5 Golden Rules of Property Management

In today’s challenging real estate market many more of my clients are faced with renting out their home rather than selling it when relocating out of the area.  Owning investment property for someone who never intended to become a landlord can be a scary prospect, but it doesn’t need to be.  The success or failure of any investment property depends on the effectiveness of your property management skills.  There are many books on this subject but here are five golden rules that we discovered after my husband and I personally managed 75 of our rental units at one time. 

 

 

Rule#1- Organization Is A Virtue

I love Adobe PDF writer!  This program allows me to use my scanner and create an electronic copy in my computer.  I scanned all my bills and any important documents in this format.  Since I owned property in two states, this allowed me access to a “virtual” file cabinet with my laptop.  I can quickly send eviction or late notices from wherever my location.  One example was during an eviction the lawyer processing the case needed copies of the lease, the late notices and breakdown of expenses owed to me.  Since I scanned every document and use QuickBooks to organize my accounting, I was able to quickly send a package to my Lawyer and he was able to file with no delay.  We filed with the court and I was able to gain a judgment against the tenant.  But more importantly, I got possession of my property in an expeditious manner.  You can purchase Adobe PDF at www.adobe.comor download free simple Adobe writer called CutePDF.

 

 

Rule#2- Treat Every Tenant Like They Have A Law Degree

I assume that all my tenants know as much about property law as an attorney would know.  As a result, all notices are in writing and on the standard forms provided by the non-profit organization the California Association of Realtors.  There is an excellent program provided by the California Association of Realtors called WINForms (www.winforms.com).  This program has all the property and lease forms provided by the association.  This includes lease agreements, lead disclosure, check-in, and even a rental application.  If you are a Realtor, the program is included as part of your annual dues.  Otherwise the program is only available to attorneys or real estate licensees for a hefty annual price of $499.00.  Lastly, any verbal discussions that may have some legal consequences are written down and sent to the tenant.   If the subject is too small for a written letter, I then enter a log in my ACT contact program with a date and time stamp of the event.

 

Rule#3- Take The Time To Become Informed On Rental Laws

If you follow Rule#2, then it is critical you become knowledgeable on the current rental laws.  An example was a recent change to month-to-month termination notification.  California law requires the Landlord to give a tenant 60 days notice of termination of month-to-month lease, regardless of the 30 day notice agreed upon in the original lease.  Fortunately for the tenant, they still can give the Landlord 30 days notice.  This major change became effective the beginning of this year.  Sources to keep up to date with rental laws are apartment associations and the web site of the Department of Real Estate or like kind governing board.

 

Rule#4- Include Automatic Rental Increases

This rule I learned the hard way.  I noticed that it was a difficult process to increase rent on my tenants.  The tenants didn’t like the increases and depending on the timing of the notice or size they may get upset and leave to find another place to rent.  So the effort to increase rent a few dollars would potentially cost me thousands of dollars to update and advertise a vacant unit.  What I discovered is that you can include an automatic increase in rent at the beginning of the tenancy.  This way the tenant is aware of the increase and can budget accordingly.  You as a Landlord still have to provide 30 day written notice of the increase, but at least the tenant is expecting the notice. 

 

Rule#5- Be Fair And Direct

After dealing with 75 rental units a pattern started to appear regarding payment of rent.  Some tenants were excellent and would pay before or on the first of the month.  Others would wait for the last hour of the final day before a late charge could be added.  And the remaining tenants would always be late and pay the late fee every month.  Unforeseen events in a tenant’s life would happen and I would get that call or letter asking for extra time to pay the rent.  My response would be a respectful inquiry regarding when payment would be rendered and to remind the tenant that a late fee would be added as described in the lease agreement.  I also informed the tenant that unless payment is sent to my office by the 12^th, then a 3 day pay rent or quit notice would be served.  Honestly if a tenant in late three consecutive months, I would serve a lease termination notice.  I never try to sympathize with the tenant about my need to pay the mortgage and all the bills, because most tenants don’t care.  They see me as a rich Landlord that has endless pockets of wealth… HA!  

 

Of course there are other rules, but that will have to come another day.  I enjoy sharing my experiences so if you have a question or story you want to share send me an email or vist us online at www.investbig.com

 

Why Your Realtor May Not Want To Sell You A Bank-Owned Home: Part 1

Bank Owned properties called REO’s (Real Estate Owned) can be a wonderful opportunity for home-buyers and investors in today’s market.  Although all REO’s are not a good deal, in general bank-owned properties sell below current market value for their area. 

