• 30. D. Kent Gale: Treat People With Respect
• 31. Stanley C. Gale: Make Integrity Your Reputation
• 32. Jim Gillespie: Never Sell Investment Real Estate; Trade it
• 33. Lewis M. Goodkin: Pay Attention to Details
• 34. Gary Gorman: Manage Your Tax Payments
• 35. George E. Grace: Always Negotiate
• 36. Harvey E. Green: Believe in the Market
• 37. Jeffrey Gural: Always Honor Your Deals
• 38. Andrew Heiberger: Today’s Renter is Tomorrow’s Buyer
• 39. Dorothy Herman: Opportunities Always Exist
• 40. Thomas J. Hutchison III: Leave Both Parties Happy
• 41. Thomas J. Hynes Jr: Get into the Commercial Real Estate Business
• 42. Erez Itzhaki: Never Show Emotion; Be Patient; Work Hard; and Create Volume
• 43. Charles Jacobus: Know When to Anticipate Opportunities
• 44. Ozzie Jurock: Work to Get a Good Deal
• 45. Bruce Karatz: Take Careful Risks and Have Fun
• 46. Craig King: Capture the Buyer’s Imagination
• 47. Michele Kleier: Protect Your Clients from Themselves
• 48. Robert A. Knakal: Pick an Area of Specialization
• 49. Tom Kunz: You Make Your Money When You Buy Real Estate, Not When You Sell it
• 50. Leonard Lauder: Leave Your Emotions at Home
• 51. Stephen Leopold: Find a Need and Fill it
• 52. Pamela Liebman: Carefully Consider Growth Potential
• 53. Dave Liniger: Control the Inventory
• 54. Terry J. Lundgren: Think Ahead and Believe in Yourself
• 55. John J. Mack: Never be Greedy
• 56. Harry Macklowe: Listen to Yourself
• 57. Bernie Marcus: Go with Your Gut
• 58. Elias Masri: Never Underestimate Your Clients
• 59. Richard Meier: Choose Excellent Design—and Good Placement
• 60. Daniel F. Miranda: Manage Your Risks and Maximize Your Return on Investment
• 61. Kim Mogull: My Favorite “Kim-Isms”
• 62. Bruce E. Mosler: Go Where You’re Needed
• 63. David Mossler: Think Location—and Honesty
• 64. Terri Murphy: Buy—and Wait
• 65. Joshua L. Muss: Assess Your Risks
• 66. Enrique Norten: Seek Out Good Architecture
• 67. Elan Padeh: Remember that Real Estate is a Cyclical Business
• 68. John M. Peckham III: In the Future, Everything will be Very Small and Very Fast!
• 69. Susan Penzner: Knowledge, Enthusiasm, Integrity, and Hard Work
• 70. Jorge Perez: Be Objective; Be Realistic; Always Leave Something on the Table
• 71. David Picerne: Stop Talking and Get it Done!
• 72. Robin E. Prescod: Don’t Let the Market Control You
• 73. Bill Rancic: Learn to Recognize Value
• 74. Henry Robbins: Buy Land and Bank it, But do Your Homework First
• 75. Phil Ruffin: Eight Rules of Real Estate Success
• 76. Peter Sabesan: Solid Salesmanship, an Entrepreneurial Spirit, and Years of Experience
• 77. Henry Savage: Never Lose Patience
• 78. Ronda Savoy: Keep an Upbeat Attitude
• 79. Stephen Shapiro: Three Steps to Happy Clients
• 80. Michael Shvo: Seven Steps to Success
• 81. Larry Silverstein: Proceed With Passion—And Integrity!
• 82. Rand Sperry: Take a Profit and Move On
• 83. Norman Sturner: Know Your Marketplace
• 84. Robert E. Sulentic: Work Hard and Follow Through
• 85. Stefan Swanepoel: Commit Yourself to Winning
• 86. Emily Tannen: Don’t Judge a Book by its Cover
• 87. Robert S. Taubman: Three Lessons from My Father
• 88. Joseph Thanhauser: Trust, Timing, Terms, and Truth
• 89. Richard Thompson: Developing a Successful Homeowner Association
• 90. Jonathan M. Tisch: Fit Buildings to the Community
• 91. Marjorie Torres: Grow Strategically
• 92. Donald Trump Jr.: There is No Substitute for Passion
• 93. Ivanka M. Trump: Build Your Reputation Carefully
• 94. Steve Van Amburgh: Have Fun as You’re Profiting
• 95. Leo F. Wells III: Focus on Quality
• 96. Brett White: Know Your Exit Strategy Before Buying
• 97. Ken Wilson: Deal When You Need to Deal
• 98. Scott A. Wolstein: Walk Away if Necessary
• 99. Rob Zache: Five Rules for Success of Your Business
• 100. Mortimer Zuckerman: Buy Low, Sell High, and Don’t be Greedy