Our affiliate network continues to grow. In addition to our traditional real estate wholesaling services we are now offering the following services:
-> Bulk REOs
-> Bulk NPNs
-> Pre-foreclosure SFR
-> Multi-Family Projects
-> Commercial
-> Distressed Commercial transactions in need of capital infusion
-> Builder Close-Outs
-> Builder Buy Outs
Our real estate consulting services helps individuals, developers, businesses and lenders make better real estate decisions. Our combined experiences of business, tax, and financing we have developed a thorough understanding of asset valuation, financing, and the the ever changing real estate market.
Our company goal is to meet the needs of our clients in a manner the provides confidence and enhances their experience in the real estate acquisition/sale of their real estate portfolio.
Our strength is in the numbers, our combined experience of over 20 years in dealing with real estate transactions as well as our network of professionals throughout the real estate management, finance, and leasing arenas.
Our services include:
- Develop and execute streamlined management plans and disposition strategies for investors and builders in underperforming and distressed real estate assets.
- Assist our clients in the acquisition and disposal of real estate portfolio.
- Develop real estate strategies.
- Market and feasibility studies.
- Preparation of business plans for real estate investors.
- Wholesale of high value investment properties.
- Creative real estate investing.
- Evaluation of real estate taxation effect on disposal of transactions.
- Structuring of financing for the acquisition of real estate portfolio.
- Preparation of financial projections.
- Preparation of tax returns.
As our nationwide network continues to grow we will make those services available to our clients. If we can be of service to you or your clients, please contact me.
Wednesday, July 15, 2009
Saturday, July 11, 2009
Benefits of Real Estate Investing
Real estate provides many advantages to investors. I think that all investors must make it part of their learning process to understand the advantages and do what is possible to maximize its use. What are some of the benefits of Real Estate ownership? Here I would like to share with you some of the benefits you will find from real estate investing:
1. Cash Flow - In its simplest definition, cash flow is can be defined as the difference between rental income and expenses. Well... there are plenty. Depending on the situation, cash flow can be positive or negative. Based on your goals, you may find that a property even with a negative cash flow may be a good investment. What is important is that you review the potential investment and determine it it fits your goals. If what you are looking for is current income, then positive cash flow properties is what you are looking for.
2. Appreciation – Appreciation is the increase in value of a property. Now you may be thinking that this is a non factor in the current real estate market. However, there are markets right now positioned for respectable value appreciation. As a smart real estate investor you must be looking for this markets right now, so you can position yourself to gain from appreciation.
What are the main factors that affect the valuation of a property?
• Economic Conditions – An example of economic factors has to do with inflation. Since we do not have control over inflation, it would not be very smart of you to buy a property where your only investment strategy is inflation.
• Forced Appreciation – This one you have control over. For example, when you improve the condition of the property you are affecting the future value of the property. A way that you can benefit from this is when you buy a property on “As Is” conditions and you bring the property to the neighborhood standards or slightly higher and then you end up with a more valuable property.
3. Leverage – Leverage is the ablility to borrow a percentage of the value of a property. One of the main advantanges of real estate investing compared to other forms of investments is the fact that it offers the ability to leverage the acquisition of your investment. This allows the investor to purchase real estate with only a portion of the acquisition price of the property. As a smart real estate investor you must learn to manage the amount of debt you take against the investment to ensure that you are not over-leveraged. Keep in mind that borrowed money is always debt.
4. Tax advantages – This is a subject that is unknown to many real estate investors and that has a tremendous impact on your level of success. See the amount of profit truly made on a transaction should be measured on a after tax effect. In addition to that there are many tax advantages to real estate investors that you need to be aware and take advantage of.
There are many reasons to take into considerations when making an investment. As a real estate investor should not make your sole investment decision on only one of the advantages mentioned above. You should take into consideration all of the items mentioned above and many other individual factors that may be
1. Cash Flow - In its simplest definition, cash flow is can be defined as the difference between rental income and expenses. Well... there are plenty. Depending on the situation, cash flow can be positive or negative. Based on your goals, you may find that a property even with a negative cash flow may be a good investment. What is important is that you review the potential investment and determine it it fits your goals. If what you are looking for is current income, then positive cash flow properties is what you are looking for.
