Tuesday, August 30, 2016

FUTURE ECONOMIC CONDITIONS - Great Depression Investing

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The future of the economy dictates how you invest your money. If you know and understand what’s happening you give yourself the capabilities to be positioned correctly and prevent any major loss to your investments. People who really know what they are doing and accurately predict the future will make themselves wealthy beyond imagine. And those of you who are riding by the seat of your pants………, you better hold on tight because there is a rocky road for you ahead. And you just may come out on the other side without a pot to piss in.

I’m going to lay out the basic principles for you here so you have the intellectual tools to judge what’s happening. If you are new to this please read it slowly, or read it a few times so you can grasp it. This knowledge will dramatically help your ability to accurately predict the future economy and understand what I’m talking about on future recommendations I give. This information is politically tied as a result of the Government as well as the Federal Reserve who have the strongest impact on future economic conditions.

Ok so our Central Bank, The privately owned Federal Reserve, supports Hillary Clinton winning and hates Donald Trump. Their main objective is to create low levels of inflation. 3 percent or so a year. The Central Banks across the world have supposedly found that a small amount of inflation is ideal as it spurs the economy. Yea so they are looking out for you. Not themselves. LOL. I would say truthfully it fills their pockets.

Those things being said, it’ is clear that they think it is in their personal best interest for Hillary to be president because she will create that inflation that they want. Inflation is a tax on your wealth. Inflation is profit on the Federal Reserve Note you see in the picture above. See on the top of the dollar where it says Federal Reserve "Note"? All of you who don’t know what a note is, its a loan. The 12 banks that own the Fed print money out of thin air and loan it to other banks and people through their individual banks. Then what they get back is that  dollar they printed out of thin air plus interest.

I know you are aware that back in the day money bought more. Back in the 50s a painter, working for a painting company, not owning it, could be the single bread winner in the family. His wife could stay home and care for the kids. That largely doesnt exist anymore.Both incomes are needed in order to survive. And that is in direct relation to the average 3 percent inflation that we get every year. Its 3% of the dollars buying power being taken away every single year and going into the fed and governments pockets. If you can understand and grasp this one single principle, it opens your eyes to whats happening. It took me quite a bit of reading and analyzing economic data from the top experts in the country until I got a handle on it .

When inflation is created by the Federal Reserve, the cost of goods goes up. Every year the cost of goods increases by an average of 3% as the dollars buying power decreases by 3% due to the higher cost of living in comparison to the new 3% lower dollar value. Then when the Fed prints money out of thin air adding a bunch of dollars to the system what do you think that does? That increase of supply of dollars in circulation makes each dollar less valuable as well.

Ill give this example to make it simple. We start with 10 dollars total and that 10 is to be shared among 10 people. Now I, acting as the Federal Reserve, will take money out of the system. I take 5 dollars out and that leaves 5 dollars to be shared among 10 people. So the value of those 5 remaining dollars significantly goes up since there are 10 people going for only 5 dollars. Now I add back 35 dollars. So now there are 40 total dollars in the system. And each person is competing to get as much as they can. Those 5 people that didnt have any money before will likely have a few dollars now. So there isn’t such great competition to get each dollar since there are so many more dollars in the system. Pay attention here and know these basic principles. Adding money decreases the value of the dollar. Taking away money increases the value of the dollar. Increased value of the dollar is increased buying power. Decreased value of the dollar is decreased buying power.

Heres one point to the contrary. Increased value of the dollar "in comparison to other currencies" where the dollar goes up but the rest dont, like what is happening now, is increased difficulty on American manufacturers selling their goods overseas. Their weak currancy compared to our strong dollar means they have to pay more of their weak currency to buy our products than they normally would. So the cost of our goods is much higher for them to buy. And if they cant afford it they cant buy it. Or they choose to buy the same goods from another country that sells them that now all of a sudden became real competitive. Now that the dollar went up in value in comparison to their currency. This is hard on American manufacturers. This is why China was intentionally keeping their value of their currency down. So they could be strong global manufacturers. This all making since now?

If you understand monetary policy and why they do what they do, along with what our future economic outlook is like, its easy to see what they are doing is for their personal best interest, not yours. And to sum it up, if they want Hillary to win the election, then is that in your personal best interest or theirs? If they hate Trump, is that in your personal best interest? Think about it...

Right now our future economic outlook is a long period of 10 or so years of World Wide Deflation. Great Depression type inflation. The Credit and Bond Bubble are going to pop. And proof of their inability to control it anymore is in the article below. During periods of deflation, the cost of goods decreases. The value of the dollar significantly increases, as it has been for the past several months. But when other currencies are also increasing along with the dollar its a wash so that doesnt have a significant bad impact on manufacturing. It only does when one currency breaks away from the others becoming stronger while the others stay down.

Fast hard and heavy deflation or inflation cause major problems. However opposite of what you have heard, "small amounts" of deflation personally benefit you. Your dollar has more buying power. We return to the times where one salary  can afford to manage a household. Etc, etc, etc… But it has to be small amounts at a time. Like 3% a year deflation. Not Depression type deflation which we are headed towards. One way to prevent Depression type inflation is to print money as adding money to the system creates inflation.

The key to economic health also includes the spread between our currency and other currencies. Manufacturing in the US was partially lost as a result of NAFTA but the Chinese wiped it out the rest of the way by being awarded Bill Clintons "Most Favored Nation" status for trade, and creating an artificial spread of value of their currency compared to others preventing manufacturing companies in the US and other countries from competing with them. Companies who couldn’t adequately compete any longer, and maintain a profit, REQUIRED by the stock market, moved their production out of the country.

So where have you personally directed your finger pointing as being the problem? Heres where I turn you Democrats away and prevent you from hearing a single word that you just read.

The Democrat party has told you to be mad at the companies, not the Government or the Fed, because they ended their manufacturing in the US to maintain their profit and keep stock holders from selling which would wipe out their company. And they did this as a direct result of Federal Reserve policy of whom is in bed with the Federal Government. Who do you trust? The government? Why has this happened? Is it because the Sheeple are blind? Are you one of the Sheeple? Do you have the ability to learn or will you be stuck in a hole forever?

I can honestly tell you that there are very few Democrats OR Republicans that actually know how this works. Do some research of your own and you will see I am right.

Central Banks Meet And Discuss Global Economic Conditions Below”:

https://ca.news.yahoo.com/global-central-bankers-stuck-zero-unite-plea-help-123135496--business.html?soc_src=social-sh&soc_trk=fb


Some facts about Depressionary economies. The last Great Depression we had a manufacturing base. The similarities were that it was also a borrowing / credit bubble that burst. Not credit cards then but rather borrowing from stores via “installment plans”. They made payments on the products they bought. This time around the difference is we have a service based economy and people aren’t prepared to take care of themselves as 1930’s people were.

Manufacturing:
- Cost of goods gets cheaper.
- Tighter financial constraints on manufacturers as a result.
- Manufacturers then fire workers to reduce costs of manufacturing.
- Unemployment soars.
- Countries put tariffs on one another to protect their manufacturing.
- Manufacturers call for lower minimum wages.
- They continue manufacturing products until they find out people can’t afford them so there is then a realization that there is a huge surplus of goods that can’t be sold.
- At the end they will destroy fields of produce, kill livestock, dispose of products etc to decrease the supply and increase demand bringing the prices back up. This happens at the very end. Last year proceeding a boom economy.

Banks:
- Home foreclosures are up as a result of lost jobs.
- Bank runs and bank foreclosures as a result of diminishing value of their ownership of companies securities that decrease in value.
- During the Great Depression almost half of all banks failed due to being invested in the wrong areas. Of those banks that failed, almost all of them were small rural banks. The 12 banks that own the Federal Reserve will never collapse because they will just print themselves more money.

Government:
- Governments across the world will become militarized and the chances of war greatly increase during world wide depressions.
- Tyrannical oligarchs are rapidly formed in these times. Bad for peoples personal freedom and liberty. The people who aren’t capable of helping themselves and desire to be on the back of another man getting a free ride are screaming at the government to help them and the government gladly steps up to the plate and strips away peoples liberty and freedom while imposing shocking laws and regulations.
- New expanded welfare type systems are put in place.

Real Estate:
- Rents go up and large cities will again attempt to implement rent caps and will again lose in court on their ability to legally do so.
- Land values diminish as the cost of growing timber and produce on them diminishes.
- Unemployment was at at roughly 40 to 50 percent, with black workers at 66 percent. Half of all personal loan companies loans were to people who where having difficulty paying for housing and food costs.
- Waves of evictions happened as landlords were focused on continuing to make their mortgage payments.
- Communists stood up and helped with rent resistance by battling the police when coming for an eviction as well as helping people physically move their property back into their houses when evicted.
- In apartment complexes there were rent strikes where the entire community refused to pay rent.
- Landlords often agreed to significant reductions in rent in order to slow the speed of evictions. So this says, those of you who didn’t buy with room and have a bunch of pigs for houses that don’t cash flow well are all going under. And banks that made loans to people like you will get sucked down with you.
- Governments start building massive low income housing buildings to take care of those that keep getting evicted. As well as we will have an increase in Section 8 spending. The government will put rent caps on what they pay out for assistance and there will be several years with no increase allowed if you want to participate in the program.
- Commercial property crashed as doctors, lawyers etc started practicing out of their homes.

