Why I hated being a Salesman and now a Land Developer!

Discussion in 'Investor Psychology & Mindset' started by Car tart, 6th Apr, 2020.

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  1. Car tart

    Car tart Well-Known Member

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    Starting in Real Estate 41 years I soon learned that I preferred that Property Ownership and Strata Management. People called me soft but being a brazen liar and putting up with the BS from clients and having to be a part of it was not for me.

    The last two two years I have been involved in subdividing two of my parcels of land. Something I don’t like to do as I don’t like councils and all the people and politics involved in the broad are subdivision industry.

    study 1
    In Box Hill my billionaire home builder neighbours let’s call them CH, own 40% of a parcel of land and I own 60% of the land to make a neat 13 lot subdivision. I own the other 40 lots and they own 600 plus lots. Roads and services are in place. They offered me $1,260,000 cash payable only on the settlement of the 13th lot. Each lot had a value of $360k. I said the terms are not suitable. I subdivided this residue lot at a cost of $103,000. Land now sells at $450k per lot and offered the 60% to CH for $1,450,000. After some weeks they came back with a counter offer of $1,070,000 payable after the 13th lot was sold. IE less than their previous offer despite land prices going up and the subdivision being completed at my expense to make for a simple sale.

    study 2
    In Rouse Hill, one of the richest families in Australia (lets call them chicken) owns 60 totally empty acres next to my 6.5 acres, I received all approvals, sold all bar 8 lots, which I propose to keep, for $19.8 million. All quotes were in place, but chicken said no we are not letting you touch the fence or trespass on our property and sent legal advice. I offered over $600,000 in benefits including paying for their road. I offered $100,000 in cash payment as a gift as well. All to no avail. They have to build the same road within 4 years but don’t want me to build it for them for free.

    These nouve-riche billionaire developers are greedy to the point of excess, rather than helping others they put blocks along the way. They assume that because I am new to developing that I have borrowings and will be broke and allow them to pick up cheap property to increase their wealth.

    I’m not greedy, I’m not vindictive, when CH approaches me again to buy my land, I won’t inflate my price. When chicken has to build his road and needs access over my land I will be extremely courteous and not ask for bags of money. No I don’t believe in karma or God, I’m just soft!
     
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  2. Scott No Mates

    Scott No Mates Well-Known Member

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    Unfortunately we're surrounded by *#&*heads and they listen to their consultants until they hear the word 'risk'.

    It them becomes a hard & fast 'no!' or 'only at my price'.
     
  3. MoneyMan

    MoneyMan Well-Known Member

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    @Car tart how long have you had the land for?
     
  4. Car tart

    Car tart Well-Known Member

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    8-12 years
     
  5. MoneyMan

    MoneyMan Well-Known Member

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    Awesome, would love to have your problems!
     
  6. Car tart

    Car tart Well-Known Member

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    Where does it say they are my problems? It is a review on the utter greed of some human beings who have contempt in their fellow man.

    It is Schadenfreude.

    You may not have read the topic heading. IE Psychology, if this is what it takes to be a big time developer, I’m very happy to stay as I am.

    Two of my kids work with billionaires on a regular basis and believe they are generally a different breed. Some are not just content in making their wealth, they like to see their peers diminish their wealth for them to be happy.

    It must be a miserable life for these business people.

    Yet Tech billionaires seem not to have this cut throat attitude.
     
    Last edited: 7th Apr, 2020
  7. The_Billy

    The_Billy Well-Known Member

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    Interesting topic, human beings are needs based creatures. When you have all the money in the world, you look for something else to satisfy your needs and excite you - power, control, insert blank - that is why so many go into politics ... Nothing wrong with that at all, but they definitely live their lives like it is infinite, when it is very finite ... I think you are wrong about tech billionaires though, they all have this mentality.
     
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  8. Scott No Mates

    Scott No Mates Well-Known Member

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    New money vs old money syndrome.
     
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  9. Omnidragon

    Omnidragon Well-Known Member

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    It's their cash/property, they're free to do what they want.