14 10 oct kreia newsletter

Vol 14-10

Monthly Newsletter for KREIA Members

NO MEETING in NOVEMBER! President’s Letter page 1

Welcome New Members! page 6 Rapid Cash Generator Tom Zeeb page 3

Presidents Message Presidents Letter Hello Fellow KREIA Members!

Dennis Erhard

The ultimate purpose of investing in real estate is to make money. One of the most basic ways to get started is to wholesale properties to other investors. This month we are pleased to present on of the TOP teachers in the Country. Tom Zeeb will teach you:  How To Market And Find Deals

Saturday Seminar!

Tom Zeeb Page 3

Calendar of Events Page 6

Your Assignment, If You Choose To Accept It

 Analyze Deals  Figure Comps And Estimates  Seller Negotiation And Various Strategies As You Head To Closings.

Please mark your calendar now to join us for both Thursday evening and a full day Saturday Seminar for this exciting training with Tom Zeeb. Anyone interested in investing should be able to pick up on strategies. Look around even the “Seasoned Pros” will be paying attention.

Page 5

L.O.T.S. Program (Learn On The Site) turned out 51 KREIA members. Thanks to fellow KREIA member and Board Member Dave Thomas for the insiders secrets.

Your MASSIVE Benefits as a KREIA Member

The Lunch and Learn turned out 24 KREIA members. Dennis spoke about Landlording Do’s & Don’ts. Thanks to all the volunteers who help KREIA Get up and Go!!!!

Page 7

Govt Affairs Update Page 9

URGENT! No Meeting in November

Your President, Dennis Erhard Quote of the Month “You have to learn the rules of the game.

And then you have to play it better than anyone else.”

- Albert Einstein

Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

KREIA Newsletter

President Dennis Erhard

Vice President Frank Miller

Secretary Treasurer Treasurer Elect David Thomas Mike Grinnan CPA Wally Kallbreir

Board of Directors

Mike Butler

Tamara West

George Foree

Duffy Ford

Eric George

Dan Jones

Erik Jamie Greenwell Hitzelberger

Fred Helm

Rue McFarland

Fred Butler

Demetrius Dowdle

published monthly and serves both as a newsletter and a reminder notice of your upcoming monthly meeting.

KREIA is a member only association focused on education, networking, and resources for today’s investor and to educate real estate investors from the basics to the complex. We are an excellent choice for all levels of investors. Whether you are just starting out in real estate investing, or are working on your hundredth deal, KREIA can help you learn more, earn more, and have more fun doing it.

To Subscribe to the KREIA Newsletter is simple and easy. Go to KREIA.com and join the Kentuckiana Real Estate Investors Association.

Group Discounts are available.

To Advertise in the KREIA Newsletter To Advertise on KREIA.com To Sponsor A Monthly Meeting To Sponsor A LOTS Program Please contact News@KREIA.com

KREIA Sponsorships Diamond: Full Page Ad + Table + Pre-

Meeting Speaker Only $995 or $99 mo.

Gold: Half Page Ad + Table + PreMeeting Speaker Only $499 Silver: ¼ Page Ad Only $299 Parliamentarian Hank Schildknecht

Past President Connie Horsey

Your KREIA Leaders are involved and chair several committees to make KREIA happen every month for you and your fellow KREIA Members.

Get involved with KREIA. You can help with the monthly meetings, L.O.T.S. Program, this newsletter, Saturday Workshops, Government Affairs, Social, Annual Picnic, Marketing, the new KREIA website and more PLUS You Get EXTRA KREIA Points for everything you do!

Get phone and emails of all KREIA members with the new KREIA Online Member Directory.

Reach out and tell them they are doing a great job! (It makes them do more for KREIA!)

Business Card : Ad Only $149 Event Sponsor: Meeting, LOTS, Saturday Seminars, and more!

----------------------------------------------------Place Your Ad Now at KREIA.com --------------------------------------------”KREIA Advertising is by far, hands down, the absolute best advertising dollar ever spent for Borders & Borders!”

