Atlanta Real Estate Investors Alliance Blog
Nationstar and Auction.com Take Advantage of Short Sale Sellers!
Posted on October 30, 2013 byRecently we were working a short sale through Nationstar who requested that the Seller sign a document allowing Nationstar’s affiliate, Auction.com, to sell our short sale. Yes, you heard me correctly! We already had a buyer, submitted all the financials to Lender, and had the BPO (Broker Price Opinion). However, they hadn’t countered the buyer yet. The form that my agent and her Seller signed stated that Auction.com was allowed to hold an auction on the property and should my agent be a dual agent on both sides, that she would not get paid more than 3% commission. First off, I want all Brokers to be aware that agents do not have the right to sign away commission unless the Brokers previously allowed this right, nor do they have the right to sign away the Broker’s Exclusive Listing Agreement terms and conditions.
I was furious as Auction.com was advertising this house illegally and unethically to the public. They were advertising as Bank Short Sale Approved! Well, if it was approved, I would have already had the approval letter for my existing buyer that had been waiting during this short sale process. In addition, how can a Seller back out of my Buyer’s contract and enter into a contract with the winning bidder’s contract without having some legal ramifications? The winning bidder was to pay 5% to Auction.com for acting as auctioneer, place a deposit immediately with Auction.com plus all the forms that they had to sign which gave away all their rights for inspection with clauses saying that they would have to pay money to Auction.com for cancelling the contract. The highest bid was $80,000 plus $4,000 over and above to the auctioneer for conducting this auction. They forced the Listing Agent to hold their own open house but then reduced our commission as Listing Agent. Read More→
Negotiate Like A Pro
Posted on October 30, 2013 byHave you ever made a great offer, had it accepted and then for some reason it just fell apart? This is an all too common occurrence in the real estate business. The most common reason for this is an improper negotiation prior to the acceptance of an agreement. If you view a real estate negotiation as “win/lose” situation, then you probably got the buyer or seller to agree to something that they really weren’t comfortable with. They said “yes” in the heat of the moment, to relieve themselves of the pressure of the negotiation but then had second thoughts when they went home and thought about it. A good negotiation creates value for both sides. This is the best way to get both parties to honor the agreement all the way to a closing. Here are some tips for your next negotiation.
Gather Data! Gather Data! Gather Data! This is so important it’s probably worth mentioning again. Try to find out what the real interests of the other side are. Why is someone selling? Are they burned out? Do they need to have all cash? Are they in a hurry to close? How motivated are they to sell? Read More→
Contractor’s Liens – Part 2
Posted on October 30, 2013 byThis article is the second in a two-part discussion about contractor’s liens, specifically called mechanic’s and materialman’s liens in legal terminology. In last month’s article, I pledged to discuss two important items in more detail: (1) the requirements when filing a lien and (2) the requirement to file suit to enforce a lien.
First, the law demands several precise requirements in order to find that a contractor’s lien is enforceable. Because these requirements are technical and many, I have only highlighted some of the requirements below – those which are frequently omitted or incorrectly completed. Therefore, the contractor’s lien must:
- Be filed in the office of the clerk of the superior court in the county where the property is located within 90 days after substantial completion of the work or professional services;[1]
- Include a notice that the owner has the right to contest the lien;
- Contain an adequate description of the property;
- State, in at least 12 point bold font, that the lien expires 395 days from the date of filing if no notice of commencement of lien action is filed;[2] and
- A copy of the claim of lien must be sent to the owner of the property within two business days.[3] Read More→
Case Study: Piercing the LLC Liability Shield
Posted on October 30, 2013 bySally and Julie grew up together and have decided to invest in real estate. They both have regular jobs, but figure they can find a property, fix it up and rent it out in their spare time. They find a good property which takes most of their savings as a down payment. They figure that over the next few months, they can get the repairs done with money earned on their regular jobs.
They decide that with contractors on the property and tenants once it is fixed, they need to have a liability shield to protect them personally. They set up a Limited Liability Company and purchase the house in it.
