"Open Ended Probes Are The Key To Success!"
"In the book there is a chapter on Sales Technique. This chapter is a true game changer if you follow the model. At the heart of the model we have "open ended probes". These are probes that require a response other than "yes" or "no." Those are closed end probes and should only be used to close, or to qualify an objection. Yes and no yield no information. Open ended probes will get you all the information you need to successfully fill the needs of the client, thus creating a win-win situation. Start by establishing the goal of the meeting or conversation and then craft open ended probes to get you to that goal."
"It's All In The Setup!"
"This is the very first chapter in the book, and intentionally so. It all starts with the setup. You need to have the right tools to complete any task at hand. When I took my Coast Guard Captains License course, the instructor drilled this into us big time! "Have all of your formulas written down" he said. "Whether you need all of them or not!" "Have all plotting tools on the table whether you think you will need them or not!" he bellowed. We had to prepare for 10 complex chart plotting questions that are on the Coast Guard Captains exam. Back then it was all done on paper charts, no computer runs to assist. 3 other sections of the exam had volumes of questions and one section had a passing grade of 90! I did everything he said and passed the exams and got all 10 plotting questions right. This lesson stuck with me ever since then and I apply it to EVERYTHING. It truly is "All In The Setup."
"NOI Is The Holy Grail of Investment Properties"
Net Operating Income (NOI) is at the very heart of investment property value analysis. This is gross income minus operating expenses (not including debt service). To insure accurate valuation the income and expenses need to be spot on. If the income is off by a mere $1,000 the value will be off by more than $16,000 based on a 6% Capitalization rate. Off by $10,000? Value will be of by more than $160,000. Not exactly chump change in my book. (pun intended). Your contract, if you are buying, should contain a due diligence period to give you the opportunity to review all books and records to verify income and expense information provided by the seller. All leases should be carefully reviewed by a competent commercial real estate attorney. There may be clauses that could cause serious problems. I have 40 plus years experience in this business and I never navigated these waters, whether buying or selling, without excellent legal counsel. If you happen to need counsel in the Long Island area I can highly recommend Tom Solferino, Esq. in Garden City. He handled 2 sales transactions for me, neither was simple. In my book he is simply the best. His email address is tsolf@solferinolaw.com. I can't over stress the importance of verifying the NOI to the ninth degree. As for accountants Gary Sanders, CPA-(email gsanders@srcpapllc.com) has worked with me for 40 plus years as well. He is a commercial real estate accounting guru. Make the investment in professionals. It could save you from a huge mistake!