32

Investor QuarterlyTM June 2016About the EditorPete Asmus is known as The ROi Concierge He is a successful Real Estate Investor sought after Strategy Consultant Capital Aggregator Keynote Speaker Mentor Award Winning Radio Host and the Author of multiple books on Self Help and Real Estate

Pete is also the Visionary of The Turnkey Investor

Building a LegacyThose of you who have been following us for a while and especially those of you who have read our eB-ook The Stock Market Refugee know we are pas-sionate about helping you grow both your short term income and long term wealth

We employ what we call our 2-step system to create financial freedom and multi generational wealth

[Diagnosing Inefficiencies]How to Generate the highest returns Possible on your Real Estate Investments

Warren Buffett has created an incredible legacy along with tens of billions of dollars by finding inefficiencies in markets and businesses Buffett who is also one of the famous real estate investors in history and recently converted to hosting shareholder meetings online

REAL ESTATE SUCKS [and 90 of Investors Fail]Isnrsquot that the truth Depending on who you listen to we are either in a Horrible market about to crash or at the moment you will look back on and say ldquoWhy didnrsquot I actrdquo And it can vary from Seminars to Exporsquos to REIArsquos and everyone has a golden shovel So back to the question which is true The answer is BOTH

Index4

7

8

10

12

18

21

23

INVESTORQuarterlyEditorPete Asmus

PublisherThe ASMUS Grouptrade

Circulation620000

Website wwwinvestorquarterlycom

3

page 4

page10

page 12

page 21

About the Editor

Dear IQ Reader

Private Lenderrsquos Underwriting

Workshop

Building a Legacy through

Generational Wealth

[Diagnosing Inefficiencies]

Why Multi-Family Apts are

CRUSHING the Market

Real Estate Sucks

[and 90 of Investors Fail]

iQ [Expert Insight] Pitfalls of

National Criminal Checks

THE TURNKEY INVESTORrsquoS - CREDIT SOLUTION

Click to watch

54

Pete has spent the last 10+ years learning teaching speaking and searching for the perfect investing system for himself and to be able to offer investors just like you Over the years hersquo has experienced both failures and success and learned from both Because of this he has made connections and built KEY relationships with the top investors operators and deal makers in the industry Because of his connections he was able to create a sustainable Turnkey System that actually does what he believes others wanted or hoped to facilitate

After PERSONALLY TRAINING with leaders in the industry you probably have heard of

Petersquos real estate knowledge is extensive encompassing mobile homes to residential real estate and notes to commercial buildings he also owns several of the top real estate groups on LinkedIn (Totaling almost half a million investors) Petersquos Passion is Partnering Private Money with projects getting you to think differently and giving you the resources to take action now Hersquos personally trained 1000rsquos of students for these Industry Experts

He also was able to see the biggest problem facing new investorshellip Feeling comfortable enough to start investing and solved it with the UNDERWRITERS Workshop

ABOUT THE EDITORPete Asmus is known as The ROi Concierge He is a successful Real Estate Investor sought after Strategy Consultant Capital Aggregator Keynote Speaker Mentor Award Winning Radio Host and the Author of multiple books on Self Help and Real Estate He is also the Visionary of The Turnkey Investor and most important Father and Husband

4

76

Are you searching everywhere trying to find a solution for InvestingOverwhelmed at all the options and possible directions Wondering which Strategy or Investment option is right for youWant to avoid the hucksters and hacks of the industry

My name is Pete Asmus and Irsquom the Editor of Investor Quarterlytrade If you answered yes to anyone of those questions this publication is for you The Investor Quarterlytrade is the best and most accurate source for ongoing breaking news and information in the Investing world focused on Real Estate

As an investor myself I was constantly looking for resources that were real not just smoke and mirrors or agenda based This publication is a way to peer into the lives ideas and strategies of successful investors Our focus will be in the Real Estate arena but it wonrsquot be restricted to it This is about Investors period whether that be in stocks bonds businesses or real estate We are here to find the successful experts in a field and find out how they did it or how we can copy it

This digital Magazine will allow you to quickly ascertain not only if you like a strategy but if you like the individual who is doing it or teaching it We have the ability with Investor Quarterlytrade to not only provide top quality articles but because itrsquos a digital magazine we have the ability to add Audio and Video files

The Turnkey Investor will be giving us lsquoInsider TIPSrsquo or an lsquoExpert Insightrsquo in each edition along with other top contributors from around the country in the Real Estate Industry

bull Find the best Resources

bull Join the best Groups that are getting consistent results

bull Engage with the best Experts

bull Implement their Successful Strategies

bull Stay up to date with the most Relevant Breaking News

bull Take advantage of all the best offers in Real Estate Investing Coaching and Education

