Kim's Blog

EXPO 2008 - in the Kansas City Metro

2008-09-24T15:49:14Z

RE: Mid-America Association of Real Estate Investor's EXPO 2008, a real estate investor conference

Have you heard about EXPO 2008 a real estate investor conference on Saturday & Sunday October 11th & 12th at the Overland Park Marriott. If you are a real estate investor, a landlord, a realtor, a lender, or any other real estate professional, this is THE event for you to attend.

Click Here for a Complete Brochure & Registration

What to Expect:

EXPO Hall will be packed with 15 to 20 and possibly more exhibitors including people to help you with:

Rehab Funding
Permanenet Funding & Blanket Loans
Marketing for Motivated Sellers
Title Company Services
Assignements & Double Closings
Contractor Services
Property Management
Leveraging Retirment Funds
Travel to Out of State Properties (or to training events)
Security Systems for Rentals
Realtor Services
More

Click Here for a Complete Brochure & Registration

Conference Seminars with tons of information for everyone:

Finding & Negotiating the Best Deals
Working with Contractors
Deals for 40 to 70 Cents on the Dollar
Distressed Homeowners
Use None of Your Own Money or Credit
Automate Your Investing
Develop your Systems
Systems for Managing Rentals
Managing Properties without Dealing with Tenants
Buying Apartment Houses
What is a Good Short Sale
Negotiating with a Lender
Closing the Deal
Tax Free & Tax Deferred Real Estate Investing
Private Banks
Lending Programs
Renovating Homes
Buying REO & Bank Owned Homes
Selling on Lease Options
Buying Short Sales (from a former Loss Mitigator)
Buying & Selling Discounted Mortgages
Self Directed IRA's and more . . .

Click Here for Complete Brochure & Registration

We do have limited seating and we are providing lunch both days. So we need all attendees to pre-register. Early bird pricing is $59 for members of Mid-America Association of Real Estate Investors and $99 for non-members. Seats are going fast, so register today. How to register: 1. Online click here 2. Fax or Mail with Printable Registration 3. By Phone at 816-523-4400 x 222 We have filled about 1/2 the seats and have several other groups in nearby cities also taking registrations, so it is very possible we may sell out early. So please take the time to register now!

EXPO Web ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

www.MAREIexpo2008.com
Review all Speakers (several sample presentations)
Check out Vendors and contact information
Check out the Hotel
Read our Blog

Find out more about membership - www.MAREInet.com

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Do you know someone who should be at this event? Someone thinking about getting into real estate? A realtor freind wanting to grow in add more tools to their tool box? An investor friend who wants someone to talk shop with? Please take a moment and forward this on to them. We have attendees regsitered from California, New York, Nebraska, Wichita, and from all around the Kansas City and Surrounding areas.

Register by October 6th and Save

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Real Estate Investor Meeting

2008-08-21T20:10:04Z

September 9th, General Meeting

Wes Schlobohm

Auctioneer & MAREI Member

The comeback of auctions as a vehicle of choice for lenders to sell off their growing inventory of Real Estate Owned Properties could be a good omen for real estate investors interested in finding bargains in the foreclosure market. To avoid getting caught up in the heat of the moment and overbidding, prospective bidders should make sure to perform careful research of the property before the auction.

We have invited Wes and his staff to join us on Tuesday September 9th to take a look at the real estate auction. We have asked him quite a few questions to cover:

How does an REO auction work?

What should we do before we go to a sale to get ready to buy an REO property or any other property at auction?

Could you tell us about registering as a buyer's agent?

Are their any mark ups or extra, hidden fees?

What type of property makes a good "auction property"?

If I am a Realtor & have a listing, how can I work with an auctioneer to get the property sold faster?

If we buy a house that is full of STUFF, is an auction company a good choice to sell the STUFF?

When we think of real estate investing, we don't normally think of a true auction as a way of buying or selling a property, but in today's real estate market, we are seeing auctions more and more. Find out what you need to know to buy and sell through the auction model.

Find out more about Wes and Auctions Now!

Meeting Sponsor

Scott Perron, from Big Bob's Flooring Outlet will be sharing with us many of the great products and services that are available for MAREI members.

Find out more about Big Bobs Right Now!

Calendar of Events

Pre-Register

Meeting starts at 6pm. Be sure to bring your email confirmation for meeting access if you pre-register.

Don't Miss An Event Register for Our Email Updates

Online Networking

Click to join KCREI on Yahoo
Our Forums

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Developers needed

2008-08-21T20:07:46Z

If you have been looking for a solid structure in Kansas City to convert to condos or other mixed used buildings, then consider an abandon school.

The local paper - The Pitch, recently published a short article about the fact that in Kansas City Missouri, the school district has more square footage of abandon property (418,000 sq ft) than any other property owner, they have named the school district the biggest slum lord.

They then published a sales pitch and photo for a bunch of abandon schools. There is some opportunity here for the right developer. And you could help the neighborhood out.

Read the full article:

http://www.pitch.com/2008-08-14/news/buy-this-school/

These Things I Believe

2008-08-21T20:06:52Z

How important are your beliefs to what you will achieve with your life? Personally, I think they are a vital part of your foundation for making the decisions that will create the behavior you will act out. The challenge for many is what they call beliefs are actually only opinions.

Understanding the difference between "opinions" and "beliefs" is important. In my working with people I have found when most say this is what I believe, what they are really saying is this is my opinion. What they don't understand is an opinion lacks the foundation to stand on in times of internal turmoil or external challenge.

Challenge most people's opinions and they crumble from the lack of internal commitment. Opinions are information you have gathered, but not run through your internal processing. They are handed you, accepted and given back during conversation. If opinions are challenged, most won't fight for them.

They listen to what is being said and change their mind based on the new information they have gathered. Opinions are not about thinking through; they are simply about accepting what they are told. Because they are not locking into your belief system, they offer very little value to your personal growth journey. Opinions are just opinions.

Beliefs carry a different meaning to your life. Beliefs are information you have been given, processed through your internal processing center and added to your foundations of principles. It is within these foundation principles you build your life. It is the depth of your beliefs that holds your life together; it is the weakening of your beliefs that causes you to lose direction, question the purpose of your life and not be able to stand tall during the storms you will have to weather.

Beliefs can be challenged without the person caving. Each time a belief is challenged it allows you to reaffirm your commitment to life. Each time a belief is challenged it allows you to strengthen your presence by examining why this principle is foundational to your life. Each time a belief is challenged it allows you to rethink your understanding and rekindle your passion for improving your life through strengthening your foundation.

What happens when a life doesn't have a strong foundation of beliefs to stand on? In working with human behavior I have found these to be the most common results.

A life without a solid foundation of beliefs will Break down internally when challenged. I have watched so many lives come apart because their life was handed a curve they weren't prepared for. Because they had no foundation that said, "This is what I believe," they crumbled under the stress. A strong foundation of belief allows you to slow down and see the bigger picture about the situation you are facing.

A life without a solid foundation of beliefs will Excuse their behavior. How many times have you seen someone do something they knew was wrong and justify it with their reasons and excuses? Without a strong foundation of belief anything goes. It is so challenging to talk to this life. Principles take away the ability to justify anything you want to justify. This is one of the real cracks in our country's moral fiber. Because many of our founding father's principles on which our nation was founded have been weakened, we have become a nation where wrong can be justified and accepted as "just a part of life." That has made us a very self-destructive society.

A life without a solid foundation of beliefs will Lack the passion to move forward. Principles are driven by passion. The things you are passionate about you will fight for. When you lack that strong foundation of principle centered living, you will also lack passion. Without passion you will move in whatever direction the predominate wind is blowing at that moment. As much as you may think you are moving forward, that behavior is all about moving in destructive circles.

A life without a solid foundation of beliefs will Increase its negative moments. Negative only exists because people lack beliefs. When you are a life driven by beliefs that create principle centered living, negative cannot attack you. You can look the negative straight in the face and say, "this is what I believe." When you do this, the negative will fall under the strength of beliefs.

