We have just completed the first 7 days of our 30 day challenge. Boy has it been fun.
For those of you not familar with the challenge, I am taking 10 people who have never completed a commercial real estate transaction, and have each of them contract at least $1,000,000 worth of commercial property using none of their own cash or credit in 30 days!
Now many commercial deals take longer than 30 days to close, so we consider a successful contract to be one that is beyond the due diligence phase with funding approval, and a closing date set.
So far, everyone has gotten over the initial hesitancy of contacting owners/brokers/agents to negotiate deals. Each person has successfully evaluated several commercial deals. We even have a hand full of LOIs that have gone out; with 1 LOI having been verbally accepted! We expect the get the signed LOI, and actually close that deal within the next 2 weeks.
Well, I know this challenge has spurred a great deal of interst, so I wanted to keep everyone informed. I will report back again soon!!
Tuesday, March 24, 2009
Thursday, March 19, 2009
ECS REFERRAL PROGRAM
We specialize in taking former or current residential investors and showing them to how to buy commercial properties with NO money down. Specifically, commercial lending programs still allow down payment assistance. Additionally, we can provide stated loans down to 660 middle score on commercial projects. Lastly, we are able to legally provide cash at closing to most commercial buyers in the form of seller lease backs.
For serving as a credit partner on two commercial acquisitions with us, we will pay the credit partner a minimum of $70,000. For any referral to a buyer with a 660 middle score or better, we will pay a referral fee of $25,000 at closing. We can also pay this on more than one property if your buyer continues to buy with us. Unlike Fannie Mae or Freddie Mac in residential there is no limit as to the number of commercial properties you can buy. It's that simple.
Now, here are the services we provide to our commercial investors.
Down payment assistance with no credit check
Asset verification & Asset Leasing
We offer "Stated Income" Commercial Loans through our Broker network
Joint Venture Partnerships for Commercial Projects
Commercial Real Estate Consulting
As a ECS Referral Agent you will receive a substantial referral fee if any client you introduce us to uses ANY of these services.
Our Referral Fees range from $10,000 to $50,000 per transaction!
Do you want to become an ECS Referral Agent? Simply email me at ecs.consulting@yahoo.com for more details!
For serving as a credit partner on two commercial acquisitions with us, we will pay the credit partner a minimum of $70,000. For any referral to a buyer with a 660 middle score or better, we will pay a referral fee of $25,000 at closing. We can also pay this on more than one property if your buyer continues to buy with us. Unlike Fannie Mae or Freddie Mac in residential there is no limit as to the number of commercial properties you can buy. It's that simple.
Now, here are the services we provide to our commercial investors.
Down payment assistance with no credit check
Asset verification & Asset Leasing
We offer "Stated Income" Commercial Loans through our Broker network
Joint Venture Partnerships for Commercial Projects
Commercial Real Estate Consulting
As a ECS Referral Agent you will receive a substantial referral fee if any client you introduce us to uses ANY of these services.
Our Referral Fees range from $10,000 to $50,000 per transaction!
Do you want to become an ECS Referral Agent? Simply email me at ecs.consulting@yahoo.com for more details!
100% Commercial Financing!
100% Commercial Financing
If you are a Business Owner, Real Estate Investor, Business Broker or Entrepreneur seeking creative financing for your commercial project, then you've come to the right place! We specialize in Multi Unit Complexes, Retail Strip Centers, Hotels, Mobile Home Parks, and Gas Stations, but ANY income producing property can be purchased with Creative Financing; effectively creating 100% Commercial Financing.
Feel free to inquire about any of the following property types:
Aircraft Fleet Financing
Amusement Parks
Apartments
Assisted Living Centers
Auto Care Centers
Auto Dealerships
Bowling Centers
Car Washes
Casinos
Child Care Centers
Church Financing
Condominiums & Condo Conversions
Congregate Care Facility
Convenience Stores
Distribution Centers
Fitness Centers
Franchises
Funeral Homes
Gas Stations Historic
Hospitals
Hotels/Motels
Independent Living Facilities
Inventory Financing
Industrial Parks
Industrial Buildings
Land Developments
Marinas
Medical Clinics/Medical Offices
Mini Warehouses
Mixed Use Properties
Mobile Home Parks
Movie Theaters
Offices (Multi-Tenant, Single Tenant, Warehouse)
NNN Acquisition Financing Nursing Homes
Office Buildings
Outlet Centers
Parking Garage
Regional Malls
Rehabilitation Facilities
Resort & Marina Financing
Restaurants
Retail (Anchored, Single Tenant, Unanchored)
Skilled Nursing Facility
Special Purpose Property
Truck Stop
If you would like to know more about our 100% financing program, please email me at ecs.consulting@yahoo.com.