Sign up right now because itrsquos still FREE

Dear IQtrade Reader

98

We Have the TOP underwriters in the country that are sharing their SECRETS We are PULLING BACK THE CURTAIN to show you how to build Genera-tional Wealth exponentially by making better invest-ments

ldquoIf you donrsquot have time to completely rebuild the capital you are investing with AND you want to build Generational Wealth [the RIGHT WAY] then this is YOUR STEP 1rdquoGet more Information and Register for event at theunderwritingworkshopcom

-WHAT | WHEN | WHERE-

The Private Lenders Underwriting Blueprint Building Generational Wealth [ULTIMATE REI Hacks] is a Hands On Workshop in Temecula Ca Check on Site for dates

This is the Perfect event for any investor wanting to deploy their funds on a project or someone looking for the blueprint to getting 100 funding on their deal in California or their market

Learn the Secrets to Underwriting from Recognized Industry Experts who have deployed over 100 mil-lion dollars on Real Estate Projects

Here is whatrsquos included 1 In Depth look at our system and how we underwrite each deal for Security Probability and Profitability

2 One on One help to understand how to apply this in your market to your deals and increase your profit margin while LOWERING your brain damage

3 We have Underwriters here to speak about how to find projects and underwrite in any market Deals Destine for Profit 4 We will have current ldquoLIVErdquo deals and show you how we underwrite the property and then raise the money for it that day

5 Practice underwriting deals we have aready done or passed on

7 Limited Seating so reserve your spot today Only $149 to attend

Schedule 8-9am Registration 9-930 am Intro Outline of day intro to speakers and how to get the most out of it 930-10am Basic 101 Terms Structure and Founda-tion 10-11am Batter Up Step ONE- Documents Re-search and Ninja Moves 11-12pm Turning up the heat How to analyze like a Hedge Fund 12-1pm Lunch (Provided) Systems Software and TechnologyThe perspectives 1-2pm Farming for Gold Underwriting Q and A- Ask Us Anything About gt Hard-Money lending gt Construction Costs gt Raising Private Money gt Aggregating Capital gt Area or Deal Analysis gt Deal Structuring

2-3pm Fund it or Skip it The psychology of the deal and personality of a project

3-330pm Recap of the day and what you can do moving forward

We arenrsquot up-selling anything at this event We are simply showing you what we do and how you can copy it or leverage off it Either way itrsquos your choice and we are happy to sup-port you in any way moving forward

Register HERE

This Workshop will be a hands ON approach so be prepared to engage with us We limit the amount of tickets to ensure we are able to spend time with each attendee

Check out our new eBook

HERE for FREE

ldquoI came to Pete Asmusrsquo workshop the Private Lenderrsquos Underwriting Blueprint to sharpen gap funding investment deals and avoid common pitfalls Great Workshop I highly recommend it to investors irrespective of their level of experience Now I can sleep better at nightldquo

The Ultimate REI Hacks from Industry Leading Deal Makers

The Private Lenderrsquos

UNDERWRITING Workshop

1110

The Recipe for Bulding a Legacy

Those of you who have been following us for a while and especially those of you who have read our eBook The Stock Market Refugee know we are passionate about helping you grow both your short term income and long term wealthWe employ what we call our 2-step system to create financial freedom and multi generational wealth

Step 1 or option 1 is short term high yield investments collateralized with real property to grow your current income or retirement quickly

Step 2 or option 2 is growing your long term wealth and creating true financial freedom by investing in great Cash Flow properties with real Turn-Key convenience and ability to scale

Option 2 is what this short series of articles will be focusing on You will learn exactly how to successfully build income and wealth in Real Es-tate that not only provides you with an amazing lifestyle and tax advantages but that also has the potential to secure your family for generations to come

Letrsquos get started

Cooking up a winning real estate investment portfolio starts with selecting great markets It is the broth your neighborhoods property and team all float in And while itrsquos certainly possible to succeed in lesser markets itrsquos definitely a LOT easierand more funto start with a winning market

My goal in these next few pages is to share my personal recipe for picking a winning market This is the distillation of the many lessons I learned the hard way through over 1000 properties across multiple markets Irsquoll do my best to keep the blood sweat and tears from splattering all over the pages

The Main Ingredients Every great recipe starts with great main ingredi-ents Here are some that Irsquove found ESSENTIAL to success

