The Investment News: April 2013

28
MID-AMERICA ASSOCIATION OF REAL ESTATE INVESTORS Mid-West Real Estate Expo from Realty 411—April 20th, at time of printing 160 people registered! Page 27. Investment News MAREI’S MEMBER BENEFITS PROGRAM YOUR MEMBER BENEFITS AT- A- GLANCE Page 12 NETWORKING : EDUCATION : COMMUNITY : GOVERNMENT April 2013

description

The Investment News is the monthly newsletter for Mid-America Association of Real Estate Investors. Find us online at http://www.MAREInet.com.You need to read if you are looking for Kansas City Investment Properties to Purchase. Or if you want to Learn Real Estate Investing, or if you are looking for Real Estate Service Providers in Kansas City.

Transcript of The Investment News: April 2013

Page 1: The Investment News:  April 2013

MI D - A ME R I C A A S S O C I A T I O N O F R E A L E S T A T E I N V E S T O R S

Mid-West Real Estate Expo from Realty 411mdashApril 20th at time of printing 160 people registered Page 27

Investment News

M

AREIrsquoS

M

EM

BER B

ENEFITS P

ROGRAM

YOUR M

EM

BER B

ENEFITS

AT-A

-GLANCE

Page 1

2

NETWORKING EDUCATION COMMUNITY GOVERNMENT

April 2013

Page 2 MAREInetcom

FREE Gif t for APRIL

Meet ing Attendees

Personal Real Estate Investor Magazine March Apr i l 2013

Special Feature Sect ion NoteWorthy Guide to

Prof i table Invest ing in Real Estate Notes

Check out our Website MAREInetcom

Contact us by Phone 913-815-0111

Email US infoMAREInetcom

Join The Conversation MAREInetcomBlog

Join Association MAREInetcomMembership

In This Issue

Multi Family

6 Fundamentalsmdash Do Not Face a Cliff

The Real Estate Industry

8 Has Seriously Dropped the Ball

Audio Postcards

10 Grab Attention amp Increase Leads

Self Storage

14 Market Your Self Storage Facility

at Maximum Velocity

Getting Established

18 Your Business Resume

20 Case Study

Real Estate Investing Food

for Thought

24 Funding Your Deals

8 Step Process

Every Issue

12 Benefits at a Glance

18 Membership

22 Investment Opportunities

28 Monthly Calendar

Investment News Page 3

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Mid-America Association of

Real Estate Investors

The only National REIA Chapter in the Tri State Region Serving KS MO amp NE

Honorrsquos of Merritt Winner

National REIA Awards of Excellence

2011 amp 2012

Read Newsletter Online Anytime

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Our Mission Statement Mid-America Association of Real Estate Investors is dedicated to promoting ethical real estate

investing and to protect and promote the best interest of our membership through educational

and networking opportunities as well as community legislative and public relations

Legal Disclaimer MAREI does not exist to render and does not give legal tax economic or investment advice and

disclaims all liability for the action or inaction taken or not as a result of communications from or

to its members officers directors employees and contractors Each individual should consult

hisher own counsel accountant and other advisors as to legal tax economic investment and

related matters concerning real estate and other investments

Content Disclaimer The views and opinions expressed by authors of articles contributed to this newsletter do not

necessarily reflect those of the association the board of directors or the staff

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Investment News Page 5

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2014 so that 2013 figures hover closer to 130000

unitsmdashnot far off from the pre-recession 10-year av-

erage The ldquobubblerdquo now shows up in 2014 but if

economic growth ramps up by then (Moodyrsquos Econo-

mycom is projecting GDP growth of over 4 percent

in 2014 up significantly from 20 percent in 2012 and

29 percent in 2013) the additional supply will most

likely be absorbed relatively painlessly

This is not to say that certain metros will not be at

risk Washington DC and suburban Maryland for

instance both face historically high inventory growth

prospects over the next couple of years these met-

ros cannot rely on solid demand drivers like strong

employment growth in certain sectors such as tech

to push demand for rentals like Austin Texas or Se-

attle

While the single-family housing market finally ap-

pears to be on the mend this does not automatically

mean less demand for multifamily Jay Lybik vice

president for market research at Equity Residential

(Continued on page 7)

Nov 13 2012 1159 AM By Victor Calanog NREI Contributing Columnist

Much has been written recently about potential

risks to overbuilding in multifamilymdashin fact I com-

mented on this issue last April in my NREI column

but I noted that analyzing the supply side is not

enough Demand for apartments will remain strong

and will rise further if economic growth quickens

Apartment fundamentals have bounced back robust-

ly since the recession ended in June 2009 Despite

middling economic growth the national vacancy rate

dropped sharply from a peak of 80 percent at the

end of 2009 to 46 percent in the third quarter of

2012 Vacancy rates that are this low have not been

observed since late 2001

Asking and effective rents have risen for 11 consec-

utive quarters and in many areas have surpassed

previous peaks achieved in the third quarter of 2008

before the fall of Lehman Brothers Landlords face

little pressure to offer concessions given how tight

rental markets are in most places

Construction also remains tight with less

than 37000 units coming online over the

last three quarters of 2012 An additional

18000 units are expected to open their

doors in the fourth quarter that adds up to

about 55000 units for the year a slight

increase from 2011 but well below the

125000 annual average from 2000 to

2009

GRADUAL RETURN TO NORMALCY

Earlier in 2012 there were signs that con-

struction would spike in 2013 in the order

of 150000 to 200000 units Developers

have since postponed many projects to

Investment News Page 7

wwwCoffeltLandTitlecom

For title escrow

1031 amp foreclosure

Bud Whisler

816-380-3441

a Chicago-based REIT tracks

move-outs very closely every

quarter and has witnessed little to

no change in the number of resi-

dents leaving to buy a home Data

from the National Association of

Realtors also shows first-time

home-buyers percentage of sales

flat after spiking due to the Home

Buyer Tax Credit which expired in

2010 Single-family homes that are

(Continued on page 26)

APARTMENT HOUSE

INVESTING

MAREI April 4th Monthly Meeting

With Worcester Investments

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at MAREInetcomKCNorth

The Trusted Name in Kansas City

Apartment Investing

wwwWorcester-Investmentscom

ASSET PROTECTION

INSURANCE AGENCY

REO Insurance

Forced Place

Vacant Property

One Policy All

Properties

Monthly Billing

The Real Estate Industry has seriously

dropped the ball And this is not a recent

occurrencehellip

The big winner through the past few dec-

ades has been the financial services indus-

try People have to invest their money

somewhere and when real estate agents

brokers property managers made it FAR

TOO complicated to invest in houses they

turned to the sophisticated and finely tuned

model of the stock market This well-oiled

machine has done a great job of catering

to those in their wealth accumulating

phase of life And it seemed that only

those real estate investors

that were lsquohands onrsquo with

their investments were the

ones able to buy and properly

manage rental property

The fact that Financial Advisors have in-

grained themselves in American culture to

the point that anyone wanting to put some

money aside for retirement is naturally go-

ing to do it through mutual funds or stock

investments says a lot about their customer

service

Not that investing in the stock market is a

bad thing Not at allhellipbut by comparison

the fact that the RE industry has languished

behind in allowing the average John Doe an

a v e n u e t o i n v e s t h i s h a r d

earned money in Real Estate is a real

shame

Now dawns a new age of investing

where geography and physical presence

mean nothing In the same way that you

donrsquot need to drive to Atlanta and tour the

Coca Cola plant to feel comfortable invest-

ing in Coca Cola stock SBD Housingrsquos de-

tailed 9-page Investment Prospectus more

than prepares an investor to make an in-

formed buying decision SBD Housing So-

lutions is a Kansas City based operation but (Continued on page 9)

The Real Estate Industry

Has Seriously Dropped the

Ball

Page 8 MAREInetcom

Although I am not naiumlve

enough to think I can change

an industry single handedly

I believe that we in the Real

Estate services industry can

all do our part to bring some

credibility back to the sound

investment option that

ishelliphousing

Marck de Lautour BBA MBA

SBD Housing Solutions

ing properties the acquisi-

tion utilities construction

estimates project manage-

ment remodel bill payment

leasing and property man-

agement Our clients know

that the lsquovalue addedrsquo is in

the details Being able to in-

vest in Real Estate with the

same ease as the stock mar-

ket has always been the

goal

has clients from as far as

Brazil the UK Australia

South Africa and Hong Kong

Most have never seen the

assets that they own and

yet are cashing the monthly

rental checks every month

like clockwork

As an all-inclusive real estate

investment firm we special-

ize in building wealth for our

clients Taking a leaf from

the Financial Planners book

we actually take the time to

sit and discuss a plan of ac-

tion with our clients where

do they want to invest what

cash do they have available

do they plan on leveraging

their assets when will they

be looking to use the cash

flow as an income source for

retirement all of which are

just pieces of a very personal

and unique puzzle

At SBD Housing Solutions we

handle the entire operation

for our clients From target-

(Continued from page 8)

Investment News Page 9

Building Wealth

Through Real Estate

wwwSBDHousingcom

816-994-9401

CASE STUDIES

DUE DILIGENCE

MAREI April 9th Monthly Meeting

With Marck de Lautour

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at wwwMAREInetcomKCSouth

Why Buy Now In

Kansas City

Realty 411rsquos

Mid-West Real Estate

Investing Expo

Saturday April 20th

No Charge

Register

MAREInetcomRealty411

Buying Bus Tour

Sunday April 21st

Page 10 MAREInetcom

Audio Postcards will bring leads faster working

FSBOs

Listen to my Sample

httpwwwMAREINetcomAudio-Gen

This is such a great marketing method On our FSBO mar-

keting we do we get nearly 30 calling us back That is

phenomenal Below is the audio I used in the postcard as a

sample for you to listen to

Making Offers with audio postcards

The strategy I use is quite simple for making offers I will

set up searches on sites

wwwfsbocom

wwwforsalebyownercom

wwwownerscom

www4salebyownerusacom

wwwtopfsbocom

wwwbuyownercom

I set up the search to

display results All

houses within 10 miles

of ZIPCODE with 3

bedroom 2 bath gar-

age

Then I will view each property the search returns to me

Then I go to the contact information section In the email

reply form I simply cut and past the code

from AudioGenerator to the form and press submit

Voila Offer is done I direct them back to my website and

then I collect only the motivated seller leads

This is also a great way to post your customers audio

testimonial right on your website I also recommend us-

ing these postcard to make generic house offers to open

the door to negotiations This simple postcard took all of

about 5 minutes to create

Think of the impact this type of product could make on a

promotional campaign You could announce your house

buying program to motivated FSBO sellers talk about a

new property you just listed send a thank you note The

ways you can use this are plentiful Best of all the pro-

cess is very simple doesnt require the listener to down-

load any software or plug ins

On first thought they may seem like a a cutesy-gimmicky

Duncan Wierman

Real Estate Investor amp Internet Marketer

Article from Duncan Wierman at wwwDuncanWiermancom

How I Use Audio Postcards to

Grab Attention and Increase

Leads from FSBOrsquos

Investment News Page 11

wwwAPIA Protectscom

ProSource of KC West 7228 W Frontage Road

Overland Park KS 66203

913-599-4488

Offering a range of flooring

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SPEAKING AT THE REALTY411

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YOUR MEMBER BENEFITS

AT-A-GLANCE USE THIS PAGE AS A GUIDE TO VALUE ADDED DISCOUNTS TOOLS AND SAVINGS CREATED JUST

FOR YOU ON GOODS AND SERVICES YOU USE EVERY DAY

E-Update

MAREIrsquos award winning weekly email

update with whatrsquos happening in real

estate including properties for sale gov-

ernment affairs and local market data

Investment News

The award winning newsletter for Mid-

America Association of Real Estate In-

vestors published monthly and distrib-

uted both in print at our meetings and

digitally to our database of over 5000

people One of the best ways to get

your message in front of a targeted

group of real estate professionals

Free issues of both magazines available at the monthly

meetings of MAREI

Landlord Services

Office Solutions

Suppliers

Marketing

News amp Information

Page 12

Member Benefits

We have several services as part

of our website to help you grow

your business

Calendar of Events to stay up to

date with all of our activities

Browse the member properties to

find your next deal Take the

time to post your investment op-

portunities for other members

and site visitors to browse

The Member Library is packed

and ever growing with pdf ver-

sions of entire books EBooks

Articles Forms and Documents

Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

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The nationrsquos largest provider of

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er Members receive up to 40

off

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The Local Market Monitor tracks

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25 Discount for Members

MAREIrsquos Political Advocacy Group

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tion and rule-making that im-

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bers also re-

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Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

Keeping each home in show-to-sell condition seven days a

week

Employing a professional decorator to decorate each home

using proven staging techniques maximizing its appeal to buyers

Hiring carefully screened and qualified Home Managers to live

in and manage each home throughout the sales process

wwwShowHomesKansasCitycom

913-227-4364

Residential

Commercial

Renovation

Demolition

Flatwork

Foundations

Full service construc-tion company offering upgrades curb ap-peal remodel or

complete renovation

Call for References

Robert Massey

Building Trades

816-868-1817

Property Management

Section 8 Housing

KC Metro Wide

Jeff Woods

Broker

wwwMyPremierLeasingcom

816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

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join now MAREInetcomJOIN

Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Business Insurance

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Stephanie Cunliff

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Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

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Everything Is In Stock

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Josh Burns

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5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 2: The Investment News:  April 2013

Page 2 MAREInetcom

FREE Gif t for APRIL

Meet ing Attendees

Personal Real Estate Investor Magazine March Apr i l 2013

Special Feature Sect ion NoteWorthy Guide to

Prof i table Invest ing in Real Estate Notes

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Contact us by Phone 913-815-0111

Email US infoMAREInetcom

Join The Conversation MAREInetcomBlog

Join Association MAREInetcomMembership

In This Issue

Multi Family

6 Fundamentalsmdash Do Not Face a Cliff

The Real Estate Industry

8 Has Seriously Dropped the Ball

Audio Postcards

10 Grab Attention amp Increase Leads

Self Storage

14 Market Your Self Storage Facility

at Maximum Velocity

Getting Established

18 Your Business Resume

20 Case Study

Real Estate Investing Food

for Thought

24 Funding Your Deals

8 Step Process

Every Issue

12 Benefits at a Glance

18 Membership

22 Investment Opportunities

28 Monthly Calendar

Investment News Page 3

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Page 4 MAREInetcom

Mid-America Association of

Real Estate Investors

The only National REIA Chapter in the Tri State Region Serving KS MO amp NE

Honorrsquos of Merritt Winner

National REIA Awards of Excellence

2011 amp 2012

Read Newsletter Online Anytime

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Our Mission Statement Mid-America Association of Real Estate Investors is dedicated to promoting ethical real estate

investing and to protect and promote the best interest of our membership through educational

and networking opportunities as well as community legislative and public relations

Legal Disclaimer MAREI does not exist to render and does not give legal tax economic or investment advice and

disclaims all liability for the action or inaction taken or not as a result of communications from or

to its members officers directors employees and contractors Each individual should consult

hisher own counsel accountant and other advisors as to legal tax economic investment and

related matters concerning real estate and other investments

Content Disclaimer The views and opinions expressed by authors of articles contributed to this newsletter do not

necessarily reflect those of the association the board of directors or the staff

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Investment News Page 5

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2014 so that 2013 figures hover closer to 130000

unitsmdashnot far off from the pre-recession 10-year av-

erage The ldquobubblerdquo now shows up in 2014 but if

economic growth ramps up by then (Moodyrsquos Econo-

mycom is projecting GDP growth of over 4 percent

in 2014 up significantly from 20 percent in 2012 and

29 percent in 2013) the additional supply will most

likely be absorbed relatively painlessly

This is not to say that certain metros will not be at

risk Washington DC and suburban Maryland for

instance both face historically high inventory growth

prospects over the next couple of years these met-

ros cannot rely on solid demand drivers like strong

employment growth in certain sectors such as tech

to push demand for rentals like Austin Texas or Se-

attle

While the single-family housing market finally ap-

pears to be on the mend this does not automatically

mean less demand for multifamily Jay Lybik vice

president for market research at Equity Residential

(Continued on page 7)

Nov 13 2012 1159 AM By Victor Calanog NREI Contributing Columnist

Much has been written recently about potential

risks to overbuilding in multifamilymdashin fact I com-

mented on this issue last April in my NREI column

but I noted that analyzing the supply side is not

enough Demand for apartments will remain strong

and will rise further if economic growth quickens

Apartment fundamentals have bounced back robust-

ly since the recession ended in June 2009 Despite

middling economic growth the national vacancy rate

dropped sharply from a peak of 80 percent at the

end of 2009 to 46 percent in the third quarter of

2012 Vacancy rates that are this low have not been

observed since late 2001

Asking and effective rents have risen for 11 consec-

utive quarters and in many areas have surpassed

previous peaks achieved in the third quarter of 2008

before the fall of Lehman Brothers Landlords face

little pressure to offer concessions given how tight

rental markets are in most places

Construction also remains tight with less

than 37000 units coming online over the

last three quarters of 2012 An additional

18000 units are expected to open their

doors in the fourth quarter that adds up to

about 55000 units for the year a slight

increase from 2011 but well below the

125000 annual average from 2000 to

2009

GRADUAL RETURN TO NORMALCY

Earlier in 2012 there were signs that con-

struction would spike in 2013 in the order

of 150000 to 200000 units Developers

have since postponed many projects to

Investment News Page 7

wwwCoffeltLandTitlecom

For title escrow

1031 amp foreclosure

Bud Whisler

816-380-3441

a Chicago-based REIT tracks

move-outs very closely every

quarter and has witnessed little to

no change in the number of resi-

dents leaving to buy a home Data

from the National Association of

Realtors also shows first-time

home-buyers percentage of sales

flat after spiking due to the Home

Buyer Tax Credit which expired in

2010 Single-family homes that are

(Continued on page 26)

APARTMENT HOUSE

INVESTING

MAREI April 4th Monthly Meeting

With Worcester Investments

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at MAREInetcomKCNorth

The Trusted Name in Kansas City

Apartment Investing

wwwWorcester-Investmentscom

ASSET PROTECTION

INSURANCE AGENCY

REO Insurance

Forced Place

Vacant Property

One Policy All

Properties

Monthly Billing

The Real Estate Industry has seriously

dropped the ball And this is not a recent

occurrencehellip

The big winner through the past few dec-

ades has been the financial services indus-

try People have to invest their money

somewhere and when real estate agents

brokers property managers made it FAR

TOO complicated to invest in houses they

turned to the sophisticated and finely tuned

model of the stock market This well-oiled

machine has done a great job of catering

to those in their wealth accumulating

phase of life And it seemed that only

those real estate investors

that were lsquohands onrsquo with

their investments were the

ones able to buy and properly

manage rental property

The fact that Financial Advisors have in-

grained themselves in American culture to

the point that anyone wanting to put some

money aside for retirement is naturally go-

ing to do it through mutual funds or stock

investments says a lot about their customer

service

Not that investing in the stock market is a

bad thing Not at allhellipbut by comparison

the fact that the RE industry has languished

behind in allowing the average John Doe an

a v e n u e t o i n v e s t h i s h a r d

earned money in Real Estate is a real

shame

Now dawns a new age of investing

where geography and physical presence

mean nothing In the same way that you

donrsquot need to drive to Atlanta and tour the

Coca Cola plant to feel comfortable invest-

ing in Coca Cola stock SBD Housingrsquos de-

tailed 9-page Investment Prospectus more

than prepares an investor to make an in-

formed buying decision SBD Housing So-

lutions is a Kansas City based operation but (Continued on page 9)

