Tuesday, December 12, 2017

Property Flips and Rentals will be the subject of the upcoming REI Meeting

Hello Everyone,

We have a fantastic meeting lined up for this week. The topic is going to be Property Flips and Rentals. And our speaker will be good friend and REI CFO Eric Schmucker. Eric has been flipping properties lately and has historically managed and owned over 100 rental units. 

Eric is going to cover topics such as:

1. How to get started in flips and rentals
2. Building your renovation team(s)
3. Subcontracting bid labor vs. employing your own guys by the hour.
4. What kind of renovation work should your company be able to preform vs. subcontracting outside companies
5. What should the pay scale be? And what should each employee be able to preform at each level?

Eric managed the REI rehab so he will then lead into a discussion of our project which is close to completion. 

Looking forward to this meeting…  It’s always fun to hear the perspectives of our fellow members. How they do things, what they do to save money, where they feel they can reasonably cut corners to save money and where they don’t. We all have a different way of doing things. I often pick up some good tips at these types of meetings that I implement in my company saving money, time or frustration. Money saved = money earned. 

See you there!

Tuesday, December 5, 2017

This Week ~ Group Discussion

Hello everyone,

This week we aren’t having a group speaker. We will have a group forum about varied landlording, flipping, wholesaling and other real estate investment related topics. As we do any time that we don’t have a scheduled speaker. 

REI President Andy has had some difficulties setting up consistent meetings. We are currently looking for a new officer of the group that will take over his responsibilities so we can get back on track. I’ve found it very difficult to write agendas about nothing back to back. 

Regardless of the meeting having a speaker or not, we always have a focus on teaching other like minded people, both novice and advanced, to develop our individual companies into streamlined, cost effective, money making machines. That you will eventually work towards quitting the day job to be full time real estate investors. We don’t only talk about the big picture but also discuss the nuts and bolts of operating a successful company. One topic we may discuss in the upcoming meeting is the development of systems that allow you to have a team of good people that will manage your companies for you while you spend most of your time doing as you wish. Something I have been working on for the past few years. 

We trade ideas that have worked for us. Or ones that didn’t. That is what this group is all about. Investors helping investors become successful. If you fully take advantage of networking and developing good business relationships with our membership, you will end up with a large portfolio of lucrative property to retire on and pass on to your “family” (THEM)  and “friends” (ME). 

Come on out to the meeting this week and spend a little time with some good like minded people. 

See you there!

Tuesday, November 28, 2017

Fire Restoration This Week At REI

Hello Everyone,

This week we have a fun meeting lined up to discuss Fire, Smoke and Water Restoration. Our guest speaker will be Tal Bowman who is the owner of the local Paul Davis Restoration franchise. They also specialize in the associated issues you run into such as Mold and Odor removal. 

We’re going to get into some of the details of fire restoration. Often investors are afraid to buy a fire damaged property due to not knowing for sure what will have to be done. I’ve done a couple and jumped through the city hoops on these which I found to not be too difficult. 

Going to be a fun meeting. See you there!

P.S. - It was brought to my attention by several people that last week the president of REI “misspoke” when he said that I was not sending emails out to the group to harm it or something along those lines. And that I haven’t contacted him to see what meetings he had lined up. Reality that he is aware of is that our emails, which were seen by several, clearly show me asking him what meetings he has scheduled for the next 3 weeks as I was going to be in China and Thailand and had to write 3 agendas all at once. His reply was “I’ve Got Nothing” in which I replied as I have before that I can not write an agenda about “nothing" time and time again. I guess he didn’t want to tell the group he was having difficulty doing his job. Thanks for the vacation present Andy! You’re a nice guy. 

We looked into the market to buy property when we were in Thailand. Spent several days looking at condos and talking to real estate agents there. We found some interesting information that I am going to share with the group sometime. Condos there are on the low side 30,000 USD and can be rented every day of a 7 month high season and about 1/4th of the time during the low season. That is if you go for the vacation rental route rather than the long term renter. It’s typical for your tenant to put down at minimum 3 months of rent ahead and if they don’t pay their rent, you call the cops and they put them right out. No court. Interesting system they have there for landlords. That protect their investment. 

This is a potentially great way to get some vacation property that you will use when you wish and will have it rented when you’re gone. 

See you at the meeting...

Tuesday, October 31, 2017

This Week Open Group Discussion

Hello Everyone,

This week at REI will be Halloween night. Not all of you will be Trick or Treating so the meeting is still scheduled. We expect it to be a small group and we will talk about whatever real estate investment topics come to mind. Maybe a conversation on real estate in disastrous hard times of high inflation or deflation would be interesting for a Halloween discussion. 

Preparing for the worst. Pay down your debt or add to it? Deflation vs inflation… Effects on tangible assets. Equity investments... 

What economic conditions WILL destroy a hedge investment such as real estate? 

See you there!

Tuesday, October 17, 2017

Stories and Advice from a Roanoke Landlord Icon

Hello Everyone,

We’ve got a great meeting lined up for this week! I’m pleased to announce that we will have our good friend Dick Dearing as our special guest speaker.  

