Villa for Rent in Bali

Your girlfriend рlаnnіng fоr а hоlіdау оr а hоnеуmооn thіѕ ѕummеr? Arе уоu оn ѕtrісt budgеt, but ѕtіll wаnt ѕоmе grеаt ѕіghtѕееіng аnd lаvіѕh сuіѕіnе оn уоur рlаtе? Thеn whу nоt trу оut thе trорісаl іѕlаndѕ thіѕ уеаr? Bаlі in Indonesia, this hоlіdау dеѕtіnаtіоn іѕ соnѕіdеrеd tо bе аn іdеаl hоtѕроt fоr соuрlеѕ аѕ wеll аѕ fаmіlу for еnјоу аnd rеlаx whеn уоu аrе оn уоur summer vасаtіоnѕ. Bаlі іѕ rаtеd аmоng thе tор 100 hоlіdау dеѕtіnаtіоnѕ аrоund thе wоrld in the past 3 years.

It іѕ grеаtlу рорulаr fоr іtѕ сulturе, trаdіtіоn аnd аlѕо fоr thе hоѕріtаlіtу аnd саrе оf thе lосаlѕ оvеr thеrе. Bаlі hаѕ а lоng tourism hіѕtоrу оf іtѕ оwn, whісh dеfіnеѕ fоr іtѕ blеndеd сulturеѕ аnd tаѕtеѕ. Inіtіаllу thе Dutсh wеrе vеrу аttrасtеd bу thе nаturаl grееnеrу, hоtѕроtѕ аnd wіldlіfе оn thіѕ іѕlаnd, аnd thuѕ thеу mіgrаtеd hеrе. Thеу buіlt lаvіѕh соlоnіеѕ аnd Bаlі vіllаѕ fоr thеіr реrѕоnаl uѕе, whісh wеrе grеаtlу rеfіnеd оn bоth tаѕtе аnd аrсhіtесturе. Thе colonial vіllаѕ tарреd еvеrу раrt оf nаturе thаt wаѕ nаturаllу аvаіlаblе оn thіѕ іѕlаnd.

Thе рrіvаtе vіllаѕ ѕtіll ѕtаnd tаll tоdау іn Bаlі, аnd аrе оwnеd bу реорlе whо lеt thеm оut tо tоurіѕtѕ whо vіѕіt thе рlасе. Thеѕе vіllаѕ аrе bеаutіfullу dеѕіgnеd аnd рlаnnеd, wіth wаllѕ аnd сеіlіngѕ оf wооd, аnd flооrѕ mаdе оf ѕtоnе tha make a unique bali villas style. Bаlі hаѕ а hоt аnd humіd сlіmаtе, that why most of the vіllаѕ аrе ѕрасіоuѕlу buіlt tо lеt іn thе gеntlе brееzе thаt blоwѕ асrоѕѕ thе рlасе. Sоmе оf thеѕе vіllаѕ hаvе nоw bееn rеdеѕіgnеd іntо lаvіѕh fіvе ѕtаr оr еvеn ѕеvеn ѕtаr vіllаѕ аnd ѕuіtѕ, wіth fullу аіr-соndіtіоnеd bеdrооmѕ аnd lіvіng rооmѕ. Fоlіаgе іѕ mаdе а раrt оf еvеrу rооm, ѕо thаt уоu fееl уоu аrе lіvіng wіth nаturе аll thе tіmе.

Aраrt frоm thіѕ, thеѕе vіllа for rent in Bali аlѕо рrоvіdе уоu wіth а реrѕоnаl сhеf whо іѕ trаіnеd іn wоrld сlаѕѕ сuіѕіnеѕ, аnd саn ѕеrvе уоu аnу рlаttеr уоu wіѕh fоr, аnуtіmе аnd аnуwhеrе уоu dеmаnd. Whаt mоrе саn уоu аѕk fоr оn ѕuсh а lаvіѕh hоlіdау аѕ thіѕ оnе? Thuѕ gоіng fоr Bаlі Vіllа Rеntаl іѕ а grеаt орtіоn іndееd. But іf уоu аrе оn ѕtrісt budgеt уоu nееd nоt wоrrу. Thеrе аrе ѕоmе рrіvаtе vіllаѕ thаt аrе rеаllу сhеар аnd аffоrdаblе, аnd оffеr thе ѕаmе ѕеrvісеѕ аѕ gооd hоtеlѕ. Nоw, іf уоu wеrе рlаnnіng tо bооk а gооd fіvе-ѕtаr hоtеl іn Bаlі fоr уоur ѕtау, уоu саn орt fоr thе vіllаѕ аѕ wеll, bесаuѕе thеу соmе аt nеаrlу thе ѕаmе соѕt.

