November 2017 KREIA Newsletter

Monthly Newsletter for KREIA Members

Vol 11-17 November 2017

President’s Letter

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New Sponsorship Rates

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Main Meeting: Prepare for magic 3 at our Holiday Party!

Welcome, New Members!

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Hank Schildknecht: Announcing the Ed Melton Award

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Best/Worst Deals: We’re crowdsourcing to recreate a popular KREIA tradition from years past

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KREIA Photos

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L.O.T.S.: Wendy Kays rehabs broken duplex into handsome home

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KREIA Members, It’s been a fantastic year for the real estate industry in our area and throughout much of the country, and it’s time to celebrate November 16th at our annual Holiday Party!

Eric George We have world-famous magician and entertainer Joel Meyers lined up, a raffle for some awesome prizes like big flat-screen TVs to benefit The Home of The Innocents, the Ed Melton Award presentation, and this year we’re bringing back our classic “Best Deal/Worst Deal” Contest!

We’d love to hear from as many of our KREIA members as possible on the “Best/Worst Deal” Contest, so check your email or go to KREIA.com to submit your deal stories today! Don’t be afraid to share your bad deals either, as we all have bad deals at some point, but you typically learn the MOST from those!

Lastly, the board members and I are working really hard on bringing you more great education in 2018, and we really want to hear what real estate topics you’d like to learn about the most! We’ll be emailing a survey to everyone by the end of November, so please respond!

Home of the Innocents: We took 14 a tour and were reminded why we raise money for these kids

Remember, KREIA is completely run by volunteers for the benefit of all members to learn, network, and educate one another. Without our members and volunteers, KREIA could not exist. If you’d like to give back to KREIA and volunteer in any way, please let me know.

Frank Miller: When is the best 21 time of the year to buy investment properties?

See you at the party!

Upcoming KREIA Events

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Eric George KREIA President

Copyright MMXVII 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.

Your KREIA Leaders

President Eric George

V. Pres. Erik Hitzelberger

Advertise With KREIA

Secretary Treasurer Treasurer-Elect Dave Coffey Mike Grinnan CPA Wally Kallbreier

Board of Directors

Put your message in front of the most active rehabbers, landlords and wholesalers in the state! KREIA offers five membership levels for businesses. Go to KREIA.com and join at one of these annual sponsorship levels to get your ad in every issue of KREIA's newsletter and be invited to make sponsor pitches at meetings:

Business Card Membership . . . . . . . . $199 Includes your business-card-sized ad. Admission at monthly meetings remains $20.

Premium Levels: These four sponsorship levels include your ½-page ad in each issue!

George Foree

Rue McFarland

Lauren Willoughby

Darin O'Neil

Parliamentarian Hank Schildknecht

Past Pres.

Frank Miller

Dennis Erhard

Tamara West

John Jones

Jeani Bryant

Rick Littrell

Mike Fallot

Clay Smith

Hampton Scurlock

Get involved with KREIA. You can help with the monthly meetings, L.O.T.S. program, this newsletter, Saturday workshops, Government Affairs roundups, marketing, the KREIA website and more. PLUS You Get EXTRA KREIA points for everything you do!

Ask for someone to direct you as you check in at the front desk at monthly meetings.

KREIA's newsletter is published monthly and serves both to educate and to remind you of upcoming monthly meetings.

About KREIA: The Kentuckiana Real Estate Investors Association is a members-only, nonprofit organization focused on education, networking and resources for today's investor. 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. Group discounts are available.

Contact us at News@KREIA.com if you want to: Advertise on KREIA.com • Sponsor a monthly meeting Sponsor a L.O.T.S. program • Sponsor Saturday Workshops

Bronze Membership . . . . . . . . . . . . . $499 Includes free admission to monthly meetings for one person.

Silver Membership . . . . . . . . . . . . . . $699 Includes free admission to monthly meetings for two people.

Gold Membership . . . . . . . . . . . . . . . $999 Includes free admission to monthly meetings for two people and gives you a skirted table in the vendors area.

Platinum Membership . . . . . . . . . . $4,995 Includes everything the Gold level offers, plus extra promotion from KREIA. You'll be our designated events sponsor, and we will promote you accordingly!

New ½-page sponsorship levels and pricing are in effect for new member signups and upon renewal for current sponsors.

Questions? Send email to News@KREIA.com or catch up with KREIA Sponsor Chair Dennis Erhard at the meetings.

