Real Estate and Beyond Blog

DO YOU DO WINDOWS? YES WHEN FIXING AND FLIPPING HOMES PHOENIX, ARIZONA

Here is another beautiful home that we purchased at the Arizona Trustee Sale. Phoenix, Arizona continues to experience a high foreclosure rate. Banks continue to sell of their homes at the Arizona Trustee Sale. The only thing this home needed was paint, carpet, appliances, and clean up. I many people who live outside of Arizona contacting me to take advantage of this great market. The Real Estate and Beyond Team has created a one stop for real estate investors. We make things happen for you. We take real estate education into real estate application.

The house above took only one week to finish to get back on the market. This will be the first fix and flip for this particular investor. He was joking around with me the day we toured the house. He asked me "Do you do windows?" The windows in this house were dirty. I said, "Yes, we do windows." He was surprised at the answer. We have a cleaning crew clean each fix and flip house before we list the home for sale. It gives the house an overall clean look with a great smell. I believe first impressions do mean a great deal when it comes to selling a house.

We must become experts in our own field when it comes to real estate. I am big on processes and procedures this way every fix and flip home goes through the same process. There are no surprises for the investor down the road. Yes, there is a science to the madness when it comes to fixing and flipping homes. Do you want to swim with the sharks on your own or work with the Real Estate and Beyond Team?

HOW DOES A REALTOR CHANGE WITH THE MARKET?

The real estate market continues to be a roller coaster in most cities across America. Many real estate agents have been able to shift with the market as we continue to read the blogs on ActiveRain. However, I am meeting many real estate agents that are having a rough time in this market. Why? Have they made a personal decision to change with the market? Are they still doing things the old fashion way? Yes, this is a tough real estate market. However, a Realtor is expected to know about distressed properties. Agree?

Personally, I have focused on distressed properties and working with real estate investors. I really enjoy working with investors to purchase distressed properties from the Arizona Trustee Sales. Then, we fix the property to market value for sale. This would be considered fixing and flipping. There are not too many agents in my local market who have developed a one stop shop for real estate investors here in Phoenix, Arizona. What are you doing in your local market.

I attended the monthly investor association meeting to receive local update information along with connecting with the local real estate investment community. We continue to get hit with distressed properties as banks continue to foreclose on properties. Here are the top 4 ways people are purchasing homes in our local market

1. Cash
2. FHA loans
3. Conventional loans
4. VA loans

Real estate investors in a cash position are making some great money. There are some great deals available to all investors. However, one needs a real estate mentor to make sure it is a good deal. The number one problem most real estate investors face is to determine whether the deal is good or not. We make our money at the purchase. Let's make it happen.

Tell us how you are shifting with the real estate market.

There are many people who have lost their homes in the last two years during this terrible real estate bubble. Families do not wish to rent an apartment. So, they search for a rent to own home so that they will be able to rebuild their credit in order to purchase the house in three yearss or more. However, many lease option candidates cannot identify a good deal or not. Please review the checklist below

Buyer Beware Checklist

• Ask the seller to review the mortgage note and to verify seller is in good standing with the mortgage company. Furthermore, please ask what type of mortgage is on the property
• Buyer to pay for an appraisal to verify current value of the home. Furthermore, I would advise to conduct a home and pest inspection before moving in to avoid any issues before moving into the property.
• Read over the lease option contract to ensure all details have been spelled out for both sides. We want to avoid any misconceptions as time goes on
• Always let a real estate lawyer to review lease option contract to ensure accuracy and good standing before signing any paperwork
• Conduct a thorough background check on the seller and be willing to pay for it. If seller disagrees with this request, then take it as a bad sign and move on.
• Verify that the owner owns the property by contacting a title company to do a title search
• Set monthly payments up via a third party service to ensure mortgage is being each month to avoid any negative information in the near future. Plus, record all documents at title to ensure one can exercise their option to purchase property under contract

TERMITES DISCOVERED DURING HOME INSPECTION ON FIX AND FLIP HOME PHOENIX, ARIZONA

I am working with a new investor doing a fix and flip house in Phoenix, Arizona. The investor purchased this home at the Arizona Trustee Sale at a great price. So, the investor did all the repairs on his own. He was very excited to have a full price offer within two days of being listed on the real estate market. The buyer is very excited about the house. We are in the ten day inspection period by the buyer. I received an Email with the termite report attached for my perusal. I noticed that the home has termites. There are two types of homes in Phoenix-homes with termites and homes that will get termites.

