THE INVESTOR REAL ESTATE SHARK TANK WHY SELF-DIRECTED Presented by A Panel of Real Estate Sharks
401KS ROCK
WITH BOB DRESSMAN Bob Dressman is probably the most successful retirement fund investor you’ll ever meet face to face. He’s leveraged multiple tax-free and tax-deferred accounts (IRAs, Health Savings Accounts, 401Ks, and Coverdale Education Savings Accounts) to earn hundreds of thousands of tax-free dollars. Today, he’s a fan of the relatively new Self-Directed 401K, which has some huge advantages over the better-known Roth IRA. In this in-depth presentation, he’ll explain why, what you need to do to open and start investing in one. DaDUMP. DaDUMP. DaDUMPDa DUMPDaDUMPDaDUMP…just when you thought it was safe to go into the meeting room, it’s time for your favorite meeting of the year: Real Estate Shark Tank! Our panel of “Sharks” are folks who have the money and expertise to fund, partner on, or advise you about deals; they’re looking to make some money along with you. The only catch is, you have to be brave enough to stand up and tell them why they should! And even if you don’t have a deal to bring to the table, you can learn a lot about how money people look at investments and about how other REIAGC members are finding and evaluating deals just by being in the audience. It’s educational, sometime hilarious, and always enlightening. If you’d like to serve as a shark
or to present an opportunity, email AskVena@Gmail.com with “Shark Tank” in the subject line by July 5th and tell us what you have to offer. But no matter what, be there to learn from other people’s deals! Join us for this meeting on Thurdsay, July 6, 2017, beginning at 7:30 pm at the Ramada Plaza, 11320 Chester Road, Cincinnati Ohio, 45246!
JOIN US EARLY AND ENJOY HEARTY HORS D’OEUVRES!
The Real Estate Investors Association of Greater Cincinnati (REIAGC) has added food to our general meetings! Please be sure to join us early for hearty hors d’oeuvres and networking fun with your industry peers.
Join us for this highly anticipated meeting on Thursday, July 6, 2017, beginning at 6 pm at the Ramada Plaza, 11320 Chester Road, Cincinnati Ohio, 45246!
REIA ANNOUNCES 2017 SUMMER PICNIC DATE Summer is a season of celebration and REIAGC is not going to let it pass without a celebration of our own! Mark your calendar for Saturday, August 19, 2017, from 11 AM – 4 PM as our Summer Celebration and OPHP Make Up Day date. Lake Isabella has been booked to hold this fun and festive event. In addition to picnic food and games, we will be holding OPHP classes to get some of those hard to get credits. Many of REIAGC members are within a few credit hours of accomplishing their Ohio Preferred Housing Provider (OPHP) designation and this will be a fun way to move them along! Those who are OPHP certified will be recognized at the OREIA convention with a free dinner and then if you remain certified, you will receive free admission to the convention! For more information on the picnic or OPHP certification, visit the REIAGAC website at www.CincinnatiREIA.com! 10945 Reed Hartman Hwy | Ste. 113 Cincinnati, OH 45242 P: 513 407-3137 www.cincinnatireia.com
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2017 BOARD OF DIRECTORS & COMMITTEE CHAIRS
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President Anita Johnson 513 334-0444
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Vice President Drew White 513 207-9846
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Secretary Gina Bowden 513 477-4132
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Treasurer Scott Ellsworth 513 272-8400
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Board Members Ben Bauer Eric Kottner Narendra Mundhe Cheryl Long Linda Hull Tom Terlau Association Manager Nancy Terry 513 407-3137 Cincinnati REIA 10945 Reed Hartman Hwy | Ste. 113 Cincinnati, OH 45242 P: 513 407-3137 | F: 844 734-2472 www.cincinnatireia.com
Disclaimer
The REAL ESTATE INVESTORTM is published 12 times a year by the REAL ESTATE INVESTORS ASSOCIATION OF GREATER CINCINNATI. The subscription cost is $120 per year. First class postage paid. © Copyright 2017 by the REAL ESTATE INVESTORS ASSOCIATION OF GREATER CINCINNATI. All rights reserved. Reproduction or dissemination in whole or in part, in any form whatsoever, is expressly prohibited. Printed in the USA. The information contained herein and information shared at meetings and events is believed accurate, but it is not guaranteed or warranted in any manner. The information is provided with the understanding that neither the author(s), program speaker(s), nor the publisher (or its directors, officers, employees or agents) are engaged in rendering legal, accounting or other professional advice. REIAGC does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. We recommend you perform your own due diligence and seek appropriate legal, accounting, or other professional advice before making any investment.
