SJI April 2010

• National Speakers • Educational Workshops • Networking • An E-list for Sharingand Problem Solving • Professional Housing Provider Certification • Expert Info

Shared by Industry Pros • Help with issues related to all aspects of real estate • Too much to mention

ff

April 2010 Newsletter

PRE-MEETING WORKSHOP:begin at 6:00 PM and are hosted by our

Vendor Members.Topics and speakers vary each month.Come early and learn from our experts.

Topic #1 Can I be a“Successful”Wholesaler in Today’s Market???

Come learn how to market, present, estimate,offer, and close like a pro. We will also discussthe ever growing short sale leads and how

to handle them.

PRESENTER: Michele Gorman, Buy This Housereal estate agency,856-324-4488,[email protected]

______________________________________

Topic #2 Good Faith Estimate and HUD1We will be discussing the new Good

Faith Estimate and HUD1 that came intoeffect in 2010.

PRESENTER: Christian DelGozzo,NorthAmerican Title Company,856-779-0099,

[email protected]

GENERAL MEETINGTHIS MONTH

TUE., APR. 20TH • 6PM - 9:30PM

MEETING SCHEDULE:6:00-6:30 Pre-MeetingWorkshop6:30-6:45 Break/Visit Vendors & Networking6:45-7:15 Announcements7:15-8:00 Vendor Speed Networking and

2 special presentations8:00-8:15 - Break8:15-9:30 - Short Sale Panel Discussions9:30-10:15 - Networking, Room Clean-up

OOUURR MMEEEETTIINNGG SSPPOONNSSOORR IISS::Phil Hinman, OwnerInspections, Plus

Full Service Residential &Commercial Real Estate Inspections

Clementon, NJ 08021(856)-784-2835

[email protected]

See their ad on page 17 of this newsletter

SPEED NETWORKING AND 2 SPECIAL PRESENTATIONS: Speed Networking - you get about 3 minutes to sit one-on-one w/experienced professionals who will answer yourquestions in their area of expertise.

Presentation #1: NJ Tax Records Analysis - Improve per-sonal performance of real estate investors and Realtors bycreating mailing lists, performing market analysis andbringing objective data to support visits to sellers. PRE-SENTION BY Marc Halpern, Experienced p/t real estateinvestor, [email protected]

Presentation #2: Buying HUD houses and using HUDprograms - Come find out how to purchase a HUD homeand learn about HUD assistance programs. PRESENTA-TION BY David Cantera, Realtor at PatMurphy.com, 856-428-2800, [email protected]

SHORT SALE PANEL OF LOCAL EXPERTS WHO ARE DOING THESE KIND OF DEALS EVERYDAY

WILL SHARE THEIR VAST KNOWLEDGE!Jason Sonstein, LLC – AttorneyMichele Gorman, Buy This House - Realtor and investorLou Pinto - Experienced investorNick Tang, Investors Academy - Processing payoffsDuane Ortega, BestTransactionFunding.com -Transactional fundingJohn Starn, Brightman Title Agency Inc. - Title insurance

(Panel event MC'd by Ronald Jablonski, iAbstract and Title Agency, LLC)

Come to this special 2-part meeting:(1) Speed network with local experts and 2special presentations.

(2) Learn how to do SHORT SALES successfully in South Jersey!

MAIN MEETINGS: No need to RSVP- we have a seat waiting for you! Just come!! Not a member yet? Join for just $125/yr.!

WHERE:Collingswood Grand Ballroom at the

Scottish Rite Building,315 White Horse Pk, Collingswood, NJ

SJI Board of Directors 2010 ~ Executive Committee ~

President: Fred Ezell, Sr. • Vice President: Tracy BonnanoTreasurer: John Starn • Secretary: Jinny Hurley

You can contact the board by emailing us at [email protected]

Lynn [email protected]

Administration Assistant, VolunteerCoordinator

and Events Coordination

Tammy [email protected] Assistant & Events Coordination

Marie [email protected]

Bookkeeper

Joseph GattoJason SonsteinFred StraussGreg Davis

Courtland BeakleyRon JablonskiJim Kennedy

~ Support Staff ~

~ Board of Directors ~

The information and news presented in SJI publications and at group meetings should not be construed aslegal advice, which should be obtained through a qualified real estate attorney only. SJI does not exist torender and does not give legal, tax, economic, investment or financial advice and disclaims all liability for theactions or inaction taken or not as a result of communications from or to its members, officers, directors andemployees. Each individual should consult his/her own counsel, accountant and other advisors as to legal, tax,economic, investment, financial and related matters concerning real estate and other investments.