A life without a solid foundation of beliefs will Entertain lies as truth. Truth is the result of a strong foundation of personal beliefs. Truth is life centered; truth is beliefs that you hold firm in the midst of any storm. The strength of the storm doesn't matter; the fact is beliefs become your anchor during the winds of uncertainty. When you don't have that foundation of truth to stand on, you tell yourself whatever you need to hear to get you through that moment. That means it becomes okay to lie to yourself if it will get you through that situation. What many fail to realize is you have not gotten through; you have simply avoided and will have to face the situation again.

A life without a solid foundation of beliefs will Fear the unknown. The unknown becomes frightening when you don't have a solid foundation of personal beliefs to stand on. Fearing the unknown is all about not trusting yourself. Not trusting yourself is about not having a solid foundation of beliefs you can stand on when you are about to enter any aspect of life's uncertainty. Uncertainty provides your life with the test of personal confidence. Confidence demands beliefs that create mental and emotional anchors.

A life without a solid foundation of beliefs will Stare at life with questions you can't answer. So many times I have had people say to me, "I just don't know what to do." They have also told me, "I don't trust myself to make the right decision." They have said, "I don't know why I was given this to deal with."

Life is puzzles you are asked to put together each day. Your ability to see the pieces and find their correct place depends on your internal beliefs. Without a strong foundation of personal beliefs the pieces all look the same. Without a strong foundation of personal beliefs you will stare at the puzzle and be totally confused by what you are seeing. The stronger the confusion, the more challenging it becomes to see the puzzle coming together. The stronger the foundation of personal belief the easier it is to identify the points of confusion, move through them and put the puzzle together.

Do you see that beliefs are much more than thoughts? Beliefs are foundations you can build your life on. Beliefs are an important part of your growth process. The stronger your beliefs the easier it is for you to stand tall in the testing moments. Here is why I think Beliefs are essential to any life that wants to live with purpose, fulfillment and a sense of mission:

B Behavior comes from your beliefs.
E Experiences are defined through what you believe.
L Life's foundation is built on them.
I Inwardly, beliefs strengthen your spirit.
E Emotions that surround them shore up your foundation.
F Fears can be managed by your beliefs.
S Spiritually, they ground you with calmness and clarity.

The essence of all you are and all you will become is and will be formed by your foundation of personal beliefs.

Please visit Richard's web site to sign up for his monthly Mind Jogger Newsletter

click here

Foreclosures

2008-08-21T20:03:50Z

"Missouri, with one foreclosure action in 747 households, was ranked 18th. Kansas was 37th, with one foreclosure in 1,784 households. Among metro areas, Kansas City was 85th, at one in 570 households."

From article in the Kansas City Star
http://www.kansascity.com/business/story/751207.html

Foreclosures in California, Las Vegas, and Florida are way up, in some cases more than 1 house in 100, but the Kansas City Market is fairly quite well. Houses are still selling, they may be quite slow, but they are selling. And we are not seeing quite so many foreclosures as the highly speculative areas.

I Need a Lender

2008-08-21T20:02:49Z

Here at our office we have been searching for loans.

We have two lenders that offer the tradtional rehab loan with 5 - 7 points, higher interest rates, 6 months loans an 10% down. Most want 620 credit or better.

www.EquityDevelopmentCorp.com - local guy is JJ Pawlowski
Brookview Financial - do not lend in Kansas

Another rehab lender you might get in touch with who has been around for years is Bernie Rickter who owns North Oak Investments. 816-436-4601, sorry Bernie does not use a comupter much, you have to call him. In talking with Sellen Ellen, she said he is looking for new borrowers, so give him a call and see what he can do.

In talking with Jackie White at Accurate Title, Other Lenders that have closed rehab or investor loans recently include:

Brett Osborn, Valley View Bank
Brotherhood Bank & Trust (hey they are building a new bank in Shawnee)
Capital Federal

If you have owned it for at least 6 months and need to refi out, you might talk with John Rode at Advance Mortgage . And if you are looking for Blanket Loans and or refinancing out, Troy Myer Recommends Jackie Michel with JM Home Mortgage.

If you call any of these people, please let them know that you received their info from Kim Tucker.

If you offer a rehab loan, an investment property purchase, or a blanket loan for residential or you offer loans on apartments, please reply back here so we can find out what you do. If you have recently closed a loan with someone who did a good job, please tell me about them.

House for Sale IN Shawnee

2008-08-18T13:26:27Z

Offered for sale by

Realty Resource, LLC

Price Reduced to

$369,900

7212 Cottonwood, Shawnee

MLS # 1480888

4 Bedroom, 3 Full & 2 Half Bath

3 Car Garage, Finished Walk Out

View Photos

This home has been on the market for a little over a month and we have had a lot of people looking. The all love the New Granite Counters and Tumbled Stone Backspalsh in the Kitchen plus all the new appliances, The hearth room fireplace plus the living room fireplace, the Deck and the Patio to a back yard that is just the right size with Mature Trees that can't be found in New Homes. The mom's really like the Laundry Room on the Bedroom Level and all the Closet Space, the Sitting Area in the Master. The Dads all like the 3 car garage with room for their stuff, the finished basement waiting for their pool or ping pong table, room for the full sized fridge in the kitchenette, and the set up for a big screen tv in the viewing area. And the kids like that they have their own bathrooms, walk in closets, nice sized bedrooms and the use of Dad's finished basement. Plus they have great places to play with their friends from the back yard, to the community pool, to the walking trails and just a few blocks from the school and several parks.

Please check out the Photos above and call to set up a showing.

Don Tucker: 913-208-3017

Kim Tucker: 913-208-3544

We are the listing agents as well as owners of the home. Don worked for JS Robinson when it was built, so we have quite a few upgrades that are not found in the standard Avery Model.

Realty Resource, LLC

115 E Gregory Blvd

Kansas City, MO 64114

www.kcmoHomes.com

816-523-4400

Are you interested in Real Estate Investing?

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Check out MAREI EXPO 2008 - a Real Estate Investor's Conference

Saturday & Sunday, October 11th & 12th, Overland Park Marriott

8 Different Trainers, Packed Vendor Hall, and Networking.

For Experienced and Beginning Investors and Landlords

More info at

www.mareiEXPO2008.com

Kim Tucker

kimt@everestkc.net

816-523-4400 x 222

Tucker One Properties, Inc.

We Buy Houses

115 E Gregory Blvd,

Kansas City, MO 64114

www.kcmoHomeBuyer.com

Realtor / Broker with Realty Resource of KC

MAREI's EXPO 2008 - a Real Estate Investor Conference in Overland Park www.mareiEXPO2008.com

Web Site Launch

2008-08-05T21:52:37Z

For real estate investors across the country and in the Kansas City Metro in particular. Mid-America Association of Real Estate Investors is launching their new blog site: MAREI EXPO 2008.

Find out all the details about our upcoming EXPO 2008 in October

Review all 9 speakers

Find out about our sponsors and becoming a sponsor

Read How to Articles

Listen To How To Tele-Seminars

Updated weekly as more information and training becomes availab.e

And register for the event NOW.

Real Estate Investing Teleconference

2008-07-16T20:37:22Z

MAREI TeleSeminar Series Presents-

TeleSeminar With Richard Roop & Dan Doran
July 22 at 7:30 PM Eastern

Register, Submit Questions to Dan & Read More at:
www.KCRealEstateCalls.com

Discover the secrets to generating tons of CASH now and

CASH flow buying and selling any type of real estate with no money down in any price range, during any market climate...

The Ultimate Strategy:

Æ How to Create a Free and Clear Real Estate Money Machine That Generates Cash-Now and Cash-Flow

Dear Members,

Would you like to make more money buying houses? Are you tired of dealing with sellers with little or no equity? Would you like to sell or occupy your houses faster and easier? Would you like to eliminate your challenges of generating the cash you need each and every month?

