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Whats In Store For Investors In 2018?12/7/2017 What’s In Store For Investors In 2018? was originally published to MPG Deals Investment Property Blog It's hard to believe that 2017 is almost over. It's December and 2018 is knocking on the door. So what do the experts have to say about what will happen with the housing market in 2018? That's what we will look at in this write up. New Homes And Their Impact On FlippersIt seems that the stock market likes the new President and all the talk of tax reform, but has the housing market liked it as much? It looks like new home building still hasn't really broke loose yet to keep up with buyer demand and home prices will continue to rise because of the short fall of new homes. Suzanne De Vita has a post on RisMedia that gives some good insight:
So it looks like there will still be a greater demand than supply for new houses next year. This is both good news and bad news for flippers. The good, investors will still be able to quickly sell their freshly renovated properties for a good price. The bad, it will remain difficult to find good properties at a low enough price to turn a profit, unless you have access to a good Atlanta area real estate wholesaler :) What's Coming For Rentals In 2018?In our article "Should You Start With Fix And Flips Or Buy And Holds?", we preached the fact that new investors should be starting with fix and flips. However for those of you that are already in buy and holds what will your market look like in 2018? With new housing at a premium, what is in store for the rental market? Carole VanSickle Ellis has a write up on Think Realty that gives some good insight:
That's pretty much all good news for investors looking to grow their portfolio, as well as keeping renters in the properties they already have. She actually gives both flippers and landlords a great demographic to target in your marketing efforts - Baby Boomers who have been in their properties for a long period of time. Summing It Up We think that things are looking up for 2018. The only way we see that there could be a downside is if there were to be something major happening GLOBALLY. As much as people don't like to admit it or push it under the carpet, we are in a global market and crazy things happening around the world can affect us. However we feel it should be a good year for both flippers and landlords alike. via Blogger What’s In Store For Investors In 2018?
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The following article Is That Investment Property All That It Appears To Be? Find more on: MPG Deals Blog Happy Friday All! Hope you had an awesome day with friends and family yesterday and had your fill of turkey :) . I myself was super busy all week getting ready for family coming into town and wasn't able to post earlier this week and wanted to make sure I got something out before next week. What I want to cover today is really all about hidden issues with distressed properties. No one likes it when they purchase a property and then find that there are foundation issues, mold or something else lurking that has the potential to cost you thousands of dollars, taking away from your bottom dollar when selling the property. Hidden Issues with Investment PropertiesChris Clothier put up a post recently that covers some of the pitfalls when investing in distressed properties:
We totally agree with Chris in his final statement in that clip. Investing in real estate is always somewhat of a risk. However, a good investors knows the risks and actually hedges their bets on calculated risks. It is extremely important to conduct inspections before purchasing a property, whether it's from the MLS, a wholesaler or something that you found through your own marketing efforts. Also, the 3 things that Chris lists, electrical, mold and water damage are among the most costly and overlooked inspection items. I encourage you to read the rest of the article, and I think where they have "face-paced" at the beginning was suppose to be "fast-paced" :) Do Your Due Diligence With InspectionsKen Meyer actually wrote an article that has something to say about all 3 potential money sucking issues including:
I decided to include his bit about water leaks because in our experience they can be the most expensive and hide the most damage, including MOLD! It's important to find the source of the leak. Years ago homes here in the Southeast were plumbed using something called polybutylene. Over time not only the joints would fail, but also anywhere in the pipe where it was bent to go around duct work or made a sharp curve to go up to a bathroom or kitchen. Repeated breaks could leave a home with mold growing in all kinds of locations, and not just localized. Again, Ken gives great advice at the end of the article and is what we recommend, complete and perform extensive inspections. Summing It Up The most important thing you can do to help eliminate as much risk when investing in real estate is to complete a thorough inspection. Here at MPG Deals, we aim to find and disclose every issue that we find with every wholesale real estate investment that we offer. However, we do advise all of our end buyers to perform their own due diligence to insure they are buying a property without any hidden issues. Until next time, and enjoy your holiday weekend and we wish the best to you and your family!
via Blogger Is That Investment Property All That It Appears To Be?