2 | The Investor ||July July2017 2017
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WHOLESALING FOCUS GROUP
6:30 pm | Perkins 7108 Hamilton Avenue North College Hill Michelle Clayton - 513 400-4937 Cheryl Long - 513-429-2583
GENERAL MEETING
6 pm - Why Self-Directed 401K’s Rock 7:30 pm - Real Estate Shark Tank Ramada Plaza, 11320 Chester Road
FRIDAY MORNING MEETUP 9 am to 11 am Frisch’s Restaurant 2439 E. Sharon Rd, Cincinnati Linda Hull - 513 549-7821 Cheryl Long - 513 429-2583
REHABBER’S FOCUS GROUP CANCELLED FOR JULY Joe Davidson Eric Kottner
INVESTORS LUNCH
11:30 am - 1 pm Century Inn Restaurant 10675 Springfield Pike Dave Jasper - 513 942-5110 or Max Arroyo 513-772-5736
LANDLORD FOCUS GROUP 6:30 pm Crosley’s Sports Cafe 4901 Vine Street, Cincinnati Scott Ellsworth, 513 659-5531 Jim Shapiro, 513 515-6717
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GENERAL MEETING
6 pm -Entities and Asset Protection for Beginners OR What To Do When Your (Tenant/Buyer/Debtor) Declares Bankruptcy 7:30 pm - Lease/Optioning: Your Perfect Wealth Building Strategy Ramada Plaza, 11320 Chester Road
CREATIVE BUYING AND SELLING FOCUS GROUP
6:30 pm Perkins, 7108 Hamilton Avenue North College Hill
NORTHERN KENTUCKY FOCUS GROUP
6:30 pm at PeeWee’s Place 2325 Anderson Road Crescent Springs, KY Brandon Brewer - 859-240-7339 Tom Terlau - 859-653-6412
FORECLOSURE NOTE BUYING SHORT SALE FOCUS GROUP
6:30 pm, Wendy’s Restaurant 5909 Mulhauser Road Deb Meyer - 513 266-4008 or John Dohtery - 859-653-3290
BUILD A LEASE/OPTION BUSINESS FOR CASH, INCOME, AND TAX BENEFITS 9 am - 5 pm Clarion Cincinnati North 3855 Hauck Road, Sharonville www.cincinnatireia.com
MISSION STATEMENT
OF THE REAL ESTATE INVESTORS ASSOCIATION OF GREATER CINCINNATI (REIAGC) • Encourage our members’ success through education and professional services • Represent REIAGC members as positive, ethical contributors to the economic and the social well-being of our community
PRESIDENT’S CORNER
By Anita Johnson, REIA of Greater Cincinnati President As we celebrate the July 4th holiday, I thought it appropriate to share an article I wrote last July because it still holds true today. Here’s the slightly modified re-write….
ship dues goes toward legislative work to monitor and defend your rights as a real estate entrepreneur and property owner? One of OREIA’s major goals is ending unconstitutional inspections for all Ohioans. Yes, that’s right – in some cities here in Ohio there are “point of sale” and “presale” programs that require you as a property owner to pass certain government inspections - which are warrantless and oftentimes arbitrary in nature - before you can sell your home. A lawsuit has been filed in federal court on the grounds that such inspections violate the Fourth Amendment to the United States Constitution, and the outcome will have impacts not only in Ohio but across the country where other such programs exist. Another area of focus for OREIA is making fair housing “Fair.” This is just a couple examples of where OREIA works on your behalf.
In July, we celebrate our independence as a country. Independence Day, or the July 4th holiday, is when we here in the United States observe the adoption of the Declaration of Independence, which declared the United States independent from Great Britain. From 1776 until now, July 4th has been celebrated as the birth of American independence, with a number of festivities taking place all over the country. It’s a time to reflect on one of the most commonly known sentences from the Declaration of In- You can read more at www.OREIA.com. dependence: So if you didn’t know before, you now know that being a part “We hold these truths to be self-evident, that all men of and supporting your local REIA provides you with great are created equal, that they are endowed by their educational and networking opportunities, AND directly supCreator with certain unalienable Rights, that among ports your rights as a real estate entrepreneur and investor. these are Life, Liberty, and the pursuit of Happiness.” However you choose to celebrate the 4th of July – barbecues/picnics, parades, family gatherings, fireworks – take We all may have our own thoughts as to what those who time to cherish the fact that we are blessed to live in a councreated the document had in mind when they created it, try where we can pursue whatever goals and dreams we but for most of us we probably think about our basic rights may desire, including owning real estate. and freedoms as well as the responsibilities that come along with those rights. Happy 4th of July!! Did you know that as a member of REIAGC that you are also a member of OREIA, and that part of your member-
Anita Johnson
FRIDAY MORNING MEETUP CREATIVE FINANCE Have deals to sell? Services to provide to real estate invesFOCUS GROUP tors and landlords? Or just want some time to just hang out with fellow real estate investors, landlords, and service providers with no agenda except making connections? Then join our Friday morning meetup—it’s free and open to the public.
This morning networking meeting doesn’t have a topic, but just the chance to meet with fellow entrepreneurs and service providers. This meeting will take place the Friday after the 1st Thursday of every month.You’ll meet great, helpful people and make connections to build your business. A breakfast buffet is optional and available for purchase prices are $12 for hot buffet and $8 for cold buffet, available in the lobby/atrium area until 10:30am. Our next meeting is scheduled for Friday, July 7, 2017, from 9 am to 11 am at Frisch’s 2439 E Sharon Rd, Cincinnati, OH 45241.