Then you'll really want to check out "The Ultimate Strategy" for buying and selling houses after the recent lender market meltdown and so called "housing crisis" reported in the daily media. It's all about getting and profiting from houses that are Free & Clear. (No mortgage)

Top 7 benefits of The Free & Clear (no mortgage) Strategy

1. Enjoy 15% net profit on any property you buy

2. Collect up to $54,000 in extra cash on the day you buy

3. Generate real positive cash flow on houses in any price range

4. Give sellers whatever price they want

5. Quickly own 12 houses 100% free and clear

6. Resell or occupy any house within 60 days

7. Successfully generate real estate profits in any market climate

Join Tele-Seminar Host Norm Reid as he Interviews Dan Doran to Discuss Dan & Richard's Strategy on Finding, Buying & Profiting from Free & Clear Properties.

Tele-Seminar on July 22, 2008 at 7:30 Pm Eastern

www.KCRealEstateCalls.com

FREE TeleSeminar - How to buy Land & Commercial Property

2008-06-16T11:44:55Z

http://www.mareinet.com/clubportal/ClubStatic.cfm?clubID=755&pubmenuoptID=1622

How to Buy Land & Commercial Property without Any Kind of License, Credit, or a Dime of Your Own Money, Anywhere in the Nation and in Any Type of Market!

3 Great Reasons to Learn About Commercial Deals:

1. Commercial Buyers, Lenders & Sellers are Not Nearly as Affected by te Current Market Situation

2. There is FAR Less Competition

3. You Can Make Bigger Profits Doing Fewer Deals

Plus . . . Terry's got a way where his team does all the "heavy lifting" but you still make a lion's -share of the profits!!

If you want to learn how ANYONE can Do This Buisness, Join Tele-Seminar Host Norm Read and MAREI on Tuesday June 17th as he interviews Terry Hale.

More info and register for call in numbers at:

http://www.mareinet.com/clubportal/ClubStatic.cfm?clubID=755&pubmenuoptID=16226

Private Lending

2008-06-13T14:48:38Z

With the recent state of mortgages across the United States, we have seen the almost complete end to:

Sub-prime loans
Hard Money Lenders in Many Locations
Cash Out Refinances for Investors
Purchase Loans for Investors

And all in all, getting a loan for a poor credit home buyer or an investor with any credit from bad to over 800 scores is just getting harder and harder as the year goes by. Don here at our office has spent almost most of the week on the phone calling and talking to all different kinds of lenders, just to find a way to get you guys funded.

We figure that most of you are looking for several different types of loans

Loans to purchase turn key rental properties with 10% or less down
Loans to fund the purchase and rehab of properties
Refinance Loans to refinance out of cash or a rehab loan with in 3 months or less from your purchase.
Refinance Loans to perform a cash out refinance and get a little money.

Then in the recent news that Fannie Mae and Freddie Mac are considering or have decided to limit the number of loans a person can have to 4, well that is further putting a cramp in your purchases and our sales (our purchases too!)

So while we can't do much about rules and regulations of the lenders other than search for that perfect loan from a bank lending their own money, that will be holding the loan and not selling it (an therefore not caring about Fannie or Freddie Rules), and that have the desire to work with the investor, well I can tell you all a little bit about alternative funding sources:

1. Private Lenders

2. Self Directed IRA's

3. Unsecured Lines of Credit

4. Partnering

Today I wanted to talk to you about Private Lenders. First let me say that you should do a little research into SEC Rules and Rules in Your State and run any forms or documents you may decide to use by an attorney in your state to make sure they comply with all the rules and regulations there.

So first of all you need to find someone who might want to be a private lender. Many people teach advertising in the newspaper something about earn a return on your investment with a loan secured by real estate. And that probably works great, but you may also start getting phone calls from the SEC guys and you don't want to go there.

A couple of gurus out there advocate doing a direct mail to a purchased list of people that have purchased CDs at local banks in a certain price range. These are lists of people that you can purchase from list servers. Send out a mail piece inviting them to a lunch where you will explain the latest and greatest investment - YOU. But with all the bad press lately about the professional fund managers doing lunches and bilking the elderly into buying into annuities and other things that were not sound investments, well lunches should be on the out list as well.

So what can you do? Well the best thing I have found is to educate yourself on exactly what it is you do with real estate investing and how you make money and figure out how to explain that to other people. Then spend a little time learning exactly how a person can lend you money for a deal and act as a bank so that you could also explain that to other people.

Then your next step is to let everyone you know what it is that you do in investing, how you make money, and be sure to be able to substantiate that you make money. You might also let slip how successful this or that deal was and how much you might be paying to borrow money from a bank.

When people know what it is that you do, that you do it successfully, that you pay your bills, they will start to ask you questions. They want to learn more and you want to build up your expertise and build their trust. And then when they reach that perfect level of trust, many of the best private lenders will come to you.

Our first private lender was one of our vendors we worked with in our real estate business. And after he saw us successfully complete about 4 or 5 deals or so he came to us. His offer was that if we came across just one extra deal that needed financing and our normal way of financing was used up, could we partner with him. He would purchase the property up to a certain price on his line of credit, we would do the repairs out of our funds, we would sell the deal and make the profit and he wanted $5,000 of the profit. Not a bad deal to new investors like us.

Our next private lender also came to us. He had noted that we had bought and sold several homes, that we had both quit our jobs and were doing this full time, that we still paid our mortgage and had not been kicked out of our home and were driving nice cars. When ever we saw him he wanted to go see our latest junker house we had just bought and find out how much we had made on the last deal. Then one day the question was, "How much are you paying in interest and do you think I could fund a few deals for you?" And thus our 2^nd private lender was found.

Then a year or so ago, I offered to teach a class to our local REIA club and explain how my private lending system works - just so other people who wanted to find private lenders could learn more. Out of that class, two people decided they wanted to be lenders to us. One actually became a lender and the other, well we have not been able to get a deal together with him yet.

From that class, the person who became a private lender, he has referred another lender to us and I have made another presentation to the entire REIA group and found yet another private investor.

So you can kind of see where they come from: people you already know who trust you and people you can inspire by giving them free information.

I am fairly confident that you know what it is that you do in real estate to explain to all of these people, so lets focus on how a private loan works.

First, find your private lender how ever you find them. I would suggest a face to face meeting or a teleconference with them to discuss how your system works, what it is that you do, the risks involved and what you do to minimize them, and ask them to commit on paper how much they would be willing to lend you to start with.

Then you will need to find a property that you can purchase with the funds from your lender. I usually wholesale so I am only borrowing funds for the purchase and not the rehab, but you could also borrow rehab funds as well.

Once you find the property, perform your due diligence to be sure that the property and the cost of any rehab will be under 70% of the After Repaired Value of the home. Be prepared to be conservative on that 70% rather than optimistic so you don't over tax your lender and so if something were to happen to screw up the deal, you have the remaining 30 % to save your butt so to speak.

You will go to closing just like with any other property financed by the bank and you will treat your private lender just like any other institutional lender:

You will ask for both an owners title policy and a lenders title policy. Here in Kansas City the seller pays for the Owner's Title Policy and the buyer pays for the Lender's Title Policy. That means that you will incur an extra charge of about $190 for that extra title policy over paying cash, but no extra fees over using a bank lender.
You will also want to make sure your lender is named as the 2^nd insured on your hazard insurance policy, just like you would if Bank of America was your lender instead of your neighbor.
You will also want to fill out 3 legal documents. You can ask your title company or escrow agent of these documents or you can go to goolge and probably find exactly what you need:
1. A Promissory Note
2. A Deed of Trust or a Mortgage (depending on your state)
3. An assignment of Rents in the case of default your lender would then be able to take over the property and collect the rents to satisfy your debt.
I would also suggest a disclosure form that outlines exactly what it is you will be doing with the property, how you plan to exit out of the property, the time line you are projecting and a disclaimer that notes that there are no sure bets in real estate and your entire plan could change while owning the property.

