Master Mind Call # 3

October 13, 2011

CALL NOTES

Attended (14): Bobi, Iris, Brenda, Reine, Julie, Martel, Sara, Manny, Rod, Dave, Dez, Freda and new additions Helen , Donna

Missed (8):

Lynn, Svetlana, Ruth, Karen, Lauren, Wendy, Ali, Sheri

LEADER: Manny

TimeKeeper : Rod (in Wendy’s absence)

Notes - Julie

Master Mind Calls' Structure: - Review

Share biggest accomplishment -- see table below

Accountability for the goals we set -- yes or no -- see table below

Going over deals and deals structure

Set two goals for the next two weeks -- see table below

Quick Announcement – Iris/Bobi invited others to join us in calls and a couple are online with us to observe and maybe participate in all graduate MM meetings and calls. Iris & Bobi may invite others as time goes on, in small batches. These are to most active WARRIORS from other Challenges

WARRIOR / Biggest Accomplishment (s)Since Meeting / Accountability check on goals from last mtg. / Accomplished / Two new goals for the next two weeks
Ali / N/A / go through all past offers & see which ones are still available; begin adding all offers into ACT software; analyze Anaheim & do half my offers in Anaheim, & paint the trim in one room/day in my house.
Brenda / Found private Lender for $200K. Could be more $ with > 1 wk notice / find 4 REO agents that she likes and wants to work with, 15 offers REO/STD, 2 solid FSBO offers / Made 16 offers. Found 3 agents that are possibles and 1 maybe. Did 3 FSBO offers / 15 offers, call 8 REO agents.
Dave / Had wife go to Bruce Norris Luncheon & meet everyone / 10 offers on short sales within school area that have rating of 9 or / Got 7 offers in. Dripped on 7 people. Talked to a seller directly – maybe a lease option poss. Made an offer in Long Beach/probate being considered.. Back to 1 offer/day schedule / 10 offers. Follow up with buyers and add 10. Follow up on 2 SF deals (Whittier & Pico for OOT owners)
Dez / Stayed in contact w investor that does rehabs. They are willing to partner w her but at bigger $ amts. (Bobi recommends remembering Cappi advice and reminds that we all can help her go into something with big 3’s ! ) / Make 10-15 offers, recruits commercial realtors. / Interviewed VA’s for graphic design, did not post ad for Eval admin VA. Did Recruit new comm’l AND REO agents. Dripped 20 people and f/u w 6 on phone; got 1 new pvt lender. Updated domains. Visited a rehab and HDWC rehabs. Made 6 offers / 15 offers, and add 5-10 buyers. Door knocking w Julie/Freda.
Freda / Getting property in escrow. / 1 VA, 10 offers, get the VA to do the job. / Hired a VA but need to train them still. / Read/Finish 1-2 RE books.
Julie / 3 new buyers from 20 calls; increased marketing. Finished taxes! / at least 10 calls, door knocking @ least once, 10 offers to motivate sellers / 20 calls, no door knocking, 0 offers to Motivated Sellers but 6 offers to REO’s / 10 more buyers, 100 probate letters, new postcards to all market segment marketing
Karen / Raised another $100K & negotiated with investor compensation for bringing in money
Acquired MLS Access! Lost 2 lbs / redo management sheet, go over evaluation process with guidance, do redfin favorites / Offers- check., Redfin Favorites- check. Redo Management Sheet- no / schedule meetings with private $$,
-Ad 5 buyers to buyers list
-reach out to MLS guy
Lauren / Completed Offer status sheet / 15 offers - 1/day. Find a mentor / made five offers. Will be following up on all offers that aren't sold thanks to my now complete offer status sheet. / I'll email my accountability for next week later as soon as I figure it out.
Lynn / Invested in 3 other deals 2 SFH out of state, each to yield $250 per month, another "option" I purchased making 15% ROI. increased CF to $900/month. 1 size reduction for pants. Read 1 new book /