I Emailed my investor the report. He was a little concerned about the report. He asked me if this was going to kill the deal. I informed him that the damage is light. The termite report gave an estimate of $700 to repair the termites with a one year warranty. Again, I have sent the report to my General Contractor to see if he can obtain a better price for the termite treatment. Overall, this is not a major thing that will kill a real estate transaction. It is customary for the seller to pay for this treatment to ensure the buyer receives a house free of termites. The seller has agreed to pay for the treatment.

The Real Estate and Beyond Team was created to assist real estate investors.

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 TOP 7 MISTAKES WHEN HIRING A PROPERTY MANAGEMENT COMPANY INVESTOR BEWARE

Real estate is the buzz word around America. Real estate education classes are starting to be offered all over the Internet and in local cities. Everydody is cashing in on the real estate bubble that has busted. We are seeing many great deals here in Phoenix, Arizona. Acquiring the property and fixing it up is the easy part in my opinion. Next, the investor must decided to either manage the property on their own or hire a property management company. The majority of investors do not wish to deal with that part of the business. So, they outsource this part of the business to a property management company. How does one pick a property management company? Let's review TOP 7 MISTAKES WHEN HIRING PROPERTY MANAGEMENT COMPANY BELOW

1. Checking References-Choosing the correct property management company can make a world of difference. I would call upon fellow investors that use their service. Are they happy? Ask for references. Go drive some of the properties that they manage with them in the car. One can view if maintenance is being kept up. Make the effort to make a wise decision.  
2. Property Management Agreement-Make sure you read the entire agreement before signing anything. One must understand the fees involved in the contract. This is where many things get misinterpreted and can sour the deal after fully executing the contract with your signature. Most property management contracts are lengthy and often use language that a new investor may not be familiar with. The costs involved are usually not verbally explained unless you ask. Read the contract from beginning to end, and when in doubt, ask for clarification. The normal costs involved with hiring a property manager include a one-time set-up fee (normally around $100.00 per property), a leasing fee (6% percent of the yearly lease amount one time) and a management fee (10% percent of the rental income, paid monthly). The leasing fee is taken out of the first months rent and is charged to cover the advertising costs and time spent finding and placing a tenant. Some companies will charge an advertising fee instead of the leasing fee, but be sure that you are not being charged for both.
3. Long Term Tenant Lease-I would advise to do only one year contracts with all tenants. Otherwise, the property management company will collect all their fees if you wish to leave them based upon the contract. Signing the long term lease states that you will use them for the entire lease. There are no out clauses as long as they keep up their end of the bargain. It may seem innocent upfront. Again, just sign one year contracts on all of your properties. You have the choice to renew them or not at the end of the year. There is more incentive to earn your business.
4. Managers Location-Ask the property manager how ofte they will inspect the property. Do they have someone in that area that lives near the investment home? This makes a huge difference in the amount of attention your property will receive. This is especially true for the times when it is vacant and numerous trips have to be made to and from the location. Property managers are human and so they often neglect properties that are too far out of their way.
5. Trust Your Property is a Priority-Nobody cares more about your investment than yourself. I would ask the property manager to give you a weekly report when home is vacant. How are they promoting property? Showings? You have to show them that you want to be involved in the process. Take out a small ad on Craigslist to rent the property. Turn over all calls to the property manager to follow up on. Then, call the prospect if they were called. It takes a team effort when filling the vacancy. Communication is vital to both the investor and tenant.
6. Go With The Cheapest-Do not just consider cost when hiring a property management company to look over your investment. How is the service? The money you save on the fee could be lost from poor management.
7. Contract Pricing-Ask if the property management company if they have their own inhouse maintenance crew. This can be good and bad. Remember, they are in the business to make money. Quarterly inspections sound great. However, it is also a chance to spot things wrong with the house to fix. It might be better that they contract their maintenance out to a General Contractor without marking up the invoices. Always obtain a second quote from another respected General Contractor to keep all parties on the same level.