Creative IRA deals: why you might want to rethink “conservative” with your self-directed investments Everyone knows that self-directed tax-free plans are the best way to build wealth without giving away half of your profits to the government. But should you use your IRA, 401K, HSA, or CESA to buy rentals, or to do more aggressive and risky investments? We’re going to talk about why the latter might, mathematically, be the right answer for you—and give some suggestions about what those investments might look like. As always, we’re at the College Hill Perkins at Cross County and Hamilton Ave. at 6:30 for dinner and 7:00 for the topic; as always, it’s for members only. RSVP at www.CincinnatiREIA.com. See you July 24!
The Investor
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COMING UP AT THE JULY 20 GENERAL MEETINGS Early Meeting Beginner Investors: Entities and Asset Protection For Beginners Presented by James Flax Here at REIAGC, we see WAAAAY too many new investors who are talked into complex, unnecessary asset protection schemes that cost a lot of money and don’t do much to protect you. At this new investor’s workshop beginning at 6 pm on July 20, attorney James Flax will untangle the differences between the most commonly-used entities for owning real estate, running a flipping business, and more, and discuss how having the right –simple!--business structure saves you taxes AND is an important part of your liability-reduction strategy. Early Meeting Active Investors: What To Do When Your (Tenant/Buyer/Debtor) Declares Bankruptcy It’s a scary moment when you get one of those big envelopes from the bankruptcy court—and if you deal with enough rentals, or lease/options, or land contracts, or notes, it’s going to happen to you. What are your rights as a creditor? Should you get your own attorney? Are you even allowed to contact your debtor? All these questions and more will be answered at this early meeting!
3. Tax breaks from depreciation and write offs 4. Back-end cash, when your tenant buys the property at top dollar in 2-3 years 5. Tax-free cash, if you exchange the property or do the deal in your IRA If you’re looking for a real-life, no B.S., warts-and-all look at how this strategy works right here in Ohio, look no further than our June meeting, when Matt Reed shares his business of buying middle-end homes using private money, renovating them, then lease/optioning them to moderate-income tenant/buyers. He’ll talk about what types of properties he targets and which he won’t touch with a 10 foot pole, who beats down his door to give him 5-10% cash up front, how many actually buy and why it doesn’t matter when they don’t, and more. Matt is a REIA favorite for his no-hype style and his deep understanding of how the market works. Be there for this detail-filled presentation on Thursday, July 20 beginning at 7:30 pm.
Main Meeting: Lease/Optioning: Your Perfect Wealth Building Stategy Presented by Matt Reed The exit strategy of leasing houses with option to buy (“lease/options”) has come roaring back along with the health of the housing market. And no wonder; in some ways it’s the perfect strategy, giving you: 1. Upfront cash (in the form of a non-refundable ‘option fee’ paid by your tenant) 2. Monthly cash flow
NRL Lisa Chambers
(513) 607-4107 lisa.chambers@nrlmortgage.com
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July 2017
WELCOME NEW AND RENEWING REIAGC MEMBERS! REIAGC Would like to welcome its new members and thank its renewing members in the month of May: Aarika Burton Jennifer Boyer Timon Cain Tim Campbell Mike Driscoll James Eigel Rich Grimsley RL Grimsley Joshua Herald Eugene Ingram Irina Kapitula Aaron Marsh Joe Palacios Mariana Palacios Shawn Pfeil Anita Sevier Jim Thole Jordanne Wells Annie Young Ronnie Scott Adams Renter’s Warehouse
Chuck Bell Gateway Home Buyers
Kuda Nedziwe Pacific West Properties
Bryan Blankenship Venture Real Estate Group
Breland Parker Pargon A1
Dave Jesse DAJ Management Inc
Thomas Runk m.clo
Tonya Jesse DAJ Management Inc.
Jerry Stenger Mechanical Leasing LLC
Ed Loxterkamp Authentic Property Ventures LLC
Greg Waddell Spring Valley Bank
Ivan Malone Malone Investment
Lawanda Wise-Ingram L&E Homes
Anthony Napier FIOP ASSOCIATES LLC
Bill Young ECI
Tony Napier FIOP Associates LLC.
The Investor
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REIAGC: THANKS TO OUR MVVs! REIAGC sent out the call for volunteers to join our ranks of Most Valuable Volunteers and we have had twenty people sign up! Many of these folks have already volunteered at the membership meetings or at the Investor Solutions Showcase. Thank you to each for their service this past month: • Lawanda Wise- Ingram • John McCann • Julain Patterson • William Godsey • Clint Minton • Tiffany Minton You will recognize a REIAGC MVV by the ribbon that they wear. If you see an MVV, please feel free to ask them questions as if they can’t answer them, they will tell you where to find it! As a bonus for being a REIAGC MVV, when you turn in 10 blue ribbons, you will receive $10 in REIA Bucks to be used toward your next REIAGC purchase or dues! To sign up to be an MVV, contact the REIAGC office at (513) 407-3137 or email info@CincinnatiREIA.com.
