While the government was out trying to solve the country’s
residential foreclosure epidemic, they completely forgot
about all the commercial properties that were bought over
the last 5 years for way more than they should have been
bought for. While the government was creating programs that
only made the foreclosure situation worse by introducing
programs like HAMP and HARP, they forgot about the real 900
pound gorilla which is the commercial mortgage sector.
They are now switching their attention to commercial
mortgages and they will probably make the situation worse
just like they did with residential.
The small local banks have some major problems because these
big commercial mortgages put a huge weight on their
shoulders. Most of the portfolios are made up of commercial
mortgages and the FDIC is taking them down one by one.
I know this will come to a shock to you but this is reality.
There are five states with commercial mortgage delinquencies
over 10%.
Michigan, Arizona, Nevada, Montana and Florida
All of the other states are close to these delinquency
rates. There is no shortage of commercial foreclosure
opportunities right now and it’s much easier to get in this
game than it used to be. Commercial loans that were
originated in 2006-2007 have doubled this quarter and are
defaulting at 3.95% and 4.28%. Loans originated in 2008 are
defaulting at 7.82%. Pretty eye opening huh? That makes it
easy for you to find which properties to go after.
If you think that’s bad, check this out. These are the
delinquency rates for the different types of commercial
properties as of October 2009:
Office 2.29%
Hotel 6.81%
Retail 3.55%
Multifamily 6.00%
Industrial 3.09%
We are seeing the same signs of what the lenders did during
the 1981-82 and 1990-1991 recessions. There were more
millionaires made during those in commercial real estate
than any other time. It’s happening again...
Saturday, January 9, 2010
Sunday, November 29, 2009
Bank Forced To Cancel $500,000+ Loan Balance After Owner Gets Loan Mod
A Long Island couple is home free after an outraged judge gave them
an amazing Thanksgiving present -- canceling their debt to ruthless
bankers trying to toss them out on the street.
Read the rest at http://loanmodsanddebtsettlement.blogspot.com
Sunday, September 6, 2009
What the heck is Web 3.0 and theTRAFFICplan?
It's Web 1.0 + Web 2.0 = WEB 3.0
As you know, Web 1.0 was simply an acronym for eCommerce. Back then, retail stores wanted to do business on the internet rather than just using expensive retail storefronts. Many saw the power of the internet to attract an entirely new audience that may not have had the chance to visit their store in person. This would without doubt give them access to more potential customers for less cost.
Web 2.0, in its simplest definition and use today, has become an acronym for the everyday person's ability to communicate and collaborate globally using Social Networking. It has made things more user friendly to us, and as such, companies have come to embrace these new design and communication formats to engage with their customers.
Web 3.0 brings these two worlds together for the average person to be able to harness the power of the internet to begin to profit with multiple streams of income online by introducing products and services to their groups of followers (also known as their list and also as their tribe).
More info can be found at www.aTRAFFICplan.com
We have live training every Wed evening, you don't want to miss it
and remember, it FR.33
Financial Destination Inc
Start Your Financial Journey Now
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Attend The Webcast Every Mon and Tues at 1pm EST
(12pm CST 11am MST 10am PST)
https://www.2.gotomeeting.com/register/752349283
Call In Number: 212-990-8000 PIN 5557#
Tap The Image
Attend The Webcast Every Mon and Tues at 1pm EST
(12pm CST 11am MST 10am PST)
https://www.2.gotomeeting.com/register/752349283
Call In Number: 212-990-8000 PIN 5557#
Sunday, August 30, 2009
What the heck is Web 3.0 ?
What the heck is Web 3.0 ?
It's Web 1.0 + Web 2.0 = WEB 3.0
As you know, Web 1.0 was simply an acronym for eCommerce. Back then, retail stores wanted to do business on the internet rather than just using expensive retail storefronts. Many saw the power of the internet to attract an entirely new audience that may not have had the chance to visit their store in person. This would without doubt give them access to more potential customers for less cost.
Web 2.0, in its simplest definition and use today, has become an acronym for the everyday person's ability to communicate and collaborate globally using Social Networking. It has made things more user friendly to us, and as such, companies have come to embrace these new design and communication formats to engage with their customers.
Web 3.0 brings these two worlds together for the average person to be able to harness the power of the internet to begin to profit with multiple streams of income online by introducing products and services to their groups of followers (also known as their list and also as their tribe).
More info can be found at www.aTRAFFICplan.com
We have live training every Wed evening, you don't want to miss it
and remember, it FR.33
Get Your Free Training
Wednesday, May 6, 2009
Formula for Dealing With Tenant Upgrade Requests
By Julie Broad
My husband and I recently turned down a tenant's request for blinds in the living room of one unit of a triplex. (They were unhappy with the "dirty curtains" on the window.) At the same time, we agreed to put a new toilet in another unit.
Our tenants can easily figure out that we're bringing in nearly $4,000 in rent per month ($1,000 positive cash flow for us) from this property, so they may think we're being stingy when we refuse their requests for improvements. It's a business though, so we grant tenant requests only if spending the money will generate more revenue or reduce our costs.
We consider a few things:
What are the costs of not doing the renovation or upgrade? (Is the tenant likely to leave - and what will that cost us if they do?)
Is there another way to address the problem?
Can the expenditure be delayed?
If the expenditure seems to make sense, we do a final calculation:
Total Cost of the Upgrade or Renovation / New Money Earned (or Money Saved) each Month = Number of Months It Will Take to Recover Our Costs
As a general rule of thumb, if you can recover the cost of items under $1,000 in 12 to 18 months, the money will be well spent.
