The 2024 real estate market is shaping up to be an exciting landscape. An environment with its fair share of both challenges and opportunities.

What should investors be watching? How can they ace the market and win this year?

The Challenges

Uncertainty: Investors and real estate professionals should have learned to become quite comfortable with uncertainty by now. There will be plenty of it this year. Forecasts are still split between growing or nose diving property prices. Use this to your advantage instead of being hampered by it.

Buy from the bearish, and sell to the bullish.

Staffing: While AI and recent mass layoffs may be creating more unemployment, high consumer living prices mean that workers need to make more per hour in order to make working make sense for them. Be prepared to work with a leaner remote team, or pay a lot more this year.

Changing Demographics: Mass financial distress and migration are significantly changing the demographics of property buyers and tenants. Real estate businesses need to stay alert to this, and be able to adjust to these shifts in supply and demand. Average credit scores will change, as will who is investing.

The Opportunities

Motivated Sellers: While many seem very optimistic about the economy, the data seems to suggest that millions of households are facing extreme financial distress. Many appear to finally be at the end of their ability to hold on to vehicles, credit cards, and homes.

In turn this will yield many opportunities to pick up properties at deep discounts, and on better terms.

Failing Competitors: For all of the above reasons many of your competitors may fail or quit this year. These are great opportunities for acquiring their business. Either in the form of buying their companies, their real estate, or absorbing their staff and customers.

Interest Rates: The Fed is expected to begin cutting interest rates in 2024. That could translate into lower borrowing costs for businesses and real estate.

Well qualified buyers could find this makes for better financial projections when taking out mortgages. While also providing more working capital to companies, and providing room for house prices to grow. It may also encourage more owners to sell and move, creating more inventory.

Of course, you don’t have to wait on the Fed for attractive real estate financing deals. Best Transaction Funding is still offering low interest rate loan deals for real estate investors right now.

Will the bubble burst in 2024, and send house prices crashing by 50 percent or more?

According to one economist, the ‘everything bubble’ is about to pop. Leading to the deepest depression we’ve ever lived through.

If that happens, what will continue to make real estate stand out as an attractive investment? What’s the best way to take advantage of the dip, without having to wait and hope that the Fed cuts interest rates?

The Everything Bubble

Economist Harry Dent predicts the worst depression of our lifetimes coming in 2024. This time it will be deeper and longer. With asset prices falling across the board.

He forecasts that stock prices will fall by around 90%, and crypto by close to 100%.

Additionally, in contrast to 2008, when he says property prices fell by around 30%, this time he says they will fall by 50%. For those that experienced 50-70% property price declines in the last financial crisis, this one would see them far even lower.

The primary reason for this is being blamed on 100% artificial inflation since the wake of 2008.

Real Estate Is Still The Most Attractive Investment

While trading prices may temporarily stumble, at least real estate offers a tangible asset. One that can bounce back. As well as being able to produce strong cash flow streams, regardless of paper valuations.

We could see a lot more demand for real estate in a period like this. As savvy investors are going to need a flow to preserve their capital, more income sources, and want to buy when prices are low.

The Best Investment Strategy

If you also anticipate a hard correction, or just aren’t sure about the direction of the economy in 2024 and beyond, then wholesaling real estate seems to be the best strategy.

It enables you to be in, out, and paid before prices change.

With Best Transaction Funding you can also take advantage of rock bottom interest rate deals right now. No need to wait in hope of the Fed cutting rates in the run up to the November election.

What’s your forecast for house prices in 2024? How will you navigate the market successfully?

Hurricane Idalia is yet another fresh reminder of how every area has some disaster risk.

As a real estate investor it is all about understanding how to mitigate, balance, and profit from that risk, in the right way.

Every disaster threat, from seasonal hurricanes, to wildfires, and snow storms bring their threats and opportunities. Both before and after they hit.

Pre And Post Disaster Real Estate Offers

Many sellers will be willing to offer big discounts, just to get out and put some cash in their pockets before a coming disaster, or disaster season.

If you have the stomach for it, and good strategy and tactics that mitigate the risk, you can acquire properties at deep discounts that end up not being impacted at all.

Post disaster, many owners will just be too scared to go back, or tired of living through these annual storms, even if their properties were not affected at all.

Of course, you should always have properties inspected after a disaster like this, or price your offers to include the worst case scenario. It is not uncommon for unscrupulous investors to try and cover up flood damage and mold.

Get your Proof Of Funds from Best Transaction Funding now, so that you can get out there and make offers with confidence.

Making Offers With Care

Just because sellers are highly motivated or desperate does not give you a pass to abuse them. Make offers with care and etiquette that help them. While allowing yourself to be fairly compensated for your part.

Just as it would be in pretty bad taste to be calling your tenants demanding rent right in the middle of a hurricane. Or making your team be out on the job in unsafe conditions, without giving them time to protect their homes and families first.

After the storm, you need to consider how you will kindly deal with desperate renters applying or buyers who need a roof over their heads.

Often during the post disaster period property prices can actually skyrocket due to reduced inventory, and thanks to many buyers being rich with cash from insurance payouts.