Here’s some common sense advice on what to do now to prepare regarding your investments based on historic events.

We are coming up on Fall which will lead to the start of the winter dead season for selling property. My suggestion to all of you who have a few pigs in your portfolio, is to sell them. You will not be able to do it at the last minute as a result of real estate taking some time to unload. It’s better to sell them now when you can make some money on them than lose them later as a result of not having the additional funds to pay the note when you have tenants that can’t pay their rent, one after another.

If you have mortgages, you will be OK through this economic event if you primarily have good cash flowing properties that you will have the ability to accept half the rent and still cover your note as well as operating expenses, taxes, insurance, repairs, etc. I suggest that everyone spends some time soon getting all of your properties in good condition because there will be a spell of several years where most properties, landlord and owner occupied, will fall into disarray.

Monday, August 8, 2016

This Week The Differences Between Residential & Commercial Rental Property As An Investment

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Hi Everyone,

This week our special guest speaker will be our very good friend / REI member, Robert Young. Robert has many years of experience in both residential as well as commercial rental property.

He’s going to give us the rundown on the differences he sees with the two forms of rentals. Differences including things such as which is easier to rent, has better income, has better tenants that say longer, which is more competitive, which gives access to more capital, etc.

Going to be a great meeting.

We’ll see you there!

Tuesday, July 5, 2016

This Evening at REI of Virginia - Various Real Estate Valuation Formulas...

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This week Andy Stowasser will be giving a presentation on all of the various methods that a real estate investor could use to determine the value of a property.

Those methods include calculations such as the Capitalization Rate (CAP Rate), the Gross Rent Multiplier, Maximum Allowable Offer formula, Price Per Unit, Cash on Cash, Net Present Value, Internal Rate of Return, or various other methods.

Tuesday, June 21, 2016

Federal Judge Deems Utility Companies Billing Landlords For Tenants Unpaid Bills Illegal and Unconstitutional.

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I was sent this very interesting information by one of the biggest guru commercial landlords in the country. Our member, Ray Alcorn.

Philadelphia hero landlord, David Wolf, single handedly sued his local gas company who was billing landlords for tenants unpaid bills. He ended up having to take the case all the way to federal court. And the judge sided with landlords across the country deeming it an unconstitutional practice. This is a massive country wide victory for landlords. Now how hard are we going to have to fight in Virginia for our rights?

I suspect our politicians now will listen and make Virginia laws comply with the constitution. There are several common ways that all companies pay for their losses. NONE of them including billing a third party.

Us landlords get cosigners. Our gas company here gets a deposit that they have deemed as being high enough to cover any potential loss. Stores like Walmart charge a little more to the price of goods which covers theft. It’s such a small amount people don’t even notice it. Our Water Authority has a long list of things that they want us as a third party to do to cover theft and tenant unpaid utility bills. I have a message for them. Greed will destroy you!

See the article and video here of this fantastic story. I suspect there will be some big changes in our favor at next years Virginia General Assembly meeting.
http://6abc.com/news/judge-pgws-collection-process-unconstitutional-/1379561/http%3A%2F%2F6abc.com%2F1379561%2F

Western Virginia Water Authority Wants To Set Up A Deal With You To Pay For Their Losses.

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Senator Edwards sent me a proposal to send to our members. The Water Authority initiated an agreement that they would like to set up with landlords. Please see the attached file for the specific agreement word for word. I will summarize it here. Please send me your input so I can reply to Senator Edwards with comments from our members.

Summary:
Water Authority Agrees To…
* Refrain from filing liens on your property if your tenant doesn’t pay their bill as long as you agree to several things.
* They agree to increase the deposit so the tenants can pay for their own unpaid bills subject to their boards approval.
* They agree to provide notification to you if there is a leak at the property as they are ALREADY DOING for every homeowner in their area since we funded their electronic meters. 
* They will give you a leak adjustment for repairs as they are ALREADY DOING for all customers.

So to sum it up, on their end they are NOT AGREEING TO DO ANYTHING beyond what already is done for every customer OTHER THAN POSSIBLY boosting the tenants deposit to cover THEIR OWN unpaid bill and not giving you a lien because the tenant will be paying their own bill.

In Order For This Deal To Happen You As A Landlord Must Agree To...

* Let them know all of the properties you own.
* Let them know when you buy any new properties.
* Provide a lease when asked for a lease.
* When notified of a leak fix it.

All of the above seems to be very reasonable. Here are the questionable items that I need your input for Senator Edwards on.

* Agree to pay water and sewer bills whenever there is not an active account. So if someone is stealing water from the house between tenants it’s your bill to pay. If the water is cut off on your tenants and they don’t put a lock on the meter and your tenants turn it back on you agree to pay for that water too. Any time the water is off it’s your bill.
* Provide them with a higher $200 deposit per property, not to exceed $1,200 for all properties, that will pay any bill off that accumulates when the water is turned off even if they don’t adequately lock the meter and it is as a result of theft it will be your responsibility.
* You also must agree to replenishing this deposit within 90 days to keep a full deposit at all times that they can tap into as needed.

So I see this agreement as they will do nothing if you do all of the above. And they MAY increase the tenants deposit which they legally have the right to do making it so the tenant pays for their own bill, ONLY IF you agree to all of the above.

Please read the original attached proposal and reply to me with what you think of this proposal so I can get a general consensus from Landlords in Greater Roanoke on how you all feel about the Water Authorities offer. I am going to publish your comments. I will leave your name off for anonymity purposes.

It seems to me that the Water Authority is very proud of their recent win against landlords. It’s almost like they are gloating and saying while your hands are cuffed behind your back let us punch you in the face a few times and lets see how stupid you landlords are. How do you feel about this proposal? Please send me a short note with your comments for Senator Edwards so he can get a feel for what we think about it as a whole.

Tuesday, June 14, 2016

Attorney James Steele This Week at REI ~ Convicted Felon Rights… The new protected class.

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Hello Everyone,

Several people contacted me last week wondering why I didn’t write the agenda. And that was because I was in extreme mental distress. I had to take my German Shepherd to the vet to be killed. She died in my arms.

I’m one of those crazy animal lovers... That dog was like my child. There aren't many things on this planet that I loved more than her. She had really aggressive bone cancer and her pain got so bad that I had to give her my morphine to get her through the weekend. The Quellen and Tramadol that the vet prescribed no longer worked. Having to have her put down hurt me pretty bad. I’m just now, a week later, able to talk about it.

This week we have a great meeting lined up that you don’t want to miss. Our special guest speaker will be attorney James Steele. I met James a few months ago in a case where he was helping my tenants defend themselves against me. Not an easy thing for him to do considering the fact that I have been to court for Unlawful Detainer proceedings far more than most attorneys have. Fortunately we came to an agreement and the tenants ended up getting themselves caught back up. Since then they have been a pleasure to do business with.

James was a real nice guy as well.

I’ve been told that he will be coming to our meeting to discuss the new Virginia HUD mandate that requires you to rent to murders, child molesters, rapists, etc. If you don’t you can be charged with Fair Housing Violations. And if you do you will get sued by your neighbors when the child molester rapes the neighbors kid next door. Damned if you do, damned if you don’t.

I wrote an article about it a couple months ago here.
http://www.reiofvirginia.com/2016/05/you-now-have-to-rent-to-violent.html

This is going to be an interesting meeting. Come on out and hear James Steele’s take on this law and lets find out if he sees any angles that can be used to protect the neighborhood and your property while staying within the scope of the law.

Stay on top of what’s happening in our industry. REI brings you the best educational meetings that help you make money, save money and protect your money.

See you there!

Tuesday, May 31, 2016

Silver Street Painting Company & Discussion on Financing

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Hello Everyone,

I’m going to have to make it short and sweet this week.

I have been really stressed out lately because my girlfriend just got diagnosed with the worst form of breast cancer that a woman can get. Abnormal cell structure, doesn’t respond to hormones, grade 3 which is the worst. We did some research and found the best cancer hospital in the world which is in Houston Texas. She has been down there twice in the past couple of weeks and now just started chemo.

For icing on the cake, I also just found out that my dog has bone cancer. It is the most aggressive form of cancer a German Shepherd can get. She is 11 years old and the vet said he could cut her leg off but it’s real hard on a dog of her age to do that. He said he has found when doing so it will only give them an extra 6 months of life. And it will be a painful 6 months trying to learn how to walk with a missing front leg. Apparently a dog can get along better if it is their back leg that is missing. He recommended against it. That dog is like my child. She is with me all day every day and has been since I got her 11 years ago.