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Getting Started With Your First Rental Property was originally published to MPG Deals Ready to start you rental portfolio? Have you done enough research to know what you are doing so that your first investment property is a winner? In our article "Should You Start With Fix And Flips Or Buy And Holds?" we covered the fact that you should start with fix and flips and build some cash before jumping into rentals. Here are a few tips to make sure that your first rental property turns into a good cash flow property and not a nightmare that bleeds you dry. Rental properties are a great way to add some additional cash flow every month, as well as creating generational wealth for your children and grand children. However there are a few things that you MUST do to make sure that you are making a good investment. Not every property is a good candidate for becoming a rental property. Run The Numbers On The PropertyThis by far is probably the most important aspect. You must take into consideration how much you are paying for the property, what the note is (if you're not paying cash) and how much you can rent the property for. You also have to calculate in things like insurance and HOA dues. Kayleigh Kulp had a bit to say about this back in August:
Besides making sure that your property is in a decent neighborhood and that you will be able to rent it, running the numbers is the most important thing. In a later article we will dive more into calculating cap rate (capitalization rate). Rental AmenitiesSo the numbers work on the property, now onto renting the property. One mistake that some first time land lords do is over update or flat out just make to many improvements to the property for tenants. In fact there are some things that you really shouldn't have at a rental property. Chris Deziel wrote about a few things that you definitely don't want at your rental property:
Those are 4 things you really don't want at your property! First, the garbage disposal - tenants may tend to use this for a garbage can! And if your property is on a septic tank, you are probably going to end up pumping it sooner than if you didn't have a garbage disposal. Trampolines -really? You are just asking for a law suit when a tenants child or one of their friends bounces off and breaks one of their legs in multiple places. Swing sets - this is one that we sometimes let slide depending on the building materials and how well it's anchored. Metal swing sets we always remove. However if it's a nice pressure treated swing set that has a little fort and so on we may leave. Lastly a pool. Whenever we consider purchasing a property for rental OR fix and flip and it has an in ground pool, the first thing we ask ourselves is "where are we going to get enough dirt to fill that in?". Pools are extremely dangerous for small children! The risk of a child drowning is too great, much less the possible law suits. Summing It Up As we stated earlier, a rental can add some great cash flow to your monthly income. However you have to run the numbers and make sure that it's going to cash flow. And lastly, be careful about what amenities you provide or leave on the property when renting it. Lastly, be sure and check us out for investment properties for sale in Atlanta GA!
via Blogger Getting Started With Your First Rental Property
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What Is A Hard Money Loan11/10/2017 The post What Is A Hard Money Loan See more on: MPG Deals Wholesale Properties If you are new to real estate investing you may or may not have heard of a hard money loan. You may want to start flipping houses, but don't have all of the cash necessary to complete the transaction. This is where a hard money loan might come in handy for you. In this short article we will cover what a hard money loan is and when to use them in your real estate investing business. What Is A Hard Money Loan?Joshua Dorkin wrote a post on Bigger Pockets that explains what a hard money loan is:
We thought that was a perfect explanation of what a hard money loan is, which is why we included it. Usually it's flippers (quick turn for retail sale) that want to use hard money loans because the cost of using this money is so high that it doesn't make sense to use it for a rental property. However we have come across some larger hard money lenders that can do a hard money loan on a property to complete renovations and get a property ready to rent, then convert the hard money loan to a conventional 30 year mortgage once the repairs are completed and the property is rented, thus bringing down the costs of borrowing the money and making more sense for the investor. Advantages and Disadvantages of using Hard MoneyRebecca Lake wrote an article on Investopedia that explains in great detail the Pros and Cons of using hard money loans to finance your investment property:
Really good comparison from Rebecca. One point that we really like about using hard money loans that she points out is that the subject property is collateral. This can be very beneficial for investors who have bad credit. This means that the lender is actually lending you money based on the numbers of the property. However, most of the time you will have to have some money to put down or use for repairs because these lenders want you to "have some skin in the game", otherwise the risk of you walking away maybe to high for them. Summing It Up Hard money loans can be very beneficial to investors. If you don't have enough cash to buy and repair a property to sell it retail a hard money loan maybe just what you need. Shop around, find the best deal you can and visit REIA's and connect with other investors and find out who their favorites are. If you are an investor looking for Atlanta wholesale deals for fix and flip, be sure and check us out!