In the case of the blinds, the tenant wouldn't pay more rent to help cover the cost. And since only custom blinds would fit the large windows in that unit, it would take years and years to repay the expense... even if they did pay us more rent. Instead, we agreed to pay for dry cleaning the curtains, which cost less than $100. We'll get no direct return on this investment - but since the tenants wanted the "dirty curtains" replaced, this will keep them happy.
In the case of the toilet, we decided that getting rid of the grungy old one would not get us higher rent but it would make it easier to attract and keep good tenants in that unit. And by replacing it for the current tenant (instead of waiting until they moved out), the tenant's father (an experienced plumber) would install it for free. Plus, we'd be replacing a water guzzler with a low flush model that would qualify for a $75 water conservation rebate from the City of Toronto. The formula of benefits looked like this:
$250 minus $75 rebate = $175 Cost of the Toilet
$175 / $10/Month in Water Savings = 17 Months to Pay It Off (not including the $80 saved on installation)
This made replacing the toilet a very appealing use of our cash.
Just remember - real estate investing is a business, and you need to get a return on any money you spend... even if that return is simply in cost savings.
[Ed. Note: Real estate expert Julie Broad can show you how to create your own million-dollar real estate portfolio with her new program. Get all the details here.]
Larry Potter
http://www.youtube.com/watch?v=lkJCsIMAiNY
www.ATicketToWealth.com
My husband and I recently turned down a tenant's request for blinds in the living room of one unit of a triplex. (They were unhappy with the "dirty curtains" on the window.) At the same time, we agreed to put a new toilet in another unit.
Our tenants can easily figure out that we're bringing in nearly $4,000 in rent per month ($1,000 positive cash flow for us) from this property, so they may think we're being stingy when we refuse their requests for improvements. It's a business though, so we grant tenant requests only if spending the money will generate more revenue or reduce our costs.
We consider a few things:
What are the costs of not doing the renovation or upgrade? (Is the tenant likely to leave - and what will that cost us if they do?)
Is there another way to address the problem?
Can the expenditure be delayed?
If the expenditure seems to make sense, we do a final calculation:
Total Cost of the Upgrade or Renovation / New Money Earned (or Money Saved) each Month = Number of Months It Will Take to Recover Our Costs
As a general rule of thumb, if you can recover the cost of items under $1,000 in 12 to 18 months, the money will be well spent.
In the case of the blinds, the tenant wouldn't pay more rent to help cover the cost. And since only custom blinds would fit the large windows in that unit, it would take years and years to repay the expense... even if they did pay us more rent. Instead, we agreed to pay for dry cleaning the curtains, which cost less than $100. We'll get no direct return on this investment - but since the tenants wanted the "dirty curtains" replaced, this will keep them happy.
In the case of the toilet, we decided that getting rid of the grungy old one would not get us higher rent but it would make it easier to attract and keep good tenants in that unit. And by replacing it for the current tenant (instead of waiting until they moved out), the tenant's father (an experienced plumber) would install it for free. Plus, we'd be replacing a water guzzler with a low flush model that would qualify for a $75 water conservation rebate from the City of Toronto. The formula of benefits looked like this:
$250 minus $75 rebate = $175 Cost of the Toilet
$175 / $10/Month in Water Savings = 17 Months to Pay It Off (not including the $80 saved on installation)
This made replacing the toilet a very appealing use of our cash.
Just remember - real estate investing is a business, and you need to get a return on any money you spend... even if that return is simply in cost savings.
[Ed. Note: Real estate expert Julie Broad can show you how to create your own million-dollar real estate portfolio with her new program. Get all the details here.]
Larry Potter
http://www.youtube.com/watch?v=lkJCsIMAiNY
www.ATicketToWealth.com
Tuesday, April 28, 2009
Web 3.0 strategies coming
Larry again,
Because you are one of the special people who visit my blog,
I am giving you advanced notice about
http://www.YOURSOCIALPROFITS.COM
You are not only being invited to a strategic coaching call,
rather, you are being invited to attend what we like to call
an IMPLEMENTATION session.
What exactly is an IMPLEMENTATION session, and how will you benefit from it?
Simply put, We are not only going to teach you the newest
strategies for success, but MORE IMPORTANT, we are going to
give you the tools you will need to immediately implement
these new strategies to help you:
Convert more SALES.
Spend less TIME on prospecting activities.
Save MONEY on advertising.
Help your team DUPLICATE your success with less EFFORT on your part.
Make more MONEY by attracting the masses that you've been chasing but not converting.
Register Now At:
http://www.YOURSOCIALPROFITS.COM
Larry Potter
847-872-4047
Because you are one of the special people who visit my blog,
I am giving you advanced notice about
http://www.YOURSOCIALPROFITS.COM
You are not only being invited to a strategic coaching call,
rather, you are being invited to attend what we like to call
an IMPLEMENTATION session.
What exactly is an IMPLEMENTATION session, and how will you benefit from it?
Simply put, We are not only going to teach you the newest
strategies for success, but MORE IMPORTANT, we are going to
give you the tools you will need to immediately implement
these new strategies to help you:
Convert more SALES.
Spend less TIME on prospecting activities.
Save MONEY on advertising.
Help your team DUPLICATE your success with less EFFORT on your part.
Make more MONEY by attracting the masses that you've been chasing but not converting.
Register Now At:
http://www.YOURSOCIALPROFITS.COM
Larry Potter
847-872-4047
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