Attended Gary Johnston's Financial Freedom Principles; (either reducing expenses or creating income) per day.
Send out 100 yellow letters a week; Meet up in person with one seller, Make 4 offers/wk / Transfer old 401K money to SOLO K ; Send out 100 yellow letters a week. Met w seller presented several options, still in dialogue with seller for creative purchase; created a $20/ gap / Make 4 offers/wk. Finish reading 3 books I bought, close on 1 more deal within next 30 days, take mini vacation
Manny / Reviewed Business plan and started working on another for a bar! / 10 offers, 20 calls / 20 calls, 6 offers. / Work out 30 min 5x/wk; min. 20 calls, 7 offers, get in contact with min. 2 REO agents
Martel / Bought a tablet computer so he could sign contract without printing / 10 offers/ work out for 10 min. everyday / No to 10 offers, worked out 3-5 x’s/wk but not every day / 8 offers, working out 3x/wk for 30 min each time
Reine / Had 2 pvt sessions w Cappi (get rid of garbage) Got a property under contract! (Iris wants to see it sold by next meeting!) / 1 offer/ day for 5 days/week, talk to REO agent, get a VA for specific task / 5 offers tho not 1/day, talked to REO agents and started developing relationship, still need VA / Continue 1 offer/day. Become best friends with 3 REO agents. Walk 1 mile/day min. 3 days/wk
Rod / Went for deal needing construction loan. Got approval for $600K Loan. Locked in a refi for 4.6 for a rental. Increases Positive CF by $450. / Rod—drive for $$$, target in Covina/ Pasadena, go back to old offers and tag in Redfin / Did all ! has had good results with old listings / Follow up on Driving for $ leads. Send out yellow letters to them. Look at condos in OC for a condo & make 1 offer. Lake house Offer went in & is sending in 2nd offer (got details on sellers current loan). Clean out inbox.
Ruth / Attended 4 days seminar w/ Zack Childress. Attended 3 days CRE in Ontario, Attended 2 lunches with mentor for Mike Cantu. Revised goals for 2011, 2012, & 5 years goal.
Finished goal book with pictures
Lost another 2 lbs, / 15 offers including 5 seller finance offers, have VA call the expired listings / Did 24 offers for October
Did not finish 5seller finance offers Got a list of 50 multiple units to market for next week. Got a list of 10+ SFRs to market for next week. No VA yet / Lose 2 more lbs.
Setup social media for RE estate business and appraisal business
Hire a VA forRE business
Mail campaign of 100 letter each week for seller finance deals
Working on the buyer list
Sara / Did 6 offers HDWC, 1 personal offer for 4-plex, 4 creative offers for a 16-unit and other properties, applied for personal loan; got 3 more buyers; marketed properties/rentals, sent out 20 direct seller letters / Followup on all active offers. Develop more reltships w REO agents. Secure approval on a loan. Listen to Cappi every night. Make 12 offers. 30 letters to direct sellers. Pass out postcards for her listing in listing n’hood.
Sheri / Not on call / No info
Svetlana / counter offer, 100 calls, try 1 offer/day for 5 days/ week / yes - properties marked on redfin
yes - 100 calls
yes/no - did one offer a day, until i got out of country / 5 offers per week
shop for plex to buy and hold, make at least 3 offers
workout 15min/day,beginningTuesday + at least one class a week
Wendy / found the connection of some properties in out of state / 1 offer/ day, down to a size 3 by Oct. 14 / Made 5 offers and not a size 3 yet but got some definition! / 5 offers and will drive for $$ and put the letters out to those houses that I'll find.
Donna / 10 offers, 10 calls to sellers; liquidate annuity to get cash to use; do market segment for Ogden, UT and go there. Follow up on 3 LOI’s.
Helen / She likes to set goals she knows she can attain – so 5 offers; have condo in escrow by MM mtg.