Your Team Unless yoursquore Superman (or Wonder Woman) yoursquore going to need help to build and manage a winning real estate portfolioeven if yoursquore local And if yoursquore a long distance landlord your team is even MORE important Itrsquos tempting to buy the property first then go look for a team But thatrsquos a mistake Now contrary to popular myth there is an ldquoIrdquo in team It stands for Income from your Investment And your team is the key

Building a Legacy through GENERATIONAL WEALTH

by Ivan Oberon

Start with a GREAT team

Your team will help you bull Buy in the right neighborhood bull Buy at the right price bull Avoid buying a ldquomoney pitrdquo bull Quality rehab done on time amp on budget bull Be compliant with local ordinances (city certifications landlord law etc) bull Find and keep great tenants bull Maintain the property

Even though yoursquoll need a lot of different players on your team itrsquos not as hard as it sounds Often just one or two great team members can connect you to everyone else yoursquoll need

Keep in mind that a GREAT team can make a good market great for you Conversely a weak team can make a great market a terrible experi-ence

Overall Cost of Living The rent you collect from your tenant is only one part of the tenantrsquos cost of living If everything else is very expensive relative to wages it makes it harder for your tenant to make ends meet in-cluding paying you

So itrsquos a smart move to pick markets where working class people have affordable energy healthcare taxes groceries and entertainment Itrsquos also smart to pick markets where the cost of housing makes sense for both you AND your tenants

For your tenants housing shouldnrsquot take up much more than 30 of their gross income Also a great area doesnrsquot just give your tenants a good COST of living it also provides a good QUALITY of living So consider things like shop-ping entertainment safety schools etc

Quality tenants will be attracted to quality areas they can afford

Ivan Oberon is a seasoned Real Estate Investor Certified Speaker Trainer amp Coach Award winning Radio Show host Author (the Stock Market Refugee) and family man Ivan has been involved in over 300 transactions throughout the US and works with very successful turn-key property operators in Kansas City Missouri and the greater Dallas Texas and surrounding mar-kets

To this day 100 of his transactions have been completed with private investor funds making him extremely experienced at working with private money [bookIVANcom]

13

ldquoIrsquod be a bum on the street with a tin cup if the markets were efficientrdquo - Warren Buffet

Warren Buffett has created an incredible legacy along with tens of billions of dollars by finding inefficiencies in markets and businesses Buffett who is also one of the most famous real estate investors in history and recently converted to hosting his shareholder meetings online polishes these gems by injecting new capital and enhancing management

By becoming adept at identifying inefficiencies in a marketplace putting the right management in place and leveraging technology can take advantage of more opportunities to prosper

By Dr Amir Baluch MD [ Investor | Entrepreneur | Mentor ]

1213

[Diagnosing Inefficiencies]How to Generate the highest returns Possible on your Real Estate Investments

(Cont on next page)

1514

Additionally US property values have continued to fluctuate over time due to changing demands even if the property doesnrsquot undergo any changes To date US real estate has always gone up in value even though there have been fluctuations

Short-sightedness and inefficiency in predicting these changes cause some to sell low Yet those that understand the data trends and factors involved have the ability to reap windfalls in equity by acquiring these assets simply with good timing and good negotiation skills

Most investors donrsquot understand the dynamics of different types of markets and what factors dictate their demand Some may be hit hard for extended periods of time due to major shifts in the economy Think Detroit There are other markets like Miami or Key West which are more driven by overseas economics which touch the main consumers to international investors versus US markets which may rely on local jobs and affordability to local blue collar workers

Access Itrsquos all about Who You Know (and Knowing Where to Click)Another major inefficiency is the lack of information in the debt market Lenders and investors rely heavily on relationships for opportunity spotting deal flow and comfortability in extending credit On the other side of the deal asset owners have limited options for capital Theyrsquove often relied on broker-fed funding options rather than seeking

How much is that Asset WorthOne of the first things that intrigued me about real estate was the unique opportunities available to achieve high returns with the added advantage of being able to control your own asset values Running the numbers it seemed the most obvious and common sense approach to outperforming the performance of my stock market portfolio

Stocks have proven highly inefficient for consistently generating reliable high net returns and value when you need it Many advertise being able to lsquobeat the marketrsquo Yet when it comes time to invest the most experienced stock pickers on the planet including Buffet will admit they really donrsquot know what is going to perform Aside from the myriad of fees hyper-volatility today stocks appear to fluctuate far more based on emotion than their real fundamentals This works well for those that have billions and own major media firms and can influence the masses It doesnrsquot work so well for the rest

