Homeowners’ Financial Solutions for 2021 and Beyond

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Photo by Olya Kobruseva from Pexels

By Rick Tobin

Between 2006 and 2014 during the depths of the Credit Crisis, there were 10 million Americans who lost their home to foreclosure over this 8-year span. Within just a few months in 2020 (March to May), we’ve seen almost 50% of that 10 million foreclosure number with at least 4.7 million mortgages delinquencies. For most Americans, the vast majority of their family’s overall net worth is tied directly to the equity in their home rather than in any stocks or other investments.

The good news is that national existing home sales climbed an all-time record +20.7% month-over-month increase between May and June 2020 partly due to fixed mortgage rates repeatedly reaching all-time record lows. In spite of record unemployment claims filings, home prices are still at or near all-time record highs in most major metropolitan regions.
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Photo by Burak K from Pexels

In spite of one of the most chaotic years ever in world history, national home equity grew $1 trillion in value due to the combination of historic all-time low 30-year fixed rates and unusually low home listing inventory. For example, there were 1.42 million existing homes on the market nationwide at the end of October 2020, which was a 19.8% drop compared with one year earlier. Some analysts claim that the median home price nationwide increased by a 16% year-over-year growth during the same October 2019 to October 2020 time range. In many metropolitan regions, listed homes are selling within one to two weeks.
The primary difference between now and the last negative economic time period is that more homeowners today have much more equity in their homes than back in the 2008 to 2012 years. As such, any distressed homeowners who need to sell should be able to do it rather quickly due to the strong buyer demand and record low mortgage rates.

Homeowners, Tenants, and the CARES Act

Back on March 27, 2020, the CARES (Coronavirus Aid, Relief, and Economic Security Act) was passed by Congress as a response to the worsening US and global economy due to the fallout from the ongoing virus pandemic designation. Subsequent to the passage of the CARES Act, governors in states like California and elsewhere signed mandates or legal orders that attempted to prohibit lenders from foreclosure on delinquent homeowners and landlords from evicting tenants through the end of December 2020 or January 2021 (dates subject to change).
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Photo by Joshua Miranda from Pexels

Additionally, the CDC (Center for Disease Control) issued their own guidelines that referenced the possibility of civil fines and/or criminal prosecutions for any landlord who attempted to evict a delinquent tenant before the end of December 2020 partly due to claims that it may increase potential health risks for the general public. In US history, this may be the very first time that the CDC has claimed authority to directly affect landlords and tenants. In recent times, these foreclosure or eviction moratoriums have been extended to January 2021 or beyond. At a later date, these moratoriums may continue to be extended, but few people are fairly certain at this point.

Risks and Financial Opportunities

Let’s take a look below at the potential risks, market changes, and financial solutions for homeowners, landlords, tenants, and real estate professionals due to Covid-19’s impact on the economy: * Adverse Market Fees: As of December 1st, 2020, the largest secondary market investors, Fannie Mae and Freddie Mac, are scheduled to assess a 0.50% “adverse market fee” to at least all refinance (and possibly purchase) loans that are designated as “conforming” fixed mortgage rates. Generally, these are some of the lowest 30-year and 15-year fixed mortgage rates in the nation for the most creditworthy borrowers with usually very solid FICO credit scores. This market fee adjustment may increase the overall 30-year fixed rate by anywhere between .125% and .25%, depending upon the lender. * Non-conforming mortgage loans: Borrowers may consider easier qualifying non-conforming loans that aren’t purchased in the secondary markets by Fannie or Freddie which include: FHA (FICO credit score allowances in the 500 range), VA, Non-QM (Qualified Mortgage), and Private Money that may allow much higher debt-to-income ratio allowances and/or no formal income documentation requirements such as with Stated Income products (bank statements or profit and loss statements in lieu of W2s or tax returns). * Forbearance agreements: The lender agrees to postpone or delay their foreclosure actions with the delinquent borrower. Sometimes, these foreclosure postponements may last months or years.
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Image by Gerd Altmann from Pixabay