Whаt dіffеrѕ іѕ thе еxреrіеnсе аnd thе еnјоуmеnt thаt оnе іѕ guаrаntееd оn thеіr ѕtау іn thеѕе home. Thеrе аrе mаnу lосаtіоnѕ whеrе уоu саn ѕеlесt уоur vіllаѕ resort. If уоu аrе оn thе lооk-оut fоr ѕоmе bеаutіful ѕаnd bеасhеѕ аnd раrtуіng nіght-lіfе, thеn Sеmіnуаk іѕ thе рlасе уоu ѕhоuld bе іn. If уоu аrе реасе lоvіng аnd lоvе thе соuntrу ѕіdе mоrе, thеn Cаnggu іѕ а ѕроt уоu ѕhоuld соnѕіdеr rеntіng а vіllа іn. Yоu саn ѕее thе vаѕt rісе аnd раddу fіеldѕ frоm thеѕе vіllаѕ. If уоu аrе а lоvеr оf аrt аnd сulturе, thеn Ubud resort іѕ thе рlасе fоr уоu. It hаѕ ѕоmе аmаzіng аrt wоrkѕ fоr уоu tо ѕее аnd аdmіrе the spirit of this place.

Dunwoody Real Estate - The 'Wow' factor

7705 North Spalding Drive - Dunwoody, GA

The homeowner did an absolutely beautiful job renovating this home.  She picked out every piece of tile, trim, paint color, and fixture, etc.  My job as an interiors and real estate photographer is to make sure this is seen and given the 'Wow' factor it deserves.

So here are 5 real estate photography tips to get you started on your next listing.

1. Keep the walls straight. The walls should never be leaning in, out or bowed.

2. Get windows properly exposed.   A window that looks like a blast went off outside totally ruins the interior. It's overlooked. It's like a moth to a headlight. Yikes!

3. White is white. Photographs with a yellow, green or a blue tint  means your camera white balance is off.  (A very good blog topic for an upcoming blog.)  Those tints showing up in your photos completely take away from the interiors information and message.

4. Use a tripod. It will reduce camera shake and blur.  Detail work should never be a blob of color. The owner put a lot thought and work into the floors and you can see the detail throughout the home.

5. Use a Photographer who specializes in Real Estate and Interiors.  In the long run it will save you time and money.


Liz Lopez Photography
Specialzing in Real Estate and Interiors

Real Estate: A Free Guide to Sales and Essential Terms

All you need to know about agents, listings, and home sales

Real estate sales can be a confusing process for home buyers and sellers. Reading this brief article will help you understand the step-by-step process of a real estate transaction as well as the essential roles of real estate agents, brokers, and escrow professionals. Whether you are buying or selling a home or business, taking on a new mortgage, or looking to invest in real estate, you will be better equipped to succeed if you have good knowledge of the important terms and steps in a property sale.

Real Estate: A Free Guide to Sales and Essential Terms

Real estate sales can be a confusing process for home buyers and sellers. Reading this brief article will help you understand the step-by-step process of a real estate transaction as well as the essential roles of real estate agents, brokers, and escrow professionals. Whether you are buying or selling a home or business, taking on a mortgage, or looking to invest in real estate, you will be better equipped to succeed if you have good knowledge of the important terms and steps in a property sale.

Essential terms in real estate

Real estate is a legal term which refers to land and the fixtures upon it, including buildings. In the United States, residential and commercial real estate are the two main categories of real property. Ownership interest in real estate can be bought, sold, mortgaged, and exchanged. An owner can also lease property to a tenant in exchange for rental payments.

Real estate broker and real estate agent (salesperson): Brokers are licensed under state law to assist buyers and sellers with real estate transactions. Brokers are normally paid on commission as a percentage of the property’s sale price. Agents, who also must be licensed, work on behalf of brokers either as employees or independent contractors.

Agents have the most visible role in listing and marketing sale properties as well as representing prospective buyers. If you see a property listed for sale with Jane Smith at Prudential, Century 21, or RE/MAX, for instance, then Jane Smith is probably the agent whereas the head of her office would be a licensed broker who could legally facilitate the transaction.

Multiple Listing Service (MLS) and real estate listings: When a seller agrees to let a broker and agent sell his or her property, it is then listed for sale. In recent years, brokers, agents, and potential buyers have turned to centralized online listing services. These are known collectively as the MLS. There are several different MLS listing sites, some of which are open only to members and others open to the general public. An MLS service generally combines the listings of brokers who are members of that service, such as the National Association of Realtors in the United States or the Canadian Real Estate Association north of the border.

Commissions are a percentage of the property’s sale price, due at closing, which normally are paid by the seller to the listing broker. If the buyer is represented by an agent also, then the commission is split with that agent’s broker as a finder’s fee for delivering a willing buyer. The brokers, in turn, will pay their agents a portion of their commission. Generally, these amounts are set by the time the property is listed.

Mortgage loan: A mortgage loan is a loan to finance the purchase of real estate. The mortgage itself is the borrower’s pledge of a property as security (collateral) to secure this loan. The bank or other lender therefore receives assurance that if the borrower defaults on the payment obligation, then the lender can seize the property and sell it to pay off the loan. This process is known as foreclosure.

Deeds are legal documents (instruments) which grant a right, in this case title to property. There are several important types of deeds, and it is important to know the basic differences. As a seller, you should know what you are promising under the law, while as a buyer you should know what interest and warranties you are receiving.