This disclosure is very important. Your lender needs to understand that the market could change and what you planned to be a short term buy, and wholesale flip is just not selling and you are going to have to do a little fix up and sell as a lease to own over a 2 year period rather than a 3 to 6 month period. Have contingencies and the ability to extend the loan if you plans must change or have a back up lender that can come in and take the place of the first one.

How the transaction takes place is the lender will wire all funds in to your title company or escrow agents office. You will go in and sign all the above legal documents and the title company will pay off your seller. You should never touch the funds except for in the case of a few dollar overage in the loan amount over the amount you need to purchase. For example when my lender sends in funds from their IRA we need a number to ask for and sometimes we do not have an exact figure yet. So we estimate and round up to the nearest $500 and sometimes we get back a few $100 at closing. We use this to pay for insurance and mowing and other upkeep during the time we own it.

If you are borrowing funds for purchase and rehab, you would want to have a system set up to make sure that you only get funds as you need them for the rehab. Possibly have a time line set up for your rehab and when contractors would need paid and only request the funds to pay the contractors as needed. NEVER take the full rehab amount at closing because you may get over confident and spend the rehab money betting on the money coming in from another sale and you don't sell. Then you end up with all your rehab money spent an nothing to rehab the house with, it sets, you can't sell or rent, and your lender does not get their money.

So how should you pay your lender. There are several choices and they would depend on your investing strategy and your lenders wishes.

1) Interest Only due on sale. On our short term wholesales, we usually let the interest accumulate and pay it all at the sale of the property.

2) Interest only paid monthly, quarterly, or annually. This again would depend on how long you would hold the property and your other cash flow. If it is a long term loan and you are collecting rent monthly I would suggest to pay your interest monthly as well, just to make sure you lender gets paid.

3) Amortize and pay monthly The best way to pay on a long term hold would be to amortize it and pay a little principle and a little interest each month so your tenant's payments are paying down your loan. You don't want to be in a situation where your long term buyer pays you payments over 10 years and you decide to get better cash flow by paying interest only. Then when your buyer reaches the payoff part of their loan and you then have to come up with the full loan amount to pay off your lender, it would be much better to amortize and have your loan run out before or at least at the same time as your long term buyer.

4) Play with the numbers and figure out the best scenario for your situation and that will work for your lender.

How much should you pay your private lender? That will depend on a lot of factors. A lot of the gurus state that the going rate is 15% or so, but that is for a hard money, institutional lender and some of your private lenders might not like the 15 % so here are some ideas.

1) for the older guy that has all of his funds in bank certificates of deposit at 3 to 5 % you might offer 6% to 8%

2) for the person who is doing ok in the stock market a rate of 10% to 12 % might be more in line

3) for the savy investor lender, they may want to charge fancy things like points and interest like a rehab lender, they may not want to, they may go for a 2% interest and then a percent of the profit in the end.

So what you pay will all depend on what your lender wants and if you can't make those numbers work, don't borrow their money. They may come around to your way of thinking in the end.

Traditionally we like to work our interest rates in the following manner:

1) Short Term Flips - those houses we want to buy and sell in 6 months. We like to have a 1 year note at 8% to 10% depending on the loan amount and the risk of the deal. We could pay our lender off in 3 days and it has happened this way and other times it could take longer, we are just closing on one that took longer almost 9 months.

2) Longer Term Tenant Buyer Sales - these are houses we buy and sell rent to own to a buyer over a 5 to 10 year period. These are homes that we will need the loan in place for 5 to 10 years, we have a tenant buyer already in place to buy from us and has a lower risk. We typically pay between 6% to 8% on these again depending on the loan amount and the risk of the deal.

3) Full 30 year notes. These are houses that we could go to the bank and get a loan at 6% to 7% but because of the new rules of 4 loan rule may not be able to get a bank loan, or if we do we would need to package 4 loans up into a blanket loan that then becomes commercial and would be around 4% to 5%. On a full 30 year mortgage with a private lender, we would have to discuss rates, we have not done one of these yet.

I hope this long article - the computer says I am up to 5 pages - will help you in finding your funding through private lenders. Some other resources you may want to look at:

1. Information on our web site: http://3689.goinetusa.com/custom/index.cfm?id=148134

2. Get Alan Cowgill's FREE CD and register for his free downloads: http://3689.goinetusa.com/custom/index.cfm?id=142809

3. Prosper Lenders: http://www.prosperlenders.com/

4. The Path to Private Lending: http://www.mareinet.com/clubportal/clubdocdisplay.cfm?clubID=755&docID=7838&priv=0

5. Finding Funding for Your Deals: http://www.mareinet.com/clubportal/clubdocdisplay.cfm?clubID=755&docID=7839&priv=0

Kim Tucker

Tucker One Properties, Inc.

www.TuckerOneProperties.com

816-523-4400

Funding For Your Real Estate Deals

2008-06-04T22:07:43Z

Using a private investor is very beneficial to the real estate investor because this loan does not usually report back to the credit so it does not affect loan limits with Fannie and Freddie Mac guidelines. There is usually quite a bit of savings because there are usually no closing fees like you would find with a traditional mortgage. It will still have more fees than a cash transaction, but less than a traditional mortgage.

With the loan set up properly and the real estate investor following some very specific rules, the transaction can also be very beneficial to the lender. The main one being that their money is invested in a fairly safe form of investment and they will be able to get a better rate of return than what would usually be found with a certificate of deposit at the bank.

So what are some rules?

1. Always have 30 to 35% equity in the deal; this means that the real estate investor is never going to have more than 65% to 70% of the fully repaired value in the property. If they are borrowing the purchase money and also money for any needed repairs, the total borrowed plus any of their own money into the deal should be under 70% of the total value.

A qualified individual, not necessarily an appraisal at $350 to $400 a pop, should determine the after repaired value. You could also have an experienced realtor do some research in the mls and find their own comparables to determine the after repaired value, even the investor could make this determination, but as a lender you need to be sure you trust who ever is coming up with the end repaired value.

2. The investor should never touch the money. At the purchase the money should be wired directly into the title company or closing attorney's account to pay for the purchase. Any repair money should be paid out to the investor over the life of the repair job based on the amount of repairs made to pay the contractors doing the repairs. If you as the lender are unsure of repairs you could hire someone to check on the repairs, just like a rehab lender and charge the borrower a fee to pay your hired help to do these checks. Or again if the borrower is very experienced and someone the lender trusts they may pay out based on the borrowers rehab schedule or if you don't trust the borrower, the lent money to cover repairs could be made out directly to the contractors.

Again when the property is sold and the loan is paid off, the title company should pay off the lender first before paying the profit to the investor.

3. Secure the money with forms: Promissory Note, Deed of Trust or Mortgage (depending on your state), Assignment of Rents so the lender can take over the property and collect the rents should the borrower default, and a Disclosure form making sure everyone knows what was agreed upon and the potential risks in the deal.

4. Insure the Property both with a title policy for the buyer and the lender and proper insurance for the property with the lender named as second insured.

If you would like to learn more about private lending I would suggest attending the June 10th meeting of Mid-America Association of Real Estate Investors when Jerry Clevenger will be sharing his secrets on dos and don'ts in private lending. If you missed the meeting, members of MAREI can listen to the meeting in the Archives.

Members of MAREI can attend our General Meetings for FREE and guests pay $25 at the door or can pre-register online for $15.

Submitted by Kim Tucker

Contact at kcmoHomes@yahoo.com

MAREI Investmetn News is Posted

2008-05-08T10:48:42Z

I just wanted to share with you the lastest issue of MAREI's Investment News Posted Online at: http://www.mareinet.com/clubportal/ClubStatic.cfm?clubID=755&pubmenuoptID=16452

If the link does not work - its at http://www.mareinet.com/ and click on newsletter archives. I

also wanted to be sure you had heard about MAREI's General Meeting on Tuesday May 13th. Our guest speaker is Don DeRosa and he will be discussing how to buy and sell your investment properties quickly in today's market. He is an excellent speaker and not to be missed. This meeting is FREE for members of MAREI, and $25 for guests at the door, but if you visit the MAREI web site and pre-register through the calendar, the cost is only $15.

