This is the first book that I read in 2011. After the new year countdown, I am getting a bit tired, but nevertheless, I plan to read more substantially in this new year. Here are some extracts from the book, which I will like to remember.
Maccoby’s book The Productive Narcissist makes a convincing arguement that narcissism can be a useful quality if you’re trying to start a business. A narcisist does not hear the naysayers. At the Trump Organization, I listen to people but my vision is my vision.
In The Natural History of the Rich, author Richard Coniff put it this way :”Almost all successful alpha personalities display a single-minded determination to impose their vision on the world, an irrational belief in unreasonable goals, bordering at times on lunacy.”
When it comes to your home, you should always pick a good spot. Spending more on a good location is far smarter than getting a bargain a bad area. If you paying for the view of a house, you have to be careful. The current view might look out over a parking facility or empty but that could change in a week.
Trump advise finding space in a marginal neighbourhood, buy or rent at a lower price, and then wait for the neighbourhood to improve. Before you start looking for a house, or even figuring out what you can afford to buy, make sure you have money socked away. Brokers and sellers will take you seriously, and you will increase your bargaining power as you’re able to increase the size of your down payment.
While its good to be mindful of costs when buying a house, don’t go overboard. Don’t try to save money on necessary items, such as not getting a survey where it might be of value, or rely on people who are not well recommended or not known. Do not attempt to save small amounts of money on items that are important part of the process. People often stupidly try to save money at a real estate closing, since some adjustments will probably still be made and the negotiations will not have ended.
The best reality check is the appraisal. Appraisers are professionals and they will be able to see things that may elude the eye of most home buyers. Ask questions, and do your homework, but at the end of the day, defer to the appraiser. You shouldn’t expect that every seller will tell you everything unfavorable about the property. You’re better off assuming that some things will not be divulged, out of ignorance, forgetfulness or evasion.
In the event that a structure is being purchased with mortgage funds, most probably you should have a building inspector examine the premises. A building inspection is often required, but you should always require it for yourself. A knowledgeable, licensed inspector engineer can detect whether the heating unit is functioning properly, whether the air-conditioning is sufficient, whether a sump pump is needed, and so on.
If you know your property is valuable, remain patient for selling. As long as you’re realistic about its value, there will always be a buyer eventually. Just make sure what you have to offer is the best and you need not worry. Good brokers will screen applicants for prequalification, negotiate on your behalf for the best price, and faciliate the legal and financial processes. Some people try to sell houses without brokers – not a strategy I would recommend.
Some institutions will try to trick you with adjustable interest rates so that your fees will bounce around, depending on the economy. If you’re adverse to change and want to minimize the risk, I would recommend working with fixed rates. Interest rates have been sagging for the last 20 years, and there’s good reason to believe they will only be going up in the short term.
A good rule to remember : The lower the interest rate, the higher the possible fees. Read the fine print. Look for a low rate, but remember that the lowest rate may end up costing you the most. If you’re a good negotiator and want to free up as much of your money as possible, you should try to get as low a down payment as possible.
If you’re about to mortgage your propery, you should never make repairs just for cosmetic purposes. Make good, solid repairs and then sell the property or mortgage it for a lot more money. Fix the kitchenl redo the bathroomlput on a fresh coat of paint. Every property ought to be sold in “mint condition”. A $15 can of paint can add $1,000 to the value of your property, $1,000 in landscaping can add $10,000 and $10,000 in remodeling can add $100,000. You get the idea.
Never, never do serious renovations on a property that you’re renting, or begin negotiating for renovations on a property before you mortgage close. To do so is financially destructive and an absolute waste of time.
Most people incorrectly think that interior decorators are a wasteful extravagance, but they will save you time and money. Good interior decorators have a talent for spatial configuration, choosing colors and materials, and most important, negotiating. Not only do decorators save you time, but dealers and warehouses always extend decorators discounts not available to the average consumer. They can pass those savings to you.
When you are working with a decorator, make sure you ask to sell all of the invoices. It’s okay to question on certain expenditures, but don’t haggle too much, because high-quality materials cost money. High-quality interiors last for years and years, so cutting corners will only lead to disrepair and an unattractive interior that you will have to live with – or change, at even more expense. First, find the right person, and second monitor his or her progress.