General warranty deed: This is a type of deed where the seller (grantor) guarantees that he or she has good, clean title to the property and has the right to transfer a full ownership interest to the buyer. In this type of deed, the seller is warranting that there are no competing claims on the title and no hidden liens or encumbrances such as easements. If this type of deed ever fails in the future, then the seller (grantor) is promising to compensate the buyer (grantee) for the value of any loss as a result.

Special warranty deed: This is similar to a general warranty deed, but it may be slightly more limited. For example, the warranties may be limited to any defects or issues that arose after the seller’s interest in the property began. There are other variations on special warranty deeds, depending on the particular state and transaction.

Quitclaim Deed: This is the simplest type of deed, with no special warranties. The seller promises only to deliver the buyer with the same interest that he or she (the seller) has in the property. The seller’s title may be very good or very poor; it is the buyer’s responsibility to conduct due diligence and bear the risk of any future issues with the title. After this type of transfer, the buyer has no recourse against the seller for any type of competing claim, lien, encumbrance, or other title defect.

Deed of trust: This is a mortgage deed, as used in some states, not a deed used to transfer title to property.

Bargain and sale deed: This type of deed, often used by executors of estates or by public officials after a property is seized for tax default, implies that the grantor has good title to transfer to the buyer, but includes no separate warranties of title.
Grant deed: In some states, grant deeds are routinely used to transfer property. They must contain a legal description of the property, be signed by all people transferring the property, and be notarized. No special warranties are included. In these same states, title insurance is often used as a means of ensuring against any future risks.

Title, Chain of title, and Title insurance: When an owner of property has the full legal right to control and dispose of that property, he or she is said to have title. This is often evidenced by a legal document such as a title deed or certificate of title. Chain of title refers to the history of title for a particular property, including all its past sales, transfers, liens (e.g. mortgages) and other encumbrances (e.g. easements granted). To ensure good title and protect against defects, one can search the property’s title history and make certain that there are no such problems. Title insurance is often purchased at the time of property’s sale to protect against the possibility of any title claims and defects.

Additional terms are covered in the following step-by-step overview of a property transaction.

The sale of real estate, step-by-step

A seller decides to sell a property. This could be any type of property (residential, commercial, industrial, agricultural, etc.), but for purposes of this overview we will cover a simple residential property sale. The seller talks with an agent and signs an agreement allowing that agent to list the property for sale on his or her behalf.
The property is then listed on the MLS (Multiple Listings Service), which other agents and prospective buyers can search online. Agents may further promote properties using sandwich-board street signs, newspaper ads, open houses, and other methods of selling.

A potential buyer, who is represented by an agent, looks at the property and decides to make an offer to buy it. The amount offered may be less than the listing price and/or the buyer may include other conditions for negotiation (e.g. “seller will fix the broken window in the living room before the close of sale.”) Normally, the buyer also puts down a good faith deposit (earnest money) to indicate his or her seriousness. This deposit is kept by the broker or escrow professional until closing, though if the buyer defaults after contract conditions are met, this deposit may be forfeited to the seller.

The buyer’s agent then transmits a legally-binding offer to the seller’s agent, who informs the seller. If the seller accepts, then they have a deal, and a contract is formed to sell the property at the price offered by buyer. Alternatively, the seller may reject the offer or make a counteroffer, in which case their negotiations may go back and forth a few times before everyone is satisfied.

Once they have an agreement, the clock begins ticking. The closing date, which is specified in the contract, is the date when the sale becomes final and ownership interest in the property transfers from seller to buyer. The period of time before closing is popularly known as escrow.

During escrow, each side must work to meet the conditions of the contract so that the sale can be finalized. The seller must ensure that the property has a clean title, that any promised warranties are fulfilled, and that any defects in the property’s title or condition are fixed before the sale closes.

The seller must provide the buyer with any disclosures that are required by law (e.g., lead paint). The buyer also has a right, during escrow if not before making the offer, to order inspections of the property (e.g. structural and pest inspections). If there are any unsafe or unforeseen problems, then either the seller can get them fixed or the buyer can negotiate them into a discount.

The buyer’s major obligation before closing is to come up with the money to buy the property. Often, this means arranging for financing in the form of a mortgage loan (loan secured by the property). As the contract usually includes financing as a condition, the buyer normally informs the seller (via their agents) once the financing has been secured so that this condition is removed. If the buyer cannot obtain needed financing, then the sale can fall through, although if it is a matter of timing, then the buyer may be able to negotiate an extension to the closing date.

There are a great many details during escrow, which normally are overseen by a closing professional. In states where title companies are used commonly for title insurance, then a title or escrow agent can oversee closing details, including clearing title, disbursing funds, recording the deed and security documents, paying off existing liens or mortgages and prorating property taxes to ensure a complete closing. In other states, the closing professional may be an attorney or paralegal, the mortgage lender, a broker, or another third party.

In the final days before closing, the buyer or buyer’s agent normally has the right to inspect the property. This is known as a walk-through. Any remaining defects are reported to the seller, who still may fix them or agree to an adjustment of the final purchase price.

At closing, the seller delivers access and title to the property in exchange for the buyer’s payment of the purchase price. The parties need not be present at the time and place of closing as long as the proper closing documents have been completed and signed.

The closing professional should then make sure that all money is disbursed, including commissions, and that the transfer of interest is properly recorded.

