Tag Archives: real estate

Real Estate Market

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Every time you turn on the news, it’s doom and gloom for real estate all around the country.

And certainly… the news is not good by and large throughout most of the country, BUT… believe it or not, there are pockets that are alive and doing VERY WELL, just like when most of the country was in vertical growth, there were pockets with record foreclosures!

The key is being able to know where those markets are BEFORE everybody else does.

Let’s look at what could happen if you found the markets before your competitors did?

Okay, so the media is telling everyone how terrible the market is. Homeowners are hearing this and realizing that it’s not going to be easy to sell. Plus, with the mortgage industry as it is, financing is going to be harder and harder in the months and years to come. So… we’re talking MOTIVATED sellers. And no news outlet in their right mind would actually say that a particular market is booming! Continue reading →

Sell A House Fast – How to Find Potential Buyers!

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Everywhere you turn, there’s a media frenzy stitched with doom and gloom about the real estate market.Sure… we’ve all heard it… It’s a buyer’s market! But it seems like buyers don’t want to pull the trigger… they’re “waiting” to see if we’re truly at the bottom of the market. They’re waiting to see if the feds drop interest rates again. They’re waiting to see if there’s a better deal around the corner. The point is… they’re waiting! And what you have a house to sell, it’s the last thing you want to contend with! You want a ready, willing, and able buyer to put a contract of your property and show up to closing!

The good news is… that buyers (in some markets) are starting to get the picture. In fact, just in the past 2 weeks, I know of 2 stories where people lost out on a home because they thought the selling side was calling “bluff”. The key is to really have a deal that a buyer simply can’t refuse.

Here’s a simple strategy to get a flood of potential buyers through the door and potentially have multiple offers on the table in no time at all. (Keep this in mind when you’re making your offers on wholesale properties too!!! This model will keep you turning properties no matter WHAT is going on in the market). Continue reading →

The Amazing Race: Real Estate Edition!

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I know that rule #1 in real estate is not to get attached to a piece of property! However, when it’s your own home, the rules change! And that’s what happened to me.

I bought my home in Coral Gables back in 2003 and absolutely fell in love with it. It was an old spanish home with unique architectural elements and it was absolutely perfect for me. In fact, it even had a converted carport that I used for my office so that my work didn’t creep into my entire living space (as it has in my new home!)

In 2005, I bought another house… This time, in West Palm Beach a block from the water. The house itself was not my dream house, but I loved the location. I could even put my own sailboat in the water at the end of the street (which I never got around to). I decided to move to West Palm Beach because I was doing more real estate in the area and didn’t want to keep both houses as active residences. I did go back and forth for the first 18 months and just didn’t want to do it anymore. So, I rented it for just about a year and a half. Continue reading →

Business Lines of Credit

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At least several times per week, I get asked about how to get business lines of credit ESPECIALLY since the lenders are tightening up these days. Now, when I am applying for credit, I’m not too picky if it comes in the form of a credit card with courtesy checks or an actual line of credit.

I’m not too concerned about interest rates because I’m using them for a tool. Certainly, the lower the interest rate, the better, but if I have to get a card at 15%, I’ll take it. I won’t carry a balance on it or use it unless I come across a deal that I simply must use the card for and it makes sense.

Some people may wonder why I don’t fight for great rates, and I definitely try to get the best rates I can, but I’m not accumulating business credit for the sole purpose of maxing out my debt :-0! You see, I want to have as MUCH money available to me at any given time in case the right deal comes along and I need immediate cash OR in case I need some extra funds to grow my business.

There are a handful of things you need to know about the business lines of credit I’m talking about here:

Continue reading →

Integrated Streams of Income?

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Listen to Lou Castillo’s “Online RE Empire HERE (In this 90 minute interview, Lou reveals how YOU CAN have multiple streams of income with real estate as the foundation)

I remember back about 5 years ago when the whole “Multiple Streams of Income” was all the rage. But, even then… I thought, “Hmmm. How in the heck is anyone supposed to learn 4 VERY DIFFERENT businesses at the same time?”

I consider myself pretty good at multi-tasking and taking on multiple projects at the same time, but when you’re trying to…

 

… Learn the RE business;
… Figure out how to write ebooks and put them online;
… Speak publicly;
… Understand the stock market; and

… Choose a network marketing company

all at once, it’s no doubt that you wind up running in circles, never really getting ANYTHING accomplished. I know from first hand experience. I would go to a seminar or an event and I would want to come home and do EVERYTHING! I remember starting Continue reading →

Real Estate Investing Lessons Learned!

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No matter how long you are in real estate, you will continue to learn – ALWAYS!

This week, I had two such learning experiences that have changed our in house procedures. I want to share these with you because I do believe that they will help you in your business – and keep you from running into the same challenges!

Always include a clause in your contracts (when you’re selling) that holds the buyer accountable

Whenever you are selling a piece of property, include in the “Additional Terms” the following:

  • “Should the buyer not close on or before the closing date – and the seller agrees to extend the closing – buyer agrees to pay $_____ day until closing occurs”

It seems that the media has given the buyers the impression they hold all the cards, and somewhere along the way – with lenders changing requirements – contract dates are “written in sand”. Truth is, in many markets, buyers ARE farther and fewer between, but that doesn’t mean when we sell a property, that we have no recourse. Know what your daily holding costs are charge the buyer if his/her lender takes too long! But, add it to you contract because if you don’t, you’ll lose the money!