via Blogger What Is A Hard Money Loan
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Selling Your Renovated Property11/7/2017 Selling Your Renovated Property is republished from https://mpgdeals.com/ So you purchased a fix and flip to sell retail. It can be an exciting and stressful time all at once. But when is the best time to actually start marketing the property? How do you know when it is actually ready to go on the market and pass inspections? These are the questions we will answer in this short article. Marketing Your PropertyWhen should you start marketing your property to get it sold quickly? We all know that the longer you hold onto a property the more it will cost you in holding costs. Insurance, HOA dues, utilities and if you used hard money can add up quickly cutting into your bottom line. If you ask most investors and realtors they will tell you that you start marketing the property once it is completely finished and staged, if you are going to lightly furnish the property for showings. We don't subscribe to that train of thought 100%. Let me tell you why. A few years ago we renovated a condo in a high rise. From day one the neighbors were curious about what upgrades we were making. We also ran into several real estate agents that were showing other condos in the building. After introducing ourselves we were often asked by these realtors if they could see the property, sometimes even when they had a client with them that were there to see another unit. Almost all of the realtors asked to be notified of when the property was completed, so we did. We actually notified them about 1 week before we were ready to go on the market. One of the realtors we had meet actually made an appointment to show the property the day it was ready. We hadn't even listed it with a realtor. He brought in a client and they put it under contract and closed within 2 weeks. We were extremely happy, being that the HOA alone on the property was $400 a month, and we only had the one realtor to pay! We found an article that helps explain in more depth the Pros and Cons of marketing your property before it's completed on Connected Investors blog:
Good advice. The one thing that you really need to take into consideration is how many contractors are on the job site that day, not only for staying out of their way, but for safety reasons as well. Ready To List Your Property?Okay, so everything seems to be done, or at least your GC tells you it's ready. Do you take their word for it? We don't. We always do a walk through and check every little thing. Just a few things wrong here and there can totally blow a sale to a potential buyer, thinking that if they see these little things wrong, how much more is wrong that they can't see. Danny Johnson put up some great info on the Flipping Junkie blog about performing a punch list before listing:
You need to read the full article. He gives a lot of good info. Home inspectors can be a huge pain, and can "ding" you on the smallest stuff. Before you know it they have a huge list with little stuff that looks like a mountain to a potential buyer when in reality it's only a mole hill. Summing It Up It's really up to you and the project you are working on when you will start marketing the property. Just bear in mind that not all potential buyers will be able to invision the finished product. Then when the property is ready to be listed, be sure and do a thorough walk through paying attention to detail on every little thing. As always, if you are looking for the best off market properties in Atlanta, sign up on our site. via Blogger Selling Your Renovated Property
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Things To Do For Halloween Around Town10/31/2017 Things To Do For Halloween Around Town was originally published to MPG Deals Wholesale Properties Today is October 31, Halloween. It's one of the most celebrated days, not only in America, but across the world. Personally, I've never understood it, but hey, if you are into it - that's cool. So instead of putting up an article about flipping or rentals, or anything about real estate, we thought we would put out a post about things to do today for Halloween in Atlanta.
