Mark Moss sold two businesses in 2008 and put nearly everything into real estate, eliminating his operating income. When the market crashed and his hard-money lender failed, the lender called his loans due, forcing him to sell assets on their timeline instead of his own.
2008, I had sold 2 different operating businesses that I had. And I moved almost all of that capital into real estate. So now I had the assets, I removed the operating income, I removed the funding. And then when the markets crashed, I didn't have enough liquidity behind the assets. And almost all my hard money loans that I was using to build were concentrated with a single lender. Now when that lender went out of business, then all my loans got called due, it suddenly didn't matter whether I wanted to hold the real estate long term or not. The lender controlled the timing. That's the situation I never want to be in again. I never want somebody else deciding when I have to sell a good asset.