Hope to see you there.

Kim Tucker

kimt@everestkc.net

816-523-4400 x 222

Real Estate Investing: Rehabbing

2008-04-28T20:43:31Z

Making a Big Impact with Small Touches

By Don DeRosa

Customers today want the very most and the very best for the very least amount of money, and on the best terms. Only the individuals and companies that provide absolutely excellent products and services at absolutely excellent prices will survive.

Brian Tracy

Some of the most common mistakes I see are the ones investors make after they buy a house. Most of us know not to do anything too radical to our homes, but there are still lots of investors making serious mistakes that translate into much higher holding costs. This month, I'll give you some techniques for making sure your house sells fast and at a profit.

Let's start with two overriding principles:

Buyers couldn't care less how much money you put into your house.They may love those terrazzo floors, but they're still only going to pay market price. So market price is what you had better be prepared to accept!

Your house should be just a little nicer than any other house in the neighborhood, but it shouldn't have the highest price. It may sound counterintuitive, but it works. If your house is nicer than the one down the street and it costs less, guess which one will sell first?

"But wait a minute," you're saying. "How am I supposed to get the nicest house on the block without putting in a lot of money? I'm not prepared to give the house away!" Of course you're not. But you can make your house "pop" - that's what you're after - for a lot less money than you'd think. Here are six tips that will get you there.

Be prepared to do certain repairs in every single house you buy. Don't be an "under-fixer." In other words, don't assume that your buyers have the same great imagination you have when they look at homes. The paint job may be pretty good. It may be very good. But if it's not perfect - no furniture marks on the walls, no sticky fingers on the light switches, no nail holes - then you need to paint all over again. The same goes for carpet. While you're at it, replace all the hardware - door knobs, cabinet knobs, hinges, and window latches. Light fixtures and fans, too. And for heaven's sake, replace the toilet seats! Your buyers will notice, although they may not be quite aware of what it is they're noticing. What you're looking for here is new.

Eliminate the temptation to "over-fix" by using the same basic upgrade methods and materials most of the time. Don't be an "over-fixer." You don't need to create a palace. You just need to make the house nice. If the buyer wants to glaze the walls, fine. That doesn't mean you need to, even if you think the living room screams for it. Make some basic choices that you'll use for almost all your houses: neutral colors for the walls, decent-looking and inexpensive light fixtures, and nice, durable builder-grade carpet. Obviously, you'll use different materials for more expensive homes, but you should still have a pre-selected set of upgrades that you use for just about every house in that price range.

Be willing to do the unusual if it will help you beat the competition. Notice that I said you should choose the same materials for almost all your houses. There are going to be exceptions, so don't be a "mono-fixer." The mono-fixer does the same darned thing to every house he buys without giving it a moment's thought. Same fixtures, same colors, same floors, same hardware, same everything. Now, 80% of the time, that's just the right approach. But there are exceptions.

Why would a house need different treatment? It could be the type of home, or its age, or the neighborhood demographics. Let's take an example: a home in a historic neighborhood.

Now, putting aside my thoughts on whether it's wise to invest in older homes (it can be, but it can also be a disaster), if you're going to buy one, be prepared to do things differently than you would for a 10-year-old house. People looking at historic homes don't want new. They want old, but in really good shape, or they want new that looks old. Ripping out the claw-footed bathtub and huge antique pedestal sink to put in a basic vanity with a one-piece fake marble top would be a serious mistake. And unfortunately, it's a mistake that's made all the time! The same goes for replacing the porcelain doorknobs with new brass sets.

And don't assume that only 100-year-old houses need special treatment. Maybe you've got a 1953 home with a hideous black and pink tile bathroom. Ripping out that tile, or reglazing it all in white, could very well be a mistake if it turns out buyers in that neighborhood like funky authenticity (and these days, many do).

Even neighborhoods with newer houses can have their own unique flavor. There are some neighborhoods where bright colors, or dark, rich colors, are the preference. In a neighborhood like that, using good old stand-by beige could cost you money.

So how do you know when a house needs different treatment from your usual upgrade package? Well, that brings me to my next tip:

Make it your business to see every house for sale in the neighborhood. Get a good, close look at your competition! Make this a priority, because it's the only way you'll know just what sort of upgrades you need to do. What are the other houses like? Do they have laminate countertops? Crown molding? Tile floors? Hardwoods? Fans in every room? How are they painted? One neutral color per room? Darker, more luxurious colors? Do bathrooms tend to be trendy?

Now go back and look at your house. What can you do to make it just a touch above the competition, while keeping the list price low?

If you've gotten a good look at the houses, you'll know just how to do it. If everyone has laminate counter tops, install something that‘s just one step above. If some people have wood floors, don't put in vinyl! There's no substitute for this important research. It's the only way you'll know how to rise just one step above your competition so you can still afford to keep your price just a bit low.

Cut costs without compromising quality. Look for ways to cut costs that still allow you to make the house "pop." Want to replace that skinny ceiling molding with nice, wide crown molding? Instead of replacing it, add a small strip of molding a few inches below the ceiling, and then use semigloss paint to create the illusion of crown molding. Are the kitchen cabinets dreary? Don't put in new custom cabinets. Instead, hire a good painter to paint them, inside and out, with an oil-based paint (there's a trick to this, so get someone who knows what they're doing). If you absolutely must get new cabinets, go for prefab instead of custom. Remember, the buyer may love those custom cabinets, but that doesn't mean he's willing to pay you more for the house.

Upgrade a few choice items that will provide buyers with small touches of luxury. Not everything you put in has to be the cheapest possible. If you invest in a few luxury items, you can give the place a whole new feeling. The best places to splurge are the bathrooms, kitchen, and laundry room. For example, most investors buy the same really cheap bathroom faucets that you find in apartments and hotels (yes, you know the ones I mean!). Skip those! Instead of spending $25 on each bathroom, spend $100 and get low-end designer faucets. Put in a really great showerhead. Look for deals on ceramic tile flooring instead of using vinyl. In the kitchen, install a more expensive faucet with a nice sprayer or even a hot water dispenser. Think about a tile backsplash. If there's a sink in the laundry room, put in a new faucet (no need for anything fancy here) and perhaps some wire shelving. Yes, you'll add a few hundred dollars more to your cost, but that will translate soon into thousands extra in your pocket.

If you've made smart upgrade decisions, you won't care whether a buyer sees the other houses in the neighborhood first, last, or somewhere in the middle. Yours is the one they'll remember, and yours is the one they'll buy.

Don DeRosa was recognized as one of the nation's top 21 real estate investors in the New York Times bestseller The Millionaire Real Estate Investor. Don, who is a full-time investor, trainer, and mentor,

Synopsis: To get the most out of a rehab project, make your house the nicest in the neighborhood, but not the most expensive. Remember, buyers don't care how much money you've spent to fix it up. Be prepared to do some repairs in every house, like new paint and carpet. Choose some basic upgrades that work for almost all your houses, but be prepared to change your usual upgrades to fit buyer preferences. Look at every single house for sale in the neighborhood so you'll know your competition. Finally, provide some cost-effective luxury touches to help your house really stand out.

Don DeRosa is a real estate investor, author, teacher, coach and national speaker. He has trained thousands of new and experienced investors to build wealth in real estate using the same techniques that helped him build his fortune, particularly buying Subject to, Short Selling and Using Private Money.

Don was honored to be singled out among the top 21 real estate investors in the U.S. and Canada featured in the New York Times best-selling book The Millionaire Real Estate Investor.

He has bought and sold well over 200 properties in the last few years. This has given him the expertise and experience to train students on everything from finding subject-to purchase opportunities, to finding and negotiating with sellers, analyzing deals, creating equity through short selling, finding private money to fund deals, to quickly selling properties and collecting profits!

