Apology JPiper, Garcia I also have an article for you - Posted by JSmith

import · May 23, 1999, 7:20pm

Posted by Irwin on May 23, 1999 at 22:42:33:

Smith – You have one profitable strategy that I can see. You buy a deal and flip to someone for a short profit. Hurray for you. That’s wonderful. We’re happy you’re successful. But please excuse some of us if we choose to do it a little differently from time to time.
And don’t take it personally, Smith. I’m sure you’re a fine fellow. But when someone hasn’t asked you what the secret of life is, don’t be too surprised when they’re not interested in listening to you explain it.

import · May 23, 1999, 7:20pm

Posted by JSmith on May 23, 1999 at 19:20:06:

I would like to apologize to the board for offending a few who seem to be pillars of this board, JPiper and Ed Garcia. After my first response to Amy about borrowing money, both JPiper and Ed Garcia both left an impression that if a third party says to not use their own credit that this third party does not know what they are talking about. These posts seems to be talking about me. I am very successful and I am a winner. I get very frustrated when I believe something is wrong and I can prove it is wrong. I want others to be successful and winners. I also get frustrated when I see focus going in the wrong direction like holding single family properties, land trusts, etc. Therefore, instead of arguing with the pillars about their philosophy, let me add to the board that is instructional.

MY ARTICLE TO YOU **********

Getting To Information Fast:

In order to obtain as much information as possible, you must have a strategy that includes the Internet. The key is to be able to process as much information as possible in the shortest amount of time. If you learn to process quickly, you should be able to do at least 25 assignments per year ($2k-$3k each) and 100 flips per year ($10k minimum). If you are not doing these numbers, you are not getting to enough information to process or you are processing to slowly. The Internet will help you with this endeavor. As your knowledge and understanding increase, you will be able to do much more.

One of my employees sole job is to scour the Internet for leads. As a matter of fact, this employee produces more than 2-3 of my other employees. We have high speed connection to the Internet which allows one employee the ability to process 150 leads per hour. This means that if a FSBO, Realtor, REO, Online Newspaper, etc has properties listed for sale on the Internet, my employee would read the ad and determine if it meets our criteria. We have all of our local and all of the national web sites in our database. Later, this employee would go back and retrieve the e-mail for each of these potential leads. At that point, along with other employees, an all out assault to hundreds of sellers via e-mail, letter, and telemarketing looking to buy.

Winners always take the high road and are very upfront. Nothing to hide and our sellers all know what we do, why we do it, and what we can do to strike a deal. No games, no beating around the bush, no reason to do any fancy investor tricks like you represent a large buying group or your group does 5 deals a month, baloney.

If you do not have high speed connection, a regular modem will do just fine.
You do not need a fast computer just one that does the job. To the advanced, you should be running at least 4 computers, 1-2 on the Internet, 1 for database management, and 1 for letter-email-and processing functions. This is a minimum. New Investors working with 1 computer will take more time, but is well worth it. A lot of what investors do is very similar to what Realtors do. The difference is we are principles, they are not. Real estate Investors insurance will be very similar to what Realtors have. You must also talk with your insurance agent concerning business and liability insurance.

I certainly do not want to wear out my welcome and I can share many many highly profitable strategies only if I am welcome to at a later time. I thought a little article would help heal some wounds.

JSmith

import · May 24, 1999, 10:45am

Re: Apology JPiper, Garcia I also have an article for you - Posted by Ed Garcia

Posted by Ed Garcia on May 24, 1999 at 10:45:47:

JSmith:

No problem, lets move on.

Personally, I find this posting hard to believe. I know how difficult it
has been for me to buy in other parts of the country, and how much work
I have had to endeavor. I have looked at many properties on the net, and
and even though I know that it is being done, it?s not the piece of cake
that you describe.

For starters, it?s not easy to comp properties in different parts of the
country. Secondly, how would you inspect the properties, and handle the
management or sale for that matter, when they?re out of your area ?

At the profits that you have described, it would not make economic sense.

Assigning or flipping would be difficult, due to being unable to net work
in the area that the property is located in. Lets not even talk about cost.
Doing deals in your own community is difficult enough, let alone attempt
to reach out in areas that you would not be able to service. By service I
mean that you are not geared to repair the property, and adequately sell
it or flip it.

Oh of course you can farm out the work, and all of my questions can be
answered. That can make sense until you think about the answers.

The reason I say that is because you would not have a network in place
to properly do this task. Networking is important.

But I?ll tell you what. It just so happens that I have 3 properties
advertised on this site in Classified Ads.

Some how your folks have missed me.

Of the properties showing on this site, the one that would be more in
you price range would be the one in Bellflower. I think it would be
closer to the type of properties that you would buy.

I have an appraisal of $325,000 , I?m asking $289,000 , and for you,
I will sell it for $289,000 with 10% down and I will carry the balance.

Or as I told you, money talks, for cash, it?s yours for $240,000.

Let me make you a nice deal before you go to Australia, and help you
pay for the trip.

Ed Garcia

import · May 24, 1999, 1:37am

Re: Thanks JSmith - Posted by Jackie in Dallas

Posted by Jackie in Dallas on May 24, 1999 at 01:37:11:

I haven’t read your other posts and don’t know (or care to know) what the current controversy is all about. There seems to be a new one every week - especially with anyone that contradicts Jim Piper’s opinions - as valid as they may be.

But, I would like to thank you for your article on Getting to Information Fast. Everyone that visits this site needs more ideas for finding and selling houses or finding and holding houses - it’s the How-to INFORMATION that we need more of, not the battles.

Flipping or Holding - rehabbing or not rehabbing - mobile homes or single family houses - notes, whatever… the bottom line is that YOU ARE AT LEAST DOING SOMETHING - that is more than 99% of the people on this board can say. If YOUR system works for YOU then I applaud you. If you are doing deals - whatever kind they may be - then you are successful. How many others that visit this board can say that? Hopefully others can learn from your article and it will help get them started or improve their investing. Everyone has different comfort zones - we all need to realize that. Real estate investing, like many other careers, has stepping stones…we can’t all start at the top.

For those of you that are so certain that YOUR way is the ONLY right way - why not share some of YOUR information about how to find houses(motivated sellers) - how to evaluate deals - how to negotiate - how to create the perfect cashflow deal or the perfect flip deal.

Let’s all try to go back to using this newsgroup as the great opportunity it was intended to be - a place to share ideas openly and learn from each other.

import · May 24, 1999, 12:48am

Re: Apology JPiper, Garcia I also have an article for you - Posted by Rick vesole

Posted by Rick vesole on May 24, 1999 at 24:48:03:

I am happy for your success. However, please do not cticize other ways of making money. I am one of those “buy and holders” of single family homes which you say is going in the wrong direction.

I noticed below that you are going to Australia and Hawaii for two weeks. The difference between a “buy and holder” such as me, and a “flipper” such as you is that I can go to Hawaii and Australia all year if I choose and guess what, I’ll make as much money that year as I did the year before because as a buy and holder I will make the same monthly cash flow whether I am there working or not.

On the other hand, I can stay in town and continue to work if I choose and make more money each succeeding year than I made the year before. This is the power of compounding when you buy and hold. When you flip, unless you reinvest, you’re only as good as your last deal.