Join KREIA Joining KREIA is easy: Go to KREIA.com and click the "JOIN" option on the menu.

The cost to join as an individual member remains at $125 per year, with a charge of $20 at the door for monthly meetings.

Click JOIN at KREIA.com to find out about all the benefits of membership for both individuals and businesses. Too many to list here!

Copyright MMXVII 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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HOLIDAY PARTY BRINGS THE FUN & MAGIC WHEN: November 16, Thursday before Thanksgiving. 5:30 p.m.

WHERE: Woodhaven Country Club COST: Free to KREIA members.

Guest price is $30 WHAT: Magic show! Fruit & Cheese Trays! Hors d’oeuvres!

Free drinks! Prizes (big-screen TV)! Raffles! Networking!

Worth repeating: FREE ADMISSION to KREIA members! (Also, free drink tickets at the door!)

Party man Frank Miller says there will be a cutoff on attendance numbers, so be sure to SIGN UP NOW at KREIA.com!

Illusionist Joel Meyers headlines the event!

“Performing a progressive brand of magic with ordinary objects for audiences of all types worldwide.”

You’ve seen him on TV! Joel Meyers has been featured on “America’s Got Talent” and other shows. Penn and Teller are fans!

Event sponsored by

Copyright MMXVII 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!

Chris Bane Andrew Barlow Neil Blumberg Robert Campana

Ken Dawson Kyle Fekete Ann Miller Garry Settle

Announcing the Ed Melton Award

By Hank Schildknecht Many longtime members of KREIA had the privilege of knowing Ed Melton, Sr. Ed was, without a doubt, the greatest recruiter in the history of KREIA. Every person that Ed came in contact with regarding a real estate matter was told of the merits of the Kentuckiana Real Estate Investors Association and encouraged to join. Ed was an active member of the KREIA Board on which he served for years. He was also a dedicated mentor to many novice investors and enjoyed passing on his experience and wisdom.

I had the privilege to serve as Ed’s attorney for many years. It was a unique learning experience for me to close Ed’s purchases and observe firsthand his methods of ensuring a true win-win situation for all parties involved in each transaction.

After his death in 1998, the Board of Directors established an award to be given in his name. The board set the following criteria to be used in selecting the recipient: 1. Contribution to membership education; 2. Development of fellowship; 3. Active recruitment of KREIA members; and 4. Active participation in the real estate industry.

The following have previously received this award: 1998 - Mark Lechner 1999 - Rue McFarland 2000 - Chris McCarty 2001 - Hank Schildknecht 2002 - Chris Dischinger 2003 - Rosetta Melton 2004 - Joe Hampton 2005 - Mike Butler 2006 - Jim Gardner 2007 - George Foree

Cell: (502) 714-4371 Office: (502) 222-5212 jared@louisville-ky.com

2008 - Alan Johnson 2009 - Dick Vreeland 2010 - Connie Horsey 2011 - Noble Roberts 2012 - Jay Long 2013 - Gene Dyson 2014 - Mark Hass 2015 - Dan Jones 2016 - Dennis Erhard

As you can see from reviewing the above, each recipient has been very active in KREIA and greatly contributed to its success.

On October 19, the prior recipients of the Ed Melton Award met for our annual dinner reunion. The purpose of the gathering was to discuss our times in KREIA and pay tribute to Ed Melton, and to select the person who will be honored this year.

Every recipient has taken his or her mission very seriously in selecting a deserving KREIA member to receive the 2017 award given in Ed’s memory. This will be the 20th year the award has been presented. It is one of the highlights of the year, and we look forward to honoring this year’s recipient on Nov. 16.

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Copyright MMXVII 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 MMXVII 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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Best/Worst Deals … and Tips!

We asked KREIA members to describe their best or worst deals, or share a tip In years past KREIA held Best Deal/Worst Deal of the Year contests at the holiday party, and we thought we'd revive it in spirit in the newsletter. If you recently made a really great deal you want to celebrate or a “learning experience” you want to warn others about — or there’s a time- or moneysaving tip you want to pass along — please visit our form at this address: http://bit.ly/kreiabestworst Following are some responses we’ve received so far. *** My worst deal was a house I bought at the Commissioner’s Sale that I was unable to inspect. It looked fine from the front. But I wasn’t able to get into the house or go around to the back before I bought it. After I bought it, I found out there was no back to the house. The back of the house was falling off! The inside was completely gutted, and the roof was leaking. Everything was rotted. It was a good learning experience. I did end up making $200 on it.

