Atlanta Real Estate Investors Alliance Blog

Never Eat Your Seed Corn

Posted on September 25, 2012 by

When I started investing in real estate 30 some years ago it never dawned on me that there was a strategy to become wealthy.  I thought all you had to do was buy houses, fix them up and resell them, make money then repeat the process. It sounded like a good plan but it was a flawed plan because the money I made from the deals I did went to feed my family first, then what was left went to rehab the next property. I had no plan to accumulate wealth. I had no plan for the future; all I had was a plan to create a job for myself I had to go to work every day to support my family.

One day I was whining to my father that I wasn’t really making any headway putting any significant amount of money into my savings account. It seemed like I was just spinning my wheels and I wasn’t really getting ahead. I was working hard everyday and I had money to feed my family but that was about it. I could have done exactly the same thing working for someone else with a lot less stress in my life. My father who was a brilliant man told me a story about a poor boy that lived during the great depression and for those of you getting started investing in real estate today I think this story is very important to help you understand how to create wealth instead of just make a living. It is called….  Read More→

It’s Very Simple: Consistency

Posted on September 25, 2012 by

Here it is the Tuesday after Labor Day, and I’m excited about the upcoming month. The market seems to be changing positively, and I am doing an increasing number of real estate deals. Also, I’m energized because I rested over the three-day holiday. I spent time with my friends relaxing and enjoying great conversation along with sharing ideas. With all of that renewed energy, I made grand plans for the upcoming week.

 But, you know what they say about well-laid plans. Instead of getting to my list, I find myself trying to answer calls as the phone rings off the hook. My plan to achieve five of my goals this week is already going out the window. Suddenly I realize that I’m overwhelmed and losing sight of what I wanted to accomplish. I know that I need to re-prioritize.

Like so many of us, I am challenged on a monthly, weekly, and daily basis to figure out my priorities. I sit down at my desk ready to check things off of my list, and the fires start flaring up. I can easily lose track of what I should be doing and where I should be going.

I’m sure that most of you can relate to this. So, how can we avoid that rushed feeling of putting out fires? If we have the best intentions to accomplish our goals, of doing the next right thing, we must be able to do it while life happens around us rather than letting ourselves get caught up and losing sight. Read More→

Buzz Words and Warning Signs

As investors, we must always be aware that there are fraud promoters lurking in every corner waiting for their next opportunity to pounce on an un-expecting investor. To help you avoid falling victim to fraud, here’s a recent study of SEC Investor Alerts which show some very obvious but worth mentioning ‘buzz’ words every investor should watch out for:

  • Guaranteed
  • Can’t Miss
  • Extremely High Returns
  • Safe and Risk Free
  • Promised _____% Returns

In the SEC alerts they are primarily discussing investing in LLCs and Private Placements; however, these warnings are absolutely applicable to real estate transactions, private loans, or any other investment a person would consider making. Read More→

Many real estate investors shy away from the ugly house business because they fear hiring contractors. We have all heard the horror stories of rehabbers who loose their shirt because a contractor took them to the cleaners.

I am here to tell you that contractors can be your worst enemy or your best friend, depending if you hire a good one or a bad one. So how can the beginning novice real estate investor make the correct choice- the hard working team player that gets the job done on time, on budget and at a high standard of quality? The answer is by following all eight of the critical prescreening steps below.

1. Ask the contractor you are interviewing, how long they have been in the business?  I prefer at least five years of experience in the trades. I want a contractor who has seen and repaired every strange, odd, and crazy thing that could be wrong with a house. Experienced contractors know how to estimate all tough projects and experienced professionals can give an accurate price to fix any problem.

Inexperienced contractors, on the other hand, under estimate repairs to get the business, and then they try to push their mistake on the home owner by upping the price half way through construction.  The investor needs to say NO. NO is the most powerful word in the dictionary, and a rehabber needs to use this tool.  If they did not have the knowledge to make a good estimate, it is there problem not yours. Read More→

What Are The Risks Of Giving… A Lot?

Posted on September 25, 2012 by

“He who has pity on the poor lends to the Lord, And He will pay back what he has given.” (Pr 19:17 NLT)

Every investment has a Risk/Return factor associated with it. When a business man or business woman is asked to put their finances and/or time into a venture it is wise for them to consider the projected return. The return is compared to the possible loss that is associated with an investment. Conventional wisdom says; “the greater the projected return, the greater the risk one might have to take.” Whether or not greater risk can be justified by larger projected profit depends on the risk tolerance of the business person.

