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MID-AMERICA ASSOCIATION OF           REAL ESTATE INVESTORS



Investment News
NETWORKING : EDUCATION : COMMUNITY                December 2010




                                     Investing as a
                                     Team Sport
Holiday Networking Meeting




  Preparation:                              Agenda:
         Attend Prepared to network in-     5:30 Reservations Start
         formally. Have Business Cards              Join us when you can. Attend
         in your pocket. If you have a              from 5:30 to 8:30 or later. Or
         flyer or other item that might             stop in for an hour anywhere
         come up to hand out, have                  between 5:30 and 8:30
         available in your car.
                                            Location:
  Mechanics:
                                                    Fox & Hound
         MAREI has reserved a corner in
                                                    103rd & Metcalf
         the Pool Table Room as well as
         a Pool Table. These are tall ta-
         bles that are designed for us to   Cost:
         stand up and move around. Mix              Free for Everyone to Attend
         and mingle. Want to sit down
                                                    Food & Drink Extra
         and eat, claim a seat.
                                                    Accepting Donations
                                                    For Harvesters

                                                                 Interested in learning
                                                                 more about creative fi-
                                                                 nancing? Be sure to at-
                                                             November2Meeting
                                                                 tend the day Bootcamp
                                                      January Meetings
                                                                 with Don DeRosa & Pete
                                                              Speed Networking
                                                                 Youngs, they will talk

                                                      Again at   about creative financing!
                                                           Back by Popular Demand
                                                                 And be sure to watch for
                                                                 upcoming meetings of
                                                      Sylvester Powell
                                                                 MAREI’s new subgroup.




Page 2                                                                    MAREInet.com
Contents
                        MAREI News
                                                 In This Issue
                                                 December Meeting                                     2
                                                 MAREI Staff                                          5
                                                 In the News This Month                               6
                                                 Member Pics                                          7
                                                 Investing as a Team Sport                            8
                                                 Three Tab vs Structural                             10
                                                 Key 2010 Tax Law Changes                            12
                                                 Marketing Toolbox                                   14
                                                 Building an Email List                              16
                                                 Economic Update                                     18
                                                 Mortgage Interest Deduction Under Attack            20
                                                 MAREI Member Tool Boxes                             21
                                                 Calendar                                            22
                                                 Investment Opportunities                            24
                                                 Craigslist Advertising                              26


 Features ‫ ׀‬December 2010
      Have you              The Housing       Advertiser’s Directory

      been consider-        Recovery is off
                            to a shaky        T.O.T.L. Renovations        11   Realty Resource       25
      ing partnering
                            start in 2010.    Te-Tee Light                11   Home Depot            25
      on larger
                            Don’t let our
 8    deals? Won-
      der how it       20   government
                            slow it even
                                              Constant Contact
                                              Free Trial Web
                                                                          17
                                                                          17
                                                                               AAA Screening
                                                                               Office Max
                                                                                                     26
                                                                                                     27
      would work?           further by tak-
                            ing away Mort-    Rockstar Investor           18   Accurate Title        28
      Investing as a
                            gage Interest     kcmoHomeBuyer               25
      Team Sport
                            Deductions.



Investment News                                                                                  Page 3
MAREI
                                             Notes
         Contact Information
         PO Box 8685, Prairie Village KS, 66208

         Phone: 816-523-4400 x 222        Fax: 816-523-4440



         Our Mission Statement
         Mid-America Association of Real Estate Investors is dedicated to promoting ethical real estate in-
         vesting and to protect and promote the best interest of our membership through educational and
         networking opportunities as well as community, legislative and public relations.



         Legal Disclaimer
         MAREI does not exist to render and does not give legal, tax, economic or investment advice and
         disclaims all liability for the action or inaction taken or not as a result of communications from or to
         its members, officers, directors, employees and contractors. Each individual should consult his/her
         own counsel, accountant and other advisors as to legal, tax, economic, investment and related
         matters concerning real estate and other investments.



         Content Disclaimer
         The views and opinions expressed by authors of articles contributed to this newsletter do not neces-
         sarily reflect those of the association, the board of directors or the staff.

         Advertise in the Investment News
         Rate Schedule

         Size                  Non-Member                  Member                        Business Associate

         Full Page             $175                        $140                          $115

         1/2 Page              $145                        $105                          $85

         1/4 Page              $75                         $65                           $50

         1/8 Page              $55                         $35                           $25


          A 10% discount is given on ads pre-paid for 6-12 months. Any changes to a pre-paid
          ad will incur a minimum charge of $20. The deadline to submit ad copy is the 1st of
          each month. All ads must be prepaid. Contact to verify ad format can be accepted.
          PDF preferred. There is an additional charge of $25 to typeset a business card ad or
          1/4 page ad layout, $60 for a 1/2 page or full page lay-out. Opportunities also exist for
          advertising on www.MAREInet.com. Call 407-328-7773 for more information. Email
          ad copy to info@MAREInet.com. Mail payment to MAREI, PO Box 8685, Prairie Vil-
          lage, KS 66205 or request an online payment for to use credit or debit card.




Page 4                                                                                    MAREInet.com
MAREI
                                                     Staff

Kim Tucker 816-523-4400    Don Tucker 816-523-4400   Steve Burns
Director                   President                 Audio Visual
Kim@MAREInet.com           Don@MAREInet.com          cashflowtreasures@gmail.com




Bertie Janssen             John Welchert             Larry Prato
Meeting Ambassador         Meeting Ambassador        Commercial Subgroup
Bertoe@janssenrei.com      816-268-3849              913-227-4693




Dan Goodwin 913-642-5218   Shelda Goodwin            Frank Janssen
Meeting Ambassador         Meeting Ambassador        Creative Financing Subgroup
DanGoodwin@kw.com          SheldaGoodwin@kw.com      816-865-6514




 Investment News                                                            Page 5
Director’s Notes
         Is it really nearing the end of 2010? It has been a very    you see them. If you have not had a chance to volun-
         interesting year for area real estate investors and the     teer, think about adding it to your to do list for 2011!
         country as a whole. I have to ask, did you do all you       The benefits of being a volunteer are invaluable.
         planned in 2010? I have learned in life that we should
                                                                     We will continue 2011 at the Sylvester Powell Jr Com-
         always set high goals, so that we try harder and suc-
                                                                     munity Center in Mission as well as outside events at
         ceed more. I know for many MAREI members it was a
                                                                     other locations. We are working right now on the right
         year of survival, yet for others it was a very successful
                                                                     mix of education, networking, and community events
         year.
                                                                     for 2011. If you have any suggestions for topics,
         MAREI has had a very busy year. We have seen a              speaker, or events, please feel free to contact me.
         complete makeover on the website adding in a blog
                                                                     While I can‘t really tell you if we are at the bottom of
         and other features. The newsletter is always in a stat
                                                                     this economic downturn, I can tell you that the oppor-
         of change. Last we have brought some great new
                                                                     tunities for us are all over the metro. I urge you to
         benefits in for members including the awesome new
                                                                     make a commitment in 2011 to obtain the education
         Home Depot Rebate, Rentals.com discount, and oth-
                                                                     you need, to set high but workable goals, make imple-
                          ers.
                                                                     mentation plans and do something! Reading about it
                          We really want to thank all the mem-       and talking about it, does not bring you profits!
                          bers for being there for us. Without
                                                                     Have a safe Holiday Season! I hope to see you at the
                          members interacting online and at
                                                                     December networking, if not . . . See you Next Year!
                          meetings, there would be no need for
                          us to be here. If you were a volunteer                                                  Kim Tucker
                          this year, let me take this place to say                                        Director of MAREI
                          ―Thanks!‖. You can see our volun-
                          teers listed on page 5 and we urge
                          you to be sure to thank them when




             While I can’t really tell you if we are at the bottom of this economic
             downturn, I can tell you that the opportunities for us are all over the
             metro. I urge you to make a commitment in 2011 to obtain the edu-
             cation you need, to set high but workable goals, make implementa-
             tion plans and do something! Reading about it and talking about it,
             does not bring you profits!
                                                                                                        - Kim Tucker


Page 6                                                                                               MAREInet.com
Get Involved
    We are looking for a volunteer to help us with
  taking photographs at the monthly meetings. If
     you have a digital camera and can attend the
      monthly meetings regularly, this would be a
          great way to get to know the members.
    Volunteers receive discounts on Membership
                 and or Outside Training Events.


  For more information on becoming a volunteer,
                      Contact Kim Tucker, Director,
       At info@MAREInet.com or call 913-208-3544




Investment News                                       Page 7
Michael Morgan

              Emerging Acquisitions




                       Investing . . .
                            As a Team Sport . . .
         I‘ve been asked to cover some basic definitions in          (US) of an accredited investor is one who has an in-
         regard to the investment process, specifically in re-       come (can be combined with a spouse) of $200,000
         gard to Multi Unit Investment, as in larger Apart-          or more annually and/or $1 Million of net worth. If you
         ments, where one or many investors are involved.            have ever played the Cash Flow Game this is re-
                                                                     ferred to as being on the fast track. Acquiring wealth
           In single-family acquisition, we are familiar with re-
                                                                     has a momentum, and this is reflective of the risks
         habs, fixes, flips and short sales. In all of these cate-
                                                                     and rewards at this level.
         gories frequently one individual, spending from
         $5,000-$10,000 or more, will to able to purchase, fix        Active and Passive Investors: As the name implies,
         up, rent out or resell a property. Usually this is time     the type of investor you may be. Active investors are
         intensive and is perfect for the ‗do it yourself-er‘, es-   more hands on, like the detail and participation in a
         pecially appealing to the one who wants to keep an          project. Passive Investors like to monitor a project,
         eye on every part of the process. No doubt, money           but do not either have the time or inclination to man-
         can be made in this process.                                age an investment. If they know a team is competent,
                                                                     they would like to watch their investment grow as
           As we move up from duplexes, triplexes, 5 plexes
                                                                     they put their attention on other matters.
         etc, the cost of capital commitment increases. Also,
         however, the amount of cash flow and return on our           Associate: also known as an investor. These indi-
         investment increases. Typically 100-300 units cost          viduals are considered partners in a project, espe-
         between $3-10 million, and it may take 20-25% of            cially in a project that may require several individuals
         that figure to acquire. That‘s $750,000-2.5M for a          to contribute the equity (cash) towards the down pay-
         down payment and acquisition costs (the costs for           ment and acquisition costs (costs of acquiring a prop-
         RE agent, legal, financial, loan processing, etc)           erty)
          So at this stage we can ask, what is an investor,           General and Limited Partners: The legal structure
         and why are they needed?                                    that we typically use for a Multi Family Investment is
                                                                     called a limited liability corporation or LLC, which is
           The following is a list of terms that may help you in
                                                                     composed of General and Limited Partners. The
         looking at these types of opportunities:
                                                                     General Partners take care of the purchase, manage-
          Investor: as in Real Estate, one who is looking for a      ment, distribution of profits, and eventual sale of the
         reasonable and even unreasonable return on invest-          property. The Limited Partners (investors) are in-
         ment. As opposed to ‗traditional‘ investments, such         formed on a quarterly basis of the progress of the
         as savings, CD‘s, money market accounts, Treasury           project and enjoy the benefits of ownership without
         notes, annuities, and the stock market, Real Estate         the hands on day to day management required in
         investors can enjoy returns of 8-10% or much more           smaller projects.
         annually on an investment, and often enjoy the secu-
                                                                       Return on Investment: Simply put, how fast you get
         rity of having ownership in the ‗brick and mortar‘ of a
                                                                     your money back on an investment. The higher the
         property. Part of the homework in becoming an in-
                                                                     return, the faster your money comes back to you. It is
         vestor is knowing your comfort level with risk, reward,
                                                                     considered great if you can double your money every
         how fast you would like your investment to grow, and
                                                                     7 years. If you can do it in 2, 3 or 5 years, even bet-
         familiarity with the asset (type of real estate) you are
                                                                     ter. This is the basis that many use to determine how
         interested.
                                                                     long it will take to get out of the ‗rat race‘ (live off your
           Accredited Investor: Typically a more sophisticated       investment income) or permanently retire and do
         investor who has some acquaintance with risk, re-           what you love to do…
         ward, and investment. The governmental definition                                                       (Continued on page 9)




