1-17-04 Chat Transcript
Posted on January 31, 2004
thanks to Sean McLellan for recording this informative chat session!)<
Welcome to the chat, Sean McLellan!
[Investment Chat]: Sean McLellan has entered (2:50 pm)
Sean McLellan: hello
Sean McLellan: you there?
Sean McLellan: and it looks like i’m by myself
[Investment Chat]: keyman has entered (2:55 pm)
[Investment Chat]: NC Frank has entered (2:55 pm)
Sean McLellan: hello everyone
keyman: hello Sean
Sean McLellan: where are you from?
keyman: Minneapolis area. Where do you live?
Sean McLellan: Tennessee
[Investment Chat]: Roger Dawson has entered (2:57 pm)
Sean McLellan: Hello, Roger
Roger Dawson: Sean, thanks so much for the DVD, Your father is a great
instructor.
Sean McLellan: You’re more than welcome, I hope it helps your game
[Investment Chat]: Carleton Sheets has entered (2:58 pm)
Sean McLellan: Hello Carleton
Roger Dawson: Hi Carleton!
Roger Dawson: Who has made an offer this week?
Sean McLellan: i have
Carleton Sheets: Hello everyone. It’s great to be here with all of you
enthusiastic investors and would-be investors.
Roger Dawson: Good! That’s where success lies. Keep making those offers.
Sean McLellan: I’m currently in the process of buying my first home
Carleton Sheets: Congratulations Sean. In what city?
[Investment Chat]: Mike Summey has entered (3:00 pm)
Sean McLellan: the offer was accepted, and I think I’m going to have
less than $1000 cash into the deal
Sean McLellan: Jefferson City, TN
Roger Dawson: you’re never make money faster than when you’re
negotiating a real estate purchase.
Carleton Sheets: Wow, that’s great.
Mike Summey: Hi everyone!
[Investment Chat]: MikeInVA has entered (3:01 pm)
Sean McLellan: Hi Mike
Roger Dawson: Hi Mike!
MikeInVA: hi there
Mike Summey: Sorry I’m late
MikeInVA: loved your book guys!
Mike Summey: Thanks
Sean McLellan: definitely, it was great
[Investment Chat]: Edward has entered (3:01 pm)
Carleton Sheets: ……and to think about all those people who have said
you can’t buy real estate with little or no money down, eh Sean?
Mike Summey: Sean, thanks for the golf video.
Sean McLellan: You’re welcome, Mike. Look out Carleton, I’ve armed your
opponents with some new golf instruction
Roger Dawson: We got several Email questions this week about buying
condos
Mike Summey: Carleton is going to watch it with me tonight.
Sean McLellan: Amazing, that’s great to hear. I hope you like it
Carleton Sheets: Thanks so much Sean.
Roger Dawson: Condos can be a problem when you deal with homeowners
associations.
Mike Summey: Does anyone have any experiences with condos thay would
like to share?
Roger Dawson: As Mike says, thats why they don’t call them investor
owner associations
MikeInVA: i was wondering if i could ask a question for Mike and
Carleton regarding home valuation
Mike Summey: sure
MikeInVA: mike, i know you’re a big fan of making sure the numbers work,
and determining a home’s value based on what you can afford to pay to
make the cash flow work…
MikeInVA: however…
MikeInVA: carleton, in your course, you don’t recommend this method for
single family homes
MikeInVA: just for properties with 6 or more units
Roger Dawson: I have a horror story on a condo in Palm Springs. When I
bought it homeownwers dues were $240 per month. When I sold it they were
$505. It depressed the value of the entire complex.
Carleton Sheets: I bought a condo last year and four months after
closing, the board submitted a proposal to the owners to vote on. they
wanted to limit rentals to one per year. They said that if the number
of investor-owners exceeded 30%, it would be difficult to obtain
financing for everyone. Fortunately it didn’t pass.
[Investment Chat]: Denis has entered (3:06 pm)
Mike Summey: I recommend it for new investors as a way to keep them out
of trouble. You hae to look at a lot of properties to find one that
works, but when you do it will pay you from now on.
Denis: Hi, I hope I didn’t miss much.