Dick has been in the landlording business from what I understand back in the 1970’s and has a significant amount of valuable experience under his belt. He’s been involved in many forms of landlording including residential, commercial, warehousing, etc. I always learn something talking to him as he is full of good solid advice most often through fascinating stories he has accumulated through his time in the industry. 

It’s going to be a fantastic meeting so if you have other plans… change them.

We’ll see you there!

Monday, October 9, 2017

Analysis of Wholesale Deals This Week At Real Estate Investors of Virginia

Hello Everyone,

This week our guest speaker will be our friend and member, Frank Erhartic. Frank is going to lead a discussion on wholesale deals. We will do an analysis on these types of properties that you get from wholesalers to determine if it’s a good or bad deal. This meeting will also help new wholesalers determine what their sales price should be. 

We’re going to break it down in at least 2 categories. 

1. A rental could make a great rental at the right price but a terrible flip as it may not be in the right neighborhood. 

2. A flip that was intended to be a flip that didn’t sell and was turned into a rental as a plan B could be a very bad deal and not cash flow. Which is why we have different buying formulas depending on if you are using the property as a flip or a rental. 

Come on out... It will be an interesting meeting to learn the groups different perspectives on the topic. 

A primer on this topic is here: Don’t be a sucker and pay too much. That’s to both you investors and wholesalers. Wholesalers, if you are getting rich off some fool paying you too much for every deal, their empire will eventually collapse due to being over leveraged and you will have to continually find new buyers. Not a good way to do business by driving someone financially into the ground. You’re best off being on the up and up and treating your buyers well by using your negotiation tactics to get the right price so everyone can make a little money. 

We’ll see you there!

Tuesday, October 3, 2017

Melvin Hill For Commonwealth Attorney, This Week at Real Estate Investors of Virginia.

Hello Everyone,

Our special guest speaker this week will be attorney Melvin Hill who is running as the Democrat candidate for Roanoke Cities Commonwealth Attorney. Melvin will be up against Independent incumbent Donald Caldwell. 

We also will likely have a moderated group discussion about various topics pertaining to real estate. 

Come on out and spend some time with educated like minded people just like you! We’ll see you there...

Tuesday, September 26, 2017

New Roanoke City Manager, Bob Cowell, Speaks at REI of Virginia This Week

Hi Everyone,

We have a fantastic meeting lined up this week with the new city manager of Roanoke City, Bob Cowell. 

Our former city manager Chris Morrill resigned “for another job” right after creating a 4 million dollar budget shortfall for next year and adding several million in additional spending for the city during his short time as City Manager.  His solution to pay for deep pocket spending was to add several new taxes to the citizens such as a rain tax, garbage tax, higher collections of fines and fees, etc. These are all things he did when he was the Assistant City Manager for Savanna Georgia. 

Our new city manager is known, in the City of Amarillo Texas, as the City Manager who was involved in many of the cities most expensive projects.  From development for the city of Amarillo to a downtown facelift. From development of their transportation infrastructure to it’s water and waste water operations. These are some of the projects that Mr. Cowell has spearheaded. 

It will be great to talk with the new City Manager about what he has in store for Roanoke. What plans he will be implementing for our housing stock. To increase property values across the city. What types of things he will do to fight blight and if he is interested in working with REI of Virginia to develop working solutions to do so. Former City Manager, Chris Morrill, made it clear, that he will never hold tenants accountable for their own actions, even though the city code says they have the right to do so. His response to that was he should take that statement in the Code out. 

Residential Landlords in Roanoke City own 63% of all of the property. Many neighborhoods numbers are over 85%. Due to this, any workable plan must have involvement from our organization. 

It’s going to be a fun meeting. See you there!

Monday, September 11, 2017

High Return Investment Opportunity In Renewable Energy This Week

 ****Meeting below rescheduled to this week due to flight cancellations last week.

Hello Everyone,

This week we will have our friend, Private Wealth Manager Andy Ingram, with one of the company founders from Greenbacker Renewable Energy flying out to meet with us.  

These days it’s been tougher to find attractive cap rates in real estate. This renewable energy asset added to your portfolio averages an outstanding 12.5 - 14% return and sends you dividends every month. 

Buy 2030 it’s estimated that 70% of new power generation will come from renewable sources. Greenbacker buys power plants that obtain their energy from things like wind, sun, dams, geothermal, etc. 

More information about Greenbacker Renewable Energy Company:L

Bio of our speaker flying in to meet with us:

