Stop Wasting Time And Get The Financing You Need

[Howard Tischman]

If you are involved in any aspect of real estate, you know the pain and frustration of running into these situations:

· The lender won't provide enough LTV
· Loan amount is too low/high
· Bad or not enough credit
· Debt-to-income has become too high
· Lender won't lend on the type of property being purchased
· Seller not open to creative financing
· Credit score is too low
· No money for down payment
· Lender pulls out at the last minute
· Wasting valuable time on deals that go nowhere

And on….and on….and on.

I was extremely skeptical, not to mention kind of irritated, when my friend called me to talk about this system she had found out about. I thought she was wasting my time, and I didn’t have any to waste.

Then one day she called me to ask me if I would mind watching her house because she was taking off on vacation for 3 weeks. (Naturally, I was curious about how she was suddenly able to take a 3 week vacation).

It was because she had just made a little over $290,000.

On just one deal.

I suddenly became very interested in what she was doing. But I had to wait until she came back to talk to her about it.

So I waited. And sweated.

It drove me crazy, and I could barely sleep most of those nights because I knew she was onto something and I wanted to know what it was!

I still wish I had those three weeks back because I could have gotten started earlier.

I'm telling you this to say:

Stop Wasting Your Valuable Time - Get The Deals And Financing That You Want

Sign up to receive these special reports and other tips and articles:

-Ways to quickly determine if a property or deal is
worthwhile or a 'time-waster'

-Finding the right lender. Not all lenders are the same!

-What are two things you can tell a lender that will make
them say yes to your deal

-Breaking the 80% LTV barrier. Consistently.

-Other secrets, tips and articles

Go to: http://www.VirtualMoneyStore.net

[Dan Auito]

Welcome Howard, you did good by putting this under Commercial as it certainly has that ring to it. Not a bad thing just a commercial thing!

I'm wondering if I can't get you to come out of the gate by attaching this report right here on the forum:

-Ways to quickly determine if a property or deal is
worthwhile or a 'time-waster'

If you can kick off your introduction to the family by bringing that one home here in an attachment, I would appreciate that gesture myself.

Thanks for coming on board Howard, now to see how this better than sliced bread offer shakes out. Dan :smiley3:

Thank you for the quick response Howard! :SM029:

[Howard Tischman]

To get the rest of the series of newsletters you will have to go to http://www.VirtualMoneyStore.net.

Thanks!

Ways To Quickly Determine If A Property Or Deal Is A ‘Time Waster’

A Priceless Asset

Every one of us has ownership of a very precious and priceless asset. Time. How we choose to use and spend our time makes a big difference in the quality of life that we lead. Obviously, when we spend too much time on things that are not truly enhancing our life and moving us towards our goals, we lose in a big way. And we can never get that time back.

In business, time also equals money. This is why it is important that as businesspeople, particularly as Real Estate investors, we pay particular attention to the properties and deals that we spend our time pursuing. We know what it’s like to spend hours and hours looking at property advertisements in classified ads, For Sale By Owner periodicals and even online. Many of us have, and still do, spend hours either full-time, or on our after-work hours, driving around to look at properties and meeting with sellers. More often times than not, we spend all of that time doing those things without closing a deal. Many times when we do close a deal, we discover later that we are in over our heads with a property that is a burden because it requires a boatload of money to make repairs or replacements that we did not anticipate, or it is not generating the cash flow that we need to at least break even.

So, the question remains… How can you keep yourself from wasting time on poor properties and bad deals? How do you know which ones to go after?

Don’t Allow Your Time To Be Wasted

Here are a few characteristics to look for and questions to ask yourself which should indicate to you if a property or deal is a ‘Time-Waster’. Some of the questions and answers may seem like common sense, but many of us fail to ask ourselves these questions or to see these things……especially if we have allowed ourselves to “fall in love” with a property or commit ourselves emotionally to a deal.

Not keeping these questions in mind will cause us to spend time pursuing properties and deals and ultimately fail to close on them, to drop them or to get in over our heads after having spent many precious hours going after them.

So before you start looking for that next property, think about these questions and answers:

Q: Is the building or property totally vacant? If it is, how long has it been vacant?