Submit your Funding Request and get your next deal financed today.

Insurance

Even if not necessary, insurance can be wise in these circumstances. Just understand all of the loopholes insurers use not to payout, and how long the lag time between damage and claims being paid can be. It is not uncommon for that to take years, and lots of negotiations.

Investment Strategy

Some areas will just keep on getting hit year after year. Some will keep rebuilding. Others will grow tired and give up. Or authorities will acquire land and temporarily block development.

Consider whether this is a good area for a buy and hold, construction heavy fix and flip, or just a fast in and out wholesale deal.

Check out our MEGA interest rate sale, with rates from just 1% this fall!

As capital flows get interrupted and shut down, and borrowing becomes much more expensive, what options are left to fund your real estate deals and business?

Capital Markets Face New Tightening Again

It appears to be that time in the cycle again when capital and credit tightens up, and becomes much more expensive.

Capital markets and especially venture capital for tech startups appears to be contracting. Which will likely prove to be a downward spiral as more of those businesses implode, and their investors become even more fearful.

Failing banks mean fewer options for traditional commercial loans and home mortgages. With higher interest rates making borrowing more expensive through these and other working capital channels.

New regulations to tackle the above may in turn give banks even less liquidity to lend.

So, what are some of the ways that you can continue to fund your real estate business and deals?

Private Funds

Some private funds may still have capital they need to deploy. Or cash from recent exits that they need to put back to work in real estate and mortgage loans.

Friends & Family

Many of the people in your life are currently also eagerly and urgently looking for ways to protect their money from failing banks, a declining stock market, and poorly performing retirement accounts. All while trying to find ways to avoid recent tax hikes and new taxes, while trying to keep up with extreme inflation.

You can help them by putting their money to work, and giving them strong returns.

Grants & Awards

If you are interested in interest free and non-dilutive capital then look around at the various grant programs and competitions available.

You may find additional funds that don’t have to be paid back. Which can also help build your credibility.

Transactional Funding

Perhaps easiest and most efficient of all is transactional funding for your wholesale real estate deals.

Best Transaction Funding can provide 100% financing for your deals, at low rates, and keep your business and income flowing smoothly during these times.

What’s the smart way to trim your real estate business expenses to survive this phase or the market, so that you can thrive and scale?

The Problem Facing Many REI Business Owners

The vast majority of real estate business owners, investors, and agents have not experienced this phase of the economy and market before.

In just a few weeks they have gone from denying that it is possible, to being on the verge of panic as they see it happening.

Many are experiencing stress and fear as property prices and deal flow changes, and they see many real estate brokerages making massive layoffs, and lenders losing their credit lines and redying for bankruptcy.

What’s ironic is that we are entering the best part of the real estate market for buying the best deals, and making the most money. Many are right on the brink of success, if they would just hold on, tweak their real estate strategies, and optimize their finances and operations.

There are going to be millions of property deals coming, and with Best Transaction Funding they can finance 100% of their acquisitions.

To Quit Or Not To Quit?

You only fail if you quit.

Many may be quite happy going back to day jobs and hourly pay working for someone else in a different industry, if they can find anyone hiring. Yet, for those who are truly entrepreneurs and business owners, giving up now will be a choice that will haunt them for the rest of their lives.

If you really don’t want to put in the effort to keep going, then consider your options before you just throw in the towel and shut it down.

You could potentially sell your entire business and at least wrap it up cleanly and walk away with some cash to get you through the next phase of the economy.

Alternatively, you could merge your business with someone else, or just sell off your assets. This may include your data, other physical assets, and portfolios of properties. There are plenty of other investors who want to buy them.

Where To Cut Costs

This is a good time to trim frivolous expenses that are eating up your cash flow and profit margins.

Subscriptions and software can add up fast, yet are often underutilized. Review your accounts for all those you are still paying for, and cancel all but the essential.

The biggest area to cut for those still working old school is their office and business premises. Not only is having an office unnecessary, it is putting you at an extreme disadvantage against the competition. Both financially and in terms of productivity.

You can also cut labor on unnecessary activities. Like meetings, or low yielding busy work that doesn’t increase profits and revenues.

Where NOT To Cut Costs

Whatever you do, do NOT stop marketing.

If you stop marketing, you stop bringing in deals and dollars. Your business will die. Just more slowly and painfully than if you just shut it down now.

Also be wary of laying off your best talent. You cannot replace great talent with lower quality talent, and expect for things to go well. It is counter productive. If you lose your best talent to the competition, they will use it against you. It is hard to find, harder to keep, and easy to lose.

If you can’t afford your current wages, then consider temporarily reducing and minimizing their hours, until you get your deal flow going again.

We are excited to spotlight another successfully funded house flip for one of our great investor clients.

This month one of our investors executed a fantastic wholesale deal. Generating a $235k gross profit in just one day.

Even better, we were able to fund 100% of their deal!