Marketing Your Real Estate Investing Business for "Guaranteed" Success

Creating an amazing future buying and selling real estate for profit

How to write compelling letter's and postcard's that get seller's and buyer's to respond immediately.

This topic seems to be the most challenging for most investors. I know when I first started this was a big hurdle for me. So we’ll start out with finding leads. I don’t know about you, but I want sellers calling me with properties for sale. I didn’t want to be the one calling them. I hear about investor’s cold calling the FSBO’s (For Sale by Owners) in the newspaper.

I personally would rather have my finger nails pulled off trying to cold call a potential seller in the newspaper.  I’m not saying that calling on the newspaper ads wouldn’t turn up a deal or two. What I’m getting at, is you need specific questions answered in order to find out if this is a deal.

How many sellers that you contact from an ad in the newspaper would give you their loan balance? Not too many. But if they call you off your marketing,  in most cases they would give you all the information that you ask for providing they need to sell their property and are motivated.

It’s about positioning your self for success. Let seller's chase you to sell their property, NOT the other way around.

So let’s get into how to get consistent leads. If you’re just starting out and your real estate marketing funds are limited let me give you a few quick ways to locate Seller’s.

Drive specific neighborhoods where you want to buy property. Make sure if you’re looking for fixer uppers that you’re NOT in a gated community. Stay in an area where you know that these homes need some work. Drive the area and take down addresses of properties that have over grown lawns, the paints pealing, the roof is in bad condition. The property should look ugly compared to the rest of the houses in the neighborhood. After you collect 10-20 addresses you now have to go back to your office and look up the owners on your property appraiser’s website. I’m here in Seminole County so my property appraiser’s website would be “Seminole County Property Appraisers.” You’ll write down the name and address of the owners and send them a letter or postcard stating that you purchase properties in this area.

You can also drive these same areas and collect all the addresses from Seller’s that have a FSBO (For Sale By Owner) sign up. Not a realtor sign. A For sale by Owner sign. Collect the address and send them a letter or postcard. Let them call you after receiving your message. This qualifies them that they want to sell their property quickly. Usually a Seller trying to sell a property without a realtor already knows that they have little equity in which to pay a realtor’s 6% commission.

Another cheap way is to run an ad in the local paper. Please don’t use “We Buy Houses” in any of your advertisements. If you want to separate your self from everyone else you need to market yourself differently so people remember you.

Give the potential Seller a reason to do business with you over anyone else. My unique selling proposition was… “Sell Your House Today and Receive the Exact Same Equity that You’d Receive if you listed and Sold through A Realtor Guaranteed”. That’s a benefit driven headline that most Sellers want. This is how I bought subject to properties. Expired listing’s is a great list to buy properties that need little work. I hope everyone understands how to do Subject To Investing.

You can put ads in for FREE. I’ve never used it to buy properties but it works well when looking for buyers, renters and Lease Option tenant.

Once you’ve done a deal or two you then need to decide how many properties you want to buy. This will also be determined if you’re doing this full time or part time. Write down your goals. If you only want 1 to 5 houses a year you can probably do that with $100.00 dollars a month. If you want 2-4 houses a month than you’ll probably need to spend $1,500.00 a month depending on where you live.

Before you do any marketing you’ll need to figure out who your best prospects are. In other words, who needs what you have to offer. You want to market to prospects who need to sell their home quickly. Like…

  1. Pre-foreclosures
  2. Expired listings
  3. Divorce
  4. Bankruptcy
  5. Probate 

Those are just a few to start with. Here’s what I see most investors doing. They get their marketing working, they get a few calls and they find a property that they purchase. They then get so caught up in getting it sold they shut down the marketing to buy properties.

Let me use this analogy… your marketing is like a big Jumbo Jet. The Jet uses an incredible amount of energy to get off the ground, but once flying the plane uses little effort. Your marketing is exactly the same. It will take you approximately a month before you begin to see leads coming in. So you need to stay consistent with your marketing so the leads will begin to come in on a daily basis. If you shut down the marketing then you’ll have to re-start the process all over again. Once you have your marketing up and running you should never shut it down. That’s why most investors are on what I call a rollercoaster ride.

Here’s the best way to get consistent leads each and every month. Pick your best prospect list. Decide how many properties you want to buy. Then put together a sequential mailing to each prospect list. I suggest at least 3 sequence letters to each list. Let me give you an example…

If you’re mailing to prospects who own multi family properties, I would mail to this list once every 3 months for a total of 4 times a year for the best results. Mailing to a prospect once is the worst thing you can do in business. In order for a prospect to remember you they need to see your marketing at least 7 times. If they need to sell they will respond in most cases within 3 mailings. You must also never forget to have a compelling reason for your prospects to contact you. The prospect only wants to know “What’s in it for me” You’ll get a much better deal if you get sellers to respond before a realtor’s gets involved.

It’s imperative that you have these 6 Key factors when writing a sales letter or postcard to a seller.

  1. A compelling benefit driven headline that gets the readers attention.
  2. All mailings should be personalized.  Dear John, Not Dear Homeowner.
  3. The body copy must provoke their pain and give them the solution.
  4. Must have a P.S. that re-states the benefits to the seller. Why? Because most people go to the end of the letter first to see who wrote it and they read the P.S first.
  5. Must have a deadline or a reason for the seller to respond quickly.

