Category "Entrepreneurship"

Best Investing Neighborhoods

Do you know the best place to invest in real estate?

No matter where you are in the country, you’re near a prime location. And you don’t need an in depth analysis to give you a radius of quality investing homes and neighborhoods near you.

With all the potential real estate in your city, county, and state (and the whole of the country) you may be tempted to invest in a market with which you’re unfamiliar. Perhaps you’ve recently traveled to a FUNDING TOUR and though the town was out of your normal area, you found some quality looking investment properties on the bus tour and are tempted to put in an offer.

Although experienced investors spread their wings a little further, I rarely recommend it and don’t invest outside of my county, no matter what deals students bring to me.

But, if you want to be successful faster, you really shouldn’t go further than the area in which you live.

If you use the 25-mile radius rule of thumb, you’ll save time, money, and headache.

Here are my top reasons why the real estate in the 25-mile radius around your home or place of work will make you millionaire faster than trecking all over the country will.

Don’t get me wrong, Cogo Capital will fund anywhere you need funding. (For more on locations and states where Cogo Capital funds real estate, visit us at https://cogocapital.com/ or call a loan officer today at  (800) 473-6051.) But you need to make a decision about the radius and locations you will invest in, and remain consistent to your commitment to reap the following benefits.


  1. You won’t waste time, money, and resources on the road. Driving all over is clunky, it doesn’t make sense, and it takes too much effort for too little profit. If you spend your time driving from place-to-place, you have less time to spend managing a flip, listing a wholesale, or selling a rehabbed home. You’ll have a car with a lot of miles and a workload you can’t manage. (I recommend saving those miles on your rig for a family trip this summer!)
  1. You’ll save yourself potential headaches. Take it from someone who had to drive over an hour in the middle of the night to attend to an emergency. Being in proximity to your property means that if you need to be there fast, you can.
  1. You’ll be an expert. It takes a while to get to know all the neighborhoods in a 25-mile radius, but if you can spend your time learning the nuances of the streets, the school districts, the demographics, and (most importantly) the comps in those neighborhoods, you’ll be better at your game.


  1. You have less to cover when driving for dollars. Don’t tell me there aren’t deals around you. Even if you’ve driven every single street in the 25-mile radius, by the time you’re done, there could be an abandoned house on the street you started on!
  1. You’ll build your network faster. If you stay in your area, you’ll get to know contractors, subcontractors, wholesalers, and real estate agents quicker and better. You’ll have those extra subs in your back pocket to call when the one you’ve hired no shows for the job. You’ll build your team faster and with less trial and error.
  1. You’ll know how to buy. This is the most important reason because you make money when you buy, not when you sell! Spend the time in your area meeting wholesalers, responding to bandit signs, putting out your own bandit signs, searching for abandoned houses, researching auction houses, considering listings on the MLS.
  1. Less Taxes to file. Unless that’s your thing; filing taxes in 7 states because that’s where all your properties were. I like to streamline my business better than that.

Confine your area and you’ll maximize your business. Remember the term, there are riches in niches? This goes for your location, too.


If you need help getting a private money loan in your backyard, visit  us at www.CogoCapital.com or call a loan officer today at (800) 473-6051Cogo Capital® offers quick turnaround, excellent terms, and millions to lend. Cogo Capital® serves both local and national real estate investors, real estate agents, and private money lenders in quality, multiple loans.

To Your Success;

Lee A. Arnold

CEO

The Lee Arnold System of Real Estate Investing

Follow me on Twitter: @CogoCapital  and @LeeArnoldSystem 

Have a deal under contract that you would like a quote on? Let us know. You can fill out a quick questionnaire at CogoCapital.com to receive a rate quote via email or you can call us anytime at (800) 747-1104 to talk to a loan officer. With millions deployed and millions to deploy, we want you to get the capital you need for your real estate investing.

Speak with Your Wallet

What does your recent investing say about you?

And before you click out of this article because you don’t believe you’ve made any investments lately, I assure you that you’re making investments daily and they each say something about you.

Are you familiar with the phrase, “You speak with your wallet?” It means that how you spend your money is an indicator of what is important to you. For instance, if you want to support fair trade coffee companies that provide farmers an escape from poverty through sustainable partnerships, you’re going to buy coffee that has that little “Fair Trade Certified” logo on the package. If you support pet adoption over puppy mills, you’re not going to buy a dog from an unreputable pet shop.

Easy, right? Where you spend your hard-earned dollar is the best way to be “heard” by your favorite (or least favorite) companies. Show me your wallet, and I’ll show you where your loyalties lie.

But what about all those unnecessary purchases you make without even thinking? What do those spending habits say about you and your devotion to your business and your future?

“I don’t have money to spend on my business.”
“I wish I could grow my business, but I don’t have the capital.”
“It’s easy for him! He had money to invest.”
Or, my favorite, “Well, it takes money to make money and I don’t have any.”

Let me ask you this…

Are you spending $20 a week on business cards to hand out at auctions and networking events? Or are you spending $20 a week on morning lattes? And that hundred bucks you used for dinner at Chotchkies last Friday night? You could’ve put that toward bandit signs or a website. What about the long weekend to the theme park with the kids or grandkids? That cash would’ve gone a long way in a starting a rehab project.

I’m not saying you should avoid living your life, but if you want to change your financial landscape, you need to make some tough choices. I read a book called Rich Dad Poor Dad back when I was making $3.90 an hour as a bag boy at a grocery store. It gave me a new perspective on my vision and changed my life’s direction. In it, Robert Kiyosaki said;

“The phrase ‘I can’t afford it’ shuts down your brain and lets you off the hook. It also brings up sadness, a helplessness that leads to despondency and often depression.

‘How can I afford it?’ opens up the brain. It forces you to think and search for answers. It also opens up possibilities, excitement, and dreams and created a stronger mind and dynamic spirit.”


By now, maybe you feel that itch to find some money to invest.

Good! But, wait…

There’s a reason why the book Rich Dad Poor Dad has been purchased over 26 million times, yet very few of the people who read the book implement Kiyosaki’s teachings and see financial growth. I believe in truth and preparation over candy-coating, so let’s get real about this for a minute.

Say investing in your business is like trying to drop 20 pounds. You start by implementing manageable changes in your habits, like taking the stairs instead of the elevator. On your ascent up the first flight, you suddenly feel your calves ignite in a fiery blaze while your thighs scream in protest. Do you stop and wonder if you’re climbing the stairs wrong? Do you give up after a few flights because you don’t see any weight loss?

“I tried investing, but it didn’t work for me.”
“I spent money marketing myself once, but no one responded because the method was wrong for me. I won’t waste money like that again.”