 

Yet many real estate professionals are reluctant to sell these potentially great deals.  Why?  There a number of reasons.  First, many home-buyers have unrealistic expectations, they think banks are so desperate to sell they will take any offer.  While it’s true they do not want to own these homes, they are somewhat bureaucratic.  Banks have a process in place and unless the property has been difficult to sell and a buyer has cash and/or can close fast they are reluctant to take low-ball offers. So, while there are some great deals out there, most banks are not going to consider an offer significantly below the asking price, especially when it’s first listed.  And, they are more likely to take an offer from a highly qualified or cash buyer. In fact, depending on the area and price, it is not uncommon to see multiple offers on a bank-owned property, some for over the asking price. 

 

Also, banks will not work with unqualified buyers.  I often get contacted by buyers looking far above a price range they can afford because they believe the bank will take fifty cents on the dollar.  Some even have bad credit and limited money for a down payment.  The reason banks and the rest of the country are in this current financial mess is because, in many cases, banks were lending money to unqualified buyers and loans were given to people that could not afford them.  So, after submitting a couple unrealistic offers that don’t get accepted most professional real estate agents will cut the buyer loose if they don’t start making reasonable offers.  Let’s face it, real estate agents are in the business of selling homes so they will usually work with buyers who are the most likely to close an escrow.

 

Another common reason that real estate agents do not like to show and sell bank-owned real estate is that they think selling an REO is a hassle.  From my experience, this is because the way typical real estate professionals operate their business and REO agents operate are completely different.  Typically a buyer’s agent will talk to, and work with, the listing agent to submit their offer and any outstanding paperwork or information can be obtained during the offer and acceptance process.  REO agents, on the other hand, do not have the luxury of operating this way.  They are often difficult if not impossible to contact by phone, many instead will only communicate via email.  The top REO agents carry 50 – 150+ listings and simply do not have the time to call a buyers agent for missing paperwork or information.  Many REO agents get into their office Monday morning and have 40 or more contracts on their desk to review and submit.  So if your offer is incomplete or missing information when it’s first submitted the offer will likely never get past the listing agents desk.  The end result is that real estate agents think the banks are difficult deal with.   

 

Finally, many agents are fearful of the liability.  Bank-owned homes often come with deferred maintenance and some outright problems.  These homes are sold in strictly an as-is condition and if a major problem is discovered after escrow closes who can the buyer go to but the agent that sold the property to them.

 

If you want to buy bank owned property make sure the agent you choose understands the process.  In part two of this article I will share tips from top REO agents to help you get your offer accepted.

 

 

 

 

Should I Buy Now or Wait?

This is the question on everyone’s mind.  I find in my business that people are looking for a guarantee.  While I can’t guarantee the future I can say after 21 years in real estate sales that market will go up and the market will go down.  We have definitely been on the down side for a while now and I believe it may even go a down some more before it goes up but don’t listen to me, this is what some of the “experts” are predicting:

 

June 2008, “It will get worse before it gets better.  It will get better, because the demographics are compelling.  We have more people living in homes, we have the population growing from 300 to 350 million people, immigration, baby boomers, the eco-generation, and all those are driving demand.  So long-term the value of your house will increase, but in the short-term the value of your house will probably decrease.” This is according to Henry Silverman, Realogy Corp

 

Aug. 14, 2008, “Foreclosure Activity Increases 8% in July”; “Activity Up 55% From July 2007”; “Nevada, California, Florida post top state foreclosure rates”, According to RealtyTrac(R)

 

August 25, 2008, “Sales of existing homes rose 3.1% in July, about double what economists had expected”; “Despite the increase, the inventory of unsold homes reached an 11.2-month supply matching the all-time high”, according to the National Association of Realtors®.

 

August 26, 2008, Jim Cramer, host of CNBC’s Mad Money called the bottom of the  housing boom, “The economy will never recover if housing doesn’t find its footing first.” when does he expect that will happen? Jim Cramer said he expects a bottom by the third quarter of 2009.

 

What does this mean, buy now or wait?  The housing market is one of the nation’s top concerns, its right up there with gas prices and the Presidential election. Each day brings more and sometimes conflicting news but I believe now is a great time to buy.  You’re probably thinking well of course she says that she’s a Realtor and wants people to buy homes – true.  However, the reality is that we can’t put a date and time on the bottom of the market or when it will turn around.  But everyone needs to live somewhere so why not live in the home and/or area that you want to live in and if you’re renting wouldn’t you like to own a home of your own? 