* Deferment: The lender agrees with the borrower’s request to delay or defer their delinquent payments until a later date. In some cases, the late payments and penalties are added years later when the loan may become all due and payable. * Loan modification: The lender or mortgage loan service company agrees to reduce the existing interest rate and/or monthly payment amount so that the mortgage is more affordable as a way to avoid foreclosure. * Loan repayment plan: Both the lender and borrower mutually agree to add unpaid delinquent payments and late fees to the existing mortgage which may slightly increase their monthly payments or increase the loan term to give the borrower more time. * Reinstatement: After the borrower and lender agree to modify the monthly payments to avoid foreclosure, the loan is removed from foreclosure status and reinstated in “good standing.” * Seller-financed sales: If the homeowner needs a quick sale to a new buyer who can effectively take over his monthly mortgage payments and give the seller some much needed cash, the seller may consider creating some type of wraparound mortgage {i.e., contract for deed or all-inclusive trust deed (AITD)} or “subject-to” property transfer in which the buyer receives the deed to the property that is “subject-to” the existing mortgage still secured by the property. * Short sale: If and when the mortgage debt is greater than the current market value for the property (aka “upside-down” mortgage), the homeowner may consider contacting an experienced local Realtor who can help negotiate a discounted mortgage payoff with the lender when they find a qualified new buyer.
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* “Cash for Keys”: During the depths of the last major national foreclosure crisis between 2009 and 2013 especially, lenders were offering delinquent homeowners upwards of several thousand to $25,000 + to vacate the home while not damaging it or removing appliances. Quite often, the homeowner hadn’t made a mortgage payment for months or years up until this “Cash for Keys” offer. For many lenders, this cash payment to struggling homeowners was considered more affordable for the lender than fighting the homeowner for months or years longer. * Bankruptcy: For homeowners who are days or weeks away from losing their home at the final lender auction sale, they may consider filing Chapter 7 (complete liquidation of most debts) or Chapter 13 bankruptcy (a longer term workout payment plan) either on their own with online companies for just a few hundred dollars or with the assistance of an experienced bankruptcy attorney. The bankruptcy filing could delay the foreclosure auction date by weeks, months, or longer. Please seek quality legal assistance first. * Foreclosures: Please note that the typical foreclosure date timeline is close to four months from the start to finish. In California (a trust deed or non-judicial foreclosure state), the lender may first issue some warning letters to the delinquent mortgage borrower up to several months. The lender will then file a Notice of Default to start the foreclosure process. Ninety (90) days later, the lender will file a Notice of Trustee’s Sale while advertising one day a week in a local legal newspaper for three consecutive weeks. If the loan hasn’t been cured or paid with some new installment or workout plan, the lender could hold the final Trustee’s Sale (or auction) approximately 120 days (4 months) after the Notice of Default was filed.
In other states that are considered judicial foreclosure states, the foreclosure timelines may be similar or much longer, depending upon the caseload for nearby local courtrooms.

Focus on Opportunities, Not Obstacles

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It’s your ongoing perceptions of these negative financial, health, and overall national and global situations that may best determine whether you succeed or not. “Truth” is just your personal perspectives based upon life experiences. In the well-known Five Stages Of Grief description about emotional reactions to traumatic and painful experiences which was first written by Elizabeth Kübler-Ross and David Kessler about the fear of death, the five stages are described as: ● Denial ● Anger ● Bargaining ● Depression ● Acceptance
The faster that you get through the first four states of grief, the faster that you will get to the “Acceptance” stage and your focusing on the potential opportunities and solutions.
What we tend to focus on in life is usually what we end up with later because our minds are like giant magnets, for better or worse. Please keep your eyes on your personal goals because the solutions will appear sooner rather than later if you’re willing to focus with 20/20-like perfect vision. For many real estate investors, they will find incredible buying opportunities in 2021 and beyond if they keep a positive mindset.
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Rick Tobin

Rick Tobin has a diversified background in both the real estate and securities fields for the past 30+ years. He has held seven (7) different real estate and securities brokerage licenses to date, and is a graduate of the University of Southern California. Rick has an extensive background in the financing of residential and commercial properties around the U.S with debt, equity, and mezzanine money. His funding sources have included banks, life insurance companies, REITs (Real Estate Investment Trusts), equity funds, and foreign money sources. You can visit Rick Tobin at RealLoans.com for more details.

Trust Deeds vs Mortgages: What’s the Big Difference?

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Image by Arek Socha from Pixabay

If you are planning to invest in turnkey real estate development collateralized by real property, one of the top items on your due diligence check list should be to determine which mortgage theory the state follows per the location of the subject property. This understanding can be detrimental to your recovery strategy if your borrower is unable to uphold their end of the deal and defaults on the loan. Each state adheres to either title theory or lien theory, though there are a few states that follow both. In title theory states, Deeds of Trust are the binding agreements utilized between lenders and borrowers, and Mortgages are the agreements utilized in lien theory states. Both documents serve the same purpose in a real estate deal between a lender and borrower, but how they affect the relationship between the parties involved and the subject property is what makes the big difference.

What are some similarities between Trust Deeds and Mortgages?

Mortgages and Trust Deeds both secure repayment of the loan by placing a lien on the property, and are considered, by law, evidence of the debt as they are generally recorded in the county where the property is located. If the borrower defaults on the loan and the lien is in first position, the lien gives the lender the right to take the property back through foreclosure and sell it. In other words, both Mortgage and Trust Deed documents are used as leverage to ensure the borrower pays back the loan in full. The ability to sell the property gives real estate investors and lenders the potential to recoup the original principle lent on the loan. Depending on the value of the property, there is the potential for the recovery of back due interest, late fees, and even capital gain.
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Image by Tumisu from Pixabay

What are the main differences between Trust Deeds and Mortgages?