2. Appreciation – Appreciation is the increase in value of a property. Now you may be thinking that this is a non factor in the current real estate market. However, there are markets right now positioned for respectable value appreciation. As a smart real estate investor you must be looking for this markets right now, so you can position yourself to gain from appreciation.
What are the main factors that affect the valuation of a property?
• Economic Conditions – An example of economic factors has to do with inflation. Since we do not have control over inflation, it would not be very smart of you to buy a property where your only investment strategy is inflation.
• Forced Appreciation – This one you have control over. For example, when you improve the condition of the property you are affecting the future value of the property. A way that you can benefit from this is when you buy a property on “As Is” conditions and you bring the property to the neighborhood standards or slightly higher and then you end up with a more valuable property.
3. Leverage – Leverage is the ablility to borrow a percentage of the value of a property. One of the main advantanges of real estate investing compared to other forms of investments is the fact that it offers the ability to leverage the acquisition of your investment. This allows the investor to purchase real estate with only a portion of the acquisition price of the property. As a smart real estate investor you must learn to manage the amount of debt you take against the investment to ensure that you are not over-leveraged. Keep in mind that borrowed money is always debt.
4. Tax advantages – This is a subject that is unknown to many real estate investors and that has a tremendous impact on your level of success. See the amount of profit truly made on a transaction should be measured on a after tax effect. In addition to that there are many tax advantages to real estate investors that you need to be aware and take advantage of.
There are many reasons to take into considerations when making an investment. As a real estate investor should not make your sole investment decision on only one of the advantages mentioned above. You should take into consideration all of the items mentioned above and many other individual factors that may be
Friday, July 10, 2009
Getting Started as a Real Estate Investor
Real Estate has created more millionaires than any other type of investments. According to Andrew Carnegie over 90% of all millionaires become so through owning real estate. That is a powerful statement. Even if you are skeptical about the future of real estate market we cannot overlook to such statement and not ackowledge it as part of a major footprint of success.
One of the advantages of real estate investing is that it provides mutltiple ways to make money. If your credit score is high, if you have high amount of investment capital or if your credit score is low, if you do not capital to invest in real estate there is a strategy available to get you started in real estate investing. Nobody can deny that if you have deep pockets , you will find real estate investing easier than otherwise. It is fact. However, real estate investing allows those with little or no capital and bad credit to develop real estate investing strategies using creative methods to get started, even on this market.
Here are a couple of subjects that you must consider and gain an understanding about:
1. Creative Real Estate Investing -> Subject To, Contract for Deed, Lease Option, and other creative strategies.
2. Private Money Lenders -> how to find and persuade private money lenders to fund your deals.
3. Motivated Sellers -> how to locate true motivated sellers who must dispose of their current property.
4. Qualified Buyers -> how to build your list of qualified buyers that are prepared to acquire properties you are prepared to sell.
5. Tenants/Buyers -> how and where to find people to rent your investment properties.
6. Protect your Assets -> corporations, LLCs, and other legal entities to protect your financial assets.
7. Tax Planning -> develop strategies that ensure that you do not overpay on taxes and others enjoy the results of your hard work.
Now I do not know where you are in your investment career. May be you are just starting out. Maybe you are a seasoned real estate investor. My goal is to share with you over the next couple of weeks, ways on how to make money in real estate investing regardless of the level of knowledge you have.
One of the main reasons real estate investors fail at it is their lack of a clear vision. See if you do not have a clear vision of what you want real estate investing to do for you, then you need to spend some time thinking about it. See many times when I ask people why they want to become a real estate investor, they say the millions that they will make investing in real estate. I think people need to be more specific than that on their development of their vision. What are the things that motivate you? Charitable causes? Time with your family? Unfortunately, very few have a vision of their own. Many of us, let ourselves be affected by the opinion of others. Do not allow anyone to crush your vision.