 

In addition, real estate is extremely localized so the answer to the question, “should I buy now or wait?” depends on what you want to buy.  My area, the South Bay of Los Angels, is small geographically yet we have every type of housing available from beach condos to high end single family homes, townhomes and investment property.  So answering that question depends on many factors.  The best way to get it answered is to talk with your local Realtor.  In my experience, most people want to wait and see what everyone else is doing before they make a move.  The smart buyers are out there right now getting deals.  I guarantee that by the time the majority gets off the sidelines and starts buying, it’s too late.  So if you buy now, yes prices may go down further, but that won’t last forever, eventually things will turn around.  The key is to buy a home you want, that suits your needs in an area you like with payment you can afford. 

 

Tech Tips For This Tough Market

I got so many requests for my speech notes after speaking at the California Association of Realtors, Tech Tuesday event that I decided to post them.  Here you go…

Introduction:  Courtney Self: 

ü      Full-time Broker

ü      started RE in 1986

ü      Real Estate Investor

ü      Author of 3 real estate books & numerous articles.

ü      To request notes email me:  Courtney@Self.cc 

ü      Take Questions throughout presentation.

Tough Economy = Tough RE Market…Agents leaving the business

My goal today is to share what’s out there so you can properly incorporate technology into your business.  This will make your business more efficient & cost effective.  This past summer I had a great opportunity to review my use of technology.  I took the summer off & left the office I had been in since 1997 & also dissolved a long-term partnership of 7 years.  Making these two big moves in my businesses plus my time off gave me a great opportunity to review my overall business; one thing I spent some time on was evaluating the technology tools I had been using.  I found that although most of them were great products I was not fully utilizing some them in my business which made them a waste of money.  In this market we cannot afford to waste any money.

The question is where do we start?  10 years ago, technology had very little to do with our business. Today, however, it’s essential to your success.   The problem for most of us is the overwhelm we feel when reviewing what’s out there.  So, how do you choose the technology tools that are right for your business?  The amount & type may vary with you, your experience as well as your client base. 

97% of my clients are repeat & referral so the tools I choose help me to maintain that average.  Your client base may be different.  Even with the majority of my business coming to me as some sort of referral my clients still do research online before meeting with me. 

According to NAR’s 2007 Realtor® Technology Survey”, 84% of homebuyers use the Internet 84% (up from 80 percent in 2006), before they contact a real estate agent.  In the past clients came to us for information, today they already have it.  However, the good news is, in spite of all the information the consumer still needs us.  The vast amounts of information can be overwhelming to a buyer or a seller; it’s our job to translate this information for them.

Hardware:

ü      Laptop.   I assume everyone has a computer of some kind but a laptop allows you to take your office with you anywhere you go.  It’s great to-do a listing presentation; take it to an open house to show prospective buyers or just to get some work done if the OH is slow.   A wireless connection is a must if you plan to go mobile – many p[ublic places offer wireless connection. Abitly to conncet to interniet via cell phone is another great option.

o       Hardware Tips:

§         Have you’re name somewhere on the computer in case you leave it – car dealer

§         Laptop security cable

§         Password protect login & screen saver

§         Don’t leave password written down near computer

o       Lo Jack for laptops – this information provided by Len Walther, one of the audience members:  Let’s police track location of stolen

§         Adrona (open source) – dual platform doesn’t involve 3rdparties. (Fear of owner being tracked).  Takes photos of thief with MacBookPro’s iSight built-in video conference camera & let’s you know

ü      Mobile Phone & Accessories.   The cell phone is the single most important tool for a busy agent!  As I already touched upon, today’s consumers want instant contact.  Buy a smart phone, why?  Powerful business tool.  Treo is the best for real estate location of thief., Blackberry is close behind & according to my MLS will have SUPRA Ekey functions by the end of the year. 

o       PDA – Synchronize with contact managers - all your contacts with you at all time.

o       Calendar

o       IM/Texting

o       Supra eKey :  provides showing activity usually within 24 hours on your listings.

o       Real estate applications e.g. mortgage calculator or seller net sheets

o       Camera

o       Cell phone Tips

§         Take pictures to remind yourself of repair items

§         Temporary MLS photos- something is better than nothing

§         Synchronize client database

§         Don’t forget a hands-free device so you can talk on the phone while driving, some cars come equipped with it.

ü      USB Flash Drive.  If you have access to a computer at your office & don’t want to bring your laptop back & forth each day a flash drive is a powerful device.  You can transport all your files to another computer simply by plugging the USB drive into your computer & download/upload it.

ü      Digital Camera. A high resolution, good quality digital camera can be an agent’s best friend when it comes to marketing. A digital camera can be used to take photos of the inside & outside of homes, the surrounding area, & anything else that could help sell a home or purchase one. Photos can be placed on your website, posted on listing sites or MLS, used to build a virtual tour, or emailed to clients.