If you are a Business Owner, Real Estate Investor, Business Broker or Entrepreneur seeking creative financing for your commercial project, then you've come to the right place! We specialize in Multi Unit Complexes, Retail Strip Centers, Hotels, Mobile Home Parks, and Gas Stations, but ANY income producing property can be purchased with Creative Financing; effectively creating 100% Commercial Financing.
Feel free to inquire about any of the following property types:
Aircraft Fleet Financing
Amusement Parks
Apartments
Assisted Living Centers
Auto Care Centers
Auto Dealerships
Bowling Centers
Car Washes
Casinos
Child Care Centers
Church Financing
Condominiums & Condo Conversions
Congregate Care Facility
Convenience Stores
Distribution Centers
Fitness Centers
Franchises
Funeral Homes
Gas Stations Historic
Hospitals
Hotels/Motels
Independent Living Facilities
Inventory Financing
Industrial Parks
Industrial Buildings
Land Developments
Marinas
Medical Clinics/Medical Offices
Mini Warehouses
Mixed Use Properties
Mobile Home Parks
Movie Theaters
Offices (Multi-Tenant, Single Tenant, Warehouse)
NNN Acquisition Financing Nursing Homes
Office Buildings
Outlet Centers
Parking Garage
Regional Malls
Rehabilitation Facilities
Resort & Marina Financing
Restaurants
Retail (Anchored, Single Tenant, Unanchored)
Skilled Nursing Facility
Special Purpose Property
Truck Stop
If you would like to know more about our 100% financing program, please email me at ecs.consulting@yahoo.com.
WHAT EXACTLY IS THE 30 DAY CHALLENGE?
For those of you who are curious about the 30 day challenge, here is a little more information about the challenge.
First, the goal of the challenge is simple. Our goal is to have at least one million dollars worth of commercial properties under contract and in the due diligence phase, moving towards closing (with a clear exit strategy) in 30 days. One million dollars worth of commercial property can be a business or commercial property, and it can be composed of 1 property or 5 properties.
Make no mistake about it. This is a bold goal. This challenge is NOT for those who are not willing to put forth real effort. But, think about this; what will you make when you actually close on a 4 or 5 million dollar property. Besides, personally, I think at least one person will actually close a deal before the 30 days is up and have tens of thousands in the bank to show for his or her effort.
You can wholesale the property you contract, or close on it yourself.
The clock will start ticking on March 16, 2009 and end on (tax day) April 15, 2009.
During the challenge we will have at least one conference call each week. I will have lessons delivered in email format that will cover the following topics:
What services does ECS provide?
How do you Find a Commercial Deal
How do you analyze a deal (prospects vs. suspects)
Immediate Cash (quick commercial closings?)
Exit Strategies
Ok, I have found a deal, now what? (Offers, informal due diligence)
The paperwork (LOIs and Contracts)
Due Diligence
There may be additional lessons, but this will give you everything you need to reach your goal of having at least one multi million dollar property under contract, and make some real money when it closes. I don’t sell books and tapes so these email lessons will cover only the essentials; no fluff. James Mulligan, Brandon James and I will make sure that no one fails. All that is required of those that accepted the challenge is effort.
Charles Best
President
Emprise Commercial Services
http://commercialexpert..blinkweb.com/
Commercial Real Estate Consulting & Private Funding
678-755-0902
678-651-9365678-668-7443 fax
First, the goal of the challenge is simple. Our goal is to have at least one million dollars worth of commercial properties under contract and in the due diligence phase, moving towards closing (with a clear exit strategy) in 30 days. One million dollars worth of commercial property can be a business or commercial property, and it can be composed of 1 property or 5 properties.
Make no mistake about it. This is a bold goal. This challenge is NOT for those who are not willing to put forth real effort. But, think about this; what will you make when you actually close on a 4 or 5 million dollar property. Besides, personally, I think at least one person will actually close a deal before the 30 days is up and have tens of thousands in the bank to show for his or her effort.
You can wholesale the property you contract, or close on it yourself.
The clock will start ticking on March 16, 2009 and end on (tax day) April 15, 2009.
During the challenge we will have at least one conference call each week. I will have lessons delivered in email format that will cover the following topics:
What services does ECS provide?
How do you Find a Commercial Deal
How do you analyze a deal (prospects vs. suspects)
Immediate Cash (quick commercial closings?)
Exit Strategies
Ok, I have found a deal, now what? (Offers, informal due diligence)
The paperwork (LOIs and Contracts)
Due Diligence
There may be additional lessons, but this will give you everything you need to reach your goal of having at least one multi million dollar property under contract, and make some real money when it closes. I don’t sell books and tapes so these email lessons will cover only the essentials; no fluff. James Mulligan, Brandon James and I will make sure that no one fails. All that is required of those that accepted the challenge is effort.