TOP 11 MISTAKES CANADIANS MAKE WHEN PURCHASE REAL ESTATE IN PHOENIX, ARIZONA

Canadians real estate investors are starting to look at Phoenix, Arizona as a great city to purchase real estate for three reasons:

• Second Homes
• Investment Homes
• Fix and Flip Homes for Profit

However, Canadian citizens do not know who to call. Many Canadians call up a Realtor by using the Internet hoping that the agent is knowledgeable and understands the needs of the client. However, that is not the case. Anybody can show a home. The Real Estate and Beyond Team has teamed up with local Canadian experts.

TOP 11 MISTAKES CANADIANS MAKE WHEN PURCHASING REAL ESTATE IN PHOENIX, ARIZONA

1. Not having an experienced team in place in both Canada and the U.S.
2. Not doing their due diligence or number crunching
3. Not knowing the market - choose an area and become a specialist in that area. Once you become a specialist your risk is dramatically reduced.
4. Not have an excellent property management company
5. Paying Canadian banks too much on foreign exchange and wire transfer fees
6. Not setting up their legal entity structures correctly to minimize taxes and liability
7. Not utilizing proper tax experts. With proper planning, a good tax strategy and the right advisors you can greatly reduce and in some cases even eliminate the tax on real estate income.
8. Paying above market value for a property when there are ways of getting below market value properties
9. Buying on emotion instead of strategy
10. Moving too quickly
11. Not listening to their intuition

The Real Estate and Beyond Team was created to be a one stop show for all real estate investors. We love to service Canadian real estate investors that want to purchase real estate in Phoenix, Arizona. We put real estate investors in the position to take advantage of this great real estate market. Please contact the experts today to start your real estate purchasing today. Again, we can put you in position starting today to purchase Phoenix, Arizona real estate. This market will not last forever.

By the way, I host a weekly two hour talk radio show on real estate investing on KKNT 960 each Saturday from 12-2PM Phoenix Mountain Time. Listen Live and Listen to Podcasts

ARIZONA TRUSTEE SALES FIXING AND FLIPPING STRATEGIES TO OBTAIN MARKET VALUE PHOENIX, ARIZONA

Every real estate education course will tell you that one makes their money at the close of the real estate deal. That is true. The Real Estate and Beyond Team continues to assist real estate investors to purchase homes at the Arizona Trustee Sales to only to fix and flip the home for profit here in Phoenix, Arizona.

There are not too many real estate agents that specialize in purchasing from the Arizona Trustee Sales to fix and flip. Also, you can buy and hold a home from the court house steps by using private money to convert into a conventional loan. We have the systems in place to assist you. Why pay Retail? Go to the court house steps and pay wholesale.

What does the inside of a home look like when you first go into it? That is a great question. Here are some sample pics of this home above this sentence.

STEPS TO DO AFTER WINNING THE BID AT THE ARIZONA TRUSTEE SALE

 The interior of the home only needs a fresh coat of paint and new carpet. The ktichen is very spacious as one can see from the picture to the right of us. The stove, dishwasher and microwave was left behind. Yes, they all work perfectly fine because all the utilities were turned the same day as closing. One must have systems in place to be successful. People purchase McDonald's Franchises for their proven systems and procedures and not for the Big Mac. People work with me because I have proven systems and procedures in place for the first time real estate investor as you can see from this picture. Also, I have many local contacts that will only benefit the client.

It is easy for first time investors to over spend on repairs. Why? They will not be living in the house. There are many times when I have toured other investors homes that are on the market for fixing and flipping that shows they have put too much money into the property that does not justify the costs for that neighborhood. We have teamed up with an excellent General Contractor that understands real estate investments and an investor himself. Real estate is a team sport. Real estate investing requires to have a team in place. Why? There are many steps to climb in order to get to the top of the stairs successfully. I would not recommend to play this real estate game alone.

Where do you go shopping for materials?

 One would think the most obvious choice to obtain materials fix and flip homes would be Lowe's or Home Depot. Again, why pay retail? Have you thought about checking out Craigslist? Discounted Construction Lots? Habitat for Humanity Outlet Store? Search your local area to obtain wholesale prices on items. Finally, your General Contractor will have set up discounts with his/her suppliers that will be passed down to you. Every dollar one spends meas less profit at the sale of the home.