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July 2017
INVESTORS LUNCH FOCUS GROUP Our meeting on July 11 will be on Private Investor Lending. Our speaker is an experienced private investor who has experience in building homes, managing rental properties, and lending money for over 30 years. Come and listen to find out what private lenders look for from those seeking funds. Check the REIAGC Calendar for more details. The Investors Lunch Focus Group on July 11 is from 11:30 am to 1 pm at the Century Inn Restaurant located at 10675 Springfield Pike. For more information contact Dave Jasper at 513 942-5110 or Max Arroyo at 513772-5736
LOSING PROFITS STINK; YOUR PROPERTIES DON’T HAVE TO Presented by Deb Meyer, President, OdorXit
Is covering your odors with paint, sealers or ozone working for you or are they still leaving a bad smell in you or your resident’s nose? Are you tired of using enzyme products that expire between uses and damage the glue in your carpets? Then it’s time you shopped at www.OdorXit.com - OdorXit Concentrate is less expensive per gallon than paint or enzymes, made of water and essential oils and actually eliminates – not covers up - odors such as urine, feces, vomit, even dead bodies or dead animal odor – REALLY! • Just mix with water, • Spray the odor and • Walk away! It’s that easy. Once you tried OdorXit Concentrate and don’t think it’s the best odor eliminator available at any price, call us on our toll free number and our odor experts will make sure you do get rid of all your odors –without painting, ozone’s or enzymes. It doesn’t matter if it’s concrete, hardwood, tile, grout, furniture, drapes; we’ll help you get rid of the urine or odor. If you’re still not happy, we’ll refund your money. That’s how sure we are OdorXit will eliminate your odors permanently.
to remove the smell from the house. Nothing worked until I had them try your OdorXit Concentrate. The smell was eliminated immediately and the buyer was willing to continue with the transaction. I truly believe that the deal would not have closed if I would not have been able to rid the home of that horrible cat urine smell.” Robyn Thompson, Home Buyers LLC - The Queen of Rehab “I used OdorXit on cat urine smell in my personal residence after removing the flooring down to the subfloor, removing wet drywall, radiators (which were going away anyhow) and the trim. I applied the product to the exposed areas particularly where it was obvious the cats had peed. This was on the rehab I bought to rehab into my personal residence and through all 4 seasons, we have not smelled any odor.” Peter Michael, Alamo REIA
OdorXit also offers other effective odor elimination products. They get rid of cigarette or smoke odors on walls and floors, mold or mildew, dust mites, mothballs, flood odors, allergens even heavy cooking and curry odor elimination. Never rent a stinky unit again! Call us right now or log on to OdorXit.com to get the right product for your odor and let OdorXit make your units smell great again with no paint, ozone or enzymes! Never! 877-636-7948 or visit www.odorxit.com. O-d-o-r-X-i-t (no E).com "I had a sick cat that got into my completely renovated home on 62 Foster St., Meriden, CT. The cat sprayed and urinated all over the living room. My cleaning crew tried everything
Max J. Arroyo, Jr. Vice President Investment Property Asset Manager Berkshire Hathaway Profesional Realty
Commercial Services First Circle Property Management
7311 Tyler’s Corner Place First Circle Property Management
West Chester, OH 45069 Direct: 513-772-5736 Leasing and Service: 1-888-288-5912 E-Mail: Marroyo@bhhspro.com www.firstcirclepm.com A member of the franchise system of BHH Afiliates, LLC
Building Value LLC 4040 Spring Grove Ave. Cincinnati, OH 45223 (513) 475-6783 www.buildingvalue-cincy.org
The Investor
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WHAT FREEDOM MEANS...AND WHAT FINANCIAL FREEDOM MEANS BY VENA JONES-COX
July 4th is the day when we traditionally think about and celebrate freedom. Of course, what the founding fathers actually did on July 4th, 1776, was declare that the U.S. was a sovereign nation, no longer to be a mere colony of the Kingdom of Great Britian. It took another 8 years of war and bloodshed for this to be established as fact, and countless more lives have been lost over the course of almost 2 ½ centuries in the defense of the freedom of this country and its allies and interests in the rest of the world. Yes, we have a lot of people to thank for the “big” freedoms that we enjoy, to some extent or another, in this country. Without the freedom to associate with whomever we like, assemble as we like, vote and worship as we like, and so on, many of the “personal” freedoms we enjoy—like the freedom to pursue our dreams—wouldn’t be possible. Say what you want about the U.S. and its various political and cultural dysfunctions—I’d still rather live here than anywhere else and now than any other time in history. But since pretty much everyone understands the benefits of political and personal freedom, I’d like to talk a little about the
very clichéd, very slippery concept of financial freedom. For most people, financial freedom has a connotation that circles around not needing a job or not having to worry about money. In other words, it’s sort of a way of saying, “I’m so rich I don’t have to work,” or, “I’m so rich I don’t have to do things I don’t enjoy in order to get the money I need to survive.” And there’s nothing wrong with wanting this for yourself - a state of being that allows you to pursue your passions and do things you love instead of things you loath is a good goal. But I think there’s something much deeper about financial freedom that we rarely discuss - and it’s that financial freedom gives us enormous personal freedom. Which is, in my opinion, more important than the things we can buy with money! Naturally, when you are dependent on someone else for your income and the benefits that go with it (by which I mean insurance etc), you are limited to following that person’s rules and policies if you want to keep your job. You show up at a particular time, you leave at a particular time, you do what you’re told to do whether you enjoy that thing or not. You take vacations and days off as you’re allowed by the company’s
Renters Warehouse The Professional Landlords