When we try anything new—be it investing or exercising or learning a new skill—there’s a level of discomfort that accompanies the change. Instead of viewing the discomfort as in indication that you’re doing something wrong and your efforts aren’t working, lean into the pain and learn from it. By changing your relationship with discomfort, you can go from giving up (trying not to feel the discomfort) to pushing those “muscles” until you grow stronger.

“Whenever you feel ‘short’ or in ‘need’ of something, give what you want first and it will come back in buckets. That is true for money, a smile, love, friendship. I know it is often the last thing a person may want to do, but it has always worked for me. I just trust that the principle of reciprocity is true, and I give what I want.” Robert Kiyosaki

Next time you see an opportunity to invest and that little voice nags you with a shrill lie that it isn’t worth the discomfort of change, disrupt the narrative and take action.

To Your Success;

Lee A. Arnold

CEO

The Lee Arnold System of Real Estate Investing

Follow me on Twitter: @CogoCapital  and @LeeArnoldSystem 

Have a deal under contract that you would like a quote on? Let us know. You can fill out a quick questionnaire at CogoCapital.com to receive a rate quote via email or you can call us anytime at (800) 747-1104 to talk to a loan officer. With millions deployed and millions to deploy, we want you to get the capital you need for your real estate investing.

When you come to Cogo Capital® looking for a private money loan on a property under contract, we’ll assure you have quick turnaround, excellent terms, and millions to lend. Cogo Capital® serves both local and national real estate investors, real estate agents, and private money lenders in quality, multiple loans.

5 Easy Steps to a Quality Marketing Plan

Real Estate Marketing is often overlooked by amateur investors, which is a shame because it’s one of the fastest ways to grow your business. In fact, if you aren’t marketing, it doesn’t matter how good you are at what you do or how amazing your offer is to your ideal client. If you aren’t reaching the people you want to work with to get the opportunities that will advance your real estate investing career, then you’re running a ghost of a business.

Marketing is key.

Marketing creates leads, which creates clients.

Everyone needs a marketing plan, but few know how to put one on paper, track the analytics and results, optimize the routine for success, and repeat for long-lasting results.

You may know what it’s like to work with leads, even if you don’t market too much. If you’ve been hustling long enough, you may have some leads without a mass marketing strategy. In fact, I’ve seen people stumble on leads and have those leads turn into successful projects. But it doesn’t happen often, and why place all your bets on a rarity?

Let’s get you a system for marketing to bring in consistent leads so you can scale up to a successful, sustainable business.

You get a lead, you work the lead, and it either turns into a new project/property/broker client, or it doesn’t. Then, you must start over with this lead cycle.

But if you aren’t marketing, who’s lined up for your next lead cycle?

If you don’t have consistent marketing that drives consistent leads, you are going to make different decisions with the small number of leads than you would with a steady amount. You could end up exhausting a lead or giving into a deal that won’t result in maximum income because you were afraid that if you stood your ground, you’d lose the only opportunity you have.

It’s a numbers game out there. You need your choice of projects to assure you get the ones that will make you money, and you need leads to have those opportunities.

Consistent marketing will get you those steady leads so you can put together more deals. And to have consistent marketing, you’re going to need to invest.

Either you’ll invest money
or you’ll invest time.
Or both.


 You should have 3-5 marketing strategies for your real estate investing business.

A strategy would be bandit signs, “driving for dollars,” direct mail, cold calling, etc. Websites, blogs, craigslist and social media presence are also good ways to create leads.

Some of these strategies are free (Craigslist, driving for dollars, blogs), but take an investment of time.

Other ones will cost you financially and require a minimal time commitment (bandit signs, direct mail, web hosting, social media ads).


You could hire out your marketing right away to minimize your time commitment, but it’s going to cost you more financially and won’t be a 100% relief of your time because you’ll have to handle the hiring of and management of your marketing team. If you choose this route–either through an agency or an in-house team member–you run the risk of it not working (but you can mostly defer that risk by heavy vetting and due diligence… but that doesn’t save you time, does it?).

Or, if hiring a marketing team works and brings you leads, you run the risk of not knowing how the process works and being unable to repeat it yourself. This chains you to outside help, and though I strongly encourage outsourcing where needed, you must know the basics of marketing to be able to repeat it.


Whether you advertise with flyers, by passing out cards at your local REI groups, with networking relationships (which can be extremely lucrative), or you dip your business into all of these strategies, the important thing is to figure out which work for you and be consistent enough to collect data.

Don’t put all your eggs in one basket, though. Diversify!

How many hours or dollars do you have to invest to get a lead?
How can you streamline what you do to make it easier?
Are there any strategies that you can automate?


 Plan Out Each Strategy

Once you know which strategies you wish you employ, you need to get detailed by breaking these strategies down into reportable steps. What do you need to do to carry these forms of marketing to completion?

Do you need to write ad copy (or multiple versions to do A/B tests)?
Do you know who you’re marketing to? What demographic? Which areas?
How are you going to send the right message to your ideal client?
Do you know keywords to use in your titles and subject lines?
How are you going to record your leads (and their information) so you can properly follow up?


 Determine Your Budget

Determine both your financial and hourly budget.

It’s ambitious to say, “I’m going to get 100 new leads this week!” But you need to have an estimate of where those leads are coming from, how much time and money you have to invest to set those channels up, how much time and money it takes to work those leads, and be able to budget all of it.

You can reach any goals you desire, but it’s important to start with what you CAN do and improve from there. If it takes you 10 hours to produce your first 10 leads, then how many hours will it take to produce 100 leads? 100, if you stop growing.

But, let’s say the following week, you put the same 10 hours in and get 20 leads. You’ve doubled your output by improving your system for marketing. How do you grow? Funny you should ask…


 Schedule Your Marketing with KPIs

It doesn’t do you much good to collect a bunch of leads if you aren’t determining if they’re good or not.

I can give you tens of thousands of leads in two seconds. Go pick up your phone book. “But those aren’t good leads,” you say. Bingo.

You want a lot of leads, and you want appropriate leads. The only way you’re going to be able to determine if you are producing good leads is by keeping track of them, where you acquired them, how you work them, and the results they bring. You can find software to help, keep a spreadsheet on your computer, or just track them the old fashioned way on paper.

The important thing is that you track them and find ways to improve.


 Delegate and Outsource

Once you know what process works for you, you can hire out some or all of it. Get a member of your team who can put those tedious tasks to work for you; writing email copy, craigslist ads, ordering banners, stuffing envelopes, etc. You can even have someone track the results of each lead.

But you still need to keep your finger on the pulse.