Have you ever considered that pro bono work, charitable contributions, benevolent gifts to the less fortunate, or supporting the poor and unfortunate members of our society as making a loan to God? Just how risky is that investment? Have you considered that such compassionate practices work for the betterment of the bottom line of one’s business? Read More→

The Wholesaler

Posted on September 25, 2012 by

Now it’s time to discuss a subject that I have intimate knowledge about, the wholesaler. It seems that no matter which direction you look you will always find a “wholesaler.” From my experience many people are too quick in being self proclaimed wholesalers. Anyone that is truly a wholesaler and a successful wholesaler can tell you that although it is very profitable it is not something one can be learn over night. Good wholesalers are usually a jack of all trades in the investment world. They are knowledgeable about construction, creative financing, determining values and rents, some are investors themselves, and the list goes on and on. When you are dealing with a wholesaler the only thing they are concerned about is the bottom line.

Now that you know what and who you are dealing with you can be better prepared. Many wholesalers will claim to be the owner and in some way they are because, if they have the property under contract as they should, they do have equitable interest in the property. Once you have discovered that the seller is a wholesaler there are two things you want to know as a buyer. First, you would want to know how long they have been trying to sell the property. This will let you know how motivated the wholesaler really is. Obviously, the longer the wholesaler has had it the more motivated he/she is to sell it. Secondly, you would like to know what their spread is between their asking price and what they contracted the property for. You want to know this for one reason and one reason only and it is not to beat down their fee just to beat it down. You want to know this in case your calculated purchase price is a bit lower than what the wholesaler is offering the property for. For example, let’s say you did your due diligence and calculated that you need the property for $50K and the asking price is $60K there is a $10K difference. However, the wholesaler only has a $5K spread so he/she truly can not accommodate your offer. On the other hand, if the wholesaler’s spread was $20K he/she may accommodate if you present a reasonable argument why your offer is $10K less and you are the only serious buyer. Read More→

Ok, you’ve built your site. You have it all set up, targeting your proper audience. You have a freebie give-away, such as a report, video, or guaranteed offer on their house, and all they need to do to get it is give you their name, email, and phone number.

So you’re ready for the next step…

Now you just need some people to see it. This is called ‘Traffic.’ It’s the lifeblood of your website. It’s the first step in your marketing funnel – Generate Prospects. Without eyeballs on your site, you’re done. Might as well not even have a site to begin with!

But you do have a site, so let’s get you some targeted traffic, shall we?

“If You Build It, They Will Come,” says the mysterious voice from the movie “Field of Dreams.” Well, that quote was made well BEFORE the internet was really made available to anyone. If your site isn’t set up properly, no one is gonna come, believe me.

So how do you get the traffic? Well, that’s the fun part, isn’t it?! And I’m going to get you started. So, here we go… Read More→

Did you know you can quickly build a wholesale buyers list by having your prospects “text” to automatically join your list? Building a text message marketing list will not only prove to be easier than building an email list, but you will also have a higher chance of getting your message opened and read by your prospects. After all, about 95% of all text messages are opened and read within minutes of being sent.

People also find it is easier to simply text to a number to join your list rather than having to go online, fill out a form, check their email for a verification message and then double opt-in. It is also easier for you to market that “text to number” since it is short and easy to remember and you can place that number virtually anywhere you like!

Building a Targeted Buyer List

You can build your text message buyers list through the use of Facebook, Twitter and variety of other online and offline sources. This will give you a focused list of targeted consumers that are interested in what you have to offer!

