When I meet with agents for the first time, I ask them some insightful questions to help them better determine their goals.  I assist them in putting together a strategic plan to achieve those goals.  I give them the tools to achieve those goals through helping them change their mindset to one that will guarantee success, and also with educational materials, models and systems that they can use throughout their real estate career.

My job is to help my clients become clear about what they want, because when you are clear about what you want, you are able to achieve any goal you set for yourself!  Keller Williams Realty has all the models and systems to help any agent develop a career worth having, a business worth owning, and a life worth living!

If you know of someone who is struggling in their real estate career, please have them contact me today!  And if you’re thinking about a career in Real Estate, let me know!  This coaching program may be just what you need!

And as always, if you know of someone looking to buy, sell or invest in real estate, send them my way!

The Millionaire Real Estate Investor

By: Gary Keller with Dave Jenks and Jay Papasan

and some thoughts from Angi Bell, Real Estate Investor and Realtor Extraordinaire

Gary Keller believes, and I agree, that everyone has a chance to be financially wealthy.  It begins with a state of mind, a way of looking at the world, and ultimately evolves into a way of life.  Financially wealthy people think differently from the rest and as a result make different choices and enjoy more freedom in their lives.  It’s about living a large life.  It’s about having greater choices.  And one of the best ways I know to build financial wealth is real estate investing.

In order to achieve any goal, you have to have a Big Why.  When it comes to your financial goals, what is your Big Why?

A comfortable retirement?  World travel?  A Mercedes Benz?  Paying for your childrens’ college educations?  Paying for your daughter’s wedding?  A boat?  Funding your favorite charities?  Starting your own non-profit organization to help others?   (Remember that money is good for the good that it can do for you and for others!)

If your Big Why is to seek the limitless opportunities that come with financial wealth, Gary Keller says you may realize that some of your current spending decisions are working against your long-term financial aspirations.  He cautions that if you’re going to live as an investor, you will initially have to live a life of less consumption that the media would have you believe you should.

Do you work for your money or does your money work for you?  We all have a fundamental choice in our financial lives: the path of earned income or the path of unearned income.  On one path you get paid only for what you do; on the other you get paid no matter what you do.

The Money Matrix tells the story of how the rich get richer and the poor get poorer.  It helps people identify whether they are investors or consumers and whether their money works for them or they work for money.  The essential difference between the two is the importance they place on the four roles of money:

• Capital – money invested in anything expected to grow in value
• Cash Flow – money generated from those investments
• Cash – money held in reserve for security or future investments
• Consumption – money spent on anything not expected to grow in value

Investors build their financial lives on Capital and see money as an opportunity to invest; Consumers build their financial lives on Consumption and see money primarily as an opportunity to spend.

So why Real Estate?

1. Accessible – anyone can buy it (just ask Melanie Fernandez!)
2. Appreciable – it increases in value over time (real estate has consistently increased in value at about 6.1% annually)
3. Leverageable – you can buy it on margin and borrow against the equity
4. Rentable – Cash flow! Cash flow! Cash flow! (rents have been appreciating over the last 30 years at an annual rate of 5.3%)
5. Improvable – you can increase its value through sweat equity
6. Deductible/Depreciable/Deferrable – great tax benefits (just ask Matthew Person!)
7. Stable – slow to rise and slow to fall (from 1973 to 2003 the standard deviation for real estate was 4%)
8. Livable – it can be shelter in more ways than one

So how realistic is this for you and me?  Well, right now, there are 67 livable properties for sale in Metairie and Kenner that are priced between $75K and $125K (with an average price in this group of $105K).  These properties average 3 bedrooms and 1 bath, with about 1200 square feet of living area.  Rents in the Metairie/Kenner area average about $1.00 per square foot, which means the average rent for these homes would be $1200 (depending on neighborhood and condition).

Let’s assume the average home in this group would sell for $100K (which is 95% of the list price).  The following represents estimated values:

This same property can be purchased via owner financing or a mortgage loan.  A buyer might expect to borrow 80% of the purchase price at 4.5% interest.   The estimated Principal & Interest payment on this loan would be about $400.  Let’s look at the return on your initial investment of $20K:

These examples are simplified and of course there are many factors that go into pricing, financing, interest rates, insurances, taxes, etc. but I think it’s pretty obvious that investing in real estate is a smart thing to do.