So that, among several other things, is what's stressing me out right now.

This week our guest speaker will be a woman named April Medeiros. April is the owner of a business called Silver Street Painting Company.  They work with non profits and hire felons in transitional living to teach them a skill so they can become good productive citizens. This may mean better prices. I don’t know. We will find out. April is going to have a short discussion about her company and what she can do for REI members.

Following that we will have a discussion on financing. That’s all I know. I can’t give you any more information other than that as that’s all I have been told.

Come on down and spend some time with fellow successful individuals every week at REI. Doing so will help you keep your head in the game and your eye on the big picture rather than the day to day business.

See you there!

Tuesday, May 24, 2016

Strange Landlords Website & Are You Getting Ready To Get Bit Or Licked?

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1. Interesting article by the Roanoke Times about a Floyd landlord, Mr. Amour Kasongo… who came from Rwanda and settled in Roanoke. He now owns 6 houses and set up a website called Yardstick that is supposed to be better than Craigslist as it doesn’t have the scammers. He says he only posts verified rentals to cut back on the scams where a person posts your house for rent using your ad and photos and charges several people deposits on it before they disappear.

He also said he is considering offering a years worth of rental payments for a tenant allowing them to repay Yardstick with interest. The idea is the landlord knocks off the last month of rent to get the guaranteed 11 months of payment upfront and he makes money from the one month you knocked off and interest.

I have plenty of 11 month deals for Mr Kasongo. The only Yardstick website I was able to find is https://angel.co/yardstick 

I don’t think the Roanoke Times did their homework. This looks like they are promoting a Nigerian scammer with a bunk website. Interesting how his last name is different on the website than it is in the article. Does the Roanoke Times check anything they write?

Here’s the original article from the rag.


Click Here!!!

2. Feds charge landlord for not allowing tenant to have a dog for emotional support. 
 Ladies and gentlemen. There has been an ongoing battle since legislation passed a couple years ago requiring landlords to allow pets for handicapped people without a pet deposit, pet rent, or pet fee of any kind. Even if you don’t allow pets in that property. The laws that our congressmen passed were very vague. So they left them open for interpretation. And what does the government do when you give them an inch? Yes, that’s right, they take a mile.

We all know that these laws weren’t initially intended to allow anyone that wants to, to scam their pet into a landlords house that doesn’t allow pets via a fake disability. They were intended for real disabilities and we all know that. All of us except the enforcers of the law. They are the only ones that don’t seem to get it.

Doctors are writing prescriptions to tenants for emotional pets like it’s going out of style. They don’t understand the implications of what they are doing. They don’t understand that their emotional pitbull isn’t allowed by your insurance company. And when their emotional pitbull bites someone, the person that got bit is going to get emotional and sue the landlord for everything they have.

People… I don’t have any problems with pitbulls so don’t get me wrong. I love all dogs. Any dog that is raised right can be man’s, or woman’s best friend. But your insurance company doesn’t trust them as well as several other breeds. And that causes a problem for you as a landlord. Especially when you can’t require, the supposed handicapped tenant trying to skirt your fees, to cary any special insurance or anything like that.

Any doctor that gives someone a prescription for a medical pet should require that that pet is certified for whatever particular medical purpose. That will end this problem for the most part. And we need laws in place that allow landlords to require special insurance on a pet that is not insured by their insurance company. It’s just common sense. Lets start thinking a little before passing bills in congress. Maybe we will be better off not passing any more bills at all and start working on eliminating bills.

Read the interesting article of typical government overreach below.
Click Here!!!

Understanding money this week at REI.... Debt, leveraging, financing, etc.

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This week at REI our special guest speaker will be Matthew Philmore of VIP Financial Education.

VIP teaches real estate investors how to accomplish the following:
Accelerating the payoff of all mortgage and non-mortgage related debt.
Maximizing monthly cash flow.
Increasing access to capital.
Accelerating the acquisition of investment real estate.
Increasing credit scores organically.
Unique and more effective budgeting.
Building Emergency reserves.

Matthew Philmore has studied under the founders of the FICO credit scoring system. He speaks nationally on the topics of credit scoring, debt elimination, fiscal responsibility and proper budget management.

He will be teaching the fundamentals of money, leveraging, taxes, and financing that are often not taught in schools. A good understanding of how all of this works together allows you to pay the least in taxes as a result of owning a business, create multiple residual income streams, own real estate free and clear faster than typical strategies, etc.

They are promising lots of good free information and techniques they call debt weapons that you can use at our upcoming seminar. We’ll see you there!

Monday, May 16, 2016

Know And Understand What Is Happening Politically To Position Your Investments So You Win!

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So, have you been thinking about buying some “safe guaranteed” government bonds or treasuries? How about some nice “safe” mutual fund that invests in bonds or treasuries? Lets look into the United States Debt and determine what you should NOT have your money invested in as we are in the middle of a government bubble. Smart investors never invest in a bubble. They buy at the bottom of the market after its popped.

US Debt and what it consists of:


It seems that most people I talk to know we have this massive 20 trillion dollar debt that Obama created but most don't know who owns it. Which helps in determining how it gets paid off, what gets negotiated, etc.

People act like China owns all of our debt but that simply isn't true. China did help cause our debt though. Their devaluing of their currency over the years helped create the debt along with reckless government spending and entitlement programs that aren't sustainable.

Over 5 trillion of the debt is owed to 230 federal agencies. This is Federal Debt to the Federal Government. These federal agencies bought US Treasuries. And the largest of all is Social Security at 2.8 trillion. You also have the military retirement fund, office of personal management, medicare, other federal government retirement funds, etc. Yes they do still have pensions set up for government employees and they will fight to keep their pensions rather than let them go into bankruptcy.

The rest of the debt is owned by the public. Of which 5 trillion is foreign public debt. Which mainly includes China and Japan. China's owed roughly 14% of the total debt and Japan 13% of the debt. 2.5 trillion of this public debt is owed to the Federal Reserve. I personally don't care about that. With their mismanagement of our economy they deserve to lose money. Especially when they are the ones that can print these notes out of thin air and require the US to pay them back interest on everything they print. As you probably know the Federal Reserve is a private business that is owned by the 12 largest banks in the US with insane powers no private business should have. So who cares about their debt. Besides the fact that their debt is interest we haven't paid them on money they printed. Federal Reserve "Note". They print and we pay them back the value of the currency plus interest. But they CREATED that currency out of thin air. How would you like the ability to print dollars whenever you want money. Then charge the people you give them to interest on what you printed. A huge scam.

Then we have 1 trillion that was bought by mutual funds. That would be the idiots that bought mutual funds that bought the debt. Would you buy government debt right now? If you would you deserve to lose your money. I don't care about their losses. I don't think we should guarantee anyone's bad investment. Maybe the day when the public starts guaranteeing my real estate investments is the day we guarantee peoples stock market investments. What kind of idiot guarantees someones bad investment?

Also in public debt there is local and state government pension funds. I also am not overly concerned about that. But I'm sure you are if you work for the government. You people need to stop this crap and set up 401K plans. What company these days still has pensions but the government? That total debt is 803 Billion.

Then you have banks that own 515 billion of public debt.

Insurance companies with 293 Billion

US savings bonds 174 Billion

Other (individuals, government-sponsored enterprises, brokers and dealers, bank personal trusts and estates, corporate and non-corporate businesses, and other investors) - $1.198 trillion

And that's the debt and who owns it. Now lets see what we want to guarantee and what we will negotiate. I personally think paying the people back for the government robbing them of their social security is important. Then government officials that bought treasuries with social security need to go to jail. Or better yet get on a payment plan to pay back what they spent. What do you think is important? And what isn't. I told you what I think isn't.

You Now HAVE TO Rent To Violent Criminal Offenders Or You Are In Violation Of The Fair Housing Laws.

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Several years ago we were ankles deep in police state type control of the people. We are now much deeper. More like waist deep. And it’s getting deeper by the year. The government has found that the more they push you the less you fight back. The people feel weak and hopeless. Like they can’t make a difference. That’s because the government no longer listens to the Will of the people. There was a day when government officials thought of themselves as civil servants. That they worked for the people. But today they are more like mini dictators that’s primary objective is to control the people.

They know better than you do how to run your life. Don’t you know that? The people are too afraid to fight back or do anything about it so on almost every occasion the government wins. In Virginia, they have now decided to issue a dictate stating that if you don’t rent to violent criminals, rapists and child molesters you can be charged with violations to the Fair Housing Act. And if you do you can be sued by the neighbors for your negligence. You should have never put a child molester next door to a child that got raped by them.

The world is crazy right now. The government on local, state and federal levels is operating with absolutely no since of reason or logic. For the past 8 years they have been pushing as hard as they can to take away your rights and now we are in the wake of some very serious damage to this country which is potentially beyond repair.