The Real Estate Industry

Has Seriously Dropped the

Ball

Page 8 MAREInetcom

Although I am not naiumlve

enough to think I can change

an industry single handedly

I believe that we in the Real

Estate services industry can

all do our part to bring some

credibility back to the sound

investment option that

ishelliphousing

Marck de Lautour BBA MBA

SBD Housing Solutions

ing properties the acquisi-

tion utilities construction

estimates project manage-

ment remodel bill payment

leasing and property man-

agement Our clients know

that the lsquovalue addedrsquo is in

the details Being able to in-

vest in Real Estate with the

same ease as the stock mar-

ket has always been the

goal

has clients from as far as

Brazil the UK Australia

South Africa and Hong Kong

Most have never seen the

assets that they own and

yet are cashing the monthly

rental checks every month

like clockwork

As an all-inclusive real estate

investment firm we special-

ize in building wealth for our

clients Taking a leaf from

the Financial Planners book

we actually take the time to

sit and discuss a plan of ac-

tion with our clients where

do they want to invest what

cash do they have available

do they plan on leveraging

their assets when will they

be looking to use the cash

flow as an income source for

retirement all of which are

just pieces of a very personal

and unique puzzle

At SBD Housing Solutions we

handle the entire operation

for our clients From target-

(Continued from page 8)

Investment News Page 9

Building Wealth

Through Real Estate

wwwSBDHousingcom

816-994-9401

CASE STUDIES

DUE DILIGENCE

MAREI April 9th Monthly Meeting

With Marck de Lautour

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at wwwMAREInetcomKCSouth

Why Buy Now In

Kansas City

Realty 411rsquos

Mid-West Real Estate

Investing Expo

Saturday April 20th

No Charge

Register

MAREInetcomRealty411

Buying Bus Tour

Sunday April 21st

Page 10 MAREInetcom

Audio Postcards will bring leads faster working

FSBOs

Listen to my Sample

httpwwwMAREINetcomAudio-Gen

This is such a great marketing method On our FSBO mar-

keting we do we get nearly 30 calling us back That is

phenomenal Below is the audio I used in the postcard as a

sample for you to listen to

Making Offers with audio postcards

The strategy I use is quite simple for making offers I will

set up searches on sites

wwwfsbocom

wwwforsalebyownercom

wwwownerscom

www4salebyownerusacom

wwwtopfsbocom

wwwbuyownercom

I set up the search to

display results All

houses within 10 miles

of ZIPCODE with 3

bedroom 2 bath gar-

age

Then I will view each property the search returns to me

Then I go to the contact information section In the email

reply form I simply cut and past the code

from AudioGenerator to the form and press submit

Voila Offer is done I direct them back to my website and

then I collect only the motivated seller leads

This is also a great way to post your customers audio

testimonial right on your website I also recommend us-

ing these postcard to make generic house offers to open

the door to negotiations This simple postcard took all of

about 5 minutes to create

Think of the impact this type of product could make on a

promotional campaign You could announce your house

buying program to motivated FSBO sellers talk about a

new property you just listed send a thank you note The

ways you can use this are plentiful Best of all the pro-

cess is very simple doesnt require the listener to down-

load any software or plug ins

On first thought they may seem like a a cutesy-gimmicky

Duncan Wierman

Real Estate Investor amp Internet Marketer

Article from Duncan Wierman at wwwDuncanWiermancom

How I Use Audio Postcards to

Grab Attention and Increase

Leads from FSBOrsquos

Investment News Page 11

wwwAPIA Protectscom

ProSource of KC West 7228 W Frontage Road

Overland Park KS 66203

913-599-4488

Offering a range of flooring

options to give wholesale

pricing and discounts to

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solution but not many people are using this techniques

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YOUR REAL ESTATE BUSINESS

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SPEAKING AT THE REALTY411

MID-WEST REAL ESTATE EXPO

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913-338-0100 phone

Title Services Provided for FSBO Wholesale amp REO Transactions New Construction Closings Commercial Purchases and Refinance All Types of Loan Closings 1031 Exchanges FHA VA USDA Conventional Loans and

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AT-A-GLANCE USE THIS PAGE AS A GUIDE TO VALUE ADDED DISCOUNTS TOOLS AND SAVINGS CREATED JUST

FOR YOU ON GOODS AND SERVICES YOU USE EVERY DAY

E-Update

MAREIrsquos award winning weekly email

update with whatrsquos happening in real

estate including properties for sale gov-

ernment affairs and local market data

Investment News

The award winning newsletter for Mid-

America Association of Real Estate In-

vestors published monthly and distrib-

uted both in print at our meetings and

digitally to our database of over 5000

people One of the best ways to get

your message in front of a targeted

group of real estate professionals

Free issues of both magazines available at the monthly

meetings of MAREI

Landlord Services

Office Solutions

Suppliers

Marketing

News amp Information

Page 12

Member Benefits

We have several services as part

of our website to help you grow

your business

Calendar of Events to stay up to

date with all of our activities

Browse the member properties to

find your next deal Take the

time to post your investment op-

portunities for other members

and site visitors to browse

The Member Library is packed

and ever growing with pdf ver-

sions of entire books EBooks

Articles Forms and Documents

Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

REAL ESTATE BOOKS

The nationrsquos largest provider of

real estate training materi-

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er Members receive up to 40

off

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The Local Market Monitor tracks

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25 Discount for Members

MAREIrsquos Political Advocacy Group

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tion and rule-making that im-

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harnessing the strength of MAREI

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MAREI mem-

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Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

Keeping each home in show-to-sell condition seven days a

week

Employing a professional decorator to decorate each home

using proven staging techniques maximizing its appeal to buyers

Hiring carefully screened and qualified Home Managers to live

in and manage each home throughout the sales process

wwwShowHomesKansasCitycom

913-227-4364

Residential

Commercial

Renovation

Demolition

Flatwork

Foundations

Full service construc-tion company offering upgrades curb ap-peal remodel or

complete renovation

Call for References

Robert Massey

Building Trades

816-868-1817

Property Management

Section 8 Housing

KC Metro Wide

Jeff Woods

Broker

wwwMyPremierLeasingcom

816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

Pricing $50 Annual $99 Annual $499 Annual

Auto Renewal $45 $90 $450

Quarterly Pricing NA

Monthly Pricing

Service Provider Listing

Ad in Monthly Newsletter

3 Vendor Tables

Credit or Debit Card Required for Auto Renewal Discounts 3 Vendor Tables with Annual Payment

MEMBERSHIP OPTIONS

join now MAREInetcomJOIN

Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

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Josh Burns

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5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

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Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 3: The Investment News:  April 2013

Investment News Page 3

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Page 4 MAREInetcom

Mid-America Association of

Real Estate Investors

The only National REIA Chapter in the Tri State Region Serving KS MO amp NE

Honorrsquos of Merritt Winner

National REIA Awards of Excellence

2011 amp 2012

Read Newsletter Online Anytime

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PO Box 8685 Prairie Village KS 66208

Phone 913-815-0111 Email infoMAREInetcom

Our Mission Statement Mid-America Association of Real Estate Investors is dedicated to promoting ethical real estate

investing and to protect and promote the best interest of our membership through educational

and networking opportunities as well as community legislative and public relations

Legal Disclaimer MAREI does not exist to render and does not give legal tax economic or investment advice and

disclaims all liability for the action or inaction taken or not as a result of communications from or

to its members officers directors employees and contractors Each individual should consult

hisher own counsel accountant and other advisors as to legal tax economic investment and

related matters concerning real estate and other investments

Content Disclaimer The views and opinions expressed by authors of articles contributed to this newsletter do not

necessarily reflect those of the association the board of directors or the staff

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Investment News Page 5

LET US HELP

KEEP PROPERTIES MARKETABLE

Keep Costs Under Control amp Meet Tight Deadlines Dedicated to your Success With Solutions for Every Surface amp All the Essentials

EXCLUSIVE MEMBER DISCOUNT

MAREI as a member of National REIA is able to bring our

members the exclusive Sherwin William Discount Card that

offers unbeatable savings on paint applicators floorcov-

ering paint sundries wall covering spray equipment

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Members look for your discount card in your members

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National Account Services

Our strategic account teams can

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Download the latest guide on

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Page 6 MAREInetcom

2014 so that 2013 figures hover closer to 130000

unitsmdashnot far off from the pre-recession 10-year av-

erage The ldquobubblerdquo now shows up in 2014 but if

economic growth ramps up by then (Moodyrsquos Econo-

mycom is projecting GDP growth of over 4 percent

in 2014 up significantly from 20 percent in 2012 and

29 percent in 2013) the additional supply will most

likely be absorbed relatively painlessly

This is not to say that certain metros will not be at

risk Washington DC and suburban Maryland for

instance both face historically high inventory growth

prospects over the next couple of years these met-

ros cannot rely on solid demand drivers like strong

employment growth in certain sectors such as tech

to push demand for rentals like Austin Texas or Se-

attle

While the single-family housing market finally ap-

pears to be on the mend this does not automatically

mean less demand for multifamily Jay Lybik vice

president for market research at Equity Residential

(Continued on page 7)

Nov 13 2012 1159 AM By Victor Calanog NREI Contributing Columnist

Much has been written recently about potential

risks to overbuilding in multifamilymdashin fact I com-

mented on this issue last April in my NREI column

but I noted that analyzing the supply side is not

enough Demand for apartments will remain strong

and will rise further if economic growth quickens

Apartment fundamentals have bounced back robust-

ly since the recession ended in June 2009 Despite

middling economic growth the national vacancy rate

dropped sharply from a peak of 80 percent at the

end of 2009 to 46 percent in the third quarter of

2012 Vacancy rates that are this low have not been

observed since late 2001

Asking and effective rents have risen for 11 consec-

utive quarters and in many areas have surpassed

previous peaks achieved in the third quarter of 2008

before the fall of Lehman Brothers Landlords face

little pressure to offer concessions given how tight

rental markets are in most places

Construction also remains tight with less

than 37000 units coming online over the

last three quarters of 2012 An additional

18000 units are expected to open their

doors in the fourth quarter that adds up to

about 55000 units for the year a slight

increase from 2011 but well below the

125000 annual average from 2000 to

2009

GRADUAL RETURN TO NORMALCY

Earlier in 2012 there were signs that con-

struction would spike in 2013 in the order

of 150000 to 200000 units Developers

have since postponed many projects to

Investment News Page 7

wwwCoffeltLandTitlecom

For title escrow

1031 amp foreclosure

Bud Whisler

816-380-3441

a Chicago-based REIT tracks

move-outs very closely every

quarter and has witnessed little to

no change in the number of resi-

dents leaving to buy a home Data

from the National Association of

Realtors also shows first-time

home-buyers percentage of sales

flat after spiking due to the Home

Buyer Tax Credit which expired in

2010 Single-family homes that are

(Continued on page 26)

APARTMENT HOUSE

INVESTING

MAREI April 4th Monthly Meeting

With Worcester Investments

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at MAREInetcomKCNorth

The Trusted Name in Kansas City

Apartment Investing

wwwWorcester-Investmentscom

ASSET PROTECTION

INSURANCE AGENCY

REO Insurance

Forced Place

Vacant Property

One Policy All

Properties

Monthly Billing

The Real Estate Industry has seriously

dropped the ball And this is not a recent

occurrencehellip

The big winner through the past few dec-

ades has been the financial services indus-

try People have to invest their money

somewhere and when real estate agents

brokers property managers made it FAR

TOO complicated to invest in houses they

turned to the sophisticated and finely tuned

model of the stock market This well-oiled

machine has done a great job of catering

to those in their wealth accumulating

phase of life And it seemed that only

those real estate investors

that were lsquohands onrsquo with

their investments were the

ones able to buy and properly

manage rental property

The fact that Financial Advisors have in-

grained themselves in American culture to

the point that anyone wanting to put some

money aside for retirement is naturally go-

ing to do it through mutual funds or stock

investments says a lot about their customer

service

Not that investing in the stock market is a

bad thing Not at allhellipbut by comparison

the fact that the RE industry has languished

behind in allowing the average John Doe an

a v e n u e t o i n v e s t h i s h a r d

earned money in Real Estate is a real

shame

Now dawns a new age of investing

where geography and physical presence

mean nothing In the same way that you

donrsquot need to drive to Atlanta and tour the

Coca Cola plant to feel comfortable invest-

ing in Coca Cola stock SBD Housingrsquos de-

tailed 9-page Investment Prospectus more

than prepares an investor to make an in-

formed buying decision SBD Housing So-

lutions is a Kansas City based operation but (Continued on page 9)

The Real Estate Industry

Has Seriously Dropped the

Ball

Page 8 MAREInetcom

Although I am not naiumlve

enough to think I can change

an industry single handedly

I believe that we in the Real

Estate services industry can

all do our part to bring some

credibility back to the sound

investment option that

ishelliphousing

Marck de Lautour BBA MBA

SBD Housing Solutions

ing properties the acquisi-

tion utilities construction

estimates project manage-

ment remodel bill payment

leasing and property man-

agement Our clients know

that the lsquovalue addedrsquo is in

the details Being able to in-

vest in Real Estate with the

same ease as the stock mar-

ket has always been the

goal

has clients from as far as

Brazil the UK Australia

South Africa and Hong Kong

Most have never seen the

assets that they own and

yet are cashing the monthly

rental checks every month

like clockwork

As an all-inclusive real estate

investment firm we special-

ize in building wealth for our

clients Taking a leaf from

the Financial Planners book

we actually take the time to

sit and discuss a plan of ac-

tion with our clients where

do they want to invest what

cash do they have available

do they plan on leveraging

their assets when will they

be looking to use the cash

flow as an income source for

retirement all of which are

just pieces of a very personal

and unique puzzle

At SBD Housing Solutions we

handle the entire operation

for our clients From target-

(Continued from page 8)

Investment News Page 9

Building Wealth

Through Real Estate

wwwSBDHousingcom

816-994-9401

CASE STUDIES

DUE DILIGENCE

MAREI April 9th Monthly Meeting

With Marck de Lautour

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at wwwMAREInetcomKCSouth

Why Buy Now In

Kansas City

Realty 411rsquos

Mid-West Real Estate

Investing Expo

Saturday April 20th

No Charge

Register

MAREInetcomRealty411

Buying Bus Tour

Sunday April 21st

Page 10 MAREInetcom

Audio Postcards will bring leads faster working

FSBOs

Listen to my Sample

httpwwwMAREINetcomAudio-Gen

This is such a great marketing method On our FSBO mar-

keting we do we get nearly 30 calling us back That is

phenomenal Below is the audio I used in the postcard as a

sample for you to listen to

Making Offers with audio postcards

The strategy I use is quite simple for making offers I will

set up searches on sites

wwwfsbocom

wwwforsalebyownercom

wwwownerscom

www4salebyownerusacom

wwwtopfsbocom

wwwbuyownercom

I set up the search to

display results All

houses within 10 miles

of ZIPCODE with 3

bedroom 2 bath gar-

age

Then I will view each property the search returns to me

Then I go to the contact information section In the email

reply form I simply cut and past the code

from AudioGenerator to the form and press submit

Voila Offer is done I direct them back to my website and

then I collect only the motivated seller leads

This is also a great way to post your customers audio

testimonial right on your website I also recommend us-

ing these postcard to make generic house offers to open

the door to negotiations This simple postcard took all of

about 5 minutes to create

Think of the impact this type of product could make on a

promotional campaign You could announce your house

buying program to motivated FSBO sellers talk about a

new property you just listed send a thank you note The

ways you can use this are plentiful Best of all the pro-

cess is very simple doesnt require the listener to down-

load any software or plug ins

On first thought they may seem like a a cutesy-gimmicky

Duncan Wierman

Real Estate Investor amp Internet Marketer

Article from Duncan Wierman at wwwDuncanWiermancom

How I Use Audio Postcards to

Grab Attention and Increase

Leads from FSBOrsquos

Investment News Page 11

wwwAPIA Protectscom

ProSource of KC West 7228 W Frontage Road

Overland Park KS 66203

913-599-4488

Offering a range of flooring

options to give wholesale

pricing and discounts to

trade professionals

solution but not many people are using this techniques

to bring them deals Try it AudioGenerator created a

great service

HARNESS THE INTERNET AND EXPLODE

YOUR REAL ESTATE BUSINESS

WITH DUNCAN WIERMAN

SPEAKING AT THE REALTY411

MID-WEST REAL ESTATE EXPO

wwwMAREInetcomRealty411

wwwAccurateTitleCocom

913-338-0100 phone

Title Services Provided for FSBO Wholesale amp REO Transactions New Construction Closings Commercial Purchases and Refinance All Types of Loan Closings 1031 Exchanges FHA VA USDA Conventional Loans and

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accurate

Accurate Closings Smooth Timely Professional

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Learn how to save money at Home De-pot and register for a 2 Rebate for all

purchases amp rentals across the US Plus 20 Discount on Paint in Kansas

City And coming in 2013 the New Home Depot App for iPad exclusively for Chapter Members to use in project esti-

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to 40 off all paint supplies and flooringmdashnationwide

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Email and Social Media Marketing Free

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Screening for tenants amp workers with 20 discount for members

FORMS amp DOCS

Member Library is packed with forms and docs plus 15 discount at EZ Landlord Forms for premium forms

Market your rentals on the nations top ranked rental site Member discount

is 20 off Regular Prices

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Receive discounts up to 65 on over 12000 products you use the most

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MAREIrsquoS MEMBER BENEFITS PROGRAM

YOUR MEMBER BENEFITS

AT-A-GLANCE USE THIS PAGE AS A GUIDE TO VALUE ADDED DISCOUNTS TOOLS AND SAVINGS CREATED JUST

FOR YOU ON GOODS AND SERVICES YOU USE EVERY DAY

E-Update

MAREIrsquos award winning weekly email

update with whatrsquos happening in real

estate including properties for sale gov-

ernment affairs and local market data

Investment News

The award winning newsletter for Mid-

America Association of Real Estate In-

vestors published monthly and distrib-

uted both in print at our meetings and

digitally to our database of over 5000

people One of the best ways to get

your message in front of a targeted

group of real estate professionals

Free issues of both magazines available at the monthly

meetings of MAREI

Landlord Services

Office Solutions

Suppliers

Marketing

News amp Information

Page 12

Member Benefits

We have several services as part

of our website to help you grow

your business

Calendar of Events to stay up to

date with all of our activities

Browse the member properties to

find your next deal Take the

time to post your investment op-

portunities for other members

and site visitors to browse

The Member Library is packed

and ever growing with pdf ver-

sions of entire books EBooks

Articles Forms and Documents

Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

REAL ESTATE BOOKS

The nationrsquos largest provider of

real estate training materi-

als DEARBORN is Americarsquos

Premier Real Estate Publish-

er Members receive up to 40

off

Special member discounts for

members at Avis Budget and

Enterprise Rentals

The Local Market Monitor tracks

real estate sales and economic

trends nation wide Offering

25 Discount for Members

MAREIrsquos Political Advocacy Group

actively monitors national legisla-

tion and rule-making that im-

pacts the real estate industry and

harnessing the strength of MAREI

members at the grassroots level

MAREI mem-

bers also re-

ceive timely

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time for our

members to

take action on

an important vote

Members also

have access

to the latest

in Market Da-

ta

Other Discounts

VISIT

wwMAREInetcom

Look under Resources amp

Members Only

Member Service

Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

Keeping each home in show-to-sell condition seven days a

week

Employing a professional decorator to decorate each home

using proven staging techniques maximizing its appeal to buyers

Hiring carefully screened and qualified Home Managers to live

in and manage each home throughout the sales process

wwwShowHomesKansasCitycom

913-227-4364

Residential

Commercial

Renovation

Demolition

Flatwork

Foundations

Full service construc-tion company offering upgrades curb ap-peal remodel or

complete renovation

Call for References

Robert Massey

Building Trades

816-868-1817

Property Management

Section 8 Housing

KC Metro Wide

Jeff Woods

Broker

wwwMyPremierLeasingcom

816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

Pricing $50 Annual $99 Annual $499 Annual

Auto Renewal $45 $90 $450

Quarterly Pricing NA

Monthly Pricing

Service Provider Listing

Ad in Monthly Newsletter

3 Vendor Tables

Credit or Debit Card Required for Auto Renewal Discounts 3 Vendor Tables with Annual Payment

MEMBERSHIP OPTIONS

join now MAREInetcomJOIN

Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

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Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

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816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