Number of Parties A Mortgage involves two parties: a borrower (the Mortgagor) and a lender or investor (the Mortgagee). A Trust Deed involves three parties: a borrower (the Trustor), a lender or investor (the Beneficiary), and the title company or escrow company (the Trustee). The Trustees main functions are to hold the title to the lien for the benefit of the Beneficiary and to initiate and complete the foreclosure process for the Beneficiary in the case of default by the Trustor. Property Title & Foreclosure Processes The main difference between Trust Deed and Mortgages is who holds the title to the property encumbered by the loan for the duration of the loan term. In a Mortgage State, the borrower holds the title of the property. Therefore, if the borrower defaults on the loan, the lender must go through the courts to take back the property through foreclosure. This is known as judicial foreclosure and this process involves the lender filing a lawsuit against the borrower. This can be a costly and time-consuming process for both parties involved. In a Trust Deed State, court can be bypassed because the Trustee holds the title to the property. You would follow the non-judicial foreclosure process, which almost always results in faster execution and resolution for all parties involved, especially for the lender. The speed of foreclosure can be detrimental to minimizing carrying costs and getting the property on the market quickly to sell in what may be a more promising market than one met at a later date.

What are First Trust Deeds?

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Image by an_photos from Pixabay

A First Trust Deed is as it implies, is recorded first before any other financial liens on the subject property, whether they be secondary mortgages, trust deeds or even mechanics liens placed by subcontractors. This means the First Trust Deed holds a priority or “senior” position, making all other liens encumbered by the loan subordinate or “junior” to the senior loan. Obtaining first position is important because in a foreclosure scenario, all outstanding subordinate liens are eliminated. This makes it so the lender does not have to worry about reconciling those other debts on top of their own.

Why invest in First Trust Deeds?

Hard money lenders like Ignite Funding, tend to operate more in Trust Deed states. First Trust Deed investments offer an attractive yield with relatively low risk to Ignite Funding investors due to their senior lien position on the property and the foreclosure process that is more conducive to the investors who are the Beneficiaries on the loan. This allows investors to earn double digit annualized returns paid as a monthly fixed income with REAL property as their collateral. If you are interested in becoming a Trust Deed investor or want to learn more, you can schedule a FREE consultation with an Investment Representative, please click here.

Ignite Funding, LLC | 2140 E. Pebble Road, Suite 160, Las Vegas, NV 89123 | P 702.739.9053 | T 877.739.9094 | F 702.922.6700 | NVMBL #311 | AZ CMB-0932150 | Money invested through a mortgage broker is not guaranteed to earn any interest and is not insured. Prior to investing, investors must be provided applicable disclosure documents.

Wholesale Deals in your Zip Code, Literally Down the Street!

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Kathy Kennebrook Discusses the Secrets of Land Lording

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Image by Schluesseldienst from Pixabay

By Kathy Kennebrook (The Marketing Magic Lady)

You’ve all heard the tenant horror stories from people who have had tenants in properties, but being a landlord doesn’t have to be difficult as long as you learn some strategies for handling your tenants. My husband used to say that handling tenants was like having a group of children that you have to train and discipline. But it doesn’t have to be that difficult.

You do have to make some specific rules for your tenants and stick to them. Every time you change the rules you give your tenants the upper hand. You must also have an iron clad lease that specifically addresses the issues that you may have with tenants including getting your rent paid on time.
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Image by Gerd Altmann from Pixabay

This is one area in which I am steadfast with the rules. I don’t care what the tenant’s situation is, their responsibility is to pay me on time and in full or they are stealing services from you without paying for them. My tenants are responsible for having the rent in our post office box or direct deposited through zelle or paypal on or before the date it is due or they are served with a three-day notice the next morning as required by law where I live in order to begin the eviction process. There are no exceptions. We even have tenants who send their checks to me priority mail to make sure they get to me on time. Most of our tenants have been with us a long time and many pay early.
You must also take the time to pre-qualify your tenants’ right from the beginning so you can avoid some problems right from the start. Don’t just accept a tenant into your rental property because they have the money to move in. Don’t let greed be your guide. Have your tenants fill out a specific rental application. Then you run must a tenant check with a reputable company. Don’t try to do this yourself just by looking at public record. You will miss credit issues and anything that may have occurred out of state. You need to find out the information you need to know about your tenants’ right from the start before renting them your unit.
For example, if the tenant check shows the applicant was just evicted from another premises, this certainly isn’t going to be a tenant you want in your property. Or if your tenant has had recent felony convictions, this isn’t a tenant you want in your rental unit. If your applicant has multiple animals, this is also not someone you want in your rental unit. I will mention however, that I will allow a tenant with a small dog or cat to rent my units. I find that usually a tenant who has a pet that they have had for some time will make a good tenant who will stay longer in your unit.
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Image by Quang Nguyen vinh from Pixabay

