Archive for May, 2013
Where Did The Cheese Go?
Posted on May 26, 2013 byLast week’s column – The Cheese Has Moved – was about the dramatic change Kim and I witnessed at April’s foreclosure auction. We watched investors pay a lot more for properties. Higher purchase prices ensure thinner profit margins, and thinner profit margins mean greater risk – it reminded us a bit of 2005 and 2006.
Since the fattest deals will no longer be found on the courthouse steps, we’re forced to ask, “Where did the cheese go?” In other words: Now where will we find the best real estate investing deals?
To answer this question, I’m on a quest to spend April knocking on sellers’ doors. The goal is to meet face-to-face with 60 sellers. On the front line is most often the best place to find out where the market is going. (By the way, I’m posting the daily results from my door knocking on North Georgia REIA’s Facebook page.)
What am I seeing out there? Real estate is experiencing an incredible shift. Read More→
The Cheese Has Moved!
Posted on May 25, 2013 byIf you haven’t read Who Moved My Cheese? by Spencer Johnson, it’s time to – especially if you’re a real estate investor – because folks, when it comes to buying property at the foreclosure auction, the cheese has definitely M-O-V-E-D!
From December through March, Kim and I took some time down and didn’t work foreclosures. We got back at it last month and went to April’s foreclosure auction loaded for bear. There were six properties on our target list. With this many targets, we were confident of being the high bidder on at least two of them. Imagine our disappointment when we left the auction without buying anything!
At the auction, Kim and I quickly noticed that things had definitely changed – and changed in a BIG way. From 2007 through 2012, buying at the foreclosure auction was like shooting fish in a barrel – it was a target-rich environment. Each month, there were 170 or more properties advertised for foreclosure, but only a couple of able investors on the steps to bid.
This is no longer the case. This month, there were only 80 properties advertised for foreclosure. And on the steps, the number of investors bidding on properties has dramatically increased. In little ol’ Bartow County, we even have hedge-fund buyers and online bidders. Crazy stuff!
So here’s the question: With a lot fewer properties advertised for sale and many more folks bidding, what do you think is happening to the sale prices of foreclosure properties – they’re climbing, right? And what do you think is happening to investors’ profit margins – shrinking, aren’t they? Read More→
Atlanta REIA Main Meeting on June 3, 2013 on the Changing Real Estate Market
Posted on May 24, 2013 by“Changing Strategies for a
Changing Real Estate Market”
with Don DeRosa, Russ Hiner, Bill Cook,
Kim Cook and Dorsie Boddiford
Guests Can RSVP Online Now for $15 or Pay $20 at the Door.
Click a photo above to read more about our panelists
If you haven’t noticed, the real estate market in the Atlanta Metro Area has been changing dramatically in the last 6 months. It has gone from a buyer’s market to a seller’s market due to the inventory shortage of available homes for sale at auction or on the MLS.
- Hedge Funds are stepping all over each other purchasing REOs and foreclosures and are running up the prices.
- Those who frequently buy at the courthouse auctions are now being routinely out bid by kids with cell phones and iPads who are receiving their bidding instructions from people we never see, who are sitting in front of multiple computer screens hundreds or thousands of miles away from the action.
- With a massive increase in the number of investors bidding on the courthouse steps, along with a significant decrease in the number of properties being cried, real estate values have soared while investors’ profit margins have plummeted.
- Listed houses are often put under contract for well above the list price within 24 hours of hitting the MLS with multiple backup offers in place.
With all these rapid changes going on, our June Meeting is the perfect time and place to get together and examine alternative investment strategies and marketing strategies to find deals. At the June Meeting, we’ll have a Panel Discussion with Don DeRosa, Russ Hiner, Bill Cook, Kim Cook and Dorsie Boddiford, 5 active real estate investors, about this sudden shift and how we can best capitalize on what’s working now.
Bill Cooks says “It’s obvious the Cheese Has Moved. The question is: Where did the cheese go? The best way to find the answer to this all-important question is to go to the frontlines. Our efforts have shown us where the cheese is TODAY – and which deal structures are working best NOW! Do you want to be the first investor in your area to learn this secret? Join us at June’s meeting!”
So come out and join us at the Atlanta REIA Meeting on Monday, June 3rd at 5PM at the Crown Plaza Ravinia Hotel in Atlanta to learn more about the changing real estate market and how to change your investing strategies and tactics to adapt to these rapidly changing times. We hope to see you there!
