Are You an Armchair Theorist?
Just because you can catch a ball doesn’t mean you’re a baseball player. It just means you know how to put your hand in the right place at the right time.
Believing in gravity doesn’t make you a physicist. Tossing a rock off a bridge isn’t groundbreaking research. It is purely observational.
And popping an aspirin for a headache? That doesn’t make you a doctor. Yet, the moment that pain fades, everyone suddenly swears by their own medical expertise.
Knowing something exists and truly understanding it are two very different things.
Action vs. Inaction
The Pitfalls of Being an Armchair Theorist in Real Estate
Real estate is a game of action. It’s about deals closed, contracts signed, and money in motion. Yet, too many would-be investors sit on the sidelines, theorizing, analyzing, and endlessly debating market trends without ever pulling the trigger. These are the armchair theorists—people who sound like experts but never take real action.
Why Theorizing Feels So Good
Talking real estate is easy. You can sit in a coffee shop, listen to podcasts, read market reports, and form opinions. You can argue about interest rates, debate whether multifamily is better than single-family, and predict the next market crash. It feels productive. It feels like progress.
But it’s not.
Theorizing is comfortable. It doesn’t involve risk. You don’t have to worry about tenants, financing, or closing a deal. You don’t have to experience the frustration of a contractor delaying a rehab or a property sitting vacant longer than expected. Thinking about real estate is stress-free. Doing real estate is not.
The Danger of Overanalysis
Real estate investing requires due diligence. No one should buy blindly. But there’s a fine line between being cautious and being stuck in “paralysis by analysis.”
Here’s what happens:
You see a deal.
You run the numbers over and over.
You second-guess your estimates.
You compare it to other properties.
You read another market report.
You wait.
Someone else buys it!
Now, you’re frustrated. You tell yourself the deal wasn’t that good anyway. But deep down, you know you missed an opportunity.
Experience Trumps Theory Every Time
Real estate is a learn-by-doing business. You can study cap rates, cash-on-cash returns, and market cycles all day long. But nothing teaches you like buying a property, managing a rehab, or dealing with an actual tenant.
Here’s the truth: Your first deal won’t be perfect. You’ll make mistakes. You’ll overestimate rents or underestimate repairs. You’ll learn. Then, your second deal will be better. Your third even better.
Every seasoned investor has war stories. Bad tenants. Delayed projects. Surprise expenses. But they also have cash flow, equity, and appreciation—things no armchair theorist ever earns.
How to Move from Theory to Action
Set a Deadline – Give yourself a time frame to buy your first (or next) property. It forces you to commit.
Make Offers – Analysis is important, but nothing happens until you submit offers. Even if you get rejected, you’re in the game.
Embrace Imperfection – No deal is perfect. If the numbers work, and the fundamentals are solid, take action.
Build a Network – Surround yourself with doers, not just talkers. Investors who take action will push you forward.
Learn as You Go – Mistakes aren’t failures. They’re lessons. The best education in real estate is experience.
Final Thought
You can read about real estate. You can talk about it. You can analyze it endlessly. But until you take action, you’re just an armchair theorist—someone who sounds smart but has nothing to show for it.
Deals don’t wait. Markets move. The best investors? They move with it.
Are you ready to leave the armchair behind?