ü      GPS Navigation System.  Many of us have expanded the markets in which we work due to the economy.  It will save you time, gas & embarrassment when showing clients

Software & Internet Services:

Microsoft Office

ü      Word:  word processor - Use to create flyers, form letters, & drafting letters to clients or fellow agents 

ü      Excel : spreadsheets -

o       import & export mailing lists

o       Custom investment analysis form get at www.InvestBig.com

o       Seller proceeds

ü      PowerPoint- presentations

o       Seminars; Listing/buyer presentations

ü      Publisher – flyers & marketing material

ü      Outlook - contact manager

o       Organize calendar & contacts

o       Synchronizes with all cell phones

Google Docs – FREE; great for sharing

ü      Google Word-processor

ü      Google Spreadsheet

Contact Managers:

ü      ACT! Premium for Real Estate

o       My favorite for sales people

o       Built-in features & templates

ü      Top Producer

o       Specific to real estate

o       Powerful online database

o       It does everything & more for real estate sales

Personal Website.

ü      Today’s standard, much like a business card.  I think of it as an online brochure, it can tell potential homebuyers & sellers who you are & what you offer. 

ü      Evolving into customer relationship manager, CRM e.g. Top Producer – one stop shopping

ü      Lead generator - when used correctly. A key factor to lead generation success is the ability to respond quickly, & by quickly I mean within minutes. The consumer wants information NOW! 

ü      Auto-responders.  In my opinion, if you cannot set up a system to effectively respond within minutes don’t expect to use your website as a lead generator.  Home Gain &  www.Eprospecting.com can set up for you.

ü      I use mine as a resource center for my clients.

ü      Website Tips:

ü      Is your website “ego based” or is it “value exchange & informational based?”

ü      Do you have a lead capture system on your website?  Remember, the only way you will capture leads is if you have something of value the consumer is receiving in return for their information.

ü      Custom Domain Names -Makes you look professional

ü      Get a real estate specific website vendor, e.g. Superlative or Pullan Communications

ü      You don’t have to release control of domain name to web site vendor

ü      Own multiple names - I have several sites that are linked together. 

§         www.SouthBayCA.com residential real estate business

§         www.CourtneySelf.com residential real estate business

§         www.InvestBig.com  income property; resources information for landlords, FREE 7-day trial on foreclosure information which is a really hot topic right now.

ü      Domain Name Vendors:  Enom [www.enomcentral.com]; Go Daddy [www.godaddy.com]; Network Solutions [www.networksolutions.com]

MLS:  MLS access is so standard many of us take it for granted.  Remember all of our listings make it to the internet so you want to make sure your listings are as accurate as possible & they you have as many photos as your system will allow.  Studies have shown that listings with more photos are viewed for a longer period of time than those without photos. 

Zipforms™. You can be more efficient & cost effective while going green. 

ü      Zipforms will enable you to write & email contracts online.

ü      Contracts are the most up to date

ü      It’s easy to use, avoids the messy look of a fax.

ü      Using DocuSign in conjunction with Zipforms enables you to insert electronic signatures.

Homefeedback.com/Listing Widget – Buyer & agent feedback plus email marketing

ü      Go green – send Flyers & postcards sent to other agents in your area or to your database via email.

ü      Great Listing tool

ü      Fast

Web Based Email

ü      Email clients from any Internet connected device

ü      Account & messages are backed up

ü      Basic full featured accounts cost nothing

Resources: 

ü      Google Mail [www.google.com/gmail]; Yahoo Mail [mail.yahoo.com]; HotMail [www.hotmail.com]

 

Email Marketing

ü      Low Cost & Easy to Set-up

ü      Market to Clients & Other Agents

ü      Anniversary emails- send a yearly anniversary card on the purchase of their home

ü      Birthdays- who doesn’t like a happy birthday card?

ü      Newsletters – Factoids- send recipes, fun facts, or interesting information that your clients will want to read

ü      Valuation update- schedule CMA to be sent annually 

–       Resources: 

–       Plaxo.com

–       eProspecting [www.eprospecting.com] real estate specific, professionally written templates

–       Constant Contact [www.constantcontact.com] used by many different types of business to send email marketing to interested clients

Texting/IM.  the standard for younger consumers.  Email is considered the new “snail mail”.