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816-756-6735

913 NE 44th ST

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$60000 3 Bed

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Newly Renovated

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816-756-6735

15400 Johnson Dr

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$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

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Virtue Investments LLC

MakebaVirtue-

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816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

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Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

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DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

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$79000 3 Bed

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Excellent Investment - Fully Rehabbed - Move in Ready

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Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

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Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

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BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

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$19500 2 Bed

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(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

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5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

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Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

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tors Networking Meets

Weekly

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Deadline Vendor

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Your Real Estate IRA

10

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Self Directed IRA

12

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Day Workshop

14

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tors Networking

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ads amp articles for

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Weekly Networking

23 24

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25

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27

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28

Lees Summit Inves-

tors Networking

29

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30 1 May

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Tables for KC North

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Self Directed IRA

Topics

3

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tors

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pendence Inv Meets

Weekly

5

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7

KC Metro South w

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Topics

8

Weekly Wed Master

Mind

9

10 11

Page 4: The Investment News:  April 2013

Page 4 MAREInetcom

Mid-America Association of

Real Estate Investors

The only National REIA Chapter in the Tri State Region Serving KS MO amp NE

Honorrsquos of Merritt Winner

National REIA Awards of Excellence

2011 amp 2012

Read Newsletter Online Anytime

MAREInetcomNewsletter

Connect with us Online

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Our Mission Statement Mid-America Association of Real Estate Investors is dedicated to promoting ethical real estate

investing and to protect and promote the best interest of our membership through educational

and networking opportunities as well as community legislative and public relations

Legal Disclaimer MAREI does not exist to render and does not give legal tax economic or investment advice and

disclaims all liability for the action or inaction taken or not as a result of communications from or

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Investment News Page 5

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wwwSherwin-Williamscom

Page 6 MAREInetcom

2014 so that 2013 figures hover closer to 130000

unitsmdashnot far off from the pre-recession 10-year av-

erage The ldquobubblerdquo now shows up in 2014 but if

economic growth ramps up by then (Moodyrsquos Econo-

mycom is projecting GDP growth of over 4 percent

in 2014 up significantly from 20 percent in 2012 and

29 percent in 2013) the additional supply will most

likely be absorbed relatively painlessly

This is not to say that certain metros will not be at

risk Washington DC and suburban Maryland for

instance both face historically high inventory growth

prospects over the next couple of years these met-

ros cannot rely on solid demand drivers like strong

employment growth in certain sectors such as tech

to push demand for rentals like Austin Texas or Se-

attle

While the single-family housing market finally ap-

pears to be on the mend this does not automatically

mean less demand for multifamily Jay Lybik vice

president for market research at Equity Residential

(Continued on page 7)

Nov 13 2012 1159 AM By Victor Calanog NREI Contributing Columnist

Much has been written recently about potential

risks to overbuilding in multifamilymdashin fact I com-

mented on this issue last April in my NREI column

but I noted that analyzing the supply side is not

enough Demand for apartments will remain strong

and will rise further if economic growth quickens

Apartment fundamentals have bounced back robust-

ly since the recession ended in June 2009 Despite

middling economic growth the national vacancy rate

dropped sharply from a peak of 80 percent at the

end of 2009 to 46 percent in the third quarter of

2012 Vacancy rates that are this low have not been

observed since late 2001

Asking and effective rents have risen for 11 consec-

utive quarters and in many areas have surpassed

previous peaks achieved in the third quarter of 2008

before the fall of Lehman Brothers Landlords face

little pressure to offer concessions given how tight

rental markets are in most places

Construction also remains tight with less

than 37000 units coming online over the

last three quarters of 2012 An additional

18000 units are expected to open their

doors in the fourth quarter that adds up to

about 55000 units for the year a slight

increase from 2011 but well below the

125000 annual average from 2000 to

2009

GRADUAL RETURN TO NORMALCY

Earlier in 2012 there were signs that con-

struction would spike in 2013 in the order

of 150000 to 200000 units Developers

have since postponed many projects to

Investment News Page 7

wwwCoffeltLandTitlecom

For title escrow

1031 amp foreclosure

Bud Whisler

816-380-3441

a Chicago-based REIT tracks

move-outs very closely every

quarter and has witnessed little to

no change in the number of resi-

dents leaving to buy a home Data

from the National Association of

Realtors also shows first-time

home-buyers percentage of sales

flat after spiking due to the Home

Buyer Tax Credit which expired in

2010 Single-family homes that are

(Continued on page 26)

APARTMENT HOUSE

INVESTING

MAREI April 4th Monthly Meeting

With Worcester Investments

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at MAREInetcomKCNorth

The Trusted Name in Kansas City

Apartment Investing

wwwWorcester-Investmentscom

ASSET PROTECTION

INSURANCE AGENCY

REO Insurance

Forced Place

Vacant Property

One Policy All

Properties

Monthly Billing

The Real Estate Industry has seriously

dropped the ball And this is not a recent

occurrencehellip

The big winner through the past few dec-

ades has been the financial services indus-

try People have to invest their money

somewhere and when real estate agents

brokers property managers made it FAR

TOO complicated to invest in houses they

turned to the sophisticated and finely tuned

model of the stock market This well-oiled

machine has done a great job of catering

to those in their wealth accumulating

phase of life And it seemed that only

those real estate investors

that were lsquohands onrsquo with

their investments were the

ones able to buy and properly

manage rental property

The fact that Financial Advisors have in-

grained themselves in American culture to

the point that anyone wanting to put some

money aside for retirement is naturally go-

ing to do it through mutual funds or stock

investments says a lot about their customer

service

Not that investing in the stock market is a

bad thing Not at allhellipbut by comparison

the fact that the RE industry has languished

behind in allowing the average John Doe an

a v e n u e t o i n v e s t h i s h a r d

earned money in Real Estate is a real

shame

Now dawns a new age of investing

where geography and physical presence

mean nothing In the same way that you

donrsquot need to drive to Atlanta and tour the

Coca Cola plant to feel comfortable invest-

ing in Coca Cola stock SBD Housingrsquos de-

tailed 9-page Investment Prospectus more

than prepares an investor to make an in-

formed buying decision SBD Housing So-

lutions is a Kansas City based operation but (Continued on page 9)

The Real Estate Industry

Has Seriously Dropped the

Ball

Page 8 MAREInetcom

Although I am not naiumlve

enough to think I can change

an industry single handedly

I believe that we in the Real

Estate services industry can

all do our part to bring some

credibility back to the sound

investment option that

ishelliphousing

Marck de Lautour BBA MBA

SBD Housing Solutions

ing properties the acquisi-

tion utilities construction

estimates project manage-

ment remodel bill payment

leasing and property man-

agement Our clients know

that the lsquovalue addedrsquo is in

the details Being able to in-

vest in Real Estate with the

same ease as the stock mar-

ket has always been the

goal

has clients from as far as

Brazil the UK Australia

South Africa and Hong Kong

Most have never seen the

assets that they own and

yet are cashing the monthly

rental checks every month

like clockwork

As an all-inclusive real estate

investment firm we special-

ize in building wealth for our

clients Taking a leaf from

the Financial Planners book

we actually take the time to

sit and discuss a plan of ac-

tion with our clients where

do they want to invest what

cash do they have available

do they plan on leveraging

their assets when will they

be looking to use the cash

flow as an income source for

retirement all of which are

just pieces of a very personal

and unique puzzle

At SBD Housing Solutions we

handle the entire operation

for our clients From target-

(Continued from page 8)

Investment News Page 9

Building Wealth

Through Real Estate

wwwSBDHousingcom

816-994-9401

CASE STUDIES

DUE DILIGENCE

MAREI April 9th Monthly Meeting

With Marck de Lautour

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at wwwMAREInetcomKCSouth

Why Buy Now In

Kansas City

Realty 411rsquos

Mid-West Real Estate

Investing Expo

Saturday April 20th

No Charge

Register

MAREInetcomRealty411

Buying Bus Tour

Sunday April 21st

Page 10 MAREInetcom

Audio Postcards will bring leads faster working

FSBOs

Listen to my Sample

httpwwwMAREINetcomAudio-Gen

This is such a great marketing method On our FSBO mar-

keting we do we get nearly 30 calling us back That is

phenomenal Below is the audio I used in the postcard as a

sample for you to listen to

Making Offers with audio postcards

The strategy I use is quite simple for making offers I will

set up searches on sites

wwwfsbocom

wwwforsalebyownercom

wwwownerscom

www4salebyownerusacom

wwwtopfsbocom

wwwbuyownercom

I set up the search to

display results All

houses within 10 miles

of ZIPCODE with 3

bedroom 2 bath gar-

age

Then I will view each property the search returns to me

Then I go to the contact information section In the email

reply form I simply cut and past the code

from AudioGenerator to the form and press submit

Voila Offer is done I direct them back to my website and

then I collect only the motivated seller leads

This is also a great way to post your customers audio

testimonial right on your website I also recommend us-

ing these postcard to make generic house offers to open

the door to negotiations This simple postcard took all of

about 5 minutes to create

Think of the impact this type of product could make on a

promotional campaign You could announce your house

buying program to motivated FSBO sellers talk about a

new property you just listed send a thank you note The

ways you can use this are plentiful Best of all the pro-

cess is very simple doesnt require the listener to down-

load any software or plug ins

On first thought they may seem like a a cutesy-gimmicky

Duncan Wierman

Real Estate Investor amp Internet Marketer

Article from Duncan Wierman at wwwDuncanWiermancom

How I Use Audio Postcards to

Grab Attention and Increase

Leads from FSBOrsquos

Investment News Page 11

wwwAPIA Protectscom

ProSource of KC West 7228 W Frontage Road

Overland Park KS 66203

913-599-4488

Offering a range of flooring

options to give wholesale

pricing and discounts to

trade professionals

solution but not many people are using this techniques

to bring them deals Try it AudioGenerator created a

great service

HARNESS THE INTERNET AND EXPLODE

YOUR REAL ESTATE BUSINESS

WITH DUNCAN WIERMAN

SPEAKING AT THE REALTY411

MID-WEST REAL ESTATE EXPO

wwwMAREInetcomRealty411

wwwAccurateTitleCocom

913-338-0100 phone

Title Services Provided for FSBO Wholesale amp REO Transactions New Construction Closings Commercial Purchases and Refinance All Types of Loan Closings 1031 Exchanges FHA VA USDA Conventional Loans and

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Learn how to save money at Home De-pot and register for a 2 Rebate for all

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All members receive a discount card to access our exclusive discounts up

to 40 off all paint supplies and flooringmdashnationwide

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Email and Social Media Marketing Free

Trial and Discounts for paying in ad-

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Screening for tenants amp workers with 20 discount for members

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Member Library is packed with forms and docs plus 15 discount at EZ Landlord Forms for premium forms

Market your rentals on the nations top ranked rental site Member discount

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MAREIrsquoS MEMBER BENEFITS PROGRAM

YOUR MEMBER BENEFITS

AT-A-GLANCE USE THIS PAGE AS A GUIDE TO VALUE ADDED DISCOUNTS TOOLS AND SAVINGS CREATED JUST

FOR YOU ON GOODS AND SERVICES YOU USE EVERY DAY

E-Update

MAREIrsquos award winning weekly email

update with whatrsquos happening in real

estate including properties for sale gov-

ernment affairs and local market data

Investment News

The award winning newsletter for Mid-

America Association of Real Estate In-

vestors published monthly and distrib-

uted both in print at our meetings and

digitally to our database of over 5000

people One of the best ways to get

your message in front of a targeted

group of real estate professionals

Free issues of both magazines available at the monthly

meetings of MAREI

Landlord Services

Office Solutions

Suppliers

Marketing

News amp Information

Page 12

Member Benefits

We have several services as part

of our website to help you grow

your business

Calendar of Events to stay up to

date with all of our activities

Browse the member properties to

find your next deal Take the

time to post your investment op-

portunities for other members

and site visitors to browse

The Member Library is packed

and ever growing with pdf ver-

sions of entire books EBooks

Articles Forms and Documents

Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

REAL ESTATE BOOKS

The nationrsquos largest provider of

real estate training materi-

als DEARBORN is Americarsquos

Premier Real Estate Publish-

er Members receive up to 40

off

Special member discounts for

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The Local Market Monitor tracks

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MAREIrsquos Political Advocacy Group

actively monitors national legisla-

tion and rule-making that im-

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harnessing the strength of MAREI

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MAREI mem-

bers also re-

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take action on

an important vote

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have access

to the latest

in Market Da-

ta

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VISIT

wwMAREInetcom

Look under Resources amp

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Member Service

Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

Keeping each home in show-to-sell condition seven days a

week

Employing a professional decorator to decorate each home

using proven staging techniques maximizing its appeal to buyers

Hiring carefully screened and qualified Home Managers to live

in and manage each home throughout the sales process

wwwShowHomesKansasCitycom

913-227-4364

Residential

Commercial

Renovation

Demolition

Flatwork

Foundations

Full service construc-tion company offering upgrades curb ap-peal remodel or

complete renovation

Call for References

Robert Massey

Building Trades

816-868-1817

Property Management

Section 8 Housing

KC Metro Wide

Jeff Woods

Broker

wwwMyPremierLeasingcom

816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

Pricing $50 Annual $99 Annual $499 Annual

Auto Renewal $45 $90 $450

Quarterly Pricing NA

Monthly Pricing

Service Provider Listing

Ad in Monthly Newsletter

3 Vendor Tables

Credit or Debit Card Required for Auto Renewal Discounts 3 Vendor Tables with Annual Payment

MEMBERSHIP OPTIONS

join now MAREInetcomJOIN

Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

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5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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Subscribe amp Sync

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The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

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Table KC North

4

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Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

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Deadline Vendor

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Webinar Leverage

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Self Directed IRA

12

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Day Workshop

14

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tors Networking

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ads amp articles for

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Weekly Networking

23 24

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25

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28

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tors Networking

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30 1 May

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pendence Inv Meets

Weekly

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Topics

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Mind

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10 11

Page 5: The Investment News:  April 2013

Investment News Page 5

LET US HELP

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Page 6 MAREInetcom

2014 so that 2013 figures hover closer to 130000

unitsmdashnot far off from the pre-recession 10-year av-

erage The ldquobubblerdquo now shows up in 2014 but if

economic growth ramps up by then (Moodyrsquos Econo-

mycom is projecting GDP growth of over 4 percent

in 2014 up significantly from 20 percent in 2012 and

29 percent in 2013) the additional supply will most

likely be absorbed relatively painlessly

This is not to say that certain metros will not be at

risk Washington DC and suburban Maryland for

instance both face historically high inventory growth

prospects over the next couple of years these met-

ros cannot rely on solid demand drivers like strong

employment growth in certain sectors such as tech

to push demand for rentals like Austin Texas or Se-

attle

While the single-family housing market finally ap-

pears to be on the mend this does not automatically

mean less demand for multifamily Jay Lybik vice

president for market research at Equity Residential

(Continued on page 7)

Nov 13 2012 1159 AM By Victor Calanog NREI Contributing Columnist

Much has been written recently about potential

risks to overbuilding in multifamilymdashin fact I com-

mented on this issue last April in my NREI column

but I noted that analyzing the supply side is not

enough Demand for apartments will remain strong

and will rise further if economic growth quickens

Apartment fundamentals have bounced back robust-

ly since the recession ended in June 2009 Despite

middling economic growth the national vacancy rate

dropped sharply from a peak of 80 percent at the

end of 2009 to 46 percent in the third quarter of

2012 Vacancy rates that are this low have not been

observed since late 2001

Asking and effective rents have risen for 11 consec-

utive quarters and in many areas have surpassed

previous peaks achieved in the third quarter of 2008

before the fall of Lehman Brothers Landlords face

little pressure to offer concessions given how tight

rental markets are in most places

Construction also remains tight with less

than 37000 units coming online over the

last three quarters of 2012 An additional

18000 units are expected to open their

doors in the fourth quarter that adds up to

about 55000 units for the year a slight

increase from 2011 but well below the

125000 annual average from 2000 to

2009

GRADUAL RETURN TO NORMALCY

Earlier in 2012 there were signs that con-

struction would spike in 2013 in the order

of 150000 to 200000 units Developers

have since postponed many projects to

Investment News Page 7

wwwCoffeltLandTitlecom

For title escrow

1031 amp foreclosure

Bud Whisler

816-380-3441

a Chicago-based REIT tracks

move-outs very closely every

quarter and has witnessed little to

no change in the number of resi-

dents leaving to buy a home Data

from the National Association of

Realtors also shows first-time

home-buyers percentage of sales

flat after spiking due to the Home

Buyer Tax Credit which expired in

2010 Single-family homes that are

(Continued on page 26)

APARTMENT HOUSE

INVESTING

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wwwWorcester-Investmentscom

ASSET PROTECTION

INSURANCE AGENCY

REO Insurance

Forced Place

Vacant Property

One Policy All

Properties

Monthly Billing

The Real Estate Industry has seriously

dropped the ball And this is not a recent

occurrencehellip

The big winner through the past few dec-

ades has been the financial services indus-

try People have to invest their money

somewhere and when real estate agents

brokers property managers made it FAR

TOO complicated to invest in houses they

turned to the sophisticated and finely tuned

model of the stock market This well-oiled

machine has done a great job of catering

to those in their wealth accumulating

phase of life And it seemed that only

those real estate investors

that were lsquohands onrsquo with

their investments were the

ones able to buy and properly

manage rental property

The fact that Financial Advisors have in-

grained themselves in American culture to

the point that anyone wanting to put some

money aside for retirement is naturally go-

ing to do it through mutual funds or stock

investments says a lot about their customer

service

Not that investing in the stock market is a

bad thing Not at allhellipbut by comparison

the fact that the RE industry has languished

behind in allowing the average John Doe an

a v e n u e t o i n v e s t h i s h a r d

earned money in Real Estate is a real

shame

Now dawns a new age of investing

where geography and physical presence

mean nothing In the same way that you

donrsquot need to drive to Atlanta and tour the

Coca Cola plant to feel comfortable invest-

ing in Coca Cola stock SBD Housingrsquos de-

tailed 9-page Investment Prospectus more

than prepares an investor to make an in-

formed buying decision SBD Housing So-

lutions is a Kansas City based operation but (Continued on page 9)

The Real Estate Industry

Has Seriously Dropped the

Ball

Page 8 MAREInetcom

Although I am not naiumlve

enough to think I can change

an industry single handedly

I believe that we in the Real

Estate services industry can

all do our part to bring some

credibility back to the sound

investment option that

ishelliphousing

Marck de Lautour BBA MBA

SBD Housing Solutions

ing properties the acquisi-

tion utilities construction

estimates project manage-

ment remodel bill payment

leasing and property man-

agement Our clients know

that the lsquovalue addedrsquo is in

the details Being able to in-

vest in Real Estate with the

same ease as the stock mar-

ket has always been the

goal

has clients from as far as

Brazil the UK Australia

South Africa and Hong Kong

Most have never seen the

assets that they own and

yet are cashing the monthly

rental checks every month

like clockwork

As an all-inclusive real estate

investment firm we special-

ize in building wealth for our

clients Taking a leaf from

the Financial Planners book

we actually take the time to

sit and discuss a plan of ac-

tion with our clients where

do they want to invest what

cash do they have available

do they plan on leveraging

their assets when will they

be looking to use the cash

flow as an income source for

retirement all of which are

just pieces of a very personal

and unique puzzle

At SBD Housing Solutions we

handle the entire operation

for our clients From target-

(Continued from page 8)