Halloween Events In AtlantaA few of the things we found were from the AJC :
The very first one listed - "The Rocky Horror Picture Show", I really have never understood! My cousins were really into it when I was young. They would dress up and go see the midnight showing at a local movie theater at midnight almost every Saturday night. I need to call them and see if they are attending that event tonight. Haunted Houses In AtlantaAre you looking for a scare for you and a friend? Then maybe you are looking for a haunted house:
Haunted houses are definitely NOT my thing. People jumping out and scaring me, it's hard not to hit them! Another thing that got my attention to do tonight included something I have been wanting to do for some time, an escape room. Atlanta Room Escape located at 314 Auburn Ave in Atlanta has escape rooms where you need to outsmart a "JigSaw" themed adventure and also a zombie themed room. I think I can handle that. Learn more by Clicking Here. Go Have Some Fun!No matter what you do tonight, stay safe and DON'T DRINK AND DRIVE! In fact be more mindful of your driving tonight. Remember there are lots of children out tonight as well, some in dark costumes making it hard to see them, so keep your eyes open for them while driving. What am I going to do tonight? Well, now that I think about it I think I'll stay home and pass out candy and check out all the cute costumes on the little kids and leave all the parting and scares to the younger generation. Final note - you won't find any haunted wholesale investment properties at MPG Deals! Happy Halloween! via Blogger Things To Do For Halloween Around Town
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Repairs And End Buyers10/25/2017 Repairs And End Buyers was originally published to http://mpgdeals.com So you are ready to dive in and do your first fix and flip. With a little understanding, you can make the most out of it, enjoy it, and in the end make some money. In this short article we will cover a few more things that you need to know and do for your first fix and flip property. In our last article "Start With A Solid Foundation For House Flipping" we touched on a few things to getting started with your fix and flip business. Now we want to dive in a little more about how to know what you are getting into and how to best position yourself for success.
Repairs On Your "Fixer Upper"The scope of work and who your end buyer is needs to be the very first thing you access. Brandon Turner just posted an article on Bigger Pockets that gives some great advice on actually assessing your first flip:
Good info from Brandon, and we like his 4th step of estimating by condensing the list into one of 25 categories. We can't stress enough how important it is to take your time when performing a walk through of the house for the first time. Even for properties that we are keeping for ourselves we always take lots of pictures, many times 50 or more. Flipping Your Investment PropertyAfter you have your scope of work down, next you need to look at your end buyer and other properties in the neighborhood. If all the properties nearby are selling at 100k to 200k, more than likely your end buyer is working middle class. No need to ad in extra expense by making the property look like the Taj Mahal! Epic Real Estate posted an article that will probably help you stand back and evaluate your end buyer a little better:
While the two comparisons made in the article are very different, it should help you understand better how you need to assess the property for who your end buyer is. We like to gain access to the MLS and look at current properties for sale, or if none are on the market nearby, look at pictures of properties that have recently sold. We pay the most attention to kitchens and bathrooms. If there are other properties on the market, we like to make ours better and competitively price the property so that it is the nicest property on the market at the best price. Summing It UpIt can be an exciting time performing your first flip, but you need to be a little cautious and methodical when choosing what repairs to make. Look at nearby properties, either listed or recently sold on the MLS and get a good feel for who and what your end buyer will want in the property. And as always, if you are looking wholesale properties for sale in Atlanta for your first fix and flip, visit our site. Until next time :) via Blogger Repairs And End Buyers
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The blog post Start With A Solid Foundation For House Flipping See more on: http://www.MPGDeals.com It seems like every channel on TV has some sort of flipping show now. Some are better than others, while some seem to be all about just making a TV show. Sorry Mr Investor, but if you bought a house and didn't see the obvious major crack in the foundation that's going to cost you thousands, quit your crying :( If you are new to flipping investment properties for retail, it may make you wonder "can I do this?" The short answer is yes, I think that almost everyone that has a desire to flip houses and has a solid coach and plan can get started flipping properties. But what makes a successful flipper? In this short article we are going to cover a few things that will help you in making sure you are on the right path with your real estate investment business. Planning For Your Flip PropertyIn our post "Should You Start With Fix And Flips Or Buy And Holds?" we stated that fix and flip is our recommended path for new investors because of the cash that can be generated quickly. Then using the excess cash earned from those properties to use for buy and holds. But how do you make ensure that your next or first fix and flip is profitable? Teresa Mears wrote an article on US News that gives a few good tips on setting out on the right foot:
First, hiring good contractors. This is a must. Talk to other investors and get recommendations from them. You have to remember that you CAN'T pay retail prices and make a decent profit. There are a lot of contractors out there, some good and some bad. Hopefully you investor friends will have some good contacts they are willing to share. Word of caution here though, even good contractors can go bad, so make sure you are comfortable with them before hiring them. Next, we want to touch on buying in the right neighborhoods. Just like rentals, you want to make sure you are buying in the right part of town. No war zones, and stay away from busy streets. Check the local surroundings such as schools and shopping centers and super markets. If you can, talk to the neighbors and ask them what they think about the neighborhood before you buy. DIY Some Of The Repairs Yourself?The last thing, doing some of the work yourself. Paul Esajian just wrote an article that gives some advice on doing some repairs yourself:
We like this tip from Paul. Being able to change or install a light fixture or ceiling fan is a great way to help save on your rehab costs. Sometimes we go through and do all of the light fixtures ourselves when rehabbing a property. Important note though, if you are not comfortable with wiring, leave it to a professional! Paul also lists tiling. If you have never tiled before, you may not want to experiment on your fix and flip. Maybe experiment at your own house first, then if you feel comfortable, do it on your rehab. Paul also lists painting. This one we tend not to do. Painting the entire interior of a home can be time consuming because it really needs to be done correctly. The last thing you want is a sloppy looking paint job with wall paint on the trim or vice versa when a potential buyer is looking at the property. Important Point To Remember On DIYThere is one thing that we want to cover about doing repairs yourself on properties, and it applies to any business that you are involved in. You need to carefully consider the cost of you performing the repairs yourself. What do we mean by that? You need to ask yourself this, "how much will this cost an hour to have done vs how much am I worth an hour?" Should you really be doing jobs that cost only $10 an hour when you could be doing something else that can earn you $100 an hour?! We will touch more on this in another post. Summing It Up If you want a solid foundation before getting into house flipping, talk to some other local investors, see if they will give you recommendations on contractors. From time to time you may want to do some of the repairs yourself, when it makes sense and you have the knowledge and tools to do the job properly. And lastly, make sure you are buying in the right neighborhoods, go ahead and talk to the neighbors and listen to what they say about the neighborhood and shopping centers. If you are in the market for discounted investment properties in Atlanta GA, make sure to check out our site! Until next time :)
via Blogger Start With A Solid Foundation For House Flipping
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What Makes A Successful Real Estate Investor? is republished from MPG Deals Blog Have you ever wondered why one real estate investor is so much more successful than another? Or maybe you see the success of a investor friend that you met at a REIA, and wonder how they have become so successful. Despite what the "Gurus" tell you, it does take work. I guarantee that every successful investor has a routine and plans for continued growth. In this short article we'll cover what it takes to make it big in Real Estate and what other investors are doing to make it happen. Again, back to our first article "Tips For The New Real Estate Investor", we covered the fact that you need to decide that you are running a business, and real estate investing isn't just a hobby. So now that you have that mind set, now what? Have A Plan For Your Real Estate Investment BusinessEvery successful real estate investor has some sort of game plan, and certain things that they do everyday. They don't just see what the day has in store for them, or take what the wind may blow them that day. They get up with a mission, and don't rest until it's done. In our post "Tips For Becoming A Full Time Investor", we touched on the fact that you need to have a plan. One thing that wasn't touched on enough was that you really need to write things out. It helps you remember and prioritize. John Fedro just wrote an excellent post that we had to mention. He gives a lot of really good advice for not only new investors, but also for some of us investors that have been around awhile and might have lost some focus. Here are just 2 tips from his 7 tip article that we liked:
John makes some excellent points, and we really like his "Pro Tips" on these 2 points. First, continue your education on real estate investing. We regularly attend REIA's and other real estate investor meetings and we always try and take away at least 1 thing that we can learn, or implement into our business to make it run smoother. All though it is important not to try and jump on every type of new investment strategy that comes along. More on that in a minute. On his 3rd Pro Tip, we are firm believers in writing down what needs to be done in the business, from day to day operations to setting goals for the future. It's also important that once you do accomplish your daily tasks, or reach a goal, go ahead and reward yourself! It makes getting things done that much sweeter. We suggest you go ahead and read John's full article because we think it's a really good read for both new investors and savvy investors alike. Master One Form Of Real Estate InvestingThe last thing that we want to touch on is something that we see frequently with new investors. They attend investor meetings regularly and are constantly changing their strategy. This can lead to a lot of frustration and lack of being able to produce income on a continual basis. We found an article that was written by Jean Folger on Investopedia that hits on this exactly:
We couldn't agree with Jean more. We think it is extremely important to master one type of investing before you try and move onto the next. We see it all the time. An investor starts doing one thing, then hear about what the latest method is from some Guru and move onto that. Then before they make any money from that, another Guru comes along and entices them to move onto another strategy. Master one way of real estate investing before moving onto another form! In ConclusionThere is no reason to reinvent the wheel. Learn from other investors, take action, write down your goals and make things happen. And lastly, just master one type of Real Estate Investing before you try and move onto something different. If you are in the Atlanta area and are looking for wholesale real estate properties, be sure and visit our site to sign up for our email alerts when new properties become available.
