Tagged: title company

Sep 13

What Michigan’s All Cash Real Estate Market Means For Buyers…

Who’s broke? Not Michigan according to the latest figures…

The city of Detroit might have filed for bankruptcy, but the local real estate market appears to be flush with more cash than ever before.

The latest data and a new report from 24/7 Wall Street shows that U.S. real estate transactions are increasingly being made with cash, not credit. In fact, nationwide 40% of recent real estate sales where cash.

More significantly; Michigan ranked 4th out of all U.S. states for the highest percentage of cash sales at a dizzying 53.1%. That number gets even higher in SE Michigan, at almost two thirds according to RealtyTrac.

Why the cash money frenzy?

This cash only trend is emerging for a variety of reasons. In many cases it is a matter of needing to put savings to work, and there isn’t much that can come close to touching real estate today.

Low home prices (MI has the 4th lowest) are also a major factor. Home loans haven’t been incredibly easy to come by in recent years and most mortgage lenders don’t want to bother with making tiny loans. Plus, who wants to fatten the bank’s wallets today anyhow?

So what does this cash heavy real estate market means for Michigan home buyers and investors?

For a start it signals an incredibly strong local housing market and underlying economy; one with lots of equity that will cushion it against fluctuations for a few decades.

Of course it also means that shopping for property in Southeast Michigan is highly competitive today. So you’ve got to move quickly, and be organized.

Sadly, this has led some into forgoing critical due diligence, which can often be extremely expensive, even to the point of far outweighing what they paid for properties in the first place.

The bottom line is that it is crucial to find a great title company partner for quick title searches, title insurance  and fast closings. They’ll come in handy with additional help for refinancing later on too, or closing on commercial loans to stay liquid and expand. After all, with long term interest rates so low is crazy not to use them!

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Sep 06

Massive Real Estate Investment Opportunities In MI, If…

Michigan offers massive real estate investment and income opportunities for young and new investors if they are willing to go the extra mile…

The first phase of the recent Oakland County foreclosure auction saw the average sales price at $27,000, which while still shockingly low to many outside investors is $8,000 higher than the last time around, showing strong value increases. Of course closer to the center of Detroit there are homes for sale for a tiny fraction of these figures.

The U.S residential market over all is good, with high demand, cash buyers and lenders providing liquidity, and MI home prices are delivering some of the best appreciation. However, many are scared of the city’s reputation and recent bankruptcy filing, especially out of area buy and hold investors.

As always it is the brave forward thinker that sees opportunity where others are fearful to tread that stand to win the most. Right now there is a mint to be made for younger and newer real estate investors that are willing to prove themselves, get in and do the due diligence, make the acquisitions and prove the deals can be profitable.

More than just flipping or offering cheap properties this means providing a full range of services. So put together a team including a reputable investor friendly title company to perform title searches help coordinate and oversee transfers, as well as contractors and property managers that are effective at rent collection.

Start building a track record and you’ll have all the repeat business and referrals you could ask for.

Just keep your eye on the big picture and avoid the temptation of just chasing the next dollar or the ‘get rich quick at all costs’ mentality.

If you are really serious about real estate investing and achieving long term success you’ll also look for ways to improve neighborhoods, give back, coordinate investors and entrepreneurs to be a part of rebuilding the area and boosting values, rather than just sitting on the sidelines wondering if someone else will…

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Aug 01

Minimizing Risk: 3 Ways A Great Title Company Can Save Your Investment

Minimizing Risk: 3 Ways A Great Title Company Can Save Your Investment

Michigan real estate is hotter than ever, but rushing in carelessly can be extremely costly…

Local entrepreneurs and foreign investors are scooping up Southeast Michigan homes in batches of 30 to 70 at a time with the perception that real estate here is so cheap it’s impossible to lose. Of course, that isn’t exactly the case. This may be an incredible time to create new passive income streams from rentals and build wealth quickly by flipping houses, but that doesn’t mean you should throw caution to the wind.

