Increasing the Value of Multi-Families: Vending and Zone Coverage

As investors, we’re always looking for ways to increase the value of our properties. Most of us are familiar with the more conventional ways of doing so: decreasing expenses and increasing income. What if I told you it was possible to increase income without raising rents or decreasing expenses? Let’s explore a few ways that is possible.

Increasing Value with Vending Machines

If you own a fairly large complex, it would make sense to install a vending machine. Assuming you’re an expert of your market, you could effectively target your tenants by placing products you know your tenants would want in the machine. The best place to put your vending machine is in an area that generates a solid flow of tenants; the laundry room or near the pool (if you have one and your property is located in warmer markets) are two good choices. Even modest vending revenues increase the property’s value significantly. Assuming the property is in a 6% Cap rate area with yearly vending revenues of $720, you would have increased the property value by $12,000! Not too shabby given our modest revenue assumptions.

Tapping rarer, but more lucrative, value potential

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Increasing the Value of Multi-Families: Vending and Zone Coverage

Source: Increasing the Value of Multi-Families: Vending and Zone Coverage

First Time Home Buyer Tax Credit needs one of those Modifications

So the time has come to wave goodbye to the first time homebuyer credit. If you are working with first time home buyers and you haven’t locked down a property in escrow by the end of next month your clients might not be able to make the deadline of Dec 1, 2009 to get that rebate. Remember that escrow or the real estate transaction must be closed, finalized and done by Dec 1, 2009. Some people think that as long as the property is in the closing process by Dec 1 they would still get the credit but that is false. I’m sorry to inform you but it has to be completely closed.

An Extension to the First Time Home Buyer Credit?

With that said many people have been asking me if I knew if they were going to extend the first time home buyer credit. I had not heard of anything so I did a little research and low and behold there was a bill introduced back in June 10, 2009. This bill has not received too much attention because people were not worried about the tax credit expiring. Now that the clock is ticking I am sure the tax credit will be coming back into the lexicon a lot stronger in the next couple months

If you have never followed a bill in your life then you might want to take notice as an investor, real estate agent, loan officer etc. This one will affect you once it’s passed until it expires in 2011.

This Article is Copyright © 2004-2009 BiggerPockets, Inc. All Rights Reserved.

First Time Home Buyer Tax Credit needs one of those Modifications

Source: First Time Home Buyer Tax Credit needs one of those Modifications

Has the Real Estate Supertanker Finally Turned?

For the past several years it seems that every time you ran into a real estate agent he would proclaim that the market was at the bottom and it was time to buy. Of course, that was nothing more than the agent’s vested interest speaking. The market continued to slide in just about every city. Some fared worse than others, but few areas of the country were spared.

Many inexperienced and even some veteran investors have an expectation that the real estate market can turn on a dime in the manner of a speedboat. Perhaps they think it’s more like the stock market, which can swing wildly from one trading session to the next. However, real estate is more like a supertanker in that it takes a long time to change course. The reason for that is simply the lack of instant liquidity and the time it takes to complete each transaction.

Recent Data

There is good news. The latest report from the Case-Shiller U.S National Home price Index shows that real estate prices have shown their first quarterly increase in three years. Does that mean that the bear market in real estate prices is over? Not by a long shot. There are many foreclosures on the horizon and the national economy is still hurting. However, it’s a start.

This Article is Copyright © 2004-2009 BiggerPockets, Inc. All Rights Reserved.

Has the Real Estate Supertanker Finally Turned?

Source: Has the Real Estate Supertanker Finally Turned?

Real Estate Blogging Case Study: SEO Benefits of BiggerPockets Blogs

Earlier today I was browsing through some of the blogs on our BiggerPockets Blog Network and saw a post that caught my attention. It didn’t grab me as much for the content, but because the author shared with everyone the fact that the post had first page rankings on Google, soon after going live.

The post, titled I Buy Houses in Joplin Missouri, written two days ago, is now the top result for “buy houses Joplin” and the second result for “buy houses Joplin Missouri” out of 107,000 and 110,000 total results in Google’s index.

This Article is Copyright © 2004-2009 BiggerPockets, Inc. All Rights Reserved.

Real Estate Blogging Case Study: SEO Benefits of BiggerPockets Blogs

Source: Real Estate Blogging Case Study: SEO Benefits of BiggerPockets Blogs

A ‘Little Judge’ Who Rejects Foreclosures, Brooklyn Style

Justice Arthur M. Schack has won a national reputation as Don Quixote tilting at the bankers and lawyers who file foreclosure motions by the bale.

Source: A ‘Little Judge’ Who Rejects Foreclosures, Brooklyn Style

My Entrepreneur’s Manifesto

I am capable of limitless success. Success is within me. I will make no excuses nor accept them of myself. I am not at the mercy of other people. I am not at the will of random events. My only true impediment is that which exists at the end of my own resolve.