Real estate is also considered an inefficient market Buyers and sellers often make decisions based solely on their respective circumstances and having little if anything to do with the market at large Yet real estate also provides a tangible asset and one which owners can control the value

of by managing the fundamentals themselves

Another factor is that the real estate market allows you the ownerinvestor to do things that would increase the value of real estate through management Thus often enough a skilled investor could negotiate the purchase of a property for $75000 within a short time and with $5000 or so worth of management and marketing expenses or physical improvements could resell it for $130000 That creates a gross profit of $50000

End Value ndash Purchase Price

ndash Improvement Expense

= Equity Position

$130000 ndash $75000 ndash $5000 =$50000

In this scenario the total investment of $80000 produced $50000 of equity for the investor which is a 62 return This type of a transaction is nothing out of the ordinary in real estate

14

multiple lenders and letting them compete With access to deal flow and capital separated and in the hands of a few the market is naturally opaque

Similarly commercial real estate brokers normally depend on third party data service providers to continually update data This information is in continual flux and finding reliable sources is neither cheap nor easy

These complications mean that there continues to be a need for local professional connections to data deals and finance

Coding Investment Success The Tech RevolutionIn the past two decades we have witnessed a technological revolution that has provided consumers with more choices information and greater access than ever before We have seen companies such as Amazon Uber Airbnb and Zappos launch into the mainstream as a result Entire industries are being disrupted

ldquoMost Investors donrsquot understand the dynamics of different types of markets and what factors dictate their demandrdquo

17

Companies such as TD Ameritrade and E-Trade have changed the way investors trade and invest in stocks More recently wersquove seen Wealthfront attacking inefficiencies in the wealth management sector by using technology to provide the same services at a fraction of the cost

US real estate ranks among the worldrsquos largest asset classes with a total market cap exceeding $27 Trillion The next largest is the US stock market at almost half the size In spite of being this massive market real estate has been trapped in the past That has created a lack of access market inefficiencies and also marvelous market opportunities

So why over these two decades havenrsquot we seen the same dramatic changes in real estate investing

Unlike other industries the real estate investment industry has been held back by regulations that restricted managers from openly soliciting clients and advertising their products through traditional marketing Then there has also been a huge divided between the tech savvy who havenrsquot understood the intricasies of real estate well enough to gain real traction and entrenched-anti technology real estate companies

Thankfully thatrsquos all changing now The recently passed JOBS Act now allows real estate investment managers to solicit investments online openly to investors providing access like never before

Power Tools for Busy Professionals amp Serious InvestorsFunding Nest a real estate crowdfunding platform focused on eradicating the inefficiencies of investing in and raising capital for real estate investments leverages the JOBS Act new technology and provides efficient access The result of this hyper-efficiency derived from multiple fronts at once makes it possible to deliver substantially higher net returns while

benefiting from the advantages of tangible real estate assets and local real estate expertise

Platforms like ours can also allow accredited investors to layer on additional power tools to maximize net returns and growth This includes self-directed IRAs and 401ks as well as 1031 exchanges and non-recourse financing

Then you have an easy to navigate online dashboard from where you can invest and track performance with great tax savings and transparency

SummaryI began my real estate investment career at the age of 19 I founded FundingNest with the specific purpose of providing high quality turnkey investment opportunities to accredited investors and the physician community from around the globe Irsquom a licensed Realtor owner of Investment Club Realty LLC and a board certified Anesthesiologist A Texas native I am passionate about the local property market and am committed to both the health and wealth of my patients and clients

As an investment advisor I apply the same mindset to real estate That means clinically diagnosing challenges extensive research and planning professionally consulting individuals on the solutions which are right for them as individuals and never taking short cuts

The typical risks of investment that have been detractors in the past include short-term thinking dumping solid investments in response to market fluctuations buying into too many investments alone with not enough capital to cover overhead or time to jump in allowing taxes to eat into profits and lack of access to the best investments Yet itrsquos been amazing to receive client feedback on how painless their entrance into this market has been as we continue to disrupt this multi-trillion-dollar market through technology transparency and creating hyper-efficiency

and profitability from the inefficient flaws of yesterday

1918

Have you noticed all the real estate television shows are focused solely on fixing and flipping and give no love to buying multifamily prop-erties I get it that fix and flip is sexy and pro-duces great TV but does it qualify for a great investment or create generational wealth and passive income We are going to tackle this question as well as why multifamily is crushing it and how you can jump in with both feet and join the party What are the characteristics of a great invest-ment (Multifamily Assets meet all three criteria)

1 Leverage The rocket fuel to creating massive wealth There are very few investments where you can invest as little as $150000 in capital and control a $1000000 asset Try asking your financial advisor to extend you this type of leverage I guarantee the next thing yoursquoll hear is a click on the other end and your phone line going dead

