Real Estate Investing 101

26280 Pinehurst

2011-08-14T13:42:00.002-04:00

The Power of Persistence

2009-04-20T14:26:00.003-04:00

There is a quote from Calvin Coolidge that I'd like to share:

"Nothing in this world can take the place of persistence. Talent will not; nothing is more common than unsuccessful people with talent. Genius will not; unrewarded genius is almost a proverb. Education will not; the world is full of educated derelicts. Persistence and determination alone are omnipotent. The slogan "press on" has solved and always will solve the problems of the human race"

This is a very powerful message. People seem to think they need to have some special abilities in order to achieve great things. All you need is a keen focus and a stalwart belief in your success; whatever the goal may be. They will give you strength to persist through the inevitable hurdles that will hinder your path.

Kelvin Gray
Mitten Homes, LLC
http://www.BuyHouseDetroit.com

Internet Marketing

2009-04-16T10:11:00.004-04:00

It is estimated that 80% of people who are looking to buy a home start their search on the internet. These numbers have increased dramatically over the past few years. What does this mean? If you are not leveraging the power of the internet to bring in leads, you are hurting your business. Here are a few ways to utilize the World Wide Web in your real estate business:

1. Blog - Blogging gives you a way to connect to your audience while building your brand name. When blogging, you want to make sure you are providing good content in order to capture the reader's eyes. Don't just copy someone else's blog...you want your personality to show through with the way YOU interpret things. Also, getting a blog site is not as hard as you may think! Sites such as http://www.blogger.com/ make it quick and easy to start.

2. Video - Nowadays, people like reality shows. What better way to take advantage of this than to market yourself on camera! Now, I'm not talking about using these giant TV production cameras...you can use your webcam! If you don't want to be confined to your desk chair, you can visit http://www.theflip.com/ to learn about Flip cams. Record your video and simply plug it into your computer for an automatic upload. This is a must have for those that are not computer/tech savvy. Quick tip: When recording your videos, just be yourself! When you are ready to broadcast, upload your video to a video sharing site such as http://www.youtube.com/

3. Website - Creating a website will validate your business. It is very easy and cheap to buy domains these days. Visit http://www.godaddy.com/ to search for domain names that are not in use. Once you buy a domain that suits you, you will need to build a site (or have someone do it for you). Visit http://www.bluevoda.com/ for an easy to use website creator. This is a great choice for a good, clean looking site if you can't afford to pay for a professional site.

The key for marketing success on the internet is to use ALL three of these methods in conjunction with each other. When used properly, they create a perfect storm for getting leads!!

Kelvin Gray
Mitten Homes, LLC
http://www.BuyHouseDetroit.com

As A Man Thinketh

2009-04-14T20:02:00.004-04:00

In the 'Paralyzed by Fear' stage in your real estate investing career? I have a book for you! I just read 'As A Man Thinketh' by James Allen and it was awesome! The book is about 25 pages long so it is a very quick read. The book compares the mind to a garden. Bad thoughts are like weed seeds...left unattended, and they stand the chance of taking over your mind garden. Fear is just one example of how these weeds can completely shut down your naturally fruitful thinking. We all have an innate desire to want to be in a better place. Instead of trusting ourselves, we often give way to the 'doom-n-gloom' attitude that most of society seems to embrace.

How do we fix it?

Old habits die hard. BUT, with a little bit of persistent effort, you will be well on your way to more positive thinking. Changing phrases such as 'I can't' into 'I can' will make a HUGE difference. Now I know some of you are thinking that it can't be that easy! Believe me...it is! Remember, thoughts are like seeds. The more good-thought seeds that are sown in your mind garden, the more fruitful your thoughts will become. Again, this takes a little time and effort but it is NECESSARY in order to achieve your dreams. The book starts with the saying, "As a man thinketh in his heart, so is he." Starting to see the importance of your day-to-day mind ramblings? Donald Trump's success is not a coincidence. He first had to first BELIEVE that he would be successful. He made mistakes on the way, as we all do in life, but stayed on the path to success. This would not have been possible without the power of right-thinking.

Any suggestions?

Well, one of the easiest and most powerful tools you can use is a vision board. Write down a few goals and start thumbing through some old magazines. Cut out any pictures, phrases, etc. that correspond to your goals and wishes. Post your findings on a board make it a point to visit your board on a daily basis. Take a little time to visualize that new car, mansion....whatever floats your boat. Over time, your mind will shift it's thought pattern in order to achieve these goals. But don't take my word for it...try it for yourself!! If need be, start off small. As you start achieving your goals and gaining confidence, you will start to notice subtle changes. THOSE subtle changes will start to spark MORE subtle changes. Before you know it, you will be conquering your fears and achieving your wildest dreams!