So how do we get started in real estate investing? Here are a couple of questions that all real estate investors must ask themselves:
Do you want to build present income or retirement security?
Do tax advantages matter to you?
Do you have investment capital?
Do you have access to conventional lending?
What is your level of risk tolerance?
Taking the first step is often the hardest part of investing in real estate. Even the more advanced investors who understand the value of holding about the time commitment involved or be paralyzed by fear of failure. Here are a couple of suggestions on how to get started the right way: real estate in their portfolios are hesitant at times. Many of them are concerned
Meet a Coach/Mentor
"By three methods we may learn wisdom: First, by reflection, which is noblest; second, by imitation, which is easiest; and third by experience, which is the bitterest."
- Confucius
The easiest way to gain wisdom is to meet with people who have already gained experience. A mentor can make you feel at ease and give you wise advice. They may even be willing to invest their time evaluating some of your first few deals, in an effort to spare you from making some of the same mistakes they have made.
Start small
Starting small will give you the opportunity to find out whether real estate is for you without the risk of significant losses. There is no shame in beginning small.
Find a partner
"Two people are better off than one, for they can help each other succeed. If one person falls, the other can reach out and help. But someone who falls alone is in real trouble."
- Ecclesiastes
Partnering with other investors allows you to start small and also invest in larger projects by using the collective funds of your partners to finance a property.
Don't see short term failure as a bad thing
"No one ever sized people up more accurately than the person who invented the pencil eraser."
- John Maxwell
Just because you make mistakes in the early years of investing doesn't mean that you aren't cut out to be a real estate investor.
"The person interested in success has to learn to view failure as a healthy, inevitable part of the process of getting to the top".
Joyce Brothers
Over the next couple of weeks I will be sharing with you other suggestions on how to make money in real estate investing. I look forward to hearing from you.
One of the advantages of real estate investing is that it provides mutltiple ways to make money. If your credit score is high, if you have high amount of investment capital or if your credit score is low, if you do not capital to invest in real estate there is a strategy available to get you started in real estate investing. Nobody can deny that if you have deep pockets , you will find real estate investing easier than otherwise. It is fact. However, real estate investing allows those with little or no capital and bad credit to develop real estate investing strategies using creative methods to get started, even on this market.
Here are a couple of subjects that you must consider and gain an understanding about:
1. Creative Real Estate Investing -> Subject To, Contract for Deed, Lease Option, and other creative strategies.
2. Private Money Lenders -> how to find and persuade private money lenders to fund your deals.
3. Motivated Sellers -> how to locate true motivated sellers who must dispose of their current property.
4. Qualified Buyers -> how to build your list of qualified buyers that are prepared to acquire properties you are prepared to sell.
5. Tenants/Buyers -> how and where to find people to rent your investment properties.
6. Protect your Assets -> corporations, LLCs, and other legal entities to protect your financial assets.
7. Tax Planning -> develop strategies that ensure that you do not overpay on taxes and others enjoy the results of your hard work.
Now I do not know where you are in your investment career. May be you are just starting out. Maybe you are a seasoned real estate investor. My goal is to share with you over the next couple of weeks, ways on how to make money in real estate investing regardless of the level of knowledge you have.
One of the main reasons real estate investors fail at it is their lack of a clear vision. See if you do not have a clear vision of what you want real estate investing to do for you, then you need to spend some time thinking about it. See many times when I ask people why they want to become a real estate investor, they say the millions that they will make investing in real estate. I think people need to be more specific than that on their development of their vision. What are the things that motivate you? Charitable causes? Time with your family? Unfortunately, very few have a vision of their own. Many of us, let ourselves be affected by the opinion of others. Do not allow anyone to crush your vision.
So how do we get started in real estate investing? Here are a couple of questions that all real estate investors must ask themselves:
Do you want to build present income or retirement security?