ü      www.House4Cell.com

ü      Buyer sends text message & is instantly sent description of the property w/photos

ü      the buyer’s phone number is captured & sent to the listing agent

Toll Free Numbers

ü      Low-cost

ü      Callers can listen to information 24/7

ü      Great listing tool

ü      Voice blasting

ü      Ad tracking

ü      Toll Free Service Providers:

ü      Freedom Voice [www.freedomvoice.com] or [www.myagentphone.com]

Television Marketing:

ü      Spot Runner [www.spotrunner.com]

ü      Adversities on your local cable stations

ü      Template commercials are relatively inexpensive & are becoming more technologically advanced

ü      Build a custom campaign by providing information about your company, target market, location & budget

Public Relations Marketing:

ü      Cost-effective

ü      Blogging [www.blogspot.com] is a website where postings are listed in chronological order. Active Rain; Word Press – www.realestategenius.net

ü      Ezine increases traffic to your website, builds personal & business creditability.

ü      Trulia Voicesonline Q&A-connecting buyers/sellers with real estate questions to local professionals

ü      online radio shows or podcasts www.TalkShoe.com

Other Services:

Send Out Cards – send personalized, custom cards, gifts, postcards.  Great for Holiday cards & follow-up with existing clients.

USPS.com – print, address & mail postcards online

Efax – send & receive faxes via email; maintain a private fax line.

Social Networking: LinkedIn; Facebook (no MySpace – kids); Plaxo

Craigslist [www.craigslist.com] is a free classified posting service that has gained momentum & scared the heck out of the print advertisers

Melissa Data [www.melissadata.com] is an incredible resource that has over 50 free data search engines on their web site

 

Louis Wilson’s POCEM

Hi Everyone,

 

I wanted to share this, Meredith Caliman gave this presentation last week and I thought it was wonderful.  She gave me permission to add it to my blog.

 

FAN Member Presentation 4/25/08

 

 

            “Think Differently.”  That was the slogan of Apple Computers in the 1980s and 1990s.  But how many of us can truly think differently, and even more, how many of us can go against the conventional wisdom believed by their community?

 

            I want to tell you about someone from my youth and childhood who thought differently, and acted upon his beliefs.  While perhaps not so rare in the larger community of middle class America, he thought very differently from every other adult in the neighborhood where I grew up.

 

            The neighborhood where I grew up in the 1960s and 70s was composed of middle class people who called themselves “colored people” and later called themselves “Black people.”  The civil rights era had brought them a measure of empowerment because now we could go to school wherever we wanted, live wherever we could afford, shop and eat wherever our green money could be spent.  Women’s liberation did not mean much to the women, most of whom worked outside the home just as their mothers, grandmothers and great-grandmothers had done.  Government jobs and some union jobs were now available to these people and they sincerely believed that the way to get ahead was to get an education, get a government job or a steady job that somehow had ties to the government (like in the aerospace industry that was so prevalent in the South Bay at that time), a job with permanence and a pension that would allow you to retire.

 

            Louis Wilson did not think that getting that government job was the way to be secure.  When everyone else was praising the blessings of civil rights, affirmative action and other government-backed programs, Mr. Wilson said that Black people had actually lost ground with these government gains.  You can imagine that this argument went over extremely well (it is still not a popular argument).  Mr Wilson talked to everyone who would listen about the need to be self-sufficient and own our own businesses – this was reminiscent of the pre-civil rights condition where we had to own our own businesses because the majority had the right not to allow us in their stores.  His speeches fell on deaf ears throughout the neighborhood.  Unlike my own father, he thought that women could and should be pushed to their greatest potential.  He liked talking to me because I was willing to study hard and work hard and loved to argue with him, challenging his ideas.

 

            Louis Wilson was an engineer by training.   He was the first person I knew of who had a graduate degree.  In his garage workshop, he invented some mechanical part that is used in taxi meters that allows for the meters to calculate the distance of the trip and keep track of the costs of the trip.  He sold his idea to a company and made the seed money of his fortune.  Even after making money, he stayed in the same neighborhood and his family never lived much larger than everyone else.  Mr. Wilson took his seed money and quietly invested in real estate.  The only thing that was visibly different was that Mr. Wilson retired from his day job long before the other men in the neighborhood.  What Mr. Wilson then devoted himself full time to a non-profit that he had founded called “Impact” whose purpose was to teach poor and illiterate people how to pull themselves out of poverty by owning their own businesses.

 

            Mr. Wilson had his theories about owning your own business, how to get there and how to remain successful.  He called his theory “The POCEM.”  POCEM was based on the first letters of the five pillars of being a business owner; the letters are P-O-C-E-M.  The pronunciation is like “possum” because Mr. Wilson wanted the people to think of a possum, a fat cat, so they could remember his theory and imagine themselves as fat cats.