The opinions expressed by the members are not those of SJI. SJI does not endorse any person or organization.Its programs are designed to be educational, motivational and enjoyable. Remember, speakers primarily discusstechniques and methods that work for them but may not be appropriate for you. Whenever actions involvingpurchases, sales, or tenant relations are being considered, rely upon the advice of your real estate professionals.

PO Box 119 • Marlton, NJ 08053

club phone: 856-663-1133 • club fax: 609-482-8998

www.sjiclub.org • email: [email protected]

Winter is over and spring is here. I am sitting at my dining room tablelooking out the window as I write this article noticing the Forsythia’s havestarted to bloom. We are in the poconos enjoying the warm weather.

The real Estate market for investors is the best it has been in years. There are deals on every cor-ner. Short Sales are the highest in history and present a great opportunity to investors. We are tryingto meet the needs of our members and with the increasing number of foreclosures and short saleopportunities we are introducing a brand new Sub-Group on this topic.

SJI has progressed to the point where we really need our own space. We have obtained an office/meeting place where we will be having lots of our meetings. You will notice in the future that manyof meetings will be held in Westville. David Alzadeh of DJA properties has made us a good deal andwe appreciate it.

Help Help Help

We need your help to make SJI better. If you are not volunteering it is a great opportunity to rubshoulders with some of the best in the Investment world and beside that it is a great way to pay foryour membership and admission to some great seminars.

See you at the MeetingFredrick J. Ezell Sr. • President

From the desk of the president…April 2010

1040 Kings Highway North | Suite 700Cherry Hill, NJ 08034

Christian Del GozzoAccount Executive

Main: 856-779-0099Cell: 856-237-3108Fax: 856-773-4153

[email protected]

w w w . n a t . c o m

"DEAL TABLE" AT OUR APRIL MAIN MEETINGBring about 20 or so copies of your real estate deals (criteria to participate -

must own equitable interest and be a current club member)

JASON R. SONSTEIN, L.L.C.Attorney at Law

MEMBER OF NJ AND PA BARS

1814 East Route 70Cherry Hill, New Jersey 08003www.newjerseylandtrust.com

Ph: 856.673.4121 Fax: 856.673.4041

[email protected]

LEGAL CONTRACTS ON DISKEasy to use contracts for your creative real estate business! Forms available for:

Wholesaling……………………………………………. $229.00Landlording……………………………………………. $299.00Lease Options………………………………………….. $699.00Private Lending………………………………………... $799.00Creative Transactions..………………………………… $999.00ENTIRE LIBRARY…………………………………..$1,999.00

Credit Cards Accepted.

INTRODUCING SJI'S NEWEST SUBGROUP!!!!!!!!!!!!!

NEW Short Sale Subgroup * 2nd Monday of the Month at 6:00 PM

KICKOFF MEETING - APRIL 12The theme of the subgroup is ‘Everything Short Sale’. Subgroup leader Ron Odompromises to empower you with all the knowledge you will need to do short salesthe proper way. Short sale opportunities are everywhere!

Don’t know how to do a short sale? Been doing short sales and not getting goodresults? Don’t let it get you down – SJI has just formed a new Short SaleSubgroup, led by SJI’s very own Ron Odom. The meeting will be purely infor-mational. No selling. Bring all your burning questions!

This is the year of the short sale. Don’t let history past you by.

All who attend this meeting will receive a FREE copy of ‘Navigating the Short SaleJungle’ by Jeff Watson, short sale attorney.

See page 21 of this newsletter for more details!

Wherever you go, no matter what the weather,

always bring your own sunshine.

~Anthony J. D'Angelo

Many local businesses and retailers offer expertadvice, services, discounts and priority treatment. SJI vendors support our club, so remember to support our vendors!! Come early to our main

meetings to network at their vendor tables and/orlocate their information on our website too -- theyhave a lot of great information to share with you!

If you are interested in becoming a vendor, send an email to [email protected]

for more information.

SJIVENDORS!

Members & Non-Members -Contact us and we can assist you!!!