Investment News Page 9

Building Wealth

Through Real Estate

wwwSBDHousingcom

816-994-9401

CASE STUDIES

DUE DILIGENCE

MAREI April 9th Monthly Meeting

With Marck de Lautour

600 pm Networking

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715 Presentation

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Realty 411rsquos

Mid-West Real Estate

Investing Expo

Saturday April 20th

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Register

MAREInetcomRealty411

Buying Bus Tour

Sunday April 21st

Page 10 MAREInetcom

Audio Postcards will bring leads faster working

FSBOs

Listen to my Sample

httpwwwMAREINetcomAudio-Gen

This is such a great marketing method On our FSBO mar-

keting we do we get nearly 30 calling us back That is

phenomenal Below is the audio I used in the postcard as a

sample for you to listen to

Making Offers with audio postcards

The strategy I use is quite simple for making offers I will

set up searches on sites

wwwfsbocom

wwwforsalebyownercom

wwwownerscom

www4salebyownerusacom

wwwtopfsbocom

wwwbuyownercom

I set up the search to

display results All

houses within 10 miles

of ZIPCODE with 3

bedroom 2 bath gar-

age

Then I will view each property the search returns to me

Then I go to the contact information section In the email

reply form I simply cut and past the code

from AudioGenerator to the form and press submit

Voila Offer is done I direct them back to my website and

then I collect only the motivated seller leads

This is also a great way to post your customers audio

testimonial right on your website I also recommend us-

ing these postcard to make generic house offers to open

the door to negotiations This simple postcard took all of

about 5 minutes to create

Think of the impact this type of product could make on a

promotional campaign You could announce your house

buying program to motivated FSBO sellers talk about a

new property you just listed send a thank you note The

ways you can use this are plentiful Best of all the pro-

cess is very simple doesnt require the listener to down-

load any software or plug ins

On first thought they may seem like a a cutesy-gimmicky

Duncan Wierman

Real Estate Investor amp Internet Marketer

Article from Duncan Wierman at wwwDuncanWiermancom

How I Use Audio Postcards to

Grab Attention and Increase

Leads from FSBOrsquos

Investment News Page 11

wwwAPIA Protectscom

ProSource of KC West 7228 W Frontage Road

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Offering a range of flooring

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solution but not many people are using this techniques

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E-Update

MAREIrsquos award winning weekly email

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Investment News

The award winning newsletter for Mid-

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Free issues of both magazines available at the monthly

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Landlord Services

Office Solutions

Suppliers

Marketing

News amp Information

Page 12

Member Benefits

We have several services as part

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Calendar of Events to stay up to

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Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

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Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

Keeping each home in show-to-sell condition seven days a

week

Employing a professional decorator to decorate each home

using proven staging techniques maximizing its appeal to buyers

Hiring carefully screened and qualified Home Managers to live

in and manage each home throughout the sales process

wwwShowHomesKansasCitycom

913-227-4364

Residential

Commercial

Renovation

Demolition

Flatwork

Foundations

Full service construc-tion company offering upgrades curb ap-peal remodel or

complete renovation

Call for References

Robert Massey

Building Trades

816-868-1817

Property Management

Section 8 Housing

KC Metro Wide

Jeff Woods

Broker

wwwMyPremierLeasingcom

816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

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Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

Hard Money is the Answer

Leverage available investment capital and triple

your cash on cash returns

Have the ability to close in 2 - 5 days

Take down investment properties FAST

Get feedback from an experienced lender who did

over 150 deals last year

Build cash-flow quickly and simply through real

estate

Diversify your capital across multiple properties

and spread your risk

Private Funding for

Serious Real Estate Investors

1 Point Discount for MAREI Members

wwwLonghornInvestmentscom

Mike Friedl 913-634-6386

Insurance for

Vacant Properties

Rehab Properties

Renter Insurance for Your Tenants

Business Insurance

Umbrella Liability

Health Insurance

Life Insurance

wwwMOFBcom

Stephanie Cunliff

816-781-4370

Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

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Everything Is In Stock

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wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

RealtyRealtyRealty411411411 MidMidMid---West West West ExpoExpoExpo

EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

VIP Seats $10

Register

MAREInetcomRealty411

VENDOR BOOTHS STILL AVAILABLE

radic SAVE THE DATE

radic REGISTER

radic BUSINESS CARDS

radic INVITE A FREIND

Real Estate Investing is has become one of the hottest

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Richest People in the Country earned their wealth

through Real Estate Find out the reasons for this at the

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Join 200 or more local national and international Inves-

tors at one of the Biggest Events in the Mid-West to

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How to Harness the Internet to Explode Business

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The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

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Meet Tim Herriage Top Investor Wholesal-

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Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

Hosted by SBD Housing Solutions

After Party

Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 6: The Investment News:  April 2013

Page 6 MAREInetcom

2014 so that 2013 figures hover closer to 130000

unitsmdashnot far off from the pre-recession 10-year av-

erage The ldquobubblerdquo now shows up in 2014 but if

economic growth ramps up by then (Moodyrsquos Econo-

mycom is projecting GDP growth of over 4 percent

in 2014 up significantly from 20 percent in 2012 and

29 percent in 2013) the additional supply will most

likely be absorbed relatively painlessly

This is not to say that certain metros will not be at

risk Washington DC and suburban Maryland for

instance both face historically high inventory growth

prospects over the next couple of years these met-

ros cannot rely on solid demand drivers like strong

employment growth in certain sectors such as tech

to push demand for rentals like Austin Texas or Se-

attle

While the single-family housing market finally ap-

pears to be on the mend this does not automatically

mean less demand for multifamily Jay Lybik vice

president for market research at Equity Residential

(Continued on page 7)

Nov 13 2012 1159 AM By Victor Calanog NREI Contributing Columnist

Much has been written recently about potential

risks to overbuilding in multifamilymdashin fact I com-

mented on this issue last April in my NREI column

but I noted that analyzing the supply side is not

enough Demand for apartments will remain strong

and will rise further if economic growth quickens

Apartment fundamentals have bounced back robust-

ly since the recession ended in June 2009 Despite

middling economic growth the national vacancy rate

dropped sharply from a peak of 80 percent at the

end of 2009 to 46 percent in the third quarter of

2012 Vacancy rates that are this low have not been

observed since late 2001

Asking and effective rents have risen for 11 consec-

utive quarters and in many areas have surpassed

previous peaks achieved in the third quarter of 2008

before the fall of Lehman Brothers Landlords face

little pressure to offer concessions given how tight

rental markets are in most places

Construction also remains tight with less

than 37000 units coming online over the

last three quarters of 2012 An additional

18000 units are expected to open their

doors in the fourth quarter that adds up to

about 55000 units for the year a slight

increase from 2011 but well below the

125000 annual average from 2000 to

2009

GRADUAL RETURN TO NORMALCY

Earlier in 2012 there were signs that con-

struction would spike in 2013 in the order

of 150000 to 200000 units Developers

have since postponed many projects to

Investment News Page 7

wwwCoffeltLandTitlecom

For title escrow

1031 amp foreclosure

Bud Whisler

816-380-3441

a Chicago-based REIT tracks

move-outs very closely every

quarter and has witnessed little to

no change in the number of resi-

dents leaving to buy a home Data

from the National Association of

Realtors also shows first-time

home-buyers percentage of sales

flat after spiking due to the Home

Buyer Tax Credit which expired in

2010 Single-family homes that are

(Continued on page 26)

APARTMENT HOUSE

INVESTING

MAREI April 4th Monthly Meeting

With Worcester Investments

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at MAREInetcomKCNorth

The Trusted Name in Kansas City

Apartment Investing

wwwWorcester-Investmentscom

ASSET PROTECTION

INSURANCE AGENCY

REO Insurance

Forced Place

Vacant Property

One Policy All

Properties

Monthly Billing

The Real Estate Industry has seriously

dropped the ball And this is not a recent

occurrencehellip

The big winner through the past few dec-

ades has been the financial services indus-

try People have to invest their money

somewhere and when real estate agents

brokers property managers made it FAR

TOO complicated to invest in houses they

turned to the sophisticated and finely tuned

model of the stock market This well-oiled

machine has done a great job of catering

to those in their wealth accumulating

phase of life And it seemed that only

those real estate investors

that were lsquohands onrsquo with

their investments were the

ones able to buy and properly

manage rental property

The fact that Financial Advisors have in-

grained themselves in American culture to

the point that anyone wanting to put some

money aside for retirement is naturally go-

ing to do it through mutual funds or stock

investments says a lot about their customer

service

Not that investing in the stock market is a

bad thing Not at allhellipbut by comparison

the fact that the RE industry has languished

behind in allowing the average John Doe an

a v e n u e t o i n v e s t h i s h a r d

earned money in Real Estate is a real

shame

Now dawns a new age of investing

where geography and physical presence

mean nothing In the same way that you

donrsquot need to drive to Atlanta and tour the

Coca Cola plant to feel comfortable invest-

ing in Coca Cola stock SBD Housingrsquos de-

tailed 9-page Investment Prospectus more

than prepares an investor to make an in-

formed buying decision SBD Housing So-

lutions is a Kansas City based operation but (Continued on page 9)

The Real Estate Industry

Has Seriously Dropped the

Ball

Page 8 MAREInetcom

Although I am not naiumlve

enough to think I can change

an industry single handedly

I believe that we in the Real

Estate services industry can

all do our part to bring some

credibility back to the sound

investment option that

ishelliphousing

Marck de Lautour BBA MBA

SBD Housing Solutions

ing properties the acquisi-

tion utilities construction

estimates project manage-

ment remodel bill payment

leasing and property man-

agement Our clients know

that the lsquovalue addedrsquo is in

the details Being able to in-

vest in Real Estate with the

same ease as the stock mar-

ket has always been the

goal

has clients from as far as

Brazil the UK Australia

South Africa and Hong Kong

Most have never seen the

assets that they own and

yet are cashing the monthly

rental checks every month

like clockwork

As an all-inclusive real estate

investment firm we special-

ize in building wealth for our

clients Taking a leaf from

the Financial Planners book

we actually take the time to

sit and discuss a plan of ac-

tion with our clients where

do they want to invest what

cash do they have available

do they plan on leveraging

their assets when will they

be looking to use the cash

flow as an income source for

retirement all of which are

just pieces of a very personal

and unique puzzle

At SBD Housing Solutions we

handle the entire operation

for our clients From target-

(Continued from page 8)

Investment News Page 9

Building Wealth

Through Real Estate

wwwSBDHousingcom

816-994-9401

CASE STUDIES

DUE DILIGENCE

MAREI April 9th Monthly Meeting

With Marck de Lautour

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at wwwMAREInetcomKCSouth

Why Buy Now In

Kansas City

Realty 411rsquos

Mid-West Real Estate

Investing Expo

Saturday April 20th

No Charge

Register

MAREInetcomRealty411

Buying Bus Tour

Sunday April 21st

Page 10 MAREInetcom

Audio Postcards will bring leads faster working

FSBOs

Listen to my Sample

httpwwwMAREINetcomAudio-Gen

This is such a great marketing method On our FSBO mar-

keting we do we get nearly 30 calling us back That is

phenomenal Below is the audio I used in the postcard as a

sample for you to listen to

Making Offers with audio postcards

The strategy I use is quite simple for making offers I will

set up searches on sites

wwwfsbocom

wwwforsalebyownercom

wwwownerscom

www4salebyownerusacom

wwwtopfsbocom

wwwbuyownercom

I set up the search to

display results All

houses within 10 miles

of ZIPCODE with 3

bedroom 2 bath gar-

age

Then I will view each property the search returns to me

Then I go to the contact information section In the email

reply form I simply cut and past the code

from AudioGenerator to the form and press submit

Voila Offer is done I direct them back to my website and

then I collect only the motivated seller leads

This is also a great way to post your customers audio

testimonial right on your website I also recommend us-

ing these postcard to make generic house offers to open

the door to negotiations This simple postcard took all of

about 5 minutes to create

Think of the impact this type of product could make on a

promotional campaign You could announce your house

buying program to motivated FSBO sellers talk about a

new property you just listed send a thank you note The

ways you can use this are plentiful Best of all the pro-

cess is very simple doesnt require the listener to down-

load any software or plug ins

On first thought they may seem like a a cutesy-gimmicky

Duncan Wierman

Real Estate Investor amp Internet Marketer

Article from Duncan Wierman at wwwDuncanWiermancom

How I Use Audio Postcards to

Grab Attention and Increase

Leads from FSBOrsquos

Investment News Page 11

wwwAPIA Protectscom

ProSource of KC West 7228 W Frontage Road

Overland Park KS 66203

913-599-4488

Offering a range of flooring

options to give wholesale

pricing and discounts to

trade professionals

solution but not many people are using this techniques

to bring them deals Try it AudioGenerator created a

great service

HARNESS THE INTERNET AND EXPLODE

YOUR REAL ESTATE BUSINESS

WITH DUNCAN WIERMAN

SPEAKING AT THE REALTY411

MID-WEST REAL ESTATE EXPO

wwwMAREInetcomRealty411

wwwAccurateTitleCocom

913-338-0100 phone

Title Services Provided for FSBO Wholesale amp REO Transactions New Construction Closings Commercial Purchases and Refinance All Types of Loan Closings 1031 Exchanges FHA VA USDA Conventional Loans and

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AT-A-GLANCE USE THIS PAGE AS A GUIDE TO VALUE ADDED DISCOUNTS TOOLS AND SAVINGS CREATED JUST

FOR YOU ON GOODS AND SERVICES YOU USE EVERY DAY

E-Update

MAREIrsquos award winning weekly email

update with whatrsquos happening in real

estate including properties for sale gov-

ernment affairs and local market data

Investment News

The award winning newsletter for Mid-

America Association of Real Estate In-

vestors published monthly and distrib-

uted both in print at our meetings and

digitally to our database of over 5000

people One of the best ways to get

your message in front of a targeted

group of real estate professionals

Free issues of both magazines available at the monthly

meetings of MAREI

Landlord Services

Office Solutions

Suppliers

Marketing

News amp Information

Page 12

Member Benefits

We have several services as part

of our website to help you grow

your business

Calendar of Events to stay up to

date with all of our activities

Browse the member properties to

find your next deal Take the

time to post your investment op-

portunities for other members

and site visitors to browse

The Member Library is packed

and ever growing with pdf ver-

sions of entire books EBooks

Articles Forms and Documents

Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

REAL ESTATE BOOKS

The nationrsquos largest provider of

real estate training materi-

als DEARBORN is Americarsquos

Premier Real Estate Publish-

er Members receive up to 40

off

Special member discounts for

members at Avis Budget and

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The Local Market Monitor tracks

real estate sales and economic

trends nation wide Offering

25 Discount for Members

MAREIrsquos Political Advocacy Group

actively monitors national legisla-

tion and rule-making that im-

pacts the real estate industry and

harnessing the strength of MAREI

members at the grassroots level

MAREI mem-

bers also re-

ceive timely

Calls to Action

when there is a

time for our

members to

take action on

an important vote

Members also

have access

to the latest

in Market Da-

ta

Other Discounts

VISIT

wwMAREInetcom

Look under Resources amp

Members Only

Member Service

Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

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Residential

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Call for References

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816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

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Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Diversify your capital across multiple properties

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Insurance for

Vacant Properties

Rehab Properties

Renter Insurance for Your Tenants

Business Insurance

Umbrella Liability

Health Insurance

Life Insurance

wwwMOFBcom

Stephanie Cunliff

816-781-4370

Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

We Ship Fast

Free Design Help

wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

RealtyRealtyRealty411411411 MidMidMid---West West West ExpoExpoExpo

EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

VIP Seats $10

Register

MAREInetcomRealty411

VENDOR BOOTHS STILL AVAILABLE

radic SAVE THE DATE

radic REGISTER

radic BUSINESS CARDS

radic INVITE A FREIND

Real Estate Investing is has become one of the hottest

trends for entrepreneurs to make money Attendance at

real estate associations meetings is way up Many of the

Richest People in the Country earned their wealth

through Real Estate Find out the reasons for this at the

Expo

Join 200 or more local national and international Inves-

tors at one of the Biggest Events in the Mid-West to

learn

How to Harness the Internet to Explode Business

with Duncan Wierman Internet Marketer Turned Real Estate

Investor

The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

the Best Investments and Kevin Rollings

with Self Storage Facility Management CAN

help you Compete with the Big Guys

Meet Tim Herriage Top Investor Wholesal-

er and National Development Agent for

HomeVestorsreg

Leverage your Available Investment

Capital and Close Quickly on your

Rehabs and Flips with Hard Money

Loans from Longhorn Investments

Find out about the California Market and

Markets from Around the Country from

our host the Linda Pliagas Investor and

Publisher of Realty 411 reWealth and

CashFlow Express Magazines

Build YOUR Kansas City Team and

Portfolio while supporting the Real Estate

Investing Industry with Mid-America Associ-

ation of Real Estate Investors

REGISTER NOW

wwwMAREInetcom411

Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

Hosted by SBD Housing Solutions

After Party

Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 7: The Investment News:  April 2013

Investment News Page 7

wwwCoffeltLandTitlecom

For title escrow

1031 amp foreclosure

Bud Whisler

816-380-3441

a Chicago-based REIT tracks

move-outs very closely every

quarter and has witnessed little to

no change in the number of resi-

dents leaving to buy a home Data

from the National Association of

Realtors also shows first-time

home-buyers percentage of sales

flat after spiking due to the Home

Buyer Tax Credit which expired in

2010 Single-family homes that are

(Continued on page 26)

APARTMENT HOUSE

INVESTING

MAREI April 4th Monthly Meeting

With Worcester Investments

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at MAREInetcomKCNorth

The Trusted Name in Kansas City

Apartment Investing

wwwWorcester-Investmentscom

ASSET PROTECTION

INSURANCE AGENCY

REO Insurance

Forced Place

Vacant Property

One Policy All

Properties

Monthly Billing

The Real Estate Industry has seriously

dropped the ball And this is not a recent

occurrencehellip

The big winner through the past few dec-

ades has been the financial services indus-

try People have to invest their money

somewhere and when real estate agents

brokers property managers made it FAR

TOO complicated to invest in houses they

turned to the sophisticated and finely tuned

model of the stock market This well-oiled

machine has done a great job of catering

to those in their wealth accumulating

phase of life And it seemed that only

those real estate investors

that were lsquohands onrsquo with

their investments were the

ones able to buy and properly

manage rental property

The fact that Financial Advisors have in-

grained themselves in American culture to

the point that anyone wanting to put some

money aside for retirement is naturally go-

ing to do it through mutual funds or stock

investments says a lot about their customer

service

Not that investing in the stock market is a

bad thing Not at allhellipbut by comparison

the fact that the RE industry has languished

behind in allowing the average John Doe an

a v e n u e t o i n v e s t h i s h a r d

earned money in Real Estate is a real

shame

Now dawns a new age of investing

where geography and physical presence

mean nothing In the same way that you

donrsquot need to drive to Atlanta and tour the

Coca Cola plant to feel comfortable invest-

ing in Coca Cola stock SBD Housingrsquos de-

tailed 9-page Investment Prospectus more

than prepares an investor to make an in-

formed buying decision SBD Housing So-

lutions is a Kansas City based operation but (Continued on page 9)

The Real Estate Industry

Has Seriously Dropped the

Ball

Page 8 MAREInetcom

Although I am not naiumlve

enough to think I can change

an industry single handedly

I believe that we in the Real

Estate services industry can

all do our part to bring some

credibility back to the sound

investment option that

ishelliphousing

Marck de Lautour BBA MBA

SBD Housing Solutions

ing properties the acquisi-

tion utilities construction

estimates project manage-

ment remodel bill payment

leasing and property man-

agement Our clients know

that the lsquovalue addedrsquo is in

the details Being able to in-

vest in Real Estate with the

same ease as the stock mar-

ket has always been the

goal

has clients from as far as

Brazil the UK Australia

South Africa and Hong Kong

Most have never seen the

assets that they own and

yet are cashing the monthly

rental checks every month

like clockwork

As an all-inclusive real estate

investment firm we special-

ize in building wealth for our

clients Taking a leaf from

the Financial Planners book

we actually take the time to

sit and discuss a plan of ac-

tion with our clients where

do they want to invest what

cash do they have available

do they plan on leveraging

their assets when will they

be looking to use the cash

flow as an income source for

retirement all of which are

just pieces of a very personal

and unique puzzle

At SBD Housing Solutions we

handle the entire operation

for our clients From target-

(Continued from page 8)