I also have a separate pet lease which addresses specific rules regarding pets in my units. The pet lease requires that the dog or cat is an indoor pet and I have an additional non-refundable amount of security deposit for the pet lease and additional pet rent of 25.00 per month. I find that this works out very well. If the tenant gets a pet that is not on the lease, this is grounds for immediate eviction, and we do have someone who checks our units about every 60 days for us to make sure all is well with our rental units.
I also check out where they were living before by going by the address and checking it out and I talk to their previous landlord. I want to see how they have been treating the place where they were living before. If it looks like a pig pen or if they have multiple animals, this is not someone I want in my unit. If they don’t give me this information on the rental application, I won’t even consider them to rent my unit. I know some of this is just common sense but it bears discussion. If a tenant makes it through my rigorous screening process, I also have them pay first month’s rent, last month’s rent and the security deposit either by cash, cashiers check or by money order. I do not accept personal checks for the move-in amounts.
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Image by Gerd Altmann from Pixabay

During the following months I do not accept personal checks from them for the rent, we only accept money orders or direct deposit. The first time a check bounces for insufficient funds or any other reason, they must make it good immediately or I will immediately begin the eviction process. This is all covered in the lease they have signed. I also make sure that the person I have putting tenants in units for me thoroughly covers all the items in the lease with them before they sign it.
If a tenant does get their rent to us late, they are responsible for additional rental fees of one percent per day. These fees are in our lease as additional rental fees as opposed to late fees since some courts won’t allow you to get a judgment for late fees. Within the body of our lease we also require our tenants to have renters insurance and I want to see proof of the policy before they move in. This way I can’t be held liable for any injuries or the loss of their possessions due to an accident, fire, hurricane or any other natural disaster.
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Image by Gerd Altmann from Pixabay

Additionally, once my tenants sign a lease with me, I will not give them keys until I see proof of utilities in their name for the unit. In certain counties like ours, the landlord can’t turn off utilities in their own name. The only way the name changes on the utilities is with a new lease and then utilities get put in the tenant’s name. This rule may be different where you live, but a lot of the time if the tenant doesn’t pay their utilities it falls back to the landlord. This is just one way for you to protect yourself.
These are just a few of the basic techniques that will make you a happy and successful landlord. Monthly cash flow is a wonderful thing if your properties are managed correctly.

For more information on becoming a successful landlord and finding all the deals you need for your real estate investing business, check out my website at www.marketingmagiclady.com. While you are there be sure and sign up for my Free Monthly Newsletter!!

Buying Vacant Land . . . NO WAY! YES . . . WAY!

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Image by Gerd Altmann from Pixabay

By Kathy Kennebrook (The Marketing Magic Lady)

Do you realize that you can build your fortune through buying vacant land?

You are saying: “No way!!” I am saying: “Yes…WAY!”
There are lots of great ways to make a lot of money in real estate, not the least of which is buying and selling vacant land. This is an effective way to do real estate deals with no hassle, no rehab, no insurance and no worries of vandalism and theft. Plus, there is virtually no competition for these properties since many investors are simply not going after this incredibly lucrative portion of the market place. I was actually in the real estate business for several years before I discovered this very profitable part of the market. In addition, in this current market buying and selling vacant land is another good strategy to continue making money in the real estate business.
If you live in an area that is particularly rural, then buying and selling vacant land is a more lucrative means of doing real estate deals. Since it can be more difficult to find homes to purchase in more rural areas, vacant land is definitely the way to go. There are several different ways to find vacant land deals.
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Image by Free-Photos from Pixabay

One is to simply drive around and look for them. However, since it can be kind of difficult to find addresses for properties this way, it is probably a much better idea to create a direct mail campaign to the owners of vacant land. Some of the parameters I use for this list are out of state owners of vacant land, especially those with past due tax bills or people who have inherited vacant land. These are some of the most lucrative deals out there. Be especially aware of those properties that front main highways since these will create even more valuable deals for you. In many cases, these owners have inherited these properties and they are not interested in doing anything with them. They are usually tired of paying tax bills, so they stop paying them altogether. They are usually highly motivated sellers and fairly easy to deal with. In fact, in many cases, they may have never even seen the property and are unable to give you directions to it. This is when it becomes really important for you to be able to work with your tax assessor’s office and get a mapping program so you can locate these properties with just the parcel identification number. There are also some national companies that can provide information such as mapping programs for you for a monthly fee. This tool alone has saved us hundreds of man hours and hassles in locating properties. In the case of vacant land, unless you know exactly where it is, one piece pretty much looks like another.
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Image by herbinisaac from Pixabay