Deal Spotlight

Imagine if you could do deals like this every day…

 

Purchase price: $500k

Funding amount $508,500

Resale price: $735k

Property type: SFR

Location: Southern California

Rate: 1.75%

Time to flip: Same day closing

Here’s how it went down on the A to B transaction, and then the B to C transaction on the same day.

 

 

Funding You Can Count On When You Need It

While other real estate lenders out there may be pulling back, tightening up, and raising their rates, Best Transaction Funding is still here, funding deals, and at our same great rates.

Our transactional funding for wholesale deals still provides 100% of your funding needs for rapid deals.

You don’t even need an appraisal or good credit. It doesn’t matter whether you are a full time self employed investor, or just got laid off from a big tech job and are diving into real estate. We’ve got your back.

 

We love funding big deals too. Bring us your wholesale deals for funding of $500k or more and see how we can help.

You can request your Proof Of Funds on our site right now, and go out and land those deals today.

Get Featured

Do you have a great deal story you’d like to share?

If you’ve recently funded your deals with Best Transaction Funding, or have a closing coming up, and would like to be featured, let us know.

You can inspire others with your success in this space.

 

We are glad to celebrate one of our recent clients who just completed a $2M wholesale flip with our transactional funding!

Empowering real estate investors like you to succeed and thrive in all market phases is what gets us excited, and out of bed in the morning.

As a part of our new Deal Spotlight Series we are going to be highlighting those who are out there doing great deals.

This month’s is a special deal that we hope will inspire you to go even bigger with your own investing.

$2M Wholesale Deal

We recently helped this investor acquire an over $1.9M property, and instantly exit it for $2.7M. Deal Specs:

Funding date: 2/17

Purchase price: $1,939,524.63

Loan amount from BTF: $1,939,524.63

Property: Mid-rise office building in Arkansas

Resale price: $2.7M

That’s a nice spread for any investor!

Highlights:

LTV: 100% funding from Best Transaction Funding

Closing time: Funded in just 3 days from receiving final HUD

Rate: 2% case by case

This was a great back to back closing. Special thanks to Title for getting it done.

A to B Closing Statement:

B to C Closing Statement:

Your Lender Of Choice For Large Wholesale Deals

Best Transaction Funding is your lender of choice for funding your larger loan amounts and wholesale deals.

We love helping you close big deals.

If you are looking for transaction funding especially for $500k plus transactions you’ll find we have the best rates and terms.

We’ve remained a true transaction funding lender. Offering 100% financing for wholesale real estate deals, and can fund closing costs. All with no credit check or appraisal.

We close deals, and we close them fast.

We are especially proud to be your partner in this market as you build up your volume, and expand into other areas. BTF funds deals nationwide.

Submit your deal and funding request, get your POF, and make those offers today!

 

Plus, if you are already funding deals with us, let us know if you’d like to be included in this new Deal Spotlight series by dropping us an email.

 

While there may have never been a stronger real estate market, there are certainly some quirks happening out there. Where do you get the money to fund your real estate deals now?

New federal mortgage servicing rules may be exasperating mortgage lenders, while landlords continue to try and battle for evictions. At the same time, banks like Wells Fargo have either increased credit requirements for loan products, or have ended loan programs like the home equity line of credit. More recently Wells Fargo just surprised its customers with a last minute notice that it will be cutting off all personal lines of credit.

Plentiful Deals, High Demand

While some types of inventory have been tight, and prices have hit new record highs, there are still plentiful deals to do. In fact, with many home flippers sitting on the sidelines over the past year according to Bloomberg, there are still endless investment deals to be done. The retail market may finally be moderating according to NAR and the latest data, but right priced properties are still in high demand.

There’s a whole buffet of deals to be done, and scaling up volume now while the end buyer market is still there seems like the intelligent thing to do. For most it is just about having all of the capital to do it.

Transactional Funding

Transactional funding is still available for real estate investors. This is the easiest investment capital to get your hands on to fund your deals.

Best Transaction Funding doesn’t require a credit score, appraisal or income verification. That means no headaches if you missed some work or your income stalled during the pandemic, your bank hurt your credit by cancelling your credit line, or you just load up on too much toilet paper and other supplies on your credit cards. You can make offers with confidence, without worrying about appraisal issues, while being able to close in just days.

Real Estate Wholesaling

Transactional funding is specifically designed for real estate wholesaling. The lowest risk and highest reward real estate strategy to deploy in this current market.

Whether you are just getting started, need to fill gaps in rental income while waiting on evictions, or need to put lump sums in the bank to make up for lost credit lines you were counting on to finish rehab projects, wholesaling could be the ideal solution.

 

 

 

This is one of the best phases of the real estate market for wholesalers. There is a strong mix of distressed properties and motivated sellers, as well as demand from buyers looking to relocate.

New wholesalers should find this a fantastic time to get in the game. Experienced investors should be scaling their businesses fast.

Still, no one wants to get caught holding dead weight properties. It doesn’t take many of those to pull you down and eat up your other profits. So, here’s how to be more confident in taking on deals, how to find more of them with less competition, and how to lower your risk and do more at the same time.