Charles Best
President
Emprise Commercial Services
http://commercialexpert..blinkweb.com/
Commercial Real Estate Consulting & Private Funding
678-755-0902
678-651-9365678-668-7443 fax
WELCOME TO OUR 30 DAY CHALLENGE!
I am constantly getting asked if it is REALLY possible to buy millions of dollars of commercial properties or even mid sized companies with little or no money. My answer is unequivocal; YES!
In fact, I decided that the next dozen people or so who asked me the question would learn the answer the hard way. Instead of taking my word for it, I would walk them through a 30 day challenge which would culminate in each person placing a million dollars plus of property under contract and in the due diligence phase, with a LOI from a lender within 30 days! I invited 12 new investors, and 2 of my Joint Venture Partners to participate in a Sunday evening teleconference describing my challenge.
After an hour teleconference over 10 people have personally accepted this challenge!
I am as excited as I have ever been. We are about to buy or flip (with no money down) over $10 Million Dollars of commercial property; all starting in the next 30 days!
So, stay tuned; over the next 30 days, we will keep you informed of their success and experiences.
In fact, I decided that the next dozen people or so who asked me the question would learn the answer the hard way. Instead of taking my word for it, I would walk them through a 30 day challenge which would culminate in each person placing a million dollars plus of property under contract and in the due diligence phase, with a LOI from a lender within 30 days! I invited 12 new investors, and 2 of my Joint Venture Partners to participate in a Sunday evening teleconference describing my challenge.
After an hour teleconference over 10 people have personally accepted this challenge!
I am as excited as I have ever been. We are about to buy or flip (with no money down) over $10 Million Dollars of commercial property; all starting in the next 30 days!
So, stay tuned; over the next 30 days, we will keep you informed of their success and experiences.
Sunday, March 8, 2009
CREDIT PARTNERS NEEDED
We can provide the down payment and the assets/reserves to buy over $10,000,000 in commercial properties. We do, however, need credit partners.
Do you have over a 660 middle score? If you answered yes, then you can serve as a credit partner on one of our commercial projects.
Our credit partners are paid $35,000 to $100,000 per transaction.
Tidal Wave Of Apartment Foreclosures Despite Strong Operating Fundamentals
By: Karen Hanover Submitted: 09:48AM on Friday 20 February 2009
The author has permitted the reprinting and redistribution of this article.See our Terms of Use for more information on reproducing it.
The residential foreclosure mess while terrible for those losing their homes, is wonderful for apartment investors. As many former homeowners migrate back into apartment living, occupancy levels and rents are being driven up. On the other side of the supply/demand equation…because of constrained capital available for construction, very little new supply is coming online. So, in a nutshell, demand is up and supply is down... a perfect storm for apartment returns to soar! However, many apartment buildings will head into foreclosure. Let me explain... Two factors contribute to commercial property value. 1. Market forces (Cap rate) 2. Cash Flows (NOI) Value = NOI/Cap Rate The value of commercial property is derived by dividing the NOI by the market cap rate. While we can't control cap rates anymore than we can control residential values and “comps”, we can control the NOI to a certain degree. Rents – Expenses = NOI By increasing income and/or decreasing expenses we can increase NOI. By increasing NOI, we drive the value of the property up having nothing to do with market forces. Therefore, we can control this component of the value equation regardless of what the market is doing. Consider this: NOI = $120,000 Cap Rate = 10 Value = $1,200,000 NOI = $190,000 Cap Rate = 10 Value = $1,900,000 Notice the market force (cap rate) stayed the same but only the cash flow changed. By increasing the cash flow, we can increase the value of the property regardless of market conditions. Many apartments are performing wonderfully and their operating fundamentals are sound, yet experts are predicting a tidal wave of apartment foreclosures. Let me try to explain using a residential example. Let's say you bought a house for $1,200,000, put $200,000 down and took a $1,000,000 loan (83% LTV) on a short term loan so that $1,000,000 would be due in 5 years. Now let's say that house was cash flowing $100,000 per year. For 5 years, the same tenant lives there and pays rent like clockwork. You are thrilled and making money hand over fist. However, as the national economy goes into a tailspin and your neighbors lose their homes to foreclosures the value of your house is dragged down with them. Hey, but you don't care because that house is cash flowing like crazy and you have no plans to sell. So who cares what it's worth, right? You'll just collect your rents and hang on until the market comes back even if it takes a few years. But then you get a letter from your lender reminding you that your 5 year loan is coming due in a few months. So you decide to refinance only to find that the value of your house is now only $800,000 (a 33% decrease in value which is exactly the kinds of losses we’ve seen) and you still owe $950,000 on the note. Additionally, banks will only lend 70% LTV now so based on an $800,000 value and 70% LTV the bank will only refinance $560,000 of the remaining $950,000 on the note. If you don't come up with the $390,000 difference, you will lose that house to foreclosure even though it has tremendous cash flow. If you had taken long term debt you wouldn't be in this situation but because the note is due, you're in trouble! That's exactly what is happening to many apartment owners. The properties are performing well yet they are headed to foreclosure because they took out short term debt which is coming due. Experts track the numbers and can forecast how many of those notes are coming due and how many of them are “under water” wherein there is more owed than the value of the property. These experts predict a tidal wave of foreclosures. There is a small window of opportunity to cash in on the opportunity to buy apartment foreclosures as these property types are rarely distressed. Additionally, interest rates are historically low making this opportunity even better. Lawrence Yun, Chief Economist of the National Association of Realtors predicts a turnaround in the second half of 2009. This means there is a very small window to learn about apartments and apartment foreclosures. The tidal wave is coming! Will you ride the wave?