Atlanta Real Estate Market Update
with Deborah Harris & Gordon Catts
Please join us for the “Meeting-Before-The-Meeting” on Monday, June 3rd at 3:00 PM at Total Wine & More located at 124 Perimeter Center W (see map), where your host, Gordon Catts, will be joined by long time real estate agent, Deborah Harris, for an Atlanta Real Estate Market Update on the latest changes going on in the metro area. Join us and bring your own questions, concerns, insights and comments. At 5:00 PM, Total Wine & More will be offering a complimentary wine tasting to all those who attend our meeting and wish to participate. There is NO CHARGE to attend this meeting or the wine tasting for Atlanta REIA Members and guests. Thanks Total Wines!
After the conclusion of the Main Meeting, we will be reconvening at the Tilted Kilt Perimeter located at 1155-B Mount Vernon Highway in Atlanta for the “Meeting-After-The-Meeting”. The Tilted Kilt will be offering half price appetizers as well as food and drink specials for our members and guests. Come eat, drink, network and have fun with us as hang out late into the night! Thanks Tilted Kilt Perimeter!
*Please Note: Meeting agenda is subject to change.
Each and every month, for the duration of our meeting, we have a Vendor Trade Show in which you can come out and meet many of our participating business members who help sponsor our meeting. Vendors can Reserve a Table Here. Thanks again sponsors!
The Small Business Advisor – A full service small business consulting firm specializing in QuickBooks with a wide variety of specialized services, trainings and products for small businesses. Read More>>
Halperin Lyman, LLC – A transactional real property law firm devoted to providing the full spectrum of non-litigation related real estate legal and consulting services to its clientele.
Read More>>
Lima One Capital, LLC – A fully capitalized, direct lender for residential real estate investors and homebuilders. We are fully capitalized and our team prides itself on closing loans quickly for our clients. Read More>>
Craftbuilt, Inc. – We are a Metro Atlanta design-build construction firm specializing in whole-structure renovations, restorations, and new construction. No matter what the situation, we are up to the challenge! Read More>>
Advanta IRA Administration – With the help of your local Advanta IRA staff, use your IRA to invest in assets you know, understand and control, such as real estate, notes & mortgages, private placements, and much more! Read More>>
Real Estate Works 4 U – Stop paying too much and get your property tax bill lowered! Our team will manage the entire property tax appeal process from start to finish. Read More>>
Solutions Realty Network – Providing expert property management and investment services since 2003. You invest and we take care of the rest! We’re the solution to all your real estate needs. Read More>>
Networth Realty of Atlanta, LLC – A licensed, full-service residential wholesale brokerage that specializes in finding quality wholesale properties and making them available to you. Read More>>
Angel Oak Funding – A direct hard money lender headquartered in Atlanta. We provide renovation/construction loans for investors and or builders to purchase and renovate residential properties. Read More>>
Goldmine Properties, Inc. – As Atlanta’s first full service real estate wholesaler, we offer wholesale property at 65% loan to value, with financing available. Purchase price and repairs are 65% of certified after repaired appraisal. Read More>>
Atlanta Capital Funding – A privately funded hard money residential and commercial lender specializing in unconventional financing where speed and attention to special circumstances are critical. Read More>>
Atlanta Carpet Services, Inc. – Providing carpet, wood, vinyl, and tile, ACS is dedicated to every aspect of your floor covering needs from initial consultation to the sale and follow-up services. Read More>>
Fuller Center for Housing of Greater Atlanta – A faith-driven, Christ-centered, non-profit organization dedicated to providing adequate shelter for people in need in the Greater Atlanta area. Read More>>
CRS Data – Comps from MLS and FSBO’s. Our PowerTools are made of custom searches, property tax records, interactive maps, sales and mortgage info, real estate valuations, mailing lists and more.
Simply Amazing Staging Atlanta – We have a proven record of converting those “For Sale” signs into “Sold” signs. We use 5 proven and time tested steps to sell your home in record time.
- Bowen’s Specialized Services
- Sign Mafia
- Georgia Home Deals
- Mary Bryant & Associates Insurance
- Sparkle Property Cleaning LLC
Get Theory or Just Do It
Posted on May 24, 2013 byRecently, I spoke with a real estate investor who’s having a tough time moving up to the next level of investing. She’s very smart – she has a college degree and is working on her masters. She isn’t the least bit afraid of hard work. She and her husband have already done a couple of deals.