[Investment Chat]: Kawika has entered (3:06 pm)
Mike Summey: Hi Dennis & Kawika
Roger Dawson: Hi Denis and Kawika!
Kawika: Hi all.
MikeInVA: do you really ignore all comparable sales data, then?
Mike Summey: Mike, the secret is patience.
Mike Summey: I only buy those properties where the number work.
Denis: I loved reading the Weekend Millionaire. But I am wondering how
practical is is in my area (Massachusetts). Housing prices are getting
out of control, but I am finding that the rents and adding on the cost
of a management company are not making the numbers work.
Mike Summey: If i had streached this over the years, I may own more than
I do today, but I may also be broke too.
Sean McLellan: Sales data isn’t important when you are investing in the
long run. What matters is your monthly cash flow
Carleton Sheets: Mike, I’m not sure of your question regarding how I
evaluate SF homes.
Roger Dawson: Remember, the Weekend Millionaire never sells property.
It’s was it cost you to own it that matters, not the appraised value.
keyman: Do you recommend buying rentals (single family) with
conventional loans considering current low int rates?
Mike Summey: If the numbers work, by all means buy that way.
MikeInVA: i agree. i was wondering why carleton, in your chapter on home
valuation, you describe the 3 methods: comparable sales, replacement,
and cashflow
MikeInVA: (i don’t remember if you used the word cashflow or not)
Carleton Sheets: Sure, as long as your upfront with the lender. But you
only have a finite amount of credit…that’s the problem.
MikeInVA: but for the last method, which seems to be the method mike
uses, you don’t recommend using it for properies with less than 6 units
MikeInVA: i’m not sure i understand why you can’t use it for sf homes
MikeInVA: i hope i’m not too confusing
Mike Summey: Don’t confuse Carleton’s course with the Weekend
Millionaire. Our book deals with buying and holding. Carleton’s course
covers a much broader range of real estate investing.
[Investment Chat]: keyman has entered (3:11 pm)
Mike Summey: Over the years, probably more than half of the deals I’ve
made used unconventional financing.
Denis: Many of the books I have read advocate buying property within 10
miles of where you live. Is it a terrible idea to buy property in other
parts of the country (say Florida) and have it managed for you?
Roger Dawson: Re High prices in Conneticut. You have to go into areas
that you normally don’t see. Not slum areas but places where the bus
drivers and store clerks of the world live. Good hard working people who
will always be renters.
Carleton Sheets: Mike, my discussion about the three methods was purely
academic at that point…just to familiarize readers with how properrty
value is traditionally determined. In the end, it’s the market place
that determines value and I have to agree with Roger Dawson that even
more important is the cash flow. considering that real estate has gone
up in value for over 150 years, I would not be hesitant in buying a
property for way above market value if…THE CASH FLOW WORKS.
Conversly, I’ve seen properties as much as 20% under market value that I
would not touch because the cash flow DOESN’T work.
Sean McLellan: Yeah, I’m sort of running into that same problem because
I live close to knoxville, tn right now… but i’ll be moving 300 miles
away to franklin in a few years
Mike Summey: I’m a strong advocate of what I call “Direct Principal
Reduction Loans.” These are 0% interest loans that will become more and
more appealing to aging baby boomers who want to convert real estate
equities into income streams without having to worry about the loans
being paid off early when interest rates fluxuate.
[Investment Chat]: Clair-MO has entered (3:14 pm)
[Investment Chat]: alain has entered (3:14 pm)
[Investment Chat]: RLL has entered (3:14 pm)
Mike Summey: Hi Clair-Mo
Mike Summey: Hi alain & RLL
Clair-MO: Hi Mike
Edward: Carleton, I have a question similar to Denis. Do you have a
moment?
RLL: Hello and thanks for hosting this event!
Kawika: fyi, I just posted to a bunch of mesage boards about this chat.
[Investment Chat]: jayray has entered (3:15 pm)
Mike Summey: Hi jayray
Roger Dawson: Thanks Kawika!
keyman: Can you tell us more about 0% loans?