Page 8                                                                                                  MAREInet.com
(Continued from page 8)                     Kansas is an emerging market as             make over the life time on their invest-
                                            well?                                       ment.) With this formula, they are as-
  Equity: in terms of real estate, the                                                  sociates and passive (but informed)
                                              Cash Flow: Perhaps my favorite
amount of ownership you have in a                                                       investors who have a percentage
                                            term. From an investor point of view,
property. Depending on the amount                                                       ownership in the project, ongoing
                                            this is the amount of cash that a pro-
invested, an investor has an equity                                                     cash flow and profit at the end of the
                                            ject throws off after all the bills are
position (percentage of ownership) in                                                   investment when the property is sold.
                                            paid. This is cash available for the
the project.                                                                            They form part of a select group of
                                            investors to enjoy on an ongoing basis
                                                                                        investors who fund larger projects.
  Market Cycles: Describes the phase        even before the property is sold.
                                                                                        This is the same strategy that large
of the market or economy real estate
                                               Now as a way of explaining what          institutional investors use. We make
is in. Did you know by and large we
                                            we do, let‘s use the above definitions      this a simplified process for a single
are in a Buyer‘s Market Stage II Cycle
                                            to define our mission:                      investor to enjoy the same benefits as
right now? There are 4 market cycles
                                                                                        a larger, multi million dollar investor.
and each one of them has a different           At Grady Morgan Acquisitions, we
buying strategy. Right now, buying          locate 100-300 unit Multi Family            Article provided by MAREI member Mi-
and holding, and getting some of the        Apartments to acquire, manage and           chael Morgan, Senior Managing Partner at
best deals of a lifetime, is the strategy   sell at the proper time. We look at         Grady Morgan Acquisitions. Based in
for the moment.                                                                         Southeast Iowa, Grady Morgan special-
                                            Market Cycles to determine how and
                                                                                        izes in Apartment Acquisitions in the Mid-
                                            when to buy. We buy in Emerging             west. Their specific focus has been in
  Emerging Market: Describes an
                                            Markets where employment is strong          Iowa and Kansas, and they currently have
area where job growth is still strong
                                            and the economy will support the best       a 150 unit plus project under contract in
even in a down economy. This is a
                                            value. We look for Investors and Ac-        Topeka Kansas. For more information on
key place to buy because an Emerg-
                                            credited Investors who can retain an        specific projects and to sign up for our
ing Market will be one of the first to                                                  newsletter contact Michael at 312 543
                                            Equity Position in the property, and
recover from the recession. Did you                                                     4719 or email at
                                            receive ongoing cash flow (cash re-
know parts of Kansas City are consid-
                                            turns annually on their investment)         mmorgan@myemergingmarket.net.
ered to have the criteria of an emerg-
                                            which is part of their over all return on
ing market? Did you know Topeka
                                            investment (the amount of money they



                                                                                              Date & Time:

                                                                                                 Wednesday
                                                                                                 December 11th
                                                                                                 5:30—7:00 pm

                                                                                              Location:

                                                                                                 Panera Bread
                                                                                                 103rd & State Line

                                                                                              Cost:

                                                                                                 No Charge to Attend
                                                                                                 Please support Panera




   Investment News                                                                                                     Page 9
Mike Quinn

          Casa Bonita Roofing & Real
          Estate Solutions




                    Know Your Roof
                         Three Tab vs Structural
     What's the difference between 3-tab shingles and        between a 3 tab shingle roof and a roof with a di-
     dimensional (Timberline) type?                          mensional shingle is around $600, for the cheap-
                                                             est dimensional shingle.
     The short answer…
                                                             I'm a strong believer in the benefits of the dimen-
     The dimensional shingle is heavier, thicker,
                                                             sional shingles. I rarely bid a 3 tab shingle any-
     shaped the same as the 3 tab shingles, (but
                                                             more. Aside from wind issues, the 3 tab shingle
     with cut pieces "chevrons" overlaying the "tabs")
                                                             can be expected to last 17-20 years, but the di-
     so essentially the dimensional ( as it sounds like)
                                                             mensional shingle will go 25 years. The more ex-
     is thicker due to an overlay of material and so
                                                             pensive dimensional shingles may go 30
     consequently on a tract house, a couple hundred
                                                             years. Some of them are rated as 40 year or 50
     more dollars more expensive.
                                                             year shingles, but you would be wise not to expect
     The long answer…                                        more than 30 years. ( Considered by some to be
     The 3 tab shingles are fairly thin, lightweight, sin-   "Lifetime" )
     gle thickness and the "3 tab" element makes it so       Recently, there have been a whole host of great
     that an individual part of the shingle (one third)      products introduced that can withstand hurricane
     can be lifted by the wind without having to lift the    force winds, hail, and even reflect 40% of the
     entire shingle. All of those factors make a 3 tab       "heating" rays from the sun. These can get you
     shingle less desirable if you live in a moderate to     the energy star tax rebate of up to 1500.00 and
     high wind area. Yes, Missouri and Kansas are in         the impact (hail) resistant ones can get you addi-
     that zone.                                              tional $$ off your homeowners insurance premi-
     The basic base material for the dimensional shin-       ums…
     gle is a little bit thicker. There are also extra
     pieces laminated on to each shingle to give it a        Here is a great website for my preferred shingle
     thicker and more random look. Those extra               provider. Check them out at
     pieces also add more weight and rigidity to the
                                                             http://www.certainteed.com/learning-center/roofing
     shingle. If the wind is going to lift the shingle, it
     has to blow hard enough to lift the entire shingle,
     because the shingle isn't cut into individual 13"
                                                             Article Provided by MAREI member Mike Quinn:
     long tabs. These are all the reasons why some
     insurance companies insist on the dimensional           "Because Everybody Needs to Know a Good Roofer..,"
     shingles.                                               Mike Quinn
                                                             Expert Roofer and Team Leader
     Most of the dimensional shingles are a rectangle,       Casa Bonita Roofing and Real Estate Solutions
     about the same size as the overall 3 tab shin-          Visit us on the web at http://www.trustcbr.com/
     gles. They are installed the same. The basic            816.875.3357
     asphalt material in the shingle is the
     same. There's just more of it.
     I normally don't discuss prices online, however,
     the differences on an average size tract home


Page 10                                                                                    MAREInet.com
NEED TO FLIP A
                                         PROPERTY FAST?
                                    T.O.T.L. RENOVATIONS
                                       Top of the Line Renovations for all your
                                          rehab needs quickly, at a reasonable price.

                                We specialize in:                    Licensed and Insured
Structural Shingle                    Make-ready
                                      Siding & Windows           Call Anthony @ 816-606-0266
                                      Carpentry & Roofing         or Emily @ 816-252-0095
                                      Plumbing and Electrical    Totlrenovations@comcast.net
                                      Painting & Flooring
                                      Drywall & Doors
                                      Fences & Decks
                                      Kitchens & Baths

Three Tab

                                  TE-TEE LIGHT ELECTRICAL SERVICES
The only complete                            Keeping you ―In-Powered‖ with
catastrophe is the                            Superior Electrical Service!
catastrophe from which we
learn nothing.                   FREE Estimates
  -William Ernest Hocking        FREE Consultations on Non-Emergency
                                 24-hour Same Day Emergency Service
There’s a mighty big
difference between good,             Licensed, Insured, Bonded
sound reasons and reasons            Serving Kansas & Missouri
that sound good.
  - Burton Hillis                         George Z. Bai, Sr. - Owner
Be careful about being too                  Office (816) 356-1870
careful.                                     Cell (816) 210-4710
  - Beryl Pfizer                           TeTeeLight@gmail.com



 Investment News                                                                        Page 11
Carl Heintz

            Carl Heintz CPA




                                        Key 2010
                          Tax Law Changes
      From http://CPATaxUpdate.com                                Self-Employed Individuals may now deduct their
                                                                  health insurance premiums when computing self-
      Carl Heintz, CPA (www.CarlHeintz.com)
                                                                  employment tax in 2010!
      Estimate your 2011 taxes under various scenarios
                                                                  Credits for Energy Efficiency are dramatically re-
      at www.mytaxburden.org.
                                                                  duced after 2010! Don‘t miss out on the $1,500
      Child Tax Credit is cut in half after 2010, from            credit for energy efficient improvements.
      $1,000 to $500, and higher income thresholds are
                                                                  Converting a Rental home to a Primary Resi-
      applied again.
                                                                  dence may have tax consequences as the result of a
      Payroll Tax Credit ($400 for single filers and $800         tax law change!
      for joint filers) is no longer available in 2011.
                                                                  America Opportunity Credit of up to $2,500 for col-
      Tax Credits for College to Expire American Oppor-           lege tuition and books expires after 2010. It applies
      tunity Credit expires, and the Hope Credit is limited to    to the 1st 4 years of post-secondary education. Keep
      a non-refundable maximum of $1,800.                         good records on educational costs.
      Earned Income Tax Credit will decrease as tempo-            529 College Savings Plans can be used to pay for
      rary changes expire.                                        computers and internet access in 2010 only.
      Mortgage Insurance Premiums (PMI) are no longer             Tuition and Fees Deduction of up to $4,000 expired
      deductible, starting in 2011.                               for 2010—unless congress takes action.
      Coverdell education accounts contribution caps              Deductible and Roth IRA income limits have been
      decrease from $2,000 to $500.                               raised. If you are covered by a retirement plan the
                                                                  deductible IRA phases out for Adjusted Gross In-
      Credit Energy-Saving Home Improvements The
                                                                  come (AGI) of $89,000 – $ 109,000 (married filing
      30% credit will be reduced to10%, and will be capped        jointly) or $56,000 — $ 66,000 (single or head of
      at $500.                                                    household). Roth IRA is now phased out as your
      Flexible Spending Accounts and HSAs can no                  AGI rises between $167,000 and $177,000 if you are
      longer be used to pay for non-prescription drugs.           married filing jointly, or $105,000 to $120,000 if you
      Additionally, a tax on non-qualified or early withdraw-     are single or a head of household.
      als from HSAs increases from 10 to 20%                      401(k) Contributions Limits 2010 maximum of
      Landlords must issue 1099’s to service providers            $16,500 ($22,000 if age 50+)
      paid over $ 600 cumulatively in a year. It will be criti-
                                                                  Donations from IRAs directly to Charity can no
      cal to obtain completed W-9 forms from all service
                                                                  longer be made tax-free in 2010.
      providers (ex. managers, repairmen, etc).
                                                                  Gift Tax Exclusion remains at $13,00 per person. A
      Standard Mileage Rates for 2010 are 50¢ per mile
                                                                  gifting plan can save substantial taxes. Gift tax rate
      for business miles, 14¢ per mile for charitable miles,      for 2010 lowerd to 35%.
      and 16.5¢ per mile for medical miles.
                                                                  Estate Taxes – there are none in 2010! This can
      Unemployment Benefits The first $2,400 of unem-
                                                                  cause dramatic tax differences when inherited assets
      ployment benefits are no longer tax-free in 2010!
                                                                  are sold.
      Sales taxes are no longer deductible as an itemized
                                                                  Receipts for Charitable Contributions – you must
      deduction, and there‘s no deduction for sales taxes
                                                                                                         (Continued on page 13)
      on a new vehicle.


Page 12                                                                                          MAREInet.com
now have a receipt from the charity for    25,000. Contact us to see if you qual-    of up to $10,000 each can be written
any contributions in excess of $ 250.      ify.                                      off (up from $ 5,000).
Section 179 limits have been raised        Partnership and S-Corporation Late        Per-diem rates (high cost areas)
to $ 500,000 for 2010, meaning the         -filing Penalties have increased dra-     have decreased from $258 to $233
cost of more equipment can be de-          matically! The S-Corporation penal-       effective 10/1/10
ducted this year! Additionally, lease-     ties are up to $ 2,340 per shareholder.
                                                                                     Special exemptions for small busi-
hold improvements, restaurant prop-        See us early in the season to avoid
                                                                                     ness stock issued between 9/27/10
erty and retail improvement property       them!
                                                                                     and 12/31/10 result in no tax on any
can be written off as part of Sec 179.
                                           1099 Penalties are Way Up! Late           gain if the stock is held for 5 years.
Bonus Depreciation (50% write off)         filing of 1099s could cost as much as     Yes, that‘s a 100% exclusion from
has been extended to 2010 and 2011         $ 100 per 1099, and the IRS is deny-      taxation of any gains.
for qualifying property!                   ing deductions when no 1099 is is-
                                           sued. Contact us before you work with
Automobiles and trucks still qualify
                                           outside contractors to avoid penalty!
for the special $8,000 first-year bonus
depreciation in 2010.                      Start-up and Organizational costs
Reporting Health Care Insurance
Costs on form W-2, schedule to be
mandated for 2011, has been made                                  Accurate Title Company
optional.
Unused credits can now be carried                                    ―When You Need Timely,
back up to 5 years. Losses from prod-                                  Top-Quality Service . . . ―
uct liability claims can be carried back
up to 10 years. Operating losses,                      Owners and Loan Policies
however, can no longer be carried                      Endorsements
back up to 5 years: they can only be                   Ownership & Encumbrance Reports
carried back 2 years, and carried for-                 Foreclosure Reports
ward 20.                                               Ownership Information
                                                       Tax Information
                                                       Buyer‘s Closing Services
Hiring the Unemployed may qualify                      Seller‘s Closing Services
you for tax incentives. There are two                  Lender‘s Closing Services
credits, the HIRE credit and the Work                  Recording Services
Opportunity Credit. These credits can                  Funds Disbursement Services
be over $ 6000 per employee. If you
                                                                                    www.AccurateTitleCo.com
                                                       1031 Exchange Services          913-338-0100 phone
keep a HIRE credit employee a year,                    Special Requests
there‘s another $ 1,000 credit.                                                          913-338-0107 fax
Small Employers Providing Health
Insurance could receive a new
credit! This redit is optimal for em-
ployers with less than 25 employees
and average wages of less than $


  Investment News                                                                                                Page 13
Marketing
                      Tool Box
      .Real Estate Investors and Landlords are small business owners. Successful small business own-
      ers understand that the biggest tool they can have is their Marketing ability. With our marketing
      Successful Real Estate Businesses would not have buyers and sellers, renters, customers, or cli-
      ents.