See below the details of the new government mandate that Virginia has dictated. Do you agree with it? I can’t think of a single landlord who would. I’m 100% on board with the existing protected classes that we have but adding criminals to the protected classes is shocking. I do not see a huge problem that has lead to all criminals having to live on the streets as a result of landlords not renting to them. They always seem to end up not having a tremendous amount of difficulty finding a place to live. There are plenty of landlords that don’t care.

The free market system should be allowed to operate without this type of government involvement. You as a landlord should not be FORCED to rent to a criminal if you don’t want to. It’s similar to the news where they were trying to force the cake decorator business to make a gay cake. If he doesn’t want to make one than go to another cake decorator and spread the word around that that’s a bad business. Then one of two things will happen. Either the general public will agree and not support his business or they will disagree and continue to do business there. In the end it should be the public that chooses, not the government.

We had some laws in the Virginia General Assembly that were an attempt to force landlords to rent to people with a different gender identity. The law added to the list of protected classes. I personally didn’t know of some major problem that existed with landlords not wanting to rent to transexuals. I actually don’t know a single landlord who would care. I personally love my gay tenants. As a whole they are typically very clean people and they take great care of my place.

Government intervention where it is not needed. It’s time that they government backed out of our lives and stopped this intense pressure of new regulation where regulation isn’t needed.
http://www.thenewamerican.com/reviews/opinion/item/23127-partisan-fairness

Landlord Entitlement Program That Will Make You Money This Week At REI of VA

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It’s nice to every once in a while be able to get back some of that hard earned money you give away to the government all year. It isn’t really an entitlement program but it sure feels like one. It’s very strange having the government actually put money back in your pocket. I’m so used to it being taken out. You will get the knowledge of how to take advantage of this program at this week’s REI meeting.

This week at REI of Virginia we are going to have our good friend Marla Robertson of Lead Safe Roanoke at our meeting. Lead Safe Roanoke is a Roanoke City government program that was set up by Marla and Ann Weaver.  These ladies apply for grant money which pays for lead abatement and encapsulation when the house has children in it 5 years of age or under, or if a pregnant female lives there. Right now they have funding again.

If you have lead paint on the walls or on a metal roof they will paint over to encapsulate it. They will also test the dirt around the house and if it has lead they will remove and replace it with several inches of mulch. If you have old windows or doors that have lead on them they will replace them as well. Painting over windows and door trim does not solve the problem. They have to be replaced. They are continually opened and closed which will rub the paint off and get back down to the lead paint again.

I have used this program several times and every single time the windows needed to be replaced and dirt had to be excavated around the house.

Come on out to our meeting this week to learn about this program so you can take advantage of it. There is only so much funding for this each year so you have to jump on it before it runs out.

See you there!

Tuesday, May 10, 2016

Roanoke City Election Results

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What a tight election that was. The votes were counted and recounted several times. John Garland and Trish White-Boyd were neck and neck. It turns out that REI of Virginia played a very important roll in this election.

This is a lesson to be remembered for all future candidates. You can not blow off the REI meeting if you are not the incumbent. We have 715 members in our organization. At least 1/3rd live within the city limits. It is a very bad idea to blow off the REI Small Business debate. If you don’t already have major support form being in office for several years, you may lose the election from not showing up to our debate. The proof is in the pudding below.

For Mayor the winner is:
Sherman Lea who got 82 %. Sherman was running unopposed. 17.8% of the public wrote in a different candidate. Surprisingly large number of people.

For City Council:
Anita Price               4,214 votes
Michelle Dykstra     4,143 votes
John Garland           3,534 votes - Showed up at REI Small Business Debate
Trish White-Boyd      3,487 votes - Wow that’s close - Blew off REI Debate
Freeda Cathcart          2,913 votes
Duane Howard           758    votes

REI of Virginia would like to congratulate the winners of the City Council and Mayor positions. Sherman Lea, Anita Price, Michelle Dykstra and John Garland. We know it was a long hard road for you. Now we hope that you will always act in the best interest of both the citizens and businesses. Creative thinkers are what we need. Relationship builders. A good relationship between local government, real estate investors & small business owners could make this city the Shining Star in the Valley again. 

How To Course on Airbnb ~ Limited Residential Lodging Act of Virginia

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 UPDATE: THIS LAW DID NOT PASS YET. THIS WILL SERVE AS A GUIDELINE FOR A GROUP CONSISTING OF HOTELS, ONLINE BUSINESSES LIKE AIRBNB, THE TAX MAN, CITY GOVERNMENTS AND OTHER INTERESTED PARTIES. THIS GROUP WILL REFINE THE LAW AND PROVIDE A FINAL VERSION NEXT YEAR.

Hello everyone,

This week we’re going to have an in’s and out’s meeting about airbnb. For those of you who don’t know, airbnb its similar to VBRO (vacation rental by owner). But it’s much larger. Airbnb is a website where people can stay in someones house rather than a hotel when they travel. It’s the home version of Uber. With airbnb you can rent out rooms in your own house for a night or for a few days, whatever you wish.

What a great way for someone to make a few extra bucks. Several people across the country are using airbnb to avoid foreclosure when times get tight. Or to have money to buy a new car or whatever. It’s a fantastic survival tool just like the Uber concept where you use your own car as a taxi and drive for a while when you’re bored or need some extra cash. My tenants can even make money to pay me their rent with this fabulous new tool.

Our officer, Sue Brocker, has been an airbnb host in one of her properties for a while now and she is making some good extra money doing so.

Roanoke City was trying to control the citizens by making them jump through hoops and pay several hundred dollars to file a legal notice as well as a non refundable fee to plead before the board of zoning appeals for them to graciously allow you to let people to come stay in your own personal home. As if any government official has the right to prevent you from having people over at your house.

Boy… were some of the city council members mad when the state made it a RIGHT for you to do this rather than a privilege in this years general assembly meeting.  I personally spoke with one of the currant councilmen and he was hot. I was essentially told this.… (How dare they do this to us. Airbnb loved Roanoke City and how we created an avenue for the citizens to be able to rent rooms out of their homes…. We were even contacted by them…. We are one of the few progressive cities to do this.… It’s not fair to everyone who thought they were moving to a quiet neighborhood and the next thing they know there is a lot of traffic coming and going from their neighbors house…. This is why the board of zoning appeals process is important.… It allows neighbors to have a place where they can go to stop things like this…. Dallas do you know the calls I’m going to get when people call me and tell me that they can’t stand all of the traffic coming out of that house next door? What am I going to tell them Dallas? I guess all I can say is what I so frequently have to say….. our state politicians decided that you neighbor has the right to have people over at their house and I can do nothing about it. It’s too bad for these people that I can’t help them anymore.)

All I can say is WOW. Isn’t that the perfect demonstration of how a fringe leftist thinks? That they actually have the right to be able to strip your property rights and your liberty away from you if they wish. Or if your stuffy neighbor wishes. Control is the name of the game for the far left guys. It’s all about keeping people under their thumb. And they do this under the guise of political correctness. They develop reasons why the government needs to govern. Why they need to control the people. To protect the victims… Don’t get me wrong, Republicans do this as well. Just not as much. The only political organization that is not focused on stripping your liberty away from you are libertarians.

These types of progressives are often very self important. I have been told by this city councilman, on several occasions, as we wrap up a conversation, in a jokingly way, to “stay out of trouble”. Haha, that’s real funny. Shouldn’t I be telling them that? I am the one that’s the law abiding citizen. He’s the one that better stay out of trouble. This $10 dollar buildings to friends program they set up very well could eventually end up landing some of them in prison. They don’t think so though. These types feel they are too important to get locked up but I can assure you that they aren’t. To take this further, I was told at the end of this particular conversation a few months ago by this councilman, “See, I will even talk with people of the likes of you Dallas.” Gosh that guy is a real comedian isn’t he?

Well, we have been lucky so far. Often when the city tries to strip away your liberty, it is given back to you by the state. Gosh those darn liberty loving people are always messing things up for the oppressors. The city now has no authority to force you to jump through hoops or prevent you from renting out your home to guests as it now has been deemed a right. As long as you are not infringing on the rights of others, they need to stay out of the way and focus on their multi layered pension programs, world class health care, and other ways of robbing you.

Ohh, did you just learn that I am not a fan of the government choking the life out of the citizens?

Facts about the new law that I gather:
1. Specifically prevents Any Locality from passing laws to prevent you from doing this in a residential dwelling no matter what the zoning is. Sorry Roanoke City too bad you aren’t allowed to control us.

2. Prevents the locality from forcing you to adhere to any zoning or licensing requirements that a hotel, bed & breakfast or any other like commercial organization has. They can’t legally impose any additional regulations upon you for doing this. The City was in hot water from what they were doing to the citizens of Roanoke so they immediately terminated their citizen control program.