Kawika: Yes, I’d like to hear more about 0% loans to.
jayray: Hi folks
MikeInVA: thanks guys! i really appreciate your help. Your book was a
great introduction to a whole new world for me. As soon as I finished
the book, I ordered Carleton’s course and it’s fantastic. Thanks!
Clair-MO: Hi Jayray
Carleton Sheets: Go ahead, Edward.
Edward: Carleton, I must admit I purchased your course almost a year ago
and began studying only recently. You recommend in the course that a new
investor should first consider and evaluate homes within a 10 mile
radius of his or her home. My issue is that homes in my area (northeast
of Seattle) are extremely high in cost and the area is flooded with
rather large rental properties (you may have heard of Archstone
Communities). Any suggestions? Should I find a well-to-do partner or
look into properties outside of the metropolitan area?
Roger Dawson: We strongly recommend Carleton’s tool kit. It gives you
all the forms you need.
Clair-MO: Are you folks real?
Mike Summey: These amount to loans that have a 100% prepayment penalty,
because if you pay them off early you still have to pay the full amount
of the payments, but they give you a way to offer a higher “Price” yet
still keep within the cashflow.
alain: Hi Mike, thank you for answering my email! I enjoyed reading your
book and have recommended it to many!
Carleton Sheets: Edward, I’m familiar with the Seattle area and I sure
agree with you. Either go outside your area or look for multifamily
properties that will have a lower per unit cost. I guess I should have
stressed more the fact that within a 10 mile radius is an ideal or
preference.
Roger Dawson: Thanks for recommending the book Alain. It’s sold over
50,000 copies just through word of mouth like that, with no advertising.
[Investment Chat]: keyman has entered (3:19 pm)
Sean McLellan: Here’s a problem I am running into… Rents where I live
are extremely low in comparison to the price of housing. My first deal
is going to work because I plan on moving into it for 3-5 years and
paying it down and refinancing before I rent it out… But there are
lots of homes out here that even if you got 100% seller financing at 0%
interest, you’d still have a negative 100 dollar a month cash flow.
It’s kind of discouraging
[Investment Chat]: keyman has entered (3:19 pm)
[Investment Chat]: NC Frank has entered (3:19 pm)
RLL: I also recommend the book. I have read several by many authors and
this one really cuts to the chase
Kawika: I got WM, power negotation, and Carleton’s whole works. I highly
recommend them all.
Roger Dawson: I wouldn’t hesitate to buy within 25 miles, but out of
town properties can be a hassle.
Mike Summey: Here’s how they work…Assume you have a property that has
a $1000 per month NOI. That $1000 will make the payment on a $100,000
loan at 9% interest for 15 years or it will make the payment on a
$180,000 loan a 0% interest for 15 years. The “Price” of $180,000 is
more appealing to many people than the “Price” of $100,000.
Edward: Thanks, Carleton.
alain: Is it not tru that the techniques you used are better in a buyer
market rather than now, which is a seller market in my area?
Denis: Sean, I am seeing the same thing in Massachusetts and Rhode
Island. The rents just aren’t keeping pace with what the owners want.
Right now it is a sellers market and people are buying rental properties
with 12X multipliers! It is ridiculous.
Carleton Sheets: Sean, are you in a buyer’s market or a seller’s
marker?
Sean McLellan: Exactly, Denis. Mike’s example is a great example… the
problem is… a 100,000 property in my area frequently rents for only
$500/month… and I can’t seem to find out ways to combine price and
terms to make it work
Mike Summey: Hey guys! Just remember patience! Becoming a Weekend
Millionaire is a get rich slowly program.
Denis: I understand that Mike, but it would be nice to be able to get
into the game…
alain: Carleton, you know the Orlando Market! It is a seller’s market.
Do oyu still think your techniques can apply to our market?
Mike Summey: I’ve had years that I only bought one or two properties and
other years where I bought as many as 65.
jayray: What do you guys think about an interest only product for
investment purchases or refi’s
Carleton Sheets: Would it be practical to consider deferring a portion
of the payment to achieve a breakeven cash flow?
Sean McLellan: Carleton, I’m not sure exactly. How would I determine if
it is a buyers or sellers market?