      MAREI has assembled a package of Marketing Tools that we use here at MAREI for our own mar-
      keting.

      Constant Contact:

      Is the email service that MAREI utilizes for all email marketing and digital news
      updates. To sign up for a free 60 day trial, discounts for prepay, and training on
      how to utilize email marketing in your business, click here.

      PartnerShip:

      Through our agreement with PartnerShip, which developed and manages the
      program, enrolled local and national members receive significant inbound and
      outbound discounts on small package shipments through FedEx (up to 22%), as well as copying
      and printing services (up to 20%) through FedEx Office. Sign up instructions in the Member‘s
      Area under Member Discounts.

      EZ Data Group:

      Having a hard time finding CUR-
      RENT foreclosure or short sale
      leads? Try this service for 7 days FREE. If anyone is looking for CURRENT short sale or foreclo-
      sure leads in Jackson County or St. Louis, try our service 7 days FREE. If you are in business
      ELSEWHERE consider probate leads, PRE NOTICE OF DEFAULT (30,60 and 90 days) many
      times these are short sales waiting to happen- get the heads up before other investors! We ser-
      vice only the serious real estate investors, nationwide CURRENT leads, we have references,
      please visit our website or give us a call. Click here for more information.

      Rentals.com:

      Receive 20% off standard listings at Rentals.com – an
      online business tool designed to rent your property faster


Page 14                                                                                    MAREInet.com
and maximize your investment. List easily, edit anytime, reach millions of qualified renters and save yourself
from future hassles with archive capabilities – when your property is rented, your property details and photos
are archived so you can reactivate it anytime. To obtain your members‘ only discount code visit
the Member‘s Area under Member Discounts.

Vista Print:

The first marketing tool you may need as a new investor or in any busi-
ness is by far the simplest, the Business Card. MAREI utilizes Business
Cards and other printed materials from Vista Print for much of their mar-
keting: Business Cards, Post Cards, Brochures, etc. Click here for $250 FREE Business Cards. Visit the
Member Discounts in the Member‘s Area for other great savings with Vista Print, 20%, 30%, up to 75% off.


Bandit Signs:

Trying to drum up seller calls. Plant a Bandit Sign in the
neighborhoods where you want to buy. MAREI members can order 25 FREE Bandit Signs – just pay ship-
ping. visit the Member‘s Area and look on the Member Discounts Page for special link.


Click2Mail

One of the best, low cost marketing tools is direct mail. Here at MAREI we
use Click2Mail to send our letters and post cards at the absolute lowest prices.

FreeTrialWebsite.info

Realtors and Investors need to have a web pres-
ence. Through our FreeTrialWebSite you can have a site
up and running using simple templates in less than 24 hours. You can totally customize in a few
days. Property Marketing features, buyer or seller list building tools, direct mail marketing. Check our our
10 day trial at FREETrialWebsite.info.

Audio Acrobat

While we all love to create audio and video and post for free, if you
get over 10 minutes your file is to large. Please click here to check
out a 30 day FREE trial of Audio Acrobat to find out a great low cost
solution that will host your audio and video files as well as help you
create your own PodCast with the click of a button. Excellent Training.




 Investment News                                                                                     Page 15
Building
                         An Email List . .
      Find out more at : www.MAREIandCC.info                        newsletters into different topics, allow them to
                                                                    select which topics interest them.
      Whether you‘re a Wholesaler, a Landlord, a Realtor,
      a Mortgage Broker, or an Accountant, you need a              If you have a place of business where clients
      steady stream of business, referrals or response from         come in, have a display with a teaser about get-
      the people that keep you in business.                         ting the inside scoop or exclusive offers from you
                                                                    via email and a way for them to sign up for the
      This starts with staying in regular communication with
                                                                    information.
      your audience. When you build an ongoing dialogue
      with them, you increase the trust and comfort level          Use a fishbowl on your counter to collect sign up
      they have with you. They look forward to hearing              forms or business cards. Use an incentive like a
      from you. You‘ll stay in their mind.                          free prize drawing. This is great at trade shows,
      As a result, they‘ll become more loyal, and be more           drop your card into our fishbowl to sign up for our
      likely to use or refer your services. And one of the          newsletter and to register for a $25 gift card.
      easiest, most effective ways to build that dialogue is       Add join my mailing list button to all your web-
      with email marketing—by using email newsletters               sites and include after your signature line on all
      and promotions that you send regularly.                       emails or message board posts.
      That‘s why you should have a list of your customers‘,        Ask your twitter followers from time to time to
      clients‘, or members‘ email addresses: it‘s a real            sign up for your newsletter.
      assset to your business and it is easy to build with
      very little costs.                                           If your email newsletter service allows you to re-
                                                                    post your newsletter article to twitter, repost it.
      Keep in mind you want to build a permission-based             Your followers may go back to the newsletter
      list where people say yes you can send me your                online, read, and then sign up.
      email. So how can you do this, keep ―email mailing
      list‖ in mind in everything you do:                          Use an email newsletter provider service like
                                                                    Constant Contact that has a sign up application
         When a motivated seller calls or anyone, ask if           for Facebook or other Social Media so your
          they would like to receive your email newsletter.         friends can sign up for your newsletter.
         When a potential buyer visits your website, have         Look for a app that lets you input emails into your
          a way for them to sign up via email for a special         service from your phone. So you meet a poten-
          report on how ―Lease Options‖ or what ever your           tial client at a networking event, you can not only
          service might be works. Add them to your opt in           add their phone number to your phone, but their
          list and then send them the report.                       email to your newsletter.
         When you collect tenant info for rental application      Bring a sign up sheet to very public event. For
          or any time you collect contact information, re-          example if you have a vendor table at MAREI,
          quest customer email address. Then even if the            have a sign up sheet for your newsletter, usually
          potential tenant or client does not buy now, you          offer some teaser free item for signing up.
          can follow up with them so they might buy in the
          future, using your email newsletter.                     Add a forward to a friend link on the email mar-
                                                                    keting you are already doing. Your client likes
         Add space on comment cards for people to sign             the article you sent, they forward on to a friend,
          up for your newsletter. If you segment your               and the friend likes the article too and wants fu-
                                                                                                        (Continued on page 17)




Page 16                                                                                         MAREInet.com
ture information so they sign up       The viewer signs up, gets the free          To find out more about how to build
     for your email newsletter.             report that in most cases does not tell     your email contact list or how to use
                                            you a whole heck of a lot and directs       email in your marketing plans, visit
    Host an event, a class, a seminar,     them back to a web site where they          www.MAREIandCC.info, sign up for a
     a demonstration, an online event,      have to do more to get more.                free trial, and then watch for their
     collect contact info including email                                               FREE training emails. They are very
     from all attendees and ask if you      These pages are called squeeze
                                                                                        informative.
     can add them to your mailing list.     pages. They attract a viewer for a
                                            very specific reason and
Have you seen the experts in action         then get them all excited that
on email newsletters? If you have           if they get the free report all
been to more than a few real estate         their problems will be solved.
training events I bet you have. . . .
                                            The free report is to build
Real Estate Gurus:                          credibility so they will then
Buy a training program from a Real          fell comfortable enough to
Estate Guru and what does the order         give you their life history so
form want? Your name and address            you can buy their house. Or
to send the package, your phone in          give you their life history so
case there are problems AND your            you can make them a loan.
email. About a week later if not            Or fork over their credit card            www.MAREIandCC.info
sooner you are instantly signed up for      number so they can send
their FREE online training system that      you a training program.
send you training information on a          ———————
weekly basis.
You bought from them once. The
email newsletter is there to teach you
more for free, build their credibility
with you even more and then WAM,
would you like to buy this new and
improved training program.
Online Marketing:
You may have came across a page
for an online marketing expert. It‘s           Your Complete Website (including hosting) is just
very basic web page that has their                             $39.90 per month
teaser message, usually targeted for a
specific topic: Stop Foreclosure, Sell             plus a one-time initial setup fee of $39.90
Fast, Get Financed, Learn How to
Get Rich . The page teases them with
wouldn‘t it be great if you could do
this, think of all the things you could
then do. . . Please give me your name
and email and I will send you a free
                                            Go to www.FREETrialWebsite.info
report to show you how.                              Risk Free - No Obligation - No Credit Card Required!



    Investment News                                                                                               Page 17
Kansas City

          Federal Reserve




                                         Economic
                                             Update
      TENTH DISTRICT - KANSAS CITY                                Manufacturing and Other Business Activity

      The District economy strengthened in October and            After rebounding in the last survey period, District
      early November, despite headwinds from the resi-            manufacturing activity continued to expand, and
      dential and commercial construction sectors. Addi-          many firms expected further growth in the next six
      tional gains in consumer spending boosted optimism          months. While production levels varied across indus-
      for holiday sales among retailers and auto dealers.         tries, some of the strongest gains were at food, fabri-
      With moderate gains in October andNovember,                 cated metal, and electronics manufacturers. In gen-
      manufacturing plant managers expected production            eral, new orders, shipments, and production activity
      activity and new orders to rise further with a pick-up      strengthened in recent weeks, contributing to
      in export activity. Energy and agricultural activity rose   rising order backlogs and shrinking finished goods
      robustly with strong demand, low inventories, and a         inventories. In the next six months, plant managers
      weaker dollar lifting commodity prices. In contrast,        expected production, shipments and orders, espe-
      residential and commercial construction remained            cially for export, to strengthen further. In addition,
      weak, although commercial real estate sales and va-         more factory managers planned to increase staff or
      cancy rates were expected to improve in coming              make capital purchases in coming months. High-tech
      months. Banking conditions remained stable with             firms also reported a rise in sales that was expected
      more District bankers expecting improvements in             to continue through year-end. After slowing in the
      loan quality. Despite higher raw material prices,           last survey period, activity in the transportation sector
      wholesale and retail prices held steady.                    stabilized and some firms noted a shortage of quali-
                                                                  fied drivers.
      Wage pressures remained subdued, though some
      firms were hiring for seasonal and specialized labor.       Real Estate and Construction

      Consumer Spending                                           Residential and commercial construction remained
                                                                  sluggish in October and November, while commer-
      Consumer spending improved further in October and           cial real estate sales and vacancy rates were ex-
      November, and contacts were optimistic about future         pected to improve in coming months. After contract-
      sales heading into the holiday season. District retail-     ing with the end of the homebuyers tax credit pro-
      ers reported stronger sales with limited discounting        gram, a few District homebuilders noted a slight up-
      on merchandise. Contacts indicated an uptick in du-         tick in housing starts. Still, District home prices
      rable goods sales, especially appliances, while sales       edged down and sales continued to fall heading into
      of luxury items were slow. After declining in the last      the typical winter lull in home buying activity. District
      survey period, auto dealers reported aslight improve-       contacts noted that the starter home market re-
      ment in sales, especially for trucks and used cars.         mained active, but long lead times for selling mid-
      Dealers anticipated demand would continue to                and upper-priced homes were boosting inventories
      strengthen through year-end, and some planned to            and limiting ―move-up‖ opportunities. Mortgage loan
      hire sales staff and service technicians. Restaurant        activity rose as homeowners refinanced existing
      traffic was up, while the average check amount de-          mortgages to lower payments and shorten terms.
      clined. With the end of the summer travel season,           Commercial construction activity declined and was
      average room and occupancy rates edged down at              expected to remain weak over the next three months.
      District hotels, but tourism activity was                   District commercial real estate contacts reported
      stronger than expected.                                     little change in vacancy rates, absorption rates, and
                                                                  prices. Some firms, however, reported an uptick in