3. As of now if you rent it out for fewer than 45 days they can not even consider it as a business to tax. However if it is occupied more than 45 days than they can tax you but it has to be done in a uniform manor among all operators which is you if you operate one of these temporary lodging facilities in your house.

4. Localities are allowed to place local ordinances related to noise, trash, health and safety, parking, yard signs etc but only if those ordinances effect not only the temporary lodging but the houses around it as well.

5. A locality can force you to get an insurance policy of a minimum of 500K liability coverage and if they require that and if they catch you not having it they can charge you no more than $200 per violation.

6. If you don’t pay your taxes on the 45 day or more annual stays they can put an ordinance in place that makes it so you are prohibited from operating this temporary lodging, that you can be audited by the tax man, and require you to register your name and address through an online portal maintained by the city or town.

7. This law specifically calls a tenant both a limited residential lodging operator and a primary resident allowing them to do this if they have lived in the unit for at least 60 days. However it also says that nothing shall be construed to supersede or limit contracts or agreements between or among individuals for the use of the property. So that says that if it is in your lease that they can’t act as a residential lodging operator than they will not be allowed to do airbnb. However if it is not in there they have the right to do so. I will be convincing all of my tenants when having difficulty with rent or losing a job that they should consider making some extra money with airbnb and Uber.

8. If it’s in a homeowners association or condo association contract that you can not do this than you can’t do it. As that is also a contract between parties.

9. The hosting operation such as airbnb or VRBO has to register with the state and collect taxes for them. That will automatically come out of the portion of money they keep.

10. This law does not say anywhere that I see that you can’t do this in one of your rentals. The city before was making requirements that you have to live in the house to do it. I see no requirement such as that in this state law.

11. They will revisit this in 2017 and determine if there needs to be changes made after meeting with a group consisting of the hotel industry, hosting operation, local government and local tax officials, property owners and other interested parties.

Come on out to this meeting. It’s not going to involve all of these details. I am giving those to you now. We’re past that at this point. Save this email for reference. The focus of our meeting is how to use programs like airbnb to make some extra money for yourself. This could even be a great way for a person just getting involved in real estate investing to save up for their first rental.

Going to be a fun meeting, see you there!

Thursday, May 5, 2016

Wholesale Deal ~ Highly Motivated Seller! BUY THIS PROPERTY YOURSELF OR JOIN UP WITH OTHER REI MEMBERS AS A GROUP INVESTMENT

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Hi Dallas,

Some time ago I mentioned that my wife was undergoing some serious medical issues that required an operation to hopefully rectify an non-functioning pancreas. Unfortunately, a subsequent M.R.I evaluation indicates that the operation was unsuccessful. Understandably, this dire news will require that we be available to secure other options and resources worldwide, to hopefully remedy or belay her critical situation. To accomplish this I have made the radical decision to free up all my financial obligations in my investment properties, at all costs, within the next 30 days.

To do this I am offering the following unprecedented investment offer to your R.E.I. members for consideration:

I am prepared to take a significant loss on my initial investment] by reducing my original selling price on my 22,000 sq. ft. buildings from the already low price quoted to R.E.I. of $599,900. down to $463,800., which is the balance of my mortgages and loans. This is an additional $136,100. reduction savings, and lowers the dollars per square foot to an unheard of $21.04 per sq. ft. -  which is more than 50% below all local Botetourt comps. It also means that, at this lower price, the investment “in-cost” of the four buildings calculates to only $115,000. per building. There isn’t another commercial building in the State of Virginia that can be built at this “bail-out” price! And, if there ever was a commercial  investment property more structured to group investment participation of your membership, this is the one.

Group investment Calculation:
Original Sale Price of 22,000 sq. ft. building of $599,900. Reduced Down to $462,800. + include $37,200 for roof repair & closing costs = $500,000. Gross sale price.

Divided into 25 group investment units @ $20,000. Each. [This can allow each investor to choose how many units they want to participate in]

OR, Financed on a 20% down Payment [$100,000] = only $4,000. per investment unit. Balance as a group mortgage loan.

Marketing and/or Exit Strategy:
1. Quick Flip Sale at a reasonable $650,000. = $186,200. profit [40% R.O.I.]
2. Quick Flip Divide & Sell 4 Bldgs. individually at $839,600. = $375,800. profit [81% R.O.I.]
3. Develop Property into Antique Mall & Sell at $930,000. = $466,200. profit [101% R.O.I.]
Dallas, from my many years of experience in commercial investments I must say that there is absolutely no downside to my exceptional offer. Additionally, I sincerely believe that the investment that I am forced to propose, for closing within the next 30 days, may very well be an attractive vehicle to get your members more comfortable with group commercial investments, with no singular liability exposure. Honestly, if I could, with the projected economic growth in the county, over the next few years, I would be investing in as many residential and commercial properties as possible.

As always, I would certainly appreciate your valued thoughts, and/or, assistance in this critical matter.
Sincerely,
Ken

Additional Investor Information – Commercial Investment Valuation:
Based on R.E.I. 65% valuation method >>                    $987, 243.
Based on R.E.I. 50X rental method >>>>                    $1,220,000.
Based on Insurance buildings replacement value >>   $1,320,000.
Based on $75. per sq. ft. building costs value >>         $1,650,000.
Lowest $ per sq. ft. costs of ALL Botetourt Commercial Comps                

County Demographics
Over the next 3 to 5 years, Botetourt County is poised to experience the largest growth in county history. They have:
a low unemployment rate;
high number of high quality jobs;
utility costs among lowest in U.S.;
cost of living much lower than national average
low taxes & fees;
VDOT daily traffic count for Roanoke off I-581 Approx 35000 vehicles, while for Botetourt off I-81 Approx 25000 vehicles.

Future County Commercial Development Projects:
New multi-million dollar Wind Farm project;
Arkay Packaging will invest over $10 million dollars creating over 50 new jobs;
Capco Machinery will have a $4.2 million expansion, creating over 40 new jobs with an average wage of $60,000.
NBG Holding will invest $5 million creating over25 new jobs with an average wages of $75,000.;
Dynax America is investing over $32 million creating over 75 new jobs;
Virginia Community College System has signed a lease 200 jobs;
Eldor Corp is investing $75 million creating over 350 to 650 new jobs with an average wage of $38,000.;
Fralin & Waldren have an ongoing extensive commercial building project in Daleville Center;
The Exit 151 interchange project involves $220 Million in Construction Costs;
Botetourt County has funded an aggressive development plan called the “Exit 150 Gateway Project.”

Taking into account all these demographic factors, an informed investor may consider Botetourt County as an extremely favorable area for residential and commercial investments.

CONTACT:   Kenneth Bray
                    540-591-9021
                    brayk@glowarama.com

Tuesday, May 3, 2016

Predicting The Future?

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How would you like to be able to predict the future?

To know today what you should buy to make the best return on your money over the next twenty or thirty years. Should you buy low priced, high rate of return properties in depressed parts of town? Old Southwest used to be a depressed neighborhood. Or more expensive, lower rate of return properties in an already well established more desirous part of town?

Andy Stowasser is going to do a mathematical analysis and lead a discussion to look at the pros and cons of both scenarios.

Come on out this Tuesday for our educational discussion that will show you where in real estate to invest, based on your own unique situation, to accomplish your personal goals.

IF YOU LIVE IN THE CITY DON’T FORGET THAT TUESDAY IS ELECTION DAY AND YOU NEED TO VOTE!

Last week we had a good turnout for our Small Business Owner City Council Forum. For the next election the word DEBATE will be in it as several of you have requested, not Forum.

I would like to congratulate all of the candidates that were not afraid to come and talk with our group and answer a couple semi difficult questions. The candidates that showed up at our meeting displayed to our group that they are strong enough to tackle issues that are important to what is likely the largest single location small business group in the entire state, AKA, REI of Virginia.

Overall the candidates agreed upon several important issues. They don’t feel that it is in the best interest of the tax paying citizens to give property we own away to friends for 10 dollars. That was clearly a bad decision of the currant city council. 10 dollar buildings to friends has developed into regular yearly commonplace within our local government and the overall consensus was it needs to stop.

They obviously also all strongly felt that jobs are key to our economy. The differences lie in exactly how jobs are created.

Below is a link to a poorly written article by someone who is clearly not an entrepreneur, acting like they are an economic analyst. In this Roanoke Times article they made sure the name was removed from the article so their reporter wouldn’t be ridiculed for their ridiculous stance. The writer cited a dirty politicians engineered statistics that were designed to fulfill his pet project as evidence.