You receive all of the benefits cash flow tax benefits and appreciation Why would a lender require a small down payment to acquire real estate Simply put the buyer is acquiring a rev-enue stream that covers the expenses of the property and throws off excess cash flow The bank feels safe and protected with real estate Bottom line Multifamily real estate allows the

investor to control more assets with less of his own capital which leads to an explosion of wealth

2 Liquidity Initially real estate falters on the second criteria So how do we tap into the equity of our proper-ty We refer to the strategy as ldquorefinancingrdquo a property and it is one of the main reasons why multifamily real estate is crushin it

The goal of multifamily real estate is to increase Net Operating Income (NOI) by increasing the gross income and by decreasing the operating expenses NOI is simply the gross income de-ducted by the operating expenses Multifamily real estate allows the operator to force the ap-preciation of the asset by driving the NOI up-wards

Refinancing is an excellent strategy to access the equity you have accumulated in a prop-erty Our infographic highlights the steps we took to refinance a property and withdraw over $1600000 tax-free (PUT IN INFOGRAPHIC TO 16 MILLION) Dad always told me ldquoItrsquos not what you make itrsquos what you keeprdquo

Why MULTI-FAMILY Apts Are

CRUSHING The Market3 ControlI thrive on being the CEO of my own life and multifamily real estate has allowed me to take control of my decisions and destiny I control who works for me how much the rent should go up where to buy and how much needs to be reinvested into a property I want to control my investments and not relinquish the control to some dude sitting in a boardroom whorsquos thinking about his next round of golf This control has al-lowed me to explode MY net worth and continue to grow the multifamily portfolio

I have noticed a couple of stark differences be-tween multifamily real estate and other strate-gies First of all multis provide a monthly pay-check that we refer to as passive income or cash flow I also call it a yield on my investment and it is one of the most important reasons to invest in any type of real estate Multifamily is just the best vehicle to achieve cash flow

Secondly multifamily real estate offers tremen-dous tax benefits The government in their in-finite wisdom realized there was no way they could provide adequate affordable housing The solution was to provide huge incentives to real estate owners to step in and get the job done Depreciation is an enormous tax benefit to real estate investing especially when it is coupled with a cost segregation study

[Depreciation is basically a non-cash ex-pense that allows owners to take a deduc-tion on the income collected thus low-ering your tax obligation I love the idea that my asset is appreciating while I get to depreciate it for tax purposes]

The government also allows owners to employ cost segregation studies whereby the own-er identifies personal property assets that are grouped with real property assets and separates out personal assets for tax reporting purposes

What does this mean You are accelerating de-

preciation on many items from 275 or 39 years and reclassifying them to a shorter time period as short as five seven or fifteen years You are writing off a larger portion of your depreciation expense and realizing more losses quicker Re-member what my dad said itrsquos what you keep and cost segregation is the icing on the cake in multifamily real estate

Finally multifamily real estate offers the owner an economy of scale unparalleled in any other strategy We love the fact that we have larg-er buildings with more tenants under one roof versus having multiple single family homes scattered about which increases the manage-ment and expense burden

If we have a vacancy in one of our complexes chances are that the rest of the tenants can pay the mortgage We are limiting our down side risk by having more tenants A vacancy in a single-family home equals no rent that month and guess whorsquos on the hook for the payment

You can run your apartment complex like a business and scale up operations by hiring full time employees My true success came when I stopped unclogging toilets and hiring full time maintenance to handle day-to-day operations I was able to focus on managing the asset and buying more property

Now that wersquove shown you why multifamily is the place to be in the next article we will de-scribe the four phases of the real estate cycle and discuss how to take action with a list of tasks Finally take action and educate yourself on the power of multifamily invest-ing If you have any questions or want to take the next step visit us at Jake amp Gino Letrsquos crush it together

1918

Have you noticed all the real estate television shows are focused solely on fixing and flipping and give no love to buying multifamily prop-erties I get it that fix and flip is sexy and pro-duces great TV but does it qualify for a great investment or create generational wealth and passive income We are going to tackle this question as well as why multifamily is crushing it and how you can jump in with both feet and join the party What are the characteristics of a great invest-ment (Multifamily Assets meet all three criteria)

1 Leverage The rocket fuel to creating massive wealth There are very few investments where you can invest as little as $150000 in capital and control a $1000000 asset Try asking your financial advisor to extend you this type of leverage I guarantee the next thing yoursquoll hear is a click on the other end and your phone line going dead

