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LIVE RADIO: Robert Campbell, America’s Foremost Authority on Real Estate Timing, Today at 1 pm PST

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ARE YOU READY TO DIVE DEEP FOR 2019?

This VITAL Realty411 radio show is produced in an attempt to FORECAST REAL ESTATE this year! Don’t miss this insightful episode.

Realty411 is diving deep into the underlying facets of finance, economics and investing today at 1 pm PST. Our goal is to educate readers on the most timely news, solid facts, and vital statistics to help them navigate the investment landscape this year.

To do this, we interview Robert Campbell who has been eating, sleeping, living and breathing real estate from the time he learned how to walk. The son of a successful San Diego home builder, he spent many hours as a youngster tagging along with his dad to the lumberyard, and later worked on his father’s construction sites to help pay his way through college.

But Robert quickly learned that there was far more to real estate than dirt, concrete, lumber and building materials. Early on, he learned that real estate markets are a lot like roller-coaster rides where spectacular climbs are frequently followed by spectacular falls. Robert graduated from UCLA and started investing in real estate at age 24, by borrowing $14,000 from his parents for the down payment on a 6-unit apartment house in San Diego. After doing some cosmetic repairs and raising the rents, he sold the property for an $11,000 profit one year later.

He was hooked for life!!!

Real Estate Accomplishments

Robert Campbell has had a multifaceted 46-year real estate career that includes:

1.  As a real estate investor, he has bought and sold over 40 rental properties.

2.  As a real estate developer, he has built over 50 homes and apartment units.

3.  As a California real estate broker (licensed in 1976), he handled the sales and mortgage financing for hundreds of clients.

4.  As a real estate advisor, he has been publishing “The Campbell Real Estate Timing Letter” since 2002.

5.  As a university lecturer, Robert Campbell spoke at the University of San Diego.

Academic Note: Timing the Real Estate Market was used by  Professor Elaine Worzala in her MBA class on real estate investment.

Be sure to CLICK HERE and listen to our important Realty411 Radio podcast today. Make time out of your busy schedule for today’s 1 pm live broadcast and have your questions ready. To talk to the host and Robert, please call: (646) 668-2589

CLICK HERE and set a reminder.

Or listen below:

Top FIVE Alternative Financing Available to Entrepreneurs

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by Teresa R. Martin, Esq.

Financing is indeed the most crucial of the puzzle for almost every business. Unless you have access to enough capital to bootstrap your business or raise it from family and friends, chances are, you’ll need a loan or investments.

When a conventional bank loan isn’t right for you, or if you’re looking for an additional injection of capital to grow your company, there are plenty of other options. Here are five alternate ways to finance your startup or grow your small business.

LOVE MONEY

This is money loaned by a spouse, parents, family or friends. A banker considers this as “patient capital”, which is money be paid later as your business profits increase.

When borrowing love money, you should be aware that:

  • Family and friends rarely have much capital.
  • They may want to have equity in your business: Be sure you don’t give this away.
  • A business relationship with family or friends should never be taken lightly.

RETIREMENT FUNDS

As with borrowing money from friends or family to buy a business, some might consider using money from a retirement nest-egg risky. That said , it can often be an effective way to invest in your entrepreneurial endeavors for more and more of today’s business buyers.

As laid out by the government’s ERISA law, you can invest your existing IRA or 401(K) funds to the purchase of a business without taking any early distribution and incurring penalties.

It’s even possible to combine money from your retirement fund with loans and other funding methods for greater flexibility. Many entrepreneurs choose to invest in a business they control because they believe the growth opportunity is greater; and they want to diversify a portion of their retirement holding outside of the stock market.

ANGEL INVESTORS

Angel investors invest in early-state start-up companies in exchange for a 20 to 25 perfect return on their investment. They have helped to startup many prominent companies , including Google and Costco.

Angels are generally wealthy individuals or retired company executives who invest directly in small firms owned by others. They are often leaders in their own field who not only contribute their experience and network of contacts, but also their technical and/or management knowledge.

They tend to finance the early stages of the business with investments in the order of $25,000 to $100,000. Institutional venture capitalists prefer larger investments, in the order of $1,000.000.

In turn for risking their money, the reserve the right to supervise the company’s management practices. In concrete terms, this often involves a seat on the board of directors and an assurance of transparency.