Harry Borders, B&B Attorneys

Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

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October 23rd KREIA MEETING with TOM ZEEB

“RAPID CASH GENERATION: HOW TO

QUICKLY MAKE MONEY WITHOUT MONEY IN REAL ESTATE!” Mark Your Calendar Right Now and Pre-Pay Now for KREIA’s October Meeting In this exciting and information-packed presentation Tom teaches 4 lessons:  Lesson #1: How to Generate Rapid Cash  Lesson #2: Where Wholesaling Fits In to the Real Estate Investing Process  Lesson #3: The Critical Numbers to Rapid Cash Generation  Lesson #4: Power Negotiation Strategies to Get Sellers Saying “Yes”

Saturday, October 25th Workshop!

Rapid Cash Generator Workshop: How To Go From Spinning Your Wheels To Profitable Deals!" Class size is limited to 50 seats When You Attend The Rapid Cash Generator Workshop Tom Will Show You: * How To Generate Rapid Cash SATURDAY SEMINAR * Dynamic Secrets To Quickly Flip Properties With No Cash, No Risk, No Tenants With Tom Zeeb * How To Create A Monthly Income Of $10,000 Or More * How To Build A Marketing System That Finds Quality Motivated Sellers EARLY BIRD DISCOUNT! * Marketing Techniques To Get Your Phone Ringing Off The Hook with Sellers Members * How To Turn Luke-warm Leads Into Red-hot Deals * Power Negotiation Strategies To Get Sellers Saying "Yes" Only $49 * How To Control A Deal To Ensure You Get Paid 2 for $79 * How To Determine The Critical Numbers You Need For Rapid Cash Generation * How To Estimate Repairs Quickly And Accurately * How To Build Your Real Estate Business Fast Guests * How To Build Your Dream Team To Get The Deals Done * Techniques That Work For Wholesaling, Rehabbing, Or Rentals Only $99 * Strategies That Work In Today's Market 2 for $199 * How To Do Deals Tax-free In Your IRA --------------------------* How To Build A Lifestyle Business That Sets You Free After Early Bird Expires * How To Maximize The 4 F's: Fun Time, Freedom, Finances, & Family Members $129 * How To Build A Solid, Steady, And Consistent Income Stream.

Guest $199 * How To Be Independent And To Be Your Own Boss. * How To Protect Your Family And Your Future, Retire In 5 To 8 Short Years, And Break Out Of The Rat Race So You Can Maximize The Real Estate Lifestyle To Its Fullest.

Doors Open: 8:30am – 4pm WILDWOOD Country Club 5000 Bardstown Rd. Louisville, KY 40291 Includes Hot Lunch Buffet!

Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

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Your Assignment, If You Choose To Accept It I was asked a basic, but very important question today: "Tom, I don't understand what you mean by 'wholesaling'. How exactly is it that you make money doing this?"

An excellent question. Let me explain the basics in a nutshell.

Here's how it works: 1. I market for motivated sellers looking to sell their property.

2. I negotiate a great deal with these sellers.

3. I put the property legally under contract.

4. I then contact rehabbers that I know who are always looking for properties to fix up and resell. I tell them about the property I have under contract and ask if they are interested (at a higher price than I have it signed for).

5. I choose a solid buyer and give them an Assignment Contract. This contract basically states that they are taking over all my rights AND responsibilities in the contract. They get this privilege for a fee, which is my profit.

6. At settlement, the attorney does all the paperwork and the house transfers directly from my seller to my buyer, but I never own it or go on the chain of title.

7. The seller gets their money and the house is off their hands, the buyers gets a great deal to start renovating, and I go to the bank with a very healthy paycheck. It's win, Win, WIN! This works because I am offering the property to my buyers at a price they want to get it at anyway.

And I've made it easy for them, as I am serving up a great deal on a silver platter. They don't have to market, negotiate or deal with the seller at all, aside from signing the paperwork at the settlement.

I get to focus on the parts of the business I like to do (marketing, negotiation, and cashing checks!)

The parts I don't like I can avoid (tenants, managing crews, etc.)

Simple? ….. Yes…..Easy?......No You have to know what you are doing, you need the marketing materials and know-how, legal contracts, and forms to make it happen, and you need to know how to handle and navigate the issues that will come up along the way.

That's why you just can't wing it or try to reverse engineer the things I tell you daily. It just won't work. If you want to do it right, then it is like any other trade, you need to get trained to do it right. Then the sky will be the limit.

Yes, but... Is it legal? …. YES! It is legal, Very legal.

Assignment of Contract is based on old English contract law.