RLL: so really, its a numbers game right? And I guess if it were easy,
everyone would be doing it and then where would we be
Roger Dawson: Re Buyer’s and Seller’s markets. I agree with the concept
but remember that for every property sold beccause the seller doesn’t
think it’s a good investment there has to be a buyer who thinks the same
property is a good investment.
Mike Summey: RLL…your right.
Kawika: Make an offer at 60% FMV. If they slam the door it’s a sellers
market. w
Mike Summey: Sometimes market conditions make it more difficult to find
deals than at other times.
Sean McLellan: Re: deferring portions of payments… practical, i
suppose… but that seems to me that you’re somewhat moving into
speculation rather than investing
[Investment Chat]: shane has entered (3:24 pm)
Mike Summey: But the old saying “The wheel comes back around” is very
true.
Mike Summey: Hi shane
Roger Dawson: A good gauge of buyer or sellers maket is length of time
on market. Number of days before a listing sells. All boards of
realtors track this and any agent can tell you what it is in your area.
alain: I bid on a house at 10% below list price…the house sold for
FULL PRICE!
Carleton Sheets: I recall speaking to a group of investors in the Los
Angeles area and they said there is no way to buy property with a break
even cash flow. Properties are just too high. then an investor spoke
up and said “I buy properties in the Watts area and I’m having no
problems with tenants and I’m getting a positive cash flow. Sometimes
we confuse buying rental property with buying a personal
residence…don’t be afraid to buy in cheap housing areas…not slums
but borderline.
Mike Summey: Alain, don’t feel bad. I made an offer on a house a couple
of months ago and by the time I made my offer there were 3 others for
more than the asking price.
Denis: The only houses I can find in my area that would work are houses
that are barely standing. Anything that is remotely habitable is
selling for 250,000 or better in Massachusetts and Rhode Island
Roger Dawson: Alain, there have been times when offers had to be above
listing price to be considered.
Mike Summey: Denis! Where do the blue collar workers live?
alain: Glad to know I am not the only one!
Kawika: I’m in San Diego so I know what you mean about high prices.
Isn’t that where seller financing can help get the cashflow under
control?
Denis: These are the blue collar workers! I bought my current house 8
years ago for 165,000 it is now worth 375,000 !!!
alain: Fellows, what is our lending arm of choice?
keyman: We are considering getting investment cash out of our home with
an interest only refi. Any cautions?
alain: Other than Owner’s
RLL: Here in the South, mobile homes are plentiful. Are they too risky?
I know you have a chapter on them Carleton but how do you feel Mike and
Roger?
jayray: The market is great right now in NC for buying. I’ve purchased
12 single family homes in 12 months, with about a $2,000 a month
positive cash flow
Sean McLellan: Firsthand example… there is currently a property in the
city right next to mine… about 15 minute maybe 20 minute drive… and
in that area there are lots of “borderline” homes… One is $49,000…
which is about an average price… even if i were able to find someone
who would finance 100% at no interest over 15 years… even if i rented
it out for $500 (which couldn’t be done) you’d still lose money
Mike Summey: What kind of job does a blue collar worker have that will
allow he to pay $365,000 for a house?
Denis: Most people in my area work in Boston (they ride the train) and
make bags of money that they bring home to the bedroom communities.
Roger Dawson: $365,000. A couple making $30,000 each could probably
afford that.
NC Frank: jayray where in NC
Denis: If you can’t afford a house you rent. But the owners want top
dollar.
Mike Summey: Sean, a payment of less than $275 per month will pay off
$49,000 in 15 years.
Mike Summey: Denis, are these the blue collar workers?
alain: Mike you like the 15 year loan don’t you?
jayray: I’m about 20 minutes north of Charlotte! Go Panthers
Denis: Yes, secretaries, etc.
Denis: If you work in a factory…you probably are a renter.
Mike Summey: Alain, that’s just my criteria. I like to pay for my
investments in 15 years or less.
Kawika: I like the idea of using down + 0% loan as a cashflow /
inheritance solution. Got the idea from WM. Thanks Mike/Roger!
alain: Do you still have a positiveor do oyu just break even?
Mike Summey: Kawika, it works. I have several that I’ve bought that way.