You’re wasting your marketing dollar if you send out a letter or postcard that says…I want to buy your house please call me. No, it needs to let the seller know that they need to act NOW otherwise you won’t be able to help them. Some thing like… John my lender has notified me that I can only purchase 4 houses a month due to the credit crunch. I just put 2 under contract last week. If you need to sell your property at 2345 Main Street then I must hear from you immediately. Otherwise you’ll have to sit around another 4-6 months waiting for a qualified buyer.

Must have a call to action. Tell the seller what you want them to do. Call you now, go to your website and fill out the form, fax back the enclosed information etc.

Let me give you a quick action formula that we teach at our  real estate investing education network .

  1. Put out 25 signs a week.
  2. Send letters to expired listing in your specific zip code.
  3. Send letters or postcards to pre-foreclosures only in you specific zip code.
  4. Get a list of multi family owners and mail a sequence letter to this list every 3 months. This list depending on how many Multi family properties you have in your area can be the entire County. If you have a lot of multi family properties then  just choose a zip code.
  5. Get a carrier route map and pick out 8 carrier routes in a specific zip code and mail to each one every two weeks. When you finish start over.
  6. Get a list of FREE and clear properties and mail to them every 3 months.

Pick 3-4 of these lists and begin a mail campaign. I can guarantee you that you will have at least 25-35 leads a month coming in. You can get the lists from  or

Now that you have all the leads you can handle lets go into selling or occupying houses quickly.

Let me say that I do NOT think it’s a good idea to go get hard money loans in our current market. It’s too easy to get seller financing and to take over existing loans “Subject to.” That way you have several ways to sell a property and you’re NOT stuck trying to sell it for all cash as you would be using hard money.

The best ways to sell properties is to buy them right. If you need to sell a property quickly in today’s market, you just need to sell it cheaper than any other comparable home in the area. It also must be in “A” plus condition for this neighborhood. Just understand that it may still take 60-90 days to sell or longer depending on where you live. You’re probably going to want to be at least 5% below recent comparables depending on how quickly you want to sell.

This is why I won’t even consider buying a property without being able to take over the property “Subject to” the existing loan. I also like homes FREE and clear where we can have the seller carry the note until we sell the property within the next 5-10 years. I will NOT buy a property with a balloon payment of less than 3 years unless I’m stealing it at a huge discount. I had all the sleepless nights that I could handle when I first started investing using hard money. I won’t go down that road again and I don’t think you should either unless you really know your exit strategy and you bought it right.

If you don’t know what subject to investing is, it’s when the seller allows you to take-over the existing debt without paying it off. The seller stays on title until sold sometime in the near future.

This way I have several ways to sell the property. I can sell it for all cash. I can do a Lease Option on the property. I can rent it until the market turns or wholesale it to another investor for quick cash.

Let’s go into how to market your properties to get them filled quickly.

  • Newspaper ads.
  • Signs work very well.
  • Flat fee listings with realtors.
  • is a very good source.
  • Letter and Postcards to Renter’s in the area. Did you know you can get a list of tenants who have a specific income who are now paying close to what you’re asking on a lease to own.

Let me give you an example…

If you just picked up a property with a monthly payment of $1000.00 dollars and you were going to sell it for $125,000.00. You could get a list of all the renters in the area who are now paying $900.00-$1,200.00 a month who make a combined household income of $50,000.00 a year. The only thing you need to do is give the renters all the reasons why it makes sense for them to lease to own rather than throwing their hard earned money away on rent. It comes back to being able to craft a sales letter or postcard that gets prospects to respond.

I had a couple people ask me about doing a Live Webinar on crafting a successful sales letter. If anyone would be interested just email me at

These are the top ways to get properties filled quickly. The worst number in marketing is the number one. You should be using at least 2-3 different ways to bring in leads depending on how many properties you have available.

When you really get good at this business it will be when you already have a good buyers list

Let me give you an example…
When you crank up your marketing to sell properties you will have buyers contacting you to lease to own your properties. If they want a 4 Bed 2 Bath home in a specific neighborhood and can put $7,000 dollars down as a NON refundable deposit. Wouldn’t it be easier to shoot out 2000 postcards to this area knowing you already have a buyer? That’s when the business becomes fun.

This by the way is how you build wealth by not selling everything you get your hands on.
If you don’t know how to buy properties "Subject To” you should learn now, because going down to the bank for financing is going to get ugly. Besides you want to be able to buy as many properties as you can locate, NOT how many the bank’s will allow you. That’s what poor people do, they allow others to dictate their lives and income. I suggest you take over as many properties as you can, because when the dust settles 7-10 years from now the investor's who acted will be the ones sipping martini’s on easy street.
This is how you create and make big money in real estate buying and selling houses. Creating as much passive income as possible so you never have to worry about your future or retirement.

Real Estate Investing Education "Subject To"

How to take over existing properties "Subject To" the existing loans

How to get Amazing Results Buying and Selling Houses for Profit

I want to walk through subject to investing just to make sure everyone understands that this is your best strategy for making money investing in real estate in today’s market.