Yes, that jolly old England. The one that our country initially sprang from. And so the basic elements of our laws have a long history. Assignability of your "interest" in a real estate contract is one of them.

When you are the buyer on a contract, you have "equitable interest". And you have the right to do with that interest as you please, which includes selling it for a profit. (The good ol' American way!)

With real estate contracts, any contract is assignable, unless it specifically states otherwise. The usual Realtor board contract says it isn't assignable, therefore that specific contract therefore isn't. But that is just what they choose to do, it doesn't make it illegal or immoral to do otherwise if all parties involved so

choose.

And it isn’t "brokering without a license" because you are actually on the contract as the buyer, therefore you are not brokering it as a third party. (So don't let any real estate agents bother you about this point either.)

Notice that I said "real estate contracts" are assignable. I didn't say ALL contracts. There are types of contracts that are not assignable, like "Personal Services Contracts". If I'm a jazz singer and you give me a personal services contract to sing at your club, I can't assign that contract to anyone else. After all, you want my singing talents, not someone else's.

But that's Personal Services contracts, not real estate contracts.

Okay then...

So why do people refer to it as "illegal flipping"?

Well, it wasn't the flipping that was illegal, it was what they did in the process. Usually some sort of fraud. Like a fraudulent appraisal. Or fraudulent loan papers. The FRAUD was the illegal part, not the flipping. But the baby got thrown out with the bath water. And misinformed or uninformed people therefore fell for the myth that wholesale flipping is illegal (and sometimes they continue to spread the myth). But it's not true.

Does that make sense?

On top of it all, I close all my deals (and all my student deals) with a licensed settlement attorney or escrow agent.

I don't do kitchen table settlements or go around taking deeds.

I want it all done out in the open and under the care and direction of a competent -- and licensed -- attorney or escrow agent.

That way there is no question whatsoever your transaction was done right. After all, an attorney/escrow agent won't risk their license, reputation, errors and omissions insurance, AND their entire livelihood just to close an illegal deal for me.

Think about that. They'd have to be insane and very stupid. (all lawyer jokes aside for the moment...)

So yes, wholesaling is perfectly legal when you do it right.

Obviously, none of this is legal advice. For that you should consult a lawyer, which I am NOT. What I am is a very talented real estate mentor who can teach you how to build up a very profitable business doing wholesale flipping and rehabbing.

You can take what I teach you and retire in 5 to 8 short years.

And you'll be able to be free from your job much sooner than that.

Want to learn how? Join me at KREIA this Thursday and the Saturday Seminar. Reserve Your Seat Now at kreia.com

Tom Zeeb

Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

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Welcome New KREIA Members!

Natalie Tincher Kevin Griesser Marty Schnurr Julia Bex Matthew Malin

Nick Schweitzer Paul Coleman Shaun Logsdon Terry Weathers

No Member Spotlights were submitted Please submit yourself or a fellow member

http://kreia.com/submit-member-spotlight

Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

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Your Massive Benefits of KREIA Membership

By Tom Zeeb, President, Traction Real Estate Investors Association, TractionREIA.com A “Real Estate Investor Association” or REIA is a tremendous source of knowledge, networking and inspiration. You need to make these meetings part of your monthly schedule.

Pay attention to who stands up during these sections month after month. They are the players in your local market and people you should make an effort to know.

Every club operates a bit differently, but the basics are all the same. They are a great place to meet other people in the business. People who can educate you, sell you deals, buy deals from you and recommend team members and services. The other people there are the number one reason you should go to the meetings. Being around others in the business and learning about how and why they are successful will help you succeed in your business faster.

The clubs are not usually free and there is a charge per meeting or on an annual basis. I highly recommend becoming a member. The $200 you spend will be well worth it. Where else can you get all these benefits in one place? It is a totally deductible expense as well.

While at a meeting, don’t be shy. Shake hands with the people around you and give everyone you meet your business card (you do have cards on you at all times, don’t do?) Be sure to get their card as well. If they do not have one, have them write their name, phone number and email address down. You will want all this information to build your database. These are the people who will buy your wholesale deals or the people that you can call when you are putting a deal together.