It’s probably not a secret that I don’t do my own marketing. I’ve been in this business a long time, and I’ve taught thousands of people and seen so many success stories come out of my system that I’d be here all day listing them if you let me! If I were consumed with marketing efforts, I wouldn’t have time to explore new strategies, open new classes, scale the company, and change lives.

I wouldn’t be where I am unless I outsourced the marketing, and neither will you. But first, know what you’re doing and how it works, and then KEEP your finger on the pulse of it.

Remember my formula:


Keep marketing. Try different things. Switch it up when the times change and old strategies stop working. Don’t be afraid to invest the time to make it work. Few things are as important as marketing.

And if you’re feeling lost, have you considered getting help?

We can connect you with a real estate coach to help you with your investing strategies and methods. Give us a call to see if you’d be a good fit for this program; not everyone is. We only work with people who are serious about growing and highly motivated to make the necessary steps to be successful. If that’s not you, just keep coming back to our blogs to get the information you’re looking for. But if you’re serious about being a success story, give us a call and we’ll find a way to help. (800) 473-6051

To Your Success;

Lee A. Arnold

CEO

The Lee Arnold System of Real Estate Investing

Follow me on Twitter: @CogoCapital  and @LeeArnoldSystem 

Have a deal under contract that you would like a quote on? Let us know. You can fill out a quick questionnaire at CogoCapital.com to receive a rate quote via email or you can call us anytime at (800) 747-1104 to talk to a loan officer. With millions deployed and millions to deploy, we want you to get the capital you need for your real estate investing.

When you come to Cogo Capital® looking for a private money loan on a property under contract, we’ll assure you have quick turnaround, excellent terms, and millions to lend. Cogo Capital® serves both local and national real estate investors, real estate agents, and private money lenders in quality, multiple loans.

Should You Flip Houses? 5 Qualities You Need to be Successful

Do you have what it takes?

A house flipper can come from anywhere, but not everyone is cut out for the gig. That might be shocking to read, coming from someone who teaches on how to do it, but I’ve seen enough over the last few decades to know.

There are a few basic qualities I believe one must possess to successfully take a home from distressed to full ARV, sell it fast, and make a profit.

And I don’t mean you must know your way around a table saw. Although it serves you to have a decent understanding of a house’s fundamental workings, you don’t need a background in carpentry if you hire right.

You shouldn’t, however, hire out your numbers. Which brings us to quality #1…


#1- Understand the Fundamental Formulas for Success

Even if you have a trusted team of number crunchers on your side, you should understand how to determine an MAO, be able to calculate your holding costs, and how to budget a project. If you get the numbers wrong, a good flip can turn bad fast.

Plus, we all know you make money when you buy; so, buy right.

So, if you’re not a natural numbers person, does that mean you’re doomed never to complete a successful flip? Should you give up now? (Pardon me while I suppress my laughter.) Absolutely not. Do you think I understood every line item on the contracts I signed in the beginning of my career? This “quality” can 100% be taught, and you only need to know the fundamentals to start.

Those fundamentals can be learned, and we’re here to help!

For more on how to understand the numbers and set yourself up for success from the start, check out the following links, or, better yet, give us a call to talk about what information you’re missing in your career and how to plug those holes with the most targeted education on the market. (800) 473-6051


Want a Better Auction Experience? CLICK HERE to learn to determine your MAO before jumping in with thousands of dollars

or

Avoid These Flipping Mistakes and don’t overpay on your MAO.


#2- Project Management

In addition to understanding the numbers, you need to be proficient in project management. If you couldn’t manage your way out of paper bag, you may want to consider some additional training or education before attempting to choreograph that contractor tango.

If you don’t know where to start, we’ve got you covered. We teach this in our Project Management Home Study Course, as well as at several of our events. For more information on how to ensure a successful flip by managing a project the RIGHT way, give us a call at (800) 473-6051.

You can also check out this article on Project Management

or this Project Management Crash Course.


#3- Understanding Your Market

With a basic understanding of the finances and decent management skills, most anyone could successfully flip a house. But, to do it repeatedly, with multiple properties in the portfolio at any time, and with maximized profits, one must know this last element. One needs an understanding of the market.

A flipper without an understanding of the surrounding market is like a dentist void of cardiovascular training. You should understand how a neighborhood dictates the way you renovate a house–for instance; you wouldn’t over-design a home in a modest community or, if you’re working on high-end, you’re likely going to need the granite counter tops because buyers will expect them.

And having a deep understanding of the market? Well, I find that real estate professionals know the most about that.

There are many other accompanying benefits of flipping houses as a real estate agent. From easy access to information to the extra paychecks, you have a leg up on understanding the process. I encourage all my students to get their real estate license early in their investing career because a leg up is a good place to start.

(You don’t HAVE to be an agent to successfully flip a house, but it helps your career in the long run, and is worth considering.)


#4- Marketing

You need 3 things to succeed in ANY business.

First, you need SALES. If you aren’t selling something (a house, in this instance), you don’t have the income needed for sustainability.

How do you get sales? With LEADS. You can’t sell to nobody. And you can’t buy a house from nobody. (That’s a lot of double negatives; stick with me here!) If you want to acquire a property, you need leads.

How do you get leads? With MARKETING. You absolutely must market yourself if you stand a chance at getting a house.

For more on marketing, check out these articles:

The Art of Marketing

6 Marketing Blunders to Avoid

And finally, you need to have the most important quality for this business…


#5- A Why

Call it grit, passion, or just a REASON to do this; if you’re not motivated, you won’t get far.

Because of this, I’d say this is the most important quality you MUST have to flip real estate. You can learn the rest, but I can’t teach your WHY you want to do this. I can help reveal it, but your reason needs to be personal to you.

So, look critically at yourself, your goals, your finances, and your current career.

Are you where you want to be in life?
Are you making the money you know you deserve?
Are you challenged?
Are you bored?
Do you want to build a successful business that you can train your kids to take over, ensuring them a lasting, successful career?
Are you edging toward retirement, yet you’re scared to death about the money you don’t have?

Whatever your reason, you need to keep it in front of you, allow it to motivate you and spur you into action.

If you need guidance, we can help. Give us a call, and we can set you up with a FREE conversation with a Business Development Consultant to discuss your career. (800) 473-6051. We’re here to see you succeed.

To Your Success;

Lee A. Arnold

CEO

The Lee Arnold System of Real Estate Investing

Follow me on Twitter: @CogoCapital  and @LeeArnoldSystem 

Have a deal under contract that you would like a quote on? Let us know. You can fill out a quick questionnaire at CogoCapital.com to receive a rate quote via email or you can call us anytime at (800) 747-1104 to talk to a loan officer. With millions deployed and millions to deploy, we want you to get the capital you need for your real estate investing.

