Homefinding Book

Many people are aware that flipping or wholesaling real estate can be very profitable but they do not know how to carry out such a business. When you wholesale a house, you do not become the owner of that property. Hence, it is a no-risk business and that is why so popular among investors all over the world. Flipping properties and wholesaling real estate both refer to the same concept. All you have to do is follow some steps and make big money out of this simple real estate investment technique, which is different yet very easy and fast. Let’s find out more.

You might be wondering how one makes money on a property they do not own. This is exactly what we are going to find out in this article. First, you have to locate a “flip”. This means you have to find a house on sale for flipping which is in need of renovation and can be bought cheaply. Next, you do it up to increase its value and resell it quickly to gain maximum profit. Usually flippers look for run-down or foreclosed houses to buy them at low cost. Finding a property that investors will be interested in is usually the most difficult step in wholesaling.

The only difference between wholesaling real estate and buying properties the normal way is that a wholesaler does not actually buy the property but put it under contract with a contingency. Real estate investors are always looking for wholesalers that have good deals under contract. This way they can reduce their work and still make money. And for wholesalers who want to enter the business of real estate but do not have enough capital, can make money by simply finding properties for flipping, renovating them and selling them to more serious investors in a short span of time.

However, the catch here is that if you want to become a successful wholesaler, you need to find good deals. This involves thorough calculations and estimates to determine if there actually is profit in a particular deal. Serious real estate people are experienced investors who would tell you in 5 minutes whether your deal is a good one or not. So, first you need to educate yourself about wholesaling real estate or flipping properties and then jump into such a venture. You will need to look into many properties in your area to compare them in terms of market value and other features.

If you want to become a full-time wholesaler, then it is recommended that you build your list of buyers. This list will be composed of experienced investors who buy and sell properties on a regular basis. It is also a good idea to join a wholesalers’ network to learn what other wholesalers are doing and what kind of properties they are buying. Next, start looking for properties online and post ads to let people know that you are in need of a distressed house and will buy it immediately. The final step is to lock down the property and flip the contract to earn your commission.

New investors usually come with many expectations when they invest money in real estate. Nowadays many internet gurus can be found bragging about their experience in the real estate that made them rich overnight. Some people believe their stories and fall in their traps. However, in reality it is not that simple or easy as it looks. Although if you have money you can easily find properties on sale, renovate them and resell them again at an increased value to gain profit. But sometimes you are bound to sell your recently bought property at a decreased price, which means a loss of thousands of dollars.

It is advisable to set goals for experienced as well as new investors so that they know why they are buying and why they are selling. Your goals allow you to move systematically and set a road map to follow. If you do not have a map, you will soon be lost in this huge and never-ending haze. It is also a good practice to write down everything on paper. If you can, seek professional help to learn different aspects of a business transaction including legal issues, maintenance costs associated with houses and buildings, and skills required to handle such a huge project.

New investors can easily fall in traps set by bad buyers or sellers. Do your homework before you actually risk your money in real estate. Due diligence is another important step which should be carried out before making the final decision. This involves thorough inspection of the property you are about to buy among other things. Although there is a lot of easy money involved in flipping properties or wholesaling real estate, no one becomes rich overnight by simply deciding to be a wholesaler. Special skills are required to find properties that can actually be sold to investors in a short span of time.

Always make a plan before you invest. This is best done before finding a property you want to buy. You should know what kind of a property you are interested in before you start looking for it. The plan should include the total income you will generate when the transaction goes according to your plan. It is a good idea to hire a Realtor to help you find run-down houses or foreclosed properties, but do not trust every other Realtor that crosses your path. Also, have confidence in your own judgment instead of relying completely on the advice of your agent.

Sometimes real estate investors are in a hurry to make money so they do not usually keep their good deals. If you think you have found a gem, do not sell it right away. You might get a chance to sell it later on at a much-increased price. If you have money and want to invest it in real estate, do not defer your plans. The earlier you buy a property you are interested in, the better. Finally, find sellers who are in desperate need of your houses or properties by advertising and marketing effectively through print media and the internet.