2 new People: Donna and Helen

Donna - was in C-7: About Donna: Continues to write offers for HDWC and on their own as well. She has a business partner. Together they had several offers accepted and others that were negotiated but not accepted. Also trained some people to help with Evals – she & her partner double-check numbers.

Also she restructured Home office. Focuses on wholesaling (decluttered her home office) and is in the process of liquidating an annuity & looking for properties to purchase for more cash flow

Helen: Is currently writing offers for HDWC. Hopeful about picking up a condo soon and Iris/Bobi said they will help with whatever they can!

Added Helen and Donna to chart.

IRIS & BOBI COMMENTS ABOUT GOALS ETC:

If we did not do our goals, DO NOT BEAT OURSELVES Up – just try to push ourselves a bit more the next weeks and remember the accomplishments and focus on them. Be positive.

* We are a Drippy group and it is a good thing! Keep on dripping! It is more quality than quantity for us at this point, and more relationships.

* Manny added that, as Reine has been doing, we are building relationships and we should all realize and see the importance of that.

Current Deals & Deals Structuring:

Freda Deal – VERA Street: She asked that we PLEASE call our buyers and try to sell!

Details:

SFR in almost 1800 sq. ft.

5BR in Carson in decent residential area. More like 4 br plus office/bedroom. Light cosmetics have been done by bank. Cheap carpet, hardwood floors. Needs cosmetics to make pretty. Newer addition with master Bed/bath that is permitted.

Good for landlord if they want to close off rear and add a kitchen. (Bobi) This was possible exit strategy that made them go ahead and close

$240 WholeSale price. $25K-40K repairs depending. (25K for rental quality, $40K for kitchen and super nice rehab)

ARV: $350K. = 76% - repairs

Go to Dropbox to make flyers! And Freda sent flyer last week, will send another if needed.

REINE – 2 properties in Orange – Great Cash Flow! On Palm St.

1. ARV $560K Selling it at $408K. Area rents are $1900 +/- each house. 2/1 900 sq ft. almost identical. 1 building in between, unconverted garage with water damage which could be separate 1 br unit. (under the radar).

Repairs est. $35K-$40K Not really needed for rental but may need repair for unpermitted unit, and possibly rof repairs. Potential $100K+ Profit!

GREAT RENTAL AREA!! Because of students.

Higher end buyer area and deal. In Downtown Orange near Chapman Univ.

2.  Reine has another property but is has tenants in it (tho’ agent sent her an email that maybe they moved) so it will be looked at more over the weekend.

Ruth’s deal – 68th St. Did anyone send it out? Is it still in play?

Went for a price reduction, and deal was cancelled. Couldn’t get in because of tenant but had a potential buyer, so they are trying to help buyer get into it.

Next Meeting: Tue, Oct. 25th , 6:30pm - 9:30pm @ Tustin

* Meeting Leader - Brenda

* Meeting Timer - Lauren

* Note Taker - Rod

Hot seats & food volunteers for the 3rd Master Mind Meeting:

Ruth, Svetlana, Ali, Wendy

To Helen/Donna- Description of Hot Seat:

Warrior Poses a challenge you have as a question to the group – make it powerful.

New Accountability Partners:

Manny – Rod

Dez – Karen

Julie – Dave

Wendy – Ali

Brenda - Lauren

Karen - Dez

Ruth – Freda

Donna – Reine

Helen – Sara

Svetlana – Martel

Call your new accountability partner and agree on the time, frequency of calls, and who calls who. You know how it works =) Be accountable!

Iris will update the roster to add Helen and Donna’s phone #s.

ANNOUNCEMENTS: BIG WEEK!

Starting InvestClubforWomen in Los Angeles!

Inaugural meeting is Tuesday October 18, in Studio City at Sportsmen’s Lodge.

6:30 networking and 7pm meeting.

Bill Tan is speaker about exchanging and CREATIVE FINANCING.

Iris highly recommends hearing as many experts in Creative Financing as possible.

“Flex your Seller Financing Muscle”

OC Annual members can go to either club for free as annual members.

For Tuesday meeting Annual members can bring 1 person for free.

Wednesday is ICW Irvine/OC meeting. Guest is Randy Hughes speaking on Land Trusts. He will sell a 1-day class Iris says is excellent but Wed. class could be sufficient.

Friday meeting is members only meeting in LAKEWOOD. It is a rehab that fell out of escrow. Speaker is Dr. Janet about staging. It is also going to be good for building relationships and networking. They will email address out to all.

General Questions;

DEZ: Is it better to add a bedroom to a 2 br house to make it 3br for higher value?

-  ROD: If value is a lot higher than approx. $100/sq. ft cost to build it might be worth it but look at neighborhood. Layout matters a lot too. Crappy additions don’t add anything.

-  Bobi – Possible maybe to do for $100/ft but it adds SOOOOO much to time, costs, city permits, and maybe architects, building plans, can add 4-6 months to a rehab, but is not great for a beginner. Talk to 3 contractors AT LEAST, get a vibe from them, see if they have dealt with that area/city, do tons of research first. Recommends as a better strategy to find a bigger 2 br and then add a wall or something to create a 3rd bedroom. It is much less hassle, no architects

MARTEL: Having a hard time finding comps built in the same era as a subject property.

- BOBI: If there is a neighborhood that was built as a tract in the ‘40’s, 50’s or whenever, it’s always best to compare to that same era house.