He / She essentially says that nothing can be done regarding keeping jobs in Roanoke and it is painful to him / her that the small business owners in REI of Virginia don’t know that. That it’s an “unhealthy fixation” to even think that the city could have asked companies like Advance Auto Parts or Norfolk Southern what can be done to maintain a great business environment for them here in the city. They further imply that our great leaders have done the best job that can be reasonably asked. Typical garbage that you can expect to read from the local rag.
http://www.roanoke.com/opinion/editorials/our-view-an-unhealthy-fixation/article_eb1dc8cc-1409-53f0-90cf-5eae74f8fae9.html

The candidates that were not afraid to discuss business issues, in no particular order, include:

(I’m making an effort to define the write in’s and independents politically from what I have seen. You may have a different impression.)

Jim Garrett (Conservative Republican Write - In Candidate for Mayor AND City Council) The Republican Party asks that he is written in with no other candidate being chosen. They feel that this will give him the best statistical shot this late in the game.

Martin Jeffrey (Write In Candidate - Previously ran as Independent / Democrat in other elections. Former NAACP Branch President. Martin had some great answers to our questions.)

Freeda Cathcart (Currently running as an independent. Freeda is clearly Democrat)

John Garland (John I would say is a moderate Republican. John has a fascinating video here on saving Happy’s :-)
https://www.facebook.com/savehappys/

Duane Howard (Duane leans primarily Democrat but has some republican viewpoints mixed in. I would say Duane has done the most in support of the neighborhood groups over the years.)

Michelle Dykstra came to our meeting prior but did not stay for the debate. I have briefly talked to Michelle. I would say she is a Democrat by my conversation and the way she answered other forum questions. She has been known during this election as one of the most well spoken.

The candidates that did not show up were Sherman Lea, Anita Price and Trish White-Boyd. I have been told that anything that Anita does, Trish does. Anita decided she didn’t want to be questioned on business related issues. So the two of them didn’t show.

I have had lunch with Sherman Lea a couple of times. Sherman didn’t do as we agreed which was to assist with getting REI of Virginia one of the City Council Appointed Water Authority board seats so we have at least 1 landlord as a representative, however I can honestly say that I didn’t follow up with him much. A couple attempts and I gave up feeling that he wasn’t going to honor his word. Maybe one day he will revisit that issue with us.

Sherman is a landlord. As is Mayor Bowers. Most people involved in politics are as it seems. Primarily on a national and state level.

A few of us spoke with Sherman’s son after the REI debate. His mom / Sherman’s wife, has been in the hospital all week. So that is what I am told why he didn’t come.

So that’s the rundown on the candidates. Please vote for who you feel will best represent our entrepreneurial endeavors.

Thursday, April 21, 2016

April 26th City Council Candidate Debate Hosted This Week At Corned Beef & Co. ~ Don’t Miss It!

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REI of Virginia will be hosting the Tuesday, April 26th, City Council Candidate Debate. The debate will take place at Corned Beef & Co., 107 S. Jefferson St., Downtown Roanoke City from 6:30 pm to roughly 8:00 pm.

This is one of the final debates before you vote for your favorite candidate. This is a public debate and everyone is welcome. The questions all pertain to business, jobs and real estate related issues. The media has said that the candidates are very similar and don’t have many differences. The debate questions were designed to draw out the differences so you can select the candidate that most agrees with your perception on how Roanoke should operate.

This year we could coin this election as the neighborhood support election. The candidates have, more than previous elections, made it crystal clear at several of the debates that they all whole heartedly support the neighborhoods. Time will tell if that comes to fruition. At this debate we’re going to find out if they show the same love for business.

A couple of the highlights that have happened so far in the election include all of the candidates stating that they supported Roanoke City being a Sanctuary City for illegal aliens but several rebutted. They also all took a firm stand against a Roanoke company called SafeSide Tactical who legally and constitutionally sells guns. We’re going to find out what other businesses they don’t support if there are any and what types of businesses they encourage in the city.

There are lots of great questions at this debate that will differentiate the candidates. The candidates are going to give you their ideas on neighborhood blight in some of the low income neighborhoods in the city and how to fix it. Do we focus on stronger punitive methods of forcing compliance with state codes or are there positive reinforcement solutions? Is the city taking part in corporate welfare or do we need to give handouts to get jobs?

Both businesses and the citizens have been burdened with higher tax rates over the past few years while times are still tough for most. Do our candidates have any ideas on what we can do to prevent future tax increases or do they have plans to repeat the actions of the past?

We’re looking at the future of Roanoke at this meeting and making plans to undo damage from the past. Our candidates have ideas on bringing more jobs to our community and they are going to give us some hints on how they plan to do it.

This is expected to be one of, if not the largest, debate of the election. Don’t miss it! Get there early so you can get a good spot. The room will hold roughly 150 people maximum. We will start at 6:30 pm sharp.

Be there or be square…

UPDATE:

THE POST ABOVE IS NO LONGER VALID.

I wrote some tough questions but they were mostly stricken from our meeting. Taken out with not a shred of conversation with the officers prior to doing so. The new questions were written up and sent right out with no discussion and an email to me stating they have been changed.

I personally feel that each of the candidates are strong enough to have a real debate with hard questions. They are not afraid to answer real questions. The only ones who may be are the two incumbents as some of the questions bring up questionable history of Roanoke that they were involved with. Ohh well, you make your bed you should have to lay in it. And I’m sure the media would be very curious as to why they didn’t come if they refused to do so especially considering there are questions that they should be answering.

The public wants a real debate. All over Facebook and comments to articles in the paper people are saying so. The candidates also want a real debate. I have been personally told by 3 of them that they want a real debate. And more evidence of this is John Garland actually shared the article I wrote above on his Facebook. He is clearly not afraid of answering difficult questions about how he feels on any issue. Even the Roanoke Times was complaining about the lack of questions that demonstrate the differences in the candidates. Which is as a result of having a bunch of forums instead of debates. The Williamson Rd Business Association even had rules on the candidates such as not allowing them to talk about what has happened in the past or specifically target another candidate in the questioning. Bad, bad, bad!

I created that real debate that would have forced the candidates to show their true colors. To show who they really are and how they will treat business. To demonstrate if they will only be supportive of the neighborhoods or they feel that business plays a very important roll in the health of a city. Unfortunately my questions were largely destroyed. Here I will post my initial debate questions and following will be the new supposed improved forum question.

BTW, I’m not saying that my questions couldn’t have been slightly tapered back even though they probably didn’t need to be at all. I actually encouraged that. But radically changed to weak forum questions that prevent a real debate without a shred of discussion prior to sending them to the candidates. Absolutely not… That was unacceptable!
_______________________________________________________________
My Debate Questions:

1. This election, more than others, there has been a very strong emphasis on support for the neighborhoods. It seems that there has been a lack of the same enthusiastic focus for specific ideas the candidates have to encourage the growth of business. All of the candidates at the Park Dance Club debate came out against the business SafeSide Tactical who stated they would eventually employ 50 people.

Question:
Are their any other types of businesses that you will stand against as a result of your beliefs and what types of businesses do you intend on encouraging?

APPARENTLY IT’S REAL BAD TO SHOW THAT THE CANDIDATES DO NOT SEEM TO BE SUPPORTING BUSINESS AND GET THEM TO TALK ABOUT IT TO GET COMMITMENTS FROM THEM THAT THEY WILL. IT’S ALSO APPARENTLY BAD TO GET THEM TO EXPLAIN IF THERE ARE ANY OTHER BUSINESSES, OTHER THAN A GUN SALES BUSINESS, THAT ARE CONSTITUTIONALLY PROTECTED, SELLING LEGAL PRODUCTS, THAT THEY WILL NOT SUPPORT. THIS QUESTION EVEN GIVES THEM AN OUT ASKING THEM TO EXPLAIN WHAT KINDS OF BUSINESSES THEY WILL BE SUPPORTING.

THE ROANOKE TIMES ASKED THAT SAME EXACT QUESTION I DID. BUT APPARENTLY I AM NOT ALLOWED TO ASK IT AND THE NEW REPLACEMENT QUESTION BELOW IS BETTER. AS IF THEY HAVEN’T ALREADY BEEN ASKED THAT AT EVERY SINGLE FORUM THEY HAVE DONE. THIS IS A DEBATE NOT A FORUM.

NEW QUESTION:
What are your short term goals for the City of Roanoke?
_________________________________________________________________________
2. The city has for a long time had a policy of selling tax payer owned buildings and land that often has hundreds of thousands to millions of dollars in value to select investors. Examples of this would be the sale of the YMCA building for 10 dollars of which REI of Virginia had an offer on for 50,000 and the Health Department building sale which was another 10 dollar building among many others.

Question:
Do you feel that it’s in the best interest of the tax payer, who is the real owner of the property, to advertise these properties for sale on the same scale that the city advertises a tax sale and sell it to the highest bidder? And does the local neighborhood have the right to decide what type of business is best suited in the building or on that land? If so, how will that process be enacted?