via Blogger What Makes A Successful Real Estate Investor?
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The blog post Should You Start With Fix And Flips Or Buy And Holds? is courtesy of MPG Deals Fix And Flip vs. Buy And HoldWhen ever we meet people that are new to the Real Estate Investment business, we are often asked this one question, "should I buy and hold or fix and flip properties?". Well, there are a few things that you have to know and questions you must answer yourself before you choose. In this short article we will cover some info that will help you decide which path you should select. The very first thing you have to take into consideration is your finances, and the money that you are going to use in your RE business. If you have a 9 to 5 job and make really good money and have some money, 100k or more saved up, you can probably do either one. If you are an investor that has a significant amount of cash with a 9 to 5 the next thing you must consider is your skills for repairs and amount of time that you are able to devote to your investment. Time is a large factor, which we covered in the post "Tips For The New Real Estate Investor". Are you going to have time to oversee repairs for a fix and flip? Even if you have a buy and hold, it will eventually need repairs, so you will probably want to use the services of a property management company. Unfortunately, most people don't have that kind of cash put away, so their options are more limited. So let's move on to breaking it down for what we recommend for new investors with limited funds. Why Fix And Flip Investment PropertiesFor newbies that have a rather small sum of cash (20k - 50k) we always advise that you should do fix and flips before buy and hold. Why? Simple. By performing rehabs and quick turning these properties you will be able to quickly build a rather large sum of cash. Engelo Rumora just made a post in BiggerPockets.com that explains it the same way we see it:
We couldn't agree more with Engelo. We really like this model for people starting their own RE business and will really help people that are wanting to become a full time real estate investor. This could very well be an important part of creating your plan, which we outlined in "Tips For Becoming A Full Time Real Estate Investor". Another reason we prefer new investors start with fix and flips is because of how difficult it can be to find and keep good tenants. If you borrow money to purchase a rental and you don't have a tenant in it, you are loosing money! Asset Based Lending wrote an article back in February that explains:
While we totally believe in the fact that rentals can be a "cash-cow" like they outlined, we know that keeping good tenants in a property can be pain staking. High turn overs can lead to many repairs as well as lost revenue for properties being empty. Again, if you borrowed money to purchase a rental, then it will take you a long time to see real amounts of cash flow, most likely not until the property is paid off. Summing It All Up Unless you have access to ample amounts of cash, as well as a 9 to 5 job, we think it's best for you start with fix and flips. Build your cash reserves, then and only then, start using some of your cash to purchase rentals while saving some of your cash reserves for fix and flips. If you are in the market for either a fix and flip, or a buy and hold investment property, visit our site MPGDeals.com to find you next deal in Atlanta! Until next time :) via Blogger Should You Start With Fix And Flips Or Buy And Holds?