Sally and Julie are so excited and anxious to get the rehab done that they neglect to have an organizational meeting nor do they have any subsequent meetings. They figure it is no big deal since they are close friends and talk every day anyway. They also want to save money and decide not to set up a bank account for the LLC. Julie agrees to use her account to run all the expenses through with Sally putting in half the costs. Julie then agrees to put the utilities in her name.
They also failed to get a Tax Identification Number (TIN) from the IRS. If they had opened a bank account, they would at least have gotten the TIN since banks would require it. They figured they would just work out the expenses later. Read More→
Local Market Actually Does Equal Location
Posted on October 30, 2013 byAs a regular writer for the Atlanta REIA and Tampa REIA, I look forward to sharing with readers current, timely concepts and ideas regarding the valuation of real estate in many markets. Perhaps even better than sharing in these articles, is knowing REIAComps helps to quickly see how the location of your market impacts the profit of a deal year to year and in some cases, month to month.
Each month, I will share facts on local real estate statistics, market trends and provide useful tips for buyers and sellers. Additionally, I sometimes will discuss the lending process, real estate appraisals and other topics residential real estate investors can benefit from.
Now, in most cases nearly all investors are familiar with the “age old rule” concerning real estate: “Location, location, location.” Many times, the high importance of location is overlooked when examining broader national or even regional real estate trends.
In your own market, property values and selling trends will frequently differ vastly between counties, subdivisions, school districts and neighborhoods. Often there is a huge difference in home values between streets within even assumed stable neighborhoods. To prove out this point, consider the three-mile radius around your very own home. Note the variables impacting its value either positively or negatively. Some examples include the home’s proximity to traffic congestion, a school, amenities, places of worship or a busy commercial district. Read More→
Do You Need Help with Reports?
Posted on October 30, 2013 byIt is the goal of this column to answer questions about QuickBooks and how it is used in the REI arena. Know how to record transactions in the proper way and have your set of books in good shape when it comes time for taxes. It is our intention to do this by you the members submitting questions to Karen@SmallBusinessAdvisor.biz, and getting answers here in this column.
Q: P&L report does not match with Sales Report – how do I fix this?
A: An apparent discrepancy between P&L and Sales Reports can trace to one or more of several issues, including, but not limited:
- The accounting bases of the reports do not match.
- Sales items point to incorrect sales accounts
- The P&L report includes transactions that do not use items (e.g. The Expense Tab on a bill or a journal entry).
- List or transaction damage in the company data file. Read More→
How to Make a Website For Fun or Profit – Part 2
Posted on October 30, 2013 byWelcome back! In Part 1 of this article, we covered how crucial it is to have a website if you want to sell/educate/entertain/enlighten/etc. just about anything to anyone in the world in the current century. We also discussed HOW to actually get a FREE, performing website up & running quickly.
Having a free website is great! You get to put some content up for the world to see. You start to learn how to add images, videos, etc. to your site. You can get people to add comments to your site. And you can quickly gain confidence on how all this internet “stuff” works.
This is particularly an attractive option IF you don’t run a “real” business, or if you’re only concerned with sharing your thoughts or ideas with the world. So if you’re happy with that, great! You can stop reading now.
However, if you DO run a legitimate business, or if you’re interested in making money or being perceived as legitimate… or if you want to learn how a true website is made these days, then keep reading! Read More→
Do You Have a Burning Desire to Buy One Hundred Houses per Year? If You Do, Be Sure You Are Prepared!
Posted on October 30, 2013 byRecently I was talking to several of my students who each said they wanted to buy 100 houses next year. These students had listened to one of the gurus who had bought and sold over one hundred houses in one year and is now teaching people how to duplicate what he had done. I listened closely to these bright eyed, inexperienced students tell me they wanted to do the same as the guru, which frightened me to death. Later over dinner, I mentioned what I had just heard to my wife. She encouraged me to tell my tale of woe about the years of agony we experienced because I got too big for my britches and against my wife’s better judgment I had tried to do the same thing myself.
