The 30 Foot Rule of Life is Being Forgotten During Pandemic

All the talk is about this COVID19 "6 Foot Rule," but I think we are forgetting about the just as important 30 foot Rule.

My reflection on how a comedian’s rule made all the difference in my business and my life.

Once conversation moves away from the ubiquitous COVID19 disucssion, it seems everyone I bump into has an opinion on the real estate market: I’m hearing comments like: “It’s a bubble;” “there are too many condos;” “there aren’t enough condos;” “farmland is going to skyrocket;” “the whole country’s market is going to collapse;” “there aren’t enough rentals;” “interest rates are going to skyrocket and everyone will go bankrupt;” “it’s better to rent than buy”… the list of contradictory opinions is endless.

This is really brought to my attention today as I write this while sitting on the patio of the local coffee shop. I overhear a conversation at the next table. The subject? No, not the weather or the latest COVID19 update - it’s real estate again. As I listened I both chuckled at the mistaken myths they were sharing AND was a little saddened as to what the future holds for these people.

With pure confidence, one young 20-something is enthusiastically sharing her opinions on real estate. In just 5 minutes she included:

“You won’t believe the deal I can get on a time share in the Okanagan – for only $80,000 I get two weeks a year at NO CHARGE. That’s like a free holiday every year! The rest of the year it is rented out to vacationers. Too bad it isn’t by a ski hill, but summer should be great.”

“I can’t wait until the big market crash when I’ll be buying Surrey properties at ? price!”

“My boyfriend really wants to get a place in the states ‘cause (sic) the deals are so amazing – I told him that I read that too and it was a great idea. So a bunch of us are going to pool our money then share the profits ‘cause there is no tax as a Canadian down there.”

In fact, these random, and VERY inaccurate statements kept coming for almost 30 minutes.

From the gist of the conversation it was clear than no-one at that table had any experience with even one real estate transaction. Yet, as I have heard many times before in my 28 years of studying real estate markets, they were speaking in declarative statements as if their comments were based in fact and real-life experience. They say confidence is good, no matter how mis-informed – I disagree.

This one young lady’s declarations were so strong, her friends were accepting them as real estate gospel (even a couple who were substantially older than her). She even stated clearly that she hadn’t ever bought a property, but had read a “Ton” (sic) on it so she knows how it works. Although not lacking in confidence, what she lacks is what I call The Final 30 feet experience. Without that Final 30ft, her confidence becomes financially dangerous.

Dangerous, Are You Sure?

You’re right, some friends sitting on a patio in the sunshine discussing real estate is not overly “dangerous.” We all have to find our way in the world by making mistakes and learning from them. However, the danger quickly escalates when the inexperienced, or lightly experienced people begin acting as mentors or coaches. That is when it becomes financially dangerous.

The Final 30 Feet Experience

My understanding of The Final 30 Feet all began while listening to Buddy Hackett (veteran comedian) warning a young and upcoming comic on how to deal with the mountains of advice that TV executives, promoters, friends and family constantly give her as she builds her comedy career. Buddy’s advice was simple yet profound: “Listen politely, smile and allow them to feel helpful… then turn around and seek out and take advice only from those who have successfully walked The Final 30 Feet.”

The obvious follow-up question was: “What do you mean the Final 30 Feet?” When I heard the answer, I saved it and have used it ever since. Buddy said:

“Only take advice from those who have walked the final and most important 30 feet from backstage to alone in front of a mic with nowhere to hide. Then, and only then, will you know the advice comes from reality and not theory. They’ll understand the emotions, they’ll have real life knowledge and know the work it takes to get it right. They’ll have made the mistakes and created the laughs, not just read a bunch of books about how to do it.”

I use this theory in all parts of my life; business, personal, farming, building or investments. He is, in essence, saying that there are enough inexperienced pretenders out there who love to confidently share their advice with anyone and everyone despite never having tested their theories in the real world with their own money. Be very careful to choose advisors whom have “The Final 30 Feet” experience with the subject you need input on. Imagine asking someone who has never built a building, but who had watched a lot of HGTV shows, how to build a structurally sound house. They’ll have ideas, but no real-life knowledge and you wouldn’t build based on their ‘theories.’  This is the same in all aspects of life.

Back to the conversation at the coffee shop. I’m sure that young lady thought she was repeating truths; she wasn’t deliberately misleading her companions. However, without having bought, owned, managed or experienced a lot of real estate transactions in all market conditions she truly didn’t have The Final 30 Feet of experience – standing alone with the emotions and realities as the markets shifted or the problems arose.

Book Theory Is NOT Real Life

Book theory, number analysis, charts and graphs mean very little if you haven’t experienced what it really takes to be a great investor. Books, friends and ‘experts’ can give you theories, math equations, opinions and analysis, but in the end theories are just that – theories. Veteran investors know that these theories quickly disappear when you are in the trenches making real life decisions.

That is why Buddy Hackett’s Final 30 Feet advice has served me so very well as I built my business and real estate portfolio into what it is today. To this day, I seek out people who have already achieved what I want to achieve, who had solved the problems I have in front of me, and who had made the mistakes I wanted to minimize. I let the inexperienced share their theories and opinions, I politely smile, then quickly moved on.

This summer you will be in social situations where people will gladly be giving you advice on how to live your life or invest your money. They’ll do so even if you don’t ask. These are the perfect situations to keep the Final 30 Feet Rule at the front of your mind. If someone has real-life provable experience (both good and bad) in a subject you need answers on, seek them out for advice.

It is true that those with the Final 30 Feet experience are often more difficult to find than the inexperienced theorists (who have never left ‘back-stage’ thus leaving them with lots of time to post on social media and share their opinions at parties or family gatherings). Let these empty theorists have their say. This is your cue to smile, turn on your heels, and speak to those who have taken that critical 30 foot walk. Your business, your real estate and your ‘future you’ will thank you for it.

Now get out there, support local businesses and be compassionate with all you cross paths with.

Feel free to DM me with your stories or comments.