You receive all of the benefits cash flow tax benefits and appreciation Why would a lender require a small down payment to acquire real estate Simply put the buyer is acquiring a rev-enue stream that covers the expenses of the property and throws off excess cash flow The bank feels safe and protected with real estate Bottom line Multifamily real estate allows the

investor to control more assets with less of his own capital which leads to an explosion of wealth

2 Liquidity Initially real estate falters on the second criteria So how do we tap into the equity of our proper-ty We refer to the strategy as ldquorefinancingrdquo a property and it is one of the main reasons why multifamily real estate is crushin it

The goal of multifamily real estate is to increase Net Operating Income (NOI) by increasing the gross income and by decreasing the operating expenses NOI is simply the gross income de-ducted by the operating expenses Multifamily real estate allows the operator to force the ap-preciation of the asset by driving the NOI up-wards

Refinancing is an excellent strategy to access the equity you have accumulated in a prop-erty Our infographic highlights the steps we took to refinance a property and withdraw over $1600000 tax-free (PUT IN INFOGRAPHIC TO 16 MILLION) Dad always told me ldquoItrsquos not what you make itrsquos what you keeprdquo

Why MULTI-FAMILY Apts Are

CRUSHING The Market3 ControlI thrive on being the CEO of my own life and multifamily real estate has allowed me to take control of my decisions and destiny I control who works for me how much the rent should go up where to buy and how much needs to be reinvested into a property I want to control my investments and not relinquish the control to some dude sitting in a boardroom whorsquos thinking about his next round of golf This control has al-lowed me to explode MY net worth and continue to grow the multifamily portfolio

I have noticed a couple of stark differences be-tween multifamily real estate and other strate-gies First of all multis provide a monthly pay-check that we refer to as passive income or cash flow I also call it a yield on my investment and it is one of the most important reasons to invest in any type of real estate Multifamily is just the best vehicle to achieve cash flow

Secondly multifamily real estate offers tremen-dous tax benefits The government in their in-finite wisdom realized there was no way they could provide adequate affordable housing The solution was to provide huge incentives to real estate owners to step in and get the job done Depreciation is an enormous tax benefit to real estate investing especially when it is coupled with a cost segregation study

[Depreciation is basically a non-cash ex-pense that allows owners to take a deduc-tion on the income collected thus low-ering your tax obligation I love the idea that my asset is appreciating while I get to depreciate it for tax purposes]

The government also allows owners to employ cost segregation studies whereby the own-er identifies personal property assets that are grouped with real property assets and separates out personal assets for tax reporting purposes

What does this mean You are accelerating de-

preciation on many items from 275 or 39 years and reclassifying them to a shorter time period as short as five seven or fifteen years You are writing off a larger portion of your depreciation expense and realizing more losses quicker Re-member what my dad said itrsquos what you keep and cost segregation is the icing on the cake in multifamily real estate

Finally multifamily real estate offers the owner an economy of scale unparalleled in any other strategy We love the fact that we have larg-er buildings with more tenants under one roof versus having multiple single family homes scattered about which increases the manage-ment and expense burden

If we have a vacancy in one of our complexes chances are that the rest of the tenants can pay the mortgage We are limiting our down side risk by having more tenants A vacancy in a single-family home equals no rent that month and guess whorsquos on the hook for the payment

You can run your apartment complex like a business and scale up operations by hiring full time employees My true success came when I stopped unclogging toilets and hiring full time maintenance to handle day-to-day operations I was able to focus on managing the asset and buying more property

Now that wersquove shown you why multifamily is the place to be in the next article we will de-scribe the four phases of the real estate cycle and discuss how to take action with a list of tasks Finally take action and educate yourself on the power of multifamily invest-ing If you have any questions or want to take the next step visit us at Jake amp Gino Letrsquos crush it together

21

YOUR FULL PAGE AD GOES HERE

By Pete Asmus Real Estate STRATEGY Consultant

Real Estate SUCKS doesnrsquot work and is too complicatedIsnrsquot that the truth Depending on who you listen to we are either in a Horrible market about to crash or at the moment you will look back on and say ldquoWhy didnrsquot I actrdquo And it can vary from Seminars to Exporsquos to REIArsquos and everyone has a golden shovel So back to the question which is true The answer is BOTH

It doesnrsquot really matter what ldquomarket cyclerdquo you are in there are always ways to make money No flips Start developing No buyers Rentals or Notes There is ALWAYS a way to find opportunity in real estate if you are willing to dig deep and find it

2121

Real Estate SUCKS[ a n d 9 0 o f I n v e s t o r s F A I L ]