— George Foree *** I could not believe my eyes when I used Purple Power® Cleaner/Degreaser by Clean-Rite® on areas affected by cigarette smoke. Still speechless.

— Nina Musgrave

The very last Section 8 renter I had, when she moved, she took the stair railings, the ceiling tiles, the shower liner and tried to steal the toilet. The only thing that saved my toilet was the fact that she couldn’t figure out how to get the tank off of it. Another guy turned one of the back rooms in my houses into a dog kennel, and I had to take the subfloor up and redo the walls. I had to gut that whole room. Basically it cost me about $20,000 to fix everything.

It’s why I quit doing Section 8. I don’t vet Section 8 renters well, and I can’t afford the damages. I just don’t have the patience or willpower to deal with Section 8.

There are people who are really good at that, but I’m just not that guy. I know my weaknesses. In this business you have to know what you’re good at, but you also have to know what you’re not good at.

I’m sure there are a lot of people in assistance programs who are not hard on houses. But on the other side of the coin there are a lot of people on government-assisted housing who for some reason think we’re all richer than rich because we own these houses. But they don’t understand that we all just basically work for the bank. So we’re doing like everybody else and trying to pay everything down.

(Continued on Page 17)

Copyright MMXVII 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 MMXVII 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 MMXVII 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 MMXVII 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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photo by bruce w. hinson www.obedientcamera.com

photo by bruce w. hinson www.obedientcamera.com The women on the panel rocked October’s meeting on auctions and REO properties. Attorney Jennifer Fields, left, walked us through the stages of foreclosure. HUD specialist Sherry Bennett-Webb talked about bidding on HUD and Freddie Mac houses. And if you ever wondered why the best properties are marked as “withdrawn” at the Commissioner’s Sale, it’s probably because short-sale wizard Stephanie Gilezan, right, got there first.

KREIA Photos

KREIA Vice President Erik Hitzelberger, right, acted as panel moderator.

photo by bruce w. hinson www.obedientcamera.com KREIA sponsor Joey Beatty took the mic to describe a slam-dunk opportunity that came his way: Congrats, Joey!

Insurance for the Real Estate Investor realprotect.com

photo by bruce w. hinson www.obedientcamera.com

See more photos online — in color — in KREIA's private Facebook group.

Copyright MMXVII 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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Meriwether L.O.T.S. Home: A Closer Look Wendy Kays turns two-story duplex into attractive home Is house rehabbing something you can catch? For Wendy Kays it was. It was in her position as underwriter for Mortgage Man, assisting with Mortgage Man projects and working with so many people profitably flipping houses, that she “caught the bug” herself.

“I was able to learn on the job, so to speak, and I built good relationships with contractors,” she said. “So when I was ready to do it on my own, I was pretty experienced.”

Wendy hosted the L.O.T.S. event held on Halloween — the last L.O.T.S. event of the year — in her second personal rehab project as an investor. She said this house at 608 Rawlings St., in the Meriwether/Schnitzelberg area not far from U of L, was a lot more challenging than the first one she tackled. The project took four months from purchase to punch list, a month longer than she’d have liked.

The house had been on the MLS for only two hours before Wendy got an alert on her feed and made an appointment and offer. She said she knew and liked the area — and had worked with rehabbers on this street before — and she liked that the property had a double lot.

For funding, she stayed in-house and went with Mortgage Man. This two-story house was a duplex when she bought it, and the upper unit had been occupied by a hoarder. After demo and trashout, which took a long time “because it was in such poor condition,” there was much work to be done.

Wendy says the only original parts of the house remaining are the frame, exterior siding and staircase: “Everything else is brand new.” Her team of contractors gutted the house down to the studs and started over.

Even the foundation needed repair. “We had to replace all the joists — it was a pretty big project,” she said.

“I love rehabbing,” Wendy Kays said. “I love picking out all of the finishes. Each house is unique.” (Photo by Lauren Willoughby)

The house at 608 Rawlings St. is narrow but goes back and back. It has 1,622 square feet. (Photo by Mike Fallot)

Wendy’s rehab total, at $78,750, came out to more than she had paid for the property. But if she gets her sale price, or even just stays in the ballpark, she’ll have hit an enviable home run.