 

            P stands for Plan.  Before starting out, the business person must have a plan in place to describe the objective.  Each plan must state how much and by when.  This is not unlike the “Game” that FAN members have been discussing.

 

            O stands for Organize.  This is the action behind your plan.  The business person must organize people, money and material for the sake of accomplishing a goal or a profit.

 

            C stands for Control.  The business person must establish controls not only within his business but also controls against any forces keeping her from accomplishing the Plan.

 

            E stands for Evaluate.  It is necessary to periodically evaluate the situation to see if the Plan is on track.

 

            M stands for Modify.  This is the most critical part of the Plan.  As the business person is rarely the master of the universe, it is rare that the Plan performs precisely according to expectation because of the many things that affect us on a personal basis or in the wider world.  Therefore, it is necessary to Modify the Plan by making changes necessary to push one back to accomplishing the Plan.

 

            Mr Wilson could talk for hours about his “POCEM” and go into great details about each letter.  I won’t go into those details here.

 

            What I will tell you is that five and a half years ago when I was suddenly faced with joblessness, in the six weeks I had before my once secure job would end forever, I began to put I Mr Wilson’s POCEM theories into practice.  It was unconsciously done and it was only later that I realized how those long ago words had stayed in my brain.  I have never taken any business or management courses, yet I seemed to know instinctively what to do.  It was Mr. Wilson’s words coming into realization because he had taught me to see possibilities and not to be afraid to seize opportunities.

 

            These days, clients pay me to help them make business choices.  Without directly preaching the POCEM, I try to get clients to focus on those points, especially Controls and Modification issues which are often overlooked.  

            Many of the parents from my old neighborhood are gone now, Mr. Wilson included.  Alone among those parents, Mr. Wilson left his family with millions of dollars worth of assets. But more so than leaving those assets, I believe Mr Wilson would be pleased that he left a legacy of teaching at least one other person to think differently.

 

Why Did We Join Nouveau Riche?

We’ve been getting this question a lot lately.  Since we’ve already been successful in real estate, Courtney as an agent, both of us as investors many people ask why we would want or need Nouveau Riche (NR).  Our main reasons for joining were the education as well as the networking opportunities.  We’ve been searching for a way to bring our investing to the next level and we the NR education can do that for us, in fact it already has.   We’ve met numerous people who have taken what they’ve learned and have created enormous success as investors.

As for the networking, you might be surprised how difficult it can be to find other serious real estate investors with whom you can share ideas and experiences. The Nouveau Riche Community offers many networking opportunities.  At their events we have met fellow real estate investors (new & seasoned) as well as other entrepreneurial people.  We finally have a forum to share ideas, opportunities, brainstorm & learn from each other.   

In addition, to expanding our own education we have been counseling others how get into real estate investing for years through our books, workshops & seminars. But that could only take people as far as our own experiences.  The NR education is outstanding! Their real estate investment education system is taught by successful full time real estate investors who practice what they preach.  Plus, you have choices on the classes that interest you instead of a one size fits all seminar.  We’ve taken classes on buying apartment buildings, property management, tax strategies for investors, and buying and selling notes.  They also offer classes on foreclosures, short sales, or if you are a beginning investor and don’t know where to start they have a class for that too!  There are too many classes to mention and there really is a class for everyone.  They continue to add to their curriculum.

Finally, we were interested in the income aspect of Nouveau Riche.  Yes, it’s network marketing.  But when you really like something you’re going to recommend it to your friends and family anyway.  We’ve met several people that have even left their careers because they have experienced so much success with Nouveau Riche both as network marketers.  One more thing I almost forgot to mention, Properties.  NR offers investment properties and the process is easy which is great for first time investors. 

That in a nutshell is why we joined Nouveau Riche, contact us with any questions.

Anthony & CourtneySelf

 

 

Finding and Working With a REALTOR®

For many reasons buying or selling a home is one of the most stress-filled situations you will endure in your life.  First of all, it’s usually your largest single investment.  Second, the process is disruptive and time-consuming, not to mention expensive. 

 

 

The stress of buying or selling is generally compounded by other reasons.  For example, people frequently move due to changes in their life that may or may have been planned e.g. a growing family, a death, a divorce, a job loss or relocation.  And, most people dislike change, so the very act of packing up all your personal possessions, moving the kid’s schools, worrying about how the dog will react to the move all adds to the stress.  

 

 

Hiring an Experienced Realtor is the easiest way to reduce the stress.  But why use a REALTOR® at all?  Can’t I do it myself?  You could, but why?  Hiring an experienced real estate agent to representing you, whether buying or selling a home will usually give you smoother, less stressful transaction.  