Make sure you take the time to develop a relationship with a title agent or real estate attorney in your area and make sure you have title work done before purchasing these properties. Sometimes there are probate issues or liens to handle before you close which may also include past due tax bills. Some of these sellers will try to work directly with you without having a title search done on the property. Don’t do it!
I find that vacant land deals are very profitable for me personally. I live in Florida and here in Florida we have hurricanes. It is so much easier to work with vacant land because you still have the same big profits without the worries of damage, insurance, vandalism and rehab. In fact, some of the properties we have purchased were so inexpensive that we paid cash for them and put them into our portfolio to hold on to for retirement income when we sell them later on. They are already worth a lot more than we paid for them, so we figure the pay check will be huge later on as property values go up even more. And some, we will simply wholesale for a good profit. You can also purchase land into your Roth IRA.
In addition, with the current market being what it is today, purchasing land at huge discounts gives you the advantage to be able to sell it at “bargain basement prices” and still make excellent profits. Since you are selling the property at a lower price, it usually sells very quickly.
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Image by Gerd Altmann from Pixabay

Once you purchase these properties there are several ways to resell them at huge profits. One way you can sell these lots is to list them with a local Realtor who is familiar with selling vacant land without touching them. Whether or not you are able to sell your properties this way will depend a lot on how motivated the Realtor is. You also need to make sure that these local Realtors are part of the MLS system. Surprisingly we have found that in many rural areas they are not. You want to have as much exposure as you can for the properties you are looking to sell right away. Some of the best buyers for these lots are folks from out of town looking for a vacation get away. So they will purchase vacant land and build a home on it. Another thing that some of my students have done is to buy some acreage, split it into pieces, sell off some of the pieces and keep part of the land for themselves. They will make enough money off the sale of the split that the pieces they keep for themselves end up being free.
The other thing you can do is to list these properties on your property for sale web site where people, just like you and me, who may want to build vacation homes in the area where your vacant land is will see them. You will be able to get attention from many parts of the country. You may also want to put a “For Sale by Owner” sign on your land or run an ad in the local newspaper and the newspaper in the next largest city near you. I have done this and it has produced many buyers for me.
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Image by Steve Buissinne from Pixabay

If you want to take the time and you have your team in place to take care of these matters, you can also partially clear the land and add water or electric and then raise your asking price. The more ready the land is for development or home placement, the more quickly it will sell and the more money you can make! Depending on where the vacant land is located and how much there is, there are also opportunities to develop these pieces of land and resell them at really huge profits. One way to develop your land would be to get involved with a builder and have homes built on these pieces of land and then resell them with the land and the home already on it. Personally, this is not my favorite way to deal with vacant land because it’s time consuming and the more hands on and the profits are made later as opposed to sooner. A better technique would be to hire an engineer to take a look at the property, determine its best use, possibly change the zoning, and then do the other things necessary to get the property ready for development, such as splitting the land into smaller parcels and then reselling it. This is one of the best ways I know to build in huge profit margins without ever touching the property yourself. I find this to be a really lucrative way to handle properties especially when you are buying in an area that is an hour or more from where you live. In my case, my vacant land business is about three and a half hours from where I live most of the time.
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Image by RAEng_Publications from Pixabay

Another technique you can employ to make vacant land work for you is to explore the possibility of leasing land you own. This way you make cash flow on the property on a monthly basis and you still own the land. For example, you could lease a piece of land for RV storage. We have leased land to someone who needed extra room to expand a worm farm business. On another occasion we leased property we had with many pine trees to a company that harvests pine straw. A billboard company leases a property for a billboard that we own on a main highway. The possibilities are endless with a little ingenuity.
Another real advantage to working with out of state owners of vacant land is that you will run across investors who purchased groups of properties a long time ago so they have several properties with a lot of equity in them to sell. This creates wonderful scenarios where you can purchase multiple lots at well below current retail. The seller still makes money on the deal, creating a win-win solution for both parties. That’s what the real estate business is all about, creating win-win solutions for all of the parties involved. If you live in an area where there is a lot of vacant land, these techniques are definitely worthy of looking into because many of your competitors are simply not thinking about purchasing vacant properties. They are missing a huge opportunity since these properties are usually easy to purchase and reasonably easy to resell at huge profits.
Vacant properties can be a big “bonanza” for you! For more information on marketing to the owners of vacant properties as well as all kinds of sellers and lenders, visit my website at www.vacantlandgold.com.

Kathy Kennebrook Discusses Owner Financing and Work For Equity Programs to Get Your Homes Sold Quickly- Part 3

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By Kathy Kennebrook

Another way Kathy Kennebrook suggests to sell properties, especially properties that need repairs is by implementing a Work For Equity Plan. This is a good way for you to get a higher dollar amount for properties that need some work instead of simply wholesaling them. This is another way to drive potential buyers to your properties no matter what your current market is doing.