Scott Adams ScottAdams@RentersWarehouse.com 513-334-4010 www.RentersWarehouse.com
John C. Wagner | 513.857.9179
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July 2017
rules. And while all these things set annoying-but-perfectly-fair limitations on your personal freedom, it’s the smallest part of what I’m talking about. When I say financial freedom conveys personal freedom, I mean something beyond where you spend your 9-5 hours. I mean the freedom to choose lots of things that you may not even recognize right now. With real financial freedom you can choose to send your children to the very best college that they can get into - or you can choose to send them to the best school that they can pay for themselves. People without financial freedom have only the latter option open to them. With financial freedom, you can choose to go to the top medical specialist in the country, or you can choose to go to the one that’s in your insurance network, or, if the government persists in its apparent mission to make medical care in this country more cumbersome and difficult to access at will, you can choose to leave the U.S. for your care altogether, and go somewhere where you can get the treatment YOU want when YOU need it instead of what the government says you need . Most Americans don’t have this choice, and therefore don’t get the best medical care they can. With financial freedom, you can choose to drive your 7 yearold car and spend your money elsewhere, or you can choose to get your dream car. You can choose to live in a dirty house,
or a clean house, or a house that someone else cleans. You can choose to leave your heirs financially independent, or to give all of your money away before you die and teach them to make their own fortunes. You can choose to not vote, or to vote for the candidate that you think is best for the office, or support that candidate with a big fat campaign contribution. Once financially free, you may very will choose to live in exactly the same way that you do now, but without all the worries about how the bills will be paid. Or you may choose to become a different person with different hobbies and different “stuff”. The point is, without financial freedom, many of your choices are made FOR you by your circumstances. Just as the people of the United States of America got sick and tired of following the rules of a country with different customs and goals, so the people of real estate investing are, by and large, sick and tired of adhering to the rules thrust upon them by their circumstances. So this 4th of July, let’s take a minute to remember our ancestors who thought and planned and worked and struggled and died for our “big” freedoms - and also take a second to pat ourselves on the back for working toward our personal freedom. Reprinted with permission of Vena Jones-Cox. To get more free articles and tips, subscribe at www.TheRealEstateGoddess.com
STRIVING TO REACH YOUR FINANCIAL GOALS TOGETHER
Investing in real estate is a serious decision. Don’t go it alone. • Investment Analysis and Due Diligence Assistance • Accounting Services Different levels of service to match your budget • Clean, organized records means less hassle at tax time • Tax Planning and Compliance
Ellsworth & Associates 513-272-8400
What you’ve always dreamed of, someone else who knows accounting and tax to handle it for you. The Investor
9624 Cincinnati Columbus Road Suite 209 West Chester, OH 45241
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THE FIVE CRITICAL STEPS TO SUCCESS BY RON LEGRAND
There’s a lot of ways to make a million bucks, but most involve some kind of business, and that business must have the potential to achieve a high income, or all one has is a low paying job he/she happens to own. We all have a choice. So, why not choose a business that can make you rich? I know a dentist who spent $400,000 on two sandwich shops which his family runs and can barely break even. There’s no way to sell because there are hundreds on the market and a business making no money isn’t worth much, especially when it has no upside potential. He’s headed for a $400,000 seminar, but hey, we all take them and look how much smarter he’ll be the next time. In 1982, I was bankrupt broke, working as a mechanic, 35 years old and clueless. I got into a heated argument with my wife over a washing machine. She wanted a new one and I wanted to fix the old one because I didn’t have the $150 to spend. That night, there was no sleep. All I could think about was how big of an “a—hole” I was for arguing with a mother of four whom I’d already been married to for 17 years because she wanted to wash clothes for her family. The next day, I
started looking for a way out. I didn’t want to live like this for the rest of my life. There had to be something I could do to make a better living. My way out was real estate. I started reading books and attended a seminar to get me started. Greed and hunger took over from there. Before I knew it I’d bought and sold several hundred houses without using my money or credit, and still do it today, over 2,000 now. I tripled my income easily the first year, and it continued to climb for years thereafter until I started creating courses on what I know, and selling them in 1987. Then my income tripled again. Today, my company continues to market information products to real estate investors and those who want to triple their income on the internet or learn how to start and grow any business. Since that has become my chosen field and hundreds of thousands have gone through our training, it puts me in a good position to see what people do right and what they do wrong. One lesson I learned the hard way has become my credo: The Less I Do, The More I Make No, that doesn’t mean you get paid for not working. But, it does mean you must do only the things no one else can and let other people do what they do best and get out of their way. If your life is never-ending minutia and every day goes by with no activity to grow your business, it’ll never be more than a job and soon be one you’ll want to quit. The boss must stay focused on revenue and spend every day increasing it. No one else in the company cares about it more than the boss, the owner, the receiving the major benefits of a business. Most waste time the same way, day-in and day-out and not one productive thing gets done.