Page 18                                                                                           MAREInet.com
(Continued from page 18)                   interest rates.
                                                                                       steady. District manufacturers re-
sales and expected vacancy rates to        Energy                                      ported higher raw materials prices and
edge down in coming months.                                                            expected additional increases in the
                                           District energy activity continued at a     next six months. They also expressed
Banking                                    robust pace in October and Novem-           a limited ability to pass on higher input
                                           ber. The number of active drilling rigs     costs to current finished goods
Bankers reported stable loan demand,       in the District rose further, primarily     prices. However, more factory
increased deposits, and an improved        due to natural gas expansion in Okla-       managers expected to receive
outlook for loan quality in the recent     homa and New Mexico. Producers              higher finished goods prices over
survey period. Overall loan demand         expected drilling activity to remain        the next six months. Restaurants
continued to hold steady as demand         elevated over the next three months;        paid more for food, but kept
for commercial and industrial loans,       however some firms reported that
                                                                                       menu prices stable. After rising in
commercial real estate loans, and          equipment shortages, difficulty finding
                                                                                       the last survey, prices for build-
consumer installment loans remained        qualified labor, and availability or cost
                                                                                       ing materials held steady.
stable. In contrast, bankers reported      of financing were constraining drilling
stronger demand for residential real       activity. District contacts anticipated a   Though a limited number of firms
estate loans. Compared to the previ-       modest increase in natural gas prices       were hiring, primarily for special-
ous survey, credit standards remained      as the winter heating season ap-            ized labor or seasonal workers,
unchanged in all major loan catego-        proached. Crude oil prices were also        few were raising wages to attract
ries. Loan quality was essentially un-     expected to strengthen with rising de-      qualified applicants. Wage pres-
changed compared to one year ago.          mand and a weaker dollar. After surg-       sures were expected to remain
Bankers, however, expected loan            ing in the last survey period, Wyoming      subdued through the end of the
quality to improve over the next six       coal production continued apace. With       year.
months. Deposits, especially for trans-    higher ethanol prices, profits at etha-
action accounts and savings ac-            nol plants held steady despite higher       From the Federal Reserve Beige
counts, increased after having been        corn prices raising operating costs.        Book for November
flat since late last year.                                                             Read full report for all Districts at
                                           Wages and Prices                            http://www.federalreserve.gov/
Agriculture                                                                            fomc/beigebook/2010/20101201/
                                           Prices paid for raw materials rose fur-     fullreport20101201.pdf
Agricultural conditions improved since     ther in October and November, but
the last survey period. Favorable          selling prices and wage generally held
weather conditions across the District
facilitated an early corn and soybean
harvest with yields less than original                                  PRIVATE LENDER
estimates but slightly better than their
five-year average. The winter wheat                      Locally Owned & Operated Private Money Lender
crop was progressing normally. Crop                            We are a Direct Lender, not a Broker
prices continued their steady climb
through the fall harvest, boosting in-               Rehab Loans up to 100% of Costs
comes for crop farmers but raising                   Up to 65% of the After Repaired Value
feed costs for livestock producers.
Farmland values and cash rental rates                Terms from 30 Days to 1 Year
strengthened further with higher farm                Rates from 12 to 16% Interest Only
incomes and robust demand for good                   Points from 6 to 10 in Lieu of Equity
quality farmland from both farmers
and non-farm investors. Farm opera-                  Appraisals Required
tors also increased spending on farm                Draw Requests on Wed. Paid on Friday
equipment and grain storage bins.
Demand for farm operating loans was                      RockStarInvestor.com
steady, and agricultural bankers re-
ported ample funds were available for                        Jeff Basler
qualified borrowers at historically low
                                                            913-221-9080

   Investment News                                                                                                  Page 18
Mortgage Interest
                         Deduction Under Attack
      When President Barack Obama took office he ap-               talk of changing MID harms an already fragile
      pointed a National Commission on Fiscal Respon-              market.
      sibility and Reform to assess the Nation's fiscal
      crisis. This commission's task was great, particu-            News reports saying that Congress threatens
      larly given the public outrage after the bailouts of         to repeal or limit MID will only further delay the
      the banks and auto industry, but they were to de-            housing recovery.
      termine viable ways to strengthen the "balance           Please oppose any efforts to reduce or eliminate
      sheet" of this country.                                  the Mortgage Interest Deduction in any future defi-
      While many suggestions within their recently pub-        cit reduction proposals or legislation. Thank you for
      lished 66-page report, entitled "The Moment of           helping to ensure the ongoing recovery of the
      Truth" are legitimate, page 32 of their report details   housing market.
      a suggestion to eliminate the Mortgage Interest
      Deduction. Despite signs that the real estate mar-
      ket is poised to rebound, this recent development
      sent shock waves through the industry, particularly
      on the consumer side, according to National Asso-
      ciation of Realtor's President, Ron Phipps.
      While this report only offers suggestions, it is im-
      perative that we send a resounding message, as
      an industry, to Congress that this time tested de-
      duction must not be eliminated. Please contact
      your Representatives and Senators and let them
      know you strongly opposed the National Commis-
      sion on Fiscal Responsibility and Reform's sugges-
      tion to eliminate the Mortgage Interest Deduction.
      Take Action: Please contact the U.S. Capitol
      Switchboard at (202) 224-312 or look up your rep-
      resentative's number at http://
      www.govtrack.us/congress/
      Talking points include:

           I am a constituent and a member of the Na-
          tional Real Estate Investors Association:

           I am strongly opposed to the Deficit Commis-
          sion's proposal to limit or eliminate the Mortgage
          Interest Deduction.

          I have experienced, first-hand the terrible
          housing crisis and I can assure you that even
                                                                          ACT NOW
Page 20                                                                                        MAREInet.com
MAREI Member . . .
                   Tool Boxes
Have you been on the web site lately? We have a new               MAREI Job Board: We invite all members to post their
feature that we are working very hard to implement to              job openings here.
bring you more benefits and tools that you can utilize.
                                                               We have several other tools we are working on bring-
Currently you will find:                                       ing to you in 2011:

    MAREI Service Directory: This is a searchable list           Web Site Help Videos: We are recording a series
     of products and services for our members.                     of videos to help you navigate the web site.

                                                                  Education: We have several new educational
    MAREI Audio Downloads: A work in progress that
                                                                   items we will be rolling out to offer you more op-
     lists all the Recordings of General Meetings that are
                                                                   portunities to learn. These tools will include—an
     available to MAREI members for free in the Member             interactive online university and digital training
     Area and we are slowly adding the ability to purchase         programs from local members that you can pur-
     these downloads by non-members.                               chase, download and access from home.

    MAREI Landlord Resources: Area landlords are                 Investor Tool Box with tools for the real estate in-
     need of many services from tenant screening, to               vestor.
     forms and documents, and more. As we add new
     benefits for our landlords, we will add the services         Wholesaler’s Tool Box with tools just for the whole-
     here.                                                         sale real estate investor.

    MAREI Marketing Resources: Tools for all mem-                Rehabbers Tool Box with tools for the rehab inves-
     bers: Investors, Landlords, and Service Providers for         tor or anyone who is renovating a home.
     marketing. If you need to boost your business in
     2011, check out this page for some ideas.
                                                               Success in real estate is all about having the right
                                                               tools and knowing how to use them. We hope that we
    MAREI Message Board: Currently this tool is avail-        can bring in all the tools you need into our tool boxes
     able for the general public to read. But if you want to
                                                               and then help you learn how to implement them
     post or respond to a post, you need to log into the
                                                               through articles, webinars, and live training in 2011.
     member‘s area.

                                                               We also welcome your ideas for needed tools. If you
    MAREI Properties for Sale: This tool is for the gen-
     eral public to view your properties for sale. To post     have a tool that you really like to use that a large ma-
     your properties, here, be sure to log into the MAREI      jority of members might be able to utilize, we may be
     member area.                                              able to approach the provider as an association and
                                                               negotiate a discount. To suggest tools, please email
                                                               them to info@MAREInet.com, include web sites and
    MAREI Newsletter: This tool will allow everyone to
     read our 3 latest issues of the Investment News (our      provider contact information so we can follow up with
     newsletter). To go back further in the Newsletter Ar-     them.
     chives, visit the Library in the Member Area.


    Investment News                                                                                            Page 21
Upcoming
                         Events
                                                           Lee’s Summit Investor Breakfast Lee‘s Summit Investors

                                   Dec
                                                           Networking Group meets the 2nd Saturday of the month for
                                                           coffee, breakfast, and conversation at the Panera Bread on
                                                           Chipman in Lee‘s Summit. Open to MAREI Members &
                                   11                      Guests.




                                   Dec
                                                           Alternative to the monthly meeting: Holiday Networking
                                             Holiday
                                                           Party, Tuesday December 14th at the Fox and Hound at
                                           Networking      103rd and Metcalf. Open to everyone. No charge except

                                   14
                                                           for your food and drinks you order. We have a pool table
                                              Party
                                                           reserved.



Children & College Students
                                   Jan
                                                           Monthly Meeting: MAREI meets on the 2nd Tuesday of
                                                           each month for networking and education. Basic Agenda
Is your child interested in real         Monthly Meeting   and Location Information on the next page.
  estate? Is ready to learn?
 Add your child aged 12 to 18      11
     to your membership.


                                   Jan
College Students with student                              Workshop: We have a tentative date set for a Saturday
   ID, we have internships                                 morning workshop. Watch calendar and blog for details.
                                            Workshop
  available. Work in the
  MAREI office for $10 in
  MAREI bucks to use for
                                   22
 Membership & Workshops

                                   Jan
                                                           Webinar - we have a tentative time penciled in for a webi-
         Contact                                           nar in January. Topic to be determined. FREE for MAREI
MAREI Office for more info.                 Webinar        members to join live or access replay.
  info@MAREInet.com
                                   27



Page 22                                                                                      MAREInet.com
Monthly
                                                                       Meeting
Sylvester Powell Jr
Community Center
6200 Martway, Mission KS
913-722-8200

Tuesday January 11                     5:30 Member‘s Only -
Doors open at 5:30
                                              Round table
Members: FREE                          5:45 Set Up / Registration
Guest Fees: $25 at door . .            6:00 Industry Partner Expo
       Pre-register online for $15                                           Invite your friends
                                       6:00 Member Networking
                                                                           colleagues to visit the
If guests join with in two days of     7:00    Haves & Wants (Bring
the meeting, their guest fee will be           your Deals)                  Monthly Meeting for
applied to the membership fee with
                                       7:30    Presentation – Guest         with a Guest Pass
proof of payment.
                                               Speaker                      (available online at
                                                                           www.MAREInet.com).

                                       9:00    New Member
             Location
                                                                         For each new member you
                                               Registration
          6200 Martway
                                                                         refer, earn MAREI Bucks
        Mission, KS 66210
                                                                        which can be used towards
                                                                          seminars, advertising,
 North of Shawnee Mission Pkwy                  Park in North Lot
                                                                            or membership fees.
       South of Johnson Dr                    2nd from the Building

          East of Lamar                       Less Kids & Door Dings




  Investment News                                                                            Page 23
Investment
                             Opportunity
 Address            City              Offered as          Price              Info               Contact                 Phone

 5837 Forest        Kansas City, MO                       $36,000            Bank Owned         Ann Wilkinson           913-402-1500


 6206 E 95th TR     Kansas City, MO   Turn Key            No Reserve         Absolute Auction   Robert Mayo             816-361-2600


 8517 Blue Ridge    Raytown, MO       Rehab               No Reserve         Absolute Auction   Robert Mayo             816-361-2600
 Blvd

 405 W Dartmouth    Kansas City, MO   Under Value         $209,900           Investor Owned     Joe Reece               816-507-4203


 5855 E 10th St     Kansas City, MO   Needs work          $14,500            2+ Bed / Owner     Steve Summers           816-350-7200
                                                                             Finance

 Agnes Package      Kansas City, MO   Needs Work          $16,500            2 houses           Christoph Becker        816-419-1165


 Wabash / Indiana   Kansas City, MO   Need Work           $5,000             2 houses           Christoph Becker        816-419-1165

 3703 College       Kansas City, MO   Updated Rental      $27,500            Rent $700 to 800   Christoph Becker        816-419-1165


 4733 Bales         Kansas City, MO   Rental              $22,500            Wholesale          Christoph Becker        816-419-1165


 3860 E 59th Tr     Kansas City, MO   Rental, needs up-   $16,500            Wholesale          Christoph Becker        816-419-1165
                                      dates

 3012 Wabash        Kansas City, Mo   Rehab               $3,500             Wholesale          Christoph Becker        816-419-1165


 1030 Park          Kansas City, Mo   Renovated           $69,900            Bank Owned         JJ Pawlowski            816-916-4593


 4311 Flora         Kansas City, MO   Renovated           $7,000             Bank Owned         JJ Pawlowski            816-916-4593


 7208 E 100th Tr    Kansas City, MO   Renovated/ Rented   $108,900           Bank Owned         JJ Pawlowski            816-916-4593

 13415 Spring St    Grandview, MO     Bank Owned          $89,900            100% Financing     JJ Pawlowski            816-916-4593


 1301 E 59th St     Kansas City, MO   Updated             $95,000            Bank Owned         JJ Pawlowski            816-916-4593


 3933 Wyandotte     Kansas City, Mo   Updated / Rented    $142,000           100% Financing     JJ Pawlowski            816-916-4593


 5044 Walrond       Kansas City, Mo   Rehab / Rental      $14,500            $5k Repairs        Christoph Becker        816-419-1165

 6101 Agnes         Kansas City, MO   Rehab / Rental      $23,500            $5k Repairs        Christoph Becker        816-419-1165

 Duplexes           Gardner, KS       Rented              $100k Each         $600 rent / unit   Jon Bichelmeyer         913-579-3354

 Duplex             Merriam, KS       Rented/ Vacant      No priced listed   $850-$900          Eric Deeter w/ Realty   913-579-3354
                                                                                                Resource of KC


Page 24                                                                                                         MAREInet.com
Wholesalers, submit your properties at:

                                                  kcmoHomeBuyer.com




                                           Looking for Investment Properties
   Investment Opportunity                             There are 100‘s of great deals right now.