Angels tend to keep a low profile. To meet them, you have to contact specialized associations or search websites on angels.

SELLER FINANCING

Increasingly today’s more business-for-sale transactions are resting on a seller-s willingness to finance at least part of the sale. In a deal that includes seller financing, the seller takes part of the purchase price in cash and the remainder in the form of a promissory note that the buyer will pay back with interest over a period of three-to-five years.

This has become essential; buyers are having difficulty accessing funds through traditional methods, therefore there’s a natural gravitation toward seller-financed business to help offset some of the cost upfront.

Conversely, sellers who continue to say no to seller financing are finding it difficult to close a deal, and as more of them have realized this, there has been an increase in seller-financed businesses on the market. If you’re in the market for a small business it’s important to be aware of alternate funding options, but know that in some cases it’s still possible to borrow from a bank.

Government stimulus and bank policy have been trying to promote ongoing small business lending, although many banks are still more conservative than they used to be about when and to whom they’ll loan money.

CROWDFUNDING

Crowdfunding sites such as Kickstarter and Idiegogo can give a boost to financing a small business. These sites allow businesses to pool small investments from a number of investors instead of having to look for a single investment.

Make sure to read the fine print of different crowdfunding sites before making your choice, as some sites have payment-processing fees, or require businesses to raise their full stated goal in order to keep any of the money raised.

Today’s business-for-sale marketplace is full of exciting opportunities that will allow you to take your destiny into your own hands and with various options available there’s no reason to let a shortage of traditional capital sources get in the way of your dreams.

 

ABOUT THE AUTHOR

Dr. Teresa R. Martin, Esq. is a motivational speaker, author, million-dollar real estate wealth coach, business strategist, and legal counsel. She is living the life she loves and an teach you how to do the same!

As founder of the Generational Wealth Zone Group, Teresa R. Martin formed the original vision for a group of companies that would help clients create, manage, protect and grow their wealth. She is dedicated to showing individuals and entrepreneurs how to become financially empowered by turning the work they love into a profitable and sustainable business.

 

Best End-Of-Year Moves For Investors

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By Fuquan Bilal, NNG Capital Fund

What are the best end-of-year moves for investors and executives of investment firms?

There are a lot of obvious financial moves everyone should be making at this time of year. You definitely want to square away your accounting, make sure you’ve maxed out your self-directed IRA contributions, and are taking full advantage of any tax breaks you can for the year.

If you are really passionate about making things happen, like me, and you’ve been in the business for a couple of years, you already know that most others aren’t going to move at your speed during the end of year holiday season.

They are distracted and have other priorities. No amount of pressure is going to change that, nor be appreciated. It can even be counterproductive.

So, what I’ve learned is most productive for the last two weeks of the year is to focus internally – and take time to reflect on the last year, in addition to the direction to take for the first quarter of the new year.

Reflect & Retool

Looking at the past 12 months, what challenges were faced? How were they overcome? How can those solutions be systemized? What procedures can be implemented to avoid encountering those challenges again?

Looking at the math, how do we do even better next year? What were the payoffs we were achieving last January? How can we beat that?

How can we do better on vendor bills and operational costs?

Preparing for the New Year

Once we know what we want, where we want to improve and where we’ll focus, we can set those benchmarks, restructure, and be ready to go hard in the new year.

I like to be aggressive on making progress in the first quarter to get and stay ahead of the game. That’s a lot easier and smarter than trying to play catch up.

A lot of people and firms will probably be panicking and hunting extra hard to scavenge deals in January, after spinning their wheels a lot in December. We typically don’t make too many acquisitions in January, and right now have 3x the deal flow we need to meet our targets.

Later in the first quarter we may sell some more assets for liquidity to make additional acquisitions in Q2.

Providing our contractors have done their jobs well, we’ll let team relax a little bit on the flips too. If permits are in place, materials are lined up and the gut and clean up jobs are done – I’m happy to give them a little time with family. They are much better workers and members of the team for it.

Of course, personally those last two weeks of December are about working on myself and spending time with kids too.

This all helps to become more efficient and effective moving forward, and to get a good head start on getting to the next level, even before the new year arrives.