When you come to Cogo Capital® looking for a private money loan on a property under contract, we’ll assure you have quick turnaround, excellent terms, and millions to lend. Cogo Capital® serves both local and national real estate investors, real estate agents, and private money lenders in quality, multiple loans.

The Illusion of Rejection: Why Your Fears are Bogus and How to Get Over It

The Illusion of Rejection:
Why Your Fears are Bogus and How to Get Over It

 

I may not be very popular for the following statement, but that isn’t my goal anyway, my goal is to improve lives.

I don’t believe your fear of rejection holds much validity.

I get questions about how to deal with rejection more than I should. And it’s not the questions I don’t like; it’s the fact that adults are asking them and struggling with the notion as if rejection is personal.

Please don’t take offense. It’s not just a few people; it’s an epidemic. That’s why I’m addressing it.

I know that most people who aren’t where they want to be in life have one struggle or another with rejection. If that’s you, listen up!

If you labor under the fear of rejection, then you’re never going to take the action needed to move the needle in your business. You need to redefine the way you look at being turned down and see it for what it is: a number’s game.


 ~WHAT REJECTION ISN’T~

Let’s flesh this out so we can better understand your relationship with rejection.

 If you fear rejection because you’re worried about what others think of you:

Rejection isn’t a personal attack. It doesn’t mean you’re unworthy of the offer you’ve given. It doesn’t mean you’re less professional, less educated, less determined.

The type of rejection that actually hurts you by damaging your identity happens very rarely. If you believe that every rebuff you receive is this type of life-altering refusal, then you’re placing an internal fear on an external result over which you have no control.

Let me prove it to you.

Have you been rejected in your life in a way that hurt so profoundly that it altered your perception of the world around you and your identity in it? The answer is likely yes.

With an honest self-awareness, can you say it’s happened to you more than once? More than twice? How about 5 times or ten? Perhaps. How about more than that? Not likely.

The average number of this intensely impactful rejection, according to a test of thousands of people over several years at Brendon Burchard’s High-Performance Academy, is between 5 and 7. (There are, of course, people who have deep hurts that happen more often, but the average is 5-7 times.)

How many days have you lived? If you’re 35, you’ve been on this earth for 12,775 days. How many times have you made offers of one kind or another? Easily in the thousands.

And if you’re SCARED of rejection because you fear the pain involved, then what you’re saying is you’re scared of something that hardly ever happens. Look at the math: 5-7 times of deep hurt in over twelve thousand days!

Think about the last ten people you interacted with where one or both of you needed something (business relationships, colleagues, volunteer opportunities, etc.). How did those interactions go?

The answer, with near certainty, is that most of them went fine. Am I right? These are interactions where the other person didn’t cause much fuss, it went well, the person was supportive and didn’t criticize you, or you received the outcome you desired if not more.

And I bet you’ve interacted with at least a hundred people in your lifetime where the interactions went well. Right?

I could take that number up to the thousands, and it would be true for almost every single person reading this blog.

So, what I’m saying is that your fear of being deeply hurt by rejection every time something doesn’t go according to plan is rare, and even when things don’t work out, because they often don’t, the interactions aren’t an actualization of your fears anyway!

Aren’t you relieved? You should be.

If you fear rejection because it means putting in work that doesn’t come to fruition:

You’re going to do the work anyway if you want to succeed because there is no way to success except through work. By forfeiting the work because you fear it won’t lead anywhere, you’re bypassing opportunities.

Yes, you WILL get rejected when you put any offers on the table–whether they’re offers for houses, offers for partnerships, offers for work, offers for dates, whatever.

Again, it’s a numbers game. You’re going to have to put in the work. Sometimes it will lead to a mutually-agreed-upon deal, and other times, it won’t.

But you miss 100% of the shots you don’t take. 100% of them. So, not trying because you don’t think it’ll go anywhere is making your fear come true that it won’t. You are pounding nails in your proverbial coffin here. Please tell me how that makes sense to anyone!

When you flip this idea on its head and aim for failure, you WILL succeed. It’s the weirdest thing, but it’s true. When you have a list of 100 leads, pick up the phone with the intention of getting 100 rejections. And guess what, you’ll

Why?

Because it’s a numbers game! Eventually, you’ll get better at your pitch and reach a person who’s desperate to work with someone just like you. Trying to get the 100 “Nos” just gets you on the phone long enough to get that “Yes.”

(Now, will you have better luck if you go into the 100 leads convinced that you’ll get 10 “Yeses?” Probably! Your mind is extremely powerful, and your results will match what you believe will happen more times than not.)


So… if your fear of rejection doesn’t hold water and it IS inevitable, then how should we view it?

~WHAT IS REJECTION?~

Rejection is simply an answer of “No” or “Not right now.”

That’s it.

Every offer or request you make comes with the chance that “No” or “Not Right Now” will be the answer. And if you never pose a question because you’re afraid of the answer, you will never pose the questions.

Let’s bring this back to the practical application of your business. You will have offers rejected. If you don’t, you put in an offer on a property, and it’s immediately accepted, chances are, you offered too much, and that high offer will cut into your profit.

You need to get comfortable with rejection.
Make it your friend.
Make it your GOAL.

Because if rejection remains your enemy, you won’t get far in business or in life.

Don’t base your life and your decision on a fear of something that a) doesn’t happen to the severity you fear it will and b) is going to happen anyway in business. You need to gain the self-awareness and the maturity that guarantees you will be okay if and when rejection occurs.

You have more power and strength than you realize, so stop giving your FEAR more credit than it deserves.

You get what you focus on. If you focus on your fears, they will only grow. If you focus on your abilities and adequacies, you will consistently thrive. Have a higher ambition for yourself and don’t limit your impact because you fear the harsh criticism you think will accompany rejection.

You’re going to be rejected anyway, and it isn’t going to break you when it happens.

So, make the offer.

Make the request.

Ask the question.

Propose the relationship.

Put your neck out there.

We’ll continue to do the same for you because we believe your success is worth fighting for.

If you’re done fearing rejection and want to get on the path to success, gives us a call (800) 473-6051. It’s only up from here. We’ll assess where the holes are in your business and find the relief you need to take your success to the next level. How would that feel?

To Your Success;

Lee A. Arnold

CEO

The Lee Arnold System of Real Estate Investing

Follow me on Twitter: @CogoCapital  and @LeeArnoldSystem 

Have a deal under contract that you would like a quote on? Let us know. You can fill out a quick questionnaire at CogoCapital.com to receive a rate quote via email or you can call us anytime at (800) 747-1104 to talk to a loan officer. With millions deployed and millions to deploy, we want you to get the capital you need for your real estate investing.