Build In A Downside Cushion

Most experienced investors started doing this the minute that COVID-19 hit. While so far the US housing market seems to have kept going up, with no lack of demand, there appears to be a lot of financial distress and defaults happening under the surface. There’s no telling when it will pop. Though if you build in a little extra cushion to your deals, then you should still be able to exit profitably, even if prices come down 10% overnight. This will also help in case mortgage lenders start backing out on your buyers at the last minute, or are cutting loan amounts to account for declining markets.

Check Closed Sales

At first glance the market seems to be incredibly strong. Listing prices are skyrocketing, and if you throw up a house listing ad on Craigslist you are bound to get a lot of messages, calls and even showings.

It is vital to differentiate between the lookers and pending sales versus how many transactions are actually closing. Check out the latest closed sales data. What are the real prices and any contributions or other adjustments that alter the net sales price?

Be sure you are pricing your offers accordingly. It is also worth prescreening buyers and compiling a list of those who are qualified, so you have them ready to go in advance.

Look For Aged & Expired Listings

In spite of how hot the media, Realtors and other investors say the market is, many listings have still been sitting on the market for a year or more. Many investors have been holding dead weight properties for at least that long. Big liabilities which cost them money every month.

Sellers can feel spoiled for choice when they first list and get lots of lookers. None of those deals may materialize. Or they just get burned out from talking to too many buyers and hosting too many showings, without a closing.

Then after a few weeks those listings get ignored. They are buried under all the new ones, and no one sees them.

This is a great time to go back to older listings and expired listings, while owners may be refreshed and yet more motivated to unload their homes to any true cash buyers.

Use 100% Financing

You want to go fast during these times. Don’t miss out on all the opportunities. Of course you don’t want to take on extra risk in uncertain times either. Using 100% financing and transactional funding is ideal for this. With no skin in the game, and deals already sold before you buy them, not only are you looking at pure profit plays, but no risk to your own capital.

Many other lenders may be cutting back, but Best Transaction Funding is still here. Ask about our VOD service today so that you can get out there and make more offers.

 

The coronavirus pandemic has unexpectedly affected every aspect of our lives, delaying tasks and cancelling plans. If you are a wholesaler, house flipper or investor, you know the real estate market was not left unaffected. The initial market projections for 2020 have drastically changed.

But real estate is not dead. As the economy bounces back, so will the housing market. Realtor.com Chief Economist Danielle Hale recommends taking advantage of the online resources available. Interested investors can pursue listings online, communicate with the owner or seller by phone or email or text and complete transactions all in the comfort of their home, virtually.

There are a couple of challenges. Some owners, sellers and Realtors are being unrealistic. They are asking for far too much, or far too much down. Others think they don’t need to sell yet as foreclosure and eviction moratoriums drag on. This will bite many owners and investors over the coming months as they lose properties or have to sell at far steeper discounts.

So, as you wait for things to sort themselves out, what is the best way to make so COVID-safe additional money?

Stick to your numbers and find deals that you are confident will work. To keep up your income in the meantime, look for new ways to generate revenues and cash flow.

Best Transaction Funding has a deal to help you with this. Join our affiliate program and get a 10% fee on your referral’s transaction. If others are beating you to the deals, at least you can make money on all of those deals, without even having to do the work.

How does it work? Simply introduce a friend, family member, peer, client or other investor to the lending services of Besttransactionfunding.com.

The easiest and most convenient way is to automate this process with your own custom referral link. Send it directly to them, or post it online and let it work while you are sleeping and looking for other deals.

Otherwise, the introduction can be active, by promoting BTF’s 100% financing for real estate wholesalers on your social media and in online forums, texting and emailing your network, and recommending them when out there networking.

You can also email us to introduce your referral. You can also tell the referral to mention your name when they contact us, or for them to enter your name under “Referred by” and “Please specify” as they finish their funding request form.

 

Thanks to the COVID-19 pandemic, many 2020 graduates are having a hard time following their original plans. Employment options are scarce, and money is running low.

Real estate wholesaling can be a platform for professional growth, income and an opening to a different career path. It requires no previous real estate experience, no construction knowledge and can be done COVID free. It may be a more unconventional path for those who recently went through college and thought they were headed to corporate America, so how does it work, could it be for you?

Wholesaling is a practice popular with rookie investors and experienced real estate enthusiasts alike. The wholesalers essentially work as the middlemen of the real estate world. They are in charge of finding good properties, assessing them, and selling them to other real estate investors and home buyers..

How does it work? Through networking, both with acquaintances and online, attending REIA (Real Estate Investors Association) meetings, marketing and new online tools the wholesaler meets people interested in selling their property, and people interested in buying it. The best properties for wholesaling are those which are undervalued or are owned by motivated sellers..

The wholesaler will meet with the property owner (virtually or in person) and, once the price is determined and the owner agrees to contract conditions, the wholesaler negotiates a deal with a final buyer and creates a percentage profit for themselves.

While wholesaling requires no experience, it takes some marketing, making it a perfect opportunity for business and communications majors alike. A successful wholesaler needs to sell their property and themselves to their clients. No one will sell to or buy from an unprofessional or untrustworthy person. The wholesaler creates rapport by listening to the buyers’ needs and offering them properties of their preference. They treat their property owners respectfully and list the contract conditions clearly.