Kelvin Gray
Mitten Homes, LLC
http://www.buyhousedetroit.com/

How to Repair Your Credit

2008-08-15T11:06:00.011-04:00

The only way that you can be successful in the real estate investing realm is to have good credit. Without good credit, you will not be able to secure the mortgage loans you need to purchase property. Be prepared...this may take a few years! It all depends on your personal credit history.

Step 1 - Get to know your credit history
Get a copy of your credit report. Under a new Federal law, you have the right to receive a free copy of your credit report once every 12 months from each of the three nationwide consumer reporting companies. You can achieve this by going to http://www.annualcreditreport.com/. Another useful site is http://www.freecreditreport.com/. With this particular site, you can retrieve your credit score for free. The sooner you know your credit history, the faster you can begin the clean up process.
Note: Once you understand your credit report, scan it carefully for any errors. You have the option to dispute anything on your credit report that you think may be false information.

Step 2 - Settle delinquent accounts
Contact the lenders and set up a monthly payment plan. This may require monetary sacrifices to funnel all cash towards clearing your history. If you are not disciplined enough to start, try using one of the many debt consolidation services. Many of them provide counseling and can work with lenders/collection agencies for settlement deals.

Step 3 - Stick to the Plan!
This is where time and discipline is your best friend. Again, this may take a year or two so stay encouraged! Remind yourself that what you are doing what is best for a secure future.

Step 4 - Re-establish your credit
Although you've made great strides in repairing your credit, you are not out of the water just yet. You now have to spend time regaining the trust of lenders. One way of doing this is by using special credit cards that are available for people with bad credit. Most of these cards report directly to all credit bureaus on a monthly basis and have small credit limits for easier management. Make it a point to use your credit card a few times a month. The key to this strategy is paying the entire balance every month. So if you can only afford to put $70 a month on your credit card, $70 will be your limit. A credit score of 730 is said to be 'good' credit and will allow the best interest rates on loans. If you stay focused and keep paying your bills on time, you will be investing in real estate in no time!

Kelvin Gray

Mitten Homes, LLC

http://www.BuyHouseDetroit.com

How to Form an LLC

2008-08-15T00:17:00.005-04:00

Setting up an LLC is surprisingly fast and easy! I would often see internet ads for companies charging a fee to do this for you. Well, I am here to tell you that it is a waste of your time and money. Below are the instructions for setting up an LLC in Michigan.

Go to www.michigan.gov/dleg and follow these steps:

Click on 'Commercial Services & Corporations' (left side)

Click on 'Business Services'

Click on 'Limited Liability Companies'

From here, you can download the Articles of Organization, fill it out, and send it to the address provided. It is a quick two page document with minimal information needed. You can also check the availability of your selected business name right there from the site. Since I only live an hour and 15 minutes away from the office, I decided to drive and hand deliver my Articles of Organization. $50 and 10 minutes later, I was the owner of my own business! Yep it's just that easy! It surprises me to see those companies on the internet that charge people for this quick and easy transaction!

If you do not live in Michigan, simply navigate your State's government website, find the documents, and file!!

Kelvin Gray

Mitten Homes, LLC

http://www.BuyHouseDetroit.com

Benefits of Using an LLC for Real Estate Investing

2008-08-14T18:44:00.006-04:00

Benefits of Using an LLC for Real Estate

Asset protection. With property being held in an LLC, the owner's personal assets are safe from any lawsuits that may occur.

It is a 'pass-through' tax entity. What this means is that the profit or losses are 'passed through' to the owner and reported on their personal income tax returns. Because of this, owners of an LLC avoid capital gains tax that result in 'double taxation'

Easy Estate Planning. The ownership of real estate held by an LLC is represented proportionately by a member's shares of an LLC (referred to as "interest"). Rather than filing a new deed, members can transfer ownership of the property to their children by simply granting them membership interest in the LLC.

Kelvin Gray
Mitten Homes, LLC
http://www.BuyHouseDetroit.com

Motivation!!

2008-08-07T09:39:00.000-04:00

It's been three days since the 'Corporation' has terminated my employment. Being that we live in the nation's worst economy (Michigan), my wife and I had been planning for such an event by aggressively paying off our debt. I had also been planning to make money in this bad economy by educating myself with 'Rich Dad, Poor Dad', followed by 'Rich Dad's Guide to Investing' by Robert Kiyosaki. Strangely enough, I had just finished the latter of the two books the DAY before I was canned! I was already fired up to jump into the real estate arena, being fired only added more, well......fire to the fire. My goal for this blog site is to share vital information about auctions, foreclosures, etc. in this prime real estate market. The best part is that YOU will learn as I go through the growing pains! Over time, I hope this site will serve as a priceless tool for first time real estate investors!