How Following Up Can Change Your Business

What is the best practice you’ve implemented when investing in real estate?

All of our answers may vary, but I would argue that one overarching discipline sets successful investors apart from hobby-level investors: your follow-up routine. We all know that it cost more to gain new clients than it does to maintain the ones you have.

A lot of people send out mail, for instance, and that’s great!

It’s an often untapped way to get your foot in the door with potential buyers and sellers. According to a recent USPS study, 98% of consumers bring in their mail on the day it is delivered, and 77% sort through their mail immediately. 67% feel that mail is more personal than the internet, and 64% order from mail received within the last month.

There’s potential here but relying on mail alone (or any other form of lead-generation) without following up will result in lower conversions and wasted budgets. Put together your own system and include the following tools for maximum reach: CRM system (a Customer Relationship Management System), an email deliverability service which sends emails, surveys, and auto-responders, a website or blog to drive traffic to, a system to send out newsletters, reports, and webinar invites, and an online system to disseminate real-time information for client consumption (webinars).

How can you do it better?

  • Contact Management System/CRM. Simply put, these are technologies or systems you can use to control your interactions, improve your business relationships, and help retain clients. I like my CRMs to follow up on the leads and get people committed to appointments because I don’t like making outbound calls more than you do. If technology does the hard work for me, I’m suddenly calling someone who is interested in hearing what I have to say, and that means less dialing for me.
  • Hire telemarketers with a script to turn cold leads into appointments. Get your kids to make the calls or pay someone $10 an hour to dial and set appointments. Then, you’re not making cold calls, you’re dialing your appointments because they’ve weeded out your list for you. You can value your time and make calls. (Check out this article on TIME MANAGEMENT.)
  • Be organized. You can use Excel or Google Docs, or even an old-fashioned lead-sheet, printed on paper and filed in a folder. Whatever way works best for you, make sure to notate the lead—“disposition” the lead as called and schedule a follow up. (For more information on the importance of following up, CLICK HERE.)
  • Don’t waste time. Learn to spot a “real client” from a “tire kicker.” It can be hard to decipher at first, but you’ll get the hang of it. A tire kicker might say all the right things to keep the conversation going, and then casually mention that they don’t have any offers on their property, and admit they aren’t motivated. A real, potential client is going to tell you 2 things: What they want and when they want it.
  • It’s a numbers game. For every 30 calls you make, you may get 10 leads, and from those you’re looking at 1 deal. Is it still worth it to make those 30 calls? Yes! You got a deal!
  • Self-analyze. Go over your notes or record the phone call. What could you have done differently? Learn from your mistakes and your triumphs and improve.

Most importantly with your follow up routine, you should pick up the phone whenever you can.

Something as simple as a phone call can tell your client you don’t take them for granted.

Regular follow-ups give your customers a chance to be heard and engaged effectively. Many clients and potential clients expect you to keep in touch. People want to be told what to do and what to expect next, so provide them with tangible opportunities. They may even have another property or job lined up for you, but unless you reach out, they could take it elsewhere.

If you aren’t following up, you’re missing out.

When you come to Cogo Capital® looking for a private money loan on a property unde

r contract, we’ll assure you have quick turnaround, excellent terms, and millions to lend. Cogo Capital® serves both local and national real estate investors, real estate agents, and private money lenders in quality, multiple loans.

Have a deal under contract that you would like a quote on? Let us know. You can fill out a quick questionnaire at CogoCapital.com to receive a rate quote via email or you can call us anytime at (800) 747-1104 to talk to a loan officer. With millions deployed and millions to deploy, we want you to get the capital you need for your real estate investing.

To Your Success;

Lee A. Arnold

CEO

The Lee Arnold System of Real Estate Investing

Follow me on Twitter: @CogoCapital  and @LeeArnoldSystem 

Have a deal? Visit us at www.cogocapital.com to fill out your fast and easy quote. Want to learn more about COGO first? CLICK HERE to get to know all the ins and out!

Vital Skills

What are the vital skills for real estate investing?

They may not be what you think…

Bill Gates was once asked, “If you could have any one superpower, what would it be and why?”

His answer?

“Being able to read super fast.”

Of all the things he could have said, he chose to answer the superfluous question by addressing his reading ability. Why? Because he understands the principle we’re going to discuss today; the principle that each time you add a skill to your roster, you double your chances for success.

The more skills you acquire, the more times you increase your likelihood of success.

 

Not all skills are created equal and are subjective to the work you do. Learning to toss the perfect pizza dough won’t do you much good in the real estate investment field (unless you pay your contractors in pepperoni slices). But I want to share seven universally needed skills that will not only double your chances at success, they will pay off for as long as you live.


Here are 7 skills that are challenging to collect but will last your whole life:

 

1. Being honest with yourself.

Mark Cuban, owner of the NBA’s Dallas Mavericks, co-owner of 2929 Entertainment and chairman of the AXS TV, and one of the main “shark” investors on the ABC reality television series Shark Tank said this;

“Know was you know and know what you don’t know and be honest about both.”

Too many people lie to themselves about their abilities, time, and ambitions, but rarely see it all come together because they aren’t honest with themselves. You can build upon little truths, but you can’t take a big lie and make it a reality.


2. Having confidence.

I’ve never seen someone with “natural ability” in everything they do. But I HAVE seen people who seem to be amazing at everything. How? They have confidence, and that confidence is their power to exceed their vision.

Like a muscle, you must work out your confidence in order for it to grow.


3. Listening.

If I could give you one take away, it would be this one: be the last one to speak. Give others the ability to say what they know is true. Then, bite your tongue from commenting and instead ASK questions, so you will understand why they have the opinion and not just what their opinion is.

Don’t listen to figure out when it’s your turn to speak. Listen to hear, analyze, and understand.

Once you’ve gathered everything you need to know, move on to the next skill…


4. Speaking up.

I once attended a real estate event with a gentleman whose main goal for attending was to network with others for his brokering business. There came a time in the day when attendees could line up by the stage to spend 30 seconds in front of the microphone to introduce who they are and what they do. I asked my friend, “So, you’re going to go up there, right?” and he shook his head, claiming he didn’t have anything to show.

I pulled out a piece of yellow paper, made him write his phone number in big numbers, and sent him up to say, “Hi, I have money to lend if you need it, here’s my number!”

Speaking up is invaluable, whether it’s on stage, in front of a room, on the phone, or participating in a meeting, God gave you a voice for a reason. Use it!


5. Manage your time.

We’ve traded effectiveness for business, and it’s killing productivity!