Last year I heard a story about a teenager whose father drove him into a working-class neighborhood filled with hard-working young families and stopped in front of a modest home.  He said, “you see that house, son? That house is going to pay for your college education. Your mother and I bought that house when you were a young boy. The people who’ve lived there over the years have paid the mortgage on that house and it’s almost completely paid for. When you graduate from high school, we’re either going to sell that house or borrow against it and fund your entire college education. You will have no barriers to school, no matter where you want to study.”

That story moved me emotionally AND physically.  It got me into some serious ACTION and I began to read and study and research this powerful investment tool.  I have since worked hard to grow my own investment portfolio and am well on my way to owning an impressive group of rental properties that will allow me to live a financially stress-free life.  And the good news is that there are many who have gone before us, making all the mistakes and learning all the valuable lessons, and all we have to do is follow their models.  As Gary Keller says, “Big Goals powered by Big Models lead to Big Success.”

Are you ready to become a Real Estate Investor?  I can help!  Schedule a meeting with me to find out more!

“Money lives on the other side of fear.  But in a bigger sense opportunity lives on the other side of fear as well.”   (Gary Keller)

1% of Buyers bought an Open House that they saw

3% of Buyers bought for a combination of reasons

3% of Buyers bought an advertised property

7% of Buyers were referred by a relocation company

8% of Buyers responded to an Open House but purchased a different home

18% of Buyers responded to an ad but purchased a different home

20% of Buyers responded to a For Sale sign

40% of Buyers bought as a result of Realtor contact

Agents who are still spending money on print advertising are hoping to pick up that 18% of Buyers who are looking at property ads.  Notice that these people don’t even buy the home they’re seeing advertised!  Much like the Buyers who go to an Open House but buy another property, the agents who are still doing print advertising and holding Open Houses are hoping to snare these folks and sell them something–anything!  When you do business with a Realtor who makes it her business to build strong relationships with lots and lots of people, who is on the phone and online every day looking for Buyers and Sellers, who is building brand recognition so that more people know her and trust her, you have a much better chance of selling your home because the largest section of the pool of Buyers (60%) is exactly who she is targeting.

Just a thought…

And what do I do to ensure that once we get this larger selection of Buyers that we have the best chance of getting them to make an offer on your house?  Well, that’s where my 10-Point Marketing Plan comes in.  That’s right, I actually have a written Marketing Plan!  Most agents simply put a sign in your yard, put your house on the MLS (Multiple Listing Service) and pray it sells!  I guess you could call that the 3-P plan.  I add more P’s and lots of other good stuff too!  Like being Proactive…and Persistent…and Productive!  Of course it all starts with a consultation.  We discuss your situation, determine your motivation, and find out what you really want and need.  From there I consult with you regarding condition and price.  Once we’re clear on your goals and the current market conditions, I kick into high gear.  I bring in a professional stager to help you get your home in the best condition possible.  I bring in professional photographers to take the best photos possible so that your presence online and in the marketplace is stellar.  Then I begin marketing in earnest, both online and on-site.  I optimize your presence on the internet and then I get on the phone and the internet and start selling your home–to other agents (who will sell it to their buyers) and to everyone I know!

If you or someone you know is thinking about selling, contact me today for a free, no-obligation consultation to see if now is the right time for you to make a move!

If you’re still listing to the news or reading the paper, and “they’re” telling you that the sky is falling…DON’T BELIEVE THEM!!!  Rubbish!  Things are moving and shaking here in our neck of the woods!  Want some real proof?  Check this out!  (Drum roll, please…)  The Wall Street Journal has voted New Orleans as THE MOST IMPROVED CITY IN THE NATION FOR BUSINESS!!!!!!!   Sirens and bells and whistles and streamers and confetti and shouts of glee!!!

This new ranking adds to a growing list of recent accolades  for New Orleans including:

• Forbes named Greater New Orleans “America’s Biggest Brain Magnet
• Forbes named the New Orleans region the “#1 Metro for IT Job Growth in USA” and “#2 Best Big City for a Job”
• Site Selection magazine noted the city’s turnaround, calling it the “New Orleans Miracle”
• Southern Business & Development included the New Orleans area as its 2011 Co-Major Market of the Year
• Business Facilities included the New Orleans metro region as a Top 5 Logistics/Distribution/Shipping Hub”

Want more info on this outstandingly upbeat and promising info?  Check out The Wall Street Journal and The New Orleans Business Alliance.