Ok, first off let me explain exactly, what is subject to. Subject to investing is taking over the existing loan without paying the underlying loan off. When we take over loans subject to, the loan stays in place and the seller stays on title until we’re able to sell it sometime in the near future.

Now, most new investors will ask how can you take over an existing loan that way and leave it in the sellers name when all loans nowadays have a due on sale clause?

I get asked all the time…Won’t the lender call the loan due? Well, my answer is they certainly can. Will the
lender call the loan due? Not likely as long as the payments are being made. The banks don’t want houses they want payments and as long as they have a performing asset they are not going to call the loan due in order to have a non performing asset.

Just to give you an example of this. I was doing a short sale on a property here in Orlando last year. I only had 2 weeks to get this short sale completed before the first lien was taking the property to the court house steps for auction.

The second lien holder had no problem discounting their inferior lien, to where I was willing to pay them off at closing. I got all the paperwork in place to bring the first current. I sent in the paperwork to the first lien holder and it came back to me in the mail because I forgot to write the loan number on the check.

Needless to say the property went to the courthouse steps to be auctioned.  Fortunately nobody bid on this particular property, so the bank called me back to see if I was still interested. I told the bank that I was, but I wasn’t willing to pay cash. I asked them, would they be willing to let me take over the existing loan and bring it current. I thought for sure they’d say NO, but she told me, she would have to check with her supervisor first. She called back the next day and said yes, they would, but they needed the payment within 5 days. I said Great send me a reinstatement figure. I then called the second and paid them off and sent the check to the first to take-over the existing loan with their permission.

Now everyone I told that story to, said well wasn’t the second lien already cleared off when the first foreclosed. To be completely honest I don’t know and I didn’t care. I had a property worth $235,000.00 dollars with an existing first lien of $119,000.00 and a second worth 93K. I got the second to take 5K for a full pay off.

So I had well over 100K dollars in equity. I’m telling you the story because banks don’t want property they want payments and the bank proved it when they agreed to let me take it over.

So you should always make sure you’re never putting yourself in a position to lose. If the lender decided to say NO to my offer, what’s the worst that can happen?  I would have lost nothing but a really good deal and a little bit of pride because I screwed it up by not having the loan # on the check.

OK, let’s get into the paperwork needed to accomplish a subject to.

Number one. You need a motivated seller. They must need to sell, and have a reason why.
Their facing foreclosure, their being relocated, the house is in bad condition, they’re getting divorced or they can’t afford the payments any more. These are folks who need to sell, not want to sell. You should now the difference.

Number two. You must get a purchase and sale agreement signed by the sellers and an authorization to release lending information. You’re also going to need the seller’s last statement from the lender so you can call and get information on the loan. Whether it’s to bring the loan current, make sure the loan doesn’t have a pre-payment penalty on it. To see if it’s a fixed or adjustable rate mortgage and what the length of the loan is 15 years 20 years or a 30 year loan. You’ll also want to know if the loan includes taxes and insurance.

Number three. Call the bank and tell them that you are a third party trying to get information on a loan. Ask them where you fax the authorization to release lending information and how long before the authorization is in the system. It’s usually within 72 hours. Call back and get the information you need. If the property is in foreclosure you’re going to have to get the phone # to the loss mitigation dept and refax the authorization to them specifically.

Number 4. You or your attorney must also get the sellers to sign these basic contract forms. If you don’t have them, their in the back office of the website and in your buying and selling houses for profit manual as well. OK, number 1

 ·        Disclosure letter- this document lets everyone know that the seller is completely aware of  
                    the due on sale clause and that you’re not making any promises.

·        Power of attorney- this gives you the right to sell the property or do anything you need to do specifically with this property only.

·        Escrow letter- If the seller has their insurance escrowed the lender will apply it to the loan balance when you sell the property.

·        Change of address- This lets the lender know where to send the payments.

·        Assignment of beneficial interest- Seller signs this giving you their total interest in the land trust. You are now the owners of the property.

·        Trustee’s deed- places the property into a land trust.

·        Notice to lender- lets the lender know that the property has been put into a land trust and states the law that allows it along with new instructions on insurance and payments.

Getting these forms signed places the property into a Land Trust. Let me explain.

When the seller's sign a Trustee's Deed, that document is placing the property into a Land Trust, which gets recorded into the courthouse records. Then the assignment of beneficial interest gets signed by the seller giving you all the interest in the property that you’ve taken subject to.

If anyone was to look up this property in the court house records or online they would still see the original owner on title. They’ll never see who the real owner is without a court order. Now if someone does a title search on the property they will know that the property is in a trust but they won’t know who holds the interest in the trust until you sell the property. That’s the power of the Land Trust. You should never buy a property without using a Land Trust.

Ok, next you’ll want to make sure you fill out the Declaration of Trust. This has nothing to do with the seller. The Declaration of Trust explains who the Trustee is and who are the individuals who own the interest in the trust and how much interest each individual has. This document never gets recorded and no one but the Trustee and the interest holders see this document.