Don will be our guest speaker at MAREI on Tuesday May 13, 2008 at the Overland Park Marriott, I435 & Metcalf, Overland Park, KS from 6 pm to 9 pm. FREE for members of MAREI, $25 for guests at the door. Details and discounts at http://www.mareinet.com/

Real Estate Investing - Getting the House Sold

2008-04-28T20:42:34Z

Getting Out from Under in a Tough Market -

(Highlights Selling Course)

By Don DeRosa

Every exit is an entrance somewhere else. Tom Stoppard

The end of the month is looming large, and you've got three mortgage payments due next month. You wanted to flip, did a great job with renovations, and now you're waiting for a buyer. And waiting. And waiting. You don't want to become another victim of the mortgage crisis, but you're afraid that's where you're headed. What now?
Well, first, take a deep breath. As you've heard me say before, chaos breeds opportunity. Big opportunity! Remember: all those people being foreclosed on need a place to live. True, some should never have tried to buy in the first place. But others were simply overreaching. They could have handled a more modest house. Maybe you've got a house they can really afford.

I promise you that it's possible to make money in any market as long as you know how to respond to current conditions. You should, of course, have an exit strategy before you buy a property. Still, sometimes things happen, and you have to change directions. It might mean renting out your houses for a while. It might mean offering incentives. Or it might also just mean getting creative about financing.

So just what will you do with those three properties? Here are some strategies to consider:

Price it right. If you're not getting any traffic, think seriously about how you've arrived at your price. I don't care how much money you put into that house - you can't get more than the market will bear. I'm continuously amazed at how many investors base their asking price on what they put into the house, and expect buyers to shoulder the cost. That's completely backwards. You should determine market price and plan your renovations accordingly. Honestly, nobody cares that you spent $50,000 on subflooring and gold faucets. Make your house the nicest in the neighborhood, and price it just a little below retail based on actual selling prices of comparable houses in the same neighborhood. Don't be "penny wise and pound foolish" by insisting on an unrealistic number.

Offer Incentives. The first rule of thumb for getting your house sold is to drive traffic. If no one sees your house, no one will buy it. So, to generate interest and differentiate yourself from others, offer incentives. Things like offering a cruise or a new HDTV might get your phone to ring. Offering lawn service or maid service for a year, or a home warranty, might sway a buyer to look at your house first. Heck, if you're willing to lower the price significantly, offer a new car with a full price offer. You can still come out ahead.

Lease. You never have to lose money on a house as long as you can hold it until the market is right. If you really can't sell, then just hang on to it for a while. But in the meantime, you've got costs to cover. If you can't sell at the price you need to get, find a renter. You can do this yourself or get the help of a real estate agent or property manager.

One advantage of leasing is that you get the tax benefits of ownership. Another is that you can use the eviction process rather than having to foreclose. And also make sure you have a good lease.

Lease option. Lease options are becoming much more common as people find it harder to get mortgages. The concept is simple: you rent to someone with the understanding (all in writing, of course) that the renter can purchase the house at a predetermined price within a certain amount of time - say, six months or a year. The lease option, of course, creates a landlord/tenant relationship. You have the deed and the buyer has the option.

One big advantage of a lease option is that you still own the house, so you still get all the tax benefits. And if the buyer doesn't pay, you simply evict them (well - it isn't always simple, is it?). For the buyer, it means a chance to "try on" the house. It gives them some time to rebuild their credit before applying to mortgage companies, and it gives them a payment history, probably with higher payments than they would make on a mortgage.

Owner financing. If your buyer can't get traditional financing, consider financing it yourself. There are lots of ways to structure the deal: wraparound mortgages, an agreement for deed, and taking back a second mortgage are among your options.

Traditionally owner financing requires a larger down payment (say 20%) from your buyer, so you do get some cash out up front. And this typically indicates that you've got a serious buyer. However, if they don't make their payments to you, you do have to foreclose, so there's some risk involved. So you need to make sure you've got a serious buyer.

You can make money in real estate investing, no matter what the market is like. It's a matter of combining education, hard work, and flexibility. Make a plan, carry it out, and learn from it. And then, move forward.

Synopsis: If you have properties that aren't selling, consider changing your strategy. First, make sure you've priced it right. Try offering incentives, renting, or using owner financing. But be sure to plan ahead (or learn from your mistakes!), because exit strategies are best determined before you buy.

Cruise, maid service or lawn service for a year, home warranty, automobile,

Don DeRosa is a real estate investor, author, teacher, coach and national speaker. He has trained thousands of new and experienced investors to build wealth in real estate using the same techniques that helped him build his fortune, particularly buying Subject to, Short Selling and Using Private Money.
Don was honored to be singled out among the top 21 real estate investors in the U.S. and Canada featured in the New York Times best-selling book The Millionaire Real Estate Investor.

He has bought and sold well over 200 properties in the last few years. This has given him the expertise and experience to train students on everything from finding subject-to purchase opportunities, to finding and negotiating with sellers, analyzing deals, creating equity through short selling, finding private money to fund deals, to quickly selling properties and collecting profits!

Don will be our guest speaker at MAREI on Tuesday May 13, 2008. Overland Park Marriott, Overland Park, KS, 6 pm to 9 pm. Members attend free, non-members cost is $25 at the door. Details and discounts online at http://www.mareinet.com/.

Real Estate Investing - Success

2008-04-28T20:40:07Z

Avoiding Business and Investment Killers

If a man empties his purse into his head, no man can take it away from him. An investment in knowledge always pays the best interest.

--Benjamin Franklin

In my last article, I told you what you already know, deep down: You can invest successfully in real estate, if you just have the right "recipe." The three ingredients in that recipe are a workable system, diligent action, and faith. In this article, you'll learn about the main reasons businesses and investments fail. Let's start with businesses.

What's Your Poison?

Depending on which statistics you believe, somewhere between 50% and 80% of new businesses ultimately fail. Why the high mortality rate? Is it because the economy just isn't ripe for entrepreneurship? Absolutely not! In nearly all cases, businesses fail for one of three reasons: they are under-funded, under-exposed, or under-managed. Let's look at these one at a time.

Under-funding. You're probably tired of hearing the old adage, "it takes money to make money." Actually, I'm a little tired of it myself. It's not a false statement, exactly; but it is a misleading one.

It's true that some business start-ups require a tremendous amount of money. If you want to open a restaurant or a movie theater, you're going to need a lot of cash (or credit, if you're lucky enough to have it).

But not all businesses require such a large investment of money. In many businesses, what you need on-hand isn't cash - it's knowledge.

When I say that businesses need sufficient funding, then, I mean that they must have sufficient resources available - not necessarily money. This implies two things: first, you need to choose a business that you can operate with the resources you've got (or can get). Secondly, you've got to make sure you get those resources in place.

Happily, real estate is one of the fields where it's still possible to make money without money. But don't under-fund your business by choosing the wrong kind of transactions, by failing to get the education you need, or by failing to invest in diligent action.

Under-exposing. The next reason many businesses fail is because nobody knows about them. Companies invest billions each year for advertising to make sure potential customers are over-exposed to billboards, magazine ads, television commercials, and spam. With all the "white noise" of corporate America distracting potential buyers and sellers, it takes special effort on your part to make sure your message is heard by the right people.

Fortunately, it doesn't take expensive ad campaigns to get exposure for your business. In fact, there are probably as many different ways to get the word out as there are people in the business. Networking, direct mail, the Internet, and cold-calling are some familiar techniques. But if you're creative, you'll think of others. Let's face it, who would have thought you could sell pink plastic bowls by throwing a party?

Under-managing. The third business-killer is a corollary to the first two. Simply put, a business, like a garden, will die if you don't take care of it. Granted, it's sometimes hard to give your business as much attention as you'd like. As one economics professor said, time is the scarcest resource of all.

If you're finding it too hard to devote enough time, though, maybe you're doing the wrong kind of real estate deals. As with funding, you've got to choose transactions that match the resources you have available.