For graduates looking for an income and career with minimal risk and high returns, wholesaling may be the steppingstone to their new lives.

Best Transaction Funding also offers a referral program which enables you to earn simply by referring other wholesalers to lenders who will provide them 100% of the funds they need to buy property.

 

How risky is real estate investing really?

Investing in real estate is often promoted as a super low or zero risk business or investment. All with many great benefits. Yet, many would be investors get stuck on the sidelines, worrying about risk. It paralyzes them into inaction.

So, what are the real risks? How can you eliminate and minimize them?

What’s The Real Risk?

The truth is that there is no such thing as a 110% risk free investment. They don’t exist. Just like there is no guarantee you won’t slip and fall getting out of the bed in the morning, or a plane won’t crash through your roof and get you in bed in a freak accident if you don’t get out of bed each day.

In real estate there is a risk that property values will fluctuate, that malicious tenants and employees will try to sue you, that scammers will sue you for your website features, that tenants won’t pay, or even there could be an earthquake, wildfire or global pandemic virus that prevents you from collecting rents.

However, small the chances, these are potential risks. The most important question that investors should be asking is whether the risks outweigh the rewards or vice versa? Or even more critical, does failing to invest in real estate bring even more risk than doing it?

What if you don’t invest in real estate? What if the money under your mattress gets stolen or is devalued due to inflation? What if your own home catches fire and burns down? What if your bank goes bankrupt or leaks your information and you lose all the money in your checking and savings accounts? These may actually be more serious risks than investing in real estate.

What if none of those things happen, but you one day simply can’t work anymore or are laid off, and don’t have enough money for you and your family for 30 years of retirement? All because you didn’t invest in real estate.

When you dig in. what’s really scary is NOT doing it.

Ways To Reduce Risk When Investing In Real Estate

It seems far less risky to take action and invest in real estate. Yet, it would be foolish to completely ignore the potential risks either. Fortunately, there are several ways to minimize these risks, and boost your upside potential.

The top risks of investing in real estate seem to fall into these buckets:

• Falling values of properties you are holding onto

• In ability to collect consistent rents on properties you are holding long term

• Malicious business and personal injury lawsuits

• Exposure to losing any money you have tied up in properties

 

Here’s how to crush that risk…

Get Insurance

Insurance can help defend and against direct loss and damages to properties, as well as potential lawsuits.

Use Financial Leverage

If you don’t have any of your own money tied up in a property, then you can’t lose it. If you pay all cash for a property and sit on it, you are a target for lawsuits. So, what if you were able to use other people’s money to fund 100% of your investments? You’d have nothing to lose and everything to gain. That’s exactly what Best Transaction Funding does for you.

Secure Your Profits & Exit In Advance

The smartest, wealthiest and most successful investors don’t put out a penny unless they know they have a dollar coming in. They don’t buy inventory unless it is already presold. You can do the same thing with real estate through wholesaling and reverse wholesaling too. Find the end buyers, use transactional funding to finance the deal, and you are in, out and paid right away. You know you are going to profit before you buy a property, or spend an hour looking for one.

 

A VOD is a vital piece of the puzzle for real estate investors. Why do you need one? How can you get them legally?

With many more new entrants to real estate investing this year, and more landlords and rehabbers turning to wholesaling to diversify their strategies and bump up their incomes, VODs are becoming more in demand.

What Is A VOD?

A Verification Of Deposit (VOD) provides proof that you have access to enough funds to buy a property and close on the transaction.

It is a printed document direct from a deposit banking institution verifying how much money is in an account.

Why You Need VODs

As a real estate buyer you won’t even be able to view properties or make an offer without proving you can pay for it. The sellers and their real estate agents don’t want to waste their time unless they know for sure you can follow through.

A VOD is the perfect way to do this. It shows enough money in a bank account to cover the purchase price, closing costs, and any other requirements, like assets in reserve.

This is exactly what you need if you are wholesaling or flipping, and doing back to back closings.

Even if you are buying a home to live in, or plan to rehab and hold it, but are getting a mortgage loan, your lender will almost invariably request a VOD in the process to verify the amount of cash you said you had on your loan application.

What’s Important In A VOD?

There are four important factors when obtaining and providing a VOD.

1. It is for enough cash (purchase price, closing costs, several months of reserves)

2. It’s time sensitive: most will require it be dated within the past 30 days

3. You have it in hand before you find a property: you need to be able to make instant offers when you find a deal, and even to get in to view properties

4. It’s real: falsifying real estate and mortgage documents can carry lengthy prison sentences

VODs can become even more important when sellers and agents are concerned about the economy, market, and protecting their commissions.

To help both new and existing investors get through the post COVID-19 situation, and thrive, Best Transaction Funding is providing a special $99 offer on our VOD service. Request a VOD to get your VOD and be prepared for success!

 

How can you boost your deal volume and the dollars coming in as a real estate wholesaler right now?