We have a game plan set in motion for each home that we purchase from the Arizona Trustee Sale. We share this plan between the General Contractor, investor and myself. Then, we implement the game plan to ensure the home gets back on to the market as soon as possible. The investor will always receive an update for complete communication. Everybody must be involved in this process to be succcessful. Each investor loves the process in place. They all want to purchase another fix and flip with me.

Please feel free to visit my web site for further information www.960RealEstate.com

CANADIANS WANT MORE US REAL ESTATE AT BIG DISCOUNTS PHOENIX, ARIZONA

No investment today offers the stability, simplicity and excellent returns offered by property investment.

While the Stock Market offers high returns, many investors have found it to be a volatile and dangerous place. This is especially true for the non-professional investor as there are many hidden external factors that can effect a financial investment. Added to this, the major Stock Markets have been under performing generally, and many investors are now turning to property as a far better option than other forms of investment.

No other investment allows you to purchase with other peoples' money (The Bank's) and pay this back with other peoples' money (the rental income from tenants).

Buying specifically for investment purposes allows the investor to remove the emotion from the purchase and look at the property purely as an investment vehicle. This may mean utilizing our re-assignable contract option and selling at a substantial profit prior to completion while carrying no redemption penalty. Alternatively a "buy-to-let" situation can generate a reliable rental income, incorporating substantial capital appreciation.

If you own property, you can release equity against this. Although there is no law that states that your property will increase in value each year, it is generally accepted that a well maintained property in a reasonable area will appreciate in value.

It is a well documented fact that on average the value of a property doubles every seven years

ANOTHER WINNING BID AT ARIZONA TRUSTEE SALE GILBERT, ARIZONA

Well, I just wanted to share another real estate investor winning the bid at the Arizona Trustee Sale. This will be his first fix and flip. My investor is a single man 26 years old part of the Generation Y. His parents think he is completely nuts and fell off his rocker. However, this investor is very excited to get started in his real estate investment career. He called me because he heard of my real estate mentor services. Yes, I take on clients one on one when preparing them to purchase homes at the court house steps. There are not too many real estate agents that do what I do in the state of Arizona. I pride myself in having a very efficient Real Estate and Beyond Team when it comes to fixing and flipping homes.

I know many of you watch the popular TV show "FLIP THIS HOME." We all loving watching other people making money. Not me! I totally believe in the application of real estate. This home was bought and paid for on 2/25/2010. Here is a time line to get it back on the market

• 2/25/2010 Closed on property with private money
• 2/26/2010 Locksmith re keys front door. General Contractor bids the job. Receive bid three hours later. Investor reviews home with the bid. OKs bid.
• 3/1/2010 General Contractor will start the project in the morning. Estimated three days to comlete job.
• 3/4/2010 Install carpet throughout house
• 3/5/2010 Home is on the market FOR SALE

We have a great system for others to invest in real estate. Please review information at www.960RealEstate.com for further information.

CANADIAN INVESTORS FIXING AND FLIPPING HOMES PHOENIX, ARIZONA

I am working with many Canadians that are fixing and flipping homes here in Phoenix, Arizona. Why? The Canadian dollar is very high to the American dollar. It is time to purchase real estate in America. Real estate is for sale. We are seeing prices 50% less than 2005 house prices. We have a great system in place for Canadians who wish to invest in Phoenix real estate. The Real Estate and Beyond Team is here to serve all Canadian clients to find the best deals at the Arizona Trustee Sales. We have our own bidder on the team. We know how to get the job done.

TOP 10 REASONS CANADIANS INVESTING IN REAL ESTATE PHOENIX, ARIZONA

Please read the following link on How To Purchase Homes at the Arizona Trustee Sales

One must have patience when purchasing homes from the court house steps. We must ensure that one obtains a great deal. It may take putting in ten or more bids until you are the successful winner.

WHAT DO I DO AFTER I WIN THE BID AT THE ARIZONA TRUSTEE SALES? Great question click to read

The Real Estate and Beyond Teamspecializes in non-ARMLS homes. We know our local market better than most people living in Phoenix, Arizona. Did I mention I host a two hour radio show called Real Estate and Beyond Radio each Saturday from 12-2PM Phoenix Mountain Time.