So what does all of this good news mean for home buyers and sellers?  Well, it means that if you’re buying, you’d better get on it before rates go up and the news gets out that we’re the #1 Brain Magnet!  Everyone will be wanting to move here and you’ll be competing with lots more buyers for your dream home!  And if you’re a seller, get your home spruced up and ready because a buyer may be just around the corner!

If you’re thinking about buying, call me today for your free Home Buying Consultation. You simply MUST work with a Realtor who will represent your best interests at all times (oh, and did I mention my services are FREE to you???!!!).  And if you’re thinking about selling (ready to upsize or downsize?), call me for your free, no-obligation Market Analysis to determine if now is the right time for you to make a move!  I can’t wait to work with you!!!

• 

  8 Tips for Finding Your New Home

  A solid game plan can help you narrow your homebuying search to find the best home for you. Read

2.  Determine the best price for what’s going on in the market right now. We assess the current state of the market and what comparable homes are actually selling for by reviewing a Comparative Market Analysis (CMA) on your home. That way, we can objectively determine its fair market value and price it right.

3.  Prepare your property so that it is in top-selling condition. Most of us don’t keep our homes in top-selling condition. I will work with you to help you see things from a buyer’s point of view. I will consult with you on what to repair, replace or remove so that your home makes a GREAT first impression.

4.  Implement time-proven, research-based marketing strategies. Your home will be marketed with a 10-point marketing plan that has the highest potential for bringing not only the most buyers, but also the most qualified buyers to your doorstep.

5.  Show your property. Always keep your home in top-selling condition. When you leave for work, make sure that your home remains in top-selling condition. You know what they say about first impressions!

6.  Receive an offer. When a buyer decides to buy your home, an offer will be presented. I will advise you on the offer and whether the buyer is qualified to purchase your home.

7.  Negotiate to sell. Most offers require some level of negotiation. We will work together to decide your parameters and I will negotiate on your behalf.

8.  Have your home appraised and inspected. Once you have accepted an offer, I will work with the buyer’s agent to coordinate an appraisal and inspections. If the buyer requires that certain repairs be made on your home, I will continue to negotiate on your behalf and recommend vendors so we move successfully from contract to closing.

9.  Prepare for closing. Prior to the closing, I will contact the title company and the buyer’s agent to ensure that all the necessary forms and documents have been prepared. I will review the closing documents with you and let you know what additional forms and information you need to bring to the closing meeting.

10.  Close!  At the closing, ownership of your property is legally transferred to the buyer.  I will be present to advise you and ensure that everything goes according to plan.

Filed under: Home Selling, Things You Want to Know! ]]> http://angibell.wordpress.com/2011/11/03/what-are-the-steps-to-a-successful-home-sale/feed/ 0 angibell http://angibell.wordpress.com/2011/10/27/should-you-list-your-home-for-sale-during-the-holidays/ http://angibell.wordpress.com/2011/10/27/should-you-list-your-home-for-sale-during-the-holidays/#comments Thu, 27 Oct 2011 13:02:51 +0000 angibell http://angibell.wordpress.com/?p=352 ]]> The answer is a resounding YES!  Many people think putting their home on the market during the holidays is a bad idea.  They think that people aren’t out looking for a home during this time of year.  Well, they’re wrong!  This is a great time of year for buyers!  They’re happy and full of holiday cheer and ready to buy!  Many dream of being in their home in time for the holiday season.

For smart sellers, that is great news!  And here’s why:

1.  Most homes are spruced up and decorated during the holidays so they show better and people feel happy when they walk into a well-decorated, festive home.

2.  There’s less competition (because those other sellers who think this is a bad time or don’t want to be bothered during the holidays are not putting their homes on the market).  It’s simple economics, demand typically exceeds supply during this time of year.

3.  Sellers are still losing equity by delaying the sale of their home.  We may be skating at the bottom of the market or we may still have a little way to go before we hit bottom, but either way, we’re definitely not on the way back up yet, so delaying the sale of your home could mean you’re losing even more equity.