                                                        Let me help you through the process.

There are over 40 properties                       Real Estate Investor / Agent with experience in
 listed for sale today on the                      Bank Owned, Short Sale, and Rental Properties
       MAREI web site.
 All MAREI members may log                                       Eric Deeter
 in and list their property for                            Realty Resource of KC
sale, include details, photos,                              www.EricDeeter.com
simple html, and contact info.                                  Call (913) 579-3354

Must be your property or list-
 ing, no fishing for buyers
 with out proper contracts.
All new listings emailed out
on Fridays in our E-Updates                          Home Depot
            go to
                                         2 % Bi-Annual Rebate for MAREI members
       MAREInet.com
                                        Volume Discount Pricing
      Click no Tool Box
  Click on Property for Sale         Call me to find out how you can save
                                     on your next home renovation!

                                           Roger Holyfield
                                           (816) 510-9199
                                  Roger_L_Holyfield@HomeDepot.com




 Investment News                                                                          Page 25
Craigslist Advertising
                       Generate Leads for FREE
      76 percent of consumers believe renting to be a    their current residence or rent new residences
      better option than homeownership!                  within the next year. Twelve percent of renters
                                                         said they have plans to buy a new home this
      < time the for least at consumers, some out dy-    year and only fourteen percent believe that buy-
      ing be to seems homeownership of dream re-         ing a house is preferable to renting given the
      covery, towards battle uphill an fight continues   current state of the market.
      market estate real As results. survey 2008 from
      jump percent 5 a market, current in home own-      Homeowners tied down and staying put. Sev-
      ing option favorable more renting deemed con-      enty-one percent of homeowners will stay in
      sumers 76 May, conducted online new>               their current home over the next year, mirroring
                                                         almost exactly the response from 2008 (72%).
      When asked why, individuals gave the following
      reasons:                                           Leverage this information in your marketing and
                                                         sales and sign more leases.
         64% cited having no responsibility for major
          repairs or maintenance as the primary rea-
          son.
                                                         Source: Harris Interactive. This survey was con-
       50% cited financial reasons such as not          ducted online within the United States between
          being impacted by an unpredictable real es-    May 3, 2010 and May 5, 2010 among 2,140
          tate market and not being susceptible to       adults (aged 18 and over), of whom 1,443 own
          foreclosure.                                   their primary residence and 617 rent their pri-
      The findings in this survey mirror what is being   mary residence.
      seen throughout the country, especially in areas
      of the country that are experiencing
      the first signs of economic recovery.                        See MAREI member area for Mem-
      The simple fact remains that in a                            ber Discounts with AAA Screening
      bad economy, people must make
      whatever changes necessary to
      improve their situation, especially if
      they have lost their job. Sometimes
      this might mean moving to another
      city where there is more opportu-
      nity, and if you're tied to a mort-
      gage, you don't have the same
      ease of mobility as you do if you
      lease your home.
      Renters are not eager to make a
      change this year. Sixty percent of
      renters plan to continue renting

Page 26                                                                              MAREInet.com
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                     Details in MAREI
                      member area




Investment News                            Page 27
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The Investment News: December 2010 for Real Estate Investors

