It’s SHOWTIME! My favorite time of every month! Yes, it’s time to collect the rent!
It’s amazing how REI has change my perspective about the calendar. Before REI, I used to dislike the first of the month because there were so many bills to be paid. Now, I love the first of the month, because all of tenants give me money!
It doesn’t get any better than that!
Mike
I hope to soon be able to post the same thing…spend it wisely.
It is the not spending before you get it that one must master first.
Hi Mike:
You seem to have some expertise as I have read your advice to JP. I am new to this site but not new to real estate investing. I have several properties found the hard way over the last 20 years by buying, holding, taking equity, moving on etc. I am an experienced landlord. I am looking to accelerate the acquisition of properties. In your opinion is buying foreclosures the way to go? Do they come easily thru advertising?
I also look forward to the 1st of the month; just want more so I can finally go full time into real estate. I’m in Ontario, Canada - our market is quite hot here, not quite LA, Miami etc., If you have a moment, I’d appreciate your comments on this…
Regards,
Garry
Gerry,
I am no Mike but I will tell you my thought's if you would like because as we all know it is not your MARKET it is your MARKETING!!
I had a recent conversation with one of your fellow Canadian’s and to me that most of the things that work here work there as well except Short Sales. Your lenders do not drop the price to get a faster sale. So that being said YES I would still market to foreclosures. On the other hand here in the U.S.A. they are great deals do to short sales not because of the equity most of the time! The deals with large equity here are few and far between. As far as that goes I have no idea what the average equity positions would be there!
So I guess what I am saying is try it if it does not work change your approach if that does not work change it again and again and again till it does!
Thought I would respond as I know 90% of the time you will get a different answer from me then you would from propertymanager! That is what make’s us friends is that we can have different thought’s on 90% of things and still get along kinda like Siskel and Ebert!
Speaking of collecting rent, my father had rental property while I was growing up. One day when I was about 17 years old, He came home and told me to go over to number 6 and collect the rent. He told me it was $125 and gave me a receipt book. I drove over to the apartments and went to number 6 and knocked. When the lady that lived there answered the door I told her I was there for the rent. She invited me in and asked me to sit down. She was s nice looking lady very genetically gifted. She was dressed in lingerie and not much else. She offer me a drink and started to talk about what I liked and stuff like that. She offered things that I would like in lieu of the rent. I looked at my receipt book and thought about how I was going to fill out the receipt without the money and that I would have to replace it out of my own pocket or disappoint my dad. I insisted she pay me with money, gave her the receipt and left. Years later my dad told me she tries that every month, and he just wanted to see if I would come home with the cash or not. I learned from that test that there are always distractions in business. You have to stay focused or it will cost you.
Hello REO:
Thanks for your thoughts. Yes, I believe most everything is similar in Canada / US… re/ REI. Short sales as I understand it does not occur in Canada as the lenders are all large, institutional. Generally, unless you have the equity you better be on your knees. They call the shots. I am somewhat passed that stage. Equity, I understand in a foreclosure is where it is at. Do you find people will call and how often if you advertise in the paper? I have not tried it. In your opinion, how much $$ & how long should I invest in advertising to see results.
Cheers,
Garry
Bluemoon, I know if that was me at 17 years old, I would have went home without any money. LOL.
Maybe it’s just me, but I would’ve taken the “distraction” and then explained to her that I still wanted the money - what does one thing have to do with the other, right?
Yabadaba,
I’m no REO, but I am buying the island next to his!
I don’t know a thing about REI in Canada. In my little corner of the world, I think that the key to accelerating the pace of rental acquisitions it to be able to take advantage of many different types of deals. I have had a lot of success using a realtor to find REOs. I have bought a few houses from distressed landlords. I have bought houses at sheriff’s sales (foredosure sales). I’ve taken properties subject to the existing mortgage. I’ve purchased houses pre-foreclosure where the owner called me. I’ve also bought several houses from other REIA members that were getting out of the business. If I didn’t have any one of these strategies in my toolbelt, I would have lost out on several deals.
Unlike Robb, the only marketing I do is advertise in the newspaper. However, I’m sure that in hotter markets, more marketing would be necessary. Some of the other investors in my area do bandit signs, direct mail marketing, car signs, etc. I don’t do it because I find enough deals without doing so.
So, I guess my advice is to be flexible and not limit your approach to any one thing.
Good Luck,
Mike
WOW Mike it is a 10% day I could not agree more after you get started you get a ton of referal work and marketing slows down! On the other hand I have the task to find property for over 70 investors here and there is no way I could do that without marketing!
Mike:
I suppose sticking with your tradition and it goes without saying, “I am not REO & not Mike.” I’m sure you both have an inside scoop on that, as I am new, I don’t. Thanks for your insight and comments, makes sense, flexibility and follow the opportunities. I am going to start advertising to begin in a new direction. The boom is not going to last forever and it’s good to strike when the iron is hot. In eight to ten years I hope to be fully retired and enjoy more travel. Time goes by fast and I feel I need a little more cushion so I am looking to acquire a few more properties.
Regards,
Garry