Many property investors are struggling to adapt to the new landscape. For many, their normal channels of business may have been disrupted and may or may not be for quite some time. The good news is that you can keep up and even grow your deal flow and income.

One way to do this immediately is to step up to help other investors. They are struggling too.

One of the most significant members of this group are landlords. Many have tried to step into this business since 2008. Many were tricked into thinking we wouldn’t face another turn in the cycle. Or they grossly overpaid for properties. They had no sustainability plan for something like this.

Many bought places relying on overpriced Airbnb rents. Most of that market has disappeared. It’s even illegal in many places right now. With unemployment heading for 50% or more, at least 30% of renters didn’t pay their April rents by the 9th of the month. Eviction bans mean they can’t get occupants out. Even more than not being able to weather this financially, landlords are scared.

They want their cash out. They can’t get good terms on refinancing, if they can even get loans at all. They need liquidity. You can buy their properties and bail them out.

Then flip  them to investors who are buying. There are plenty who are. Especially big funds. In NYC one family just bought 8 condos they plan to rent out after the crisis. You can even do this in bulk. Put together the portfolios to sell at once to a bigger buyer.

Best Transaction Funding is still funding deals. We find 100% of your purchase price when wholesaling properties.

How are you growing your business now?

 

With much of the world facing being locked down and quarantined, what are the top tools for investors to use to keep flipping houses and bringing in an income?

Whether it is the 2020 COVID-19 lockdown, the next one after that, or simply moving to a more efficient and profitable business model, here are some of the top tools to be using now.

Mailchimp

Email is still one of the top ways to communicate. Especially in real estate. If you slacked on building your list before or just haven’t worked it well, this is a great time to start. Mailchimp is one of the fastest email services to set up. It is one of the easiest to use. It is free for most small users. You can even use it to create popups, forms and landing pages.

Close.io

Close.io is a simple to use cloud based CRM. It is also packed with awesome features, such as one click calls, the ability to text message leads and record calls. Use it to manage and nurture your leads and your team as you work remotely.

Whatsapp

Video calls are becoming more important. Especially for those who really hadn’t grasped the ability to work virtually before. You can use it for file sharing, team meetings, working with buyers and sellers, as a live chat tool, and for video tours, showings and inspections.

There is a lot of buzz about Zoom right now. Of course Zoom is also now one of the most targeted apps by hackers looking to take advantage of the chaos.

FaceTime and Google Hangouts are options for simple chats and video calls. Whatsapp stands out with a large user base around the world, easy use on both Apple and Android devices, as well as a desktop version, and being able to use it over WiFi in case of phone service issues.

Google Drive

There are lots of project management and collaboration tools out there. Be wary of getting lost in exploring them, learning them and getting your team to adopt them, as well as adding extra overhead. Most people already use Google tools. Drive is free. It’s easy to use for collaborating on documents in real time, storing files, and much more.

Best Transaction Funding

We could once again see many lenders and banks failing, as well as small private lenders pulling back. You’ve got to have leverage. Access to more leverage will help you move fast and lower risk, while doing more deals. Best Transaction Funding is still financing deals, with up to 100% LTV loans. Use it.

 

 

These companies could have the power to change the real estate industry.

For better or worse, these companies could be shaking things up in the real estate market. Know who they are, how they can help, and the risks they can bring.

1. Zillow

Zillow is a big beast. They’ve been one of the most controversial companies and websites in the real estate market since they launched their horrible flawed Zestimates. Now they’ve bought a mortgage lender, are trying to take over renting and property management, and are now trying their own hand at flipping houses with Zillow Offers. They say they plan to buy 5,000 houses a month. Or at least use this as a powerful lead generation tool to feed leads to their agents.

Aside from manipulating values, the biggest risk Zillow represents is if it fails. They already report they are losing over $45M every three months on Zillow Offers.

2. Opendoor

Opendoor is one of those new giant iBuyers or online wholesalers. They are armed with hundreds of millions of dollars in venture capital and have forged a partnership with real estate brokerage Redfin. Just like OfferPad has done with Keller Williams. They aren’t buying everywhere, or every type of property. It’s a great example of what you can do as an individual wholesaler when you have unlimited funds to buy and flip fast. You can do that using Best Transaction Funding to finance your deals. Again, the real risk here isn’t the competition, it is if they aren’t buying at the right numbers and fail and turn off Wall Street and the big funds behind them.

3. WeWork

WeWork is a great example of what’s possible in terms of going big, and also how to fail hard by overstretching and having an unsustainable business model. Worth close to $50B a few weeks ago, the office giant’s valuation has just been revised down by about 75%, to less than the $12B they’ve borrowed.

4. Zurixx

You may not have heard of them, but Zurixx is behind the education programs recently promoted by HGTV star Tarek El Moussa. They just got hit with an FTC investigation and order to stop due to being misleading, and charging high fees for training that may not produce the promised results. That could end up shaking up the real estate guru space. More notable personalities in this side of the industry are going to have to find new ways to market if they are going to stay in business.