 

The Problem:  How do you find the REALTOR® who’s right for you?  There are so many choices.  In my area, the South Bay of Los Angeles, there are a couple thousand real estate agents and the State of California has almost 200,000 Realtors.  Almost half of those are newer agents, so choose wisely. 

 

Finding the right agent who is right for you will take a little time and commitment on your part.                       

1.      Get referrals – Ask friends, family members, neighbors or co-workers.

·        If you want a particular geographic area and can’t get a good referral visit area open houses, drive the neighborhood.  Many realtors specialize in certain areas or types of property.

2.      Interview 2-3 agents

·        If possible visit them or interview them at their office.  Visiting their office can tell you a lot about the agent as well as the company they work with.

3.      Prepare a list of questions to ask potential agents. 

·        Ask about their Experience, how they work, etc…

·        Ask agent to explain the sales process with you so that you’re comfortable and know what to expect.   This will also tell you if they understand it themselves.

·        Ask him/her to explain the contracts & disclosures? You’d be surprised how many agents do not understand these important legal documents.

4.      For sellers, does the agent have a firm opinion of your price & can they justify it?  Or, are they just going to list it at whatever price you want.  Some agents will tell a seller any price just to get the listing.  Their goal is to install a sign, collect buyers, and then go back to you for price reduction.

 

There are many other things to look for but if you start by following these simple steps, finding the right agent for you will be easy!

 

Get Referrals…Find agent who works your area

Interview 2-3 real estate agents

Prepare a list of questions

For sellers, ask agent to justify price

 

 

 

Courtney & Anthony Have Great Time At Home Buyers Fair

Hi All,

We finished the Home Buyers Fair yesterday and it was great.  Visit www.CourtneySelf.com to download class material, podcasts and FREE real estate information for consumers, real estate professionals & investors! 

“How to save for a home of your own” & “Finding and working with a REALTOR®”   

 

 

Southern California Homebuyers Fair
Your Key to Buying a Home  

 

Saturday, April 12, 2008, from 9 a.m. to 6 p.m. & Sunday, April 13, 2008, from 9 a.m. to 6 p.m

 The Southern California Homebuyer’s Fair, sponsored by the Los Angeles Times and the CALIFORNIA ASSOCIATION OF REALTORS®.

LOCATION: The Los Angeles Convention Center in downtown Los Angeles; 1201 S. Figueroa St., Los Angeles, CA 90015.

LOCATION: The Los Angeles Convention Center in downtown Los Angeles; 1201 S. Figueroa St., Los Angeles, CA 90015.

DATE & TIME: Saturday, April 12, 2008, from 9 a.m. to 6 p.m. & Sunday, April 13, 2008, from 9 a.m. to 6 p.m.

COST: Free to the public

EVENTS: More than two dozen educational “how-to” seminars designed to help home buyers navigate today’s real estate market with confidence and peace of mind.

EXHIBITORS: The Southern California Home Buyer’s Fair also will feature more than 75 exhibit booths where visitors can obtain information from industry experts about a vast range of programs pertaining to homeownership and the home-buying process.

SPECIAL PROMOTIONS: Free “green” giveaways; first 200 attendees to present an entrance coupon on each day will receive a free movie ticket (one ticket per person). 

 

 

LOCATION: The Los Angeles Convention Center in downtown Los Angeles; 1201 S. Figueroa St., Los Angeles, CA 90015.

 

Success is a Journey Not a Destination

I recently did this speech at my Toastmasters club. Some of the information contained was found in various articles on the internet.

A positive attitude is the key to success in all areas of your life
“Ability is what you’re capable of doing.
Motivation determines what you do.
Attitude determines how well you do it.” Lou Holtz

My great attitude has been the driving force that has helped me move forward successfully in my business and more importantly in my relationships with my husband, our children and with other family and friends. As a real estate professional I have failed many more times than I have succeeded.

Your great attitude has many benefits beyond helping you achieve success. Studies have shown that a positive attitude, positive thinking, and optimism also have health benefits. People with a positive attitude live longer, they’re healthier and happier.

Harvard Business School conducted a study which reported the 4 key elements for success.
1. Experience
2. Knowledge
3. Intelligence
4. Attitude
Experience, knowledge and intelligence comprised only 6% of the elements of success while attitude was found to be 93%. “Mental attitude is more important than mental capacity.” Walter Dill Scott

To be successful you will have setbacks but you will never succeed unless you try and fail many times. Your positive attitude will be the motivator that keeps you going. A truly successful person is one who can keep getting back up and trying again and again. 

Understand that success is progress, not perfection and your success is a journey, not a destination.