Article by Fuquan Bilal

ADDITIONAL RESOURCES:
Find out more about investing in secured debt and real estate, go to: NNG Capital Fund

Don’t miss insightful investment articles and exclusive features produced by Realty411 contributors and reporters, SUBSCRIBE NOW.

THE BEST REI NICHE FOR 2019 – Get A Head Start with this NEW Webinar

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-SPONSORED POST-

 

Hello Real Estate Investor or Property Owner;

How would you like to maximize the revenue from your properties and real estate investments? Right now, you have the opportunity to positively impact people’s families in their golden years. This same opportunity can be a consistent stream of cash for you as well.

I have found a new twist in the real estate market that will make pulling in consistent money from your properties super simple.

I will be teaching it on a Live Next Week!

2019 will be one of the best years ever for you explore the opportunity of owning your very own Residential Assisted Living Facility and creating a recession-proof real-estate venture.

HERE ARE THE FACTS:
Right now, there are 77,000,000 baby boomers…
Everyday 10,000 people turns 65 years old….
4,000 seniors turn 85.
Their #1 dilemma… Housing!
That dilemma is YOUR opportunity.

Let’s let the numbers tell the story:

The average cost for a private room in an Assisted Living Facility in the US is over $3,750 per month. A single-family home can net you $10,000 per month or more!

Imagine having financial stability unmatched by any other investment or business vehicle available. Residential Assisted Living is THE explosive investment opportunity for 2019.

Just ONE home can secure your financial future… FOREVER!

I will be walking you step-by-step through this awesome opportunity and I’m inviting you to join me for a FREE LIVE Training on how investing in just one of these homes will be one of the best business decisions you have ever made.

Seating is limited to the first 200 to RSVP, so click the link below and secure your seat.

RESERVE YOUR SEAT NOW! SEE YOU ON THE WEBINAR…

To Your Success,
Robert King

North Texas Developer Recently Arrested for $17.5M Fraud – Warning Signs to Look Out For.

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Texas Cash Cow Arrest — Beware of Real Estate Fraud

By Kathy Fettke

The arrest of a Texas developer, who’s well-known in the real estate industry, is a big reminder to thoroughly vet the people and deals you are working with. Phillip Carter of Frisco is accused of taking $17.5 million dollars from investors for development projects in North Texas but authorities say he used much of that money for his own personal needs. His wife, Shelley, and alleged accomplice, Richard Tilford, also face charges.

The Texas State Securities Board lists almost a hundred victims, many of whom are reportedly elderly and probably trying to boost their retirement portfolio. Now they face financial loss, and are likely wondering where they went wrong.

Who is Phillip Carter?

Carter is the owner of Texas Cash Cow Investments, Inc., although the website for that company no longer exists. He’s also the owner of North 40 Developments, LLC, which does have a website. It doesn’t mention Carter’s name anywhere, however, but it is located in Frisco.

According to Texas authorities, Carter and Tilford told investors their money would be used for the development of commercial and residential properties. The indictment says Carter used at least some of those funds for unrelated purposes, including personal expenses and the payment of an IRS tax lien.

It also says that Carter lied about his personal background — that he falsely claimed to have a chemical engineering degree from the University of Virginia and had worked as a project manager for Texas Instruments. It also says he made up the story about working and traveling with “Rich Dad, Poor Dad” author Robert Kiyosaki.


Trouble Begin in Early 2016

The indictment lists the names of all the people who invested with Carter in early 2016. Some contributed as little as $12,000 while others gave Carter as much as $700,000. It says that Carter held the money as a fiduciary for the purpose of funding investment opportunities that would result in a profit for investors. Instead, Carter is accused of using the money for personal reasons that have now put those funds at “substantial risk.”

Carter was apparently attempting to move forward with the projects but came up short on funds. Authorities say a $6 million check for labor and materials bounced in December of 2016. He reportedly borrowed $32 million from a Seattle-based private equity firm more recently to pay for construction costs on two properties. But, as one news story points out, the lender holds the first lien, which means that investors will only get paid if there’s any money left over.

His wife is accused of money laundering and the misuse of investor funds. Investigators say his alleged accomplice, Tilford, raised $6 million from investors, who are listed in his indictment. They say the funds raised by Carter and Tillman were mostly in the form of promissory notes.