5. Google

For real estate investors who are relying on PPC ads and SEO, Google has all the power to shut the flow of business off overnight or hike the costs of lead generation. The same goes for Facebook. Be very careful about betting everything on third party platforms.

6. Amazon

Amazon has been looking for its angle to take over the real estate market for a long time. It may have already found that in selling homes online.

7. Haus.me

Haus has created a whole new generation of houses. They can withstand earthquakes and hurricanes, and are reportedly even zombie proof. They produce zero carbon emissions, can run completely off the grid, and you can take them with you when you want to move. They are also highly autonomous and packed with new smart home tech. It could completely change what we expect from housing.

 

Still spinning your wheels trying to get started in real estate, or to just do more deals? Here’s the silver bullets you need…

You may have been breaking your brain on how to start investing in real estate for months. Or maybe you are already doing a fair amount of deals, but it just isn’t enough. It just isn’t maximizing your potential. Procrastination is the biggest monster to slay when it comes to making progress. That still applies, even if you are doing 12 deals a year, but are spending most of your time being busy instead of productive.

The Two Most Common Excuses

There are two extremely common excuses that people hide behind:

1. Time

2. Money

People say they don’t have enough time or money. Yet, they seem to have plenty for the things they are really passionate about. Here’s how to hack your way out of being “too busy,” and the “if only I had a little more money,” zone.

100% Financing For Your Real Estate Deals

Best Transaction Funding offers 100% financing for your wholesale real estate deals. If you don’t need any cash to buy and close on as many properties as you can find there is nothing holding you back. Your returns are off the charts. Your risk is pretty much as close to zero as you can get.

How To Hack Time & Make Progress

The first step to breaking through the time excuse is to feel the urgency. If you don’t like your current financial situation, or don’t think what you are doing now is going to cut it long term (and it’s not), then let that push you. The bottom line truth is that you’ll never have more time. Not until you start shifting how you use it.

If you need more urgency, count the days you might have left to change your situation and the future for your family. It’s not that many. Especially, once you deduct sick days, sleep and eating.

Recognize that every day you keep doing what you are now, you are stealing quality time, and financial progress from yourself.

Next, start blocking out your calendar.

If you leave it till later, there will always be something that sucks up your time. You’ll always be too tired or find an errand to run.

Beat that by blocking out your time to work on your real estate investing first. First every day. Black out your calendar for it. Set reminders for your inboxes. Refuse to do anything, until you’ve put in an hour or two on the most important next tasks. That’s probably making offers or talking to potential buyers.

Maybe you’ll have to get up a little earlier, or push other activities back. Just do it.

Do it even if you have a job or have to get the kids to school. Don’t let yourself do those things until you’ve got your prime time in taking action. If you refuse to do anything else, you’ll get this done. Even if it is the fear of the school truancy officer knocking on the door or your boss firing you.

Next, make the first day of your week all about taking the most important actions for your real estate investing. Block out your Sunday or Monday and only work on this. Then you’ll be blazing into your week with your most important tasks already done.

 

Wholesaling just seems to be getting hotter and hotter. There are a lot of educators promoting virtual wholesaling, and droves of new investors seem to be taking to it. Some are making $100k a month. Others are still spinning their wheels and trying to make those first dollars.

No matter what scale you are operating at, here are some of the most frequent mistakes wholesalers are making now, and how to beat them to really get deals done, put more dollars in the bank and keep things flowing smoothly.

Taking the Long Route

There are so many marketing funnel and channel ideas for trying to get leads, find sellers and push out to buyers and raise money today. Some are great. Most are just really long detours and excuses not to just pick up your phone and do some prospecting and make some offers. Make money, then you can get fancy.

Follow Up Fails

The number one plague on the real estate industry today is lack of follow up. Realtors and wholesalers are getting plenty of inbound leads, even without a big investment or beautiful materials. They waste the majority of these by not following up. Sellers and buyers and lenders shouldn’t have to follow up with you. If you want the money, deals and sale, you’ve got to follow up relentlessly and fast. If you can’t respond to leads in the first all important 5 minutes, then you need to hire some kind of help.

Not Considering Other Exit Options

Finding cash buyers is great. There may still be many out there. Best Transaction Funding would love to fund your back to back closings on these deals. Though if you are getting a lot of other types of offers, don’t just waste the opportunities. Every lead should be treated like gold. Respond well. If they aren’t a fit for this deal, put them in your database for upcoming deals. If you are getting a lot of buyers wanting seller financing, maybe it’s worth taking some of those. Don’t get stuck in your model. Be flexible.

Not Analyzing Pricing Well

Whether it is greed or being out of touch, many resellers just seem to be asking for a lot today. They aren’t doing the math as a wholesaler, and what it will take for an other investor to acquire, renovate and exit that deal. Some ‘wholesale’ deals are being priced like new construction. Think about it. If someone can build a brand new place on a similar lot for what you are asking for a beat up rehab project, why would they? Especially if you are demanding all cash?