criterium-cincinnati@fuse.net
513-474-9600
BUILDING EVALUATIONS BY LICENSED PROFESSIONAL ENGINEERS • Residential and Commercial Inspections • Structural Inspections • Reserve Studies
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July 2017
These are five steps to any business, regardless of its product or service. I buy and sell real estate, own a restaurant, have several online businesses, develop real estate, own an information marketing company, a consulting business, speak at events and a few other odds and ends. These five steps apply to all of them. FYI, I don’t have to be present for any of these businesses to operate and, in fact, I’m not present much. HERE’S THE FIVE STEPS 1. Locate Prospects – Without them there is no business and this is where many owners fail. They’re great at doing the thing they sell, but suck at marketing. I’d rather be great at marketing and suck at the thing I sell. It can and should be hired out anyway, not done by you. I’m a lousy cook, so it’s a good thing I’m not my own chef. I’m great at buying houses, but not one thing I do can’t be done by someone else. I love internet marketing, but the day you find me building my own website you have my permission to shoot me. My time is spent getting business until I replace myself, then I watch my replacements. Focus on Revenue, Not cost control 2. Prescreen Prospects – There’s a big difference between prospects and suspects. Until you receive money for a product or service you have a prospect, not a customer. Until a prospect shows serious interest and is predisposed to do business with you because they know what you can do for them, you have a suspect. Your objective is to get suspects to prospects to customers ASAP cost effectively. That means 20% of the budget should be spent on getting suspects and 80% on converting to customers, the exact opposite that most businesses do. Usually 80%-95% of any suspect pool will never buy so don’t spend time trying to make chicken salad out of chicken manure. 3. Construct and present offers – With no offer, there is no sale. In real estate, it’s the offer to purchase. In a restaurant, it’s the menu and a waiter upselling. Online, it’s the sales letter. In retail, it’s the inventory proudly displayed or on sale. In all businesses, there better be an offer and the owner must learn to present it in the form the consumer wants to receive it. That usually means multiple media. A
business with only one way to get customers is a business on its way out. One is a Bad Number in Business 4. Follow-Up – 82% of the revenue in most businesses comes from the second to the seventh contact with a prospect. No doesn’t mean no. It only means see me later when time and circumstance change my mind. That means a business that doesn’t follow up with a sequential campaign to capture customers will lose up to 82% of its potential revenue. Ask yourself, when’s the last time a business, any business, followed up with you? The key is to work hard converting prospects and a little on suspects, but neither can be done without a database of both. I’m appalled at how few businesses even keep a list of their customers, which is their largest and most valuable asset. Have you seen a restaurant lately even ask your name, much less do any work to capture your contact info? I can assure you, mine does. You ain’t getting out the door until we give you a shameless bribe to get on our newsletter list. 5. Close Quickly – That means get the money. I’m shocked at how many businesses get the bride right to the altar and never ask for a “call to action.” You must ask for money, fully expect to receive it and not quit until you do. There’s no shame in swapping products and services for money. It’s how businesses survive, and the better you get at it the faster you’ll triple your income. Let the staff handle the minutia while you focus on closing sales and training others to do the same, until you’re not needed anymore. Let’s recap! If you want to have a successful business and triple your income, you must: • Put yourself in a position to do so in a business where it can happen. • Second, build a marketing system to attract suspects, convert to prospects and then to buyers. • Third, repeat, repeat, repeat It’s not rocket science: It’s the Chunka Theory – the chunka comin in must be larger than the chunka going out.
Benjamin A. Bauer, Attorney at Law 10999 Reed Hartman Hwy., Suite 108A (513) 851-7600 ● ben@thebauerfirm.com
Carpets & Floors
sq ft
vinyl
49¢
Trigg Pendleton
sq ft
513.354.4851 TPendleton@McSwainCarpets.com
ceramic
99¢
starting at
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carpet
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2
$ 69
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Wills, Trusts, & Probate ● Real Estate ● Evictions LLCs ● Small Business Law ● Civil Litigation -
• Competitive Pricing • Knowledgeable Sales Team • Superior Customer Service
Licensed in Ohio, Kentucky, & Florida -
www.thebauerfirm.com The Investor
11
BUILD A LEASE/OPTION FOR CASH, INCOME AND TAX BENEFITS Presented by Matt Reed
No one knows this better than Matt Reed, who’s done over 100 of these deals in the last few years. In this all-day workshop, he’ll show you his entire business model, including: • How he picks the right houses in the right areas to get cash flow of up to $400 per month PLUS a $15,000 cash profit in the option and resale process • How he gets private lenders to fund these deals for single-digit rates of interest, for 5 years • How he chooses the tenants who will take great care of his properties, never call with a maintenance issue, and have the best chance of buying • How he documents these deals to protect himself, his lenders, and his tenants • How you can reproduce all of this in YOUR favorite area Matt has never shared this information before, so take advantage of your chance to get it! This event will be held on Saturday, July 29 from 9 AM to 5 PM. For more information or to register, visit the Real Estate Investors Association of Greater Cincinnati (REIAGC) Calendar of Events at www. CincinnatiREIA.com or call 513-407-3137.