My resolve is determined by my enthusiasm and faith in a worthy pursuit. I will tap the unlimited well of passion and enthusiasm within myself through constant self education, and action which will lead to progressively larger victories thereby stoking my inner fire and fueling my progress. My self education will lead me first to my passion, then to my mission, and finally to a plan for success. My plan for success will illuminate my vision and measure my progress. I will be assured in my cause but I will always keep my eyes and mind open for new realities and different possibilities.

I know that the world is full of uninspired people and critics. I know there will be many people who will actively seek my failure and many more who will wish for it. I will strike down those miserable beings who seek to obstruct me out of pure jealousy and I will be indifferent to those less treacherous but like minded people who placidly watch me pass. I will be humble for I know I will take many lumps. I will not be discouraged by the lack of justice but I will be just. That is what will make me stand apart from the mob to be noticed by other proactive and honorable people.

This Article is Copyright © 2004-2009 BiggerPockets, Inc. All Rights Reserved.

My Entrepreneur’s Manifesto

Source: My Entrepreneur’s Manifesto

How to Generate Quality Real Estate Leads

In this, the fourth installment of my “Investors’ Realtor” series I would like to dive into how to market yourself and create quality leads. In my mind, quality leads are real, qualified prospects that are ready, willing, and able to buy real estate from you.

My BiggerPockets blog post from last week detailed how I use a local real estate club to generate leads. I realize, however, that starting a real estate club isn’t for everyone; this kind of marketing can be costly and very time consuming.

Press Releases for Lead Generation

The second tool that I use for lead generation requires less initial outlay of time and money. About two years ago, one of my local friends, Robin Jay (author of “The Art of the Business Lunch” and an accomplished public speaker) told me about one of many internet press release websites that allow you to write articles and press releases about any topic you like, and post them electronically on the site. They then distribute these articles to various internet ezines, blogs, websites and other publications.

I have used these services extremely effectively over the past couple of years to promote myself as the “Foreclosure Expert” in the Las Vegas real estate market. As I noted in my previous blog entries, in order to succeed in real estate it is important to pick a niche in which to focus your energies and efforts. Once you decide on your niche, you need to become an expert in that field through reading and doing. Once you are an expert, it is not that hard to sit down, write an outline on a subject that you know a lot about, and create an article that will be valuable for someone who is looking for information on that subject.

This Article is Copyright © 2004-2009 BiggerPockets, Inc. All Rights Reserved.

How to Generate Quality Real Estate Leads

Source: How to Generate Quality Real Estate Leads

Can Split Testing Improve Your Real Estate Ad Response Rates?

I remember how frustrated I used to get whenever I would go to Craigslist.com or Backpage.com and post multiple ads for buyers, investors, sellers, or even my deals; I’d get responses here and there. I’d just keep re-posting the ads that wouldn’t get any responses, hoping they would eventually get me a lead.

Foolishly, I never saved all the ads that worked and I kept concentrating on the ads that had low responses. I kept re-posting to various sites because I thought they were awesome ads and I didn’t understand why nobody would respond…

BTW - If you have also been getting little to no response with your advertising, then keep reading!

I then came across and interesting concept… Split Testing.
 

Split Testing Can Improve Your Marketing!

I can’t tell you how crucial Split Testing is to your business. Split Testing will usually tell you if you have a good ad or not.

What is Split Testing? Split testing is an extremely powerful strategy for increasing the effectiveness of your marketing. You can use it for almost anything. It is a way of testing two or more marketing campaigns and identifying which one is more effective.

This Article is Copyright © 2004-2009 BiggerPockets, Inc. All Rights Reserved.

Can Split Testing Improve Your Real Estate Ad Response Rates?

Source: Can Split Testing Improve Your Real Estate Ad Response Rates?

Save Your Sanity, Learn Your Building

A while back, I mentioned my project installing a bathroom ceiling fan as an example of something automated systems wouldn’t help with – a dirty, uncomfortable job I had to do myself.

That doesn’t mean the job had to be nearly as difficult as it was.  I could have saved a huge amount of time if I had taken some steps to learn the building beforehand.

A Hugely Annoying Day

Like most bathroom ceiling fans, the Broan 678 actually attaches to ceiling joists.  This means that to install it, you really want to work from above.  It’s pretty darned difficult in a building like mine because there is no easy access to the attic.  I knew of three possibilities:

This Article is Copyright © 2004-2009 BiggerPockets, Inc. All Rights Reserved.

Save Your Sanity, Learn Your Building

Source: Save Your Sanity, Learn Your Building

An I.C.U. for the Financially Ill

A mortgage foreclosure clinic at the Nassau County Bar Association in Mineola tries to help homeowners who have found themselves in trouble.

Source: An I.C.U. for the Financially Ill