Some people say that in real estate business you only succeed by luck. This is just to cover up their own mistakes that they made along the way, which landed them in the trap. Although hard to pinpoint when the business is underway, once it fails to bring you profits you actually start counting your bad moves. It is also true that you learn by experience and nothing anyone says would keep you from trying a certain tactic, it is always wise to predict the outcome of your actions before starting the endeavor. The best way to avoid making mistakes in real estate investing is to know the traps and then taking precautions to evade those pitfalls.

To keep abreast with your competitors you need to learn all the latest technology and tactics they are using for marketing and other tasks. Not having a website to reach your customers easily and without spending a lot of money is definitely a mistake in today’s information age. People nowadays expect every advertisement to end with a website address they can log on to in order to collect more information about a business. If you are merely providing a telephone number, which is not available all the time, you are taking chances to lose your customers.

Do not invest in real estate if you have not yet made a long-term plan. Just because you got a good deal does not mean you should buy a house and then end up being confused about what to do with it. If you really want to make money in real estate then first chalk out a plan for your next move. See if it is going to be a profitable attempt and not the one that will make you lose money. Also, keep in mind that in real estate, you risk your money and you do not become rich overnight.

You do not make money in real estate simply by buying and selling a home or property. Proper analysis is required to see if such a transaction would actually generate profits. Sometimes because of wrong calculations, investors end up paying too much for properties and then not making enough money through sale of those properties simply because they failed to analyze the situation. Due diligence is important in order to know the market conditions and then making an investment plan accordingly.

An important step that investors usually overlook or neglect is to calculate the total cost of a real estate investment. This includes taxes and maintenance, which is required in most cases. If you think you will be able to sell a house without first addressing its shortcomings, you are making a mistake. There are many other alternatives available to home buyers out there and they will simply walk out on you if you are not offering much.

Considering what your customers need instead of focusing on making money is the key to be successful in real estate investment. People only buy from those whom they trust, and if you fail to build that trust, you will soon land in the dumps.

  Thanksgiving Treats

Oreo Turkeys

These are cute little turkeys made out of oreo cookies and candy pieces. They are even easy enough for young children to help make and look great on the holiday table.

Requires:

For each turkey:

• 2 Oreo Double Stuff cookies

• 1 malted milk ball (like a Whopper)

• 4-6 candy corns

•  tubes of green (or blue) icing for eyes and white or brown for  ”glue”

Directions:

Less than 15 minutes preparation time, and fun for the family. Because,  after all, Thanksgiving is all about Family. We can certainly take a little time out our Real Estate days to be with Family.

• Twist 1 oreo apart. The creamy part  will be the base. 

• Eat the other half as this will reduce your Holiday stress.

• Push the whole oreo, on its edge, into the cream base, so that it sticks up to form part of the  tail. (see picture)

• In front of the oreo, on its side, place a malted-milk ball for the turkeys head.  Use some white icing as glue.

• Place candy corn, points down, in between the oreo cookie that is standing on it’s side to form the feathers.

• Use more icing to attach another candy corn to the malted milk ball to form beak.

• Place dots of Green incing on the malted milk ball to form eyes.

Enjoy!

Recipe From:

Louise Grinsell

Licensed Real Estate Salesperson

www.RealtorsGasClub.com   Save 20% off Gas

Getting a loan is not big deal in the present market. But the type of loan for which you are trying and the security you are showing to get that loan matters a lot. There are two types of loans available in the market. One among them is unsecured loan. Here no security should be submitted to the lender or to the bank. But the drawback is high rates of interest and less repayment period. In case of secured loans you can get more loan amount very easily. Interest rates will be very low. So when you decided to keep your home as collateral you should upgrade your home to get more equity.

Upgrading your home frequently will increase the equity value of your home and this helps you get loans easily and when you plan to sell your home than you can get high price. If you like to sell your home for good price then the following steps will help you in upgrading your home.