What the students were thinking about doing frightened me because several years before I thought I knew enough about buying and selling houses that I could easily buy 100 houses in a year. I thought it was a noble goal and I clearly believed I could create my fortune in months, not years. At the time the market was right to be able to buy houses at the rate of 100 houses per year. That is why I want to tell my story so every overzealous beginning investor will think before they set about to try to do the same. Read More→
The Goblins Are Coming! Are You Afraid?!?
Posted on October 30, 2013 byAre You Afraid?!?
Don’t let them scare you! Now of course we don’t get scared by the Goblins on Halloween, but many times we do let the Goblins scare us the rest of the year… scare us away from doing profitable deals.
After all, many of us get scared away from potential deals because we think they won’t work for us. Or we don’t know how to structure them correctly and get our agreements in writing. Or we don’t know how to negotiate to achieve a favorable outcome. Or we are simply afraid to talk to sellers our of plain old fear of rejection.
If the Goblins of fear, lack of knowledge, or the difficulty of a deal, or some other Fear Monster is lurking in your mind and is stopping you from finding and closing on a deal, we have the solution for you…
The King of Kitchen Table Negotiators, aka The King of Creative Seller Financing, Larry Harbolt, is teaching a Full Day Workshop this Saturday, November 2nd on creative buying and selling and negotiating deals that others don’t see or know how to structure.
Let Larry help give you the knowledge and confidence you need to tame your Fear Monster so you can make your real estate investments truly profitable for you and your family.
And TODAY is the last day to Take Advantage of the 2-for-1 Early Registration Special before prices go up and become a per person price.
Tom DiAgostino
Posted on October 30, 2013 byTom DiAgostino grew up the hard way in the Monroe Housing Projects in the South Bronx of New York City. He seized opportunity and started his college career at CUNY and then Pace University, joined the Army ROTC and commissioned as a Second Lieutenant, eventually retiring from the Army. At Pace he did an internship at Reynolds Securities, a financial firm where he achieved a tremendous education in the markets, and has been heavily involved in the trading markets ever since.
His business career started in 1988 as a project manager for Orenstein Construction. It was then he purchased his first batch of Tax Liens through the tax sale process. In 1992, he struck out on his own and formed the company T-GRAM, Inc. an acronym for his bride of 24 years and 4 children, Thomas, Grace, Rick, Ann, & Maegan (he says he is the hyphen). He started as a site builder, then to a developer of small subdivisions, then to a Superior Wall franchise that set over 4,000 homes. Tom has kept current through education and seminars adding new tools to his business practice to stay on top of the ever-changing market place. Tom has been a rehabber, builder, and Tax Sale investor for the last decade. His experiences entail every facet of real estate, and throughout his career he has utilized tax sale properties for rehab projects, wholesales and rentals. Growing wealth by acquiring real estate for pennies on the dollar via Tax Sales is the foundation of Tom’s real estate business in Fortris LLC.
Tom is the Co-Author of Dare to Succeed with The New York Times Best-Selling Author Jack Canfield (Chicken Soup for the Soul). Available now on Amazon.com.
Online Lead Finder Version 2.7
Posted on October 29, 2013 by“You’re About to Discover a Software Tool That Tirelessly Works for You To Find HOT Leads and Create Massive Profits!”
PLEASE NOTE: 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 navigating to the Members Only Downloads & Bonuses. If you are a Gold Member, follow the instructions in the ReadMe.pdf file on how to activate the Unlimited Gold Edition at NO CHARGE (a $500 value!).
We all know that you can’t do business without leads that you can turn into suspects, prospects, and paying customers. You need lots of leads to work in order to generate your sales, whether it’s real estate, Internet marketing, affiliate marketing, eBay, any other business.
Online Lead Finder provides leads fast! Here’s why you should use this software:
- Cragislist, BackPage, Ebay Lead Search
- Yellow Pages Scraper
- Automated Twitter Marketing
- Twitter Trends Demand Traffic
- Facebook Lead Serve
- Social Lead Detective
- Google Maps Extractor
- Yahoo Auto Answer Bot
- Social Mail Hacker
- Linked Lead Connect
- Email Gunner
Nov 4th Atlanta REIA Meeting with Reggie Brooks on Abandoned House Profits
Posted on October 28, 2013 bywith Special Guest, Reggie Brooks
Guests Can RSVP Online Now for $15 or Pay $20 at the Door.