A: If a property has been vacant or has remained unsold for more than 2-3 months, there is a reason for it. And it’s usually not a good one. Ask the seller or agent flat-out why the property was placed on the market and why it has been on the market for so long.
If they don’t immediately give you a complete, clear and direct answer that is reasonable (such as it was tied up in probate over an estate dispute or some other reasonable excuse like that) or they seem to be hiding something, walk away.


Q: On a rental property, is there is a high turnover of tenants?

A: The general rule for landlords is: “If a tenant is going to skip out, or become the ‘tenant-from-hell’, they’re going to do it shortly after YOU buy the property”.

Look for rental properties in stable, or upcoming neighborhoods.

Make sure ask you see the rent rolls and leases for the last 2-3 years. Sometimes in smaller buildings like duplexes, or a single-family house, the landlord may have a more informal or month-to-month agreement with the tenant. That can be excused if the property is obviously in good shape, and maybe is near a normally high-turnover area such as being close to a military base or a college. However, for larger multi-unit rental properties, the lack of those things is a sign of poor management, which in turn is a sign of a potentially poor investment.

Remember, fully rented or vacant, you will still have to pay the mortgage on that house or apartment building.


Q: Does the seller or seller’s agent seem to stall you or find excuses for not providing you with 2-3 years of complete rent rolls, leases and income and expense statements in a timely manner when you are considering a multi-unit property?

On older properties, does the seller have at least one appraisal that is no more than 2 years old and have at least 3-5 years of recent maintenance records of damages, repairs, replacements or upgrades (work orders, receipts, etc.)?

A: All documentation regarding the cash flow and maintenance of a property should be organized, legible, complete and clearly understandable to show the profits, losses, expenditures and condition of the property. (Remember, you can’t always tell from a walk-through if there are any substantial structural problems with the property)

If the seller or agent is not totally forthright with you or does not have that information readily available, walk away. Though you may sometimes need to sign a confidentiality agreement, serious and honest sellers have no problem showing you the complete records related to a rental property that is being sold. Having complete records in an indication of a well-maintained property that is worthy of your interest.


Q: Are all required certifications and permits up to date and valid?

A: Check with your local municipality to find out what certifications and permits are required for rental housing before you go looking for rental properties. If your seller is severely delinquent on or is missing those permits and certifications, walk away. This is an indication of a very poorly maintained property. Do not accept the excuse of “not being able to find them”. All documentation relating to certifications and permits should be prominently displayed on the premises where required or secured by the manager or management company in their office.

You do not want the types of problems caused by certification or permit violations unless you have the money and resources to rectify those problems completely and quickly upon purchasing the property. Fines for violations can run into the hundreds and thousands of dollars, not to mention the legal issues you could be charged with on top of the money it will take to bring the property up to code.


Q: Will the income from the property cover the expenses (mortgage, property taxes, insurance and maintenance PLUS at least 10 to 12% extra? Do the published average rents for the area fall in line with what you will need to charge for rent to cover those expenses?

A: Obviously, if no, then move on. That is, unless you have the skills to negotiate an affordable price or have enough money for a large down payment.

So there you are. Of course, there are many other things that go into buying an investment property. However, the things that you have just read should enable you to determine if the property you are considering is really worth your time or a “Time-Waster”.


If you want to know how to Find All Of The Financing And Properties That You Want, go to http://www.VirtualMoneyStore.net

Psssst! Here is a tip for you!

Believe it or not, with the exception of having an intimate relationship with the word “No”, all lenders are not the same!

Different lenders actually have preferences among the types of properties that they approve loans for. Some lenders prefer large multi-family apartment buildings and complexes. Some like B-Grade office buildings. Some like to lend on large condo conversion projects. Some like to lend on industrial and warehouse properties. This is not something that is realized by most investors. So, depending on the type of property you are buying, you need to know up front what types of properties the lender is most likely to approve!

If you want to know how to Find All Of The Financing And Properties That You Want, go to http://www.VirtualMoneyStore.net

[Dan Auito]

Howard, if the rest of your reports are as clear, accurate and straight forward as the one above then I would suggest everyone who has read this should click on over to see what else you can help them with.

I want to thank you for honoring my request to post this one up, as expected it is certainly great advice which hopefully gets people to further investigate what lies behind door number 2. Thanks again Howard I gotta go see those other articles now! :SM144:

P.S. Howard after popping over and signing on I find you train people how to be commercial brokers, do you have a list of commercial brokers that could help people here fund their loans? Not everyone wants to be one, but many could sure use one! :)