Here’s the thing: She feels she needs to know everything about real estate investing before doing her next deal. I think this has a lot to do with her level of education. For years, she’s been taught that to succeed, you must first go to school and learn lots of stuff before stepping out into the real world.
This just isn’t so. I’m not anti-education – far from it! Each year, Kim and I invest 5% of our net income into our education. At the same time, we’ve never let a lack of education keep us from meeting with sellers. Never forget, meeting face-to-face with sellers and asking Pete Fortunato’s famous question, “Why are you selling such a nice house like this?” is the Alpha and Omega of real estate investing. Never find a reason to NOT meet with sellers – even if you don’t know what you’re doing! Read More→
Handling Seller Calls Like a PRO at Atlanta REIA West Meeting on May 29, 2013
Posted on May 24, 2013 byHandling Seller Calls Like a PRO
at the Atlanta REIA West Meeting on May 29th
What if there was a way to stop endlessly looking at houses that you don’t even have a chance of buying because you and your sellers don’t see eye to eye? Would that cut down on wasted time and increase your productivity? Of course it would! Come join us Wednesday* May 29th at the Wild Wild West Meeting as we covers the art of handling seller calls!
- What to say when you get your sellers on the phone
- Getting sellers to their bottom line quickly
- How to position yourself for contract signing when you go out to see the property
We’ll do live seller calls—so put on your boots and cowboys hat, and bring your leads to the meeting!
Led by Cowgirl Leslie Mathis, the WILD WILD WEST Subgroup meets on Wednesday* May 29 at 6:30pm at the Cherokee Cattle Company in Marietta, just off I-75. Leslie can reached at 678-895-1460 or Leslie MathisMentor@gmail.com
Admission is FREE for all AtlantaREIA Members, Guests are just $5 cash
DOOR PRIZES-GIVEAWAYS-Y’All Come!
*PLEASE NOTE: The Meeting day changed for this month only due to the Memorial Day holiday. We will be back on our regular schedule in June.
Too Much of a Good Thing Can Be Bad
Posted on May 23, 2013 byWe’ve all heard that too much of a good thing can be bad. Let’s look at two examples and see if this theory holds water: rental property and chicken poop.
I have a long-time friend who owns more than 100 single-family rental houses. Most people look at this guy with awe. Sadly, I’m forced to look at him with pure pity.
We talked this morning. I invited him to join me, and five of our investor friends, on a 5-day trip to California in April. The purpose of the trip is to get together and discuss creative deal structuring and financing. I’m pretty sure lots of golfing and boating will be thrown in for good measure.
He really wanted to go but was forced to weakly admit, “I can’t be away from my rentals for that long. Something is bound to go wrong, and when it does, I need to be here to fix any problems.”
He and I got into real estate investing around the same time. We had similar goals: to own enough rental properties to produce enough mailbox money so we no longer would have to labor for a living. This would allow us to travel, spend more quality time with family and friends, plus give us the means to help others.
Today, we’ve both reached our goal…sort of. The problem is, my buddy doesn’t know his number. When asked how many rental properties he wants to own, he answers, “More.” More? Why more? When is enough, enough? When does enough become too much? Read More→
You Can’t Save Your Way to Financial Freedom
Posted on May 22, 2013 byAttending Gary Johnston’s Financial Freedom Principals seminar last year (GaryJohnston.com) caused us to make a radical change in what we teach.
Since 1997, Kim and I have taught people how to successfully invest in real estate. Gary’s seminar was the springboard that shifted our teaching from just real estate investing, to how to gain financial freedom. It just so happens that real estate – for reasons like high yields, solid cash flows, huge tax advantages, etc. – is our primary investment vehicle of choice.
What is financial freedom? It’s when the net income from your INVESTMENT assets is greater than your expenses. Think of it this way: On March 1, you have $30,000 in the bank. Because of an illness, you don’t work all month and don’t get a paycheck. You are the sole breadwinner. After paying all of your March bills – expenses never stop – how much money do you have in the bank at the end of March?
If your answer was less than $30,000, then you’re thinking like a wage slave. If your answer is more than $30,000, then congratulations – you understand the concept of financial freedom! Your investment income covered your expenses…and then some!