4.  People who are transferring into the New Orleans area are likely going to have a January 1 start date for work so they need a home now!

5.  People tend to be more emotional during the holiday season, and when people are more emotional, they are likely to pay more for things, including your home!

6.  If you let me market and sell your home NOW, you could spend the holidays in YOUR NEW HOME!

If you or someone you know is thinking of making a move, contact me TODAY for a fee, no obligation consultation!

A: Not necessarily. Most forms of Federal Disaster Assistance require a Presidential declaration. Federal Disaster Assistance declarations are only
awarded in less than 50% of flooding incidents. “Free Money” in the form of grants is limited and usually difficult to get. The average individual
and family grant paymetn is less than $2,500. The most typical form of disaster assistance is a Small Business Administration (SBA) Loan that must be repaid with interest. Repayment on a $50,000 SBA loan is roughly $300 per month.

If you are in an X Flood Zone, you can still experience a loss from flooding!  Remember Katrina??? And if you are in an X Flood Zone it’s likely that your coverage will be fairly inexpensive. You can’t afford not to have flood insurance!

Many of my clients trust Richard Garrity with Riverlands Insurance for their home, car and business insurance needs. Richard has over 31 years of experience in this industry and he does a great job educating home (and business) owners about their options and making sure they’re getting the best coverage at the best rates possible. NOT ALL POLICIES ARE CREATED EQUAL!!!

Call Richard at 985-652-5505for more info. And tell him I sent you!

The recent mortgage debacle has resulted in some pretty tough restrictions on home buyers today.  Those rules are constantly changing and getting even tighter, but one of the main things that’s changed is that buyers can no longer get 100% financing for their mortgage.  Some would argue that we never should have allowed such lenient lending practices, but the fact is that it got many people into homes that never would have had the chance otherwise.  Closing costs can range anwhere from 2.5%-4.5% (sometimes even more) of the price of the home.  With the most affordable down payment being 3.5% with an FHA mortgage, that means buyers can be required to come up with, on average, 7% of the purchase price of a home.  With average home prices hovering around $173,000, that can mean buyers need about $12,000 in cash to get into a home.

Now there are many different loan products available, and pricing and fees vary along with insurance rates and several other factors, but I’m talking in generalities here.  Contact a reputable mortgage lender with lots of experience in the business to find out more info about the lending process.  I would recommend Melanie Fernandez with Eustis Mortgage.  Melanie has over 35 years in the mortgage industry, and she does a fantastic job of helping her clients understand the process and get the best rates and pricing possible.

Anyway, back to my example.  How many people do you think have $12,000 saved up to buy a home, especially if it’s their first home and they have no equity to transfer?  Not many, I can tell you from experience.  So what’s a wishful buyer to do?  

Well, they’re asking the seller to contribute towards those closing costs.  (Again, a caveat…different mortgage programs have different rules about how much the seller can contribute.  Talk to Melanie to find out more.)   Using the FHA model, a buyer has to come up with 3.5% of their own money (although family members can help them with a cash gift).  The rest (up to 6%) can be contributed by the seller.  Recent studies have shown that 43% of all buyers receive some closing costs from the seller.  Of those who did, they received on average 2.6% of the sales price.  Using the average home price of $173,000, that’s about $4500.  75% of buyers who received closing costs received at least $3000. 

The question becomes, is the seller really paying these closing costs or is the buyer just manipulating the numbers and rolling those costs into their mortgage?  Who cares???!!!  The bottom line for the seller is still the bottom line.  If a buyer makes an offer of $175,000 with the seller paying $4500 of the buyer’s closing costs, then the buyer is, in effect, offering $170,500.  Pretty simple, right?

I tell my sellers of modestly priced homes to expect offers where buyers are asking for a contribution to the closing costs.  And I work with buyers who regularly ask for these same contributions.  It’s really just a sign of the times.  It puts more buyers into the buyer pool, which is good for sellers.  And it puts more buyers into homes that they otherwise couldn’t buy, and that’s good for buyers.  And it keeps the wheels of home ownership, which is one of the most important factors in our economy, turning…which is good for all of us!

Any questions?  Contact me today!  I’m always here to answer your Real Estate questions as your Real Estate Consultant for Life!