Do tax advantages matter to you?
Do you have investment capital?
Do you have access to conventional lending?
What is your level of risk tolerance?
Taking the first step is often the hardest part of investing in real estate. Even the more advanced investors who understand the value of holding about the time commitment involved or be paralyzed by fear of failure. Here are a couple of suggestions on how to get started the right way: real estate in their portfolios are hesitant at times. Many of them are concerned
Meet a Coach/Mentor
"By three methods we may learn wisdom: First, by reflection, which is noblest; second, by imitation, which is easiest; and third by experience, which is the bitterest."
- Confucius
The easiest way to gain wisdom is to meet with people who have already gained experience. A mentor can make you feel at ease and give you wise advice. They may even be willing to invest their time evaluating some of your first few deals, in an effort to spare you from making some of the same mistakes they have made.
Start small
Starting small will give you the opportunity to find out whether real estate is for you without the risk of significant losses. There is no shame in beginning small.
Find a partner
"Two people are better off than one, for they can help each other succeed. If one person falls, the other can reach out and help. But someone who falls alone is in real trouble."
- Ecclesiastes
Partnering with other investors allows you to start small and also invest in larger projects by using the collective funds of your partners to finance a property.
Don't see short term failure as a bad thing
"No one ever sized people up more accurately than the person who invented the pencil eraser."
- John Maxwell
Just because you make mistakes in the early years of investing doesn't mean that you aren't cut out to be a real estate investor.
"The person interested in success has to learn to view failure as a healthy, inevitable part of the process of getting to the top".
Joyce Brothers
Over the next couple of weeks I will be sharing with you other suggestions on how to make money in real estate investing. I look forward to hearing from you.
Thursday, July 9, 2009
Update on Florida Real Estate Market
Everyone is talking about recession. I have decided to stop watching the news and decided to search for positive signs in the real estate market. I chose Florida a hard hit market for this search. Here is what I found:
1. For the ninth consecutive month, sales of existing homes and condos in Florida were up again in May. Statewide, existing home sales rose 16 percent in May with a total of 13,921 homes sold, up from 12,044 homes in the same period a year ago.
2. According to the Florida Association of Realtors, the statewide median sales price in May for existing homes and condos rose over the previous month. Also, year-over-year condo sales were up 21 percent to 4,839 units in May, compared to 3,998 units in May 2008.
3. In South Florida, Miami led the pack in volume with a 76 percent increase in the sale of existing single-family homes.
4. In Miami, even though the median price for an existing single-family home fell 36 percent in May 2009 when compared to the same month last year, the good news is that there is signs of improvements as the median price increased in May from April.
5. Miami led in condo sales. Once again the sale prices are lower when compared to the same month last year. The good news is that there are signs of continued improvements in the last couple of months.
6. Existing home sales in Fort Lauderdale increased 47 percent in May when compared to the same month last year. Condo sales were up 25% in the month of May when compared to the same month last year.
7. In West Palm Beach, existing home sales were up 5 percent from a year ago. Existing condo sales increased 3 percent in West Palm Beach when compared to the sales of 2008.
8. Palm Beach County housing inventory has fallen to 11 months from the 55 months in December 2007.
The question that remains in the mind of many home buyers and investors is when will we hit bottom? I think that we have hit bottom. This does not mean that we will have an immediate and dramatic increase in sales and prices. We will experience several rough months and we will travel along this bottom for a little while. I think that a buyer or investor thinking that he/she will buy a house today and see incredible home price increases in the next 12 months will suffer some disappointments. The improving sales of existing single-family homes and condos in the state of Florida, give solid signs that the prices are beginning to stabilize. A smart real estate investor doing the proper due diligence has a great opportunity to acquire great properties at bottom prices and not only cash flow, but gain on the appreciation we will experience in the years to come.
1. For the ninth consecutive month, sales of existing homes and condos in Florida were up again in May. Statewide, existing home sales rose 16 percent in May with a total of 13,921 homes sold, up from 12,044 homes in the same period a year ago.