Text them a “property of the week” or whenever you have a new property to sell or fill. Preaching to the choir is not a bad thing when it comes to text message marketing your properties, since in this case, the choir consists of those who would most likely buy or rent your properties. Read More→

What's Happening at Atlanta REIAWe have another exciting week of meetings and webcasts for real estate investors this week at Atlanta REIA. Monday is Atlanta REIA West with special guest Rock Shukoor on “45 Ways to Find Under Valued Properties” with Late Nite Networking afterwards. Tuesday and Thursday at 7 PM we are having a live webcast replay with Alan Cowgill on “Raising Private Money”. Tuesday is also the Note Buyers Group with Tom Boyer. Wednesday is the Beginning Investors Group with Alan McDonald. Thursday is the Cash Cow Commercial Group with Steve Brown and his special guest speakers and the Haves & Wants Meeting with Joe Thompson. Read More→

PLEASE NOTE: The Atlanta REIA Main Monthly Meeting has moved to the Crowne Plaza Ravinia Hotel located at 4355 Ashford Dunwoody Road in Atlanta, GA.

Mon, Oct 1st at 5:30 PM @ Crowne Plaza Ravinia, Atlanta
Atlanta REIA Main Meeting
with Alan Cowgill at the
Crowne Plaza Ravinia on October 1st

Atlanta REIA Members Can Attend at No Charge.
Guests Can RSVP Online Now for $10 or Pay $20 at the Door.

Alan CowgillWe are excited to announce Private Lending Expert, Alan Cowgill, will be our guest speaker at Atlanta REIA on October 1st. Alan is an author, a national speaker, and a private lending consultant specializes in raising private money to fund all of his real estate investing deals and he is coming to Atlanta to teach you to do the same.

At this meeting, Alan will show you how you can get the money you need to buy single-family houses, commercial buildings, apartment complexes, or luxury homes, regardless of your credit or financial situation. Alan will show you these crucial 5 steps to success, so that you can find all the private money you need. He will teach you how to:

  1. Build Credibility
  2. Generate Leads
  3. Secure Private Lenders
  4. Buy/ Sell Property
  5. Get Paid!

Alan is going to show you how to pre-screen your prospects and the “Magic” words to get them to commit. He will talk to you about scripts you should use when talking to people you know, and their voicemails. He will also show you how and why to avoid the four common types of financing to fund your deals. He will also show you how to borrow private money without having to make monthly payments. Alan will teach you all this and more so you can buy and sell all the investment properties you want to without having to worry about where you will get the money.

PLEASE NOTE: Guests can Join Atlanta REIA as a Silver Member for a full year for only $100, now through October 1st and attend our Atlanta REIA Meeting on Monday at no charge and as well as Alan Cowgill’s Raising Private Money Workshop on October 6th.

This Month’s Mini-Session Topics & Speakers

Dustin Griffin“What’s Happening at Atlanta REIA” is a mini-session hosted by Atlanta REIA Executive Director, Dustin Griffin, to update our members and guests on many of the exciting new things that are going on at Atlanta REIA in the upcoming weeks and months such as upcoming workshops, webcasts, special events, members benefits and more!

Don DeRosa“There’s an App for That” is a fun new mini-session dedicated to updating you on some of the latest and greatest applications or “apps” for your iPad, iphone or Droid smartphones and tablets for both business and personal use. We want to help you become a high-tech, mobile real estate entrepreneur and this month, Don DeRosa is going to help you do just that!

Joe Thompson“Have’s & Wants Speed Marketing” is 30 minute marketing session hosted by Joe Thompson that is held to help facilitate deals by giving our members the opportunity to quickly market things they HAVE and no longer want and to find things they WANT but don’t yet have. Be sure to get to the meeting early and get on the speed marketing list if you want to participate.

Meeting-Before-the-Meeting at Total Wines & More
The Active Investors Group
with Michael Keefe on Purchasing Tax Deeds

Michael KeefeMichael Keefe will be our speaker for this month’s Active Investor Group on Monday, October 1st at 3:00 PM at Total Wine & More located at 124 Perimeter Center W (see map), where he will be sharing information on the very lucrative investment strategy of purchasing tax deeds. He will discuss how to find, evaluate, and purchase tax deeds and explain how to avoid the common pitfalls in the bidding process . Tax sales are a special real estate investing niche utilized by advanced investors. We are lucky to have Michael share his vast experience in this little understood arena. Come learn to purchase a deed for pennies on the dollar. Learn to purchase vacant lots at fire sales. Learn to get excellent returns on your investment with no tenants and no toilets.

Late Night Networking at the Tilted Kilt Perimeter

Tilted KiltAfter 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!