On November 4th at the Atlanta REIA Main Meeting, Reggie Brooks will teach you how to find these abandoned and distressed properties, find the owners, and structure a transaction that is mutually beneficial to both you and the seller. You will learn how to automate the process of finding the properties, the owners and create a profitable business where you get the abandoned properties chasing you, rather than the other way around. Reggie’s “Abandoned Property” presentation includes case studies of people who have used his Abandoned Property System to create huge profits buying and selling these unwanted homes.
Join us and you will learn…
- How to make big profits using a unique niche in the marketplace – Abandoned Properties
- How to invest with no cash and no credit
- Insider secrets that the professional investors use to turn $15,000 profits into $50,000 profits and more
- Hot new tips and insights that the professionals use to find profitable deals, especially in today’s market
- Hidden cash producing secrets that even seasoned investors don’t even know
- How to uncover hidden value in properties that most seasoned investors overlook
- How to profit from properties that most investors consider worthless
- How to write your contracts to maximize your profits
- How to use creative financing to fund your deals
- And much, much more!
Come join Reggie and the rest of us at the Atlanta REIA Meeting on Monday, November 4th at 5PM at the Holiday Inn Atlanta – Perimeter/Dunwoody located at 4386 Chamblee-Dunwoody Road in Atlanta, GA to profit from abandoned properties.
WIN A CRUISE or Other Door Prizes: All participants who attend the Atlanta REIA Meeting will have a chance to win a *Complimentary 2 Day Cruise to the Bahamas with Caribbean Cruise Line! The 2 day Cruise does not include port fees, transportation and taxes. *We will also be giving away other door prizes such as Gift Cards and more! *You must be present at the meeting to win.
with Special Guest, Rock Shukoor
Please join us for the Mobile Real Estate Rockstars Group hosted by Don DeRosa at our “Meeting-Before-The-Meeting” on November 4th at 3:00 PM at Total Wine & More located at 124 Perimeter Center W (see map). Our special guest will be Rock Shukoor, who will showcase his Guerilla Marketing skills and show you how to find at least one deal a day. Yes, I said one deals a day. In fact, Rock wants to show you “7 Ways To Find 7 Great Deals in 7 Days”! Rock will share everything you need to know on how to find deals quickly without using any money. If you have a phone and have access to a computer, you are in business. Rock will teach you all the details on…
- Where to find deals
- How to sell them in a flash
- What market to choose
- Where to get your list from
- What kind of properties to focus on
- Where to get the money from for these deals
- How to stay focused on one deal per day
- And much, much more…
Rock even has some special FREE Bonuses for all those who attend!
The Mobile Real Estate Rockstar Group is an educational and networking group for investors who want to leverage mobile technology to become more competitive, profitable investors. You’ll learn how to use the latest apps, tips and techniques to use the information they need, right now, at their fingertips, from anywhere. 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 the meeting or wine tasting for Atlanta REIA Members and guests. Thanks Total Wine & More!
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!
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>>
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>>
Atlanta Private Lending – Atlanta’s premier private real estate lending company. We provide private, hard money loans to professional real estate investors for renovation and investment purposes. 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>>
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>>
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>>
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>>
Law Office of Fred P. Kross – A law firm specializing residential and commercial real estate closings, short sales, foreclosures, REOs, owner financing, contracts, probate and bankruptcy. 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>>
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>>
American IRA – The American IRA mission is to provide the highest level of customer service in the self-directed retirement industry.
Read More>>
CRS Data – We offer comps from the MLS & FSBO’s, custom searches, property tax records, interactive maps, sales & mortgage info, real estate valuations, mailing lists & more. 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>>
- Bowen’s Specialized Services
- Renovation Construction & Design
- Steelworks Designs LLC
- FirstCall Claims
- World Financial Group
- Air Conditioning Experts, Inc.
- American family Insurance, The Partlowe Agency
- Platinum Key Management, Inc (Rock Shukoor)
- Nationwide Insurance
- Comcast Xfinity (Dylon Ross)