If you are the shy type, try to make a game out of it. Set a goal and tell yourself you want to leave the meeting with no less than three people’s cards. Then force yourself to say hello to the person sitting next to you. It will get easier every time. The conversations will be basic and remind you of your freshman year in college, when everyone asks the same old questions like ‘where are you from?’ and ‘what are you studying?’, but now it will be ‘what kind of investing do you do?’ and ‘how long have you been doing it?’

Some of the associations have websites packed with great information. Some have on-line bulletin boards as well. This is another great source for info or for advertising deals. Some of the websites are for members only.

Most meetings will also have a speaker, usually a national speaker. These are gurus who come to town to teach you about their particular real estate investing specialty and to offer you their home study course. The speakers vary widely but we find that we always get a few great ideas from each one and it is well worth listening to them. If you resent being sold to, get over it. They are there to make money and they have given you free advice and inspiration in return for being able to pitch you.

There is nothing wrong with that. Especially if you walk away with a great idea.

We will often buy their courses if we think it will give us great ideas that we can apply in our own business. Most of the courses that we’ve bought we’ve made the money back many times over from the great ideas that the courses taught us.

Buying courses is fine as long as you plan to read them and put the ideas into action. Don’t fall into ‘analysis paralysis’. You Want to learn how to estimate repair costs? Ask one of the won’t make your money back by letting it sit on the shelf renovators at the meeting if you can go see one of their projects unread and unused. and have them explain how they determined their costs. Offer to take them to lunch in return and tell them you’ll be happy to wholesale deals to them. Be respectful of their time though, they are busy and aren’t getting anything in return from you at the moment (other than lunch). Be sure to know the basics, you don’t want to waste their time on things that you should have already learned from books, you’ll get more out of it too!

Tom Zeeb has been featured by CNBC, The Washington Post, Want to find a good attorney or accountant, ask the regulars at Kiplinger's Magazine, The Washington Examiner, Financial the meeting who they use. What better place to get good team Lifeline Radio and National Real Estate Investors Association's member recommendations that from people actually in the Magazine among others. He is the President of Traction REIA, business? the Recipient of the National REIA "Honors of Merit" and the "Award of Excellence" for Best Real Estate Investor Some groups have a ‘deal makers’ section, where they let Association! Traction REIA serves Washington DC, Northern people stand up and announce deals. Others have a ‘success Virginia, and Maryland. Check out www.TractionREIA.com stories’ section where anyone who has done a deal in the past and www.TractionRealEstateMentors.com for more month can stand up and give the details and then be applauded. information.

Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

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Rick Wardlow, Joe Gribbins, Allee Harmon, Bill Dollinger, Frank Miller Call 502-489-5515

http://wardlowauc.com Copyright MMXIII Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

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Louisville Metro Government October 10, 2014 1. Louisville Metro Planning staff has finished its review of round two of the Land Development Code proposed text amendments.

The Land Development Code (LDC) Round Two Text Amendments draft is published on the Planning & Design Services website.

The LM Planning Commission Public Hearing was on Monday August 11 from 1-5PM at the Old Jail building at the corner of Liberty and Sixth Streets.

Representatives of GLAR were at the hearing and the Planning Commission passed all recommendations except for the changes to transportation and landscaping. These two issues will be taken up at the October 16th public hearing at 1 PM at the Old Jail Building.

As the Planning Commission is finalizing the last few sections of the LDC changes, the Louisville Metro Council has held its first committee meeting on the proposed changes.

The Ad Hoc Land Development Code Committee chaired by James Peden held its first committee on the subject on Monday September 8.

The next meeting of the Land Development Code Committee is scheduled for Monday October 20th at 3 PM. GLAR representatives will be present.

Follow this link to view the full documents: http://www.louisvilleky.gov/PlanningDesign/La nd+Development+Code+Improvement+Commi ttee.htm

From Rue McFarland Chairman Government Affairs Committee

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Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

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Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

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PO Box 91225 Louisville, KY 40291 Return Service Requested

.com

KREIA’s Monthly Meeting!

Thursday Oct 23rd 5:30 EARLY MEETING - DAN JONES - WEST END INVESTING DO’S AND DON’TS

TOM ZEEB, AMERICA’S LEADING EXPERT ON WHOLESALING

SATURDAY WORKSHOP!

OCT 25TH AT WILDWOOD CC

KREIA Members: Only $49 or 2 for $79 and includes Hot Lunch Buffet!