Right now there are three issues which are increasingly tripping up real estate investors, which could easily be prevented with the help of a good title company…

1. Rents & Tenant Deposits

While the market is great and the numbers might look good on paper endless issues can arise on rental properties if figures and data aren’t verified. A title company can obtain estoppel letters and verifications of lease amounts, status of rental payments and deposits. Without this and doing your own due diligence you could find you are taking over properties with far less coming in than thought, or where previous sellers have spent deposits and advanced rent.

2. Repair Funds

When buying foreclosures in Michigan today it is very common for investors to obtain financing which is supposed to offer additional payouts as repairs are made. Unfortunately unless this money is held in escrow by a title company on your behalf you might never see it as some have recently found out.

3. Searches & Insurance

The rush to acquire distressed property has been creating a lot of competition among home buyers leading some paying cash to forego thorough title searches and even title insurance for the sake of speed. Sadly in the wake of the housing crisis an enormous percentage of properties have clouds on title and even restrictions on resale. Without taking these steps you could find the sale voided or ownership not defensible, rendering the investment lost or at least unsalable.

 

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Nov 07

Flipping Houses: Investors Being Regulated out of Business?

It is understandable that some real estate investors feel like they are under attack and are being regulated out of
business but is that really the case or is it the short cuts they are taking that is causing them all the trouble?

The government has clearly been on a mission to recoup all the money it can from everyone in the mortgage and real estate
business, especially ahead of the 2012 presidential election. This has resulted in endless new regulations and witch hunts and it                               clearly isn’t over yet.

Not even the giant Wells Fargo or Bank of America and all of their mighty lawyers seem to be safe, even though the
penalties dealt out to them are barely a slap on the wrist. So it’s the small real estate investors who are really feeling the pinch.

Federal agencies are rolling out whistle blower hotlines and tracking parties to real estate transactions to see who is
flipping properties, mortgage credit is tough to come by and what used to appear legal is now landing investors in jail as banks get                          greedy and crackdown on flipping short sales.

‘Stated income’ went the way of the dinosaurs taking plenty down with it and now investors are being accused of ‘flopping’
real estate by driving down home values before flipping them. Who knows what will be next.

The bottom line is that it is always smart to stay well on the right side of the grey line in anticipation of future changes.

There is plenty of money to be made from flipping houses the right way; you can even do legitimate double closings on
the same day for essentially no money down deals, providing both transactions are fully funded. Use transactional funding                                              or hard money if you don’t have your own.

Real estate investors are still critically needed and are who is really bringing market back and will continue to be needed
to keep recycling homes. Just stay on the right side of the law and recognize that despite who tries to get you into overly                                      creative deals, investors are the first to get thrown under the bus when things go wrong

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Nov 06

Cashing in on Turkey Day for Real Estate Pros

Thanksgiving might be one of the most looked forward to days of the year for great eats but
it is also one of the best marketing opportunities for real estate professionals too…

Whether you are a real estate agent, mortgage broker or real estate investor you should
already have a marketing plan for Thanksgiving in the works. If not, it’s time to step on the gas,                                                                                    unless you want the competition stepping on your market share and connections.

So how should you be working to cash in on this occasion?

Thanksgiving is one of the best times for real estate networking. Inviting prospects and
potential strategic partners to luncheons and dinners is a great start.
However, helping others throw them and sponsoring them can be a great way to
cast a wider net. This makes for a much warmer atmosphere and relaxed setting
for connecting and building relationships.

The internet should not be overlooked either though. Occasions like Thanksgiving
find prospects much more receptive to themed marketing messages. In fact this
is when ‘junk mail’ ceases to become junk, because it is filling a need. So
blog, turn up your social networking and get those extra emails out.

Don’t underestimate Thanksgiving Day dinner as a great time to round up a few more
deals over pumpkin pie either. The easiest deals always come from those you
already know and nothing burns worse than finding out a family member of close
friend chose to do business someone else than you because they didn’t realize
you could help.

This is also an excellent opportunity for building more loyalty among staff and
boosting their productivity for the end of year push. Buy them turkeys or take
the entire team out for dinner to strengthen bonds and show appreciation.

Finally, don’t forget to actually take a few hours off to recharge, be grateful and enjoy
the whole reason you are in this business anyway.

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Oct 22

7 Top Marketing Tips for MI Mortgage Companies

Looking for more mortgage leads?