David Sher – Director, Greenbacker Renewable Energy Company
Mr. Sher has been a board member since our inception in December 2012. He has served as Chief Executive Officer and a Senior Managing Director of GCM and Greenbacker Group LLC since August 2012 (having previously served as a Managing Director of Greenbacker Group LLC since February 2011), as well as a member of GCM’s investment committee. He has also served as Chief Executive Officer and as a director of GREC since November 2011. 
Prior to joining our company, Mr. Sher was a senior adviser at Prospect Capital Corporation, a mezzanine debt and private equity firm that manages a publicly traded, closed-end, dividend-focused investment company, from June 2009 to January 2011. Prior to joining Prospect Capital, Mr. Sher was a serial entrepreneur founding a number of ventures in the financial services and brokerage industry. In 2002, Mr. Sher was a founder and Managing Director of ESP Technologies, a leading provider of financial software and services to institutional asset managers and hedge funds. In May of 2007, that company was sold to a group of investors. Prior to co-founding ESP, Mr. Sher was a founder and CEO of an online brokerage company, ElephantX dot com Inc. Additionally, in September 1997, he co-founded, developed and managed Lafayette Capital Management LLC, a statistical arbitrage hedge fund. Mr. Sher also spent six years at Bear Stearns where he developed trading ideas and strategies for correspondent clearing customers from 1991 to 1997. Mr. Sher holds a Masters of International Affairs from Columbia University and Bachelor of Arts in Political Science from Rutgers University.
Mr. Sher was selected to serve as a director because he is our advisor’s Chief Executive Officer and has over 20 years of executive experience in various areas, having previously served as founder and CEO of several companies, including two broker-dealers. He has substantial private equity and investing experience involving originated loan transactions, including serving as a senior adviser at Prospect Capital Corporation, a publicly traded business development company (NASDAQ: PSEC). He also has experience working in the renewable energy sector, including a transaction involving the proposed sale of a 28MW biomass power plant to a private equity firm.

It’s going to be a great meeting. Come on out and learn about this investment opportunity. See you there!

Monday, August 28, 2017

Council of Community Services This week at REI of Virginia

Hello Everyone,

This week our guest speakers will be Dan Merenda & Mat Crookshank from the Council of Community Services.

Dan & Matt will be talking with our group about the services they provide. I have had many interactions with them over the years as one of their specialties is homelessness prevention. They have stepped in on several occasions with my residents and given them a helping hand catching them up on rent so they could get a clean restart when times get tough. 

They also put together various planning and programs specializing in other areas other than homelessness such as community engagement, information and referral and HIV/AIDS. 

Come on out this week to learn more about their services and how they can potentially benefit you and or your residents.

See you there!

Tuesday, August 22, 2017

Eliminating Bad Potential Tenants This Week at REI

Hello Everyone,

Do you do background checks on your tenants? Though the free courts website only? Do you need to also do one through a paid company? Are you taking a risk that they are a professional evictee from another state?Or that they are a violent criminal and that violence will be turned towards you when you make them mad as a result of evicting them due to non payment?

We have an important meeting this week about doing background checks. And our guest speaker will be property manager Jason Roggensee, owner of The Grandin Agency. 

Be there or be square!

Tuesday, August 15, 2017

The Virginia Eviction Process This Week At REI

Hello Everyone,

This week we’re going to have a presentation on the Virginia eviction process. I can’t think of any part of this business that I dislike more than filing for eviction on non paying tenants that refuse to get out when you have already terminated the lease…..But it has to be done. And it has to be done in a timely manor. 

Those of us that have done hundreds of evictions over the years have all learned some hard lessons. The purpose of this meeting is to prevent you from having to be taught these same lessons. 

Regarding filling out the paperwork, if it’s not filled out correctly you could be leaving money on the table and even worse you could have the whole eviction overturned. There is also a process, that when used, you can get paid on at least half of all of the evictions you have to file. Without garnishments. 

Come on out this week to pick up some tips that will save you time and money when dealing with bad or non paying tenants. 

See you there!

BTW, check out the video in the link below. Lead Safe Roanoke has more funding now. Which means you can get new windows and doors on your properties that qualify. Marla makes things real easy so this is not a program with a lot of hoops to jump through. Just a few. I have used it several times already and once this year. 

Monday, July 31, 2017

Deal Or No Deal This Week at REI

Hello Everyone,

We’ve got a fun meeting lined up this week. Our CTO Frank Erhartic is going to lead a presentation that will show you how to determine if you have a real estate deal, or you don’t. 

There are many different formulas that can be used in this determination and I’m assuming that Frank will be discussing them for both deals on rentals and deals on flips. And I’m sure there will be plenty of audience input. 

Going to be a great meeting. Y’all come on out!

See you there!

Tuesday, July 18, 2017

New Laws For Landlords This Week At REI of Virginia

Hello Everyone,

We have a super important meeting this Tuesday. Every year we have a meeting shortly after July 1st when new laws go into effect. This year attorney Darren Delafield is going to be our guest speaker. Darren will go over all of the laws that passed that are going to effect landlords.

This one is real important to ensure that your company maintains compliance with the new laws. Reschedule any other plans you may have. 

See you there!

Monday, July 10, 2017

Open Forum This Week At Our Real Estate Investors of Virginia Meeting

Hello Everyone,

This week we do not have a scheduled speaker so we will be having an open forum. Those of you who have been to these know that these types of meetings can be a lot of fun. This is where we talk about what you want to talk about. We will have several topics of discussion. This type of meeting can be highly informative. 

BTW, Spanky Macher, author of the book Slumlord Millionaire, asked me to let everyone know that he will be bringing books with him and if you would like an autographed copy he will be there to sign it. He didn’t sign mine which is irritating. 

Come on down for the weekly entertainment and learn some tips and tricks to operate your business efficiently so you can keep your money in your pocket where it belongs. 

See you there!

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