— Click here to read more on time management–

Don’t clutter your life with stuff that keeps you from being effective. Time is the only thing we spend that we can never replace. Don’t waste it.


6. Be someone who doesn’t whine.

It isn’t productive to complain about what you don’t have, how you compare to others, what isn’t happening, etc.

Train your brain to look for the opportunity in every hurdle instead of seeing the hurdle in every opportunity, and I guarantee you’ll become unstoppable.


7. Being consistent.

You can outperform anyone who is more knowledgeable, talented, gifted, or privileged than you by simply being consistent. It’s called a grind for a reason.

“Success isn’t always about greatness. It’s about consistency. Consistent hard work leads to success. Greatness will come.” Dwayne “the Rock” Johnson

“For changes to be of any true value, they’ve got to be lasting and consistent.” Tony Robbins


These are all internal skills, ones that relate to any profession. But the principle that learning new skills doubles your chances at success is equally true when you acquire skills related to your business.

What skills can you pick up to benefit your business? If you can’t think of any, borrow from this list:

– General Contracting Skills
– House Inspection skills
– Project Management
– Design (think fliers, banners, bandit signs, business cards, etc.)
– Design (think staging)
– Color Coordination
– Social Media Management
– Ad Writing
– Effective Communication
– Scheduling
– Budgeting
– Acquisitions
– New Marketing Skills
– Accounting

Have a specific hole that can be plugged with a new skill but don’t know how to obtain it? Give us a call and we’ll help you find the training you need 800-533-1622.


You don’t need to know everything. Remember how we talked about doing a S.W.O.T. Analysis and playing to your strengths while hiring out your weaknesses? (CLICK HERE to read more.) But if learning something new today will increase your chances of success tomorrow, then why not pick up a new skill?

Still having trouble deciding what to learn next? I challenge you to practice my 8 skills above while attending a Funding Tour. Not only are you going to pick up many new skills, pump your brain full of information, and jumpstart your career, if you sign up today, we will pay for your seat.

To conclude, let’s circle this all the way back to our friend Bill. How many books have you read this year? What are you reading right now? Who you will be in 5 years is an accumulation of what you do, what you read, what you watch, who you spend your time with, and who you listen to today. Remember, consistency is key!

If you haven’t ready “Eat that Frog!” by Brian Tracy, then add it to your list today.

To Your Success;

Lee A. Arnold

CEO

The Lee Arnold System of Real Estate Investing

Follow me on Twitter: @CogoCapital  and @LeeArnoldSystem 

Have a deal? Visit us at www.cogocapital.com to fill out your fast and easy quote. Want to learn more about COGO first? CLICK HERE to get to know all the ins and out!

Planning Your Project

 

Planning Your Project

 

With each passing day, your loan costs you a little more.

Don’t get discouraged…get organized!

The best way to assure that you’re maximizing your profits on any given project is to make sure you’re maximizing your time. Well, okay. The BEST way is to buy the property at the right price–we make money when we BUY, after all, and we realize that money when we sell. But I digress…

Time is money, but unlike money, you can’t get your time back.


TIME IS UN-REFUNDABLE. USE IT WITH INTENTION.


Even the experienced investor may need his or her loan for the full term (6-12+ months). Even though an investor can get a project done in the recommended 45 days of renovation, there are many factors that could extend the project. Sometimes a home doesn’t sell right away once complete, sometimes you can’t predict that there will be mold that will need to be addressed or you could be stalled out on the process of permitting.

But besides the schedule crushers that you can’t control, there are steps you can take to assure that you’re making the most of your TIME investment.


If you’d like to read more about making the most of your time
and how time “management” is a myth, <CLICK HERE>


GET THE RIGHT FUNDING

 

You need a deal before you can get funding. But, if you want to make the most of your time on a project, find a few funding options before you stack and offer and write that contract.

First, you must understand more about what makes private lenders different from conventional bank loans, (For a comprehensive breakdown, <CLICK HERE>).

Then, shop around for what you need. When you have the right funding and understand the process (if you don’t, talk to your friendly loan officer today by calling (800) 473-6051. We’ll answer all your questions!), you can still expedite the process to assure fast funding and a more stably funded project by following a few guidelines.

Get the right funding, and get it when you need it! We’re happy to help.


DELEGATE

 

You can’t get everything done alone.

For each project, get bids from at least three contractors. Look for any discrepancies between the proposals and address them.  Look for someone both competent and honest.  When flipping multiple times, you can work with the same contractors, earning both discounts and loyalty.

But why delegate when you can do the work yourself?

If you’re a handy person, you may be tempted to lay the flooring on a project to save some money, paint the walls, or weed the backyard. Easy fixes, right? Why pay someone else to do them?

This is an object that comes up on the regular. I’m not going to tell you not to help out on your projects–we all need to roll up our sleeves sometimes and get in there to get it done right–but you need to look at the cost. If you can hire someone to come pull weeds and throw down a basic landscape for $14/hour, and you believe you’re worth more than $14/hour, then by doing the work, you’re giving yourself a massive pay cut.

It behooves you to hire out the elements of a project so you can spend your time focusing on managing the current project well and getting another deal under contract. If you can’t find another house to flip because you were too busy painting the basement, then you’re out more money than you saved.

You can hire people to do small jobs, you can’t hire people to run your business for you.


FOLLOW UP

 

Follow up- the most important part of delegating is following up. Following up isn’t just for acquisitions and contracts, you must follow up with your contractors and stay on top of their work and schedule, especially as it pertains to the schedules of others. If your electrician is running behind schedule, your drywall guy isn’t going to be able to get until the wiring is redone. And if your drywall guy is only available during a short window, you may have to hire someone else. If it takes you three days to find someone else, and they’re not available for another week, you could have to reschedule your painting and finishing.

You can prevent most of the headaches that arise by following up, confirming, and communicating with your contractors.

 

Key #1 – Communicate with Your Contractor.

You need to know what is happening, when it’s happening, what the costs and projections are, what the deadlines are, how closely the schedule is being adhered to, etc. If you don’t know, they don’t know, so start the conversation.

Key #2 – Be Seen by Your Contractor.

Be a constant face on the job site. Show the contractor that you are hands on, that you will be there when you say you will and pop in unannounced to keep them on the job.

Key #3 – Don’t Bulldoze.

If you don’t want to get bulldozed by a contractor, return the favor and maintain a professional relationship. You can assert your stance as a professional AND be flexible to their advice regarding the project. That doesn’t mean you take every suggestion they make, but you should’ve accounted for appropriate changes in the budget and schedule when applicable.

Key #4 – Be Honest.

