Every once in a while you need to step back and marvel at some of the beautiful homes in our area.
We have some of the most historic homes in the country, and just up the road we may have some of the top modern housing trends cropping up as well.
DC has always been at the cutting edge of home trends, because we have one of the most transient work forces in the country. They usually bring their cutting edge desires with them.
Take for instance – the most expensive home in Maryland right now.
Now, I realize not everyone likes to watch Youtube on their phone, or maybe didn’t have time while you were checking email in line at the store, so below is a short description of what that day might be like as well.
Wholesaling does not need to be complicated. We can break it down into four easy steps.
Identify Property
Control property with contract
Identify buyers
Close and Collect CASH
Now, I realize I have skipped a few steps here but we need to begin with something.
If you are new to real estate and laying out an action plan as a wholesaler, it might look something like this:
You will need to learn how to market and identify property
You will need to understand contracts and how to control real estate
You will need to create a buyer lists so you can market your deals for highest
profit
You will need to build your team so you can close deal efficiently
The good news is that all of this can be learned and implemented.
As you become a full time investor, you will eventually spend a portion of your day or week doing the following:
Planning and Reading One Hour Generally, most people this is done first in morning.
Market Research One to Two Hours Get to know your geographical region. You should know style of housing, rents, prices, neighborhoods, services, schools etc.
Marketing Two Hours You will need to decide how you are going to reach your potential customers. Direct mail, Phone Calls, Knocking on Doors, Social Media, Networking Events
Evaluation One to two hours You will need time to research potential deals and analyze values, renovation ect.
Networking Two Hours You can use coffee appointments, lunch, breakfast meetings to network and build your database
Buyer Lists/Team Building One Hour Your buyer lists can be generated by your networking for the type of investor based on your properties. ( Rehabber, Landlord, Builder) Also, need to begin to find title attorney, accountant, contractors ect
Appointments and Closing Deals As your marketing generates leads setting appointments and securing contracts is your main focus.
I hope you are doing your prep and getting ready for our first Washington REIA meeting of the year.
Planning to be successful this year will depend on your focus and your ability to stay motivated to execute your plan.
Going from one idea to the next will keep you busy but most likely not very profitable.
Choose one technique and become really proficient at generating leads.
If you are involved in real estate now, 2020 is the time to think out of the box and add strategies to your current model. By doing so, you will increase revenue.
Lastly – it’s Saturday morning, and we are supposed to get some “weather” here in DC over the next few hours. Maybe you plan on binge-watching a new series on Netflix or Disney+.
I went out this morning to check on a few properties and made a short invitation to WREIA video and give you a few more details on the meeting.
You can check it out here.
Maybe – just maybe – instead of binge-watching a show, you can take a few minutes and focus on YOU and expanding your business and your profits in 2020.
Make a plan and execute on it. That’s what Monday night is going to be all about.
I hope you are doing your prep and getting ready for our first Washington REIA meeting of the year.
Planning to be successful this year will depend on your focus and your ability to stay motivated to execute your plan.
Going from one idea to the next will keep you busy but most likely not very profitable. Choose a technique and become really proficient at generating leads.
Once you have accomplished this step – everything will follow.
If you are experienced and want to grow this year, adding something new can lead to more profits.
For example, if you are profitable renovator, increase your marketing budget and have a goal to generate an additional 100k by wholesaling the additional leads.
I am going on a limb and believe your homework has been COMPLETED.
Now that you have a direction – we can move to next step.
A short educational movie about life as a real estate investor.
Ok. Calling this a “Movie” may be just a bit much …. but I hope you enjoy the information!
If you need to grab a seat for the January WREIA meeting – head on over to this link where you can grab a seat for one night, or upgrade to a WREIA Member and enjoy all the perks that WREIA membership gives you.
Here are some of the thoughts I had while driving around thinking about how you can prepare for the January WREIA meeting.
You need to be ready for this next WREIA meeting. Monday night is all about generating leads.
I want everyone to get value out of our WREIA meeting Monday evening.
As I was driving around today I thought of something you can do to prep for Monday night.
While you are driving around, or riding on the Metro, or waiting in line somewhere, here is something to think about…….
Ready?
Here we go –
I am going to spend the majority of the Monday giving you my favorite sources of leads but more importantly how to create a system and process to reach the audience of leads and begin to make deals.
We all should know by know that making deals means making money. What a great way to begin the year!!