Even if you have been a pessimistic, negative thinker for many years, it’s not too late to change. You are in control of your thoughts. A pessimistic way of thinking is habit; habits can be changed.

Here are some tips to help you stay positive in a sometimes negative world:
1. Expect to win and expect the best. When starting any plan or action, visualize clearly in your mind its successful outcome. Your expectation of an outcome can have a tremendous impact on the outcome itself.

2. Commit to learning for life. Read, take classes, listen to books on tape but never stop learning.

3. Don’t go looking for bad news. Minimize watching the evening news, especially right before you go to bed or get up in the morning. It will affect your dreams or set the tone for your day. Instead, before you go to sleep and when you wake up in the morning meditate, read something informational or inspirational. I like to get up before everyone else in my house in the morning, walk around my garden and prune my roses. It’s peaceful and I always have fresh flowers in my home so it’s a great way to start my day. Before going to bed I read to my children, I love the time spent together and it always improves my attitude.

4. Remove the negative influences from your life. This included people and circumstances. I spent years getting upset over one negative family member in particular (who shall remain nameless) and I finally realized this negative person would never change no matter how much I tried to please him/her so I eliminated that person. Since it’s a family member I still see that person from time to time but that person is no longer a dominate source of aggravation in my life.

5. Associate yourself with people who think positively. Aside from my friends and immediate family, I find most of these people in my networking groups and clubs like Toastmasters.

6. Change your language to reflect your positive attitude. Think of the little engine that could, I think I can…

7. Enjoy physical activity, go for a walk, and go to the gym. Even moderate activity helps to develop a more positive attitude.

Positive thinking is contagious. People around you pick up on your positive attitude and most will be affected accordingly. When you wake up in the morning and all throughout the day you only have 2 ways to think: 1.) Positive OR 2.) Negative. You will never be: Happy, Successful, A Good Spouse, A Good Parent, you will never be The Person You Want to Be Unless you develop a positive attitude. Period.

Practice some of the positive thinking tips and start enjoying a happier, healthier and more successful life!

 

Jumpstart Your Real Estate Business

Hi Everyone,

 Here are my class notes from a class I recently taught to new real estate agents.  If you’d like clarity or more of an explanation on any of the bullet points, post your question(s) or email me, courtney@self.cc

Business Philosophy
 Balance
 Align business goals with life goals
 Use technology wisely
 Be an expert = immediate credibility
 Work on not in your business
 Create systems & delegate

Goals
 Written
 Specific, Measurable, Unreasonable & Timely
 Personal: Vacations & family time come first
 Business: Income & sales, advertising
 Overall Business Plan with Budget
 Marketing Plan & Budget

Ways to Develop Business
 Networking
 Circle of Influence
 Seminars
 Doorknocking – Igor
 Mailing – Gary Fortune
 Print Advertising
 Floor time
 Open Houses
 Farming
How Do I Get My Business?
97% of my business is
repeat & referred clients.

COI – Circle of Influence
Networking
Seminars
Working Your COI Effectively
 Database management software: Top Producer, ACT, Outlook , Agent 2000 or Spreadsheet
 Create your COI database: friends, family, colleagues, past clients, service providers, power partners, other agents.
 Adding to your COI: Open Houses, networking & business groups, chamber events, special interest clubs, etc…
 Obtain permission to email or call
 Rate each: A, B or C client/prospect
I Have A Database, Now What?
 Send a letter of introduction: 2 cards
 Follow-up with a phone call or visit
 Schedule an Open House and invite your COI
 Host a client party or office open house
Top 10 Marketing Ideas
 Create your brand image: brochure, logo
 Design a postcard & letter campaign: Buffini, By Referral, Homes newspaper, newsletters (RE/Max), USPS.com
 Design an email marketing campaign: RE/Max member benefit – email marketing center or constant contact
 Website: Superlative, Pullan Communications
 Lead Street: Internet Leads, Free Webinars
 Toll Free #’s – free offers, 24/7 – good listing tool
 Voice blasts: FreedomVoice.com
 Inserts: Newspaper – expensive, Newsletters, utility bills
 Craig’s List – Free classified ads
 Create Your Team: partner with another agent, lender, insurance broker, financial planner, title rep, etc…
Partnerships
 Various partnership arrangements: per deal, specified period of time, 50/50, groups, partners, teams
 Have a trial period
 Have your agreement in writing
 Have an exit strategy: How will you divide clients, business assets, web addresses, phone numbers or logos
72 Hour Checklist
 Purchase database software
 Put together your COI
 Send your introduction letter
 Join networking group or club
 Identify 3 Power Partners
 Schedule 1st Open House