THE NEW QUESTION BELOW IS SIMILAR. THERE IS A REMOVAL OF SPECIFIC EXAMPLES AS IF THEY ALL MONITOR OUR INDUSTRY AND ALREADY KNOW. AND REMOVAL OF THE QUESTION IF THE NEIGHBORHOOD GROUPS SHOULD BE ABLE TO DICTATE WHAT TYPES OF BUSINESSES EXIST IN A COMMERCIALLY ZONED AREA. I GUESS I’M OK WITH THAT GONE.

NEW QUESTION:
The City has a long standing policy of selling tax payer owned buildings and land to select investors for $10.00. Do you feel this a good policy or should these properties be sold the same way the city advertises and sells tax sale properties, to the highest bidder?
__________________________________________________________________________
3. Businesses and the citizens of Roanoke have been burdened by several additional taxes recently such as the raised property taxes, higher meals tax and a brand new rain tax.

Question:
If you were elected to the city council do you feel like there is still room for additional taxation? Have you looked over the city budget to find any areas in particular that you feel we could make some cuts to avoid new taxation or reduce taxes to their original levels? Or do you see tax reduction as not being feasible with todays scope of government?
Second part of the question, How would you replace taxes when there are lost revenues from lower property values or other things such as the Norfolk Southern lawsuit where they are expected to win against the city on gravel being a surface that water will penetrate?
I GUESS WE WILL NEED TO SETTLE WITH THE NEW HIGHER LEVEL OF TAXES AND NOT BE CONCERNED ABOUT THEM GETTING BACK DOWN TO WHERE THEY WERE AS THAT QUESTION WAS REMOVED.

HE ALSO TOOK OUT THE RAIN TAX SPECIFICS WITH THE NORFOLK SOUTHERN QUESTION. IF NORFOLK SOUTHERN WINS THIS LAWSUIT AGAINST THE CITY THERE WILL BE A SIGNIFICANT AMOUNT OF GRAVEL DRIVEWAYS, ETC THAT WONT BE TAXED. IF THE CITY LETS NORFOLK OFF AND CONTINUES TO TAX EVERYONE ELSE I KNOW SEVERAL PEOPLE IN REI THAT WILL PUT DOWN THOUSANDS OF DOLLARS EACH TO SUE THE CITY FOR THE REST OF THE CITIZENS. IT WOULD HAVE BEEN NICE TO SEE FROM EACH CANDIDATE IN THIS SPECIFIC EXAMPLE IF THEY WERE PLANNING ON REPLACING IT WITH MORE TAXATION OR IF THEY WOULD MAKE BUDGET CUTS TO COVER THE LOSS.

NEW QUESTION:
Are you aware that this organization’s members own over 70% of the real estate in the City and are the largest real estate tax payer? In the past few years we have been burdened by several additional taxes such as an increased tax rate and rain tax. If you are elected to the City Council, do you feel there is still room for additional taxation? And have you looked at the city budget to find areas to make cuts and reduce taxes?
__________________________________________________________________________
4. Businesses fund the largest portion of the city budget, and are clearly important to the health of the city. It’s commonly discussed among business owners that the city seems to have an attitude of what they can do to prevent a company from doing business by putting continual road blocks in the way of progress rather than encouraging a company to grow their business. These pressures come from various departments including taxation, zoning, building inspections, code enforcement, fire marshals, etc. We have all heard fellow investors say they will never buy another property or open another business in the city as it is much easier to deal with the surrounding areas.

Question:
Do you have any ideas on what you feel will help create a more positive relationship between businesses / investors and the city? And do you feel the economic development department of the city is doing an adequate job at both growing the number of businesses and jobs in the city as well as talking to businesses to see how the city can better work with them to create a thriving environment that they will not want to leave?

REMOVAL OF ALL EXAMPLES SO CANDIDATES COULD REASONABLY THINK THAT THERE ALREADY IS A POSITIVE RELATIONSHIP BETWEEN THE CITY AND BUSINESS. NATURALLY SOMEONE WHO IS NOT IN BUSINESS WOULD THINK EVERYTHING IS A-OK. WHY IS THIS NEW QUESTION BELOW ASKED TWICE. ONCE HERE AND ONCE IN NUMBER 7? I DIDN’T ASK ANY QUESTION TWICE. WHAT ARE WE DOING THIS IS CRAZY…

NEW QUESTION:
What are your ideas that will help create a more positive relationship between business / investors / landlords and the city?
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5. Cities, counties and towns across the country have various plans in place to bring jobs to their town. It is of upmost importance to our organization that our city council candidates know and understand how to create an environment that brings jobs as a rising population will increase the value of property for everyone. Towns across the country have varied programs they have created to bring jobs. Camden Maine offers 3.5 acre lots to families for free who are willing to bring jobs to the region. Several towns have tax incentives to businesses that will relocate to their area.

Question:
Why do you feel the Roanoke area has had so many large job losses, what can be done to prevent companies from wanting to leave, and what ideas do you have to direct your city manager to implement that will lead to a net increase in jobs for the city?


CUT BACK SOME BUT NOT MUCH. HE TOOK OUT WHAT IDEAS THEY HAVE TO INCREASE JOBS DURING THEIR TERM AS IF THAT ISN’T IMPORTANT.

NEW QUESTION:
Why do you feel that the Roanoke area has had so many large job losses, i.e. Advance Auto, Norfolk Southern? And what can be done to prevent companies from wanting to leave?
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6. The Deschutes Brewery deal which seemed to come just in time includes a 3 million dollar contribution from the states Commonwealth Opportunity Fund and a host of other incentives that sweeten the deal. They were given a tax payer owned parcel of land worth roughly 2.75 million, a grant of about 140,000 from the cities Enterprise Zone Program and a performance based grant from the city through the Economic Development Authority of roughly 1.4 million and a couple other performance based grants that total $225,000. The city expects to spend another million to extend the Tinker Creek Greenway to their facility.

As of now we are looking at giving Deschutes Brewery roughly 7 and a half million dollars in trade for their production of a 85 million dollar brewing facility and 108 jobs for citizens of the area .

Question:
Do you see large donations of tax payer money like this to companies as corporate welfare or a necessary method of attracting jobs? And if this is necessary do you have plans that you will use to continually fund these deals. Or do you feel there are more cost effective ways of attracting large or small employers?

OK SO ANDY HIMSELF ASKED THIS QUESTION. I DID THE RESEARCH ON IT FOR HIM HE THOUGHT WE WERE PAYING 1 MILLION TO BRING THEM HERE AND THE REALITY IS MUCH MORE. MAYBE THE ANSWER IS CORPORATE WELFARE IS A GOOD WAY TO GET NEW BUSINESS TO ROANOKE. IF IT IS I HAVE NO PROBLEM WITH IT. NEW JOBS PERSONALLY BENEFITS ME AS MY PROPERTIES INCREASE IN VALUE.  THIS IS SOMETHING THAT SHOULD BE DISCUSSED. NOT HIDDEN FROM. MAYBE THERE ARE IDEAS TO BRING EMPLOYERS HERE AND PAY THEM NOTHING THROUGH GIVING MAJOR TAX BREAKS. I DON’T KNOW. ALL I KNOW IS IT IS IMPORTANT AND ASKING ANOTHER OF THE SAME QUESTIONS THEY ARE ASKED AT EVERY “FORUM” IS NOT NECESSARY AND NOT IMPORTANT AS THEIR ANSWER IS ALL OVER THE INTERNET ALREADY. I RESEARCHED THIS BEFORE I WROTE MY QUESTIONS. THE QUESTION CHANGER DIDN’T CHECK TO SEE IF THEY HAVE ALREADY BEEN ASKED.

NEW QUESTION:
How do you differentiate yourself from the other candidates?
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7. Some neighborhoods throughout the city have dilapidated housing. This is a result of a small minority of landlords as well as owner occupied properties which often consist of elderly or people living in poverty who don’t have money to fix up their house or SIMPLY DON’T CARE. 30 years ago the entire Roanoke City Code Enforcement department consisted of 4 hard working people. Today the department has ballooned to over 20 people but the neighborhood blight issue remains.

Question:
What do you feel will be the MOST EFFECTIVE method to get a landlord OR citizen to rehabilitate their property BEYOND the currant minimum state code to create an up and coming “this is the place to move to” type neighborhood? And do you feel that increased punitive measures such as fines are the best way to motivate people or some form of positive reinforcement and please give an example.

FORGET ABOUT THE PAST IN THE NEW QUESTION. I GUESS IT’S MEANINGLESS THAT THE DEPARTMENT HAS BALLOONED IN SIZE. THE NEW QUESTION ASKS THE SAME EXACT THING AS NEW QUESTION NUMBER 4 DOES. WHAT WOULD YOU DO TO IMPROVE RELATIONSHIPS? WHY TWICE? I THINK THAT IS AN EXTREMELY IMPORTANT QUESTION I WROTE AS MOST OF THE CITY ALREADY IS FIXED UP TO THE CURRANT MINIMUM CODE.