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Tips For Becoming A Full Time Investor10/3/2017 The article Tips For Becoming A Full Time Investor Find more on: www.MPGDeals.com So why are we putting up posts about news and tips for "new" real estate investors? Simple, there are constantly the big "Guru's" hitting cities every weekend telling people to get into the real estate game. So if you are new, we want to arm with you with the best information to help make your adventures in Real Estate more rewarding and successful. If you are a pro, or have a few deals under your belt, in the future we will have more posts geared towards you. In our first post "Tips For The New Real Estate Investor", we touched on you making the commitment to become a full time real estate investor as well as making the choice to treat it as a business, even if you only have one rental property. In this post we will go a little farther indepth about how to make real estate investing your "full time job" and quit your 9 to 5. Right off the bat, let's set things straight. You aren't going to be able to quit your job next week. Building a successful real estate business will take time. No pipe dreams here. However, if you are a stay at home Mom or Dad, you should be able to devote more time to your new business, depending how many children you have and how old they are :) Make A Plan For Your Real Estate Investment BusinessIf you do have a 9 to 5 job, you will have to have a plan and not just wish that someday you will be able to quit and live the dream. This was covered pretty well by Mark Ferguson on InvestFourMore.com:
There is a lot of really good info in that post, as well as a video where he explains his path. The thing we like most about his post is that he reinforces that you have to have a plan! The next thing, which is really important especially if you are the bread winner in your home is - money. How much money do you need to quit your regular job? While Mark touched on a few things in his previous article, we also found some great advice on MashVisor.com:
That is good advice. However, we know it will depend on how large your family is as to how frugal you will be able to be as well as how much you will be able to save. Here is the good news. If you are wholesaling properties, you can quickly "stock pile" some cash. Our advice is to take those profits and reinvest that cash back into your business for more advertising such as digital marketing (our favorite), mailers and bandit signs. If you have the cash for fix and flips, you will be able to create more cash even faster, provided you don't drag your feet getting work completed and have high holding costs. In ConclusionIt really is pretty simple to get into real estate investing full time, but will take some time. The most important things to do is have a plan, and save some cash! Now get out there and make it happen! And if you are looking for a fix and flip or buy and hold, check us out at MPGDeals.com
via Blogger Tips For Becoming A Full Time Investor
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The post Collecting Rents On Your Rental Properties is courtesy of MPG Deals LLC A lot of inspired real estate investors get their start with rentals. Rentals can either be a cash cow, or a nightmare. What you have to decide right from the start is that it is a BUSINESS, like we covered in our first article "Tips For The New Real Estate Investor". Get this right from the start, and you will do better in the long run. In this article we will go over the most important thing in making your rentals profitable - Collecting Rent! We are surprised at the number of people that just have tenants mail or drop off a check. This can lead to "I mailed a few days ago, the postman must have lost it", or the tenant is just to busy to bring you a check. Stop this! In this day in age there is no reason you shouldn't be taking payments on line or with some sort of system. Chris Clothier just wrote an article that talks about this and gives good reason to convert:
Chris has a lot of other good points in that article. We suggest you read the entire piece because Chris is part of MemphisInvest, and the well known Clothier family team. Now you maybe thinking, "where am I going to find a company or service to collect my rents?" Well, Sharon Vornholt (another investor whose advice we trust) just wrote an article that lists some great properties, as well as good info on choosing the right company for you:
She goes on in here article to give you 5 companies to choose from depending on your needs. Of course, you can also do a Google search and maybe find someone local to help you with the level of assistance that you need. The basic takeaway from this is that you need to catch up with the times and go digital for collecting rents. Whether you do it on your own with a credit card machine, an online service for collecting rents, or use a full service property manager. In the long run, it will help make your life easier by not having to worry as much about getting paid next months rent. If you are in the market for an investment property in or around Metro Atlanta, be sure and visit our site MPGDeals.com to sign up for our early alert emails for when properties become available :) via Blogger Collecting Rents On Your Rental Properties
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We don’t know how far along you are in your own Real Estate business. We are often approached by people wanting to get into the game of RE Investing and they don’t know where to start. There are a few things that will determine where you will be able to start. The most important being your financial situation.
Some people that we meet are total newbies and have no savings whatsoever. If this is the case for you, then you need to start wholesaling properties first. This will allow you to build your cash reserves so that you can move on to fix and flips, and then buy and holds. Once you have 10 t0 30k saved up, you will be able to do your first fix and flip with the help of a hard money lender, depending on the size of the rehab. There are a lot of “Guru’s” out there that will charge you an arm and a leg to learn how to start wholesaling properties. Truth is, there is a lot of great free information across the web to help get you started. Here are a couple of examples of some good videos that explain how to Wholesale Properties so that you can be on your way to making a really good living in Real Estate:
Cody gives a pretty good break down of how it works. Kent Clothier is also another great source for learning about Real Estate Investing:
Now you know the basics of wholesaling properties. The next thing you can do to really get you business going is to join your local REIA (Real Estate Investor Association). If you live in or near a large city, chances are there will be several that you can join. Every REIA we have ever attended has been a wealth of information! You will almost always be able to find other investors that are very busy with their own business and will be more than happy to help you steer you in the right direction to get started. You can probably also find an investor that will be able to coach you at a far better and reasonable rate than some of the National “Guru’s”. It’s really up to you, and most of all, Take Action!