Investment News Page 9

Building Wealth

Through Real Estate

wwwSBDHousingcom

816-994-9401

CASE STUDIES

DUE DILIGENCE

MAREI April 9th Monthly Meeting

With Marck de Lautour

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at wwwMAREInetcomKCSouth

Why Buy Now In

Kansas City

Realty 411rsquos

Mid-West Real Estate

Investing Expo

Saturday April 20th

No Charge

Register

MAREInetcomRealty411

Buying Bus Tour

Sunday April 21st

Page 10 MAREInetcom

Audio Postcards will bring leads faster working

FSBOs

Listen to my Sample

httpwwwMAREINetcomAudio-Gen

This is such a great marketing method On our FSBO mar-

keting we do we get nearly 30 calling us back That is

phenomenal Below is the audio I used in the postcard as a

sample for you to listen to

Making Offers with audio postcards

The strategy I use is quite simple for making offers I will

set up searches on sites

wwwfsbocom

wwwforsalebyownercom

wwwownerscom

www4salebyownerusacom

wwwtopfsbocom

wwwbuyownercom

I set up the search to

display results All

houses within 10 miles

of ZIPCODE with 3

bedroom 2 bath gar-

age

Then I will view each property the search returns to me

Then I go to the contact information section In the email

reply form I simply cut and past the code

from AudioGenerator to the form and press submit

Voila Offer is done I direct them back to my website and

then I collect only the motivated seller leads

This is also a great way to post your customers audio

testimonial right on your website I also recommend us-

ing these postcard to make generic house offers to open

the door to negotiations This simple postcard took all of

about 5 minutes to create

Think of the impact this type of product could make on a

promotional campaign You could announce your house

buying program to motivated FSBO sellers talk about a

new property you just listed send a thank you note The

ways you can use this are plentiful Best of all the pro-

cess is very simple doesnt require the listener to down-

load any software or plug ins

On first thought they may seem like a a cutesy-gimmicky

Duncan Wierman

Real Estate Investor amp Internet Marketer

Article from Duncan Wierman at wwwDuncanWiermancom

How I Use Audio Postcards to

Grab Attention and Increase

Leads from FSBOrsquos

Investment News Page 11

wwwAPIA Protectscom

ProSource of KC West 7228 W Frontage Road

Overland Park KS 66203

913-599-4488

Offering a range of flooring

options to give wholesale

pricing and discounts to

trade professionals

solution but not many people are using this techniques

to bring them deals Try it AudioGenerator created a

great service

HARNESS THE INTERNET AND EXPLODE

YOUR REAL ESTATE BUSINESS

WITH DUNCAN WIERMAN

SPEAKING AT THE REALTY411

MID-WEST REAL ESTATE EXPO

wwwMAREInetcomRealty411

wwwAccurateTitleCocom

913-338-0100 phone

Title Services Provided for FSBO Wholesale amp REO Transactions New Construction Closings Commercial Purchases and Refinance All Types of Loan Closings 1031 Exchanges FHA VA USDA Conventional Loans and

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accurate

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Learn how to save money at Home De-pot and register for a 2 Rebate for all

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to 40 off all paint supplies and flooringmdashnationwide

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Screening for tenants amp workers with 20 discount for members

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Member Library is packed with forms and docs plus 15 discount at EZ Landlord Forms for premium forms

Market your rentals on the nations top ranked rental site Member discount

is 20 off Regular Prices

Save on select FedEx Office copy and print services up to 20 and on Fed-

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Receive discounts up to 65 on over 12000 products you use the most

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MAREIrsquoS MEMBER BENEFITS PROGRAM

YOUR MEMBER BENEFITS

AT-A-GLANCE USE THIS PAGE AS A GUIDE TO VALUE ADDED DISCOUNTS TOOLS AND SAVINGS CREATED JUST

FOR YOU ON GOODS AND SERVICES YOU USE EVERY DAY

E-Update

MAREIrsquos award winning weekly email

update with whatrsquos happening in real

estate including properties for sale gov-

ernment affairs and local market data

Investment News

The award winning newsletter for Mid-

America Association of Real Estate In-

vestors published monthly and distrib-

uted both in print at our meetings and

digitally to our database of over 5000

people One of the best ways to get

your message in front of a targeted

group of real estate professionals

Free issues of both magazines available at the monthly

meetings of MAREI

Landlord Services

Office Solutions

Suppliers

Marketing

News amp Information

Page 12

Member Benefits

We have several services as part

of our website to help you grow

your business

Calendar of Events to stay up to

date with all of our activities

Browse the member properties to

find your next deal Take the

time to post your investment op-

portunities for other members

and site visitors to browse

The Member Library is packed

and ever growing with pdf ver-

sions of entire books EBooks

Articles Forms and Documents

Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

REAL ESTATE BOOKS

The nationrsquos largest provider of

real estate training materi-

als DEARBORN is Americarsquos

Premier Real Estate Publish-

er Members receive up to 40

off

Special member discounts for

members at Avis Budget and

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The Local Market Monitor tracks

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25 Discount for Members

MAREIrsquos Political Advocacy Group

actively monitors national legisla-

tion and rule-making that im-

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harnessing the strength of MAREI

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MAREI mem-

bers also re-

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an important vote

Members also

have access

to the latest

in Market Da-

ta

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VISIT

wwMAREInetcom

Look under Resources amp

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Member Service

Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

Keeping each home in show-to-sell condition seven days a

week

Employing a professional decorator to decorate each home

using proven staging techniques maximizing its appeal to buyers

Hiring carefully screened and qualified Home Managers to live

in and manage each home throughout the sales process

wwwShowHomesKansasCitycom

913-227-4364

Residential

Commercial

Renovation

Demolition

Flatwork

Foundations

Full service construc-tion company offering upgrades curb ap-peal remodel or

complete renovation

Call for References

Robert Massey

Building Trades

816-868-1817

Property Management

Section 8 Housing

KC Metro Wide

Jeff Woods

Broker

wwwMyPremierLeasingcom

816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

Pricing $50 Annual $99 Annual $499 Annual

Auto Renewal $45 $90 $450

Quarterly Pricing NA

Monthly Pricing

Service Provider Listing

Ad in Monthly Newsletter

3 Vendor Tables

Credit or Debit Card Required for Auto Renewal Discounts 3 Vendor Tables with Annual Payment

MEMBERSHIP OPTIONS

join now MAREInetcomJOIN

Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Insurance for

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Renter Insurance for Your Tenants

Business Insurance

Umbrella Liability

Health Insurance

Life Insurance

wwwMOFBcom

Stephanie Cunliff

816-781-4370

Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

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wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

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Join 200 or more local national and international Inves-

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How to Harness the Internet to Explode Business

with Duncan Wierman Internet Marketer Turned Real Estate

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The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

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Further your new connections over a quick Bite and a

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Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 8: The Investment News:  April 2013

The Real Estate Industry has seriously

dropped the ball And this is not a recent

occurrencehellip

The big winner through the past few dec-

ades has been the financial services indus-

try People have to invest their money

somewhere and when real estate agents

brokers property managers made it FAR

TOO complicated to invest in houses they

turned to the sophisticated and finely tuned

model of the stock market This well-oiled

machine has done a great job of catering

to those in their wealth accumulating

phase of life And it seemed that only

those real estate investors

that were lsquohands onrsquo with

their investments were the

ones able to buy and properly

manage rental property

The fact that Financial Advisors have in-

grained themselves in American culture to

the point that anyone wanting to put some

money aside for retirement is naturally go-

ing to do it through mutual funds or stock

investments says a lot about their customer

service

Not that investing in the stock market is a

bad thing Not at allhellipbut by comparison

the fact that the RE industry has languished

behind in allowing the average John Doe an

a v e n u e t o i n v e s t h i s h a r d

earned money in Real Estate is a real

shame

Now dawns a new age of investing

where geography and physical presence

mean nothing In the same way that you

donrsquot need to drive to Atlanta and tour the

Coca Cola plant to feel comfortable invest-

ing in Coca Cola stock SBD Housingrsquos de-

tailed 9-page Investment Prospectus more

than prepares an investor to make an in-

formed buying decision SBD Housing So-

lutions is a Kansas City based operation but (Continued on page 9)

The Real Estate Industry

Has Seriously Dropped the

Ball

Page 8 MAREInetcom

Although I am not naiumlve

enough to think I can change

an industry single handedly

I believe that we in the Real

Estate services industry can

all do our part to bring some

credibility back to the sound

investment option that

ishelliphousing

Marck de Lautour BBA MBA

SBD Housing Solutions

ing properties the acquisi-

tion utilities construction

estimates project manage-

ment remodel bill payment

leasing and property man-

agement Our clients know

that the lsquovalue addedrsquo is in

the details Being able to in-

vest in Real Estate with the

same ease as the stock mar-

ket has always been the

goal

has clients from as far as

Brazil the UK Australia

South Africa and Hong Kong

Most have never seen the

assets that they own and

yet are cashing the monthly

rental checks every month

like clockwork

As an all-inclusive real estate

investment firm we special-

ize in building wealth for our

clients Taking a leaf from

the Financial Planners book

we actually take the time to

sit and discuss a plan of ac-

tion with our clients where

do they want to invest what

cash do they have available

do they plan on leveraging

their assets when will they

be looking to use the cash

flow as an income source for

retirement all of which are

just pieces of a very personal

and unique puzzle

At SBD Housing Solutions we

handle the entire operation

for our clients From target-

(Continued from page 8)

Investment News Page 9

Building Wealth

Through Real Estate

wwwSBDHousingcom

816-994-9401

CASE STUDIES

DUE DILIGENCE

MAREI April 9th Monthly Meeting

With Marck de Lautour

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at wwwMAREInetcomKCSouth

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Realty 411rsquos

Mid-West Real Estate

Investing Expo

Saturday April 20th

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Register

MAREInetcomRealty411

Buying Bus Tour

Sunday April 21st

Page 10 MAREInetcom

Audio Postcards will bring leads faster working

FSBOs

Listen to my Sample

httpwwwMAREINetcomAudio-Gen

This is such a great marketing method On our FSBO mar-

keting we do we get nearly 30 calling us back That is

phenomenal Below is the audio I used in the postcard as a

sample for you to listen to

Making Offers with audio postcards

The strategy I use is quite simple for making offers I will

set up searches on sites

wwwfsbocom

wwwforsalebyownercom

wwwownerscom

www4salebyownerusacom

wwwtopfsbocom

wwwbuyownercom

I set up the search to

display results All

houses within 10 miles

of ZIPCODE with 3

bedroom 2 bath gar-

age

Then I will view each property the search returns to me

Then I go to the contact information section In the email

reply form I simply cut and past the code

from AudioGenerator to the form and press submit

Voila Offer is done I direct them back to my website and

then I collect only the motivated seller leads

This is also a great way to post your customers audio

testimonial right on your website I also recommend us-

ing these postcard to make generic house offers to open

the door to negotiations This simple postcard took all of

about 5 minutes to create

Think of the impact this type of product could make on a

promotional campaign You could announce your house

buying program to motivated FSBO sellers talk about a

new property you just listed send a thank you note The

ways you can use this are plentiful Best of all the pro-

cess is very simple doesnt require the listener to down-

load any software or plug ins

On first thought they may seem like a a cutesy-gimmicky

Duncan Wierman

Real Estate Investor amp Internet Marketer

Article from Duncan Wierman at wwwDuncanWiermancom

How I Use Audio Postcards to

Grab Attention and Increase

Leads from FSBOrsquos

Investment News Page 11

wwwAPIA Protectscom

ProSource of KC West 7228 W Frontage Road

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Offering a range of flooring

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solution but not many people are using this techniques

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great service

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E-Update

MAREIrsquos award winning weekly email

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Investment News

The award winning newsletter for Mid-

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Free issues of both magazines available at the monthly

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Landlord Services

Office Solutions

Suppliers

Marketing

News amp Information

Page 12

Member Benefits

We have several services as part

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Calendar of Events to stay up to

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Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

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Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

Keeping each home in show-to-sell condition seven days a

week

Employing a professional decorator to decorate each home

using proven staging techniques maximizing its appeal to buyers

Hiring carefully screened and qualified Home Managers to live

in and manage each home throughout the sales process

wwwShowHomesKansasCitycom

913-227-4364

Residential

Commercial

Renovation

Demolition

Flatwork

Foundations

Full service construc-tion company offering upgrades curb ap-peal remodel or

complete renovation

Call for References

Robert Massey

Building Trades

816-868-1817

Property Management

Section 8 Housing

KC Metro Wide

Jeff Woods

Broker

wwwMyPremierLeasingcom

816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

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Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

Hard Money is the Answer

Leverage available investment capital and triple

your cash on cash returns

Have the ability to close in 2 - 5 days

Take down investment properties FAST

Get feedback from an experienced lender who did

over 150 deals last year

Build cash-flow quickly and simply through real

estate

Diversify your capital across multiple properties

and spread your risk

Private Funding for

Serious Real Estate Investors

1 Point Discount for MAREI Members

wwwLonghornInvestmentscom

Mike Friedl 913-634-6386

Insurance for

Vacant Properties

Rehab Properties

Renter Insurance for Your Tenants

Business Insurance

Umbrella Liability

Health Insurance

Life Insurance

wwwMOFBcom

Stephanie Cunliff

816-781-4370

Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

We Ship Fast

Free Design Help

wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

RealtyRealtyRealty411411411 MidMidMid---West West West ExpoExpoExpo

EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

VIP Seats $10

Register

MAREInetcomRealty411

VENDOR BOOTHS STILL AVAILABLE

radic SAVE THE DATE

radic REGISTER

radic BUSINESS CARDS

radic INVITE A FREIND

Real Estate Investing is has become one of the hottest

trends for entrepreneurs to make money Attendance at

real estate associations meetings is way up Many of the

Richest People in the Country earned their wealth

through Real Estate Find out the reasons for this at the

Expo

Join 200 or more local national and international Inves-

tors at one of the Biggest Events in the Mid-West to

learn

How to Harness the Internet to Explode Business

with Duncan Wierman Internet Marketer Turned Real Estate

Investor

The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

the Best Investments and Kevin Rollings

with Self Storage Facility Management CAN

help you Compete with the Big Guys

Meet Tim Herriage Top Investor Wholesal-

er and National Development Agent for

HomeVestorsreg

Leverage your Available Investment

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Rehabs and Flips with Hard Money

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Find out about the California Market and

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our host the Linda Pliagas Investor and

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Build YOUR Kansas City Team and

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ation of Real Estate Investors

REGISTER NOW

wwwMAREInetcom411

Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

Hosted by SBD Housing Solutions

After Party

Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 9: The Investment News:  April 2013

Although I am not naiumlve

enough to think I can change

an industry single handedly

I believe that we in the Real

Estate services industry can

all do our part to bring some

credibility back to the sound

investment option that

ishelliphousing

Marck de Lautour BBA MBA

SBD Housing Solutions

ing properties the acquisi-

tion utilities construction

estimates project manage-

ment remodel bill payment

leasing and property man-

agement Our clients know

that the lsquovalue addedrsquo is in

the details Being able to in-

vest in Real Estate with the

same ease as the stock mar-

ket has always been the

goal

has clients from as far as

Brazil the UK Australia

South Africa and Hong Kong

Most have never seen the

assets that they own and

yet are cashing the monthly

rental checks every month

like clockwork

As an all-inclusive real estate

investment firm we special-

ize in building wealth for our

clients Taking a leaf from

the Financial Planners book

we actually take the time to

sit and discuss a plan of ac-

tion with our clients where

do they want to invest what

cash do they have available

do they plan on leveraging

their assets when will they

be looking to use the cash

flow as an income source for

retirement all of which are

just pieces of a very personal

and unique puzzle

At SBD Housing Solutions we

handle the entire operation

for our clients From target-

(Continued from page 8)

Investment News Page 9

Building Wealth

Through Real Estate

wwwSBDHousingcom

816-994-9401

CASE STUDIES

DUE DILIGENCE

MAREI April 9th Monthly Meeting

With Marck de Lautour

600 pm Networking

700 Announcements

715 Presentation

Investor amp Business Members No Charge

Non-Members Internet Members Fee

More info at wwwMAREInetcomKCSouth

Why Buy Now In

Kansas City

Realty 411rsquos

Mid-West Real Estate

Investing Expo

Saturday April 20th

No Charge

Register

MAREInetcomRealty411

Buying Bus Tour

Sunday April 21st

Page 10 MAREInetcom

Audio Postcards will bring leads faster working

FSBOs

Listen to my Sample

httpwwwMAREINetcomAudio-Gen

This is such a great marketing method On our FSBO mar-

keting we do we get nearly 30 calling us back That is

phenomenal Below is the audio I used in the postcard as a

sample for you to listen to

Making Offers with audio postcards

The strategy I use is quite simple for making offers I will

set up searches on sites

wwwfsbocom

wwwforsalebyownercom

wwwownerscom

www4salebyownerusacom

wwwtopfsbocom

wwwbuyownercom

I set up the search to

display results All

houses within 10 miles

of ZIPCODE with 3

bedroom 2 bath gar-

age

Then I will view each property the search returns to me

Then I go to the contact information section In the email

reply form I simply cut and past the code

from AudioGenerator to the form and press submit

Voila Offer is done I direct them back to my website and

then I collect only the motivated seller leads

This is also a great way to post your customers audio

testimonial right on your website I also recommend us-

ing these postcard to make generic house offers to open

the door to negotiations This simple postcard took all of

about 5 minutes to create

Think of the impact this type of product could make on a

promotional campaign You could announce your house

buying program to motivated FSBO sellers talk about a

new property you just listed send a thank you note The

ways you can use this are plentiful Best of all the pro-

cess is very simple doesnt require the listener to down-

load any software or plug ins

On first thought they may seem like a a cutesy-gimmicky

Duncan Wierman

Real Estate Investor amp Internet Marketer

Article from Duncan Wierman at wwwDuncanWiermancom

How I Use Audio Postcards to

Grab Attention and Increase

Leads from FSBOrsquos

Investment News Page 11

wwwAPIA Protectscom

ProSource of KC West 7228 W Frontage Road

Overland Park KS 66203

913-599-4488

Offering a range of flooring

options to give wholesale

pricing and discounts to

trade professionals

solution but not many people are using this techniques

to bring them deals Try it AudioGenerator created a

great service

HARNESS THE INTERNET AND EXPLODE

YOUR REAL ESTATE BUSINESS

WITH DUNCAN WIERMAN

SPEAKING AT THE REALTY411

MID-WEST REAL ESTATE EXPO

wwwMAREInetcomRealty411

wwwAccurateTitleCocom

913-338-0100 phone

Title Services Provided for FSBO Wholesale amp REO Transactions New Construction Closings Commercial Purchases and Refinance All Types of Loan Closings 1031 Exchanges FHA VA USDA Conventional Loans and

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accurate

Accurate Closings Smooth Timely Professional

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Learn how to save money at Home De-pot and register for a 2 Rebate for all

purchases amp rentals across the US Plus 20 Discount on Paint in Kansas

City And coming in 2013 the New Home Depot App for iPad exclusively for Chapter Members to use in project esti-

mation on home repair and remodel

All members receive a discount card to access our exclusive discounts up

to 40 off all paint supplies and flooringmdashnationwide

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other services FREE trial

Email and Social Media Marketing Free

Trial and Discounts for paying in ad-

vance

Screening for tenants amp workers with 20 discount for members

FORMS amp DOCS

Member Library is packed with forms and docs plus 15 discount at EZ Landlord Forms for premium forms

Market your rentals on the nations top ranked rental site Member discount

is 20 off Regular Prices

Save on select FedEx Office copy and print services up to 20 and on Fed-

Ex Shipping up to 22

Receive discounts up to 65 on over 12000 products you use the most

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MAREIrsquoS MEMBER BENEFITS PROGRAM