Not Knowing What You Are Selling

It is completely possible to flip houses sight unseen. Yet, if you don’t know the condition or what’s on title, you can’t price it right or pass that info on to your end buyer to make a good decision or offer. The more you can get a handle on repairs and the equity, the better you can present to your buyers, de-risk it for them and streamline  the resale transaction. All with far less likelihood of the deal blowing up.

Getting Cut Out of Deals

Unfortunately, there are a lot of greedy people out there. Both Realtors and investors keep finding buyers and sellers try to cut them out. Wholesalers are especially vulnerable when trying to do assignments or simultaneously closing using the buyer’s funds. Instead, do two transactions using transactional funding, so you become the owner and are the only path for them to get the house.

Not Empowering Your Team

If you are hiring people, and then micromanaging and spending more time managing than it took to do the job in the first place, just do it yourself. Save the time and money. Of course, it is far smarter to hire help and then get out of their way so they can do what they are the experts at.

Steve Jobs said. “It doesn't make sense to hire smart people and tell them what to do; we hire smart people so they can tell us what to do.”

 

What are the best Father’s Day gifts real estate investors can give this year?

Father’s Day 2019 falls on Sunday, June 16th. Hopefully we all got to do a lot for moms this year already. This is the chance to celebrate and give something great to all the dads out there. Real estate investors are uniquely positioned to have a great impact. That applies whether you are a mom in the business, a son, daughter, or a father yourself. It’s true whether you are a veteran with your own real estate empire already, or are just starting out in real estate wholesaling.

Quality Time

Fathers typically don’t cut themselves enough slack. They work a lot and rarely take the time they need to avoid burning out. So, one of the best Father’s Day gifts this year, is to give that to them.

If you run a real estate investment business and have fathers working for you, give them the day off. Even better, give them a long weekend to do something special. For the fathers in your life, take time out with them and make new memories, a new tradition and really focus on that quality time.

Share Your Knowledge

Whether all of your money is locked up in transactions or you are flush, you can share your knowledge. That can be one of the most valuable gifts of all. One that no one can take from them, won’t get stuck in a closet or lost in the mail. However little you think you know about real estate investing, it’s probably a lot more than most. Teach your dad, your son, or host a local Father’s Day brunch and train a dozen fathers on how they can make more money and enjoy more free time all year round.

House Deals

You’ve got house deals, give some of those. If there is a father in your life that really needs to conquer their housing situation, maybe you can even gift a cheap home and let them work on it. Or maybe offer a special deal for the weekend.

Bail Outs

You can bet there are a lot of fathers out there who won’t sleep tonight, thinking about how they are going to catch up on their mortgage payments and property taxes. Or where they’ll move their family to when that foreclosure gets finalized. Help them out. Maybe this is a good time to go back to all those leads who weren’t motivated before, and offer them a small bump up in your offer and some relocation help.

Money

One thing no one ever seems to have too much of is the money. That’s especially true for those struggling to make ends meet in a regular job, as well as those wanting to get started in real estate wholesaling, or to up their game. Maybe you can back them on a deal. Or if you don’t have much to spare, turn them onto Best Transaction Funding for financing their first or next wholesale deal. We even offer a referral program so you can get paid too. Or if they have the money, maybe what they need most is the opportunity to invest with you.

What will you give?

 

Low priced homes aren’t always cheap deals. Watch out for these factors that can turn cheap houses into really expensive investor nightmares.

Trees

This California couple just got hit with a $600k fine for moving an oak tree on their property. In other cases storms have knocked down trees, that the city has hauled away before hitting owners with fines for not obtaining permission to remove them. In order to sell owners have had to get permits for removed trees, and plans and permits and plant new trees before they can sell or refinance. It’s not the kind of quirk you want to find out on the day of your scheduled closing.

Mandatory Renovations

From Sicily, Italy to Ohio, you can find homes for sale from as little as $2 to under $20,000 from the government. While there may be good deals to be found in cheap properties like this, many come with the requirement of investing over $10,000 in rehab within a very tight timeline. Or you lose it all. Make sure you know the details and can follow through before getting in.

Moving Costs

There are even free homes out there. The catch is that many need to be moved and can cost more to move than they are worth. That’s certainly the case with this inherited home in Minnesota. There are also many mobile homes out there for sale for under $20,000, but which may cost just as much to move and setup and renovate on a new lot.

Illegal Use & Code Violations

New investors are often fooled into buying properties that have major code violation issues. Often they slip through the cracks until after you close on them. This can be failing to have permits to block up a window or door, illegally separating rooms for Airbnb rentals, and garage conversions, as well as landscaping violations. In Estero, Florida, some homeowners are now being fined more than their properties are worth for simply failing to cut their grass. Those are six figure fines. If you have to go get permits and do construction to change a property, it could easily set you back over $10,000. A lot of these properties end up in foreclosure.

Holding Too Long

From freak blizzards to hurricanes, to rezoning, squatters, vandalism and changing market dynamics, there are many issues that can hurt investors to hold onto properties for too long.

On the bright side, investors who do their due diligence upfront can typically spot most of these issues and use them as great negotiation tools to bring down their costs. Using Best Transaction Funding, they can then be flipped instantly for great profits, without the risk of holding.