Denis: Mike Summey, where are you located (california?)
Sean McLellan: Mike, oops, wrong button there I pressed when I was
calculating that. Yes, that would work with a positive cash flow of 25
a month when accounting for maintenance reserves, management, etc. but
100% of the purchase price at 0 percent isn’t something I expect to
realistically able to achieve
Kawika: Yeah, I didn’t think it would work until I looked at it closely
from the seller’s point of view.
Mike Summey: Alain, even if you just break even in the beginning, you
are paying down the loan and realizing the appreciation, if any, so you
are building equity.
Roger Dawson: Denis, Mike owns Asheville, NC!
Mike Summey: North Carolina.
RLL: Biltmore and all, Roger?
Denis: So it appears NC is a good area for investing.
alain: Is not a burning city?
Mike Summey: Roger’s just jealous!
Kawika: w
alain: Carlton which bank do you recommend in Orlando?
Roger Dawson: RLL, the
Mike Summey: We have the same things going on in Asheville that you are
describing about other areas. Houses I bought a few years ago for
$30,000 are now selling for $150,000 and more.
Roger Dawson: RLL, the Biltmore is Mike’s weekend cottage!
[Investment Chat]: keyman has entered (3:34 pm)
jayray: Just got an offer accepted for a 4 bed 2 bath, tax value $100K
for $50k in NC. With $15K worth of repairs the home should sell for
$125K
Carleton Sheets: Alain, I don’t live in Orlando and the bank I deal with
in my town does not do business in Orlando.
alain: Oh I thought you had an office here!
RLL: I knew the book impressed me for some reason, Roger
Carleton Sheets: Congratualations Jayray
jayray: thanks
keyman: We are not touching anything–honest! Sorry our name keeps
appearing as entering.
Mike Summey: From personal experience, I’d recommend establishing
relationships with several banks.
Roger Dawson: Like all success, it’s easy to say it won’t work and
dismiss it. The people who get rich are the ones who find a way to make
it work and never, ever give up!
alain: Local banks or Direct Lenders?
jayray: Just got started only 16 months ago and have also been able to
pull out ove $75,000 cash on my 12 rentals
[Investment Chat]: keyman has entered (3:36 pm)
Carleton Sheets: Local banks but banks are continually coming up with
new creative financing plans.
Mike Summey: The more lenders you can establish relationships with the
more options you have.
alain: Thanks
Denis: Let me bounce this theory off of you and see where it falls. My
wife got the idea that since one day we might want to move to Florida to
live, we should buy a house there and rent it. This would be a house
that we would want to eventually move to. We could also buy other
houses there and have then managed for us. Since many people move to
Florida as they grow older we figured there would be a boom in Florida
soon as our peers (baby boomers) start to reach retirement age. Does
this make sense?
NC Frank: Roger,like all successes etc., This is a fact…..well said.
Kawika: Careleton: When you say local banks do you mean those with
branches just in the area, city or large banks with a branch?
RLL: Is an excellent credit rating enough to approach the banks with or
do they look more at equity?
Mike Summey: The reason for establishing relationshipw with several
banks is because they are business too and they go through cycles like
all businesses.
jayray: My problem is that I can’t buy the houses fast enough
Carleton Sheets: Just started doing some business with Wachovia and they
have a new investor loan package if you already own a property or two
with some equity.
[Investment Chat]: beejay29 has entered (3:38 pm)
Kawika: <-- wants jayray's problem.
Mike Summey: One of my main banks just went through a merger and
suddenly they are not interested in real estate loans at all. A year ago
they were begging for more of them.
Mike Summey: Hi beejay29
beejay29: Hi this is my first time at this chat room
alain: What do you think of Lend me your credit program. You help , for
a fee, someone without credit buy a home.You purchase the home and rent
w/opt2by with no money out of oyur pocket becaus eth eoption is the
down payment?
Carleton Sheets: Thanks Mike in Virginaia and good luck!
Roger Dawson: Welcome, beejay29!
[Investment Chat]: Summer_NM has entered (3:40 pm)
beejay29: Hi
jayray: Hi Carlton, Does Wachovia offer a home equity line of credit
established on my rentals. I have 75% ltv on all of them.