The Truth behind Why

2222

The Pitfalls of Instant National Criminal ChecksMany real estate investors and property managers have relied on what is referred to as an Instant National Criminal Check for conducting their tenant screening The primary reasons are one it is fairly inexpen-sive and two information is returned within minutes Unfortunately there are significant pitfalls in relying solely on the information from this source Recent reports have stated that about 65 of the information that should be reported are actually in these databases There are currently no requirements around the frequency that courts are required to update their information There are four states that do not report into these databases (Does not include DE MA SD amp WY)

I am a real estate investor and owner of a background screening company I deal with real estate inves-tors and property managers My recommendation is not to dismiss running an Instant National Criminal Check but use it in conjunction with a county criminal check The real value of the Instant National Crim-inal Check is that it does provide sex offender registry information for all fifty states and it does provide terrorist watch list information also I strongly recommend running an unlimited county check which will cover the Social Security Address Trace and all the counties the applicant has resided in over the last 7 years along with a tenant credit report

Donrsquot substitute running a quality background check for the instant gratification of running an inexpen-sive incomplete background check just because itrsquos fast As a property ownermanager you deserve to minimize your risk and protect your investment Property Managerrsquos that are leveraging their property management software package to run their background checks should discuss what is actually being done as part of that check If you have any questions about your current system feel free to reach out

Mark BakerOwner Pro-Tect Background Screeningwww ProtectbackgroundscreeningcomOffice (857) 284 1622

In fact in the stock market Itrsquos much easier to get bigger and faster returns when the market is crashing because the fall is faster than the rise When you think the stock is going to go down in value and bet on that fact Itrsquos called ldquoShorting the marketrdquo and itrsquos made A LOT of Millionaires [It has also taken millions in a split second which is why personally I feel safer and more in control of real estate]

So why is it then that Real Estate SUCKS so bad

Why is it so hard to get things to happen to get people to do what they say they will or to get the profit spreads you hear about on TV Most of the time it comes down to ONE SIMPLE WORDhellip Expectations In the 10+ years Irsquove been speaking teaching coaching and investing the one reason I consistently hear about why things went south is Expectations they expected X and Y happened

Now you may be thinking how do expectations make a deal go south and the answer is itrsquos easy 80 of the time the reason deals go south isnrsquot one BIG thing rather itrsquos multiple little things that over time grew exponentially Letrsquos say you expected the Contractor to pull the permits but he expected you to or you have an architect who doesnrsquot get along with the city planner because of an affair gone bad and you are now feeling the repercussions of their affair and your expectation to have these jobs stay on time and on budget [was just blown away] and is out the window

Now if you are in a few cities in California on the beach they only meet once every SIX MONTHS to approve plans This will affect the working relationship because construction isnrsquot able to be started or completed This causes you to fall MONTHS behind schedule Now imagine the Hard Money costs to hold that property destroying your ROi while you wait the six months for them to convene

So why does that have anything to do with investingWell if you are going to lend your money on a deal you have expectations about how you will be compensated If you are a contractor you have expectations about how you are paid and if you are an investor you have expectations about working with your team

The problem with expectations is if they arenrsquot realistic everyone around loses Most people donrsquot know they have unrealistic expectations They went to a seminar and were told you can make $40k on a $100k investment Now can you Yes Is it normal NO It doesnrsquot happen every day

iQ Expert Insight

24

We search through hundreds of deals EVERY month just to be able to present our active investors each month with one to two Deals that have a HIGH ROi [50-80ROi] Most of our deals are First Trust Deeds or Cash flow opportunities not Joint Ventures but those are the ones that get us the most attention because of the INSANE ROi

However itrsquos like the icing on the cake we arenrsquot just focused on a huge ROi because typically with big reward comes big risk So we have to whittle down through a massive amount of deals to find the diamonds in the rough Low risk High reward and we are willing to wait for the RIGHT deals

The biggest reason that most new investors have a skewed view of what is possible is due in large part to what their current needs are and where

Expectations decide if you answerYes or NoThe answer you give all depends on what you expect to happen When most people work with each other thatrsquos another challenge We all have a different version of what ldquogoodrdquo means or ldquofastrdquo and expectations to go with those meanings

Why is it a NEW YORK minute Because time actually moves faster in New York isnrsquot the answer unless this is an episode of the Twilight Zone Itrsquos because most people in New York move and talk fast just ask ANYONE from the DEEP South

I read a book or article once that talked about this from a sales perspective It said something like if you want to sell to someone you have to match them pace tempo etc Tony Robbins even talks about this in fact I think it was him who I heard this from The point of the story to me was people will buy from people that they know WHAT TO EXPECT from