  • 1. MID-AMERICA ASSOCIATION OF REAL ESTATE INVESTORS Investment News NETWORKING : EDUCATION : COMMUNITY December 2010 Investing as a Team Sport
  • 2. Holiday Networking Meeting Preparation: Agenda: Attend Prepared to network in- 5:30 Reservations Start formally. Have Business Cards Join us when you can. Attend in your pocket. If you have a from 5:30 to 8:30 or later. Or flyer or other item that might stop in for an hour anywhere come up to hand out, have between 5:30 and 8:30 available in your car. Location: Mechanics: Fox & Hound MAREI has reserved a corner in 103rd & Metcalf the Pool Table Room as well as a Pool Table. These are tall ta- bles that are designed for us to Cost: stand up and move around. Mix Free for Everyone to Attend and mingle. Want to sit down Food & Drink Extra and eat, claim a seat. Accepting Donations For Harvesters Interested in learning more about creative fi- nancing? Be sure to at- November2Meeting tend the day Bootcamp January Meetings with Don DeRosa & Pete Speed Networking Youngs, they will talk Again at about creative financing! Back by Popular Demand And be sure to watch for upcoming meetings of Sylvester Powell MAREI’s new subgroup. Page 2 MAREInet.com
  • 3. Contents MAREI News In This Issue December Meeting 2 MAREI Staff 5 In the News This Month 6 Member Pics 7 Investing as a Team Sport 8 Three Tab vs Structural 10 Key 2010 Tax Law Changes 12 Marketing Toolbox 14 Building an Email List 16 Economic Update 18 Mortgage Interest Deduction Under Attack 20 MAREI Member Tool Boxes 21 Calendar 22 Investment Opportunities 24 Craigslist Advertising 26 Features ‫ ׀‬December 2010 Have you The Housing Advertiser’s Directory been consider- Recovery is off to a shaky T.O.T.L. Renovations 11 Realty Resource 25 ing partnering start in 2010. Te-Tee Light 11 Home Depot 25 on larger Don’t let our 8 deals? Won- der how it 20 government slow it even Constant Contact Free Trial Web 17 17 AAA Screening Office Max 26 27 would work? further by tak- ing away Mort- Rockstar Investor 18 Accurate Title 28 Investing as a gage Interest kcmoHomeBuyer 25 Team Sport Deductions. Investment News Page 3
  • 4. MAREI Notes Contact Information PO Box 8685, Prairie Village KS, 66208 Phone: 816-523-4400 x 222 Fax: 816-523-4440 Our Mission Statement Mid-America Association of Real Estate Investors is dedicated to promoting ethical real estate in- vesting and to protect and promote the best interest of our membership through educational and networking opportunities as well as community, legislative and public relations. Legal Disclaimer MAREI does not exist to render and does not give legal, tax, economic or investment advice and disclaims all liability for the action or inaction taken or not as a result of communications from or to its members, officers, directors, employees and contractors. Each individual should consult his/her own counsel, accountant and other advisors as to legal, tax, economic, investment and related matters concerning real estate and other investments. Content Disclaimer The views and opinions expressed by authors of articles contributed to this newsletter do not neces- sarily reflect those of the association, the board of directors or the staff. Advertise in the Investment News Rate Schedule Size Non-Member Member Business Associate Full Page $175 $140 $115 1/2 Page $145 $105 $85 1/4 Page $75 $65 $50 1/8 Page $55 $35 $25 A 10% discount is given on ads pre-paid for 6-12 months. Any changes to a pre-paid ad will incur a minimum charge of $20. The deadline to submit ad copy is the 1st of each month. All ads must be prepaid. Contact to verify ad format can be accepted. PDF preferred. There is an additional charge of $25 to typeset a business card ad or 1/4 page ad layout, $60 for a 1/2 page or full page lay-out. Opportunities also exist for advertising on www.MAREInet.com. Call 407-328-7773 for more information. Email ad copy to info@MAREInet.com. Mail payment to MAREI, PO Box 8685, Prairie Vil- lage, KS 66205 or request an online payment for to use credit or debit card. Page 4 MAREInet.com
  • 5. MAREI Staff Kim Tucker 816-523-4400 Don Tucker 816-523-4400 Steve Burns Director President Audio Visual Kim@MAREInet.com Don@MAREInet.com cashflowtreasures@gmail.com Bertie Janssen John Welchert Larry Prato Meeting Ambassador Meeting Ambassador Commercial Subgroup Bertoe@janssenrei.com 816-268-3849 913-227-4693 Dan Goodwin 913-642-5218 Shelda Goodwin Frank Janssen Meeting Ambassador Meeting Ambassador Creative Financing Subgroup DanGoodwin@kw.com SheldaGoodwin@kw.com 816-865-6514 Investment News Page 5
  • 6. Director’s Notes Is it really nearing the end of 2010? It has been a very you see them. If you have not had a chance to volun- interesting year for area real estate investors and the teer, think about adding it to your to do list for 2011! country as a whole. I have to ask, did you do all you The benefits of being a volunteer are invaluable. planned in 2010? I have learned in life that we should We will continue 2011 at the Sylvester Powell Jr Com- always set high goals, so that we try harder and suc- munity Center in Mission as well as outside events at ceed more. I know for many MAREI members it was a other locations. We are working right now on the right year of survival, yet for others it was a very successful mix of education, networking, and community events year. for 2011. If you have any suggestions for topics, MAREI has had a very busy year. We have seen a speaker, or events, please feel free to contact me. complete makeover on the website adding in a blog While I can‘t really tell you if we are at the bottom of and other features. The newsletter is always in a stat this economic downturn, I can tell you that the oppor- of change. Last we have brought some great new tunities for us are all over the metro. I urge you to benefits in for members including the awesome new make a commitment in 2011 to obtain the education Home Depot Rebate, Rentals.com discount, and oth- you need, to set high but workable goals, make imple- ers. mentation plans and do something! Reading about it We really want to thank all the mem- and talking about it, does not bring you profits! bers for being there for us. Without Have a safe Holiday Season! I hope to see you at the members interacting online and at December networking, if not . . . See you Next Year! meetings, there would be no need for us to be here. If you were a volunteer Kim Tucker this year, let me take this place to say Director of MAREI ―Thanks!‖. You can see our volun- teers listed on page 5 and we urge you to be sure to thank them when While I can’t really tell you if we are at the bottom of this economic downturn, I can tell you that the opportunities for us are all over the metro. I urge you to make a commitment in 2011 to obtain the edu- cation you need, to set high but workable goals, make implementa- tion plans and do something! Reading about it and talking about it, does not bring you profits! - Kim Tucker Page 6 MAREInet.com
  • 7. Get Involved We are looking for a volunteer to help us with taking photographs at the monthly meetings. If you have a digital camera and can attend the monthly meetings regularly, this would be a great way to get to know the members. Volunteers receive discounts on Membership and or Outside Training Events. For more information on becoming a volunteer, Contact Kim Tucker, Director, At info@MAREInet.com or call 913-208-3544 Investment News Page 7
  • 8. Michael Morgan Emerging Acquisitions Investing . . . As a Team Sport . . . I‘ve been asked to cover some basic definitions in (US) of an accredited investor is one who has an in- regard to the investment process, specifically in re- come (can be combined with a spouse) of $200,000 gard to Multi Unit Investment, as in larger Apart- or more annually and/or $1 Million of net worth. If you ments, where one or many investors are involved. have ever played the Cash Flow Game this is re- ferred to as being on the fast track. Acquiring wealth In single-family acquisition, we are familiar with re- has a momentum, and this is reflective of the risks habs, fixes, flips and short sales. In all of these cate- and rewards at this level. gories frequently one individual, spending from $5,000-$10,000 or more, will to able to purchase, fix Active and Passive Investors: As the name implies, up, rent out or resell a property. Usually this is time the type of investor you may be. Active investors are intensive and is perfect for the ‗do it yourself-er‘, es- more hands on, like the detail and participation in a pecially appealing to the one who wants to keep an project. Passive Investors like to monitor a project, eye on every part of the process. No doubt, money but do not either have the time or inclination to man- can be made in this process. age an investment. If they know a team is competent, they would like to watch their investment grow as As we move up from duplexes, triplexes, 5 plexes they put their attention on other matters. etc, the cost of capital commitment increases. Also, however, the amount of cash flow and return on our Associate: also known as an investor. These indi- investment increases. Typically 100-300 units cost viduals are considered partners in a project, espe- between $3-10 million, and it may take 20-25% of cially in a project that may require several individuals that figure to acquire. That‘s $750,000-2.5M for a to contribute the equity (cash) towards the down pay- down payment and acquisition costs (the costs for ment and acquisition costs (costs of acquiring a prop- RE agent, legal, financial, loan processing, etc) erty) So at this stage we can ask, what is an investor, General and Limited Partners: The legal structure and why are they needed? that we typically use for a Multi Family Investment is called a limited liability corporation or LLC, which is The following is a list of terms that may help you in composed of General and Limited Partners. The looking at these types of opportunities: General Partners take care of the purchase, manage- Investor: as in Real Estate, one who is looking for a ment, distribution of profits, and eventual sale of the reasonable and even unreasonable return on invest- property. The Limited Partners (investors) are in- ment. As opposed to ‗traditional‘ investments, such formed on a quarterly basis of the progress of the as savings, CD‘s, money market accounts, Treasury project and enjoy the benefits of ownership without notes, annuities, and the stock market, Real Estate the hands on day to day management required in investors can enjoy returns of 8-10% or much more smaller projects. annually on an investment, and often enjoy the secu- Return on Investment: Simply put, how fast you get rity of having ownership in the ‗brick and mortar‘ of a your money back on an investment. The higher the property. Part of the homework in becoming an in- return, the faster your money comes back to you. It is vestor is knowing your comfort level with risk, reward, considered great if you can double your money every how fast you would like your investment to grow, and 7 years. If you can do it in 2, 3 or 5 years, even bet- familiarity with the asset (type of real estate) you are ter. This is the basis that many use to determine how interested. long it will take to get out of the ‗rat race‘ (live off your Accredited Investor: Typically a more sophisticated investment income) or permanently retire and do investor who has some acquaintance with risk, re- what you love to do… ward, and investment. The governmental definition (Continued on page 9) Page 8 MAREInet.com
  • 9. (Continued from page 8) Kansas is an emerging market as make over the life time on their invest- well? ment.) With this formula, they are as- Equity: in terms of real estate, the sociates and passive (but informed) Cash Flow: Perhaps my favorite amount of ownership you have in a investors who have a percentage term. From an investor point of view, property. Depending on the amount ownership in the project, ongoing this is the amount of cash that a pro- invested, an investor has an equity cash flow and profit at the end of the ject throws off after all the bills are position (percentage of ownership) in investment when the property is sold. paid. This is cash available for the the project. They form part of a select group of investors to enjoy on an ongoing basis investors who fund larger projects. Market Cycles: Describes the phase even before the property is sold. This is the same strategy that large of the market or economy real estate Now as a way of explaining what institutional investors use. We make is in. Did you know by and large we we do, let‘s use the above definitions this a simplified process for a single are in a Buyer‘s Market Stage II Cycle to define our mission: investor to enjoy the same benefits as right now? There are 4 market cycles a larger, multi million dollar investor. and each one of them has a different At Grady Morgan Acquisitions, we buying strategy. Right now, buying locate 100-300 unit Multi Family Article provided by MAREI member Mi- and holding, and getting some of the Apartments to acquire, manage and chael Morgan, Senior Managing Partner at best deals of a lifetime, is the strategy sell at the proper time. We look at Grady Morgan Acquisitions. Based in for the moment. Southeast Iowa, Grady Morgan special- Market Cycles to determine how and izes in Apartment Acquisitions in the Mid- when to buy. We buy in Emerging west. Their specific focus has been in Emerging Market: Describes an Markets where employment is strong Iowa and Kansas, and they currently have area where job growth is still strong and the economy will support the best a 150 unit plus project under contract in even in a down economy. This is a value. We look for Investors and Ac- Topeka Kansas. For more information on key place to buy because an Emerg- credited Investors who can retain an specific projects and to sign up for our ing Market will be one of the first to newsletter contact Michael at 312 543 Equity Position in the property, and recover from the recession. Did you 4719 or email at receive ongoing cash flow (cash re- know parts of Kansas City are consid- turns annually on their investment) mmorgan@myemergingmarket.net. ered to have the criteria of an emerg- which is part of their over all return on ing market? Did you know Topeka investment (the amount of money they Date & Time: Wednesday December 11th 5:30—7:00 pm Location: Panera Bread 103rd & State Line Cost: No Charge to Attend Please support Panera Investment News Page 9
  • 10. Mike Quinn Casa Bonita Roofing & Real Estate Solutions Know Your Roof Three Tab vs Structural What's the difference between 3-tab shingles and between a 3 tab shingle roof and a roof with a di- dimensional (Timberline) type? mensional shingle is around $600, for the cheap- est dimensional shingle. The short answer… I'm a strong believer in the benefits of the dimen- The dimensional shingle is heavier, thicker, sional shingles. I rarely bid a 3 tab shingle any- shaped the same as the 3 tab shingles, (but more. Aside from wind issues, the 3 tab shingle with cut pieces "chevrons" overlaying the "tabs") can be expected to last 17-20 years, but the di- so essentially the dimensional ( as it sounds like) mensional shingle will go 25 years. The more ex- is thicker due to an overlay of material and so pensive dimensional shingles may go 30 consequently on a tract house, a couple hundred years. Some of them are rated as 40 year or 50 more dollars more expensive. year shingles, but you would be wise not to expect The long answer… more than 30 years. ( Considered by some to be The 3 tab shingles are fairly thin, lightweight, sin- "Lifetime" ) gle thickness and the "3 tab" element makes it so Recently, there have been a whole host of great that an individual part of the shingle (one third) products introduced that can withstand hurricane can be lifted by the wind without having to lift the force winds, hail, and even reflect 40% of the entire shingle. All of those factors make a 3 tab "heating" rays from the sun. These can get you shingle less desirable if you live in a moderate to the energy star tax rebate of up to 1500.00 and high wind area. Yes, Missouri and Kansas are in the impact (hail) resistant ones can get you addi- that zone. tional $$ off your homeowners insurance premi- The basic base material for the dimensional shin- ums… gle is a little bit thicker. There are also extra pieces laminated on to each shingle to give it a Here is a great website for my preferred shingle thicker and more random look. Those extra provider. Check them out at pieces also add more weight and rigidity to the http://www.certainteed.com/learning-center/roofing shingle. If the wind is going to lift the shingle, it has to blow hard enough to lift the entire shingle, because the shingle isn't cut into individual 13" Article Provided by MAREI member Mike Quinn: long tabs. These are all the reasons why some insurance companies insist on the dimensional "Because Everybody Needs to Know a Good Roofer..," shingles. Mike Quinn Expert Roofer and Team Leader Most of the dimensional shingles are a rectangle, Casa Bonita Roofing and Real Estate Solutions about the same size as the overall 3 tab shin- Visit us on the web at http://www.trustcbr.com/ gles. They are installed the same. The basic 816.875.3357 asphalt material in the shingle is the same. There's just more of it. I normally don't discuss prices online, however, the differences on an average size tract home Page 10 MAREInet.com
  • 11. NEED TO FLIP A PROPERTY FAST? T.O.T.L. RENOVATIONS Top of the Line Renovations for all your rehab needs quickly, at a reasonable price. We specialize in: Licensed and Insured Structural Shingle Make-ready Siding & Windows Call Anthony @ 816-606-0266 Carpentry & Roofing or Emily @ 816-252-0095 Plumbing and Electrical Totlrenovations@comcast.net Painting & Flooring Drywall & Doors Fences & Decks Kitchens & Baths Three Tab TE-TEE LIGHT ELECTRICAL SERVICES The only complete Keeping you ―In-Powered‖ with catastrophe is the Superior Electrical Service! catastrophe from which we learn nothing.  FREE Estimates -William Ernest Hocking  FREE Consultations on Non-Emergency  24-hour Same Day Emergency Service There’s a mighty big difference between good, Licensed, Insured, Bonded sound reasons and reasons Serving Kansas & Missouri that sound good. - Burton Hillis George Z. Bai, Sr. - Owner Be careful about being too Office (816) 356-1870 careful. Cell (816) 210-4710 - Beryl Pfizer TeTeeLight@gmail.com Investment News Page 11
