Wednesday, August 26, 2009

Marketing do's and don'ts


When your doing marketing do your homework. Their are all types of ways to advertise your product. I'm going to go over a few successful ways I carved out a great income from my advertising.
The first is postcards. With the birth of the Internet this path is lessor traveled. I had just started in real estate and started sending out 150 postcards a week. They were basically for listing properties. I consistently sent them out for 10 weeks with no success. On the eleventh week I got a call from a gentleman that needed a lot sold. I listed and sold that lot. He then let me sell a home and bought two more homes from me after that. He was a plumber by trade and called me on a home he was re plumbing and wanted to know what it was worth. I informed him of the value and he said the owner would sell it to him at a considerable discount.
I was searching for a home in that area at the time and offered him $10,000 over what he was paying for it. He sold the property to me and I remodeled it and lived their for two years. After that property was sold I made over $75,000 from that one post card that I continue to send out today.
Another great way to advertise is social networks. You can network and find people with common interest and potential clients. The biggest asset that it brings you is notarization. It shows people that you have a presence in the market and brands your name and business. People need to see your name a few times to trust it and remember it. So social networking can help get your business, website, blogs, and events out the the world.. It will at least get some new traffic in your business.
The last one I want to talk in this article is events and having events. Meetup.com has boatloads of these events. You can find meetings that you may get business from. You can also find social meetup's and hobby type stuff. You can join these meetings and you'll get their schedules. I would always have business cards in my pocket when you go to these types of meetings. That's just another sign you can put out their when your at these meetings. Meetup does cost some money but is well worth it.
You can also create your own events that can meet up weekly, monthly or whenever you want. These meetings do take a while to build a following but does keep you in direct contact with your clients. So if you have a slow start don't quit be consist ant and run your meetings at least monthly. I had three at my first one and sold 6 homes to two people that where at that meeting. Have an interesting information and always be at the top of your game when you have these type of meetings. Set up an affiliate program with your business to create word of mouth growth for your group. All that is paying people to refer people to your business. Be creative when growing your company.
Other event social sites Facebook, Craigslist, Oodle and I'm sure their are more!!

--
Brett young
Valley Realty
Owner/ CEO Roof Top Investment
Real Estate Investment
http://www.rooftopprofitmax.com

Friday, August 21, 2009

Personality of Business/Knowledge


When you decide to start a business , there are many things you need to know in order to be successful. The first is knowing your product.
Goober Pet World, (now Goober Pet Direct) was a home delivery pet food service that owned. I had built it to over 6000 customers when I sold it. One reason I had so many customers is that I knew my products. Goober had over 300 types of pet food, with many off brands. These brands came from large companies, usually $60 million plus in revenue. If a customer called wanting Science Diet Maintenance, I had that. But, I also had another brand called Diamond Maintenance. It was formulated almost exactly like Science Diet. The only real difference was the price. I would sometimes be able to switch the customer to my brand, Diamond.
That did a lot for my business. I was one of the few companies that carried the Diamond line of food. My company was the only one that could deliver the Diamond product anywhere in the Phoenix Metro Area. That gave me a big boost. Anyone, anywhere could buy from me in the Phoenix Metro Area.
It is like that in real estate, I know Construction, Lease Optioning, Renting, Property Management, Private Lending, and much more. This allows me a larger market share, because I know my product. I was not satisfied only knowing certain aspects of real estate. I had to know everything about it. This in depth knowledge allows me to be the expert. And that knowledge is valuable.