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Tips For The New Real Estate Investor9/15/2017 Tips For The New Real Estate Investor was first seen on http://mpgdeals.com Are you new to the real estate investment business? Don't know where to start? Well luckily for you, you are in the right place to learn a lot about real estate investing. Through the coming months we will continually have new content with some of the best articles to learn how to get into, maintain, and grow your real estate investment business. The very first thing you need to do is make the choice of whether or not you are running a business, or is it just a hobby? If you are serious about quitting your job and only investing, and even if you are just trying to gain some long term wealth, you need to treat your endeavor like a business. If it's just a hobby, better find something else because if you don't commit to it, you are likely to loose money. The fact of making and treating it like a business was just covered in an article that we found and has some good points:
Good article, and it also goes on to talk about knowing your weaknesses and strengths, which is a must no matter what business you are in. The next thing you have to know is how much time are you willing to put into this business? It's not like the TV shows where you are going to hit it big on your first deal. It will take time. No matter if you are marketing or have a realtor, you still have to look at properties to make judgement calls. Time will be a big factor no matter if you are purchasing properties for buy and hold or fix and flip, time is a precious commodity. Akron Beacon Journal just published more on how time is a factor:
Good reading, even though the article is really only geared towards rental properties. They also go on to talk about how take into consideration your personal abilities, the size of your first investment as well as additional costs beyond the purchase price. So as you can see, there are a few things that you need to consider and commit to before deciding on jumping in on the real estate investing band wagon :) However, if you are committed to the cause, then real estate investing could be very rewarding for you! If you found this article somewhere besides our main site and are looking for deeply discounted investment properties in and around Metro Atlanta, visit our site MPG Deals. via Blogger Tips For The New Real Estate Investor
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If you don't know us, Real Estate Investing is my family's passion. It's a great way of life. At times it allows us to do the things we want and visit places we want. However, there are times when it is work, work, work! It’s not all like the TV shows make it out to be. Just like any other business, it requires your time and effort to succeed.
We are constantly being asked what tips we can offer for new investors. Well, there are a lot! If we were to sit down and make a list it would take a day or so, and then we would remember even more in the coming days. I just came across this article today from Forbes that has a few of those tips that we would offer and more: "1. Don't Be Too Eager When looking for your first investment property, it's critical not to "chase the deal." I often see first time investors overpay for property because they are so excited and want to get started. Always know your numbers, and never exceed the right purchase price during the excitement of an auction or when negotiating with home sellers. - Jeremy Brandt, WeBuyHouses.com 2. Spend Time At The Property Sit in your car outside of the property from 6 a.m. to 9 a.m. and 9 p.m. to midnight before you commit to buying it. You will see what is really happening at the building and in the neighborhood during those times. - Lee Kiser, Kiser Group 3. Check The Property's Value Anytime you purchase a property below the County Appraisal District, chances are you have hit a home run. Of course other factors come into play... repairs, updates, etc. However, follow this method and you will have the winning score. - Angela Yaun, Day Realty Group 4. Buy With Your Head, Not Your Heart First-time investors don't have the luxury of purchasing an investment property on a "gut" feeling. In fact, you probably need to buy on a bigger margin to account for all the things you know, the ones you don't know and a buffer above and beyond that. Buying investment property can be expensive, so one or two bad choices can take you out of the game. Only buy if the numbers really make sense. - Tracy Royce, Royce of Real Estate" Read The Full Article “How To Ensure Your First Investment Property Isn't A Bust” https://www.forbes.com/sites/forbesrealestatecouncil/2017/08/14/how-to-ensure-your-first-investment-property-isnt-a-bust/#6296db38642f There is a lot of good information in that entire article. Stay tuned for more info on what’s happening in the world of Real Estate Investing! |