The bill for the new furnace, A/C and ductwork was $6,200 — the same amount charged by the plumber for installing the new water heater, running gas lines and running water lines to the kitchen, laundry room and the three bathrooms.

The house got a new roof, an exterior paint job, new windows and exterior doors, a reconfigured floorplan, new electric panel, insulation and drywall.

Much of the first floor is dedicated to an open living/kitchen area, with the kitchen set off by an island, tiled backsplash and quartz counters. The stainless appliances and dark cabinets make handsome counterpoint. There’s also an accent piece of shoulder-high wainscoting marking the border of the kitchen/living room territory.

Dark laminate flooring runs throughout the house, with the exception of tiled gray floors in the mud room, laundry room and bathrooms.

Speaking of the bathrooms, the attractive tile work doesn’t stop at the floor. The walls surrounding the tub are also tiled to the ceiling. Another thoughtful design element is the bench in the mudroom, with space underneath for shoes. It’s easy to walk through this house and imagine yourself living there.

(Continued on the next page)

Copyright MMXVII 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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(Continued from Page 11: Meriwether L.O.T.S. house) WENDY’S TIP TO NEW REHABBERS “The best advice is to do your due diligence on the property and don’t be afraid to jump in there and get started. The only way to really get involved in real estate like this is to do it yourself.”

THE NUMBERS Purchase and closing costs: $73,900 Total rehab costs: $78,750 Carrying and sale closing costs: $9,000 Estimated sale price: $249,000 Estimated real estate commissions: $13,695 Estimated profit: $73,655 Find more photos online in KREIA’s private Facebook group.

Why do we call it “L.O.T.S.”? Because we Learn On The Site!

Copyright MMXVII 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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Call 888-445-FLIP or visit us online at www.surepointequity.com Copyright MMXVII 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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Saving Children One Life at a Time

Home of the Innocents is a vital community resource for the vulnerable

By Lauren Willoughby // Photography by Bruce Hinson You hear about it too often on the news: Children viciously abused by the very people who are supposed to protect them.

What happens to those kids?

In Louisville, one safe haven for them is Home of the Innocents. It’s truly a home for kids — and not just for battered children, but also for homeless, medically fragile, and terminally ill children. It’s a 24-hour emergency shelter for kids in crisis. And it’s a permanent home for kids who need so much care that they could never live safely anywhere else.

The nonprofit Home of the Innocents organization has been housing, healing and caring for children since 1880.

Young Regina plays a competitive game of Disney UNO.

Take a tour and you’ll see that the sprawling series of interconnected buildings in Butchertown is not just a home but practically a city devoted to every aspect of caring for our most vulnerable children.

There are residence halls, dining rooms, dental and medical areas, therapy rooms, a gymnasium and even a saltwater therapy pool (which is open to the public). There are also plenty of classrooms, because children attend school here, in the Weinberg Academy, from kindergarten through 12th grade.

It’s part of JCPS. As you walk the winding floor of the hallway that connects the buildings, you’ll see colorful artwork lining the walls.

As you explore classrooms and therapy rooms, you’ll notice that the pizzazz extends to the ceiling, where colorful things hang down on strings. Because some kids live their lives supine in wheelchairs, the staff decorates the ceilings to give them something cheerful to look at.

Take a tour and you’ll probably meet a child who touches your heart. When Bruce and I visited last month, we met a girl named Regina. She’s a bubbly child who loves to play UNO, meet new people — and have her picture taken.

Granting us permission to photograph her was a big deal, because the kids are mostly off-limits to people with cameras.

As they should be. The children’s lives and challenges are private, not for public display.

Staff members are very protective of their charges. You can see there is great affection there.

You can grow attached, admits Lydia Bell, Senior VP of Community Engagement, our liaison for the tour. “When I started here in November of ’14, we had two infants brought

Copyright MMXVII 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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in the 50/50 raffle here at KREIA is one way. Another is to make a donation directly through the website: homeoftheinnocents.org Also at the website you can find a wish list of requested items. Towels, pillows and deodorant are always in demand.

Right now there’s a holiday wish list for supplies.

And there’s another way in which we are uniquely qualified to help: with housing. Some of the kids who age out of their residence halls get rent assistance through the organization. If you are willing to supply a unit, they welcome your inquiry.

KREIA has a special history with Home of the Innocents.

