SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

2 Ways To Double The Cost Of Your Project!

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

But Wait! Why Would I Want To Do Something Like That?

Maybe to stimulate the economy?

Maybe because you hadn’t run the numbers?

Maybe because “we’ve always done it that way”

Whatever the reasonThousands of jobs cost double

what they could be produced for if they were approached differently

Curious?

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

#1. Participate In A Federally Funded Program

Recently I asked two contractors who participate in Federally Funded

Renovation Programs,What are your costs if you did the same job inside and then outside of

the program?

One said, $70,000 in the program$30,000 without the program

The other said $40,000 with it& $20,000 without the program

Not a big study, but these are real contractors!

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

#2 Contract With A Customer 90% of Construction Work is done

by contracting with customers. The Model generally includes:

1. 15-25% Marketing Costs2. 10% Sales Commission

3. 10% Extra Work Around Customer, (masking, booties etc)

4. 10% Extra Paperwork and Administration to deal with

Customer and programs, rebates, warrantees etc.

IE 50% of the $ spent is not getting work done but just getting ready and supporting getting the work done.

Work Goes A Little Slower Working In Mrs Jones’s House

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

You Can See Why ConsumersThink Renovation Is Expensive And Have

Stopped SpendingIn Response,

some Contractors have:

1. Laid off non essential staff2. Laid off essential staff.

3. Closed Offices4. Sold Equipment & Vehicles

5. Lost Credit Ratings6. Filed Bankruptcy

7. Multiplied their stress8. Strained their marriages

9. Left the industryAt Least They Have

A DropCloth!

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

Those Aren’t The Only Solutions

The Concept of Multiple Streams of IncomeHas become popular and essential in recent years

because of the the instability of things we formerly believed to be stable.

Contractors can have multiple streams too....

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

Multiple Streams In The 21st Century Could Include:Start an eBay business

Write A Book, Write an eBookBuild a Multi Level Business

Be a Consultant - Speaker - ExpertSell from you Website

Pursue Your Passion For ProfitStock Market (a little scary?)

License Your Intellectual Property Real Estate, Rentals, Flips, etc

Be a Travel Agent (Luelle’s choice)

All these are possibilities and

have value. This

presentation is about adding at least this

one to a contracting

stream

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

OK, I’m Convinced. So How Do I Get Started?Top 10 Action

Points

1. Knowledge Is PowerEducate Yourself.

Bibliography:a. Flip by Davis & Volani

b. Real Estate & Investing Seminars & Books.

(very expensive ones are available cheap on eBay)

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

Getting Started #22. Home Performance

Classes @ PG&E (free)3. GreenEarthEquities.com(over 500 pages of content

on the blend of Real Estate, Remodeling &

Home Performance) (free)4. Subscribe to Home

Energy Magazine, CPBCA & Build It Green Newsletters etc.

Click Here &Read The BlogPosts

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

Getting Started #35. Learn the Internet Tools,

Google Earth, Bing, Cyberhomes, Localetrends, ForeclosureRadar, etc see

next week’s slides for a more complete list.

6. Start Building Your Teama. Find The Right Realtor.

(this may take several attempts. See Planetsavers

University for tips on interviewing & other team

members)

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

Getting Started #47. Sign up with your Realtor to receive automatic filtered listings in your email. (some

MLS systems call it a “portal”)

8. Learn To Use The Comparative Market

Analysis (CMA)9. Pick your neighborhoods and become an expert on real estate there. Track listing and sales prices.

Visit Open Houses

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

Getting Started #5

10. Begin lining up you finances so you will be ready to make a Cash offer. This

may mean a Small Local Bank line of credit (my

choice) or a Private Investor or a Hard Money Lender.

Wells Fargo Mortgage (not bank) has a “Renovation Loan that may be worth

considering.

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

Paper Trading Before Using Live Ammunition

Did you notice that most of the Top 10 Getting Started List was free or only a few

dollars for a book or subscription?

You can go a long ways toward ensuring your

success BEFORE you buy your first house

Education is costly, but mainly in time.

SavingThe PlanetOne HouseAt A Time

G r e e n E a r t h E q u i t i e s . C o m © 2009

“Paper Trade” Before Using Live Ammunition

Did you notice that most of the Top 10 Getting Started List was free or only a few

dollars for a book or subscription?

You can go a long ways toward ensuring your success BEFORE you

buy your first houseEducation is costly, but mainly in time.