So what does Kathy Kennebrook mean by Work For Equity? Simply, it means that you have a property that needs some repairs that you want to sell. Instead of wholesaling it, you will sell it to an end user or homeowner who will do the repairs in exchange for some of the equity in the home. You can either sell your properties this way or lease/option your properties using this method. Kathy Kennebrook has done both successfully.
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Image by Fernando FLeitas from Pixabay

For example, say you have a home that all fixed up would be worth $150,000 and it needs around 20,000 in repairs, perhaps paint, carpet, appliances, or bathroom rehab. You should have purchased this home for around 82,000 or less if you structured your purchase correctly. You could then lease/option or sell this home on a Work For Equity program for around 115,000-120,000. This gives your buyer an opportunity to gain some sweat equity in the property by doing some of the work themselves and allows you a big paycheck at the end without having to do any of the repairs yourself. Kathy Kennebrook likes using this technique to sell properties since it gives a potential buyer the opportunity to purchase a home when they might not have been able to do so otherwise. You have to be very specific about the terms when selling or lease/optioning a property this way as to what repairs are going to be done and in what time period. Kathy Kennebrook provides a list to the buyer of repairs that need to be done and she goes over it in detail with them. Kathy Kennebrook then has them sign an agreement stating that these repairs will be completed within a specific timeframe which might be 12-24 months, depending on what you and your buyer agree on. Kathy also keeps tabs as to what repairs have been completed. While the repairs are being done to the property, Kathy Kennebrook also has her mortgage broker working with her buyers in order to get them qualified for a mortgage once repairs are completed. She will allow the buyers to live in the property while repairs are being completed as long as the repairs are not something that is going to create a dangerous situation for the buyers.
This is a really good way to sell homes that need work and make more money on them than you would if you had just wholesaled the property. Selling homes on a Work for Equity program will bring you buyers that would otherwise not be able to purchase a home so it creates a win-win solution for all involved, and brings you buyers you would not have had before. In a sluggish market, this is a really good way for you to sell properties that need rehab and make really good profits on your deals.
For more information on buying and selling houses quickly in any market, visit Kathy Kennebrook’s website at marketingmagiclady.com.

Ladies Who Rock Real Estate ONLINE EVENT – All Invited!

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A VIRTUAL ONE-DAY CONFERENCE SPOTLIGHTING WOMEN IN OUR INDUSTRY!

We are celebrating our amazing social media real estate investing group with a NEW VIRTUAL EVENT spotlighting some of the most amazing women in the REI industry.

We invite you, your team and friends to join us. This co-educational event is created to help positively change the direction of your real estate business, your personal finances, and your life. Please see the schedule below.

This LIVE EVENT is in real-time via Zoom, to register directly visit:

https://us02web.zoom.us/webinar/register/WN_5x_ERYl4Tnyz2jX0H3naNg

Background on Ladies Who Rock Real Estate!

Two years ago, as a way to spotlight and elevate women real estate investors and female agents/brokers/lenders and realty service providers, Realty411 began the social media group, “Ladies Who ROCK Real Estate”.

Now, our national group is nearly 8,000 members strong with successful women joining us from around the nation.

At this SPECIAL ONE-DAY EVENT, which is completely COMPLIMENTARY AND CO-EDUCATIONAL, all guests will “LEARN FROM THE LADIES”.

Some of the women featured will include real estate rehabbers, realty marketing specialists, real estate entrepreneurs, top-producing brokers, wealth educators, and more.

Some of the ways this virtual conference will be different from our previous online events, includes:

  1. Fantastic REI Topics will Be Discussed with numerous, successful women who are experts in their niches. They will be sharing their Insight and Advice for everyone to learn from AT NOT COST!!!
  2. Guests to Receive Invites to Our VIP Private Groups — What a perfect way to continue networking with our amazing connections! Ladies will be admitted to our exclusive “Ladies Who Rock Real Estate” group; Gentlemen guests who join us to learn from these top ladies will be invited to join our VIP Realty411 Investor group with thousands of top-level investors from around the nation.
  3. A Special VIP “Hour of Power” — Upgrade to our PAID networking hour, join us LIVE to be seen and heard by other VIP guests. All VIP guests will have time to share their contact information and plug their company.

ONLY 20 PAID VIP TICKETS ARE AVAILABLE — GUESTS WILL NETWORK LIVE VIA ZOOM.

Additionally, we will highlight and share information about our special PRIVATE online groups so that ALL guests can continue to connect after this event.