Longtime CEO Gordon Brown, who stepped down just last year after about 25 years at the post, was a KREIA member himself.

And, incidentally, he helped kick off the NuLu revitalization PR & Marketing Manager Meredith Pack, left, chats with another movement by organizing the purchase and development of staffer in front of a mural the children painted last year. the Home of the Innocents’ current campus.

While you’re netinto the Pediatric Convalescence Center,” she began, her working at the holivoice thickening with emotion. “One was 11 days old and day party we’re one was 3 months old. And they stick with me because both of them were here because of the lifelong traumatic effects about to enjoy, please make a point of physical abuse by their parents. And they will probably of introducing yournever leave. Seeing the way the staff rallies around these self to the Home of girls, the way they have become family for these girls, has the Innocents staff been amazing.”

Being treated well is new for some of these children. “We and executives who will be attending and see kids come in here who have been literally trafficked by KREIA’s longtime support gets recognition making them feel their parents,” Bell said. “Who have been starved and with a sign in the hallway. welcome. beaten, who’ve been abused in horrible ways and who are not used to getting attention in good ways. One of the things To see more of Bruce Hinson’s photos from the Home of the our staff really focuses on is consistency and letting kids Innocents, please visit KREIA’s private Facebook page. know when they’ve done a good job, when they’ve made people proud.”

It’s hard for kids to trust at first.

“It comes slowly. Almost invariably every child who comes in is going to spend the first part of their time here trying to prove to us that they’re bad kids, because they’re used to being ‘bad kids.’ They’re used to thinking, ‘There’s something wrong with me… that’s why all this stuff has happened.’ And so they test you,” Bell said. “They’re so convinced that you’re going to give up on them too.”

More than 11,700 children and families were helped last year by Home of the Innocents in its various programs, and its annual budget comes, in part, from government funding. But not all of it, and not nearly enough.

The cobblestone floor in the hallway connecting the buildings is designed to give extra sensory How can we help? Participating stimulation to kids in wheelchairs.

Copyright MMXVII 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 MMXVII 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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(Best/Worst Deals and Tips: Continued from Page 6) Those are my worst deals ever.... But most of my deals are good deals. They’ve all paid off over time. It’s sort of like the Joe Burnett Sr. program: “You keep it long enough, it’ll pay for itself.” You just have to hang in there long enough.

Sometimes like in ’08, you do get in a survival mode, and we’ve all been there. But you come out the other side. You just have to have the wherewithal to stay with it. What I tell people is try to buy two houses at one time. That way, if one of them goes vacant, the other one will pay for it. That way you’re never out of pocket — you may not be getting ahead, but you’re also not going in the hole. That’s something that helped me when I didn’t have very many homes.

My best deal was the one Joe Burnett Sr. sold me in Indian Springs years ago. I had to put some money into it, but it was my first high-end rental. And the first guy that came in was a UPS pilot, and they were paying me $2,500 a month for it. And the next renter that came in was a doctor, and he was paying me $2,500. And the next one that came in was a cable service company, and they wrote me a check for $30,000 up front for the year. I rented to them for two years. And when we sold the house we made almost 50% on it. I couldn’t ask for a better deal than that.

— Ed Gibson *** YouTube is the platform every investor needs to take advantage of in 2018 if they want to stand out from their competitors. Video will give your website a higher ranking in a shorter period of time than one without video. It is also the easiest way for you to build your brand and showcase your own expert status in your industry.

— Sharon Vornholt *** I joined KREIA in February of 1992. This is my 25th year! (*no matter what your computer says) I met Rick Wardlow, Ed Melton, Joe Burnett Sr. and a few other men at the Commissioners Sale in October of 1991. At that time there were only about 20 people at the sales. I was young and obviously had no clue what I was doing, so they offered to help me.

Bought my first property at the sale in January 1992 and went to my first KREIA meeting in February.

At that time the meetings were held at Lakeview Hotel in Indiana, and there were about 20 or 30 people at those meetings. Mark Lechner, Chris Dischinger, Joe Hampton, Rue McFarland, Ed and Rosetta Melton, Jim Gardner, Hank Schildknecht, Dick Vreeland, Joe Burnett, Rick Wardlow and a few others were there.

The rest is history! More great people joined! They got me to serve on the board for about 10 years. They mentored me and I in turn mentored others.

My first L.O.T.S. program was at Ed Melton’s house in Valley Station. We all chipped in for pizza and soft drinks!