There are many, many marketing ideas and channels for Michigan mortgage companies and
mortgage brokers to try out today but which are the most effective right now and what else might be getting overlooked that can increase your advertising effectiveness and ROI?

1. Marketing Mix

There are many mortgage marketing strategies which work, though they don’t all yield equal returns, especially when all factors are considered. Focus on a handful which deliver the best net ROI and make sure to have a good variety of on and offline efforts going in order to protect your lead flow and income.

2. Establish Credibility First

It is a lot easier to generate action from your direct marketing efforts if your brand is familiar and trusted, not to mention a lot easier to close those leads which do come in. So think print and display advertising utilize online press releases and don’t forget elements like toll free numbers.
3. Arm Yourself with the Right Tools

Not every lead closes on the first attempt. Either they may not be ready or they just may not be a good fit for your mortgage products at this moment but as a lead and referral source they can still be extremely valuable. This makes having and using lead management software and automating follow up just as essential as the initial contact.

4.Email Marketing

Email marketing may not be a new concept for mortgage professionals but it has been turning up much better results recently. Done right it is easy, affordable, and effective and makes sure you are always there at the right time, in the right place for your prospects and past clients.

5. Blogging

You are reading this, so that is proof positive that blogging works. Blogging can help you get to the top of Google, attract new customers, position you as the best mortgage pro to work with and generate real leads.

6. Forge Strategic Partnerships

Look at the most successful entrepreneurs of history like John D. Rockefeller (our first billionaire) and you’ll see their success relied a lot on building the right relationships. Then look at failures like Apple breaking up with Google Maps and you’ll see their demise linked to failing to forge good partnerships.
Who can you partner with for marketing and referrals to lower your costs and increase your income?

7. Make New Contacts Daily

Your success at driving in more mortgage applications is directly tied to the number of new contact you make each and every day. Are you making enough? Despite all of the expensive and elaborate mortgage marketing tactics available today one of the easiest, most effective and affordable is simply getting out and
exchanging business cards or Facebook likes. Not getting out enough? Do more networking, lunching and dining with other pros, working outside of your normally environment or just doing more activities.

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Oct 21

REAL ESTATE PROS: 2 WARNING SIRENS FROM THE PRESIDENTIAL DEBATE

Did you catch the 2 most important alarms being rang for real estate professionals during the presidential debate?

No, it had nothing to do with taxes, promises of making things easier for small business owners or housing plans and it doesn’t matter which candidate you like the most.

The 2 big red flags which should have caught real estate pros’ attention were all about marketing…

1. Social Media

The two Romney vs. Obama debates so far have ranked as 2 of the top 3 social media events to date. More than 12 million Tweets and Facebook comments were posted and exchanged during the 90 minute verbal boxing match between presidential candidates.

So for those Michigan real estate agents, brokerages, mortgage companies and loan officers who aren’t truly embracing social media it’s about time to get on it. It isn’t going to go away and social media marketing is about a lot more than just having a page and throwing up random posts about where you went for dinner or mining the internet for a date.

There are real leads there, but you’ve got to really work it.

2. Getting Face-to-Face with Prospects

The second and perhaps most important alarm is how critical and valuable face-to-face connections are for real estate agents and mortgage brokers.

Love them or hate them; Obama reportedly won back some credibility during the second debate, at least for his style if not economic policy, while Romney finally came out of the woodwork and stormed the
polls once people really got to see who he was. Before the debate he was a phantom candidate that most knew very little about. It’s hard to know, like and trust someone enough to vote for them or give them your business when buying a home or taking out a home loan if they are hiding behind a corporate website or
email.

The internet is a fantastic real estate marketing tool and enables real estate professionals to reach far more people in far less time but it is clear that people still want to do business with real people, and it can make all the difference in closing the deal.

For agents and brokers this means making sure you are keeping your in-person sales and presentation skills sharp. Coaching, networking and regular practice to keep the rust off all helps.

You can argue about the real, immediate ROI of entertaining in person meetings all you want but if you plan to stay in business and want the best ROI for the long run, wake up to the life time value
each client and their referrals offer.