Ok, now you need to put insurance on the property in your own name. If the sellers insurance is escrowed you need to have the seller cancel the insurance after you have put a new policy in place. The insurance policy should read as follows.

Insured… 1324 Greensboro Road Land Trust.

Do not let your insurance agent put your name on the insurance policy. If you have a problem with your insurance agent tell them that you’re insuring the trust. Make sure you send the “notice to lender” document explaining that the property was put into a land trust and exactly where you want the payments to go. It’s usually your address so you can make the payments on the property until you sell it.

All properties are allowed by law to be placed into a Land Trust. The law is the Garn St. Germains act of 1982 which allows any homeowner to place their property into a land trust for estate planning purposes. If you’re refinancing a property that’s in a land trust you are in most cases going to have to remove it from the land trust and then put it back in its no big deal it’s only one piece of paper to be filed and your attorney will do it for you.

There you have the basics of a subject to. I can spend one full day teaching every aspect of the subject to but if you let your attorney do all the paperwork then you really don’t need to know much more. If you’re doing these on your own then you’ll need to get familiar with all the documents it’s not hard you only need to do 3-4 before you get the hang of it. Make sure when you’re dealing with your attorney, that you send them the paperwork you want filled out and they will do for you. Most attorney’s will not have all this paperwork readily available, so if you e-mail the documents to your attorney or title company and let them know you want the seller to sign these particular papers at closing, they’ll make it happen for you.

Now! I want to drill into you, why you must never pay cash unless the deal is so good that you can’t pass it up. If you’re going to go down and get loans from a bank you’re going to need to put at least 10% - 20% down on an investment property. Their will be no more 100% financing the banks want you to have some skin in the game.

When you take over properties subject to, you can get in with little money down. And if you’re doing it right it won’t be your money. You should always be looking for private lenders. The worst number as I’ve said before is the number one. If you only have one way to market, one way to buy property, or one funding source,  your business is built on a poor foundation, and it’s only time before it comes crashing down.

If you come across a property that has little equity but the payments are low enough to make at least 100.00 dollars net cash flow then just do a lease option on the property where you’re at no risk whatsoever. I see to many investors trying to find the perfect deal.

Let me share this secret with you. “The perfect deal doesn’t exist". You should be educated in the 5 profit centers in real estate investing and you should be able to put together offers that solve the seller’s situation. Every time a deal comes across your desk you should automatically say to yourself… Self, can I wholesale it, retail it, take over the payments, lease option or option it.

If you’re sitting around waiting for the perfect deal to fall in your lap, you mine as well go down to your local grocery store and buy all the lottery tickets you can, because it’s the same thing it’s called gambling. I see investors all the time sitting around waiting for something to happen.

I can almost guarantee them something will happen, It’s called "bankruptcy". You need to get off your bum and make something happen nobody is going to hand you anything and remember this… if it is FREE; it’s usually worth exactly what you paid for it…NOTHING!

Success is never cheap let alone FREE. If it were free, everyone would be making 7 figure incomes. I’ve always preached, look at what everyone else is doing and do the complete opposite. Why you might ask, because we know for a fact that the top earners in our country are made up of only 5% ... and the rest are made up of 95%, so doesn’t it make sense to look around to see what everyone else is doing and do something different, If you do you’ll soon be in the top 5%.

The 95% think because they made it through high school or college that their education is over, while the 5% make it a daily habit of reading and educating themselves in their chosen field. I just read a staggering statistic last week. 67% of Americans do not read one book per year. So, It’s not hard to figure out how to get into the 5% if you so choose to. I personally read more than 100 books per year and I can say emphatically that it’s changed my life forever.

Ok, I just want to touch on lead flow for a minute because I know that this was a problem for me when I first started. If you’re marketing your business properly you should have at least 1-3 leads coming in each day. If you don’t sooner or later you’re going to try to make chicken shit into chicken salad and I can guarantee you that you won’t like it. So keep marketing because your leads are your life line to success.

Real estate or real mistake?

You need an agent-and other fairy tales!

Is private selling a mistake? A real estate agent doesn't think so and here's why..

Let’s be clear here – the author of this article is a real estate agent. Not a newbie either but with 10 years in the industry.

As an agent I should despise private sellers or FSBO’s as they are called in the States. Right? The For Sale by Owners and myself should be sworn enemies yes? Natural born enemies like a dog is to a cat, like an lion relates to an antelope, we should be at each other’s  throats shouldn’t we?  Well actually…. no!

I run a business that assists people to sell their own home without the need for a real estate agent and I’m here to dispel some myths once and for all.

People, you have been hoodwinked…..

To be precise you have been conned for the past 100 years.

Agents want you to believe that you absolutely need them in order to get your property sold. They want you to imagine that you cannot possibly attempt the gargantuan task of selling without their assistance. They want you to believe that they have almost superhuman powers of persuasion, legendary marketing prowess and sublime negotiating skills.

Never mind that those 3 things are almost superfluous to getting a property sold. Never mind that most agents have had next to no training that genuinely fits them to sell your home.

Now the agents will sing you a very different tune off course. They will assure you with absolute tenacity that selling a home by yourself is perilous. ( After 10 years in the industry I’m yet to hear of even one case of a private seller getting themselves in trouble ) No doubt it has happened but I have never yet seen it and I deal with FSBO’S on a daily basis. I have however seen agents make a grand old mess of things from time to time.