We have all been friends ever since! We have been together good and bad... Volunteered, sponsored charities, babies, funerals, weddings...

I have to say that my best deal was joining KREIA...

Priceless friendships. Millions of dollars in purchases and sales. Thousands saved by sharing tips and vendors. And a plan for a fully funded retirement!

That is a very short version of my experience. The stories would go on for hours!

— Katie Crotzer *** Worst Deal of the Year… ‘Tis the $eason!

First up, we wish you and your family a very safe and happy holiday season. In addition to all of your upcoming exciting family and holiday events, it ‘Tis the $eason to get your ducks in a row, dot your i’s and cross your t’s in your business.

Yes, this is the “Worst Deal Of The Year” contest, which I am blessed for having won two or three of them in years past. (I will never share my greatest deals of the year publicly because you never know who might be in the audience... perhaps a family member, neighbor or friend of your seller.)

Although you might associate my worst deal of the year with a particular deal, I want to share with you not only one of my biggest worst deals, but this also has happened and will continue to happen to new investors as you grow your business.

Long story short, a key cornerstone of every business is having the ability to “Keep Your Finger on the Pulse of Your Business.”

You must have this ability to monitor your cash flow every month. This also includes keeping track of your expenses on rehabs while they happening, not three or four weeks later when it is too late.

PLUS, coming up next month is tax time. Imagine being able to push a button at tax time and Ka-Boom! Taxes are ready to send to your CPA. NEVER again will you spend hours and weeks getting ready for Tax Time.

If you are already paying bills and making bank deposits, this system does your “books” behind the scenes automatically. In fact, it’s the Only Complete System for Real Estate using QuickBooks Pro®.

I am limited on the size of this article, but please join me Dec 11-12th for a full-day training workshop to show you how you can put your real estate business on autopilot (almost). Register online at http://www.QuickBooksForInvestors.com Happy Holidays!

— Mike Butler

Copyright MMXVII 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 MMXVII 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 MMXVII 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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Property Medic New to house flipping? Need a diagnosis on a prospective rehab house? Do a walkthrough with Jeff Colgate — he can help you write a scope of work for the contractor you end up hiring.

JC4PropertyMedic@gmail.com

(502) 645-4375

Copyright MMXVII 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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When Is the Best Time of the Year to Buy Investment Properties?

By Frank Miller with Believe Investment Group Hello all, I am giving you a couple of my expert secrets, which help me do well in the real estate investing game!

Everybody always asks this question: Is the holiday season or the winter season a good time to buy investment properties?

Here’s my answer. The holiday season and winter months are the best times to purchase because: 1. Buying now tends to make a good tax write-off for the end of the year. Meaning if you had made a few investments earlier in the year, this will help to offset your income. Also, if you have a full-time day job, it will help you with offsetting your regular income.

2. Think of this — if you are purchasing real estate investment properties during the holiday season or toward the end of the year, your typical investment is going to take somewhere from 30 to 90 days to rehab. So the property should be ready to hit the market in February.

Just to let you know — most people don’t realize this — after the holiday season is over, lots of families come out of hibernation and start looking for a home to move into.

The reason why I am sharing this with all of you today is because February and March are some of my best months selling rehabbed real estate. So, don’t be afraid to purchase your real estate investments during this time of year. It will keep your contractors busy during the winter months and will also potentially give you bigger profits during the early stages of the new year, when there won’t be much inventory out there. Good luck and happy hunting!

Frank Miller's Believe Investment Group students headed out in the field, learning how to knock doors of properties in pre-foreclosure.

Copyright MMXVII 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 MMXVII 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 MMXVII 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

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Events to Watch for

Holiday Party Prepare to be amazed! Magic is coming back to Woodhaven Country Club.

Celebrity magician Joel Meyers will blow your mind. There will also be raffles and drawings for prizes (including a flatscreen TV). Great food! Free drinks! And … admission is free for KREIA members.

Thursday, Nov. 16.  December 13 — 11:45 a.m.-1:30 p.m. KREIA Indiana SubGroup Luncheon Meeting. Meets the 2nd Wednesday each month at Tucker’s Restaurant in New Albany on State Street and I-265. Open to all, but you buy your own lunch. Brian Haeseley chairs.

PRE-Pay Now at KREIA.com to Qualify for a Big Door Prize Drawing!