All Forum Posts by: Jon Klaus

"Also, I really recommend reading "Confessions of a Real Estate Entrepreneur." It was really entertaining and information reading ways that he created value in commercial real estate."

I just read this one last month and liked it a lot. His personal stories of dealmaking make it fairly riveting.

This is the first of 25 RE books I plan to read this year, so I may feel differently by the end of 2009.

Check out my Amazon review of "Confessions of a Real Estate Entrepreneur".

I just finished reading a marketing book called:

The Irresistible Offer --How to Sell your Product or Service in 3 Seconds or Less
by Mark Joyner

Here is an exerpt from my review:

Selling houses of course, is a big ticket sale. Can it be done in 3 seconds? Almost never. However, an ad can be written to take your buyer to the step, to the place of the irresistible offer. An ad like :

==============
Amazing 3-2-2 in Smallville for just $97K.
You will love this home. I'm so sure that I'll give you $50 just to look at it.
Call me now at xxx-xxx-xxxx for the details.
==============

Next comes the irresistible offer. The drive up appeal of the home. Make certain that the front yard, landscaping, and exterior of the house are better than any other on the street. You will create an emotional response in the buyer that may well be "I want this house." This can literally happen within seconds of their arrival. From there on out your job is to reinforce that first impression emotionally and logically.

The full review: http://www.amazon.com/gp/cdp/member-reviews/A1M2I4A22YXB1A/ref=cm_cr_yc_cdp?ie=UTF8&sort%5Fby=MostRecentReview

Different is good

Outrageous is better

Some ideas:
http://creativebits.org/cool_business_card_designs

Tax considerations:

Owner finance might have you owing all the tax on the capital gain at once.

Installment sale or lease option will spread your tax out.

I echo the others, get CPA input on this.

I just read a book that covers investing as a group pretty well. In fact, the author recommends group investing for newbies, especially in commercial real estate.

Commercial Real Estate for the Small Investor
by Nicholas Masters

http://www.biggerpockets.com/forums/79/topics/27136-commercial-real-estate-for-the-small-investor?highlight=

Tax is typically flow through to the individuals. A LLC is basically a partnership with corporate liabilty protection.

In July I got the 10 year bond plus 2.5% for a 6.4% fixed (10 year term, 20 year am.). Commercial loan from Chase. If I could do that now (highly doubt it) it would be 4.7% fixed!

30 year rates are under 5%
http://finance.yahoo.com/real-estate/article/106450/30-Year-Mortgage-Under-5-Percent

What rates and terms are you getting for your investment properties?

How about commercial loans?

LOCs?

Private money?

Anyone using their own home's equity to do deals now that the money is so cheap?

Ha, I took my kids to watch that building implosion near the end of the video (1:43) a couple of years ago! It was on N. Central Expressway in Dallas across from North Park Mall. It was great early Sunday morning entertainment.

As an added benefit, we all got a lesson in redevelopment and "highest and best use" of a piece of real estate.

"I would consider buying a house that would pay for itself. Is that a bad idea? Why?"

On it's own it doesn't sound like a bad idea. However, compare it to buying a property that not only pays for itself, but also pays you $5000 a year on top. Then it doesn't sound like the best idea. Find the best (or nearest best) opportunity you can.

How do you know you are getting the highest and best use of your money and attention? Do lots of research. Look at and evaluate 100 properties before you commit. Read all you can. Become an expert in your market. Ask the kinds of questions you are asking now. Get input from the "Mikes" of the world and listen hard to them, they've done this many times. You get the benefit from their knowledge, experience, and generousity. And read all you can at this site. The last month I've spent here has been invaluable.