Of course you must employ an agents services to set the correct price mustn’t you? Hmmm? This particular myth has to be right up there with the tooth fairy. Nothing against the tooth fairy because there is at least the anecdotal evidence of children for the fairy’s existence, while there is no such evidence to suggest agents can price property accurately.

There is however plenty of evidence to the contrary. In the week preceding this article I happened upon two instances where the private sellers used several different agents to give them initial market appraisals. Astonishingly, given that the homes were in the 400K’s range , the market opinions varied by tens of thousands. In one case on a property worth nominally around $450,000 two agents had prices that were $100,000 apart.

How is this possible? How can two supposedly professional, knowledgeable agents quote such disparate figures. Well the answer is surprisingly simple. Some agents are incredibly incompetent…and some agents are very competent but want a listing so bad they will attempt to buy it rather than let it go to their competitor. My point here is straightforward. You can price a property just as accurately as any agent can. In fact I suspect that most private sellers do a better job of it and here’s why…

Agents  view and sell property that is in vastly differing price brackets. Some are two hundred thousand and some may be two million. But you are an expert in your narrow price range. You can take 2 days studying the listings in your local area via the internet and newspaper. I guarantee you can be more up to speed than your local agent for your particular property price and type. Nowadays there are also very inexpensive market reports and sales figures available for your area so there is no reason at all not to be able to get an accurate price on your property without an agents help.

Ok so let’s consider that myth laid to rest. Of course you do need the agent to market your property at least, ahem, don’t you?

Well yes and ….no…but mainly no. If you are going to do a half baked attempt at selling by yourself then yes indeed, you are better off sticking to an agent. On the other hand, if you make an even remotely genuine attempt you can easily get more than enough exposure for your property, all by yourself. The reason for this is that this amazing tool known as the internet has leveled the playing field. You can get your property seen by as many people as you need with little effort or cost. The agents only monopoly, that of marketing, has now been broken and the private house seller is the beneficiary.

Perhaps the, if pricing isn’t a problem and marketing is within anyone’s reach then surely the negotiation part is where the agents shine right ? Oh dear…

An agent is running a business and that business involves he or she securing a commission for services rendered. This is  a very inappropriate starting point for someone attempting to negotiate a sale between a buyer and seller. The negotiations most often come down to price and who has the whip hand? Someone who is seeking a commission or someone who is  selling their own home and who has the benefit of many thousands in commission savings to allow more flexibility in price if needed?

In my experience agents training involves how to sell… to their listing clients ..and very little about how to sell to buyers. In any case the role of negotiation while genuinely important is very much over estimated, because at the end of the day – houses sell themselves!

Price a property correctly and so long as there are buyers around, they will beat a path to your door. My industry experience involves Australian real estate but these same principles and truisms hold true equally in the Unites States, England,Canada,New Zealand...anywhere. Over price your property and you can forget selling unless you are very , very lucky.
If there are no buyers or if you price far too high the neither an agent or a private sale will eventuate. Get the price wrong and no amount of marketing will compensate for that. Essentially you’ll be just informing an ever greater number of potential buyers that your property is priced to high.
The house will sell itself if you let it AND if there are buyers around. Sometimes there simply aren’t any.

No one knows the home like the owner so why on earth do we insist on believing the fairy tale that an agent can do a better job of selling your home. The reason is simple. It’s because that agents will describe all manner of reasons why you will fail and they will sound plausible ( remember they are trained to sell to you, not to buyers ) The stories are coming from an authority figure. You may not like agents but they know real estate don’t they?

The agents will point out the property down the road which is being sold privately and remains on the market with no offers after 6 months. Yet somehow they find no time and have no desire to tell you about the listings on their own books that have sat with them for 18 months. That’s different they will say. That owner’s price is too high and no agent can sell if the price is set too high by an unreasonable owner. Do you see their story unraveling in front of your very eyes?

One last point. There seems to be another misconception that private selling is terribly stressful, as though using an agent will be a cakewalk for you. It seems to me that anytime you introduce an unnecessary third party it can only add to the potential for stress. If you think that by using a real estate agent that you will somehow not need to negotiate etc then you are in for a rude awakening. This is because instead of negotiating with a buyer suddenly you will be negotiating with both a buyer ( indirectly ) AND the agent as well.

If you really think that you need a realtor to sell your property then you are probably right and no article will convince you otherwise. But know this. If you are using an agent you are bound to have exactly the same hurdles and exactly the same challenges. The only difference is that you’ll be paying handsomely for the feeling of assistance you may or may not receive from your realtor. Estate agents have been pulling the wool over the publics eyes for years but the jig is up.

The wool over the eyes analogy is appropriate because you dear private seller are being treated like so many sheep in a big herd.

If you want to sell your own home, do some basic research to get an accurate price. Place a sign outside your property, place it on a well trafficked internet site and then be patient. If an agent tries undermining your attempts with typical mind games, call their bluff. Give them the possibility to sell while retaining your right to do so without commission…and see who gets the prize. My money is on you!