YOUR MEMBER BENEFITS

AT-A-GLANCE USE THIS PAGE AS A GUIDE TO VALUE ADDED DISCOUNTS TOOLS AND SAVINGS CREATED JUST

FOR YOU ON GOODS AND SERVICES YOU USE EVERY DAY

E-Update

MAREIrsquos award winning weekly email

update with whatrsquos happening in real

estate including properties for sale gov-

ernment affairs and local market data

Investment News

The award winning newsletter for Mid-

America Association of Real Estate In-

vestors published monthly and distrib-

uted both in print at our meetings and

digitally to our database of over 5000

people One of the best ways to get

your message in front of a targeted

group of real estate professionals

Free issues of both magazines available at the monthly

meetings of MAREI

Landlord Services

Office Solutions

Suppliers

Marketing

News amp Information

Page 12

Member Benefits

We have several services as part

of our website to help you grow

your business

Calendar of Events to stay up to

date with all of our activities

Browse the member properties to

find your next deal Take the

time to post your investment op-

portunities for other members

and site visitors to browse

The Member Library is packed

and ever growing with pdf ver-

sions of entire books EBooks

Articles Forms and Documents

Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

REAL ESTATE BOOKS

The nationrsquos largest provider of

real estate training materi-

als DEARBORN is Americarsquos

Premier Real Estate Publish-

er Members receive up to 40

off

Special member discounts for

members at Avis Budget and

Enterprise Rentals

The Local Market Monitor tracks

real estate sales and economic

trends nation wide Offering

25 Discount for Members

MAREIrsquos Political Advocacy Group

actively monitors national legisla-

tion and rule-making that im-

pacts the real estate industry and

harnessing the strength of MAREI

members at the grassroots level

MAREI mem-

bers also re-

ceive timely

Calls to Action

when there is a

time for our

members to

take action on

an important vote

Members also

have access

to the latest

in Market Da-

ta

Other Discounts

VISIT

wwMAREInetcom

Look under Resources amp

Members Only

Member Service

Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

Keeping each home in show-to-sell condition seven days a

week

Employing a professional decorator to decorate each home

using proven staging techniques maximizing its appeal to buyers

Hiring carefully screened and qualified Home Managers to live

in and manage each home throughout the sales process

wwwShowHomesKansasCitycom

913-227-4364

Residential

Commercial

Renovation

Demolition

Flatwork

Foundations

Full service construc-tion company offering upgrades curb ap-peal remodel or

complete renovation

Call for References

Robert Massey

Building Trades

816-868-1817

Property Management

Section 8 Housing

KC Metro Wide

Jeff Woods

Broker

wwwMyPremierLeasingcom

816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

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Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

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Josh Burns

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5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 10: The Investment News:  April 2013

Page 10 MAREInetcom

Audio Postcards will bring leads faster working

FSBOs

Listen to my Sample

httpwwwMAREINetcomAudio-Gen

This is such a great marketing method On our FSBO mar-

keting we do we get nearly 30 calling us back That is

phenomenal Below is the audio I used in the postcard as a

sample for you to listen to

Making Offers with audio postcards

The strategy I use is quite simple for making offers I will

set up searches on sites

wwwfsbocom

wwwforsalebyownercom

wwwownerscom

www4salebyownerusacom

wwwtopfsbocom

wwwbuyownercom

I set up the search to

display results All

houses within 10 miles

of ZIPCODE with 3

bedroom 2 bath gar-

age

Then I will view each property the search returns to me

Then I go to the contact information section In the email

reply form I simply cut and past the code

from AudioGenerator to the form and press submit

Voila Offer is done I direct them back to my website and

then I collect only the motivated seller leads

This is also a great way to post your customers audio

testimonial right on your website I also recommend us-

ing these postcard to make generic house offers to open

the door to negotiations This simple postcard took all of

about 5 minutes to create

Think of the impact this type of product could make on a

promotional campaign You could announce your house

buying program to motivated FSBO sellers talk about a

new property you just listed send a thank you note The

ways you can use this are plentiful Best of all the pro-

cess is very simple doesnt require the listener to down-

load any software or plug ins

On first thought they may seem like a a cutesy-gimmicky

Duncan Wierman

Real Estate Investor amp Internet Marketer

Article from Duncan Wierman at wwwDuncanWiermancom

How I Use Audio Postcards to

Grab Attention and Increase

Leads from FSBOrsquos

Investment News Page 11

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E-Update

MAREIrsquos award winning weekly email

update with whatrsquos happening in real

estate including properties for sale gov-

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Investment News

The award winning newsletter for Mid-

America Association of Real Estate In-

vestors published monthly and distrib-

uted both in print at our meetings and

digitally to our database of over 5000

people One of the best ways to get

your message in front of a targeted

group of real estate professionals

Free issues of both magazines available at the monthly

meetings of MAREI

Landlord Services

Office Solutions

Suppliers

Marketing

News amp Information

Page 12

Member Benefits

We have several services as part

of our website to help you grow

your business

Calendar of Events to stay up to

date with all of our activities

Browse the member properties to

find your next deal Take the

time to post your investment op-

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Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

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Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

Keeping each home in show-to-sell condition seven days a

week

Employing a professional decorator to decorate each home

using proven staging techniques maximizing its appeal to buyers

Hiring carefully screened and qualified Home Managers to live

in and manage each home throughout the sales process

wwwShowHomesKansasCitycom

913-227-4364

Residential

Commercial

Renovation

Demolition

Flatwork

Foundations

Full service construc-tion company offering upgrades curb ap-peal remodel or

complete renovation

Call for References

Robert Massey

Building Trades

816-868-1817

Property Management

Section 8 Housing

KC Metro Wide

Jeff Woods

Broker

wwwMyPremierLeasingcom

816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

Pricing $50 Annual $99 Annual $499 Annual

Auto Renewal $45 $90 $450

Quarterly Pricing NA

Monthly Pricing

Service Provider Listing

Ad in Monthly Newsletter

3 Vendor Tables

Credit or Debit Card Required for Auto Renewal Discounts 3 Vendor Tables with Annual Payment

MEMBERSHIP OPTIONS

join now MAREInetcomJOIN

Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

Hard Money is the Answer

Leverage available investment capital and triple

your cash on cash returns

Have the ability to close in 2 - 5 days

Take down investment properties FAST

Get feedback from an experienced lender who did

over 150 deals last year

Build cash-flow quickly and simply through real

estate

Diversify your capital across multiple properties

and spread your risk

Private Funding for

Serious Real Estate Investors

1 Point Discount for MAREI Members

wwwLonghornInvestmentscom

Mike Friedl 913-634-6386

Insurance for

Vacant Properties

Rehab Properties

Renter Insurance for Your Tenants

Business Insurance

Umbrella Liability

Health Insurance

Life Insurance

wwwMOFBcom

Stephanie Cunliff

816-781-4370

Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

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Josh Burns

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5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

RealtyRealtyRealty411411411 MidMidMid---West West West ExpoExpoExpo

EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

VIP Seats $10

Register

MAREInetcomRealty411

VENDOR BOOTHS STILL AVAILABLE

radic SAVE THE DATE

radic REGISTER

radic BUSINESS CARDS

radic INVITE A FREIND

Real Estate Investing is has become one of the hottest

trends for entrepreneurs to make money Attendance at

real estate associations meetings is way up Many of the

Richest People in the Country earned their wealth

through Real Estate Find out the reasons for this at the

Expo

Join 200 or more local national and international Inves-

tors at one of the Biggest Events in the Mid-West to

learn

How to Harness the Internet to Explode Business

with Duncan Wierman Internet Marketer Turned Real Estate

Investor

The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

the Best Investments and Kevin Rollings

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Meet Tim Herriage Top Investor Wholesal-

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wwwMAREInetcom411

Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

Hosted by SBD Housing Solutions

After Party

Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 11: The Investment News:  April 2013

Investment News Page 11

wwwAPIA Protectscom

ProSource of KC West 7228 W Frontage Road

Overland Park KS 66203

913-599-4488

Offering a range of flooring

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Title Services Provided for FSBO Wholesale amp REO Transactions New Construction Closings Commercial Purchases and Refinance All Types of Loan Closings 1031 Exchanges FHA VA USDA Conventional Loans and

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Learn how to save money at Home De-pot and register for a 2 Rebate for all

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AT-A-GLANCE USE THIS PAGE AS A GUIDE TO VALUE ADDED DISCOUNTS TOOLS AND SAVINGS CREATED JUST

FOR YOU ON GOODS AND SERVICES YOU USE EVERY DAY

E-Update

MAREIrsquos award winning weekly email

update with whatrsquos happening in real

estate including properties for sale gov-

ernment affairs and local market data

Investment News

The award winning newsletter for Mid-

America Association of Real Estate In-

vestors published monthly and distrib-

uted both in print at our meetings and

digitally to our database of over 5000

people One of the best ways to get

your message in front of a targeted

group of real estate professionals

Free issues of both magazines available at the monthly

meetings of MAREI

Landlord Services

Office Solutions

Suppliers

Marketing

News amp Information

Page 12

Member Benefits

We have several services as part

of our website to help you grow

your business

Calendar of Events to stay up to

date with all of our activities

Browse the member properties to

find your next deal Take the

time to post your investment op-

portunities for other members

and site visitors to browse

The Member Library is packed

and ever growing with pdf ver-

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Articles Forms and Documents

Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

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The nationrsquos largest provider of

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Premier Real Estate Publish-

er Members receive up to 40

off

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The Local Market Monitor tracks

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MAREI mem-

bers also re-

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an important vote

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to the latest

in Market Da-

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VISIT

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Look under Resources amp

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Member Service

Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

Keeping each home in show-to-sell condition seven days a

week

Employing a professional decorator to decorate each home

using proven staging techniques maximizing its appeal to buyers

Hiring carefully screened and qualified Home Managers to live

in and manage each home throughout the sales process

wwwShowHomesKansasCitycom

913-227-4364

Residential

Commercial

Renovation

Demolition

Flatwork

Foundations

Full service construc-tion company offering upgrades curb ap-peal remodel or

complete renovation

Call for References

Robert Massey

Building Trades

816-868-1817

Property Management

Section 8 Housing

KC Metro Wide

Jeff Woods

Broker

wwwMyPremierLeasingcom

816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

Pricing $50 Annual $99 Annual $499 Annual

Auto Renewal $45 $90 $450

Quarterly Pricing NA

Monthly Pricing

Service Provider Listing

Ad in Monthly Newsletter

3 Vendor Tables

Credit or Debit Card Required for Auto Renewal Discounts 3 Vendor Tables with Annual Payment

MEMBERSHIP OPTIONS

join now MAREInetcomJOIN

Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Stephanie Cunliff

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Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

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Everything Is In Stock

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Josh Burns

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5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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The ldquoPower of Zerordquo for True Wealth with Chris

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with Marck de Lautour local Kansas City Investor

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Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 12: The Investment News:  April 2013

MAREInetcom

Learn how to save money at Home De-pot and register for a 2 Rebate for all

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YOUR MEMBER BENEFITS

AT-A-GLANCE USE THIS PAGE AS A GUIDE TO VALUE ADDED DISCOUNTS TOOLS AND SAVINGS CREATED JUST

FOR YOU ON GOODS AND SERVICES YOU USE EVERY DAY

E-Update

MAREIrsquos award winning weekly email

update with whatrsquos happening in real

estate including properties for sale gov-

ernment affairs and local market data

Investment News

The award winning newsletter for Mid-

America Association of Real Estate In-

vestors published monthly and distrib-

uted both in print at our meetings and

digitally to our database of over 5000

people One of the best ways to get

your message in front of a targeted

group of real estate professionals

Free issues of both magazines available at the monthly

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Landlord Services

Office Solutions

Suppliers

Marketing

News amp Information

Page 12

Member Benefits

We have several services as part

of our website to help you grow

your business

Calendar of Events to stay up to

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Browse the member properties to

find your next deal Take the

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The Member Library is packed

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Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

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Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

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Residential

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Renovation

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816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

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Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Have the ability to close in 2 - 5 days

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Get feedback from an experienced lender who did

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Build cash-flow quickly and simply through real

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Diversify your capital across multiple properties

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Private Funding for

Serious Real Estate Investors

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wwwLonghornInvestmentscom

Mike Friedl 913-634-6386

Insurance for

Vacant Properties

Rehab Properties

Renter Insurance for Your Tenants

Business Insurance

Umbrella Liability

Health Insurance

Life Insurance

wwwMOFBcom

Stephanie Cunliff

816-781-4370

Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

We Ship Fast

Free Design Help

wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

VIP Seats $10

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MAREInetcomRealty411

VENDOR BOOTHS STILL AVAILABLE

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radic BUSINESS CARDS

radic INVITE A FREIND

Real Estate Investing is has become one of the hottest

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Join 200 or more local national and international Inves-

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How to Harness the Internet to Explode Business

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The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

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Meet Tim Herriage Top Investor Wholesal-

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wwwMAREInetcom411

Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

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Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 13: The Investment News:  April 2013

Member Benefits

We have several services as part

of our website to help you grow

your business

Calendar of Events to stay up to

date with all of our activities

Browse the member properties to

find your next deal Take the

time to post your investment op-

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and site visitors to browse

The Member Library is packed

and ever growing with pdf ver-

sions of entire books EBooks

Articles Forms and Documents

Nearly 70 of QuickBooks users say that it makes their business more prof-itable Get your Accounting on track Buy at a 20 discount our special links from the MAREI Web Site

REAL ESTATE BOOKS

The nationrsquos largest provider of

real estate training materi-

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Premier Real Estate Publish-

er Members receive up to 40

off

Special member discounts for

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The Local Market Monitor tracks

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25 Discount for Members

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tion and rule-making that im-

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MAREI mem-

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Members also

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ta

Other Discounts

VISIT

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Look under Resources amp

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Member Service

Page 13

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

Keeping each home in show-to-sell condition seven days a

week

Employing a professional decorator to decorate each home

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Hiring carefully screened and qualified Home Managers to live

in and manage each home throughout the sales process

wwwShowHomesKansasCitycom

913-227-4364

Residential

Commercial

Renovation

Demolition

Flatwork

Foundations

Full service construc-tion company offering upgrades curb ap-peal remodel or

complete renovation

Call for References

Robert Massey

Building Trades

816-868-1817

Property Management

Section 8 Housing

KC Metro Wide

Jeff Woods

Broker

wwwMyPremierLeasingcom

816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

Pricing $50 Annual $99 Annual $499 Annual

Auto Renewal $45 $90 $450

Quarterly Pricing NA

Monthly Pricing

Service Provider Listing

Ad in Monthly Newsletter

3 Vendor Tables

Credit or Debit Card Required for Auto Renewal Discounts 3 Vendor Tables with Annual Payment

MEMBERSHIP OPTIONS

join now MAREInetcomJOIN

Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

Hard Money is the Answer

Leverage available investment capital and triple

your cash on cash returns

Have the ability to close in 2 - 5 days

Take down investment properties FAST

Get feedback from an experienced lender who did

over 150 deals last year

Build cash-flow quickly and simply through real

estate

Diversify your capital across multiple properties

and spread your risk

Private Funding for

Serious Real Estate Investors

1 Point Discount for MAREI Members

wwwLonghornInvestmentscom

Mike Friedl 913-634-6386

Insurance for

Vacant Properties

Rehab Properties

Renter Insurance for Your Tenants

Business Insurance

Umbrella Liability

Health Insurance

Life Insurance

wwwMOFBcom

Stephanie Cunliff

816-781-4370

Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

We Ship Fast

Free Design Help

wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

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VENDOR BOOTHS STILL AVAILABLE

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radic BUSINESS CARDS

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Real Estate Investing is has become one of the hottest

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Join 200 or more local national and international Inves-

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How to Harness the Internet to Explode Business

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The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

the Best Investments and Kevin Rollings

with Self Storage Facility Management CAN

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Meet Tim Herriage Top Investor Wholesal-

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Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

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After Party

Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 14: The Investment News:  April 2013

Page 14 MAREInetcom

First impressions are always the BEST Customer service thatrsquos a huge key to success in this industry We go through a checklist in our training it goes something like this

bull Find out the needs large vs small long term vs short term

bull Why do they need self storage Then appeal to them on that level moving business divorce downsizing college student

bullHave you told them about the discounts perks and added advantages you offer 24 hour security easy rental pay-ment temperature controlled units

bull Donrsquot forget to tell them about how they can save money referrals upgrading first month free savings for auto pay

bull Let them know about extended services need a truck How about a business center Boxes No problem we offer those here Let them know everything that they can do in your one stop location

bullHave them fill out a visitorrsquos card and the show them around let them know the units available in the size they want

Extra tip follow up with them if they leave and reach out asking if they found what they needed If not you are still there to help

You can bet that ldquoin the day of the liferdquo of a self storage owner or manager it will rarely be a dull one It takes pa-tience and the outstanding ability to communicate well with both agencies your staff and your tenants

Your potential hinges on happy tenants With the right tools and the right education or coaching your experience as a Self Storage Owner or Manager can be the start of a re-warding career in the self storage industry

Author Kevin Rollings CSSMcopy is the owner and CEO of Alcatraz Storage Hoosiers Self Storage and Self Storage Facility Management He will have a booth at the Real-ty411 Mid-West Real Estate Investor Expo

Whatever the situation is Kevin and his team have the an-swers Visit online at

wwwselfstoragefacilitymanagementcom

and get your 30 minute evaluation FREE

Wow you have the keys NOW WHAT

You are at YOUR self storage facility Even though occu-pancy is lower than you want it to be suddenly you feel your excitement level building Why This is your dream you are an entrepreneur now You see the future your dream and are ready to make it happen

What does the average renter think about when they think self storage Downsizing De-clutter Too much stuff

but want to keep it

Think about how often you see self storage facilities It must be a busy business with people storing their treas-ures because self storage is everywhere

It would be nice if those of us in self storage had a magical self storage wand to wave and ldquoVoila we have 100 oc-cupancyrdquo

Unfortunately the average is 76 occupancy Why Be-cause we do not use everything available to us So how do I promote my facility What will make my place stand out and above the rest

Owning or managing a self storage facility will allow you to get to know the customer service industry up and close and personal BUT it goes beyond that

How do you spread the word about your facility Do

you do any of these

bull What is your web presence Do you have a website Is it accurate Does it do what you want Have you tried local advertising Flyers newspapers and signs

bull Community sponsorship ie churches community sports parades

bull Media do you have a Facebook or Twitter account Air spot on the radio TV news commercial

bullYour current clients Did you let them know that there was a change in management have you asked them to tell friends Have you let them know you appreciate them

bull Are you promoting it car wash free dump day customer appreciation day Typically when visiting a self storage unit facility you will be greeted by the self storage manag-er or owner

Market Your Self Storage Facility

At

MAXIMUM VELOCITY

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

Keeping each home in show-to-sell condition seven days a

week

Employing a professional decorator to decorate each home

using proven staging techniques maximizing its appeal to buyers

Hiring carefully screened and qualified Home Managers to live

in and manage each home throughout the sales process

wwwShowHomesKansasCitycom

913-227-4364

Residential

Commercial

Renovation

Demolition

Flatwork

Foundations

Full service construc-tion company offering upgrades curb ap-peal remodel or

complete renovation

Call for References

Robert Massey

Building Trades

816-868-1817

Property Management

Section 8 Housing

KC Metro Wide

Jeff Woods

Broker

wwwMyPremierLeasingcom

816-849500

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

Pricing $50 Annual $99 Annual $499 Annual

Auto Renewal $45 $90 $450

Quarterly Pricing NA

Monthly Pricing

Service Provider Listing

Ad in Monthly Newsletter

3 Vendor Tables

Credit or Debit Card Required for Auto Renewal Discounts 3 Vendor Tables with Annual Payment

MEMBERSHIP OPTIONS

join now MAREInetcomJOIN

Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Stephanie Cunliff

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Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

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Free Design Help

wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 15: The Investment News:  April 2013

Investment News Page 15

SHOWHOMES ADDS VALUE TO VACANT HOUSES BY

Transforming vacant houses into valuable cared-for homes

that buyers respond to

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Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

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Eric Gentry (since 2013)

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Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

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Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

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Investment News Page 17

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This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

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GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

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1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

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816-756-2186

3342 Bellefontaine

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2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

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816-756-6735

913 NE 44th ST

Kansas City MO

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1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

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Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

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Everything Is In Stock

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Josh Burns

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5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

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Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

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8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

