Dr. Dolf De Roos Doctor in the House

By: Jotham Lim

The editorial team here at Property Insight was ecstatic when we learnt that Dr. Dolf De Roos had agreed to be one of our key judges for PIPDA2019. We were even more excited to be able to secure an exclusive interview with the prominent global real-estate personality, to pick his thoughts, and to further explore the man that has already shared so much with the world.

Welcome to Malaysia! Have You Been here Before? And how is Your Experience like Being Here?

Thank you for your kind welcome! I wish I could say that this was my first visit, as it would mean I would be a lot younger! I have been coming to Malaysia for 40 years, and love every moment—the food, the people, sightseeing, and the vibrancy of the population. It is an incredible country that is teeming with opportunity. Probably more now than ever.

What is the Story behind You Venturing into Real Estate Investment?

I got into real estate essentially because of disillusionment. I was raised to believe that in order to do well financially, you had to study hard and get a degree. And yet, my tutors, lecturers, and professors were not uniformly wealthy. I wanted to know, “What is it that the rich have in common?” So I embarked on a study that took nearly nine months. What I discovered is that the rich had almost nothing in common. Not age, gender, religious belief, country of origin, immigrant status, or even education. There were only two exceptions, however. For one, the rich have integrity. Their word was their honour, and they deliver on their promises. The second thing is that almost without exception, the rich either made their money or held their wealth using real estate. Upon realising that, I decided to invest in property while I was still enrolled in university. In fact, I went on to complete a PhD in Electrical Engineering. By the time I got my degree, I had quite a real estate portfolio.

Real Estate Policies, Cultural Values, and Consumer Demands Are Different in Each Country. How Are You Able to Cater to such a Wide Audience?

There will always be differences in real estate policies, cultural values, and consumer demand around the world. However, to me, the really interesting thing about real estate is that despite these differences, real estate is essentially the same anywhere in the world. That is why I believe it is possible to invest in real estate just about anywhere. If you are an attorney, medical doctor, dentist, or an electrician, you can’t just migrate and find employment in that new country straight away. You have to qualify for that profession according to the local rules and regulations beforehand. In contrast, a real estate investor investing in a foreign country not only doesn’t have to qualify but is welcomed with open arms. Real estate is probably the easiest investment vehicle to do across borders than any other activity.

If You Hold All the Secrets to Real Estate Investment, why Share Your Secrets with Others?

I’m happy to share my secrets for two simple reasons. Firstly, telling anyone who will listen to my secrets through books and events does not seem to reduce my ability to find and acquire great deals. As far as I know, there are no downsides to sharing my knowledge. And secondly, it is a way of giving back to people who supported me. Some people like to donate to specific charities or volunteer their time and effort, whereas I really enjoy teaching anyone how they can become financially free through thoughtful investing in real estate.

What is Your Wealth-building Philosophy? And how Does Real Estate Fit into the Picture?

Well, I have written fifteen books detailing my wealth-building strategies. It is almost impossible to summarise all of them here in a paragraph or two. But essentially, in a single sentence, I teach people how to find a great deal they can acquire with relatively little money, how to then massively increase the value of that property without spending much more money, how to find and secure great tenants, and then manage that property for healthy cash flow long term. Here’s an interesting bit: it took eight years of really hard work to get my PhD in Electrical Engineering, yet everything I learned has been made redundant by new technology. Whereas, in contrast, you can probably learn 80% of what you need to know to become a really successful real estate investor in a few short weeks. Chances are that the information learnt won’t change as time goes. Therefore, I am surprised that not more people are interested in real estate investing.

What Was Your Experience like Dealing with the 2008 US Mortgage Crisis?

If I had realised how severe the 2008 crisis was going to be, then like anyone else, I would have sold everything, waited for the crash, then bought it all back with a lot of money left over. However, I often tell people, much to the disappointment of diehard fans, that I do not have a crystal ball. I was too severely caught by the 2008 crisis. However, one of my eight Golden Rules of real estate is to never sell if you can avoid it. Even though I was severely upside down on many properties, with the amount of money owed to banks exceeding the value of said properties, when most properties have recovered beyond their values prior to the crash, I am glad I didn’t sell them smack dab in the middle of the crisis.

What Are Your top Tips for Aspiring Property Investors?

There is no perfect time to invest in real estate. Yesterday is better than today. If you missed out on getting started yesterday, for Pete’s sake, start today. People who wait for the perfect time to enter the market have dust-collecting bones. Most regret those moments of “Oh, if only we’d bought that property.” Instead, you’ll hear them lament, “Oh, if only we’d bought a second one.” Speak with real estate investors. Success leaves clues. Read books. Talk less, listen more. Get rid of the television until you own an investment property. And finally, never sell. -JL