Carleton Sheets: (I can spell better than I type)
Mike Summey: High Summer
Summer_NM: Hi all
Carleton Sheets: Jayray, I’m almost sure that they do.
Sean McLellan: Hello Summer
jayray: Thanks, I check on it Tuesday.
alain: Wachovia lend ONLY Home Equity on Owner occupy in Orlando!
jayray: That’s the problem I’ve run up against Alain with other banks.
Kawika: Mike, what objections have you had to overcome to 0% or low%
seller loans?
alain: Yes, none that Iknow of will!
Mike Summey: Dennis, your wife’s thoughts about a house in Florida could
work. Especially if you visit the area frequently so you could keep an
eye on it.
Denis: I have a Disney Timeshare, so we do tend to go down there often.
beejay29: Carleton I live in California and property is so high here.
For investing in property what is your thoughts
[Investment Chat]: keyman has entered (3:43 pm)
Mike Summey: Kawika, I’ve had some objections and I’ve had other people
who loved the idea.
alain: But Jayray you can always find an investor!
Carleton Sheets: Alain and Jayray, that’s not the way it was presented
to me but I just made a note to check on it Tuesday.
Roger Dawson: Banks are in a strange situation now. They can borrow
money from the Feds cheaper than they can collect it from depositors.
Having branches costs them money. So check direct lenders also.
Carleton Sheets: beejay 29, where in California?
Mike Summey: I usually make these kind of offers to people that I have
already determined are more interested in an income stream than cash.
[Investment Chat]: RLL has entered (3:44 pm)
beejay29: Northern Vallejo
Roger Dawson: Hi RLL!
Kawika: So max price and income was the deciding factor?
alain: Carleton, I went through it and the only way I could get an
Equity line was on Owner Occupy!
Mike Summey: It was definately a factor.
Roger Dawson: Beejay, I bought my first piece of real estate in Napa in
1963 for $12,750. I thought the $67 a month payments were going to choke
me!
Carleton Sheets: beejay, I used to suggest Modesto and Merced but even
these areas are out of sight. Multifamily a consideration?
beejay29: To bad I wasn’t living in Napa then. You can’t find any
property for that now.
alain: Mike when you offer a Owner’s financing at 0% but for a higher
selling price do you not have difficulty getting a bank loan for osme of
it on an “overpriced ” property?
beejay29: That might be something I will be looking at. Thanks
Mike Summey: I’m with Roger. I paid $12,800 for my first house and I
thought that was high.
Roger Dawson: Real estate has never seemed cheap at the time I bought
it.
Mike Summey: Alain, if the owner is going to provide the financing, you
don’t need anbank.
Denis: I have been trying to apply the NOI calculations to Multifamily.
Is this practical? I am going to see a house tomorrow, that is actually
a 2 family with a potential for a 3rd and a 2 story single family on the
same lot. The asking is 289,000. Only 2 units are rented and the house
is vacant, but listed as move in condition. It is FSBO.
beejay29: Maybe another state for me would be better than staying in
California. Anyone with suggestions.
Denis: What are your thoughts?
alain: about 50/50?
Carleton Sheets: We are all interested in real estate as a safe way to
create wealth but what about using the techniques I teach and the ideas
from Mike and Roger, to buy a small business. One student of mine
bought a laundermat. Another dentist bought his practice no money down.
Carleton Sheets: Using the NOI on multifamily properties is mandatory.
alain: Carleton, how many homes do oyu currently own?
keyman: What is NOI?
Mike Summey: Real estate seems high everywhere. It’s all relative.
Remember, we’re not looking for the market priced deals. We’re looking
for the ones that because of one circumstance or another are wholesale
deals.
Sean McLellan: yes, that’s one thing that definitely works out here.
almost every multi-family property where i live is a good deal. i’m
just not ready to buy one of those yet. i want single family first and
then i’ll grow into multi family
Roger Dawson: I’ve always advocated a mixed portfolio. Single families
for liquidity and multi units for cash flow.
NC Frank: Mike, do you have any book signings planned?
