Learning to evaluate value – being able to know with a high degree of accuracy and certainty the intrinsic value of an investment
The best way to learn to understand value is to be in a niche for a while and looking at a lot of deals, both as a buyer and as a seller. There is no better way to learn to be a better buyer then to get involved from the seller perspective and vice versa.
You need to model or develop a winning quantitative formula or process. NOTE: Complexity here is NOT a good thing. You don’t need to know the value to the nearest penny, but rather to within an adequate neighborhood. Too deep of an analysis paralyzes and slows too many investors. If this is a skill of yours, good, but keep a tight rein on it.
Negotiation – there is no higher paying investor skill. Negotiation is what makes a good deal great and an great deal a grand slam.
Willingness to take action -- at some point you have to jump. Once you have all the information you need or are going to be able to get on the deal you need to make a decision, and act on that decision.
Willingness to hold – sometimes the smartest move you can make is to sit tight. The key is to hold tight as a decision, not as a reaction or out of fear.
Character – the money is great, but it isn’t you. You are not any investment you make. You are not successful when your investments are great and a failure when your investments flop. Never collapse you as the investor from you the person. There will come a time (probably more than one) when you will be presented with a "killer" deal that requires you to compromise your values or look the other way. When that day comes, my heartfelt desire is for you to clearly say the magic word—PASS! Your peace of mind and integrity is infinitely