A few hundred dollars is still a few hundred dollars, right? (Yes, this did just happen to us! AND the buyer had the nerve call our broker and complain that we were trying to get her to pay for the additional days! – even though the deal didn’t even go through our real estate sales team!)

2nd Lesson Learned This Week…

Even if you have a property manager, you have to lay down the law! My previous property manager transferred 4 of our single family rentals to a new property manager all of a sudden! I knew about one tenant that we had to evict and was on my way to working on that one… But what I didn’t know was that the another didn’t pay for April (just found out today ~ 45 days later). I also found out that when a tenant moved out from a 3rd unit, that they had turned the water on and it ran constantly for 2 months ($1100 in water bills!) So, after a heart to heart with the NEW property manager, we’re laying out specific terms and my contract… with very clear policies and proecedures for screening, evicting, maintenance, etc. They have been put on notice that there is a zero tolerance for late pays and that we will go after them to the fullest extent that the law permits, and will keep the judgment on their credit report until it’s paid off! INCLUDING all late fees, attorneys fees, back rent, etc.! Needless to say, it’s been a hectic week on the real estate front.

I wanted to share these stories with you to let you know that I’m still in the field with you, going through the same old stuff you are and two, to give you a few nuggets of wisdom I picked up along the way.

Pay Per Click: Google Adwords

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My top 2 questions used to be:

  1. How do you find motivated sellers?
  2. How do you get started with no money or credit?

    Now… my single biggest question – hands down – is “How do I find buyers?” Whether you’re looking for wholesale buyers for your quick flips or you’re looking for retail buyers (or renters) for your existing properties.

    My partner, Brandon, is working on a comprehensive book with all the tactics and strategies we use to find buyers (we were actually out today with 2: one for a million dollar property and another for a $300,000 property) And they were “end” buyers.

    So, how do you go about finding these people? We do all sorts of things like: Craigslist, Bandit signs, MLS, open houses, etc. However, there is one tactic that very few people know about, let alone talk about. And that is individual property websites. Continue reading →

    What Are You Thankful For?

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    It’s easy to get caught up in the “stuff” of day to day life. It’s easy to get overwhelmed, fed up, frustrated and scared from time to time. But every now and then, it’s great to stop yourself and think about what you are thankful for in life.

    I remember – it must have been 10 years ago now – I got a journal-type book from Barnes and Noble and began to use Oprah’s idea of “The Gratitude Journal” and every single day, I would force myself to come up with 5 things that I was thankful for. It sounds easy enough, but after about day 5, you run out of the obvious. You start REALLY digging deep for things that you are thankful for.

    But beyond that, something happened internally! I began to really BE thankful for everything and I stopped taking things for granted. I started looking at all the people that were important in my life and rather than going from generic statements like, “I’m thankful for my mother,” I started getting specific. “I am thankful for the encouragement my mother gave me to get started in real estate”. That’s when I really began to appreciate everything on a deeper level.

    So… in the spirit of Thanksgiving, I encourage you to post your comments to this post and write 5 things that you are thankful for in your life. Then… share them with the people that you are thankful for when you’re sitting around the table with family and friends! Continue reading →

    Real Estate Investing: The Three Levels of Success

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    If you’ve been investing in real estate for any length of time (or even if you’re just getting started), then you have undoubtedly faced frustration, hit some highs and then crashed into some lows! Ultimately, your goal as a real estate investor is most likely to generate immediate cash flow and long term wealth and increased net worth.

    True financial success is achieved by combining these two elements – cash flow and wealth creation, or net worth. Cash flow is considered as the monetary profit that is earned every month to support your lifestyle. This can also be used to invest in assets that may later appreciate in value.

    Three levels of real estate investors are as follows:

    Level one Real Estate Investors – In this level, the investors learn the basic tricks of the real estate investment business, and they use it to make real estate investment a profitable venture. They learn this by making their initial deals profitable. Thus, Level One investors ensure that real estate is the path to economic success. They are aware that there is much to learn from this vast field, and they try to understand it.Real estate investors at this stage should spend time learning the business, evaluating the details of the deals, and make sound decisions. Often
    Continue reading →

    Landlording: What Would You Do?

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    For more tips and tricks like those mentioned on this blog, register for your trial subscription of the Real Estate Rant: http://www.RealEstateRant.net. Each month, you’ll receive tips, tricks, tactics and real world challenges (and how to overcome them) that investors face each and every day!

    The following article comes from a situation that recently occurred with one of our own tenants. How would you have handled it? And really think about it as if you were in our shoes because it’s easy to say “Evict ’em” when you’re on the outside looking in, but put yourself in our shoes and think about how you’d handle it and how you could prevent the situation from recurring in the future!

    Here’s the Scenario:

    08/01/2007 – Rent is due

    08/06/2007 – Rent is officially late. When you finally reach the tenant, you get the sob story: “I had surgery. My mom went to the hospital. My dad panicked. My son’s trying to get me the money and I’m out of work. I promise to have the rent to you by Wednesday… Thursday at the latest”

    08/09/2007 –

    Guess what? No rent check. The tenant’s willing to drive it up, but the funds aren’t in the bank anyways! Tenant promises AGAIN to call you right after ‘therapy’ tomorrow morning and get it straightened out. VERY, VERY SORRY! Continue reading →