Mike Summey: For those of you who doubt that Carleton is an investor
himself, you should visit with him. I had to wait on our golf game
yesterday while he talked with a seller about buying a house.
alain: And di he buy it?
Denis: Sean, why just single family. Around here it is easier to get
people to rent apartments. The prices are so high if you can afford to
rent a house you really should own it. House are renting for $1400 per
month and up.
Mike Summey: Frank, Carleton & I will be signing books at the Jensen
Beach Barnes & Noble at 5:00 today.
alain: About orlando?
Mike Summey: He is going to wait until I leave to look at it.
Carleton Sheets: Alain, I’m kind of winding down. Have the smallest
number of properties in years….about 60.
Sean McLellan: just because i have no experience with real estate yet,
and i am just not comfortable yet with my first step being four tenants
at once
alain: Carlton, how many employees do you have to manage 60 prop.?
Carleton Sheets: The property I called on yesterday, I will view on
Tuesday.
Summer_NM: In your book you use the term “private investor” quite a bit.
Who do you consider to be a private investor?
Mike Summey: Everyone! Keep an eye on the events calendar on this
website. Any book signings, redio or television appearances, speaking
engagements, etc will be posted.
[Investment Chat]: cdninvestor has entered (3:53 pm)
Roger Dawson: I suggest finding private investors by calling your CPA.
They know all kinds of people who are looking for a higher return on
investment.
Mike Summey: Sunner, a private investor is anyone who in not an
institutional lender who invests in mortgages. There are people in most
towns who do this.
Carleton Sheets: I have zero employees. I believe the management
company I use has 3.
Mike Summey: Hi cdinvestor
Summer_NM: so, these are private people, not traditional banks, etc.
Mike Summey: I have 0 employees also.
Mike Summey: Summer, thats correct. Check the classified section of your
newspaper or look in the yellow pages.
Summer_NM: I’ll put my calls out for those people. Thx.
Mike Summey: Run an ad yourself seeking a private investor.
alain: Carleton, do oyu find your tenats or do oyu let your Management
company find it. ALso, I am going to read your work. I have a friend who
purchased the course and he is going to give it to!
Mike Summey: There are many people who would rather make 5-6% on their
money when its secured by real estate that earn 1-2% in a bank CD.
RLL: any idea how to get a decent idea of a property value without
sheliing out for an appraisor?
alain: Carleton, I wan tot order oyur form kit, does it include example
of Option to buy?
Summer_NM: But there are so many mortgages available for 4 3/4%, what
would be my benefit of paying a private investor 5-6%
Sean McLellan: what are common rates offered by private investors, would
you say? I’ve found one so far, and his rates are 12% and he’ll only do
a first mortgage for up to 70% of the purchase price
[Investment Chat]: mickey has entered (3:56 pm)
Mike Summey: RLL, read the Weekend Millionaire, it tells you exactly
how.
Mike Summey: Hi mickey
Carleton Sheets: I can sense the enthusiasm among all of you. What an
exciting hour. Thanks Roger and Mike for inviting me. I have an
appointment so wii have to sign off in a few minutes but in answer to
your question Alain, I do nothing but collect check monthly. And yes
Alain, it includes almost every form you will ever need,
Summer_NM: Thanks Carleton.
Roger Dawson: Sean, 12% on 70% value is outrageous!
Sean McLellan: that’s what i thought
[Investment Chat]: The Wright Realtor has entered (3:57 pm)
RLL: Guess it is in the pages to come. THanks.
Summer_NM: Sean is that a hard money lender
Sean McLellan: using him even makes the multi-family units out here a
bad deal
alain: Sean mainstrea Investor aI found are arounf 12 to 15 for one year
only. Usually, for buy-and-fix program
Mike Summey: Hi Wright Realtor
Sean McLellan: yes it is
Edward: Thanks, again, Carleton.
Kawika: Thanks Carleton.
RLL: Thank you Carleton
Sean McLellan: yes carleton. if you like my father’s video, email me
and i’ll send you a copy as well
Carleton Sheets: IT’S OUTRAGEOUS BUT IF IT TAKES THAT TO BUY THE
PROPERTY AND IF THE NUMBERS WORK…WHY NOT?