2. According to the Florida Association of Realtors, the statewide median sales price in May for existing homes and condos rose over the previous month. Also, year-over-year condo sales were up 21 percent to 4,839 units in May, compared to 3,998 units in May 2008.
3. In South Florida, Miami led the pack in volume with a 76 percent increase in the sale of existing single-family homes.
4. In Miami, even though the median price for an existing single-family home fell 36 percent in May 2009 when compared to the same month last year, the good news is that there is signs of improvements as the median price increased in May from April.
5. Miami led in condo sales. Once again the sale prices are lower when compared to the same month last year. The good news is that there are signs of continued improvements in the last couple of months.
6. Existing home sales in Fort Lauderdale increased 47 percent in May when compared to the same month last year. Condo sales were up 25% in the month of May when compared to the same month last year.
7. In West Palm Beach, existing home sales were up 5 percent from a year ago. Existing condo sales increased 3 percent in West Palm Beach when compared to the sales of 2008.
8. Palm Beach County housing inventory has fallen to 11 months from the 55 months in December 2007.
The question that remains in the mind of many home buyers and investors is when will we hit bottom? I think that we have hit bottom. This does not mean that we will have an immediate and dramatic increase in sales and prices. We will experience several rough months and we will travel along this bottom for a little while. I think that a buyer or investor thinking that he/she will buy a house today and see incredible home price increases in the next 12 months will suffer some disappointments. The improving sales of existing single-family homes and condos in the state of Florida, give solid signs that the prices are beginning to stabilize. A smart real estate investor doing the proper due diligence has a great opportunity to acquire great properties at bottom prices and not only cash flow, but gain on the appreciation we will experience in the years to come.
Wednesday, July 8, 2009
The Sad Reality
A recent report from the FBI states that mortgage fraud is on the rise. The fraudulent events focuses on distressed homeowners who look for answers to troubled mortgages and find little help from their banks.
This report says one measure of mortgage fraud complaints is up 36 percent nationally. Most of the fraud schemes and scams are concentrated in California, Florida, Arizona and Nevada which have been hit hard by the housing market crash. As a result there are a large amount of mortgage modification and refinancing firms popping up in embattled housing markets.
The FBI report said the mortgage scams include fraudulent short sales, bankruptcy filings and reverse mortgage schemes, refinancings, modifications and sometimes arson to collect insurance money. Some of the fraud schemes hurt consumers and borrowers while others hurt original lenders, according to the FBI report. The increase of these fraudulent events in Arizona, has prompted the Arizona Attorney General's office and the Maricopa County Attorney to take action and investigate mortgage modification and refinancing outfits.
These scammers are pretending to consumers that they are government housing agencies empowered by the Barack Obama administration's stimulus and mortgage rescue programs.
It is important that our clients be aware of this fraudulent events. These scammers are taking advantage of the current economic situation and take advantage of distressed homeowners, who many times don't seem to find answers any where else.
This report says one measure of mortgage fraud complaints is up 36 percent nationally. Most of the fraud schemes and scams are concentrated in California, Florida, Arizona and Nevada which have been hit hard by the housing market crash. As a result there are a large amount of mortgage modification and refinancing firms popping up in embattled housing markets.
The FBI report said the mortgage scams include fraudulent short sales, bankruptcy filings and reverse mortgage schemes, refinancings, modifications and sometimes arson to collect insurance money. Some of the fraud schemes hurt consumers and borrowers while others hurt original lenders, according to the FBI report. The increase of these fraudulent events in Arizona, has prompted the Arizona Attorney General's office and the Maricopa County Attorney to take action and investigate mortgage modification and refinancing outfits.
These scammers are pretending to consumers that they are government housing agencies empowered by the Barack Obama administration's stimulus and mortgage rescue programs.
It is important that our clients be aware of this fraudulent events. These scammers are taking advantage of the current economic situation and take advantage of distressed homeowners, who many times don't seem to find answers any where else.
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