SJI Hotline 856-663-1133 • Fax 609-482-8998

On The Web: www.Southjerseyinvestors.org

Our Email Address Is: [email protected]

Conquer Seller Objections When Buying"Subject to"

by Wendy Patton

[Editor's note: Buying a home "subject to" means"subject to the existing financing" already in place onthe property. The terms of the original note with thelender stay the same, and the note remains in theseller's name. Typically, you would then sell the houseto a tenant/buyer on a lease option.]

Most people get nervous about dealing withobjections from the sellers. They worry that if theydon't have the right answer, they will lose the deal.

Here's the thing with sellerobjections, if a seller is rais-ing objections and askingquestions it means they areseriously thinking aboutgiving you their home "sub-ject to."

Over time, you will learn toLOVE to hear objectionsfrom the sellers because itmeans you are close tomaking the deal happen!You just need to give thema little more reassurance toget the deal done.

If a seller makes too manyobjections they aren't reallymotivated, and they probably won't give you theirhome "subject to." On the flip side, if a seller does-n't raise any objections, it means they aren't reallyinterested, and you aren't going to get the dealeither.

The other great thing about handling "subject to"objections is that after you have handled one suc-cessfully it becomes that much easier to handle itthe next time.

Each time a new objection comes up, it's a learn-ing curve. As you get more and more experienced,your learning curve comes down, so you'll be ableto get more deals done.

So what if you blow it once? You WILL do betterthe next time around, and trust me--there areplenty of deals out there. If you don't get this one,you'll get another.

Real estate investing is not a sprint race to the fin-ish line to just get one deal; it's more like amarathon where you will continuously do dealsover time.

With that said, let's take a lookat the most frequent "subjectto" objections you'll likelyencounter. #10 Can my attorney reviewthecontracts? "Absolutely! I rec-ommend it." Most of the time,they won't do this anyway. Butby giving them that reassur-ance, it shows you have noth-ing to hide.

#9 What happens if you die? "The contract has provisionsthat if either, you (the seller) orI die, the contract is still bind-ing and our heirs would con-tinue our contract."

#8 How long will it take you to get new financing? "What I can tell you is that I will work as quickly aspossible to do this. As soon as you sign this con-tract, I will go to work on finding a qualified ten-ant/buyer for your home.

"Tenant/buyers usually need about a year to gettheir credit back in shape to qualify for a mort-gage. However, sometimes tenant/buyers don'texercise their option to buy so we would need toget another one, which could mean it would takelonger."

Sometimes the seller will want a "not more than"date, so no matter what happens, you agree torefinance their "subject to" property no later than

(continued on page 7)

that time.

For example, you may find an option buyer whocloses on the property before this date, but if itdoesn't work out after a certain length of time, sayfive years, then you agree to refinance the mort-gage to get the mortgage out of the seller's name.

#7 Is this legal? "Yes, there is no law against this at all." If you needto explain anything further on the "Due on Sale"clause, here is your explanation:

"On your mortgage there is probably a "Due onSale" clause, which gives the bank the right to callthe loan due if you transfer ownership. As long asthe payments are being made the bank almostnever cares that the title has changed hands."

This is especially true during a time when foreclo-sure rates are very high in the country, as they arenow. Banks are less likely to want to exercise the"Due on Sale" clause because it increases thechance of them having to foreclose.

#6 I'm thinking about just listing it with a Realtor "That is certainly your choice. Let's take a look atwhy I'm here today, though. You want to SELL yourhouse, not just put it on the market.

"Based on the comparable sales that I've broughtyou it takes X number of months to sell a home inthis area. That means you'll have to pay an addi-tional $Y in total mortgage payments in that time.Plus you'll have to pay a 6% to 7% Realtor commis-sion, transfer fees, and closing costs when it sells.

"This is not to mention any repairs that need to bedone to bring the house up to the same standardsas the homes that are selling here. Those will cost

you time and money, as well.

"If you add all of that up, plus all of the inconven-ience of the months of showing your home, hav-ing to constantly keep it clean and presentableand having strangers going through your house, isit really going to be a better deal for you to list thehouse? It wouldn't be to me."

This objection of theirs is a stalling tactic.Sometimes they want to talk more before theymake a decision to give you their home "subjectto."

Sometimes they are testing you to see how eageryou are. If you are over-eager to get the deed, theywill sense it and suspect you aren't being com-pletely honest with them.

If they do decide to list it with an agent, make surethey put your name down as an exclusion on thelisting. This means that if they end up acceptingyour "subject to" offer down the road, no commis-sion would be paid to the listing agent.