*Meeting Agenda
3:00 pm: Meeting Before the Meeting at Total Wines & More
5:00 pm: Vendor & Event Setup
5:30 pm: Vendor Trade Show & Networking
6:00 pm: Announcements & Mini-Topics
6:30 pm: Haves & Wants Speed Marketing Session
7:00 pm: Networking Break
7:20 pm: Vendor Door Prizes & Giveaways
7:30 pm: Private Lending with Alan Cowgill
9:30 pm: Late Nite Networking at the Tilted Kilt Perimeter!

*Please Note: Meeting agenda is subject to change.

Participating Vendors & Sponsors

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. Thanks again sponsors!

Goldmine Properties, Inc.Goldmine Properties, Inc. – As Atlanta’s first full service real estate wholesaler, Goldmine Properties offers wholesale property at 65% loan to value, with financing available. Purchase price and repairs are 65% of certified after repaired appraisal. Read More→

American IRAAmerican IRA – The American IRA mission is to provide the highest level of customer service in the self-directed retirement industry. Read More→

Networth Realty of Atlanta, LLCNetworth 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, LLCHalperin 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→

The Small Business AdvisorThe 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→

Atlanta Private LendingAtlanta 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→

Lima One Capital, LLCLima 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→

Angel Oak FundingAngel 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>>

Advanta IRA AdministrationAdvanta 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!

Paces FundingPaces Funding – A direct hard money lender based in Atlanta. We specialize in quickly closing investor rehab loans. Low hassles lead to quicker profits. Read More→

Atlanta Carpet ServicesAtlanta 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 AtlantaFuller 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→

Craftbuilt, Inc.

Scott Bowen’s Specialized Services

C. Brown Property Management

Also, special thanks to all of our volunteers that help make our meetings and networking events possible!

Hey fellow real estate investors, let me ask you a question.  Do you have all the motivated sellers you can handle contacting you to sell you their house?  Are you so bogged down in leads that you don’t know what to do with them all?  My guess is your answer is a resounding “no”.  This is one of the biggest mistakes I see both new and seasoned investors make.  They wonder why they aren’t doing deals, while somehow missing the very important fact that they aren’t focused on marketing that will get their phone to ring consistently with motivated sellers who need to sell their house NOW.  Miss this key element and you won’t be in business very long before you are frustrated and wondering if the real estate business is really for you.  Get this down and practice it consistently in your business and your world will be changed for the better!

Rock ShukoorThis month at Wild Wild West Subgroup local investor and real estate expert Rock Shukoor will be sharing with us tips, strategies, and techniques he uses to get motivated sellers contacting him constantly.  It stands to reason the more leads you can generate, the more money you will make, right?  Very few real estate investors have the successful track record that Rock does.  He knows how to consistently implement marketing that drives leads to him, rather than him chasing after unmotivated sellers and dead end leads that suck your time and energy dry.  Rock has been investing in residential real estate for more than 10 years.  Along the way he’s acquired a wealth of knowledge about marketing that you can benefit from!  If you think you have to have a large marketing budget to pull off having a steady stream (river!) of motivated sellers contacting you, think again.  You don’t!  Rock’s marketing methods are of little to no cost to implement, I promise you. 

Rock will be sharing well over 35 of these successful, low to no-cost methods with us on Monday at Wild Wild West.  A small sampling of these include:

  • Internet marketing
  • Email marketing
  • Social media marketing                                                    
  • Mobile media marketing
  • Bandit signs
  • Various forms of traditional marketing
  • And much, much more!

Read More→

Could You Use An Unlimited Supply Of Money To Fund All the Real Estate Deals You Can Find?

Alan CowgillNow is your chance to learn how to raise all the private money you need to fund all your residential and commercial real estate deals. On Saturday, October 6th, Atlanta REIA is having a Private Lending Workshop with Private Lending Expert, Alan Cowgill, at the Crowne Plaza Ravinia Hotel located at 4355 Ashford Dunwoody Road in Atlanta, GA. Alan is a real estate investor, author, a national speaker, and a private lending consultant who will show you how you can get the money you need to buy single-family houses, commercial buildings, apartment complexes, or luxury homes, regardless of your credit or financial situation.

Register Now!

Alan Cowgill BookThe first 25 people to register for the workshop above will receive a copy Alan’s book entitled “How To Get All The Money You Need To Buy Property” valued at $16.95. Read More→