This LIVE EVENT is in real-time via Zoom, to register directly visit:

https://us02web.zoom.us/webinar/register/WN_5x_ERYl4Tnyz2jX0H3naNg

EVERYONE IS WELCOME — IT’S TIME TO LEARN FROM AMAZING WOMEN WHO ROCK REAL ESTATE!!

BONUS: All guests who join us will be invited to our PRIVATE investor groups with tens of thousands of members who are sharing their deals and making valuable connections!

URGENT: YOU SIMPLY DO NOT WANT TO MISS THIS ONLINE, INTERACTIVE CONFERENCE. LIVE CHAT WILL BE AVAILABLE. AND, JUST WHO’S SPEAKING AT THIS TRANSFORMATIONAL EVENT?

Just who will be joining us for this SPECIAL, ONE-TIME EVENT? Just take a look at our powerful agenda below.

Ladies Who Rock Real Estate – December 5th Agenda

Morning Session Hosted by Desiree Doubrox, HomWork

9: 00 to 9:15 AM PST – Welcome by Desiree Doubrox, HomWork
9:15 to 10:00 AM PST – Tamera Aragon – 7 Days to Freedom
10:15 to 11:00 – Laura Heath (Alamery) Wholesaling Expert/Mentor
11:00 to Noon – Kathy Kennebrook – Marketing Magic Lady
12:00 to 12:30 – Milica Krstic & Ivy Baca – Universal Commercial Capital

LUNCH BREAK – Relax and Refresh

Afternoon Session Hosted by Linda Pliagas, Realty411

1:00 – 1:45 PM PST – Kaaren Hall – uDirect IRA Services, Inc.
1:45 – 2:45 – Kristi Kirtwell – ADU and Rehab Expert
2:45 – 3:15 – Jacqui Price – National Real Estate Insurance Group
3:15 – 4:00 – Hannah Kesler – The Money Multiplier
4:00 – 4:30 – Sharon Vorholt – Probate and REI Marketing Expert
4:30 to 5:00 – Sadhana Sabharwal – The No-Money Down Academy

5:00 to 6:00 – Open Networking with Desiree Doubrox, Linda Pliagas and Speakers

5:00 – 6:00 – OPEN NETWORKING – EVERYONE IS INVITED BACK TO CONNECT, SHARE GOALS AND NETWORK.

Your Expo Hosts: Desiree Doubrox and Linda Pliagas

Kathy Kennebrook Discusses Owner Financing and Work For Equity To Get Your Homes Sold Quickly-Part 2

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Image by Gino Crescoli from Pixabay

By Kathy Kennebrook

The other way Kathy Kennebrook offers owner financing to a buyer is by holding a small second mortgage for them for part of her profit on the deal. This is personally one of her favorite ways to sell properties. Often having this opportunity available makes it easier for your buyer to obtain their first mortgage and gives you monthly cash flow for part of your profit. You actually end up making more on the deal this way since most of the buyer’s monthly payment to you on the second mortgage is interest.

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Image by Clker-Free-Vector-Images from Pixabay

Kathy Kennebrook will typically hold a second mortgage for her buyer’s with a three year balloon. At the end of the three year period, they still end up owing her most of the principle of the original loan. This can become a nice stream of income for you both on a monthly basis and long-term. You end up getting a big check when your property is sold, then smaller monthly payments for a period of time, then another big paycheck at the end of the buyer’s balloon.
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Image by OpenClipart-Vectors from Pixabay

The other method Kathy Kennebrook suggests using to sell properties is to owner finance the sale of your property for your buyer, and then sell the note to someone else at the closing table. If you structure your deal correctly, you usually end up being paid between 90-93% of the total amount in cash when the closing takes place. In this instance, if Kathy Kennebrook knows she is going to sell the note at the closing and take a lump sum cash payment, she makes sure she has sold the property for its full retail value or a little more. This way Kathy still gets a big paycheck and most of the value of her property’s sale.
These are just a couple of other methods you can use to sell houses that will drive buyers to you even in a sluggish market because you are offering your buyers assistance that most other sellers are not.
For more information on selling homes on a Work For Equity Plan, check out part three of this article. In the meantime, visit Kathy Kennebrook’s website at Marketingmagiclady.com for even more information on buying and selling homes quickly in any market.

Kathy Kennebrook Discusses Using Owner Financing To Sell Properties Quickly

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Image by Jens Neumann from Pixabay

By Kathy Kennebrook

Using a work for equity plan to sell houses or owner financing to sell properties is a good plan for getting homes sold quickly in any market especially if they need rehab. So let’s first talk about owner financing properties.