#5 I have to get my asking price, or I'm not selling "I understand that you feel your home is worth $X,but let me show you what is happening right herein your neighborhood. This house at 123 MainStreet is 1,480 square feet with a pool and it soldfor $X. All the homes on this list are within a fewblocks of your house.

"Remember, these prices are what houses havesold for, not what someone is trying to get fortheir home. I know you may have seen houses forsale in your area with certain asking prices, but weneed to look at the actual sale prices. Based onthese comparables we can see that your house isworth $X.

(SUBJECT TO continued from page 6)


"I could be generous and pay you the price youwant, but in order for it to make sense for me, Imust get the following terms."

Sellers commonly fix the price of their home inmind based on the asking price of neighborshomes, which in a hot market, can be to youradvantage if homes are selling for more than ask-ing price and appreciating rapidly.

However, in soft markets it's quite common forhomes to sell well below the asking price. Youneed to help them adjust their thinking and real-ize that their home isn't worth asking prices, it'sworth sale prices.

Remind the seller of the risk you are taking inassuming responsibility for their house when youtake it "subject to," making payments and waitingto make your profit at some future time. Makesure that even with the terms the deal would stillwork for you.

Just because someone is willing to sign the deedto their house Subject To doesn't mean youshould accept it! If you can't find a way to make afair profit on that house walk away.

#4 I don't want tenants in my home "I understand completely. Lots of tenants are notvery respectful of the homes they rent. But thepeople that will be staying in your home aren'ttenants. They are home buyers. They don't havethe tenant mentality. They will look at the house astheir own and want to take care of it and keep itnice."

#3 What if you don't make my mortgage pay-ments?

"I understand your concern. What would makeyou more reassured and yet protect us both?" or

"I understand your concern. I could make yourpayments to the mortgage company and thenmail the receipt to you. This way I am protectedand so are you. Would this work for you?"

Work out a solution with them. This is a valid con-cern, but accommodations can easily be reached.I don't recommend you sending the payment tothem for them to make to the bank. This leavesyou very vulnerable.

Make sure a bank authorization is signed as partof the "subject to" paperwork, allowing you to ver-ify that payments are being made. Also include asigned agreement that says if they don't pay ontime you have the right to switch your paymentsfrom the seller directly to the bank.

#2 This isn't enough money! A great way to handle this is first to get a fullunderstanding of the question. Ask them whatthey mean or repeat, "This isn't enough money?"Don't say anything else until they answer.

Next, sit down with them and do a cost analysistogether. Get out a sheet of paper and give themthe calculator. Hand them the comps and askwhat the average sales price of the house is. Theywill calculate it and give you the figure.

Then ask them what commission a Realtor gets intheir area. Deduct the commission. Next, ask themwhat repairs need to be done to the house tobring the property up to current market standardsand deduct those costs.



Ask them to calculate the average time to sell ahouse based on the comparable sales and totalthe mortgage payments for that time. Deduct allof the closing costs.

Encourage them to put down anything else thatwill reduce the value and help them be more real-istic. For instance, what is their time worth? Asthey do this themselves on the calculator itbecomes hard for them to argue about the valueof their home and the price you are offering them.

You are now working together as partners, notadversaries.

#1 Why should I give you the deed when themortgage stays in my name? "That's a good question. What I can tell you is thatdifferent people do it for different reasons. Thebank will not let me assume the mortgage onyour house. In order for me to make a fair returnon this deal, I can offer you $X right now.

I'll be glad to buy the house immediately for thatprice, but how would you cover the differencebetween what I can pay and what you owe? Youare actually being very savvy and getting top dol-lar for your house by letting me take over yourpayments.

This saves you on the costs that would occur if yousold the house normally, like commissions, closingcosts, repairs, and so on. The minute you okay thispaperwork I will be doing everything possible tosell this house as quickly as I can, using my expert-ise.

I've spent thousands of dollars on training to dothis business legally and morally. It would be futilefor me to let your home go back to the bank justbecause I didn't make the payments."

This objection is both legitimate and important.Put yourself in their shoes, wouldn't you be askingit too if someone asked you to give them yourhome "subject to"?

It comes in as #1 because it is going to be themost frequently asked and sometimes the hardestto overcome. Does that mean you should fear it?Not at all. Different people will sign the deed overto their house "subject to" for different reasons.

As you build rapport with the seller their reasonwill become more apparent, and you can tailoryour answer to best fit them.