  • 12. Carl Heintz Carl Heintz CPA Key 2010 Tax Law Changes From http://CPATaxUpdate.com Self-Employed Individuals may now deduct their health insurance premiums when computing self- Carl Heintz, CPA (www.CarlHeintz.com) employment tax in 2010! Estimate your 2011 taxes under various scenarios Credits for Energy Efficiency are dramatically re- at www.mytaxburden.org. duced after 2010! Don‘t miss out on the $1,500 Child Tax Credit is cut in half after 2010, from credit for energy efficient improvements. $1,000 to $500, and higher income thresholds are Converting a Rental home to a Primary Resi- applied again. dence may have tax consequences as the result of a Payroll Tax Credit ($400 for single filers and $800 tax law change! for joint filers) is no longer available in 2011. America Opportunity Credit of up to $2,500 for col- Tax Credits for College to Expire American Oppor- lege tuition and books expires after 2010. It applies tunity Credit expires, and the Hope Credit is limited to to the 1st 4 years of post-secondary education. Keep a non-refundable maximum of $1,800. good records on educational costs. Earned Income Tax Credit will decrease as tempo- 529 College Savings Plans can be used to pay for rary changes expire. computers and internet access in 2010 only. Mortgage Insurance Premiums (PMI) are no longer Tuition and Fees Deduction of up to $4,000 expired deductible, starting in 2011. for 2010—unless congress takes action. Coverdell education accounts contribution caps Deductible and Roth IRA income limits have been decrease from $2,000 to $500. raised. If you are covered by a retirement plan the deductible IRA phases out for Adjusted Gross In- Credit Energy-Saving Home Improvements The come (AGI) of $89,000 – $ 109,000 (married filing 30% credit will be reduced to10%, and will be capped jointly) or $56,000 — $ 66,000 (single or head of at $500. household). Roth IRA is now phased out as your Flexible Spending Accounts and HSAs can no AGI rises between $167,000 and $177,000 if you are longer be used to pay for non-prescription drugs. married filing jointly, or $105,000 to $120,000 if you Additionally, a tax on non-qualified or early withdraw- are single or a head of household. als from HSAs increases from 10 to 20% 401(k) Contributions Limits 2010 maximum of Landlords must issue 1099’s to service providers $16,500 ($22,000 if age 50+) paid over $ 600 cumulatively in a year. It will be criti- Donations from IRAs directly to Charity can no cal to obtain completed W-9 forms from all service longer be made tax-free in 2010. providers (ex. managers, repairmen, etc). Gift Tax Exclusion remains at $13,00 per person. A Standard Mileage Rates for 2010 are 50¢ per mile gifting plan can save substantial taxes. Gift tax rate for business miles, 14¢ per mile for charitable miles, for 2010 lowerd to 35%. and 16.5¢ per mile for medical miles. Estate Taxes – there are none in 2010! This can Unemployment Benefits The first $2,400 of unem- cause dramatic tax differences when inherited assets ployment benefits are no longer tax-free in 2010! are sold. Sales taxes are no longer deductible as an itemized Receipts for Charitable Contributions – you must deduction, and there‘s no deduction for sales taxes (Continued on page 13) on a new vehicle. Page 12 MAREInet.com
  • 13. now have a receipt from the charity for 25,000. Contact us to see if you qual- of up to $10,000 each can be written any contributions in excess of $ 250. ify. off (up from $ 5,000). Section 179 limits have been raised Partnership and S-Corporation Late Per-diem rates (high cost areas) to $ 500,000 for 2010, meaning the -filing Penalties have increased dra- have decreased from $258 to $233 cost of more equipment can be de- matically! The S-Corporation penal- effective 10/1/10 ducted this year! Additionally, lease- ties are up to $ 2,340 per shareholder. Special exemptions for small busi- hold improvements, restaurant prop- See us early in the season to avoid ness stock issued between 9/27/10 erty and retail improvement property them! and 12/31/10 result in no tax on any can be written off as part of Sec 179. 1099 Penalties are Way Up! Late gain if the stock is held for 5 years. Bonus Depreciation (50% write off) filing of 1099s could cost as much as Yes, that‘s a 100% exclusion from has been extended to 2010 and 2011 $ 100 per 1099, and the IRS is deny- taxation of any gains. for qualifying property! ing deductions when no 1099 is is- sued. Contact us before you work with Automobiles and trucks still qualify outside contractors to avoid penalty! for the special $8,000 first-year bonus depreciation in 2010. Start-up and Organizational costs Reporting Health Care Insurance Costs on form W-2, schedule to be mandated for 2011, has been made Accurate Title Company optional. Unused credits can now be carried ―When You Need Timely, back up to 5 years. Losses from prod- Top-Quality Service . . . ― uct liability claims can be carried back up to 10 years. Operating losses,  Owners and Loan Policies however, can no longer be carried  Endorsements back up to 5 years: they can only be  Ownership & Encumbrance Reports carried back 2 years, and carried for-  Foreclosure Reports ward 20.  Ownership Information  Tax Information  Buyer‘s Closing Services Hiring the Unemployed may qualify  Seller‘s Closing Services you for tax incentives. There are two  Lender‘s Closing Services credits, the HIRE credit and the Work  Recording Services Opportunity Credit. These credits can  Funds Disbursement Services be over $ 6000 per employee. If you www.AccurateTitleCo.com  1031 Exchange Services 913-338-0100 phone keep a HIRE credit employee a year,  Special Requests there‘s another $ 1,000 credit. 913-338-0107 fax Small Employers Providing Health Insurance could receive a new credit! This redit is optimal for em- ployers with less than 25 employees and average wages of less than $ Investment News Page 13
  • 14. Marketing Tool Box .Real Estate Investors and Landlords are small business owners. Successful small business own- ers understand that the biggest tool they can have is their Marketing ability. With our marketing Successful Real Estate Businesses would not have buyers and sellers, renters, customers, or cli- ents. MAREI has assembled a package of Marketing Tools that we use here at MAREI for our own mar- keting. Constant Contact: Is the email service that MAREI utilizes for all email marketing and digital news updates. To sign up for a free 60 day trial, discounts for prepay, and training on how to utilize email marketing in your business, click here. PartnerShip: Through our agreement with PartnerShip, which developed and manages the program, enrolled local and national members receive significant inbound and outbound discounts on small package shipments through FedEx (up to 22%), as well as copying and printing services (up to 20%) through FedEx Office. Sign up instructions in the Member‘s Area under Member Discounts. EZ Data Group: Having a hard time finding CUR- RENT foreclosure or short sale leads? Try this service for 7 days FREE. If anyone is looking for CURRENT short sale or foreclo- sure leads in Jackson County or St. Louis, try our service 7 days FREE. If you are in business ELSEWHERE consider probate leads, PRE NOTICE OF DEFAULT (30,60 and 90 days) many times these are short sales waiting to happen- get the heads up before other investors! We ser- vice only the serious real estate investors, nationwide CURRENT leads, we have references, please visit our website or give us a call. Click here for more information. Rentals.com: Receive 20% off standard listings at Rentals.com – an online business tool designed to rent your property faster Page 14 MAREInet.com
  • 15. and maximize your investment. List easily, edit anytime, reach millions of qualified renters and save yourself from future hassles with archive capabilities – when your property is rented, your property details and photos are archived so you can reactivate it anytime. To obtain your members‘ only discount code visit the Member‘s Area under Member Discounts. Vista Print: The first marketing tool you may need as a new investor or in any busi- ness is by far the simplest, the Business Card. MAREI utilizes Business Cards and other printed materials from Vista Print for much of their mar- keting: Business Cards, Post Cards, Brochures, etc. Click here for $250 FREE Business Cards. Visit the Member Discounts in the Member‘s Area for other great savings with Vista Print, 20%, 30%, up to 75% off. Bandit Signs: Trying to drum up seller calls. Plant a Bandit Sign in the neighborhoods where you want to buy. MAREI members can order 25 FREE Bandit Signs – just pay ship- ping. visit the Member‘s Area and look on the Member Discounts Page for special link. Click2Mail One of the best, low cost marketing tools is direct mail. Here at MAREI we use Click2Mail to send our letters and post cards at the absolute lowest prices. FreeTrialWebsite.info Realtors and Investors need to have a web pres- ence. Through our FreeTrialWebSite you can have a site up and running using simple templates in less than 24 hours. You can totally customize in a few days. Property Marketing features, buyer or seller list building tools, direct mail marketing. Check our our 10 day trial at FREETrialWebsite.info. Audio Acrobat While we all love to create audio and video and post for free, if you get over 10 minutes your file is to large. Please click here to check out a 30 day FREE trial of Audio Acrobat to find out a great low cost solution that will host your audio and video files as well as help you create your own PodCast with the click of a button. Excellent Training. Investment News Page 15
  • 16. Building An Email List . . Find out more at : www.MAREIandCC.info newsletters into different topics, allow them to select which topics interest them. Whether you‘re a Wholesaler, a Landlord, a Realtor, a Mortgage Broker, or an Accountant, you need a  If you have a place of business where clients steady stream of business, referrals or response from come in, have a display with a teaser about get- the people that keep you in business. ting the inside scoop or exclusive offers from you via email and a way for them to sign up for the This starts with staying in regular communication with information. your audience. When you build an ongoing dialogue with them, you increase the trust and comfort level  Use a fishbowl on your counter to collect sign up they have with you. They look forward to hearing forms or business cards. Use an incentive like a from you. You‘ll stay in their mind. free prize drawing. This is great at trade shows, As a result, they‘ll become more loyal, and be more drop your card into our fishbowl to sign up for our likely to use or refer your services. And one of the newsletter and to register for a $25 gift card. easiest, most effective ways to build that dialogue is  Add join my mailing list button to all your web- with email marketing—by using email newsletters sites and include after your signature line on all and promotions that you send regularly. emails or message board posts. That‘s why you should have a list of your customers‘,  Ask your twitter followers from time to time to clients‘, or members‘ email addresses: it‘s a real sign up for your newsletter. assset to your business and it is easy to build with very little costs.  If your email newsletter service allows you to re- post your newsletter article to twitter, repost it. Keep in mind you want to build a permission-based Your followers may go back to the newsletter list where people say yes you can send me your online, read, and then sign up. email. So how can you do this, keep ―email mailing list‖ in mind in everything you do:  Use an email newsletter provider service like Constant Contact that has a sign up application  When a motivated seller calls or anyone, ask if for Facebook or other Social Media so your they would like to receive your email newsletter. friends can sign up for your newsletter.  When a potential buyer visits your website, have  Look for a app that lets you input emails into your a way for them to sign up via email for a special service from your phone. So you meet a poten- report on how ―Lease Options‖ or what ever your tial client at a networking event, you can not only service might be works. Add them to your opt in add their phone number to your phone, but their list and then send them the report. email to your newsletter.  When you collect tenant info for rental application  Bring a sign up sheet to very public event. For or any time you collect contact information, re- example if you have a vendor table at MAREI, quest customer email address. Then even if the have a sign up sheet for your newsletter, usually potential tenant or client does not buy now, you offer some teaser free item for signing up. can follow up with them so they might buy in the future, using your email newsletter.  Add a forward to a friend link on the email mar- keting you are already doing. Your client likes  Add space on comment cards for people to sign the article you sent, they forward on to a friend, up for your newsletter. If you segment your and the friend likes the article too and wants fu- (Continued on page 17) Page 16 MAREInet.com
  • 17. ture information so they sign up The viewer signs up, gets the free To find out more about how to build for your email newsletter. report that in most cases does not tell your email contact list or how to use you a whole heck of a lot and directs email in your marketing plans, visit  Host an event, a class, a seminar, them back to a web site where they www.MAREIandCC.info, sign up for a a demonstration, an online event, have to do more to get more. free trial, and then watch for their collect contact info including email FREE training emails. They are very from all attendees and ask if you These pages are called squeeze informative. can add them to your mailing list. pages. They attract a viewer for a very specific reason and Have you seen the experts in action then get them all excited that on email newsletters? If you have if they get the free report all been to more than a few real estate their problems will be solved. training events I bet you have. . . . The free report is to build Real Estate Gurus: credibility so they will then Buy a training program from a Real fell comfortable enough to Estate Guru and what does the order give you their life history so form want? Your name and address you can buy their house. Or to send the package, your phone in give you their life history so case there are problems AND your you can make them a loan. email. About a week later if not Or fork over their credit card www.MAREIandCC.info sooner you are instantly signed up for number so they can send their FREE online training system that you a training program. send you training information on a ——————— weekly basis. You bought from them once. The email newsletter is there to teach you more for free, build their credibility with you even more and then WAM, would you like to buy this new and improved training program. Online Marketing: You may have came across a page for an online marketing expert. It‘s Your Complete Website (including hosting) is just very basic web page that has their $39.90 per month teaser message, usually targeted for a specific topic: Stop Foreclosure, Sell plus a one-time initial setup fee of $39.90 Fast, Get Financed, Learn How to Get Rich . The page teases them with wouldn‘t it be great if you could do this, think of all the things you could then do. . . Please give me your name and email and I will send you a free Go to www.FREETrialWebsite.info report to show you how. Risk Free - No Obligation - No Credit Card Required! Investment News Page 17
  • 18. Kansas City Federal Reserve Economic Update TENTH DISTRICT - KANSAS CITY Manufacturing and Other Business Activity The District economy strengthened in October and After rebounding in the last survey period, District early November, despite headwinds from the resi- manufacturing activity continued to expand, and dential and commercial construction sectors. Addi- many firms expected further growth in the next six tional gains in consumer spending boosted optimism months. While production levels varied across indus- for holiday sales among retailers and auto dealers. tries, some of the strongest gains were at food, fabri- With moderate gains in October andNovember, cated metal, and electronics manufacturers. In gen- manufacturing plant managers expected production eral, new orders, shipments, and production activity activity and new orders to rise further with a pick-up strengthened in recent weeks, contributing to in export activity. Energy and agricultural activity rose rising order backlogs and shrinking finished goods robustly with strong demand, low inventories, and a inventories. In the next six months, plant managers weaker dollar lifting commodity prices. In contrast, expected production, shipments and orders, espe- residential and commercial construction remained cially for export, to strengthen further. In addition, weak, although commercial real estate sales and va- more factory managers planned to increase staff or cancy rates were expected to improve in coming make capital purchases in coming months. High-tech months. Banking conditions remained stable with firms also reported a rise in sales that was expected more District bankers expecting improvements in to continue through year-end. After slowing in the loan quality. Despite higher raw material prices, last survey period, activity in the transportation sector wholesale and retail prices held steady. stabilized and some firms noted a shortage of quali- fied drivers. Wage pressures remained subdued, though some firms were hiring for seasonal and specialized labor. Real Estate and Construction Consumer Spending Residential and commercial construction remained sluggish in October and November, while commer- Consumer spending improved further in October and cial real estate sales and vacancy rates were ex- November, and contacts were optimistic about future pected to improve in coming months. After contract- sales heading into the holiday season. District retail- ing with the end of the homebuyers tax credit pro- ers reported stronger sales with limited discounting gram, a few District homebuilders noted a slight up- on merchandise. Contacts indicated an uptick in du- tick in housing starts. Still, District home prices rable goods sales, especially appliances, while sales edged down and sales continued to fall heading into of luxury items were slow. After declining in the last the typical winter lull in home buying activity. District survey period, auto dealers reported aslight improve- contacts noted that the starter home market re- ment in sales, especially for trucks and used cars. mained active, but long lead times for selling mid- Dealers anticipated demand would continue to and upper-priced homes were boosting inventories strengthen through year-end, and some planned to and limiting ―move-up‖ opportunities. Mortgage loan hire sales staff and service technicians. Restaurant activity rose as homeowners refinanced existing traffic was up, while the average check amount de- mortgages to lower payments and shorten terms. clined. With the end of the summer travel season, Commercial construction activity declined and was average room and occupancy rates edged down at expected to remain weak over the next three months. District hotels, but tourism activity was District commercial real estate contacts reported stronger than expected. little change in vacancy rates, absorption rates, and prices. Some firms, however, reported an uptick in Page 18 MAREInet.com