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lords

19

KC Area Absolute Real

Estate Auction

20

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Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 16: The Investment News:  April 2013

Page 16 MAREInetcom

Renewing Albert Abraham (since 2009) Shawnee KS

Josephine Abraham (since 2009) Shawnee KS

Jerry Blair (since 2010) Weston MO

Jeffrey Bonner (since 2010) St Joseph MO

Larry Christensen (since 2008) Weatherby Lake MO

Jennifer Crouch (since 2011) Overland Park KS

Chris Elliott (since 2009) Leawood KS

Ed Ethington (since 2008) Kansas City MO

Mark Fortin (since 2010) Raytown MO

Eric Gentry (since 2013)

David Klein (since 2011) Kansas City KS

Dick Klein (since 2011) Kansas City KS

Sharon Klein (since 2011) Kansas City KS

My Le-Tam (since 2008) Grain Valley MO

Nan Li (since 2010) St Joseph MO

Rod Longanecker (since 2010) Osage Beach MO

Joyce Myer (since 2009) Kansas City MO

Marilyn Mai (since 2007) Salina KS

David Nachman (since 2004) Kansas City MO

James New (since 2007) Kansas City MO

Tom Novacek (since 2012) Grandview MO

Dena Odom (since 2011) Prairie Village KS

Ben Rao (since 2011) Leersquos Summit MO

Kathleen Stegman (since 2007) Leawood KS

Steven Swanson ( since 2007) Leersquos Summit MO

Bob Van Cleave (since 2008) Basehor KS

Business Members KC Show Homes Kent Welch amp Michelle Davis

New Members Brant Asbell DeSoto KS

Daniel Ashley Oak Grove MO

Kevin Baird Independence MO

Albert Becorra Shawnee KS

Charles Buk Harrisonville MO

Lonnie Clark Grain Valley MO

Brennan Cribbs Lenexa KS

Bog Docman Kansas City KS

Brian Fletcher Olathe KS

Kevin Flippin St Joseph MO

Robyn Flippin St Joseph MO

Kamal Fuleihan Olathe KS

Roberto Gonzalez Kansas City MO

Courtney Hollars Olathe KS

Zack Kern Overland Park KS

Kara Knisely Peculiar MO

Travis Knisely Peculiar MO

George McMillian Platte City MO

Marjorie Mudari

Gene Ormsby Liberty MO

Phillip Syrios Kansas City MO

George Verdugo Kansas City KS

Marc Willis Blue Springs MO

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

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Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

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Quarterly Pricing NA

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join now MAREInetcomJOIN

Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

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Free Design Help

wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

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8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

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lords

19

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Estate Auction

20

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Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 17: The Investment News:  April 2013

Investment News Page 17

INTERNET MEMBER INVESTOR MEMBER BUSINESS MEMBER

MAREI Member Forum

Online Member Library

Post Properties

Submit Blog Posts

Reduced Entrance Fees

Complimentary Monthly Mtg

Discounts (See list pg 10 amp 11)

Memberrsquo s Included 1 1 2

Add Additional Members $50 $50

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MEMBERSHIP OPTIONS

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Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

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5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 18: The Investment News:  April 2013

Page 18 MAREInetcom

This article was adapted from an article written by W Eddie

Speed for the training of buyers and sellers of mortgage

notes but the concepts are valid for all forms of Real Es-

tate and for finding private lenders

One of the most important tools for success is presentation

of your company In the beginning a company needs to

make a statement about itself This can be accomplished in

the name you select and any logo or design that you create

and becomes your signature This signature becomes your

identity and makes a clear statement of your business

Your signature needs to appear everywhere and every

time you do business it should be attached to each of your

emails on your signature line on your letterhead on your

fax cover sheet on your business cards on your bid

sheets Your company name your logo your signature is

your statement you are ready to do business It makes you

powerful

Consider the clientele when you select your operating

name or DBA Doing Business As FBN Fictitious Business

Name LLC Limited Liability Corporation INC Incorpora-

tion You will be knocking the doors of Financial Business-

es and Corporations From your very first introduction you

want to lay the ground work to be taken serious in this very

serious business When notices are sent to the mortgagors

attorneyrsquos Bankruptcy trustees you will want your signa-

ture to make a short and powerful statement

So if you were to select KC Home Buyers LLC or ABC LLC

would be a better choice that Super Cool Real Estate In-

vestors

Credentials

Building a resume remember your resume is a business

resume not a personal one Of course you are your busi-

ness but at the same time they are not so much interested

in the jobs you had in the past 10 years but in the

knowledge you have acquired from those jobs They want

to see an establishment worthy of doing business with and

the leaders of that establishment It is important how you

present yourself If they do

not know you they will need

to have some tangible evi-

dence of your stability so a

good resume with practicing

knowledge of what you are doing is good also

ldquoI have been in the note buying business for 5 years and

have traded notes with ABC lender Colonial Finance

etchellip Something that says you did not wake up this morn-

ing and decide I want to buy somethinghellip ahh notes

sound good They do not have time to teach you In addi-

tions you will need some reputable references Your bank

President if you do not know him well enough to put him

on your resume shame on you Two bank presidents

even better Officers of Civic groups references that say

you are in good standing and well known and respected in

your community and business world

Remember you are going to be collecting notes that had

their company name on them they do not want to risk sell-

ing them to inexperienced potential problem makers they

cannot afford to risk their reputation Join the Chamber of

Commerce Let everyone you know know you buy de-

faulted notes Carry your business cards and pass them

out frequently You never know who has a connection with

which bank or lender who would perhaps be interested in

something you have purchased

If you are looking for private funding your credentials will

come into play as it does in note investing and can also

be helpful in other areas of real estate

Chamber Member

Belonging to your local Chamber of Commerce and at-

tending their weekly meetings are a good habit to get into

There is usually a representative from each local bank at

the meeting In fact there is a wide variety of businesses

at each meeting it is a wonderful place to become com-

fortable in introducing yourself explaining what you do

Establish Your

Business RESUME

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Have the ability to close in 2 - 5 days

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Diversify your capital across multiple properties

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Renter Insurance for Your Tenants

Business Insurance

Umbrella Liability

Health Insurance

Life Insurance

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Stephanie Cunliff

816-781-4370

Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

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Josh Burns

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5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

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8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 19: The Investment News:  April 2013

Investment News Page 19

WHY EVERY

REAL ESTATE INVESTOR MUST LEARN NOTES

See Eddie Speed Live

St Louis Missouri

Saturday April 27th

Sign Up At

wwwStreetREIAcom

W Eddie Speed is Founder

of NoteSchool Since 1980

Eddie has dedicated his

career to the science of

buying both Performing

and Non-performing Notes

12 MILLION

DELINQUENT

MORTGAGES

lt 500000 REOrsquoS

IN USA MARKET

who you would like to do business

with and what you may have to offer

or gain The Chamber is always a full

house of businesses who want to talk

about themselves and listen to you

talk about yourself a great place to

become proficient in your favorite sub-

ject your business Listen to what

people have to say about themselves

and tailor your speech by picking up

good habits you hear not repeating

bad habits

Financial Ability

You are going to be doing business

with corporations lenders banks and

mortgage companies All of these in-

stitutions are governed by lending

laws They will want to know as much

as possible about who they are selling

their loans to You will want to build a

good report with the institutions you

want to do business with You will

want them to be so confident in you

that they will come to depend on you

as the person who will be reliable to

make a quick solid purchase of the

notes they have to sell

Most of these companies will not be

local to you so in order to ldquomeetrdquo them

you will be making a phone call and

you will want to have a resume with

good credentials and references You

want them to feel confident in your

ability to purchase the notes and to

handle them under the same legal

guidelines they must

Name and Organization

The process of setting up your busi-

ness offers a wise variety of choices

with each has pros and cons Listed

below some web sites that have easy

to follow guidelines and helpful infor-

mation If setting up a corporation or

LLC is more that you want to take on

at the moment filling a DBA may be

better suited for you One fabulous

certainty we live in a time when there

is an overabundance of information

on the web if you look Some good

websites to explore if you are attempt-

ing to establish a new company your-

self

wwwactivefilingscomresources

wwwentrepreneurcom

wwwmycorporationcom

Creating you own domain name

If you would like to create an email

address and include your company

name there are many avenues to ac-

complish the task Depending on who

you are getting your email service

from will drive the selection choices

for your email address

These are some of the many free

email services

wwwhotmailcom wwwyahoocom wwwgooglecom

With free web mail services you can

create a name like

cweaverhotmailcom

colonialfundinghotmailcom

Or you can purchase your own do-

main and create versions like

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

We Ship Fast

Free Design Help

wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

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Table KC North

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tors Networking Meets

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tors Networking

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23 24

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28

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tors Networking

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Page 20: The Investment News:  April 2013

Page 20 MAREInetcom

I recently attended a training event and was exposed to an

interesting real estate investing model that I wanted to

share to get feedback from everyone who reads this arti-

cle

This model involves finding motivated sellers using a bird

dog seller financing and buying and selling notes

At the start of the scenario the person in charge of every-

thing is the Facilitator The Facilitator has been working on

coaching a group of bird dogs on how to go out and find

highly motivated sellers in lower end priced neighborhoods

that retail around $50000

In the process one Bird Dog finds a motivated seller who

wants to sell their property for $20000 The Facilitator

helps the bird dog figure out what areas to approach how

to connect with sellers how to talk to sellers and then

sends the Bird Dog out to start looking for properties and

the Facilitator helps in the negotiation of the purchase con-

tract

The Bird Dog then goes out and finds and end buyer who

wants to purchase the home to live in for $50000 The

buyer is going to put $3500 in down payment money and

the remaining purchase price would be in the form of a

seller financed mortgage for $46500

Are you with me so far house for sale for $20k to the Bird

Dog who is then selling to Happy Family for $50000

Happy Family has $3500 to put down and are going to

sign on seller financed note for $46500 Sounds great so

far but where is the money coming from That was my

question

The Facilitator is going to be the one with the money He

is going to buy the mortgage note for a discount from the

Bird Dog What he pays will depend on what the Bird Dog

is to get paid So if the Bird Dog is to get paid $1000 and

the Motivated seller wants $20000 the title company is

going to want about $1000 in fees and the Happy Family is

bringing $3500 to the table then the Facilitator needs to

bring $18500 to the closing table to purchase the note and

fund the deal

Motivated Seller wants $20000

Bird Dog gets paid $ 1000

Title Company Fees $ 1000

Total Needed $22000

Less Down Payment $ 3500

Cash from Facilitator $18500

So at the end of the transaction

The Motivated Seller got paid $2000

The Bird Dog Got Paid $1000

Happy Family Got a New House for only $3500

down

And the Facilitator holds a $46500 Note with only

$18500 into the deal

Case Study

Kim Tucker

$20k

$50k

$3500

46500

$18500

Bird Dog Makes $1k

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

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Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

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DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

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DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

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1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

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35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

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816-665-0491

4220 Brooklyn Av

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2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

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Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

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5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

RealtyRealtyRealty411411411 MidMidMid---West West West ExpoExpoExpo

EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

VIP Seats $10

Register

MAREInetcomRealty411

VENDOR BOOTHS STILL AVAILABLE

radic SAVE THE DATE

radic REGISTER

radic BUSINESS CARDS

radic INVITE A FREIND

Real Estate Investing is has become one of the hottest

trends for entrepreneurs to make money Attendance at

real estate associations meetings is way up Many of the

Richest People in the Country earned their wealth

through Real Estate Find out the reasons for this at the

Expo

Join 200 or more local national and international Inves-

tors at one of the Biggest Events in the Mid-West to

learn

How to Harness the Internet to Explode Business

with Duncan Wierman Internet Marketer Turned Real Estate

Investor

The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

the Best Investments and Kevin Rollings

with Self Storage Facility Management CAN

help you Compete with the Big Guys

Meet Tim Herriage Top Investor Wholesal-

er and National Development Agent for

HomeVestorsreg

Leverage your Available Investment

Capital and Close Quickly on your

Rehabs and Flips with Hard Money

Loans from Longhorn Investments

Find out about the California Market and

Markets from Around the Country from

our host the Linda Pliagas Investor and

Publisher of Realty 411 reWealth and

CashFlow Express Magazines

Build YOUR Kansas City Team and

Portfolio while supporting the Real Estate

Investing Industry with Mid-America Associ-

ation of Real Estate Investors

REGISTER NOW

wwwMAREInetcom411

Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

Hosted by SBD Housing Solutions

After Party

Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 21: The Investment News:  April 2013

Investment News Page 21

Now assuming everyone does their

homework and paperwork correctly

and the Happy Family Buyer is

screened properly this is a very prof-

itable deal for everyone involved

But with a bit of work it can be even

more interesting

One option for this case study is for

the Facilitator to do this deal directly

from a Self Directed IRA Account and

then the Facilitatorrsquos SDIRA is receiv-

ing payments on the note instead of

taking profit for his own use

In the workshop I attended the Facili-

tator wants to offer the house at a

price a bit under market with an inter-

est rate and amortization time frame

that will allow the monthly principle

interest taxes and insurance to be

significantly LESS than what market

rent is in the area So if market rent is

$750 a month then he wants the pay-

ment to be about $650 So it would

cost the home buyer more to default

on the loan and go rent the house

across the street On the opposite

side of the coin the low interest rate

keeps them in the seller financed note

rather than refinancing to a traditional

lender as their credit improves be-

cause their seller financed interest

rate is not too much higher than what

banks are offering

So what does this $46500 note look

like if we put some numbers to it

Remember the goal is to have princi-

ple interest taxes and insurance at

less than monthly rent So in this ex-

ample the loan is amortized over 10

years or 120 months and the interest

rate for Happy Family is 5 This

makes the P amp I payment $49320

Add $12000 for taxes and insurance

and their total payment is about $620

Now this is where it really gets inter-

esting The Facilitator can sell the

first 12 of the loan to another Inves-

tor who does not have the time or

inclination to go out and do real es-

tate deals but who want to get better

returns on their money that they are

currently receiving from the bank or

the stock market In the scenario I

saw the Facilitator could sell the first

12 of the $46500 note for $20000

So if the Investor were to purchase

the first 60 months of payments they

would be scheduled to receive

$29592 in principle and interest pay-

ments Then after 5 years the Facili-

tator gets the note back and the right

to the last 60 months of $49320 pay-

ments

(Continued on page 26)

Hard Money is the Answer

Leverage available investment capital and triple

your cash on cash returns

Have the ability to close in 2 - 5 days

Take down investment properties FAST

Get feedback from an experienced lender who did

over 150 deals last year

Build cash-flow quickly and simply through real

estate

Diversify your capital across multiple properties

and spread your risk

Private Funding for

Serious Real Estate Investors

1 Point Discount for MAREI Members

wwwLonghornInvestmentscom

Mike Friedl 913-634-6386

Insurance for

Vacant Properties

Rehab Properties

Renter Insurance for Your Tenants

Business Insurance

Umbrella Liability

Health Insurance

Life Insurance

wwwMOFBcom

Stephanie Cunliff

816-781-4370

Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

We Ship Fast

Free Design Help

wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

RealtyRealtyRealty411411411 MidMidMid---West West West ExpoExpoExpo

EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

VIP Seats $10

Register

MAREInetcomRealty411

VENDOR BOOTHS STILL AVAILABLE

radic SAVE THE DATE

radic REGISTER

radic BUSINESS CARDS

radic INVITE A FREIND

Real Estate Investing is has become one of the hottest

trends for entrepreneurs to make money Attendance at

real estate associations meetings is way up Many of the

Richest People in the Country earned their wealth

through Real Estate Find out the reasons for this at the

Expo

Join 200 or more local national and international Inves-

tors at one of the Biggest Events in the Mid-West to

learn

How to Harness the Internet to Explode Business

with Duncan Wierman Internet Marketer Turned Real Estate

Investor

The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

the Best Investments and Kevin Rollings

with Self Storage Facility Management CAN

help you Compete with the Big Guys

Meet Tim Herriage Top Investor Wholesal-

er and National Development Agent for

HomeVestorsreg

Leverage your Available Investment

Capital and Close Quickly on your

Rehabs and Flips with Hard Money

Loans from Longhorn Investments

Find out about the California Market and

Markets from Around the Country from

our host the Linda Pliagas Investor and

Publisher of Realty 411 reWealth and

CashFlow Express Magazines

Build YOUR Kansas City Team and

Portfolio while supporting the Real Estate

Investing Industry with Mid-America Associ-

ation of Real Estate Investors

REGISTER NOW

wwwMAREInetcom411

Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

Hosted by SBD Housing Solutions

After Party

Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 22: The Investment News:  April 2013

Page 22 MAREInetcom

3709 E 36th St Kansas City MO

$2950 3 bed

1 bath

Dirt Cheap House for Sale $2950 Make me an offer I canrsquot refuse

Larry Myer

kcRealEstate1gmailcom

ICRRealEstateServicescom

12002 E Alberta St Sugar Creek MO

$26500 3 bed

1 Bath

Hottest Deal ndash12002 E Alberta StmdashNewly Re-habbed Quite Area

Beatrice Gicharu

kcPropertiesSitegmailcom

816-974-8404

7806 E 113th St

Kansas City MO

$39900 4 Bed

15 Bath

Ruskin Ranch Turn Key 4 Bed 15 Bath Rented $650 a month ask about Package Pricing

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

14115 Merrywood Dr

Grandview MO

$39900

Townhouse

3 Bed

15 Bath

Turn Key Grandview Townhome Rented for $700 a month

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2 Houses Near

Ft Leavenworth

$120000 3 Bed

1 Bath

Each

2 Great Properties 1 Great Price near Ft Leav-enworth Base 1 duplex amp house 650 ndash700 unit

Stephen Davies

DCHomeINvestorsWebscom

816-756-2186

3342 Bellefontaine

Kansas City MO

$30000 4-5 Bed

2 Bath

Recently Renovated 2251 sq ft $30k Or best offer

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

913 NE 44th ST

Kansas City MO

$60000 3 Bed

1 Bath

Newly Renovated

Home with 20K po-

tential Profit

Stephen Davies

DCHomeINvestorsWebscom

816-756-6735

15400 Johnson Dr

Shawnee KS

$275000 4 Bed

35 Bath

Deeply Discounted Shawnee Home Needs your Special Touch

Makeba Hart

Virtue Investments LLC

MakebaVirtue-

Investmentscom

816-665-0491

4220 Brooklyn Av

Kansas City MO

$39500 4 Bed

2 Bath

Turn-Key with 2 Car Garage $800 month Rent 20$ Net ROI

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

We Ship Fast

Free Design Help

wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

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EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

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You Pre-Register

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radic BUSINESS CARDS

radic INVITE A FREIND

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Join 200 or more local national and international Inves-

tors at one of the Biggest Events in the Mid-West to

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How to Harness the Internet to Explode Business

with Duncan Wierman Internet Marketer Turned Real Estate

Investor

The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

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Meet Tim Herriage Top Investor Wholesal-

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Network Learn

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KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

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Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 23: The Investment News:  April 2013