So here is where the prep work begins: Before attending the meeting Monday night, I want you to spend a few minutes and ask yourself a few questions.
Understanding where and how to market for leads is vital in our process to become successful investors.
But before we can get you there, we have to know what type of investor you want to be.
I am going to focus on three investor types in this e-mail and will give you a few more at the meeting
1. Do you want to wholesale real estate? Wholesale is defined as placing a piece of property under contract and then assigning the contract to another party for a profit. You will not take title to property and will create income by your wholesale fees. This is a very common strategy for new investors and investors that want to spend time and energy marketing and locating deals to wholesale.
Capital Consideration Since you are closing on property you will not need to raise capital for your investments. You might need monies for marketing to generate deals but the outlay will be less that purchasing the property.
Renovation Requirements. You will not need to lead a renovation team but it does make sense to have some knowledge of renovation costs so you can educate your potential buyers and properly present the deal. I have seen many wholesalers ignorant to the costs. This ignorance causes the numbers presented to make zero sense to experienced renovators. If you plan on wholesaling – take some time to get educated on renovation expenses.
2. Do you want to renovate property? A common approach to investing is to locate property that needs work. You will purchase the property, renovate and sell the property for profit.
By learning renovation, you will be exposed to maximum profits. The average profit on a renovation in the Washington DC metro area is $40,000 to $60,000. The profit can be more if you plan on renovating more expensive properties or doing more extensive work. You can see how you can make a very nice living renovating property. You will learn how to manage multiple properties at one time. Our company has had upwards of 20 projects gong at one time.
3. Do you want to own cash flow property?
Owning property long term is a time-tested investment method to become wealthy. Many very rich individuals own real estate as part of their portfolio. Locate solid residential, commercial or industrial property and hold for cash flow and long- term appreciation. I strongly believe we all should own some real estate long term.
What type of investor are you? Take a few minutes this week and be prepared to answer that question at our meeting. I will provide you a road map of lead sources to help you accomplish your goals.
I prefer you pick one and then you can certainly add as you move your business forward.
If you are involved in real estate now, 2020 is the time to think out of the box and add strategies to your current model. By doing so, you will increase revenue.
We should settle a few things first before we dive into this topic this month:
“Most investors think that agents only want the easiest commissions.”
False.
“Most agents think that investors are going to run them ragged doing market research, find them the perfect property and then do the deals directly on their own.”
False AGAIN.
Maybe that’s what people think when they focus on working with the new investor, or the new agent.
The worst combination, and when people get the most frustrated, happens when you have a new agent working with a new investor, and neither person has any experience working with investment property.
What a disaster!
That is when they both get the most frustrated and for most people, they just throw in the towel.
The reason why?
EXPERIENCE.
Experience matters.
I have been in this real estate business for 20+ years.
I can’t say that I’ve seen it all, because something new happens all the time and our business is constantly changing.
But, here is the bottom line – My business would have never taken off if I was shy about working with agents or other investors.
In my early years, I was laser focused on who I wanted to work with and do deals with. I actively searched out people who had experience and tried to learn from them.
Today, I have a “real estate license”. I am also an “investor”. Neither of those titles has stopped me from working with other agents or other investors. In fact, I think having both “titles” has strengthened my business.
You can borrow what works for you and exclude the rest.
You might notice this is a theme at all of our monthly meetings at WREIA – your Network is your Net Worth.
What we mean by that is this:
If you grow who and what you know in this business you will reap the rewards as you apply that knowledge, network and execute on your plan.
Don’t we all want to be reassured that we are making the right investment decisions?
Of course.
And when they start the article with mentions of Andrew Carnegie – I’m hooked.
“Billionaire Andrew Carnegie famously said that 90% of millionaires got their wealth by investing in real estate. We wanted to know: Is this still true? Is investing in real estate still a good idea?
According to these nine Advisors in The Oracles, who made millions by investing in real estate, the answer is a resounding yes.”
It’s also great to learn from these nine people that have had major success in their careers, especially because they are in the same field or line of work as us.
The background of people in this CNBC article quoted above is varied – but they all come to same conclusion. Real estate is a great income generating business to be involved in and spend your time pursuing.
If you agree – come join us at WREIA tonight in Bethesda.
Enjoy the networking, the food, and learn from local investors who have had success over the last decade, and more.
Tonight we are going to share some stories about Renovation. For starters, you will learn how to make (or save) up to 30k extra on your next project.
We open the doors for every monthly WREIA meeting at 6:30 for networking.