Remember if they are motivated sellers, and you



CONTACT US:

[email protected]

856-663-1133

(SUBJECT TO continued from page 9)have built a relationship with them, they will trustyou and be willing to sign over their house "sub-ject to" to get out of it.

You are doing them a service, and this happensregularly. If they understand that their options arelimited, and that you are genuinely trying to helpthem, the idea of signing over their home "subjectto" won't seem so outlandish.

What you'll find is that through building rapportand gaining their trust, this objection will be muchless strenuous. If they are not truly motivated sell-ers--just tire-kickers, this will likely be a very stren-uous objection, and they aren't even consideringsigning over their home.

Don't even worry about those sellers, they mightbecome more motivated over time, but right nowa "subject to" isn't right for them.

About the author... Wendy Patton is widely recognized as one of the mostinspiring speakers on little or no money down real estateinvesting. Wendy has experience in land development,property management, rehabs, and foreclosures, butlease options are her favorite. With 23 years of experienceand hundred of lease options, she is excited to teach youto achieve the same level of success and future financialfreedom.

Wendy is a Licensed Real Estate Broker and LicensedBuilder with her own real estate company in SoutheastMichigan. She is the past President and Board Member ofD.O.L.L.A.R.S. She is the author of a comprehensive homestudy course:

• Buying on Lease Options• Selling on Lease Options• Working with Realtors• Getting the Deed Subject to• Real Estate Wealth Building Arsenal

"This article is reprinted here with permission from Creative Real Estate Online at http://www.creonline.com"

Make the most of our meetingsby arriving early to network with others.

Bring business cards and exchange experiences and ideas.Circulate around our vendor tables to find out what service

each has to offer and how they can fit into your investing plan.

MARKETPLACEADDITIONAL BENEFITS of MEMBERSHIP WITH SJI!

Promote Your Properties For Sale Or Rent for FREE....(You must own equitable interest in the properties to promote them)

(a) Deal Table at main meetings - bring 20-30 copies of your real estate deals.(b) Post your properties on our member's only chat forum

(aka the SJI List Serve) (c) Post your properties on our website for 90 days(d) List your properties in The Marketplace section of our monthly Newsletter.(e) List your rentals for free on REIArentals.com.

If you are a current member and want to take advantage of these benefits, send an email [email protected]. Put in the subject line Property Promotion.

GLOUCESTER COUNTY, WENONAH NJ 08090. Up and Down Duplex , 2 bedrooms , 1 bath each unit. Income is$2300.00 per month. $235,000. This is not a fixer upper. Wenonah is a desirable Area with the highest Average PriceHomes ($353,415) in all of Gloucester County. The second highest Average price community in Gloucester County is$231,704. RACC ENTERPRISES, [email protected], 856-986-0911

KNOCK OUT CONTEMPORARY CAPE: 3 Bedroom/1 Bath, Only $174,900.00! Great open floor plan! UpdatedKitchen and Breakfast Nook with Cathedral Ceiling & Palladium Window, Full Finished Basement with Brand NewCarpet. MOVE RIGHT IN AND ENJOY THE HOLIDAYS! 102 E. Jefferson Ave., Magnolia, NJ 08049. Contact info:[email protected], 1-866-445-1777 Pat, 1-856-302-5624 Linda

PEMBERTON TOWNSHIP: 60, 2 or 3 bedroom one story single familysemi-detached properties situated on 50’ X 120’ lots. Approx. 750+ square feet.Frame construction built on a slab. Good to very good condition. Many recentlyrenovated. I have broken down the 60 units into individual groupings of 10 unitseach. Rental range $750 to $1,100. Most at $850. $85,000 per unit. For completedetails contact Richard Gober at [email protected] or 609-822-8449.

$250 REWARD: For referring the buyer of my condo. Tavistock, Little Egg Harbor, NJ. 1 bedroom, 1 bathroom, 1stfloor. Owner financing available. Reward paid after successful closing. If the same buyer is referred, then first to referthem would get the reward. Early bird gets the worm. Call soon and leave your name and phone and your referral'sname and phone: 800-264-6947 Ext 0

Page 1

1

Missing your membership card?Email us ASAP at: assistant @ southjerseyinvestors.org

Patrick J. Murphy Sr. CRS, GRIBroker Realtor Emeritus

54 Years in South Jersey Real Estate

A HUD Registered BrokerHUD, REO, Short Sale, Res. & Comm.