Red Flags for Real Wealth Network

Investing in real estate is one of the most stable ways to build wealth, but it can also be one of the fastest ways to lose money if you have the wrong property, and worse, the wrong team. Unfortunately, these Texas investors are finding out the hard way, what they should have done differently.

If you were a Real Wealth Network member during the Great Recession, then you probably heard of Texas Cash Cow and Phil Carter. Back then, he was one of the largest turnkey operators in the country. He would buy large tapes of REO property from banks at highly discounted prices, renovate to like new condition, and offer on-going property management.

Many of Real Wealth Network members purchased property from Texas Cash Cow, and initially, we received rave reviews. But then something changed and we started to get complaints about property management.

At that time Phil came to us and said he was no longer focusing on single family rentals but instead was creating a new model. I don’t remember the details but it had something to do with buying or building apartments or condos and selling the individual units to investors. I told him that was something we would not endorse, and that was the last I heard from him.

It just didn’t make sense that a bunch of investors who don’t know each other could successfully own their own units in an apartment or condo complex — plus, I didn’t think any legitimate bank would finance it.

Author Kathy Fettke

There are many lessons here that I would like to share to make sure investors don’t make similar mistakes.

  1. If something doesn’t make sense, don’t do it. Just because you don’t understand it doesn’t mean you’re dumb. It might mean the deal just doesn’t make sense!
  2. If someone is trying to do something new, something they’ve never done before — don’t let them use your money to figure it out.
  3. When you lend money to a developer, make sure your funds are recorded in first lien position. Do not sign a promissory note that is not tied to property.
  4. When someone is raising money from investors, they must file with the S.E.C. even if it’s for a promissory note. I recently saw an email go out from another turnkey company in Texas saying that they were now doing syndications. I called them to find out more, and they told me they had a new opportunity, where investors could earn a flat return by investing as a private lender on their commercial property in Houston. I asked if they had filed with the S.E.C. They said they had not because it was a note and therefore they didn’t have to. I told them that was illegal. Apparently they didn’t trust my opinion as I saw another email go out with the same message.
  5. When you buy rental property, you can get inspections and appraisals to verify that what you are buying is indeed what you thought you were getting. It’s pretty straight forward. When a turnkey company starts doing something different than normal real estate, question it. Just because someone is an expert at one thing does not make them an expert at another. I heard that some investors bought property from a turnkey company in Chicago and closed on the property before the repairs were done, and the seller gave them a promissory note. That note was never paid when the company folded. Now why would anyone do that? Why would you close on a property before the work is done? Never pay any contractor before the work is done!
  6. Finally, if you do invest in a syndication, make sure the Use of Funds section is spelled out clearly.

Further Links for Additional Information:

https://www.ssb.texas.gov/news-publications/north-texas-developer-indicted-alleged-17-million-real-estate-fraud

https://www.ssb.texas.gov/documents-carters-tilford

https://smcorridornews.com/texas-developer-indicted-for-alleged-17-million-real-estate-fraud-from-elderly/

https://www.yelp.com/biz/texas-cash-cow-investments-frisco

http://www.northfortydevelopment.com/about/

 

 

Turbo Tips to Navigate Your Brokerage toward EXPLOSIVE Growth

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QUICKLY EXPAND YOUR BROKERAGE (OR REAL ESTATE INVESTMENT BUSINESS), LISTEN TO THIS WEEK’S SHOW.

Are you ready to grow your brokerage business quickly and effortlessly? Whether you’re a seasoned top producer or a newbie real estate agent, you’ll benefit immensely from this week’s Realty411 Radio podcast show.

This week, Realty411 Radio focuses on growth, expansion and increased productivity. And, we have an amazing guest that is going to help us navigate out of mediocrity and stagnation.

Justin Ford, CEO of Michigan-based Encore Real Estate Group, has EXPLODED his real estate business consistently over the past five years.

Starting as a rookie agent, with over 100 closed transactions in his first year of acquiring his license, Justin quickly expanded his brokerage to FIVE STATES in just the past two years. His goal is to have a brokerage in every state; and he plans on adding additional offices in 2019.

How did he do it? Why is Encore expanding while other brokerages are shutting their doors? What is Justin’s #1 secret of success?

Find out now… because Justin is ready to assist Realty411 listeners who also want to skyrocket their real estate business.

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