Cleaning Logistics, LLC Catherine Cahill
Inco�e �rotec�on with no �edical underwri�ng
catiecahill86@gmail.com (513) 846-4084 �ccident and �ri�cal Illness �rotec�on
Life insurance with guaranteed rates to 100 ‐ Guaranteed Issue*
*Call for details: Paul at 800.333.4638 ext. 203 12
July 2017
THE REIAGC VENDORS: NOT JUST A PRETTY FACE! Did you know that the Real Estate Investors Association of Greater Cincinnati (REIAGC)’s vendor members offer discounts to our membership? Seriously, they do, just ask them! REIAGC is putting together a Guide to Member Benefits so you can easily find those membership discounts but there’s more! Many of our vendor members attend the General Membership Meetings on the first and third Thursdays of each month and are quite accessible. Those who aren’t in attendance can be found on the vendor tab of the Cincinnati REIAGC website (www.CIncinnatiREIA. com). Pick up the phone and let them know that you found them through REIAGC so you can get your benefit. And, remember, shop REIAGC first! But wait, there’s more! Our vendors are truly the best. They support not only the industry, but they support REIAGC through membership and therefore you as a member! If you know of anyone who SHOULD be a vendor member, please contact Nancy at 513-407-3137 or info@CincinnatiREIA.com as she will be happy to give them a call! Refer a vendor who joins and YOU GET REIA Bucks to use toward your membership dues or whatever you choose! See, I told you that REIAGC vendors weren’t just a pretty face!
The Investor
13
OREIA CONVENTION: THURSDAY WORKSHOPS NOW FREE WITH YOUR ADMISSION! Join us for the Ohio Real Estate Investors Association (OREIA) 2017 Convention from November 9 through November 12 at the Great Wolf Lodge in Mason, Ohio, and get bonus educational opportunities when you register in advance! Each class runs 8:30-5:00, so you’ll have to choose—or bring a partner and attend both!
RON LEGRAND: THE FASTTRACK TO WEALTH Ron LeGrand has almost certainly made more real estate millionaires in the U.S. than any other single human being. Now you have a unique opportunity to spend an entire day soaking up knowledge from “The Godfather of Real Estate”, where you’ll discover: Multiple quick cash strategies that can put $10,000 or more in your pocket in the next 30 days, including some that let you literally pay FULL PRICE (if the terms are right…) • The fine (and crucial) art of pre-screening prospects, so that you only have to deal with people who really want to deal with you • How to find the best deals when the competition is fierce • Where to get the money to fund your deals, without coming out of pocket one dime, and even if your credit sorta sucks…and so, so much more… It’s taken TWO YEARS to fit OREIA into Ron’s busy schedule, so PLEASE don’t miss this chance to sit at the feet of the master for a full day. It will change your life—guaranteed! JASON ROBERTS & RACHEL SCHNEIDER: THE TOP 5 SECRETS TO BUYING HOUSES CHEAPER THAN ANYONE ELSE! In 2010, thanks to the collapse of his mortgage business, Jason Roberts lost his home, had his cars repossessed, and filed Chapter 7 bankruptcy. So why in the world should you listen to one thing he has to say about success? Because
in 2011, with no money or credit, he flipped 100 houses for $3.6 million in profit, and hasn’t stopped since. Now, at his first-ever Summit appearance, he’s ready to share the secrets of his success, including: • How to find “hidden inventory” in probates, local banks, short sales, and other places the “average” entrepreneur doesn’t know how to look • The #1 secret that will IMMEDIATELY put you out ahead of 84% of your competitors, even if you’re so new at real estate they haven’t even taken you out of the package • How to create marketing that will grab the seller’s attention (despite the fact that they’ve gotten mail from 30 other investors) • How to manage and track your marketing so that it doesn’t take up all your time Other gurus say that you can “do it” with no money, credit, or experience. Jason has lived it, and can show you how to do the same. Jason Roberts and Rachel Schneider have always been fascinated by the world of real estate. In 2001, while still in their early 20s, Jason and Rachel decided that instead of working for someone else, they would rather be in charge of their own destiny and opened a mortgage company. They eventually built that business into a multi-million dollar company, where they closed over 3000 real estate transactions. Then the market crashed and they had to find a new way to use their real estate talents. That is when they went into real estate investing and started down a new path. Implementing the real estate strategies they have honed over time they have since closed well north of 300+ real estate transactions (pre-foreclosures/short sales, wholesales, probates, etc.) Take advantage of this opportunity and visit www.oreiaconvention.com for more information!
The National “New Strategies Summit”
2017
for Real Estate Investors and Landlords Save The Date! November 9 - 12 Great Wolf Lodge Conference Center Mason, Ohio 14
July 2017
COMPANY
CONTACT NAME
PHONE NUMBER
BUSINESS TYPE
LEVEL
Badcat Properties LLC
Samuel Moore Jr.
moorejrsam@hotmail.com
(513) 485-8599
Financial Services
Silver Vendor
Berkshire Hathaway Commercial Division
Max Arroyo
marroyo@bhhspro.com
(513) 772-7781
Property Management
Silver Vendor
BildWise
Dan Poske
dposke@crnsllc.com
(513) 301-0247
Rehab Project Mgmt.