Exterior appearance

First thing is the exterior look of your home. Because first impression is the best impression and the client who lies to purchase you home will first have a look at the exteriors. Get your outside walls painted so that it adds a rich look. Improve the garden surrounding your home. Try to improve the broken compound and remove the weeds surrounding your home.

Door mat and drainage facility

If you are using the same door mat for the past years then replace it first. Purchase a costly mat that attracts the look of the person entering the home. Maintain the drainage facility in good condition. Because whatever improvements you make to your home will be affected if your drainage facility is bad.

Walls and fireplace

Power washes to the exterior walls and interior walls gives fresh look to your home. If you possess a brick fireplace that was not being used for many years then definitely the bricks might have got stained with soot and creosote. So clean the soot with some wet rag followed by fireplace cleaner that removes creosote. This gives fresh look to the fireplace. Fireplace adds good value to your home.

Cabinet remodeling

Change the door handles and cabinet knobs to the recent technologies used. If you stick up to the old models then your homes equity will be stuck down at low level. Change the kitchen drawer handles too. Stains on the cabinet of your kitchen will affect a lot. Purchasing new cabinets will charge you more money and consume more time. So use rich quality paint to paint the cabinets of your kitchen. Use white color while painting the cabinets as in future the buyer won’t face difficulty to change the color of cabinets.

Change fixtures

If you possess old outdated fixtures then change them immediately. Change the sinks, towel bars and tiles of your bathroom so that it gets modern appearance. Change the ceiling light so that the brightness of your bathroom increases.

Entrance room

Install some wooden models to your walls in the living room, entrance room and to your bed room. Mount new ceiling fans in all the rooms. Freshen up the walls of the entrance room. Improve the windows of your entrance room and change all the fixtures of your entrance room.

Real estate buying and selling involves a great deal of research and paperwork. Most people decide they need the assistance of a real estate agent or Realtor in order to sell their home or property profitably. However, it is possible to sell your property without having to pay a real estate agent. With hundreds of sources available online telling you the step-by-step procedure of selling your home, you really don’t need the help of an agent. This way you can not only speed up the process but also save a considerable amount of money. However, at the same time you also need to understand that you will be doing quite a lot of work, so be ready for that.

Among other things, a real estate agent gives you advice on legal issues regarding the procedure of selling property. Also, if you decide on hiring an agent he or she will be handling all the advertisement of your property for you. In the absence of an agent, you have to handle all these matters yourself. Correctly pricing your home is an important step in getting generous and acceptable offers from potential buyers. There are websites that help home owners to determine the value of their property through market analysis. You can also find out what other sellers are asking for in your own neighborhood.

A Realtor brings potential buyers to your home to have a look around. Nowadays people use internet marketing tools to effectively market their home for selling. Internet allows huge exposure and may also help you find customers who really want to buy your property and are ready to extend a generous offer. Some local newspapers also place advertisements on their websites, so be on the lookout for such options. When customers decide to pay you a visit, make sure your house is in a good condition and there are no shortcomings that you haven’t mentioned in your ad.  

Keep in mind the features and qualities you would look in a house if you had to buy a new one. Prepare your home accordingly and make it presentable to a wide range of customers. If possible, do list down some extra features in your ad that would make your home stand out from the rest. Writing effective and easy-to-understand advertisements can help find reliable and munificent buyers. They can also help find customers quickly, which in the absence of a Realtor is something difficult to achieve.   

You need to be aware of the Fair Housing laws to avoid discrimination based on gender, race, religion and disability. Moreover, the sales contract has to be prepared by an attorney, so search for a competent lawyer beforehand. This helps simplify the process and also guarantees a smooth course of action till the final paperwork. Last but not the least; choose your buyer after careful investigation. Don’t trust everyone blindly and research on your potential buyer’s credit score and whether their case has been approved for a mortgage before signing the contract.     

These steps can help you sell your home valuably without having to pay a real estate agent. 

Real estate experts tell you that investing in rental property can be both vastly risky and highly profitable in the long run. Successful real estate investment can be carried out by finding the right properties to buy. If you have decided to invest in rental property, you need to look into some serious matters that if ignored may get in the way of your profits. If you are buying a property which is already occupied by tenants, you will not be able to renovate or redecorate it to increase the rent. Furthermore, you also need to decide upon the type of mortgage loan to acquire in order to buy the property.

