Archive for March, 2011
Lenny Ogburn
Posted on March 17, 2011 by
Lenny Ogburn has always been an entrepreneur and investor, owning a partnership in 3 video stores in the early 1990’s, owing over a dozen rental properties and self storage units, rehabbed and/or flipped over 30 properties, has invested in car notes, business notes and real estate notes. In 1998, when he bought his present home at a great price, paying the sellers asking price and acquiring it by a subject-to deal, the county that year raised his property tax value to over $60,000 higher than the purchase price of his home. Having bought 7 properties that year, Lenny quickly realized that buying properties as an investor was tough to make cash flow from the rentals when the county jacked the values for investors and home owners. Read More→
Atlanta REIA North on Determining Property Values in This Market and More!
Posted on March 16, 2011 byWednesday, March 16th @ 6 PM: Atlanta REIA North Meeting
One of the main reasons many investors are sitting on the sidelines is because they are not comfortable with home values in this market. On Wed, March 16th, Gordon Catts will be talking about resources available through public records, the Internet as well as subscription services and explain why it is critical to have a better understanding of the valuation process. In this market the difference between making a big profit and making a big mistake rests on the investor’s ability to understand and apply the valuation process. There are a number of excellent resources available for gathering the necessary information to make an informed decision. We will identify some of these valuable resources as well as identify professionals who can help you identify opportunities as well as steer you clear of pitfalls. We’ll also do a Q & A with Gordon.
Join us Wednesday night from 6:00 PM to 8:00 PM at 1960 Skylar Hill Dr, Suite D in Buford, GA (Map) as we explore this fascinating topic. Atlanta REIA Members may attend at no charge. Guests may attend for $5.00. Late Nite Networking takes place after the meeting at the Mall of GA Taco Mac.
What’s Hot in Real Estate Investing Webcast on RealtyJoin.com 2.0 with Andy Heller
Posted on March 15, 2011 byTONIGHT, Tuesday, March 15th @ 7 PM
Local real estate expert Andy Heller will be our special guest on Tuesday’s Webcast. Andy will be discussing the launch of RealtyJoin 2.0, the new and improved Social Networking Site for Real Estate Investors, Agents, Brokers and Tradespeople. It’s a site specifically designed for real estate investors matchmaking, and will help you make more MONEY. Register for the Webcast Now! Andy will also be our guest speaker at the Atlanta REIA Main Monthly Meeting on April 4th, 2011 at the W Hotel Atlanta Perimeter.
Also, be sure to take 5 minutes and register a profile for yourself and/or your company and “Friend” Atlanta REIA on
www.realtyjoin.com
Some of the leading real estate gurus in the country have teamed up with a group of top software developers and Web designers in Silicon Valley and formed RealtyJoin, a social networking site for the real estate industry. RealtyJoin will make it easier for you to find great deals, opportunities, and vendors, and make more money – and membership is free!
RealtyJoin is designed to help you connect with new clients and develop new business opportunities. Think of RealtyJoin as a marketplace for real estate investors, agents, contractors, architects, and other companies that provide goods and services to the real estate industry. Read More→
Use What You Have… to Get What You Want
Posted on March 15, 2011 byPete Fortunato (PeterFortunato.com) has been one of my main real estate investing teachers for many years. The guy is phenomenal! (Not to be confused with pneumonia…I’m dyslexic – what happened to “spell it like it sounds?”) Pete is one of the best and most creative deal structurers on the planet!
Pete has a great saying: “Use what you have, to create what you need, to get what you want.”
Until recently, I’ve never fully understood what he meant. But finally, the light turned on!
As real estate investors, we’re often asked by prospective tenants or buyers, “Will you work with me on the deposit?” The usual answer is, “No. Are you nuts?” Ok, perhaps we only think the “Are you nuts?” part.
Point is, we’ve always required the cash up front in order to make the deal work.
Similarly, when we’re buying a property, all too often, the homeowner also wants all the cash up front. Since I’m always light of having the amount of cash the seller needs, the deal is lost.
Now, let’s think like Pete. It’s not the cash that the seller wants, is it? Isn’t it what the cash will buy or do that’s the key? Read More→
The Fair Lease/Purchase… An Investor’s Perfect Hybrid!
Posted on March 14, 2011 byWe see them all over the roads today. Growing in popularity, Hybrid vehicles are beginning to offer an enticing option to dependence on foreign oil supplies. Similarly, the Buy Low, Rent Smart, Sell High lease/purchase model offers investors a Hybrid of the “buy and flip” and “buy and hold” investment models.
Most residential investment models resemble and can be grouped into one of two general categories. Each has a major flaw that concerns many investors who consider or invest in each model.
The “buy and flip” model by definition is for the investor who seeks to purchase property at a discount, oftentimes improve the property, then sell the property quickly for immediate gain. This model is ideal for investors who have no interest in landlording, as the “buy and flip” investor does not intend to seek a tenant for the property in advance of sale.