--
Brett young
Valley Realty
Owner/ CEO Roof Top Investment
Real Estate Investment
http://www.wealthbuildingequity.com/

Sunday, August 9, 2009

How I made $30,000 whole selling


My Valley Realty Partner and I had ran a very expensive ad in the yellow pages. The ad was $2300 a month that got us a lot of great buys. One in particular was in Maryville.
A lady had a domestic violence issue with her estranged husband that just got out of jail. I'm sure he was a great find a some point in his life : } I went to talk to her and informed her not only what I would pay but what she could get on the open market if she wanted to do some work on the home. She informed me that her quick exit would be the best thing for her to do. When your doing this type of deal you want to make sure that you can wholesale it and or flip it. In this case I decided to wholesale it.
I figured Valley Realty could make $30,000 and the client could make about that much too. I knew that because I was doing the construction and knew what the cost would be. I immediately sold the home and made a quick $30,000. We then had to back up what we said and get the home done and sold. Which we did and the client made a great return on his investment. When your looking at doing wholesale properties make sure the company or person selling it has all the proper numbers put together.
Heres an example they should have an inspection and quote for all work being done before you close (if in escrow make sure it is done before the inspection period is over). Then look at the sold properties in that area and make sure that the numbers match up. Remember the home needs to be sold. You may also want the whole seller to have some vested interest. Check his references also, don't get all excited and emotional on a buy make sure you have all the facts before closing!

--
Brett young
Valley Realty
Owner/ CEO Roof Top Investment
Real Estate Investment
http://www.rooftopprofitmax.com/

Wednesday, August 5, 2009

Making sure that all you ducks are in a row


I was reading the Wall Street Journal. There was a piece on Rookie Home buyers by June Fletcher. The article talked about a 1st time buyer that had saw the $8,000 tax credit and decided to buy a home in the Atlanta area. This person was a manufacturing engineer and actually did a quick walk through and decided to put a bid on it. He took a short vacation and the realtor informed him that the property was under a bidding war. Basically that means more than one person is bidding on it. So he upped his bid and won the condo, he got emotional on this condo. He won the condo and signed a 33 page contract and opened escrow. He got an inspection and found that the home had considerable more damage than he originally thought. The article talks about he had a problem getting out of his contract (probably a little overboard), you do have an inspection period that you can back out in.


Me and my team have all the processes in place that insure that this does not happen. We make sure that after escrow is opened we know exactly what we have to do. Through inspections and contractors all the bases are covered. You really need to do your homework when you start buying a home for yourself and investing. Check out the realtor and or person your using to find you a home. They should have a resume and some people you can call to verify that they know what their doing. Take your time and never do anything in haste. Making sure that all your bases are covered before getting into the real estate game!

--
Brett young
Valley Realty
Owner/ CEO Roof Top Investment
Real Estate Investment
http://www.wealthbuildingequity.com/

Monday, August 3, 2009

Making mistakes in real estate investing


I found that the key mistake I see and have made is being emotional about your decision making on a transaction. I talked to a potential client last week and he had done just that. He had bought a condo in Tempe close to ASU (that's a great location). Where I think he made a bad decision is that he bought this while out of state. He thought he'd purchased a condo from a trustee auction. What had actually happened he'd purchased a wholesale condo for $65,000 and the fix up (for flipping it) was $3,000. The $3,000 would be a flag to me, if your flipping then you need to make sure that you have a pristine remodel. The realtor that sold it did not disclose that her client or her had purchased the condo for $42,000. Another huge flag, for just a $3,000 remodeled they could have sold it for supposedly higher than $65,000. The condo had another big problem was that the unit was a 1 bedroom and 1 bath. That shrinks your market considerably, basically 1 or 2 people can live there that's it. You also have a lot of apartments your competing with in that area. He had voiced concern on the rehad and said he didn't think it was up to par. Understanding how to do these transactions is very important to your wallet. What he should have done is get comps first. Look at the value and days on market. He should have detailed the rehab and make sure that everything that needed to be done was getting done. I would have also liked some kind of time line on the rehabbing. Then I would have checked the people telling me to buy and make sure that they done this successfully before. When you hire a coach you want to check out their resume before you hire them. I sincerely hope this gentleman makes money on this transaction, but doing your homework before hand and having the right team around you is crucial.

--
Brett young
Valley Realty
Owner/ CEO Roof Top Investment
Real Estate Investment
http://www.rooftopprofitmax.com/