If you are just starting off in the real estate business, you will most likely need a loan to pay for the property you want to buy. For the first-time buyers it is advisable to stay on the safe side by purchasing property that can be easily paid for through manageable loan. Don’t pay heed to get-rich-quick plans offered by real estate gurus who are only looking for some way to make money. Be realistic and don’t get involved in something you cannot handle easily. So, if you want to invest in rental land, look around for properties that you can actually afford.     

Another matter to consider is whether you need a vacant property or the one which is already occupied. As a landlord, you are required to look after your property and perform repair and maintenance work to make it livable for your tenants. Will you be able to cover the maintenance charges along with monthly mortgage payment? What if your property is vacant and you are not getting any rent to pay for the mortgage? You need to calculate other overhead charges and see if your income is sufficient to cover all these payments.  

In the first few years following your purchase, you may have to compromise on low monthly rent and high mortgage payment. However, with the passage of time the rental property becomes profitable because the rents go up and the interest rate remains the same. However, to keep track of your investment you regularly need to analyze the value of your rental property. When the value of your property goes up, you have two choices: either raise the rents or sell the property. This is a crucial decision and should be made after careful research and investigation.  

Also, make an intelligent decision regarding the rental rate. This depends on whether you will be providing repair and maintenance yourself or the tenant will have to pay for these charges. In addition to this, your tenants may also demand replacement of certain items over a period of time. You need to know that if your land is not producing enough cash to pay off your monthly mortgage and other charges, you could lose a considerable amount of money by investing in rental property. Keep all these points in mind and make a sensible decision regarding purchase of rental land.

In order to effectively invest in real estate, one needs to learn about the vocabulary which comprises of often confusing and unclear terms. Many people are not clear about the difference between land trust and land contract and this may lead them to incorrectly assess their situation in the context of asset protection and estate planning. A land trust is a nonprofit organization used by real estate owners to keep their possessions private. Land contract, on the other hand, is an agreement between the buyer and the seller in which it is stated that the seller will provide financing to buy a property and the buyer will repay the debt in monthly installments.

A land contract is essentially just like any other real estate contract. The only difference is that in other contracts the seller is not concerned about where the money is coming from. Moreover, in such a contract the property remains in possession of the seller until all payments have been made by the buyer. On the other hand, when third party lenders are involved in a real estate transaction, the property is mortgaged property and the lender has right to foreclose on it if the buyer fails to make agreed upon mortgage payments on time.

Land contracts provide real estate investors with the opportunity to buy the rented or leased property by the end of the term. However, to initiate the process of a land contract, the buyer has to pay an initial down payment which is not required in the case of rented property. Monthly installments are calculated just like mortgage payments along with interest. Although buyer’s equity increases with each loan payment, the seller still holds legal title to the land. Since there are no third parties involved in this transaction, the buyer and the seller are free to set their own rules regarding repayment of loan and other matters.   

Land trusts are designed to benefit both the real estate owners and those organizations that hold land for its conservation. The aim of conservation trusts is to protect natural and cultural land and to keep its purchase price off public records. Since the value of such a property is kept private, property taxes are also lower. In a land trust agreement, the organization that holds ownership of a property is known as the trustee. It’s the responsibility of the trustee to maintain this property and to look after it as they are the legal owners.

Both the land contract and land trust can be used to purchase a property with accessible financing. The loan is preserved and converts itself into equity over a due course of time. Properties that are not in use by real estate owners can be taken over by community trusts to provide affordable housing to people who cannot afford to buy their own home. Land trusts strive to protect public land and to preserve historic landmarks, parks, water areas and gardens. There are nearly 1200 land trusts in the USA which either purchase public land or acquire it through donations to safeguard its importance.

Real estate investing has made and broken many millionaires over the past two decades. There are few methods of investing that can match real estate for growth potential and income earning possibilities. You have plenty of options to explore when it comes to real estate investing, which makes it appealing to a wide range of investors.