There is no better way to build long term relationships and learning how to serve your clients better than to build in some face time.

That’s why My Coordinator LLC has a real, physical office and how we like to treat our clients and their clients.

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Oct 19

THERE’S MORE TO MI REAL ESTATE THAN DETROIT….

Detroit real estate has become incredibly popular in the last couple of years between a buffet of low priced properties and rising values but there’s a lot more to Michigan real estate than just the
Motor City.

Detroit does actually have a lot going for it right now but of course it does have a notorious reputation at the same time and while it has been producing some incredible returns for real estate investors it certainly isn’t a great fit for everyone.

Looking a little further afield can bring a lot of other, potentially far more attractive real estate investing
opportunities.

Macomb and Oakland County for instance offer a quieter and safer locale that investors won’t mind actually visiting to take a look at properties and doing their proper due diligence. Yet homes here still offer great discounts on distressed properties, real estate is still incredibly affordable offering plenty of room to grow (and it already is), and a choice between bread and butter homes and luxury ones. In other words it is like
taking all of the pros of investing in Detroit real estate and slicing out the cons.

Whether wholesaling properties full time, fixing and flipping houses on the weekends, acquiring a handful or entire empire of rentals or even just looking for a second home or taking advantage of the
market to move up to a swankier pad there are plenty of enticing options.

There is a reason Michigan real estate is heating up but that doesn’t mean everyone should just follow the herd. Stick to sound real estate investment principals yet, don’t be afraid to think outside
of the box the media creates.

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Oct 19

MICHIGAN REAL ESTATE: FOREIGN INVESTOR DEMAND TO SURGE

Michigan real estate has been a top favorite among foreign investors over the last year
but this trend is really just beginning and local professionals must be
prepared to win their business…

Michigan real estate has been on sale over the last few years and has drawn many out of
area and overseas buyers and investors but evolving trends signal this has just
been the beginning of the rush.

Cushman & Wakefield recently reported real estate investment in Central Europe down
41% this year, while the latest issue of Overseas Property Professional Magazine
highlights the panic going on in Spain, France and the UK due to continued
economic issues.

In the recent past much of this flight capital went to Canada but with markets
like Toronto and Vancouver taking beatings of their own even Canadians are now
once again pouring into the U.S. real estate market.

Of course some are still working on freeing up capital from abroad or have held
off until seeing that the American housing recovery has really taken hold but
that just means more funds and buyers to come and for most Michigan real estate
makes a lot of sense as an affordable and growing market.

This means Michigan Realtors, mortgage loan officers and real estate investors need
to not only be accommodating foreign investors but must be partnering with
services which cater to these clients’ unique needs such as banking, company
formation, remote closings and even just being able to do business in their
home time zones.

This is exactly where My Coordinator LLC excels and we’d love to help serve
your clients and make you look great…

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Oct 07

The Tsunami of Michigan Home Buyers to Come

Michigan home prices and sales look like they are about to take of as a new tsunami of
buyers aims for the state…

The Michigan real estate recovery is just getting started and local home buyers,
real estate investors and Realtors should expect to see a lot of activity
coming up.

According to the latest Fannie Mae survey 73% of American adults say now is a great time
to buy a home and with the current combination of factors at play in the market
we might never see a better time again, at least in most of our lifetimes.

Reporting on the newest home sales figures the Commerce Department reveals the national
median home price jumped up 17% since last August 2012, reflecting the best 12
months of appreciation since 2004. Even more amazing was the 11% jump in home
prices between July and August this year, the highest since 1963!

However, the best is yet to come with some 20 million real estate investors and 20
million young adults who have moved into their parent’s homes in the last few
years that are itching to get out. This doesn’t even count overseas buyers and
real estate investors who are sure to continue to flood in as foreign economies
suffer. Perhaps most significantly this will come from Canada as they enter a
new bubble bursting phase and look for work and investments elsewhere.

Indexes also show that buying a home is now an average of 45% cheaper than renting in
most areas of the country, spurring even more home buying and Michigan is sure
to be a big beneficiary as we’ve got some of the most affordable housing in the
nation.

That means lots of room for home buyers and real estate investors to grow new
wealth.

What are you waiting for?

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