Here’s the thing: Your goal should be to create a gap between what you earn and what you spend, and then invest this difference in an appreciating capital asset that produces cash flow – you know, mailbox money! Read More→
FREE Online Lead Finder Software Version 2.3.3.8 from Duncan Wierman
Posted on May 22, 2013 by
I just wanted to let you know that Duncan Wierman just sent me an updated copy of his Online Lead Finder Software Version. As of today, May 22, 2013 he is up to version 2.3.3.8 since he is always working to improve the software.
PLEASE NOTE: If you already installed any previous versions of Online Lead Finder, be sure to UNINSTALL it before installing this new version.
If you are an Atlanta REIA Member you can download the software for free by logging in to the Atlanta REIA Members Only Website and then navigating to the Members Only Downloads & Bonuses page where Duncan’s Online Lead Finder Software is listed 2nd in the list of available member downloads.
If you are a Gold Member, there will be instructions in the ReadMe.txt file in the software download telling you how to activate the Unlimited Gold Edition at NO CHARGE (a $500 value!).
I hope you all enjoy this lead generating software. Duncan, thank you again for this awesome software!
Negotiations 101 Workshop with Russ Hiner on June 15, 2013
Posted on May 20, 2013 byOn June 15th, 2013 from 9AM – 5PM
1960 Skylar Hill Dr, Suite D, Buford, GA
Have you ever done a real estate deal only to later realize you did get what you wanted or expected? Here’s your chance to learn many of the negotiation tools, tips and techniques that professional negotiators use every day to get the best deals. With the correct negotiation skills you can easily and effectively get what you want without having to drive a hard bargain. Your bargaining and negotiation skills are critical to your daily life. They’re absolutely essential if you work, have a family or purchase goods and services.
On Saturday, June 15th from 9 AM to 5 PM at 1960 Skylar Hill Dr, Suite D, in Buford, GA, Russ Hiner will be teaching the Negotiations 101 Workshop to really help you sharpen your negotiation skills. This professional training will be fast-paced, high-energy and is going to get you over the hump in your negotiation techniques. Your life depends on the knowledge that you will learn at this training and will surely improve as a result!
What’s Happening at Atlanta REIA for the Week of May 20, 2013
Posted on May 17, 2013 by
Monday is the Beginning Investors Group with Russ Hiner who will be teaching “Negotiating Tactics for Newbies”. Tuesday is the Onsite Renovation Group which is a networking and educational group for new and seasoned rehabbers that meets this month at a property located at 1338 DeKalb Ave NE, Atlanta, GA 30307. Thursday is the Cash Cows Commercial Group Meeting with Gordon Catts and Steve Brown on “Real Estate Strategies For a Changing Marketplace” which will be followed by Joe Thompson’s Haves & Wants Meeting, both of which take place at 5 Seasons Brewing in Sandy Springs, GA.
JUST ANNOUNCED: The Beginning Investors Group (BIG) is going back to a monthly meeting format starting Monday, May 20th at 6:30 PM at Hudson Grille located at 6317 Roswell Rd NE in Sandy Springs, GA. This meeting is FREE for Atlanta REIA Members. Guests and Non-Members can pay $20.00 at the door or RSVP Online for $10.00.
This month at BIG, local real estate expert and mentor, Russ Hiner, will be teaching new investors how to negotiate win-win real estate transactions with buyers and sellers. As you know, having the right negotiating skills is essential for putting together real estate deals that are not only profitable for you, but meet the needs of your buyers and sellers. If you want to learn how to start negotiating like a pro, this is a BIG Meeting you don’t want to miss! Join us and Russ will teach you:
- The number one reason why most people will not negotiate
- How to break negotiation deadlocks
- How to spot and stop negotiation tactics that will put you on the defensive
- How to “read” people so you can be a better negotiator by giving them what they want and getting what you want
- Tips and tactics for face-to-face negotiations
- All this and much more!
After his “Negotiating for Newbies” presentation, Russ will be calling for volunteers to join him in the “hot seat” for some live, face-to-face role playing negotiations.
After the meeting, there will be Late Night Networking for anyone who wants to hangout, network and have some late night fun. This will be a terrific meeting with powerful information, an interactive crowd and networking with experienced investors who will be in attendance as well so come join us!
The Atlanta REIA Onsite Renovation Group (ORG), led by Aaron McGinnis of Craftbuilt Properties, is an new educational and networking group that focuses on the acquisition, renovation and retail resale (fix and flip) of single family residential homes in the Atlanta area. The Onsite Renovation Group meets on the 3rd Tuesday of each month at NOON at an active renovation site, build site or rental property which will vary from month to month.
