wHAT MADE THIS A REALITY?
I was always wondering if I could find properties that I could buy with little or nothing down, not locally but nationally. I mean residential income properties like triplexes, fourplexes and commercial properties such as apartment buildings, office buildings, shopping centers, malls and businesses. To buy these types of properties, I wanted to also manage them long distance from anywhere in all 50 states.
It was an impossible dream at the time but as you will see, the dream became a reality. You are about to explore multiple concepts, unorthodox but legal to expose you to true stories and concepts that will help you to learn the concepts in the upcoming ten chapters.
The whole concept of creating a $5.0 Million or $10.0 Million dollar equity in ten years is realistic and it depends on you and how serious you are and how much time you will commit to applying the concept to reach your goal that we will cover in time management. It sounds crazy to put in 17.5 hours a week to make $5.0 Million or 35 hours a week to make $10.0 Million, but yet if you examine what your worth per hour, you will agree to not waste time by using your downtimes, watching TV at night. All of a sudden you will be convinced that our concept does not sound so crazy anymore.
Being a system engineer and a trained pilot, I wanted to know “what makes the design of the concept, tick?”
Through several experiments and trial and error, it was clear to me that to purchase any property, either personal or real property, I must meet the owner to directly negotiate instead of intermediary with ulterior motives. To buy any property, you need to meet the seller. To sell any property, you must meet the buyer. It is that simple. It is essential to meet the seller to see what s/he wants for his / her equity (cash or monthly income or combination). Convincing the intermediaries to meet the seller or the buyer will also be covered.
You will have the front seat to some of the observations that I have had over the years on multiple national transactions. I developed many concepts by resolving objections and overcame the challenges of my team of 19 brokers and agents that had to go through extensive training in my brokerage firm as well as other types of challenges that investors, syndicators and property managers had to deal with. Those challenges and how to deal with them will be exposed earlier on so you don’t have to deal with them. Giving up was never an option and creating solutions for those objections will be presented here
Substantiating the seller’s equity by itself was and still is a challenge, even today. Typically, neither the sellers nor the real estate brokers or agents have any experience in determining the real value either using the income, cost or sales approach. In most cases, the broker community for the sake of obtaining the listing, take high-priced listings and gives in to seller’s unreasonable prices that will end up wasting several months of listing period without any results. We will examine the correct approaches in multiple scenarios for you to use. After all, as a pilot, without a right approach, you will end up in a crash landing.
Negotiating with the sellers from a weak stand point of being just an intermediary, is still an issue today. Sellers always win by wanting a price that truly covers the unrealistic equity that they don’t have, to pay for the next trade-up property. Listing agents, on the other hand, are way too protective of their sellers and allowing the sellers and buyers to meet would be against their principle and that itself causes the sale to fall through. We will cover the power of negotiation with you as a broker / principal versus you just as a broker or agent.
Another typical and common issue related to the listings not selling, aside from not correctly pricing the property has been and still is financing. Listing agents, leaving the seller’s home, happy that, they have a listing and careless if it is overpriced with no financing. At the minimum, requesting and obtaining from the seller a copy of the note on the existing financing and a latest mortgage statement would simply identify the seller’s equity which even today, seller’s equity is not stated in any of the typical multiple listings.
Why is that important, you ask? It is important for any buyer to assume the seller’s mortgage if it is assumable or can be taken subject to or a wraparound (AITD) as we will cover this. It is important to identify the amount of equity the seller has and asking the seller, how much of that equity is s/he willing to carry? It is one thing for the buyer to buy an overpriced listing, it is another, having the buyer to obtain financing on an overpriced listing, subject to an appraisal or new financing that could possibly kill the deal in the end.
You can get the same training from other national consultants, but what makes our concepts different is the past proven track records that you need to confirm and verify for yourself, stated on the websites.
Over the years, I had to create customized LOI’s. Offers, counteroffers, inspection and management contracts that would be useful in multiple States. Those forms and contracts are very valuable as they will help you to purchase and manage the properties a lot more efficiently.
The material that you are about to read in the books and training sessions will cover thirty-five years in a combination of flipping, buying and selling off-market properties, syndication and remote turnkey long distance management (properties and businesses).
Multiple commercial properties have been purchased and sold and the equity was transferred from the down leg to the up leg through 1031 exchanges. Multiple creative financing will be introduced to you including AITD, loan assumptions, subject to, lease with an option to buy and ground lease purchases.
Having to guide my real estate brokers and agents, gave me the advantage to fully understand the challenges that exist and seller’s objections. Some of those same brokers and agents that applied the concepts made millions and others failed. We cover the screening of the buyers and sellers to make sure that you don’t waste the only commodity that you have “time”. Applying the principle of strictly working with buyers and matching the buyers and sellers, is an art that you must learn, because let’s face it, if you can learn the system of engaging with the buyers and handling them, given deadlines and our forms, you will also make millions. The reality is that most real estate brokers and agents, do not know how to handle the buyers due to a simple word, “circumvention” on presenting offmarket properties. Buyers are not given any deadlines by the broker community and hardly any forms are signed. We will coach you through the training, how to handle the buyers and handling them is more rewarding than dealing with the sellers. Without buyers, there are no sellers. Without sellers there are no buyers. However, representing buyers is equal to representing cash and money that makes a deal happen.
We cover the fact that any commercial property could be for sale and all you need from the seller is simply a 30 days nonexclusive commitment, not a listing.
The system of long distance property management that I have created will allow you to manage from 40,000 Sq. ft. (min) to 400,000 Sq. ft. (max) of commercial properties. It is a proven system that you will learn for training clients in any state, covering both onsite and offsite management. You will be given every single form that you need to manage your properties and leasing vacancies and or consult or manage other people’s properties without a license but again legal.