  • 19. (Continued from page 18) interest rates. steady. District manufacturers re- sales and expected vacancy rates to Energy ported higher raw materials prices and edge down in coming months. expected additional increases in the District energy activity continued at a next six months. They also expressed Banking robust pace in October and Novem- a limited ability to pass on higher input ber. The number of active drilling rigs costs to current finished goods Bankers reported stable loan demand, in the District rose further, primarily prices. However, more factory increased deposits, and an improved due to natural gas expansion in Okla- managers expected to receive outlook for loan quality in the recent homa and New Mexico. Producers higher finished goods prices over survey period. Overall loan demand expected drilling activity to remain the next six months. Restaurants continued to hold steady as demand elevated over the next three months; paid more for food, but kept for commercial and industrial loans, however some firms reported that menu prices stable. After rising in commercial real estate loans, and equipment shortages, difficulty finding the last survey, prices for build- consumer installment loans remained qualified labor, and availability or cost ing materials held steady. stable. In contrast, bankers reported of financing were constraining drilling stronger demand for residential real activity. District contacts anticipated a Though a limited number of firms estate loans. Compared to the previ- modest increase in natural gas prices were hiring, primarily for special- ous survey, credit standards remained as the winter heating season ap- ized labor or seasonal workers, unchanged in all major loan catego- proached. Crude oil prices were also few were raising wages to attract ries. Loan quality was essentially un- expected to strengthen with rising de- qualified applicants. Wage pres- changed compared to one year ago. mand and a weaker dollar. After surg- sures were expected to remain Bankers, however, expected loan ing in the last survey period, Wyoming subdued through the end of the quality to improve over the next six coal production continued apace. With year. months. Deposits, especially for trans- higher ethanol prices, profits at etha- action accounts and savings ac- nol plants held steady despite higher From the Federal Reserve Beige counts, increased after having been corn prices raising operating costs. Book for November flat since late last year. Read full report for all Districts at Wages and Prices http://www.federalreserve.gov/ Agriculture fomc/beigebook/2010/20101201/ Prices paid for raw materials rose fur- fullreport20101201.pdf Agricultural conditions improved since ther in October and November, but the last survey period. Favorable selling prices and wage generally held weather conditions across the District facilitated an early corn and soybean harvest with yields less than original PRIVATE LENDER estimates but slightly better than their five-year average. The winter wheat Locally Owned & Operated Private Money Lender crop was progressing normally. Crop We are a Direct Lender, not a Broker prices continued their steady climb through the fall harvest, boosting in-  Rehab Loans up to 100% of Costs comes for crop farmers but raising  Up to 65% of the After Repaired Value feed costs for livestock producers. Farmland values and cash rental rates  Terms from 30 Days to 1 Year strengthened further with higher farm  Rates from 12 to 16% Interest Only incomes and robust demand for good  Points from 6 to 10 in Lieu of Equity quality farmland from both farmers and non-farm investors. Farm opera-  Appraisals Required tors also increased spending on farm Draw Requests on Wed. Paid on Friday equipment and grain storage bins. Demand for farm operating loans was RockStarInvestor.com steady, and agricultural bankers re- ported ample funds were available for Jeff Basler qualified borrowers at historically low 913-221-9080 Investment News Page 18
  • 20. Mortgage Interest Deduction Under Attack When President Barack Obama took office he ap- talk of changing MID harms an already fragile pointed a National Commission on Fiscal Respon- market. sibility and Reform to assess the Nation's fiscal crisis. This commission's task was great, particu-  News reports saying that Congress threatens larly given the public outrage after the bailouts of to repeal or limit MID will only further delay the the banks and auto industry, but they were to de- housing recovery. termine viable ways to strengthen the "balance Please oppose any efforts to reduce or eliminate sheet" of this country. the Mortgage Interest Deduction in any future defi- While many suggestions within their recently pub- cit reduction proposals or legislation. Thank you for lished 66-page report, entitled "The Moment of helping to ensure the ongoing recovery of the Truth" are legitimate, page 32 of their report details housing market. a suggestion to eliminate the Mortgage Interest Deduction. Despite signs that the real estate mar- ket is poised to rebound, this recent development sent shock waves through the industry, particularly on the consumer side, according to National Asso- ciation of Realtor's President, Ron Phipps. While this report only offers suggestions, it is im- perative that we send a resounding message, as an industry, to Congress that this time tested de- duction must not be eliminated. Please contact your Representatives and Senators and let them know you strongly opposed the National Commis- sion on Fiscal Responsibility and Reform's sugges- tion to eliminate the Mortgage Interest Deduction. Take Action: Please contact the U.S. Capitol Switchboard at (202) 224-312 or look up your rep- resentative's number at http:// www.govtrack.us/congress/ Talking points include:  I am a constituent and a member of the Na- tional Real Estate Investors Association:  I am strongly opposed to the Deficit Commis- sion's proposal to limit or eliminate the Mortgage Interest Deduction.  I have experienced, first-hand the terrible housing crisis and I can assure you that even ACT NOW Page 20 MAREInet.com
  • 21. MAREI Member . . . Tool Boxes Have you been on the web site lately? We have a new  MAREI Job Board: We invite all members to post their feature that we are working very hard to implement to job openings here. bring you more benefits and tools that you can utilize. We have several other tools we are working on bring- Currently you will find: ing to you in 2011:  MAREI Service Directory: This is a searchable list  Web Site Help Videos: We are recording a series of products and services for our members. of videos to help you navigate the web site.  Education: We have several new educational  MAREI Audio Downloads: A work in progress that items we will be rolling out to offer you more op- lists all the Recordings of General Meetings that are portunities to learn. These tools will include—an available to MAREI members for free in the Member interactive online university and digital training Area and we are slowly adding the ability to purchase programs from local members that you can pur- these downloads by non-members. chase, download and access from home.  MAREI Landlord Resources: Area landlords are  Investor Tool Box with tools for the real estate in- need of many services from tenant screening, to vestor. forms and documents, and more. As we add new benefits for our landlords, we will add the services  Wholesaler’s Tool Box with tools just for the whole- here. sale real estate investor.  MAREI Marketing Resources: Tools for all mem-  Rehabbers Tool Box with tools for the rehab inves- bers: Investors, Landlords, and Service Providers for tor or anyone who is renovating a home. marketing. If you need to boost your business in 2011, check out this page for some ideas. Success in real estate is all about having the right tools and knowing how to use them. We hope that we  MAREI Message Board: Currently this tool is avail- can bring in all the tools you need into our tool boxes able for the general public to read. But if you want to and then help you learn how to implement them post or respond to a post, you need to log into the through articles, webinars, and live training in 2011. member‘s area. We also welcome your ideas for needed tools. If you  MAREI Properties for Sale: This tool is for the gen- eral public to view your properties for sale. To post have a tool that you really like to use that a large ma- your properties, here, be sure to log into the MAREI jority of members might be able to utilize, we may be member area. able to approach the provider as an association and negotiate a discount. To suggest tools, please email them to info@MAREInet.com, include web sites and  MAREI Newsletter: This tool will allow everyone to read our 3 latest issues of the Investment News (our provider contact information so we can follow up with newsletter). To go back further in the Newsletter Ar- them. chives, visit the Library in the Member Area. Investment News Page 21
  • 22. Upcoming Events Lee’s Summit Investor Breakfast Lee‘s Summit Investors Dec Networking Group meets the 2nd Saturday of the month for coffee, breakfast, and conversation at the Panera Bread on Chipman in Lee‘s Summit. Open to MAREI Members & 11 Guests. Dec Alternative to the monthly meeting: Holiday Networking Holiday Party, Tuesday December 14th at the Fox and Hound at Networking 103rd and Metcalf. Open to everyone. No charge except 14 for your food and drinks you order. We have a pool table Party reserved. Children & College Students Jan Monthly Meeting: MAREI meets on the 2nd Tuesday of each month for networking and education. Basic Agenda Is your child interested in real Monthly Meeting and Location Information on the next page. estate? Is ready to learn? Add your child aged 12 to 18 11 to your membership. Jan College Students with student Workshop: We have a tentative date set for a Saturday ID, we have internships morning workshop. Watch calendar and blog for details. Workshop available. Work in the MAREI office for $10 in MAREI bucks to use for 22 Membership & Workshops Jan Webinar - we have a tentative time penciled in for a webi- Contact nar in January. Topic to be determined. FREE for MAREI MAREI Office for more info. Webinar members to join live or access replay. info@MAREInet.com 27 Page 22 MAREInet.com
  • 23. Monthly Meeting Sylvester Powell Jr Community Center 6200 Martway, Mission KS 913-722-8200 Tuesday January 11 5:30 Member‘s Only - Doors open at 5:30 Round table Members: FREE 5:45 Set Up / Registration Guest Fees: $25 at door . . 6:00 Industry Partner Expo Pre-register online for $15 Invite your friends 6:00 Member Networking colleagues to visit the If guests join with in two days of 7:00 Haves & Wants (Bring the meeting, their guest fee will be your Deals) Monthly Meeting for applied to the membership fee with 7:30 Presentation – Guest with a Guest Pass proof of payment. Speaker (available online at www.MAREInet.com). 9:00 New Member Location For each new member you Registration 6200 Martway refer, earn MAREI Bucks Mission, KS 66210 which can be used towards seminars, advertising, North of Shawnee Mission Pkwy Park in North Lot or membership fees. South of Johnson Dr 2nd from the Building East of Lamar Less Kids & Door Dings Investment News Page 23
  • 24. Investment Opportunity Address City Offered as Price Info Contact Phone 5837 Forest Kansas City, MO $36,000 Bank Owned Ann Wilkinson 913-402-1500 6206 E 95th TR Kansas City, MO Turn Key No Reserve Absolute Auction Robert Mayo 816-361-2600 8517 Blue Ridge Raytown, MO Rehab No Reserve Absolute Auction Robert Mayo 816-361-2600 Blvd 405 W Dartmouth Kansas City, MO Under Value $209,900 Investor Owned Joe Reece 816-507-4203 5855 E 10th St Kansas City, MO Needs work $14,500 2+ Bed / Owner Steve Summers 816-350-7200 Finance Agnes Package Kansas City, MO Needs Work $16,500 2 houses Christoph Becker 816-419-1165 Wabash / Indiana Kansas City, MO Need Work $5,000 2 houses Christoph Becker 816-419-1165 3703 College Kansas City, MO Updated Rental $27,500 Rent $700 to 800 Christoph Becker 816-419-1165 4733 Bales Kansas City, MO Rental $22,500 Wholesale Christoph Becker 816-419-1165 3860 E 59th Tr Kansas City, MO Rental, needs up- $16,500 Wholesale Christoph Becker 816-419-1165 dates 3012 Wabash Kansas City, Mo Rehab $3,500 Wholesale Christoph Becker 816-419-1165 1030 Park Kansas City, Mo Renovated $69,900 Bank Owned JJ Pawlowski 816-916-4593 4311 Flora Kansas City, MO Renovated $7,000 Bank Owned JJ Pawlowski 816-916-4593 7208 E 100th Tr Kansas City, MO Renovated/ Rented $108,900 Bank Owned JJ Pawlowski 816-916-4593 13415 Spring St Grandview, MO Bank Owned $89,900 100% Financing JJ Pawlowski 816-916-4593 1301 E 59th St Kansas City, MO Updated $95,000 Bank Owned JJ Pawlowski 816-916-4593 3933 Wyandotte Kansas City, Mo Updated / Rented $142,000 100% Financing JJ Pawlowski 816-916-4593 5044 Walrond Kansas City, Mo Rehab / Rental $14,500 $5k Repairs Christoph Becker 816-419-1165 6101 Agnes Kansas City, MO Rehab / Rental $23,500 $5k Repairs Christoph Becker 816-419-1165 Duplexes Gardner, KS Rented $100k Each $600 rent / unit Jon Bichelmeyer 913-579-3354 Duplex Merriam, KS Rented/ Vacant No priced listed $850-$900 Eric Deeter w/ Realty 913-579-3354 Resource of KC Page 24 MAREInet.com
  • 25. Wholesalers, submit your properties at: kcmoHomeBuyer.com Looking for Investment Properties Investment Opportunity There are 100‘s of great deals right now. Let me help you through the process. There are over 40 properties Real Estate Investor / Agent with experience in listed for sale today on the Bank Owned, Short Sale, and Rental Properties MAREI web site. All MAREI members may log Eric Deeter in and list their property for Realty Resource of KC sale, include details, photos, www.EricDeeter.com simple html, and contact info. Call (913) 579-3354 Must be your property or list- ing, no fishing for buyers with out proper contracts. All new listings emailed out on Fridays in our E-Updates Home Depot go to  2 % Bi-Annual Rebate for MAREI members MAREInet.com  Volume Discount Pricing Click no Tool Box Click on Property for Sale Call me to find out how you can save on your next home renovation! Roger Holyfield (816) 510-9199 Roger_L_Holyfield@HomeDepot.com Investment News Page 25
  • 26. Craigslist Advertising Generate Leads for FREE 76 percent of consumers believe renting to be a their current residence or rent new residences better option than homeownership! within the next year. Twelve percent of renters said they have plans to buy a new home this < time the for least at consumers, some out dy- year and only fourteen percent believe that buy- ing be to seems homeownership of dream re- ing a house is preferable to renting given the covery, towards battle uphill an fight continues current state of the market. market estate real As results. survey 2008 from jump percent 5 a market, current in home own- Homeowners tied down and staying put. Sev- ing option favorable more renting deemed con- enty-one percent of homeowners will stay in sumers 76 May, conducted online new> their current home over the next year, mirroring almost exactly the response from 2008 (72%). When asked why, individuals gave the following reasons: Leverage this information in your marketing and sales and sign more leases.  64% cited having no responsibility for major repairs or maintenance as the primary rea- son. Source: Harris Interactive. This survey was con-  50% cited financial reasons such as not ducted online within the United States between being impacted by an unpredictable real es- May 3, 2010 and May 5, 2010 among 2,140 tate market and not being susceptible to adults (aged 18 and over), of whom 1,443 own foreclosure. their primary residence and 617 rent their pri- The findings in this survey mirror what is being mary residence. seen throughout the country, especially in areas of the country that are experiencing the first signs of economic recovery. See MAREI member area for Mem- The simple fact remains that in a ber Discounts with AAA Screening bad economy, people must make whatever changes necessary to improve their situation, especially if they have lost their job. Sometimes this might mean moving to another city where there is more opportu- nity, and if you're tied to a mort- gage, you don't have the same ease of mobility as you do if you lease your home. Renters are not eager to make a change this year. Sixty percent of renters plan to continue renting Page 26 MAREInet.com
  • 27. Discounts of up to 65% Details in MAREI member area Investment News Page 27
  • 28. accurate Accurate Closings: Smooth, Timely, Professional. Our office is located in Accurate Title will provide you with a smooth, timely, and profes- Overland Park, KS and sional closing. This is accomplished by removing title defects Serves all Kansas City which could affect the owner‘s title and lender‘s mortgage. Title Metro Area Counties, plus Nationwide Insurance fulfills a need by providing a financial guarantee to the Affiliations. buyer that their title is free and clear of any encumbrances of re- cord. It also guarantees to the lender, that all conditions of their loan are satisfied.  Experienced staff to Title Services Provided for: handle all of your closing needs.  For Sale by Owner Transactions  24-48 turnaround on title  New Construction Closings commitments on searches.  Commercial Purchases and Refinance  If you need a RUSH  1031 Exchanges order, please let us  FHA, VA, USDA, Conventional Loans, and Hard know. Money Loan Closings  Friendly service and cus- tomer satisfaction with  Refinance and Reverse Mortgages every closing.  Closings, Prelim HUDS, Curing Issues  Remote closings  Wholesale Investor and REO Closings  Short Sale Closing and Negotiation Assistance  Online Order Tracking  100 Years of Combined Service! Accurate Title Company 913-338-0100 www.AccurateTitleCo.com Owned by Attorney Ronald L Kraft. Mr. Kraft has over 39 years experience in real estate and small business law and is licensed in Kansas & Missouri.