Investment News Page 23

MAREI Member Properties

MAREInetcomProperties

2421 Stewart Av

Kansas City KS

$14000 2 Bed

1 Bath

Cash Cow Livable Home in Kansas City

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2903 NB 74th St

Kansas City KS

$29500 2 Bed

1 Bath

KCK Property in 66109 zip Steel Siding Good Windows

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

2019 E 82nd Tr

Kansas City MO

$12000 2 Bed

1 Bath

Fixer Upper KCMO Mechanicals are pre-sent and working order

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

8080 W 51st

Mission KS

$79900 3 Bed

35 Bath

Walk

Out

Cheap 2 Story Mission House on Acreage ARV $150k

Chad Bartlett

HomeRemedyKCcom

HomeRemedyKCgmailcom

913-735-5598

2212 E 70th St

Kansas City MO

$22000 2 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented for 550 moth

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

2203 E 70th ST

Kansas City MO

$22000 3 Bed

1 Bath

Turn Key Rental Prop-erty in KCMO Rented $779 mo Section 8

Donald Tucker

GBIFundingcom

DonGBIFundingcom

816-523-4400

805 NE Lindberg Dr

Kansas City MO

$79000 3 Bed

2 Bath

Excellent Investment - Fully Rehabbed - Move in Ready

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 875-6226

3028 NE 53rd St

Kansas City MO

$59000 3 Bed

2 Bath

Bsmt

Gar

Excellent Investment or Retail Flipmdash80 Rehabbed in North-land Multiple Exits

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

2 Properties

Independence

MO

$19500 2 Bed

2 Bath

2 Houses for the Price of 1 2220 amp 2222 S Arlington

Christoph Becker

Blueprint Properties Inc

BlueprintPropertySoltionscom

(816) 419-1165

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

We Ship Fast

Free Design Help

wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

RealtyRealtyRealty411411411 MidMidMid---West West West ExpoExpoExpo

EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

VIP Seats $10

Register

MAREInetcomRealty411

VENDOR BOOTHS STILL AVAILABLE

radic SAVE THE DATE

radic REGISTER

radic BUSINESS CARDS

radic INVITE A FREIND

Real Estate Investing is has become one of the hottest

trends for entrepreneurs to make money Attendance at

real estate associations meetings is way up Many of the

Richest People in the Country earned their wealth

through Real Estate Find out the reasons for this at the

Expo

Join 200 or more local national and international Inves-

tors at one of the Biggest Events in the Mid-West to

learn

How to Harness the Internet to Explode Business

with Duncan Wierman Internet Marketer Turned Real Estate

Investor

The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

the Best Investments and Kevin Rollings

with Self Storage Facility Management CAN

help you Compete with the Big Guys

Meet Tim Herriage Top Investor Wholesal-

er and National Development Agent for

HomeVestorsreg

Leverage your Available Investment

Capital and Close Quickly on your

Rehabs and Flips with Hard Money

Loans from Longhorn Investments

Find out about the California Market and

Markets from Around the Country from

our host the Linda Pliagas Investor and

Publisher of Realty 411 reWealth and

CashFlow Express Magazines

Build YOUR Kansas City Team and

Portfolio while supporting the Real Estate

Investing Industry with Mid-America Associ-

ation of Real Estate Investors

REGISTER NOW

wwwMAREInetcom411

Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

Hosted by SBD Housing Solutions

After Party

Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 24: The Investment News:  April 2013

Page 24 MAREInetcom

Did you find a great deal If you

cant factually support a great deal

to your potential investors then it will be hard to raise mon-

ey Its the most critical thing you need in your arsenal

when approaching investors for money

With a great deal using this 8-Step process will almost

guarantee your fund raising success

Raising money is a process and it gets easier every time

you do a deal because you are planting seeds with poten-

tial investors Some investors may not invest in your first

deal but will invest on other deals

The best source of future equity is from your existing inves-

tors Happy investors want to invest more and the best

part they spread the word and bring in other investors Its

like a snowball going downhill the longer it goes down the

hill the bigger the snowball gets I want to help you start

building your snowball

8-Step Process to Finding and Closing Investors

I have created an 8-Step process to raising equity for your

great deals that will allow you to get your snowball rolling

downhill The most important thing to stay focused on when

using this system is that raising money is a process not an

event You have to stay focused on working each and eve-

ry step as outlined below is the 8-Step Process

1 Develop a Pitch Book Create a unique business plan

and investment strategy to capitalize on todays great buy-

ing opportunity Whats your strategy to make money in-

vesting in real estate Package your plan up in a short 6 ndash

8 page pitch book

2 Develop a Potential Investor List Make a list of poten-

tial people that may have an interest in investing in real

estate The best place to start is friends and family This list

outlines some of the best places to find investors for your

list

1 Business associates

2 Accountants who have clients who want to invest in

real estate

3 Financial planners

4 Attorneys who have clients who want to invest in real

estate

5 Real estate agents know potential investors

6 Insurance agents who have wealthy clients

7 Property owners who invest in real estate

This list will be your starting point Make sure you ask peo-

ple on your list if they know anyone else that might have an

interest in investing in real estate Youll be amazed at how

many people will refer others

3 Conduct Investor Meetings Make breakfast or lunch

meetings with people on your list Review your pitch book

during your meeting and determine if there is interest Dur-

ing this meeting you are not selling anything you are only

finding out if an interest exits with your potential investor

The most important element coming out of these meetings

is new relationships

4 Build Investor Database Potential investors who have

an interest in your plan are added to your database Your

goal is to build as many potential new investors in your da-

tabase Stay in contact with potential investors in your data-

base by sending them articles stories stats and so forth

relative to real estate investing and your business plan

8 Step Process for Finding and

Closing Investors for Deals

By Craig Haskell

Craig Haskell is author of The Inside Game to Real Estate Value Investing and founder of an invest-

ing site ValueHound that brings together a community of opportunistic and value minded real es-

tate investors who are serious about learning new approaches to capitalizing on todays Once in a

lifetime buying opportunity

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

We Ship Fast

Free Design Help

wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

RealtyRealtyRealty411411411 MidMidMid---West West West ExpoExpoExpo

EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

VIP Seats $10

Register

MAREInetcomRealty411

VENDOR BOOTHS STILL AVAILABLE

radic SAVE THE DATE

radic REGISTER

radic BUSINESS CARDS

radic INVITE A FREIND

Real Estate Investing is has become one of the hottest

trends for entrepreneurs to make money Attendance at

real estate associations meetings is way up Many of the

Richest People in the Country earned their wealth

through Real Estate Find out the reasons for this at the

Expo

Join 200 or more local national and international Inves-

tors at one of the Biggest Events in the Mid-West to

learn

How to Harness the Internet to Explode Business

with Duncan Wierman Internet Marketer Turned Real Estate

Investor

The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

the Best Investments and Kevin Rollings

with Self Storage Facility Management CAN

help you Compete with the Big Guys

Meet Tim Herriage Top Investor Wholesal-

er and National Development Agent for

HomeVestorsreg

Leverage your Available Investment

Capital and Close Quickly on your

Rehabs and Flips with Hard Money

Loans from Longhorn Investments

Find out about the California Market and

Markets from Around the Country from

our host the Linda Pliagas Investor and

Publisher of Realty 411 reWealth and

CashFlow Express Magazines

Build YOUR Kansas City Team and

Portfolio while supporting the Real Estate

Investing Industry with Mid-America Associ-

ation of Real Estate Investors

REGISTER NOW

wwwMAREInetcom411

Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

Hosted by SBD Housing Solutions

After Party

Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 25: The Investment News:  April 2013

Investment News Page 25

The best place on the entire

planet to buy kitchen cabinets

We Have The Best Prices

Everything Is In Stock

We Ship Fast

Free Design Help

wwwCabinetGiantcom

Josh Burns

1-877-484-4268

5 Investor Documentation Investor

documentation is created using pro-

fessional assistance Your attorney

will prepare the legal documents re-

quired to approach potential investors

Dont skip this step because you are

afraid to spend money When you

close on the deal the legal fees will

be paid from the partnership entity

you created and raised money for

6 Deal Fund Raising Now that you

have the proper documentation you

can approach potential investors in

your database to raise money for the

great deal you have uncovered Why

is it so important to find a great deal

Because potential investors will see

the fantastic profit potential taking

much of the spot light off of you the

new sponsor Also having a great

deal will get you excited and that ex-

citement will show during your com-

munication with potential investors

Investors who are not suitable for your

deal must not be accepted Carefully

review the investor documentation to

make sure investors are qualified and

have correctly completed the infor-

mation

7 Close the Deal You are ready to

close the deal using the funds you

have raised from your investors In-

vestor funds should be deposited into

the partnership entity Once all the

investor funds are deposited into the

partnership account and ready for

closing the sponsor (you) will wire

funds from the partnership account to

the closing agent When the deal clos-

es you should communicate to your

investor that the deal closed

8 Investor Management Since one

of the best sources of raising new eq-

uity is from exiting investors manag-

ing and communicating with your in-

vestors is critical to your long term

success Make sure each investor

gets your personal attention They will

become a great equity source for fu-

ture deals

If you find a great deal that you and

your investors can get excited about

and follow this 8-step process Ive just

outlined above you will have much

success raising money for your deals

Remember raising money is a pro-

cess not an event Investing your time

and money in the 8-step process will

help you become a success at finding

and closing investors for your deals

While I have only covered the surface

on this 8-step process you have the

framework to put it into action

Start small and stay focused on the

8-steps Make it a point to begin

setting up you process today

Its never too early to begin so get

started now

Property Management

Rental Services

Kansas City Metro

wwwJamiesonHomeTeamcom

Kevin Jamieson

913-384-8331

Article Reprinted with permission

from Craig Haskell and

REIClubcom

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

RealtyRealtyRealty411411411 MidMidMid---West West West ExpoExpoExpo

EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

VIP Seats $10

Register

MAREInetcomRealty411

VENDOR BOOTHS STILL AVAILABLE

radic SAVE THE DATE

radic REGISTER

radic BUSINESS CARDS

radic INVITE A FREIND

Real Estate Investing is has become one of the hottest

trends for entrepreneurs to make money Attendance at

real estate associations meetings is way up Many of the

Richest People in the Country earned their wealth

through Real Estate Find out the reasons for this at the

Expo

Join 200 or more local national and international Inves-

tors at one of the Biggest Events in the Mid-West to

learn

How to Harness the Internet to Explode Business

with Duncan Wierman Internet Marketer Turned Real Estate

Investor

The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

the Best Investments and Kevin Rollings

with Self Storage Facility Management CAN

help you Compete with the Big Guys

Meet Tim Herriage Top Investor Wholesal-

er and National Development Agent for

HomeVestorsreg

Leverage your Available Investment

Capital and Close Quickly on your

Rehabs and Flips with Hard Money

Loans from Longhorn Investments

Find out about the California Market and

Markets from Around the Country from

our host the Linda Pliagas Investor and

Publisher of Realty 411 reWealth and

CashFlow Express Magazines

Build YOUR Kansas City Team and

Portfolio while supporting the Real Estate

Investing Industry with Mid-America Associ-

ation of Real Estate Investors

REGISTER NOW

wwwMAREInetcom411

Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

Hosted by SBD Housing Solutions

After Party

Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 26: The Investment News:  April 2013

being purchased by investors for rent

cater to different household types than

investment-grade multifamily proper-

ties Single-family rentals see house-

holds with children as their largest

household type compared to invest-

ment-grade multifamily properties in

which singles dominate especially in

urban locations

THE NEAR FUTURE

Apartment fundamentals do not face a

cliff given the rise in new completions

Construction activity has been so de-

pressed over the last two years that

even new units coming on line only

represent a return to recent average

inventory growth rates

However that does not mean that

apartment vacancies will continue to

crater more than 100 basis points per

year since current levels are already

so tight Reis projects vacancies to

remain in the low 4 percentages

through 2015 not much lower than its

current 46 percent Landlords recog-

nize this and have shifted their focus

from improving occupancy to raising

rents to meet revenue goals

There is a limit to how much landlords

can raise rents as well given that

household income levels have re-

mained relatively stagnant But if GDP

growth improves and the economic

pie starts growing at a faster rate

apartment properties are poised to

share in the benefits as well

As such apartment investors are like-

ly to do well in the foreseeable future

Certain transactions with going-in cap

rates below 3 percent will encounter

significant exit challenges if and when

interest rates rise but market partici-

pants with realistic expectations will

find it difficult to pick a sector with pro-

spects as sound as multifamily

Victor Calanog is head of research and economics for New York-based research firm Reis Reprinted from

httpnreionlinecomdistressedinventory

multifamily_fundamentals_no_cliff_11132012

(Continued from page 7) Multi Family

cweavercustomlendingnet

espeedfirstfundscom

wwwefaxcom

With eFax you can receive your faxes

anywhere you can check email they

are received just like email You do

not need to have a fax machine to

receive eFax In the event you want a

paper copy of the fax you simply print

one This will save you money on pa-

per and ink and allow you to only print

the faxes you want It will allow you to

forward a fax onto someone else after

you have reviewed it simply be send-

ing an email

800 Number

Another nice tool is an 800 number

Although certainly not necessary

sometimes a plus to have The de-

faulted notes may still have original

mortgagors in place and often it will

be necessary to contact them As with

any phone call made contacting them

on the first call is more than likely not

to happen An 800 number makes it

easier for a debtor to return your call

www800numberorg

wwwinstant1800com

We hope you have found a few helpful

tidbits in this article They are vital

tidbits for the Note Business Eddie

will be traveling to St Louis for an all

day training presented by Street

REIA This is an excellent opportunity

to reach a new facet of the real estate

investing business

(Continued from page 19) Resume

Or the Facilitator could borrow the

$18500 from the Investor and pay

the Investor back over 5 years and

offer the investor an 8 return for a

monthly payment of $37511 and pocket the difference of $11809 for the

first five years and then have a free and

clear investment for the last 60 months

and then pocket $49320 a month

Again remember the Facilitator can do

this within a Self Directed IRA or outside

of the IRA for income to live on

So why would the Investor buy a part of

the note Well in this scenario the Fa-

cilitator is a well respected investor in

his market and known for offering rent-

als and seller financing and doing what

he says he is going to do He agrees to

step in and deal with issues should the

Happy Family Borrower default and

assist with foreclosure and then renting

or selling the house again for the Inves-

tor

The other important point to remember

is that the Investor is more than likely

someone who we know who is a bit

older and has money in a retirement

account earning a few percent in inter-

est at the bank or maybe a bit more if

they have it invested in conservative

stock market investments who want to

make a better return on their invest-

ment

Now some may say but the Bird Dog

found the deal and only got $1000 Fair

enough we could pay the Bird Dog a bit

more But for the most part the Bird

Dog is finding the deal and then the

Facilitator is stepping in to assist with

the contract and potentially bring the

end buyer and all the money require to

make the deal happen

It may also be able to bring in a second

Bird Dog to find the buyer Or the Bird

Dog position could be taken by a Real-

tor who gets paid a commission for rep-

resenting the motivated seller the Facil-

itator or the Happy Family Buyer Play

with it and let me know what you think

of this case study Email me at

KimGBIFudingcom

(Continued from page 21) Case Study

Page 26 MAREInetcom

RealtyRealtyRealty411411411 MidMidMid---West West West ExpoExpoExpo

EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

VIP Seats $10

Register

MAREInetcomRealty411

VENDOR BOOTHS STILL AVAILABLE

radic SAVE THE DATE

radic REGISTER

radic BUSINESS CARDS

radic INVITE A FREIND

Real Estate Investing is has become one of the hottest

trends for entrepreneurs to make money Attendance at

real estate associations meetings is way up Many of the

Richest People in the Country earned their wealth

through Real Estate Find out the reasons for this at the

Expo

Join 200 or more local national and international Inves-

tors at one of the Biggest Events in the Mid-West to

learn

How to Harness the Internet to Explode Business

with Duncan Wierman Internet Marketer Turned Real Estate

Investor

The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

the Best Investments and Kevin Rollings

with Self Storage Facility Management CAN

help you Compete with the Big Guys

Meet Tim Herriage Top Investor Wholesal-

er and National Development Agent for

HomeVestorsreg

Leverage your Available Investment

Capital and Close Quickly on your

Rehabs and Flips with Hard Money

Loans from Longhorn Investments

Find out about the California Market and

Markets from Around the Country from

our host the Linda Pliagas Investor and

Publisher of Realty 411 reWealth and

CashFlow Express Magazines

Build YOUR Kansas City Team and

Portfolio while supporting the Real Estate

Investing Industry with Mid-America Associ-

ation of Real Estate Investors

REGISTER NOW

wwwMAREInetcom411

Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

Hosted by SBD Housing Solutions

After Party

Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 27: The Investment News:  April 2013

RealtyRealtyRealty411411411 MidMidMid---West West West ExpoExpoExpo

EXPO Saturday April 20th 2013

Holiday Inn Overland Park West

No Charge for General Admission if

You Pre-Register

VIP Seats $10

Register

MAREInetcomRealty411

VENDOR BOOTHS STILL AVAILABLE

radic SAVE THE DATE

radic REGISTER

radic BUSINESS CARDS

radic INVITE A FREIND

Real Estate Investing is has become one of the hottest

trends for entrepreneurs to make money Attendance at

real estate associations meetings is way up Many of the

Richest People in the Country earned their wealth

through Real Estate Find out the reasons for this at the

Expo

Join 200 or more local national and international Inves-

tors at one of the Biggest Events in the Mid-West to

learn

How to Harness the Internet to Explode Business

with Duncan Wierman Internet Marketer Turned Real Estate

Investor

The ldquoPower of Zerordquo for True Wealth with Chris

McClatchey Veteran Real Estate Investor amp Coach

Why NOW is the Time to Invest in Kansas City Properties

with Marck de Lautour local Kansas City Investor

The Self-Storage NICHE is STILL one of

the Best Investments and Kevin Rollings

with Self Storage Facility Management CAN

help you Compete with the Big Guys

Meet Tim Herriage Top Investor Wholesal-

er and National Development Agent for

HomeVestorsreg

Leverage your Available Investment

Capital and Close Quickly on your

Rehabs and Flips with Hard Money

Loans from Longhorn Investments

Find out about the California Market and

Markets from Around the Country from

our host the Linda Pliagas Investor and

Publisher of Realty 411 reWealth and

CashFlow Express Magazines

Build YOUR Kansas City Team and

Portfolio while supporting the Real Estate

Investing Industry with Mid-America Associ-

ation of Real Estate Investors

REGISTER NOW

wwwMAREInetcom411

Network Learn

Build Your Team

KC Area Foreclosure Bus Tour Sunday April 21st

Learn about the Local Market - Visit Properties

Observe Local Rehabs - Meet Property Managers

Hosted by SBD Housing Solutions

After Party

Unwind After the Big Event

Further your new connections over a quick Bite and a

Game of Pool at an Establishment Near the Hotel

Currently over 160 LOCAL NATIONAL and INTERNATIONAL Investors

registered to attend this event Only 300 seats available so if you

have not registered yet get your seat reserved today

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11

Page 28: The Investment News:  April 2013

Subscribe amp Sync

MAREInetcomCalendar

The MAREI calendar is hosted on Google Calendars This allows you to subscribe

to our calendar and sync it with your own Google Calendar Mobile Calendar or

Outlook Calendars Check calendar for times and locations

April 2013 Sun Mon Tue Wed Thu Fri Sat

1

Northland Investors

Weekly Networking

2 3

Deadline Vendor

Table KC North

4

KC Northland Mtg

Lake Ozarks REIA

5

Connected Investors

6

Wichita REIA Meets

7

Lees Summit Inves-

tors Networking Meets

Weekly

8

Northland Investors

Weekly Networking

Deadline Vendor

Tables for KC South

9

KC Metro South Mtg

Webinar Leverage

Your Real Estate IRA

10

11

Webinar Real Estate

Lending using your

Self Directed IRA

12

13

Lake OzarkmdashCreative

Finance TrainingmdashAll

Day Workshop

14

Lees Summit Inves-

tors Networking

15

Northland Investors

Weekly Networking

Omaha 1 REIA

16

Deadline Newsletter

ads amp articles for

March

17

Crime FREE America

8 Hour Training FREE

Northland Investor

Quarterly Lunch

18

KCIG

Shawnee County Land-

lords

19

KC Area Absolute Real

Estate Auction

20

Mid-West Real Estate

Expo amp Networking

21

Mid-West Bus Tour

22

Omaha REIA

Northland Investors

Weekly Networking

23 24

Northland Investors

Weekly Networking

25

26

27

St Louis The Note

Business with Eddie

Speed

28

Lees Summit Inves-

tors Networking

29

Northland Investors

Weekly Networking

30 1 May

Deadline Vendor

Tables for KC North

2

KC Northland Mtg

Self Directed IRA

Topics

3

SG Connected Inves-

tors

4

Blue Springs Inde-

pendence Inv Meets

Weekly

5

Lees Summit Inves-

tors Networking

6

Northland Investors

Weekly Networking

7

KC Metro South w

Self Directed IRA

Topics

8

Weekly Wed Master

Mind

9

10 11