In all 9 South Jersey CountiesWebsite updated every 48 Hours1201 Rt 70 W. Cherry Hill NJ

(856)428-2800 Ext 207 [email protected]

PPaagg

ee 1122Common Legal Mistakes of Real Estate Investors

by William Bronchick, JD

You can't expect to reduce your risk of getting suedto zero, but you can take steps to reduce your risk asmuch as possible. In any situation where your moneyis at risk, ask yourself, "Is there a better way?"

Know the legal and financial risks of the situations inwhich you place yourself, your business, your family,and your assets. Without covering every issueinvolved, here are a few common mistakes thatinvestors make--novice and experienced alike.

Poor legal forms It's amazing how short-sighted novice investors canbe when it comes to shellingout money for good legal con-tracts. They often buy con-tracts at discount office supplystores, from Internet websites,or borrow them from friends.However, a real estate deal isonly worth the paper it's writ-ten on.

Like the old expression, "Everytax strategy works until youget audited," it can be said that"Every contract works until youhave a dispute."

So invest in a good set of realestate forms that apply to yourpractice and ask a local realestate attorney to reviewthem. A good real estate attor-ney will review contracts for just a few hundred dol-lars. Make certain you fill in the forms correctly.

Too many people rely on real estate brokers to fillout contracts, which is fine for a "standard" deal.However, most brokers aren't trained in legal mattersand often create long contract addendums that areinsufficient to protect your interests. Illegal discrimination The Fair Housing Act of 1968, asamended, prohibits discrimination on the basis ofrace, color, religion, nationality, familial status, age,and gender. Many state and local laws also forbiddiscrimination on the basis of sexuality or source ofincome and the Americans with Disabilities Actmakes it illegal to discriminate against disabled people.

If you harbor any such prejudices and would allowthem to come into play when renting a housing unit,then you're probably not cut out to be a landlord.However, many sincere real estate investors makehonest mistakes that result in discrimination law-suits. The best way to avoid these lawsuits is to beinformed.

The Fair Housing Act may appear to be commonsense, and most people would never think of dis-criminating against people of different races or reli-gions or on the basis of gender. However, it's impor-tant to note that the Act extends beyond the screen-

ing process and into advertis-ing as well, so watch the word-ing on your ads.

This is where many landlordsand property managers makecritical mistakes. Some peoplescour the classifieds lookingfor inappropriately wordedads, so they can pounce onthem and threaten a lawsuit.While someone must havestanding to bring suit, thesescoundrels often work in coali-tions to ensure that all of theirbases are covered.

For example, if you own arental property in a predomi-nantly Jewish community, itsproximity to the local syna-

gogue could be a major feature. But if your ad says"within walking distance of the synagogue," youcould be sending the message "gentiles need notapply" even though this wasn't your intent.

And keep in mind that you may not discriminate onthe basis of whether a couple is married andwhether children are to live in the unit. You may alsonot discriminate on the basis of age. Often, novicelandlords aren't aware of these areas of concern.

And while it's good that citizens are more aware oftheir rights today, it can create a bad situation forwell-meaning landlords who are out of step with thelaw.


PPaagg

ee 1133

(LEGAL MISTAKES continued from page 12)

Be aware of your local laws and use good businesssense. State law and local ordinances can extendsimilar protections granted under the Fair HousingAct to other groups.

For example, California, Minnesota, and NorthDakota prohibit discrimination based on source ofincome. In other words, landlords can't discriminateagainst would-be tenants who rely on public assis-tance.

Putting the political perspective of the landlordaside, such discrimination makes little businesssense because people on welfare or social securityare virtually assured of a fixed income.

The Americans with Disabilities Act (ADA) prohibitsdiscrimination against the disabled and also requireslandlords to make "reasonable accommodations" todisabled tenants. Who decides what's reasonable?Typically, judges, if it comes to that.

But while most landlords are aware of the ADA andwould never stoop to discriminate against a personin a wheelchair, many are unaware that the ADA alsoprotects mentally disabled tenants. A mental disabil-ity could also include recovering alcoholics and drugaddicts.

On the downside, these people can relapse. If theydo, this can cause serious problems for you andother tenants. Everyone deserves a second chance,and many recovering addicts become productivemembers of society.

Those unable to recover typically have other prob-lems and, thus, if you decide to reject their rentalapplications, it's vitally important that you documentadditional reasons for rejecting their applications.