Roger Dawson: Thanks, Carleton. You’re my hero!
jayray: Thanks Carleton. Jayray signing off
Carleton Sheets: Thanks, Sean. I sure will.
Denis: Thanks everyone.
Mike Summey: I am going to have to say bye to everyone also as Carleton
& I have to drive to Jensen Beach for a book signing. You are all
welcome to stay and talk with each other as long as you want and thanks
so much for joining us.
RLL: Roger and MIke, I see our time is almost up so thanks in advance
and congrats on a great book
The Wright Realtor: He’s My Hero also
Sean McLellan: excellent, it’s been great talking to you all
NC Frank: Thanks Carlton, I hope you will do this again!!!
Roger Dawson: When shall we do this again? The participation has been
great!
Summer_NM: Thanks everyone.
Carleton Sheets: And Roger…you’re mine!
mickey: Are the contracts in Carletons coures good in TX?
beejay29: Great chat really enjoyed it.
The Wright Realtor: Every one have a Great Day from The Bust Wright
Realtor!
Carleton Sheets: Mickey, yes they are.
Mike Summey: We’ll schedule another chat like this soon and send you a
notice, but you are welcome you use the chatroom yourself anytime you
want.
Carleton Sheets: Buy everyone.
cdninvestor: Sorry I missed most of this. I hope you guys do this again
soon!
Kawika: Buy CS.
Summer_NM: Will the transcipt of today’s chat be available?
RLL: Someone has to reach the levels of Mike, Carleton, and Roger. May
as well be one of us. (I prefer me, but best wishes to all)
Kawika: oops, freudian slip, Bye.
Mike Summey: Bye everyone. We’ll talk again soon.
Sean McLellan: Talk to you soon, Mike
—–
—–Original Message—–
From: Mike Summey [mailto:Mike@weekendmillionaire.com]
Sent: Saturday, January 31, 2004 4:47 PM
To: ‘Sean McLellan’
Cc: ralph@abooks.com
Subject: RE: Pre Super Bowl Chat
Sean,
If you have the last chat, please send it to Ralph@abooks.com. He can
put it on the website. Thanks!
Mike
—–Original Message—–
From: Sean McLellan [mailto:sean@enhancedstudios.com]
Sent: Saturday, January 31, 2004 3:07 PM
To: mike@weekendmillionaire.com
Subject: RE: Pre Super Bowl Chat
Mike–
Unfortunately, I will be unavailable to chat with you all tomorrow
because I already have a prior obligation. However, I wanted to let you
know that I did copy the text of the last chat session, and if you would
like to post it on the website, I’ll be happy to email you a copy.
Regards,
Sean McLellan
—–Original Message—–
From: mike@weekendmillionaire.com [mailto:mike@weekendmillionaire.com]
Sent: Saturday, January 31, 2004 1:17 PM
To: wkendmillionaire@aol.com
Subject: Pre Super Bowl Chat
Hello everyone,
Sorry about the short notice, but we just decided to have a Pre Super
Bowl Chat at 4:00 PM Eastern, 1:00 PM Pacific time tomorrow. Our good
friend Carleton Sheets, of television informecial fame, enjoyed the last
chat so much he has decided to join us again tomorrow.
If you haven’t participated in a chat, all you have to do is log on to
the website at www.weekendmillionaire.com, click on the chat button and
when the “Enter Chat Room” screen comes up, just type in the name you
want to use (Please make it simple) and hit the button to enter the chat
room. You’ll be able to see the other people who are in the chat room
and be able to ask questions of anyone participating. Or, if you just
want to watch the conversation, that’s okay too.
For those of you who asked why we didn’t post the script from the chat
on the website the way we have done some other chats, we’ll try to do
that after this one. When we had the last chat, we weren’t where we
could capture the text and post it. Sorry!
We look forward to seeing you in the chat room tomorrow.
Mike Summey & Roger Dawson
PS: Our new audio program The Weekend Millionaire’s Real Estate
Investing Program has just been released and is now available on the
website. Check it out, and if anyone wants us to do so, we’ll tell you
more about it in the chat tomorrow.
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