When you trust someone what is thatThink about it itrsquos the feeling that you KNOW what they would do in a situation Like if you gave them money to hold You probably wouldnrsquot do that to a total stranger but you might to your family or friends When you break trust into its most basic and simple form itrsquos about Expectations

Most people FAIL in real estate and life because they EXPECT too much and are willing to GIVE too little Itrsquos called the ldquoEntitlement mentalityrdquo and most people have it and donrsquot know it Until you can give up your ego and Put on your lsquoRing of Responsibilityrsquo that says no matter what itrsquos your fault you canrsquot truly get into a place of power

You have to take responsibility for EVERYTHING

You heard me correct but what if itrsquos not your Fault If you want to be a successful Entrepreneur or just Happy THAT isnrsquot a truism for you anymore All the successful people I have met been a mentee of or mentored ALL have had the same attitude towards responsibility They all had 3 MAIN things that stood out

They were willing to do whatever it takes In Gary Kellerrsquos book ldquoThe ONE Thingrdquo He actually put into words something I always did but thought it made me compulsive obsessive He said ldquoSuccessful people look at tasks different They work until the task is complete where most people work until the day or their shift is overrdquo SO TRUE Irsquove had such a challenge getting anyone to work for me because of this habit

They were Action Takers This just means they didnrsquot sit and wait for ldquosomethingrdquo to happen

they ultimately want to go They hear they need big dreams and big goals so now they only want to participate in deals that whoever they heard speak told them were possible

What they arenrsquot being told or hearing is the amount of time and effort that went into making that possible They are told or assume that just because they understand the formula they are now ready to go And typically that just isnrsquot the case In reality they are extremely underprepared with far-fetched expectations of time line effort and ease of process

Patience is one of the most UNDERUSED assetsSo many investors get emotionally involved and just ldquoWANT TO GOrdquo so they rush research and jump into a deal without the right due diligence Every time we present a deal you have to tell us if you are interested and how much you would invest FAST or you will never get into a deal You then have 1-3 weeks (depending on how fast it moves) to be able to do all your due diligence We even pull the borrowers credit check background and bank statements to be able provide to our investors proper due diligence The last thing before we close is provide our investors a 3rd party after repair value appraisal giving them the ability to make confident investments

iQ-QUICK TIPWHENEVER you are working

with anyone GOOGLE THEM I canrsquot tell you how many times I heard AFTER someone had a bad experience they said ldquoI wish I would have googled them before I investedrdquo In this time of super technology donrsquot be at a disadvantage because you arnersquot sure how something works

WHENEVER you are working with anyone GOOGLE THEM I canrsquot tell you how many times I heard AFTER someone had a bad experience they said ldquoI wish I would have googled them before I investedrdquo In this time of super technology donrsquot be at a disadvantage because you arnersquot sure how something works

27

Successful Investors Go Make SOMETHING Happen They donrsquot run blind into situations but they donrsquot let their lack of experience hold them back from opportunities They would go skydiving and learn on the way down [slight exaggeration]

They knew ONE was a lonely number ldquoYou donrsquot have to know everything you just have to know the people who dordquo Meaning if they didnrsquot know everything and if they wanted to reach their goals of Income retirement and family they needed a great team to make it happen

Get Results by Taking ActionIf you want to stay out of the 90 of watchers fakers and takers then move to a team of Movers Shakers and Players If you actually WANT to get into the game then donrsquot hang around the people under the bleachers complaining about how everything isnrsquot fair Your mindset will dictate what is possible in your life PERIOD

Wanting the most out of your life business and investments takes work so spend time with the people you know who crush it in those areas If you donrsquot know anyone then GET NEW FRIENDS thatrsquos why you are where you are currently

Where you are in life right now is a reflection of who you USED TO BE not of who you are GOING TO BE If you donrsquot like where you are ldquoTAKE RESPONSIBILITYrdquo and you will have the power to CHANGE it

Pete ASMUSInvestor | Speaker | Author | Entrepreneur

Pete Asmus has spent the last 10+ years learning teaching speaking and searching for the perfect investing system for himself and to be able to offer investors just like you He also owns several of the top real estate groups on LinkedIn (Including the Largest Commercial Group and all totaling almost half a million investors)

To find out more about Pete Asmus[Go to httppeteASMUScom]

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ldquoOur focus is helping our investors make 3 times their income through investments with us Itrsquos about shattering their glass ceiling and smashing their expectations of how investing really worksrdquo ~Pete Asmus

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