Research

The first step in a successful real estate investment is research. You need to begin by researching the different types of real estate investment types so that you can decide if you are interested in rental properties, flipping properties, commercial real estate, or countless other types of real estate investments. Get a head start on your research by checking out this free special report on creating wealth by Robert G. Allen.

Once you’ve decided on your investment type it is time to move on to researching property listings. No matter what type of investment real estate you are interested in there are likely to be plenty of opportunities available in your community or the community in which you are buying. The key is in finding the right property at the right price to bring you the greatest possible profit potential.

Take the time to learn about specific properties, pros and cons of that property, growth in and around the property, rental history of the property -if you plan to rent, and property values of other comparable properties in the area. This information is what will help you make the right decision about whether a property is a wise investment, but remember there is always risk involved in real estate investing no matter how much research you do.

Create a Plan

Real estate investing is a business and all businesses need a plan in order to become successful. Take a little time to create a business plan before you get started. Some things you will want to include in your business plan for your real estate investments are your long and short-term goals. Are you planning on only buying one property or one type of property? Are you looking for a little cushion for retirement or do you want to make a livable income from your real estate investment? How do you plan to reach those goals?

Remember Rome wasn’t built in a day. It took years of consistent and concentrated effort to create an empire and to manage that empire. You need to have a plan not only for obtaining the real estate you are investing in but also for managing it once it is yours. Are you going to pay property managers to handle the day to day or are you going to be a “hands on” real estate investor?

Having a plan is more than simply having a road map for success. It is part of the process of creating a mind set for success. Whether your goal is a Fortune 500 worthy real estate investing enterprise or to create a little cushioning for your nest egg you are more likely to realize your goal when you have a well throughout out plan of action for doing so.

Take Action

All the planning in the world will not amount to anything if you never venture out and do the things you’ve been planning. Once you’ve done the research and created a plan the next step is to take action. You need to either arrange the financing, find a partner, or gather your own resources to invest and make your very first real estate investment.

One thing you need to keep in mind during various ups and downs of real estate investing is that the “how” of real estate investing is rarely as important as the “why”. If you focus on why you are doing it, you will find that an excellent foundation for success has been made. Don’t forget to visit Robert Allen’s website for a special report to help you learn the secrets of being prosperous.

With the cost of gas, diesel, and additives constantly rising, I have been searching for real alternatives to save money at the pump. Most of my research comes up with rebate deals (too much work), coupons requiring credit card numbers, Internet or phone activation (again - too much work), and coupons that require you to complete surveys. Most of these are marketing programs that have no merit as you are working too hard for a small, one-time, discount, with many restrictions.

The only program that I found to be legitimate, easy, and productive is the GasMaster pre-paid Visa cards, only available through the GasMaster distributors. This program is big in Florida, and uses a concept that Costco, BJ’s, and Sam’s discount clubs are famous for. You join the discount club for $159, and then you are entitled to buy up to $300 per month of gasoline debit cards.

The Gas Master Discount Club offers 20% Off gasoline through prepaid VISA gas cards.  Savings are up front. In other words, you pay $80 for a $100 card  but  will have the full $100 to use at any gas station and  convenience store attached to a gas station. Pay $240 for a $300 card, etc.

The prepaid gas cards can be used at any gas station nationwide that accepts the Visa logo. The discount club also offers savings on hundreds of other products and services at their online mall.

Remember, this is only available through authorized distributors, and everyone wants to save. There is still room for distributors if you want to supplement your RE income. It’s great to do part time.

Visit www.RealtorsGasClub.com which will take you my page on the GasMaster site to learn about buying gas at 20% off.

This program is big in Florida, and needs promotion throughout the US; currently it is in operation and growing. Credit cards (like Discover) offer you 5% on a credit purchase, BJ’s and MasterCard programs offer about 2% on general purchases, but GasMaster offers a true 20% discount on pre-paid cards.

Non-Realtors can join as well, making the savings available to anyone who drives for a living. Feel free to share with family and friends.