On Tuesday, May 21st at Noon, we meet at: 1338 DeKalb Ave NE Atlanta, GA 30307. This is a true Candler Park renovation that should resell in the upper-300s or lower-400s. The project was funded by Lima One Capital, and a Lima One executive will be on site during the meeting to answer questions about the numbers, funding and the hard money process. Come on by for a great afternoon of networking, education, and gawking at what a few hundred thousand will buy in Candler Park!
The Onsite Renovation Group will focus on properties inside the I-285 perimeter and the in-town neighborhoods. The purpose of this group is to allow both new and experienced rehabbers and investors to meet, network and share knowledge and experience with “hands on” access to real property. There is currently no charge to attend these meeting.
“Real Estate Strategies For
A Changing Marketplace”
with Gordon Catts & Steve Brown
The real estate market in the Atlanta Metro Area has changed dramatically in the last 6 months. It has gone from a buyer’s market to a seller’s market due to the inventory shortage.
- Hedge Funds are stepping all over each other purchasing foreclosures and are running up the prices.
- The “courthouse gang” is now being routinely out bid by kids with cell phones and iPads who are receiving their bidding instructions from people we never see, who are sitting in front of multiple computer screens hundreds or thousands of miles away from the fray.
- Listed REO’s are often selling well above the list price. When a new listing hits the market, within 24 hours there are multiple offers and the house is put under contract.
With all this excitement going on, it’s the perfect time to get together and examine other possible investment strategies and that is exactly what we are going to do at our next Cash Cows Commercial Group Meeting.
Please join us on Thursday, May 23rd at 11:00 AM at 5 Seasons Brewing located at 5600 Roswell Rd in Sandy Springs, GA where Steve Brown will be joined by Gordon Catts to discuss this important topic. Together Steve and Gordon bring decades of valuable insight to this topic. Bring your questions, concerns, answers and insights for discussion with the group. Atlanta REIA Members can attend for FREE and non-members for only $5.00.
Hosted by Joe Thompson
Haves and Wants is a weekly investor’s networking, brainstorming and deal making jam session hosted by Joe Thompson and held every Thursday at 5 Seasons Brewing at the Prado from 1:30 PM till approximately 3:00 PM. This group has been meeting for over 6 years and is all about networking, sharing information, doing deals and making money right now. Be sure to bring lots of your business cards and flyers and be prepared to promote your business and/or your haves, wants and deals with our group. If you are a real estate player or want to be, this is one meeting you don’t want to miss!
5 Seasons Brewing is located at 5600 Roswell Rd (map) inside the Perimeter at the “Prado” in Sandy Springs. The all natural, organic food at the 5 Seasons is excellent and the hand-crafted beer is even better! Come out and eat, drink, network and share your deals with us! There is no charge to attend this meeting for Atlanta REIA Members or guests. Please come early and stay late. We would love to have you!
The Onsite Renovation Group Meets Tuesday, May 21st at NOON
Posted on May 15, 2013 byOn Tuesday, May 21st at Noon, the Onsite Renovation Group meets at 1338 DeKalb Ave NE Atlanta, GA 30307. This is a true Candler Park renovation that should resell in the upper-300s or lower-400s. The project was funded by Lima One Capital, and a Lima One executive will be on site during the meeting to answer questions about the numbers, funding and the hard money process. Come on by for a great afternoon of networking, education, and gawking at what a few hundred thousand will buy in Candler Park!
The Atlanta REIA Onsite Renovation Group (ORG), led by Aaron McGinnis of Craftbuilt Properties, is an new educational and networking group that focuses on the acquisition, renovation and retail resale (fix and flip) of single family residential homes inside the I-285 perimeter and the in-town neighborhoods. The purpose of this group is to allow both new and experienced rehabbers and investors to meet, network and share knowledge and experience with “hands on” access to real property. The Onsite Renovation Group meets on the 3rd Tuesday of each month at NOON at an active renovation site, build site or rental property which will vary from month to month. There is currently no charge to attend these meeting.
What’s Happening at Atlanta REIA for the Week of May 13, 2013
Posted on May 13, 2013 byWednesday is the Atlanta REIA North Meeting with Gordon Catts and Steve Brown on “Real Estate Strategies For a Changing Marketplace” which will be followed by Late Nite Networking at the Mall of Georgia Taco Mac after the meeting. Thursday is Haves & Wants with Joe Thompson at 5 Seasons Brewing in Sandy Springs, GA. Read More→