Luckily, not all real-estate transactions take constant, close oversight. If you can't devote proper attention to being a good landlord, then perhaps you should try short sales, which are over and done with quickly. If you are willing to look at your business creatively, you'll find ways to match your resources. Deal-Breakers Like failed businesses, failed investments have recognizable shortcomings. Like business-killers, those shortcomings aren't inevitable. However, to avoid them, you've first got to learn about them.

The two reasons why investments fail are first, failure to market; and second, failure to recognize deals when you see them. Let's begin with marketing.

Failure to market. A real-estate investor with no real estate is a sad sight indeed. But that's just what you'll be if you don't do enough marketing. The key to making money in real estate is to find homes that are owned by motivated sellers. You can find some of these homes by scouring the want-ads and driving around town, and sometimes that's just how it's done. However, it's a lot easier if you can get some homeowners to contact you. These folks are prescreening themselves, because if they weren't at least somewhat motivated they wouldn't pick up the phone. Creative marketing strategies can help you get those phone calls. Marketing may seem like a lot of work, but it's smart work.

Failure to recognize deals. Have you ever been to an antique mall? If you visit the same mall several times over a period of a year, you'll notice something curious. Some items move around from one booth to another. And then at some point, the items stop moving and just sit in the same booth. What's going on? Is it sloppy housekeeping?

What's happening is this: an antique dealer finds the object at a low price, and puts it in his booth. Another antique dealer sees the item, believes it's underpriced, and buys it for her booth, with the price marked up. This continues until some dealer pays too much - and it will sit in his booth forever more. The first dealers knew how to recognize a deal. The last one didn't.

In real-estate investing, as with antiquing, knowledge is power. It's your stock-in-trade. Unfortunately, too many real-estate investors limit their knowledge to what they learned in real-estate school or from a single book. As a result, investors pass up great deals all the time, putting their money, instead, into transactions that don't have the same chance of success.

But the knowledge you need is available, if you're willing to take the time to find it. It's time that will pay off many times over.

Next time: What are you afraid of?

Don DeRosa is a real estate investor, author, teacher, coach and national speaker. He has trained thousands of new and experienced investors to build wealth in real estate using the same techniques that helped him build his fortune, particularly buying Subject to, Short Selling and Using Private Money.

Don was honored to be singled out among the top 21 real estate investors in the U.S. and Canada featured in the New York Times best-selling book The Millionaire Real Estate Investor.

He has bought and sold well over 200 properties in the last few years. This has given him the expertise and experience to train students on everything from finding subject-to purchase opportunities, to finding and negotiating with sellers, analyzing deals, creating equity through short selling, finding private money to fund deals, to quickly selling properties and collecting profits! Don will be our guest speaker at MAREI on Tuesday May 13, 2008. Overland Park Marriott, Overland Park, KS, I435 & Metcalf, 6pm to 9 pm. FREE for MAREI members and $25 for guests. Details and discounts online at http://www.mareinet.com/

Real Estate Investing - Getting Started

2008-04-28T20:39:01Z

Fear: Your Own Course-In-The-Box

Anything I've ever done that ultimately was worthwhile initially scared me to death.

--Betty Bender

Did you have a jack-in-the-box when you were a child? They're hard to find now, but I remember playing with them when I was little. You'd crank the little handle while it played music, and at some point the top would burst open and out would pop a cloth clown with a plastic head. Then you'd stuff the clown back in the box, smash the lid down on top of it, and crank it up again.

As young as I was, I couldn't help but notice that when it came to jacks-in-the-box, there were two kinds of kids. The first kind of kid liked playing with the little toy. He liked the clown, he liked the music, and most of all, he liked not knowing when that little guy was going to come out. He'd play with it over and over again with delight.

The other kind of kid hated the jack-in-the-box. This kid thought the clown was creepy and he found the music unsettling. And most of all, he hated not knowing when that clown was going to jump out at him. This kid would play with the jack-in-the-box a couple times, but the only part he really liked was stuffing that creepy little clown back down into the box.

What does this have to do with fear? Well, ask yourself this question: when faced with an opportunity to change your life, do you avoid it because you don't know how it's going to come out? Or do you grab the opportunity and embrace the fact that you can't see what's going to happen?

The fact is, every opportunity for growth - whether personal or financial - comes with a big unknown. We simply don't know how it's going to turn out. Yes, it could be a disaster. On the other hand, it could be the break you've been waiting for all your life.

Now, I'm not saying we should be fearless. In fact, I think fear has gotten a bum rap. Fear is a good thing. It keeps us from doing really stupid things, like driving 100 miles per hour down a crowded freeway, or trying to pet the alligators at the zoo. And naturally and properly enough, fear makes us move cautiously when we're faced with incomplete information - like what the future holds, or whether we should invest in a business. It counsels us to get as many facts as possible before we make big decisions. And fear also helps us get moving - like when we're facing a deadline.

Unfortunately, too many people let fear paralyze them into inaction. We let it stop us from reaching our full potential. It's not so much that we fear the footwork we'll have to do. If we break the work into small enough pieces, there's little we can't handle. No, what frightens us is wondering whether it's going to work out well in the end. At its worst, fear leaves us helpless to move forward.

So how can we overcome this fear? One thing we can do is distinguish between good fear (stress) and bad fear (distress). To let the good stress help you, set goals, create budgets, and strive for continuous improvement. Get rid of the distress by letting go of the things you can't control and by focusing on revenue. If a particular task scares you, break it into small pieces that you can handle. Focus on your successes, do the footwork, and let the future take care of itself.

We all have fears. When it works for us, our fear provides us with motivation and energy. When it goes amuck, though, it can bog us down so completely that we can't move. If we can change the way we approach our fear, we may find ourselves rewarded with riches of all sorts. One thing's for sure, though: if you don't turn that crank, you'll never find out what sort of surprise is in the box. Don DeRosa is a real estate investor, author, teacher, coach and national speaker. He has trained thousands of new and experienced investors to build wealth in real estate using the same techniques that helped him build his fortune, particularly buying Subject to, Short Selling and Using Private Money. Don was honored to be singled out among the top 21 real estate investors in the U.S. and Canada featured in the New York Times best-selling book The Millionaire Real Estate Investor.

He has bought and sold well over 200 properties in the last few years. This has given him the expertise and experience to train students on everything from finding subject-to purchase opportunities, to finding and negotiating with sellers, analyzing deals, creating equity through short selling, finding private money to fund deals, to quickly selling properties and collecting profits! Don will be our guest speaker at MAREI on Tuesday May 13, 2008. 6pm Overland Park Marriott, Overland Park KS I435 and Metcalf 6pm to 9 pm. FREE for members and $25 for guests - details and discounts online at http://www.mareinet.com/

A Call to Action - For Real Estate Investors

2008-04-28T20:37:56Z

Call to Action

Success is not the result of spontaneous combustion. You must set yourself on fire.

Reggie Leach

If real estate is such a great investment, why aren't more people getting rich? Is the business too complicated for the average person to learn? Does it take the equivalent of three full-time jobs to make money? Do you need a thick wad of cash or sparkling credit? A perfect economy? After many years of experience in the field of real estate, I've come to the conclusion that anyone - even someone who's hopelessly average, and even in a mediocre economy - can succeed in this business.

A simple recipe for success

The secret to success isn't really so complex. The fact is, success will be yours if you follow this simple recipe:

You must put a system into place that really works.
You must do the footwork. That means you must put effort into your project, and be diligent, every day.
You must have faith.

These simple ingredients - system, works, and faith - are your keys to success.

Yes, but...

