On our July 9^th episode of Real Life Real Estate Investing, we opened the lines for one of our favorite formats—Q&A Day. Vena tackled your real-world questions about buying, selling, renting, financing, managing, and more. If you missed it live, don’t worry—the answers are just a click away. Listen to the recording here 

And don’t forget to tune in every Wednesday at 5 PM Eastern—https://streamdb3web.securenetsystems.net/cirrusencore/WMKVFM.

Several times in the past few months, I’ve found myself explaining to students that the reason they couldn’t sell their wholesale deal was that they’d overpriced it, and the reason they’d overpriced was that they’d made a common logical error in figuring out the value.

See if you can tell what it is:

The subject property has an after-repaired value of $100,000, and the house has an outdated kitchen, bath, furnace, and flooring.

However, the house also has a section 8 tenant living there who’s been there for 5 years and doesn’t want to move. The house is rented for $1,000/month, and the annual section 8 inspection just came back requiring that the basement walls be painted and that one room of carpet be replaced--$1,500 in work, total.

You are offering this property to landlords for $68,500 because $100,000 x .7 - $1,500 in repairs = $68,500.

Why is it not selling?

The answer is that it’s not a good deal, and you’ve conflated two different ways of analyzing a property.

You based your “value” on an “after-repaired value” calculation, and then didn’t estimate enough for repair costs to put the property into after-repaired condition.

By saying “This house is worth $68,000 to an investor”, you’re basically saying that with $1,500 in repairs, it would sell for $100,000. In fact, $1,500 will only put it into RENTAL condition, not RESALE condition.

It might even be TRUE th ... Read More…

Begin by teaching them about the lifestyle choice that they’ll get to make each day of their lives… the lifestyle choice of being either rich, poor or middle class. Once they make that decision, show them how they can use real estate as a vehicle for reaching their chosen destiny.

Let’s face it… for almost everyone first starting out, investing in real estate is just another job… part-time, but a job that takes additional time away from family and friends. Rare is the first-time real estate investor who has the available funds to jump into rehabbing or buying rental units without another “job” to support them. Most of us get started as real estate entrepreneurs by doing real estate “on-the-side” in the evenings and on weekends while keeping our day jobs to meet our families’ financial needs. Thus, the goal for most newbie investors is to earn additional money for the family while not losing that valuable family time.

My wife and I got into the real estate business quite accidently. Out of necessity we would buy junker houses to live in because that was all we could afford. Then we would fix them up while we lived in them. As the family grew, we would buy another house with more bedrooms and baths and fix that one up. All this was being done as our children were young.

I got started as a real estate entrepreneur when a friend of mine who was in the business of rehabbing houses talked me into buying a house at ... Read More…

Property inspections play a crucial role in the real estate process, providing valuable insights into the condition of a home and helping both buyers and sellers make informed decisions. Two common types of property inspections are pre-purchase inspections, conducted by buyers before closing a deal, and pre-sale inspections, initiated by sellers before listing their property on the market. Understanding the key differences between these two types of inspections is essential for navigating the real estate landscape effectively. Let’s explore the distinct characteristics of pre-purchase and pre-sale property inspections.

Pre-Purchase Property Inspections:

Pre-purchase property inspections are conducted by buyers as part of their due diligence before finalizing a home purchase. These inspections aim to uncover any hidden issues or defects in the property that may impact its value, safety, or livability.

Key differences of pre-purchase property inspections include:  
Buyer-Initiated: Pre-purchase inspections are typically initiated by the buyer to assess the condition of the property they are interested in purchasing. Focus on Buyer’s Interests: The primary focus of pre-purchase inspections is to protect the buyer’s interests by identifying any potential problems that may affect their decision to proceed with the purchase. Negotiation Tool: Inspection findings from pre-purchase inspections c ... Read More…

 Real estate investing isn’t inherently difficult or complicated. Like many investors from my generation, we simply bought a house, made the necessary repairs, and rented it out. There were no computers, no internet—just a few books at the library, and that was about it.

We’re thrilled to announce two important updates within our vendor network at Greater Dayton REIA!

**Welcoming Our New Vendor Relations Chair – Paul Fiamengo**
A longtime member and seasoned investor, Paul Fiamengo is stepping into the role of Vendor Relations Chair. Paul brings a wealth of experience and dedication to strengthening the connections between our vendors and members. He looks forward to working with our current vendors and expanding the products and services available to our community.

For more details, visit our Board and Chairs page!

**Introducing Our Newest Vendor – Rodney Hines of Farmers Insurance**

We’re excited to welcome Rodney Hines of Farmers Insurance back as our newest vendor! Rodney has a long history of providing exceptional service and guidance to his clients, and we’re delighted to have him rejoin our network. Check out Rodney's offerings if you’re looking for reliable insurance solutions.

Learn more and connect with him directly on his website.

Are you interested in becoming a vendor with Greater Dayton REIA? Learn more about vendor membership here.

Join us in celebrating these exciting updates!

 Ever feel like you're putting in a ton of effort into your business or investments, but the results just aren't matching up? It's a common frustration, and it often leads to one major problem: burnout.

As GDREIA Vendor member, Chad Harris, discusses in his latest podcast, burnout isn't just about working hard; it's often the direct result of putting in effort and not seeing the desired outcomes. When we feel like we're spinning our wheels, it's natural to get discouraged!

The Common Trap (and The Real Solution):
Many of us believe that if we just work harder on everything, success will follow. We try to manage every detail, pursue every opportunity, and perfect every task. While dedication is crucial, this "scattergun" approach can be counterproductive.

The truth is, we don't have to put massive effort into all actions.   The real secret [...] lies in identifying the one or two key areas that will truly move the needle forward. Then, it's about applying "massive imperfect action" to those specific areas.

What is "Massive Imperfect Action"?

• Massive: This means significant, focused effort.

• Imperfect: This is crucial. It means not waiting for perfection to start. It's about taking action, learning, and adjusting, rather than getting paralyzed by analysis or the fear of not doing it perfectly.

• Action: It's about doing, not just planning or thinking.

Think of i ... Read More…

I remember when I attended my first seminar, and the speaker said you have to have a system and discipline. I knew what the system was because he was teaching it. But I did not know what the discipline was until I began to apply the system. The discipline is that you have to take the action to make the system work properly. Through months and years of trial and error, I now know what he meant by discipline. I had to discipline myself to always take action, even when I didn’t feel like it. Despite all the easier softer ways of doing things today, I still sometimes don’t feel like it. But I force myself to take action.

Many years ago, I found something on the internet that I printed and framed, and it is on my office wall. It’s called, the “7 Excuses”.  I can’t do it, I’m not feeling it right now, I’m too busy, I’m too tired, there’s no guarantee it’s going to work, I’m not good enough, and my luck sucks. I still to this day do not know who the author is, but I read that from time to time to keep me motivated. I always check to see if I’m making excuses. Let’s break it down.

I can’t do it: if that’s what I’m thinking, I’m probably right, but if I change it to, I can do it, I’m also right. I must program my mind that I can do it, then all I need to do is try, and if I run into a hurdle, I find a way around it and with some fine tuning, I find that I can do i ... Read More…

 When we see reports regarding the "Dayton" housing market, they usually include the entire area. But here is my report for those who invest in the city.