Gold Vendor
BKH Contracting
Keith Hardig
keith@bkhcontracting.com
(513) 266-8719
Contractor Services
Bronze Vendor
Bowie Properties
Vena Jones Cox
vena@therealestategoddess.com
(513) 471-0141
Real Estate Services
Platinum Vendor
Charles P. Vonderhaar CPA
Chuck Vonderhaar
chuck@cpvcpa.com
(513) 563-0598
Accounting
Bronze Vendor
Cincinnati Home Improvement Company
Chris Penn
CincyHomeImprov@gmail.com
(513) 898-1878
Rehab & Restoration
Platinum Vendor
Cleaning Logistics, LLC
Catherine Cahill
catiecahill86@gmail.com
(513) 846-4084
Cleaning Services
Gold Vendor
Criterium-Cincinnati Engineers
Matt Klein
criterium-cincinnati@fuse.net
(513) 474-9600
Inspection Services
Silver Vendor
Ellsworth & Associates Inc. CPAs
Scott Ellsworth
sellsworth@ellsworthcpa.com
(513) 272-8400
Accounting
Platinum Vendor
Exit Best Realty
Marty Russell
martysrussell@gmail.com
(513) 899-9990
Real Estate Services
Silver Vendor
Exit My Foreclosure
Kristin Calendine
kristin@exitmyforeclosure.com
(513) 429-3948
Real Estate Services
Bronze Vendor
Fabulous Floors of Cincinnati
David Caldwell
davidCaldwell@fabulousfloorsusa.com
(513) 453-4006
Floor (Wood) Restoration
Silver Vendor
Federle Realtors
Dennis Taylor
dennist123@aol.co
(513) 851-4021
Real Estate Brokerage
Gold Vendor
Handyman Connection
Derek Christian
dchristian@handymanconnectio.com
(513) 771-3950
Rehab and Reconstruction
Gold Vendor
Hartlaub CPA Advisory Grp
Marc Steiger
msteiger@hartlaubtax.com
(513) 821-8768
Accounting
Silver Vendor
Home & More
Darrin Carey
darrin@myhomesandmore.com
(937) 458-3303
Icon Property Rescue
Jeremy Clayton
clayton@iconenvironmental.net
(513) 396-6653
Restoration
Silver Vendor
Keller Williams Pinnacle Grp
Kathy Waldeck
kathy.waldeck@kw.com
(513) 553-1883
Real Estate Services
Bronze Vendor
LD and SL Properties
Stephen Hering
STEVEHERING@PRODIGY.NET
(513) 737-6888
Real Estate Services
Bronze Vendor
Let Me Manage It LLC
Michael Rullmann
Mike@letmemanageit.com
(513) 703-1169
Management Services
Silver Vendor
NTN-Indiana/Ohio
John Spafford
john@ntnonline.com
(877) 579-3520
Tenant Screening
Bronze Vendor
NRL
Lisa Chambers
lisa.chambers@nrlmortgage.com
(513) 607-4107
Financial Services
Silver Vendor
OdorXit
Deb Meyer
deb@odorXit.com
(513) 266-4000
Cleaning Products
Bronze Vendor
Parkway Title
Louis Breeden
louis.breeden@parkwaytitlellc.com
(513) 701-6216
Title Company
Silver Vendor
Renter’s Warehouse
Scott Adams
scottadams@renterswarehouse.com
(513) 293-5079
Property Management
Silver Vendor
Secured Investment Lending Corporation
Brittany Kiah
brittany@securedinvestmentlending.com
(407) 878-2830
Financial Services
Platinum Vendor
Security Services LLC
Kristen McClanahan
kmcclanahan@adt.com
(513) 924-2375
Security
Silver Vendor
Serious Property Management
Gregory Wagner
seriouspropertymanagement@gmail.com
(513) 752-1028
Service Link
John C. Wagner
John.Wagner@svclnk.com
(513) 857-9179
Title Company
Silver Vendor
Spring Valley Bank
Dave Wittcamp
springvalleybank@cinci.rr.com
(513) 761-6688
Financial Services
Bronze Vendor
Stepping Stones
Paul Olzeski
paul@steppingstones.rocks
(513) 520-0939
Insurance
Gold Vendor
Swept Away Property Clean Outs
Sasha Allen
TeamAllen@fuse.net
(513) 344-3972
Cleaning & Haul Outs
Bronze Vendor
The Bauer Firm LLC
Benjamin Bauer
ben@thebauerfirm.com
(513) 851-7600
Legal
Silver Vendor
The Northcoast Commercial Group
James Markowitz
james@nccgfinancing.com
(216) 310-4667
Financial Services
Silver Vendor
The Investor
Silver Vendor
Gold Vendor
15
PRESORTED PRESORTED STANDARD STANDARD
Cincinnati REIA Cincinnati REIA Road, Suite 100 7265 Kenwood 10945 Reed Hartman Hwy., Ste. 113 Cincinnati, OH 45236 Cincinnati, OH 45242
U.S.POSTAGE PAID
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a New o t g n i ! Mov We’re ion April 7tdhetails! Locaetlow & inside for Se e b
REIAGC Meetings Our General Meetings are held at:
Ramada Plaza - Sharonville
11320 Chester Road
Cincinnati, OH 45246
Across from Sharonville Convention Center Be sure to come and check out our beautiful new location! Visit: www.CincinnatiREIA.com for continuous information updates and valuable resources!