This is especially necessary to set up at the beginning! For instance, if you’re going to use a draw schedule, make sure your contractor understands up front how it’s going to work, when they will receive draws, how much, and what you are expecting. Then, don’t deviate from your word once the work begins. Don’t promise to give more than you can, and don’t give less unjustifiably. Remember, this relationship goes both ways.

Key #5 – Make Sure They Complete the Job!

There is little you can do to persuade a crooked contractor to finish a job—and you probably don’t want them to! If you’ve had a contractor abandon a job, your best move is to hire someone reliable to finish the job.

But, that’s not what I’m talking about. I’ve seen people make the mistake of paying the contractors when they’re “done” without doing a final punch list.

This is your job.

Do a final walkthrough with a roll of blue tape and a notepad. Mark up things like chipped paint, unhung towel bars, poorly done calking, or missing trim. Even the best contractors miss things, so get in there, create a punch list, and get the items knocked out as quickly as possible. Don’t pay the contractor’s final payment until this is all done!

Key #6 – Incentivize.

Time is money. You know this. I know this. Contractors know this. If you want a job done on or ahead of schedule, offer them an incentive.

It is possible to build lasting, cooperative, mutually beneficial relationships with contractors that last for the duration of your investing career. Don’t get discouraged if you find a dud. Network with other investors and with multiple contractors. Connect with a mentor or coach when things get sticky. And, most importantly, keep going!


NETWORK AND BE PREPARED

 

Things come up.

Maybe the chimney needs repair and your regular mason broke his foot and can’t work. If he’s the only mason you know, it’s naturally going to take you longer to find, vet out, meet with, get estimates on, and decide upon a replacement.

Keep your rolodex  (or you cell phone directory) full of reasonable and reliable contractors of all varieties.

How?

Well, the more projects you do, the more people’s numbers you’ll have handy. You’ll also be able to live and learn, kicking the duds who aren’t doing their jobs to the curb. All of this takes time, thought.

The fastest way to fill your back pocket with good contractors is to network with other people who are doing what you’re doing. This is why I have the RULE OF 56. Just be aware that if you get the name of a good contractor,

No contractors available for smaller things? Take a page out of Deepa Quadir-Alam’s handbook and have a good handyman to fall back on. To read more of Deepa’s latest success story, <CLICK HERE>


EXIT STRATEGY

 

Have a strong exit strategy. I can’t emphasize enough how much a good exit strategy WILL change your investing career.

If there’s any one thing that stalls a process more than anything else in the world, it’s a project that isn’t working out the way you planned and now you can’t get out.

If you don’t have an exit strategy, a project that takes a turn for the worst could become a money pit and fast. If you’d like to learn more about how to create an exit strategy for each stage of your project, join me on Monday, March 5th for my CEO Fireside where I’ll discuss this and much more. <CLICK HERE> to register!


By anticipating the needs of a potential project, you can assure that your project is scheduled properly, that your funding ducks are in a row, and that you have a plan for anything that could happen.

And when you effectively and efficiently manage projects, you can do multiple ones, do them quicker, and snowball your investing career.

If you’d like to dive deeper into becoming the best project manager you can be and how that will impact your investing career, talk to one of our Business Development Professionals about taking the Project Management Specialty Class. If you’re going to invest in fix and flip properties, it doesn’t make any sense not to learn how to best manage your projects. Call us at (800) 473-6051

To Your Planning;

Lee A. Arnold

CEO

The Lee Arnold System of Real Estate Investing

Follow me on Twitter: @CogoCapital  and @LeeArnoldSystem 

Have a deal? Visit us at www.cogocapital.com to fill out your fast and easy quote. Want to learn more about COGO first? CLICK HERE to get to know all the ins and out!

A Decade Since the Housing Crash

It’s been a decade since it happened.

Is there still a glutton of inventory in the marketplace after the real estate fall out of 2008?

Last week we talked about how flipping houses affects the economy and visa versa (to read more <CLICK HERE>). This week, let’s take a look through a different lens.

The effects of the worst financial crisis since the Great Depression still impact our world a decade later. An article put out by USA Today stated, “By one Federal Reserve estimate, the country lost almost an entire year’s worth of economic activity – nearly $14 trillion – during the recession from 2007 to 2009.”

In many ways, the country is still struggling to recover.

On February 2nd, 2018, “The Dow closed down 666 points, or 2.5%, its biggest percentage decline since the Brexit turmoil in June 2016 and steepest point decline since the 2008 financial crisis,” according to CNN Money.

Additionally, Economy and Markets made a strong argument that another upset is coming, and with it, more single family residences will return to the investor market.

But what does this mean for you and the inventory of distressed and abandoned homes left on the market today?

After all this time, are there really enough properties left for every real estate investor to make money on with buy, fix, and resell opportunities?

Each market is different. Some have fully bounced back while others are recovering slowly with a large number of distressed homes existing as a residual from those events. But the key is to realize that the current amount of investor properties is not based solely on the remnants of the housing crisis, but rather an ongoing depletion of care given to individual properties by a wide variety of owners in a multitude of situations.

Essentially, we’ll never have a shortage of potential investment properties as long as rentals aren’t being uncared for, family homes go neglected, owners that move out of state can’t sell their old homes, and folks fall victim to foreclosure.

Sure, a decade later, we could still have properties on the market that have investor potential left over from the deep persistence of the financial crisis of 2008, but if you’re banking on the lingering effects, you’re not looking hard enough at your own neighborhoods.


 

HOW DO I FIND THEM?

Finding prime investor real estate usually comes with a preconceived notion that it has to be done at auction and you must be loaded down with cash in order to get in the game.

 Auctions

While auctions can be great a place to find properties, even auctions come with predetermined biases that can be largely untrue. If you’re interested in learning how to make the most of your auction experience, <CLICK HERE>

And to learn more about good auction practices, <CLICK HERE>

 

REOs

What happens if no one bids on a property at auction? What happens to the house and how can you benefit? If you’re unfamiliar with the process of REOs, <CLICK HERE> to read more.

 

Short Sales

This is not a new strategy. It’s been a buzz word since the recession of 2008, but many investors are beginning to shy away it thinking that it’s an outdated strategy. They’re wrong!

To read more about what a Short Sale is and how you can find homes using this strategy, <CLICK HERE>

 

Equity Deals

There’s a way that you can get homes before they go to foreclosure auctions, save money, put money in the homeowner’s pocket before they lose their home AND you don’t need your own cash to do it!

Sound too good to be true? <CLICK HERE> to find out more!

 

Buying Distressed Homes

Sometimes, finding homes to purchase is as easy as knocking on a few doors. If you’d like to bypass your competition by doing something that most people find uncomfortable, read how I do it with ease, <CLICK HERE>

But don’t work with distressed home owners blindly. To maximize your chances, <CLICK HERE> to read the Dos and Don’ts of working with these homeowners.