The main problem with the “buy and flip” model is that if a buyer does not come by quickly, then the investor is faced with discounting the property and/or involving a real estate agent in the marketing of the property. Due to this possibility, most “buy and flip” investors need a discount of 25% or more even after adjusting for the necessary repairs and improvement. With such high investor discounts, the pool of properties available with such significant discounts is often small. Simply put, the higher the discount the investor needs to make his or her model work, generally the fewer properties available at such a steep discount. Read More→
What’s Happening at Atlanta REIA – March 14, 2011
Posted on March 14, 2011 byThere’s always a lot going on at Atlanta REIA on a weekly basis. This week we have several webinars, several meetings and several workshops. Check out what’s happening below or view our event calendar for more information. Read More→
The Real Estate Junkie Webcast Replay for March 2011
Posted on March 10, 2011 by
Are you aware of how the new “MARS rule” is influencing your business operations? If not, you need to found out now! In November 2010, the FTC (Federal Trade Commission) published the final Mortgage Assistance Relief Services Rule. This rule took full effect on January 31, 2011. Whether you are a Realtor, Investor, Mortgage Broker, Seller… you need to know your rights and your obligations! MARS is fully enforced and we want to be sure you are using the new required disclosures and keeping your business in tip-top shape! This is “MUST KNOW NOW” information! Watch the webcast replay below for continuing education on the most current and evolving market changes with Licensed Broker, Investor and Short Sale Expert, Kimberlee Frank! Read More→
Buying Unfinished Builder Houses
Posted on March 9, 2011 by
Don’t be fooled: all that glitters isn’t gold. There are a large number of unfinished builder house sand small subdivisions where the builder ran out of money before they finished the project. Many of these were built by reputable builders who did everything right and just got caught in a sinking economy. They may have had a construction loan with a bank that failed. Though no fault of their own, they were unable to finish their projects. They may have been unable to sell their other homes, leaving them short of the money to finish other projects. Read More→
Never be the Motivated Guy in the Deal
Posted on March 9, 2011 byA few days back, Brad flew in from Virginia to discuss his real estate investing business. He’s an experienced investor who, for the past three years, has been having a really tough time keeping his head above water.
Brad owns 17 single-family homes, 2 duplexes and a 26-unit apartment building. He wanted me to look over his portfolio to find out what he’s doing wrong and what he can do to become more profitable.
Over the years, I’ve had the opportunity to meet with a lot of investors, study their portfolios and discuss ways they can do better. One of the biggest and most common mistakes made – by both new and experienced investors – is doing deals that should never have been done. Read More→
Atlanta REIA South Meeting on March 10th, 2011
Posted on March 8, 2011 byWhat to Expect & How to Buy
So many properties have been foreclosed on and repossessed by the banks which are using “ballroom auctions” to liquidate the extreme excess of properties they have in inventory right now. Many times these REO’s sell for 40-50-60 cents on the dollar! There are some incredible deals to be had at these auctions, but you MUST know what you are doing to play in this game. The deals are plentiful if you know what to look for and what to avoid.
Come join us on Thursday, March 10that 6:30 PM at the Atlanta REIA South Monthly Meeting at Ryan’s Restaurant located at 5425 North Henry Blvd in Stockbridge, GA (Map) where Leslie Mathis will take you step-by-step through what you can expect, and more importantly, what you need to know, to successfully buy REO Properties at these ballroom auctions. She will even cover a couple of strategies that will allow you to make quick cash without long-term ownership, simply by putting these properties under contract, then finding investor-buyers for them. Get paid thousands of dollars in just 30 to 45 days!
What’s a Property Worth?
Posted on March 8, 2011 by
The press is full of gloom and doom about real estate prices depending on which “report” you read. Prices have hit bottom. Prices will fall another 10%. Prices will fall another 3%. The headlines keep coming. Different parts of the country are reacting to the current conditions in different ways. Prices are very sensitive to supply and demand. Some parts of the country have experienced substantial price reductions, while others have not. Even within a single market area, prices will vary. So how do you figure out what a property is worth in today’s market?
A number of experienced investors are sitting on the sidelines right now. They are sitting for a variety of reasons. One of the issues is value. They have seen values erode and are concerned that the values will continue to erode. How do you determine value in a static to falling market? “Very Carefully”. Read More→
The Three Faces of Foreclosures
Posted on March 8, 2011 bySo you want to invest in residential foreclosures? Not sure quite where to start? It is helpful to understand first that there are three faces to “foreclosures”, each with very different characteristics.
The first face of foreclosure investing is the “pre-foreclosure”. The pre-foreclosure period begins when a homeowner gets behind on his or her loan, and ends with the foreclosure sale. The pre-foreclosure phase itself is divided into two stages.
The first stage covers the period of time beginning when the homeowner misses their first mortgage payment, and ends in the final month preceding the impending foreclosure sale. During this time if a homeowner is not already marketing their home, it will be up to the investor to reach out to and find these distressed homeowners through ads (“We buy homes fast” and “We have CASH for homes”) and networking.
The second stage occurs during the final month leading up to foreclosure. The precise laws differ from state to state, but most states require some form of public notification of a pending foreclosure. Investors can seek out these notifications, and many have ample contact information for the investors to approach the distressed homeowner. Many larger communities have a number of online and subscription services which compile the pending foreclosures in a specific geographic range. You can also network within your local real estate investors association and/or do an internet search (e.g. “foreclosure listings in order to find these publications and services). Read More→