Karen Hanover is a Certified Commercial Real Estate Advisor and commercial real estate broker. She founded the Commercial Investment Education Institute to educate both new and seasoned investors. Take a FREE Online Course at http://www.cieinst.com/
The residential foreclosure mess while terrible for those losing their homes, is wonderful for apartment investors. As many former homeowners migrate back into apartment living, occupancy levels and rents are being driven up. On the other side of the supply/demand equation…because of constrained capital available for construction, very little new supply is coming online. So, in a nutshell, demand is up and supply is down... a perfect storm for apartment returns to soar! However, many apartment buildings will head into foreclosure. Let me explain... Two factors contribute to commercial property value. 1. Market forces (Cap rate) 2. Cash Flows (NOI) Value = NOI/Cap Rate The value of commercial property is derived by dividing the NOI by the market cap rate. While we can't control cap rates anymore than we can control residential values and “comps”, we can control the NOI to a certain degree. Rents – Expenses = NOI By increasing income and/or decreasing expenses we can increase NOI. By increasing NOI, we drive the value of the property up having nothing to do with market forces. Therefore, we can control this component of the value equation regardless of what the market is doing. Consider this: NOI = $120,000 Cap Rate = 10 Value = $1,200,000 NOI = $190,000 Cap Rate = 10 Value = $1,900,000 Notice the market force (cap rate) stayed the same but only the cash flow changed. By increasing the cash flow, we can increase the value of the property regardless of market conditions. Many apartments are performing wonderfully and their operating fundamentals are sound, yet experts are predicting a tidal wave of apartment foreclosures. Let me try to explain using a residential example. Let's say you bought a house for $1,200,000, put $200,000 down and took a $1,000,000 loan (83% LTV) on a short term loan so that $1,000,000 would be due in 5 years. Now let's say that house was cash flowing $100,000 per year. For 5 years, the same tenant lives there and pays rent like clockwork. You are thrilled and making money hand over fist. However, as the national economy goes into a tailspin and your neighbors lose their homes to foreclosures the value of your house is dragged down with them. Hey, but you don't care because that house is cash flowing like crazy and you have no plans to sell. So who cares what it's worth, right? You'll just collect your rents and hang on until the market comes back even if it takes a few years. But then you get a letter from your lender reminding you that your 5 year loan is coming due in a few months. So you decide to refinance only to find that the value of your house is now only $800,000 (a 33% decrease in value which is exactly the kinds of losses we’ve seen) and you still owe $950,000 on the note. Additionally, banks will only lend 70% LTV now so based on an $800,000 value and 70% LTV the bank will only refinance $560,000 of the remaining $950,000 on the note. If you don't come up with the $390,000 difference, you will lose that house to foreclosure even though it has tremendous cash flow. If you had taken long term debt you wouldn't be in this situation but because the note is due, you're in trouble! That's exactly what is happening to many apartment owners. The properties are performing well yet they are headed to foreclosure because they took out short term debt which is coming due. Experts track the numbers and can forecast how many of those notes are coming due and how many of them are “under water” wherein there is more owed than the value of the property. These experts predict a tidal wave of foreclosures. There is a small window of opportunity to cash in on the opportunity to buy apartment foreclosures as these property types are rarely distressed. Additionally, interest rates are historically low making this opportunity even better. Lawrence Yun, Chief Economist of the National Association of Realtors predicts a turnaround in the second half of 2009. This means there is a very small window to learn about apartments and apartment foreclosures. The tidal wave is coming! Will you ride the wave?
Karen Hanover is a Certified Commercial Real Estate Advisor and commercial real estate broker. She founded the Commercial Investment Education Institute to educate both new and seasoned investors. Take a FREE Online Course at http://www.cieinst.com/
Subscribe to:
Posts (Atom)