Of course, following the recipe for success isn't without its obstacles. But are they insurmountable? Here are some of the barriers you may have encountered in the past:

Lack of knowledge. "I don't know how to invest." Well, of course you don't! It's just like any job: You have to learn it. But in this information age, learning is easier than ever. Where do you get the information? Contact your local chapter of the Real Estate Investment Association. Go to the library. Take a course on real estate investment. If you'll take the time to learn, you'll find all the information you need.
Lack of time. "I have a full-time job and three kids. I don't have any extra time!" It's certainly true that time is one of the scarcest resources of all. And yes, it does take some time to invest in real estate. But you don't need to quit your job to do it. Start small. Invest in one house instead of five. Read a book on investment instead of watching TV. Go to the library and learn about time management skills, and practice them! You may find extra time for real estate and for your kids.
Lack of money. "It takes money to make money, and I don't have any!" Yes, some real estate investments require money. However, there are many types of real estate investments, and not all of them require cash. Wholesaling, for example, require no money up front, and can give you a terrific return.
Lack of credit. "If you don't have money, you've got to have good credit to get a loan. Mine isn't so hot." Again, this only applies to some types of real estate investments. Believe it or not, there are good real estate investments that don't require money or credit. Your job is to learn about them.
Too much hassle. "Who wants to renovate a house, or chase a dead-beat tenant?" Yes, some types of real-estate investments are a lot of hassle. But others are no hassle at all. If you don't want to renovate a house, how about selling the contract? If you don't want to be a landlord, you don't have to!
"I can't". Well, you've got me there. I know you can, but it doesn't do you any good if you don't know it. This, and only this, can block your success. Don't let it!

Action is the Magic Word

By now, you've probably spotted two of my favorite themes:

You can increase your options by thinking outside the box. There are all kinds of real estate investments. Don't limit yourself to the "same old, same old."
You can if you think you can. Don't let anyone - including you - tell you that success is beyond your reach.

Of course, knowing these two things isn't the end of it. Remember that simple recipe for success? You can follow it only by taking action. Without action, all the confidence and understanding in the world is useless. So today, do just one thing that will bring you closer to success. Take action, and make it happen! Don DeRosa is a real estate investor, author, teacher, coach and national speaker. He has trained thousands of new and experienced investors to build wealth in real estate using the same techniques that helped him build his fortune, particularly buying Subject to, Short Selling and Using Private Money. Don was honored to be singled out among the top 21 real estate investors in the U.S. and Canada featured in the New York Times best-selling book The Millionaire Real Estate Investor.

He has bought and sold well over 200 properties in the last few years. This has given him the expertise and experience to train students on everything from finding subject-to purchase opportunities, to finding and negotiating with sellers, analyzing deals, creating equity through short selling, finding private money to fund deals, to quickly selling properties and collecting profits! Don will be our guest speaker at MAREI on Tuesday May 13, 2008 at the General Meeting of MAREI - Overland Park Marriott, I435 & Metcalf - free for members $25 for non-members. 6pm to 9 pm. More info online at http://www.mareinet.com/

Alternative Funding

2008-04-27T15:08:47Z

April 27, 2008 · No Comments

Go Big Network (http://www.gobignetwork.com/small-business-funding/)

With all the mess in the mortgage industry and all the new rules and regulations, many investors may be hunting for new sources of funding. Once source is from private individuals or Private Lenders and you may see many different articles and speakers on real estate investing sites (like http://www.mareinet.com/). But I recently ran across the web site Go Big Network that puts lenders and borrowers together.

IN the past and probably still going on, there were many lending companies that took funds from private individuals, pooled it all together, and lent it out and charged a fee - many of the lending companies are like this. But this site is cutting out the lending company and putting borrowers in direct contact with lenders. Lenders are making their own lending decisions and borrowers are providing their own info on line through the internet.

I read an article in the paper a few months ago about other web sites.

Chedk them out and please give us some feed back if you or someone you know has used these or other sites.

Reprinted with permission from www.TuckerOne.wordpress.com

Yahoo Local

2008-04-13T22:00:38Z

Visit my listing

go to http://www.yahoo.com/
click on local (should be under the big yahoo logo)
search the kansas city area for real estate investing
find the listing for Mid-America Association of Real Estate Investors
Please click write a review and give us a review.

Then

scoll all the way to the bottom in the blue bars at the bottom
look for the add a business link
add your business

Thanks

Kim in KC

from MAREI

http://www.mareinet.com/

816-523-4400

MAREI meeting reminder

2008-04-07T10:22:29Z

Meeting, Tuesday April 8th from 6 pm to 9pm.

Overland Park Marriott (Kansas City Metro Area)

Topic: Title Companies: What they can do for you!

Speaker: Ron Kraft with Accurate Title Company

FREE for members, $25 for guest at the door, $15 for guest who preregister. Reserve a vendor table for the meeting and promote your product or service from 6 to 7:30.

Not yet a member? Join now to attend the meeting for FREE and gain access to over 20 teleconferences and recorded meetings and over 20 ebooks and report and contracts and forms and much more.

Any questions, give Kim at call at 816-523-4400.

www.MAREInet.com

Are you sure you want to send this message?

Kim's Blog

EXPO 2008 - in the Kansas City Metro

Real Estate Investor Meeting

September 9th, General Meeting

Calendar of Events Pre-Register Meeting starts at 6pm. Be sure to bring your email confirmation for meeting access if you pre-register. Don't Miss An Event Register for Our Email Updates Online Networking Click to join KCREI on Yahoo Our Forums

Developers needed

These Things I Believe

Foreclosures

I Need a Lender

House for Sale IN Shawnee

Web Site Launch

Real Estate Investing Teleconference

FREE TeleSeminar - How to buy Land & Commercial Property

Private Lending

Funding For Your Real Estate Deals

MAREI Investmetn News is Posted

Real Estate Investing: Rehabbing

Making a Big Impact with Small Touches

By Don DeRosa

Customers today want the very most and the very best for the very least amount of money, and on the best terms. Only the individuals and companies that provide absolutely excellent products and services at absolutely excellent prices will survive.

Brian Tracy

Let's start with two overriding principles:

Buyers couldn't care less how much money you put into your house.They may love those terrazzo floors, but they're still only going to pay market price. So market price is what you had better be prepared to accept!

Your house should be just a little nicer than any other house in the neighborhood, but it shouldn't have the highest price. It may sound counterintuitive, but it works. If your house is nicer than the one down the street and it costs less, guess which one will sell first?

Why would a house need different treatment? It could be the type of home, or its age, or the neighborhood demographics. Let's take an example: a home in a historic neighborhood.

Even neighborhoods with newer houses can have their own unique flavor. There are some neighborhoods where bright colors, or dark, rich colors, are the preference. In a neighborhood like that, using good old stand-by beige could cost you money.

So how do you know when a house needs different treatment from your usual upgrade package? Well, that brings me to my next tip:

Now go back and look at your house. What can you do to make it just a touch above the competition, while keeping the list price low?

If you've made smart upgrade decisions, you won't care whether a buyer sees the other houses in the neighborhood first, last, or somewhere in the middle. Yours is the one they'll remember, and yours is the one they'll buy.

Don DeRosa was recognized as one of the nation's top 21 real estate investors in the New York Times bestseller The Millionaire Real Estate Investor. Don, who is a full-time investor, trainer, and mentor,

Don will be our guest speaker at MAREI on Tuesday May 13, 2008 at the Overland Park Marriott, I435 & Metcalf, Overland Park, KS from 6 pm to 9 pm. FREE for members of MAREI, $25 for guests at the door. Details and discounts at http://www.mareinet.com/

Real Estate Investing - Getting the House Sold

Getting Out from Under in a Tough Market -

(Highlights Selling Course)

By Don DeRosa

Every exit is an entrance somewhere else. Tom Stoppard

Real Estate Investing - Success

Real Estate Investing - Getting Started

A Call to Action - For Real Estate Investors

Alternative Funding

Yahoo Local

MAREI meeting reminder

Calendar of Events

Pre-Register

Meeting starts at 6pm. Be sure to bring your email confirmation for meeting access if you pre-register.

Don't Miss An Event Register for Our Email Updates

Online Networking

Click to join KCREI on Yahoo
Our Forums