 

Buying Vacant Homes

You can also find the owners of vacant properties without having to break the bank or pretend to be Sherlock Holmes. We’ve got the steps for you, <CLICK HERE> to learn them all.

 

Nuisance Homes

I’ve saved the best for last.

A nuisance house is a condition of use of a property that interferes with neighbors’ use or enjoyment of their property, endangers life, health, or safety, or is offensive to others.

Under the Abandoned Property Rehabilitation Act, abandoned properties are presumed to be nuisances because of their “negative effects on nearby properties and the residents or users of those properties.”

More important than what a nuisance home is, is the opportunity such homes create for investors like you. As a newly developed strategy to unlock your buying potential of these properties, the Lee Arnold System of Real Estate has begun teaching the acquisitions strategies that are pulling investors to the top of their markets in a single bound.

To read more, <CLICK HERE> or call us at (800) 473-6051 to sign up for the next Master Lein Abatement Specialty Lab to find out how you can be the “go to” investor in your area to get these properties for pennies on the dollar.


 

HOW DO I FUND THEM?

So the real question remains: how do you fund these deals when you find them?

Banks won’t lend on these properties–they don’t want to lend on properties that are in disrepair and are typically looking to lend to the owner-occupant. Most people don’t have enough liquid capital lying around to pay for the property and renovations. I’ve certainly seen people try to fork all the bills on their own, only to tap out in frustration and never see the project fully complete.

That’s where we come in.

If you’re an investor who needs to get money for a property, your answer is Cogo Capital where we provide the funding solution for investors like you.

We identify what a good deal is, we vet out the loan, order the appraisal and the title of the property. Then, we make the loan available to our investors, and they get to put their money into your deal. It’s the quintessential peer-to-peer lending platform, which, in the ever-calming (hopefully) wake of the banking crisis has become mainstream.

Now, some companies lend this way from a consumer lending standpoint – think credit consolidation and the like – but the trouble with using lending like this for real estate is that it’s unsecured.

Lending through Cogo Capital is secured against first position on real property, which has proven successful for not only the investors lending the money (it’s the CIRCLE OF WEALTH) but also for the real estate investor like you who are borrowing money to purchase and fix more properties.

We also don’t care about your credit score and past financial history as much as banks do because we do what’s called “Asset-Based Lending,” where we look at the value of the property and the amount your paying for it. Then we determine if this is a safe loan and if you’re going to make money. We want to help you buy 8, 10, or even 12+ properties this year.

We want to help you get in and out with money in your pocket so you’ll come back and do it again and again.

Your risk timeline is also reduced compared to a traditional bank loan. We essentially loan you enough money and give you enough time to fix up the property, market it for sale, and sell it, at which point our loan is paid off, the investor gets their money back, and you make a profit.

The best part? You now have money to do it again, and we’re going to give you better rates as a returning borrower.

“But what if I can’t sell the property in the time frame of the loan?” you ask?

Well, that’s a great part! We’re not in the business of owning real estate; we’re in the business of facilitating resources to those who want to invest in real estate.

So if we provide a loan to an investor who isn’t moving a piece of property on the market as quickly as they expected, then we do our due diligence. We assure that the investor has done well with their payments and have improved the value of the property, and reevaluate the terms of the loan based on that. At the Lee Arnold System of Real Estate, we also teach and strongly encourage various exit strategies.

To learn more about the Circle of Wealth, <CLICK HERE>

Yours in Success;

Lee A. Arnold

CEO

The Lee Arnold System of Real Estate Investing

Follow me on Twitter: @CogoCapital  and @LeeArnoldSystem 

Have a deal? Visit us at www.cogocapital.com to fill out your fast and easy quote. Want to learn more about COGO first? CLICK HERE to get to know all the ins and out!

Are Flipped Houses Bad for the Housing Market?

Do Flipped Homes Dramatically Change the Housing Market?

When it comes to investing in distressed homes, I’ve heard it all.

You probably have, too, especially if you’ve been in the industry long enough and have explained what you do to enough of your friends and family.

Most recently, I had the opportunity to tackle a concern from an upset buyer who claimed that the rise in renovated houses was ruining the housing market. Coming to Spokane, Washington from a larger market where home prices had risen steadily over recent years, he noticed a correlation between the higher number of area investors and associated the two. According to him, flipped properties forced surrounding housing prices up so high that he could no longer afford to live in his desired neighborhood.

But does his concern hold water?

Do increased home values affect the economy?

Or is this a chicken vs. egg argument?

The economy is cyclical, with natural periods of expansion and recession. As such, one can assume the housing market is, too, and that anything that drives up the housing market—such as increasing home values—affects the economy. But does it?

In this business, we work off percentages and margins. In a volatile economy, those margins shrink, and when the economy is good, we have more opportunity to profit.

If the economy is doing well and unemployment is low, the demand for housing increases, and in turn, so does the cost of housing. Conversely, when the economy drops, and budgets tighten, the money allocated by the average American family for general upkeep on a property is shortened to cover the basics, like the mortgage, and housing values decline. Stretch this out long enough and extreme enough, and neighborhoods values reflect the dropping home values.

It is fair to say that the economy influences the housing market more than the housing market influences the economy.

Regardless of how simplified we’ve made the economic cycle here or how many details we’ve left out, the real issue is why anyone would believe flipped houses in any neighborhood would affect their buying power. It sounds to me like we’re dealing with a potential homeowner who would rather avoid bringing value and motivation to his market rather than live among distressed homes.

Instead, flipping breathes new life into communities by giving qualified buyers a chance to live in their dream home and adds value to the hardworking homeowners in the area who don’t want to live among run-down properties.

For investor lending, Cogo Capital offers quick turnaround, excellent terms, and millions to lend. Cogo Capital serves both local and national real estate investors, real estate agents, and private money lenders in quality, multiple loans.

Let’s make our communities stronger, increase values, and make real change in this oscillating world.

If you want to make a difference in your area’s communities, join us at the Lee Arnold System of Real Estate’s Master Lien Abatement specialty lab. To learn more about acquiring houses for pennies on the dollar, becoming the go-to investor in your town for nuisance properties, and flipping for huge profit, <CLICK HERE> or call NOW at (800) 473-6051. 

Your Neighbor;

Lee A. Arnold

CEO

The Lee Arnold System of Real Estate Investing

Follow me on Twitter: @CogoCapital  and @LeeArnoldSystem 

Have a deal? Visit us at www.cogocapital.com to fill out your fast and easy quote. Want to learn more about COGO first? CLICK HERE to get to know all the ins and out!