I believe that owner financing is another good way for you to sell your properties quickly and for long term profits. Many sellers do not offer owner financing so this is another good way for you to drive potential buyers to your properties even in a down market. I suggest simply advertising that you are offering financing assistance for your buyer. Many times you will have a buyer who has a significant down payment; they just can’t qualify for a loan for whatever reason at that moment.
Usually if I owner finance a property, I at least want my buyer to have halfway decent credit or at least workable credit that can be cleaned up over a period of time. I have a wonderful broker in place that helps my buyers clean up their credit issues. You can sell your properties using owner financing one of two ways. If you sell a property that has an underlying mortgage, you could do a wraparound mortgage with your buyer.
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Image by Merio from Pixabay

A wrap around mortgage is simply a mortgage that wraps around the underlying note. I would absolutely suggest using an attorney to put these deals together for you so it is done correctly and in a way that allows you to foreclose out the note if your buyer stops paying.
So how does a wrap around mortgage work? What this means is that your buyer pays you a mortgage payment each month on your property and you pay your underlying mortgage. The difference between these two payments is yours to keep as monthly cash flow as long as taxes and insurance are handled.
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Image by jessica45 from Pixabay

If you have used an attorney to do the wrap around mortgage for you, your buyer is going to be responsible for the taxes and insurance on the property and will provide you with proof that these have been paid.
For more information on owner financing properties and wrap around mortgages, visit Kathy Kennebrook’s website at Marketingmagiclady.com for even more information on buying and selling properties quickly in any market.

“The Money Multiplier”

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By Bruce Kellogg

The Practice of Infinite Banking

For over 200 years the elite have been implementing a tool called the Infinite Banking Concept (IBC) to build wealth through their own debt and expenses they already have. This concept is described in the foundational book, Become Your Own Banker by the late R. Nelson Nash. By practicing IBC, we now have a system and powerful financial tool to get back all of the money for every product and service we will ever purchase in our lifetime.

Brent Kesler

BrentBrent Kesler was a Chiropractor and Chiropractic coach for over 14 years. After implementing IBC, Brent paid off $984,711 in 3rd party debt in 39 months. In fact, Brent became so passionate about how powerful this concept was, he began sharing it with others and thus changed his path. Brent’s main goal in making this move was simply to help more people understand how to manage and grow their wealth. For the last 8-plus years, Brent has been lecturing to thousands of people around the country on the dynamics of IBC and helping individuals break the bonds of financial slavery they don’t even realize they are in. He teaches how to take back control of your financial life and to stop doing business with the banks. Brent has a passionate belief that whether you make $10/hour or $10,000/hour you should know IBC and have this powerful information to keep control of your own money.

How It’s Done

We are creating a specially-designed, specifically-engineered platform to practice the Infinite Banking Concept. This vehicle is customized based on each individual’s needs and resources. You will be using this vehicle to make all of the transactions you are already doing in your life (paying bills, buying cars, purchasing houses, making investments, etc.) Think of IBC as the process to make those transactions/investments all without having to change your cashflow, work any harder, take any additional risks, or lose control of your hard-earned dollars; we are just adding 1 simple step to your financial life. You see, you want to be in 2 businesses in your life: the business that produces your main source of income and the banking business, the business that finances everything you do throughout your life. We all have access to the same financial tools; the wealthy just use these tools differently. Now that I know how the wealthy have been using these tools for over 200 years, I am going to continue to play the game right along with them.

Mapping Out the Millionaire MysteryBenefits

  • Keeps Money in the Family.
  • Control of Your Cashflow.
  • Recapture Money.
  • Protected from Judgements and Lawsuits in Most States.
  • Build Tax Free Wealth.
  • Creating a Legacy.
  • Earn Uninterrupted Compound Interest.

Getting Involved

Visit our website and view Brent’s presentation on this powerful financial concept: www.moneymultiplier.com/memberarea/

After you have watched the 90 minute presentation, schedule a call with Brent to get all of your questions answered and explain your personal situation by scheduling with him here: https://go.oncehub.com/BrentKesler/

Email – [email protected]
Cell – 785.248.9637

BONUS: Chris Naugle (client/colleague) and Brent Kesler, together they have written the book, Mapping Out the Millionaire Mystery. This is a 2020 spin off of Becoming Your Own Banker. You can purchase it by visiting here: www.themoneymultiplier.com/books/

**By mentioning this article, we will send one to you FREE (just pay shipping)

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Bruce Kellogg

Bruce Kellogg has been a Realtor® and investor for 38 years. He has transacted about 800 properties in 12 California counties. These include 1-4 units, 5+ apartments, offices, mixed-use buildings, land, lots, mobile homes, cabins, and churches.

Mr. Kellogg is a contributor and copy editor for two national real estate wealth-building magazines: Realty411, and REI Wealth Monthly. He is a recipient of an Albert Nelson Marquis Lifetime Achievement Award, listed in Who’s Who in America – 2019.

He is available for consulting with syndication, turnkey, joint-venture, and other property purchasers and note investors nationally, and other consulting assignments. Reach him at [email protected], or (408) 489-0131.