THE PROBLEM IS THE NEIGHBORHOOD GROUPS ALL WANT TO BE THE NEXT OLD SOUTHWEST. THEY WANT PEOPLE TO TAKE THE PROPERTIES AND TREAT THEM LIKE THEY LOVE THEM. TO PRETTY UP THE NEIGHBORHOOD AND MAKE PEOPLE WANT TO LIVE THERE. THIS REQUIRES TAKING THEM BEYOND CURRANT CODE.

SEVERAL OF THE NEIGHBORHOOD GROUPS WANT TO DO THIS THROUGH PUNITIVE METHODS AND EXTREME FINES TO LANDLORDS AND CITIZENS. THEY ALSO WANT TO PRESSURE OUR SENATOR AND HOUSE MEMBERS TO CHANGE LAWS TO MAKE THEM MORE RESTRICTIVE TO EVERYONE.  I THINK POSITIVE REINFORCEMENT METHODS ARE THE ONLY EFFECTIVE WAY TO GET PEOPLE TO FIX THEIR PROPERTY UP BEYOND CURRANT CODE. ANDY HOWEVER THINKS THIS QUESTION IS BEST OFF BEING LEFT OUT AND ASK THE SAME EXACT THING AS NEW QUESTION NUMBER 4. HE ALSO UNINTENTIONALLY IMPLIES IN HIS QUESTION THAT LANDLORDS ARE THE ONLY ONES WHO HAVE PROPERTIES THAT AREN’T FIXED UP AND THAT SIMPLY ISN’T TRUE. IT IS BAD TO EVEN GIVE THAT IMPRESSION TO PEOPLE.

NEW QUESTION:
There are many blighted areas in the City. Many individuals have stopped renovating these properties due to the extensive government bureaucracy in doing so. What would you do to improve relations with the landlords in the City and improve these neighborhoods?

Apparently there are some people in our group that think all of the candidates are so weak that none of them will come if they are asked tough questions. I honestly think they are strong enough to give a good reason why they believe something contrary to what others believe. There are plenty of people in Roanoke that will be on their side.

These candidates aren’t only here to talk to us. They are encouraged to say whatever they HONESTLY feel. ALL of the media was invited. There will be media there and they should be answering and talking to the public. Not to us. They should be telling the public what they think they want to hear to get themselves elected. Which is not necessarily what you or I want to hear.

These candidates are strong enough to be able to stand behind their beliefs. Treating them like weak timid little children is unacceptable. The DEBATE questions should be asked. Not the new forum questions along with the same questions they have been asked everywhere. And this NEVER should have happened without prior discussion.

OK IM DONE. YES I’M PISSED OFF ABOUT THIS AS YOU CAN TELL. AND I THINK RIGHTFULLY SO.  I WILL GET OVER IT AND WON'T BE MAD AT ANDY FOREVER EVEN THOUGH IT IS EXTREMELY IRRITATING.OVERALL HE IS A REAL GOOD GUY OTHER THAN THIS BIG SHOCKER OF A SURPRISE. I THINK HE DIDN'T THINK THIS THROUGH BEFORE CHANGING AND SENDING THOSE QUESTIONS. THERE SHOULD HAVE BEEN SOME DISCUSSION. WE WILL BE BEST OFF SWITCHING BACK. AT LEAST THATS WHAT EVERYONE I HAVE SHOWN IT TO HAS SAID. AND I'LL BET THE CANDIDATES AGREE AS I DON'T THINK THEY ARE WEAKLINGS. AND THOSE THAT ARE I WANT TO KNOW.








Mayor Democrats: Martin Jeffrey Write In or Sherman Lea

Republican City Council Write In: Jim Garrett

Independents:  Michelle Dykstra, John Garland, Dane Howard

City Council Democrats:  Anita Price, Freeda Cathart, Trish White-Boyd

Monday, April 18, 2016

Landlord and Flipper Asset Protection Via Proper Insurance

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There are a couple ways to protect your assets. One way is by forming LLC’s and or Trusts. Another is with Insurance. A combination of both provides your best possible protection.

This week at REI of Virginia our special guest speaker will be REI sponsor, Tripp Godsey of Farmers Insurance.

Tripp is going to head an in depth, educational conversation, on how to adequately protect your assets with insurance. What type of insurance is best for a flip? How much coverage do you need for your rentals? Is there a certain dollar amount of liability coverage that you should carry? Do you top that liability off with a 1 to 3 million dollar umbrella policy? How much coverage is enough to protect you from most lawsuits? Should you have an umbrella that covers personal liability or business liability or both?

Lots of questions…

We will also have a discussion about our local issues. Roanoke city has a lot of inexpensive massive homes. What’s the best way to insure them? You may have only paid 40K or less for the house. It’s tax assessed value may be 60K. Surely it wouldn’t be cost effective to insure one of these 3,500 square foot houses with full rebuild value.

Your objective in a total loss of one of these houses would probably be to replace it with another rather than rebuild it. You would also need some money to remove the burnt remains and get the lot back to grass to make the code enforcement department happy. That will cost you roughly 10K. If you bought full rebuild value insurance on a property of that scale your insurance premium would be though the roof and your rent wouldn’t justify the cost.

When dealing with a reputable company like Farmers or their subsidiary Foremost, how will Actual Cash Value insurance be handled? In the case of a total loss will you likely walk away with the full amount you have it insured for or only a portion of it?

More questions…

On your rentals, if you require your tenant to carry renters insurance or pet insurance to cover their dog, should you as the landlord also require them to add you as an additional insured? And if you do that and they end up making a claim, will that claim attach to your social security number or tax ID number and make your insurance premiums go up?

Lots of insurance questions this week guys and gals. Come on out as it’s going to be a highly educational meeting.

We’ll see you there!

Mr. Landlord 2016 Annual National Landlord Convention

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REI Members,

I would like to invite you to Mr. Landlord’s 2016 National Landlord Convention. This year it will be held in St. Louis Missouri along the Mississippi River.

Last year 6 of our REI of Virginia members attended the convention. I was one of the attendees and I can tell you that I learned a lot. It was a tremendous benefit to my company. There were several things that I implemented in my business as a result of the seminar.

If you are interested in going on this highly educational, tax deductible vacation, please send me an email and I’ll give you the details on our discounted rates. I can assure you that you will get your moneys worth of information as the seminar goes from morning to evening every day. We had a great time and went to some fantastic restaurants with landlords that we met every day after the seminar.

This is the Mr. Landlord announcement of the convention:
https://landlordconvention.wordpress.com/

This is a list of the speakers and their background information which describes what they will talk about.
https://landlordconvention.wordpress.com/instructors/

Tuesday, April 12, 2016

Do It Yourself Pest Control This Week at REI

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REI Members,

I’m pleased to announce that this week we will have special guest speaker Twoie Knox, owner of B&C Exterminating.

His father, REI member CB Knox, owned a very large regional pest control company called Browns Exterminating. Twoie has pest control in his blood and he knows this business like the back of his hand.

Twoie also knows us real estate investors like to get things done as cheap as possible. So he set up a Do It Yourself Pest Control concept he uses with REI members. A lot of pest control can be done yourself. And our friend Twoie will sell you the professional grade chemicals and tell you how to do it.

However, there are a few infestations from specific pests that are better off left to a professional and there are good reasons why that we will discuss.

Come on out to our meeting this Tuesday. Twoie is going to give us a run down on everything from roaches to termites to bed bugs. He’s going to tell us what to do on each. When you can buy his high grade chemicals and do it yourself and when you need to hire a professional.

Come on out and bring a friend with you. We’ll see you there!

Sunday, April 3, 2016

Colorado Passes Law Through House to Make Faking a Service Animal a Crime

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Colorado just passed a law through their house that will make it a crime for a person to fake that their pet is a service animal.

Since the service animals laws have passed, we have a widespread problem of people pulling service animal scams to get on over on hotels, landlords, etc. They do this to duck and dodge your insurance company requirements and avoid pet fees. If their Pit Bull service animal hurts someone than you are on the hook since your insurance company already made it clear that they don't cover certain breeds.  And if you don't rent to them you have some very serious discrimination charges you could face. Yes, that is even if you don't accept pets due to wanting to keep the apartment in good condition, you still have to rent to them.

The basis of our problem locally is people contacting their doctor to get them to write a fake prescription that they need a pet for emotional support.  If they have ever been diagnosed with stress like we all have they are a perfect candidate. The doctors are not understanding the ramifications of what they are doing. Initially it seems to them to be an innocent issue and in order to keep their customers happy they are writing away. Even writing prescriptions for service animals when the animal the person has has been through no sort of actual training to ensure it is qualified for the particular ailment.

Read more about what Colorado is doing here:
http://www.brushnewstribune.com/ci_29706768/bill-criminalize-fake-service-animals-passes-colorado-house



 

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