Improper disclosures Improper disclosures are a common mistake for realestate investors. It's critical to be aware of the feder-al and state requirements for disclosures. For exam-ple, federal law requires a lead-based paint disclo-sure on the sale or rental of properties that werebuilt before 1978. State laws may have additionalregulations.

It's become common practice for real estate brokersto use a property disclosure form as a general-pur-pose sell disclosure for all aspects of the house.

Even if you're selling your house on your own, besure to use one of these forms. Whenever in doubt,disclose what you know, especially something thebuyer or tenant may not know about, such as dan-gerous conditions, water damage, electrical issues, orplumbing problems.

Illegal solicitation of money Many novice investors try to solicit money for invest-ing via public advertising or mailings. This is com-monly referred to as syndication. You may inadver-tently cross over a variety of federal and state securi-ties regulations when trying to raise capital.

Chatting with friends over the dinner table about areal estate deal is one thing, but advertising to thepublic in mass may be considered a public offering.Before soliciting money from strangers, review yourmarketing, paperwork, and solicitation strategieswith a local attorney well versed in this area of law.

You may be able to get away with a good set of writ-ten disclosures if you solicit money on a limitedbasis, but it's better to be safe than sorry. Independent contractor liability The IRS and your state department of labor are onthe lookout for employers who don't collect and pay


PPaagg

ee 1144

Contact UsTo Learn MoreAbout SJI

email: [email protected]

call: 856 663 1133

SJI provides MANY membership benefits.

Go to our website www.sjiclub.org

and click on

MEMBERSHIP BENEFITS

button for a complete list of details!

VOLUNTEERS NOW EARN 5 SJI BUCKS PER HOUR!As always, your help enables us to run our meetings better!!

To volunteer for the main meeting,send an email to [email protected]

To volunteer at a subgroup meeting, contactthe subgroup leader directly.

Go to www.sjiclub.org and locate the subgroup leaderinformation from our calendar of events.

22001100 NNeeww YYeeaarr’’ss RReessoolluuttiioonnVVoolluunntteeeerr aatt SSJJII MMeeeettiinnggss

PPaagg

ee 1155

withholding taxes, unemployment, and workers'compensation insurance. If you have employees thatare "off the books" you're looking for trouble.

If you get caught, you'll have to pay withholdingtaxes and as much as a 25% penalty. Intentionallyfailing to file W-2 forms will subject you to a $100fine per form. The fine for failing to complete theImmigration and Naturalization Service (INS) Form I-9 varies from $100 to $1,000 per form.

Your corporation or LLC won't shield you from liabil-ity in these cases, either. All officers, directors, andresponsible parties are personally liable for thetaxes. If you hire people to do contract work for you on aper-diem basis, they may be considered employeesby the IRS. If any workers fail to pay their estimatedtaxes, you may still be liable for withholding.

If these workers are under your control and supervi-sion and work only for you, the IRS may considerthem employees, even if you don't. If this happens,you may be liable for back taxes and penalties.

To protect yourself, you should: • Hire only contract workers who own their owncorporation. Or get the business card and letterheadof any unincorporated contractors you may use, so

you can prove these workers aren't your employees.• Require proof of insurance (liability, unemploy-ment, and workers' compensation) in writing.• Get written contracts or estimates on workers'letterhead that states they'll work their own hoursand you don't have direct supervision over thedetails of the work.• Have letters of reference from other people forwhom the contractors worked to show that the con-tractors didn't work solely for you. Keep these inyour files.• File IRS Form 1099 for every worker to whom youpay more than $600 per year. In addition to possible tax implications, an inde-pendent contractor can create liability for you if acourt determines the contractor is your employee.For example, if your independent contractor is neg-ligent and injures another person, the injured partycan sue you directly.

If facts show that you exercised enough control overyour contractor, a court may rule that this contractoris your employee for liability purposes. As you mayknow, an employer is "vicariously liable" for the actsof his or her employees. The employer is liable as a matter of law withoutproof of fault on the part of the employer. Make cer-tain you follow these guidelines when hiring con-tractors and pay particular attention to the issue of control.



PPaagg

ee 1166Finally, under your state's law be aware which dutiesare considered inherently dangerous, such as pro-viding adequate security for tenants in a multi-unitbuilding.

These duties can't be delegated to an independentcontractor without liability on your part, regardlessof whether the person you hire is considered anindependent contractor or an employee.

About the author... William Bronchick, J.D. is an author and attorney who

regularly presents workshops and do-it-yourself semi-nars at real estate and landlord associations aroundthe country. He is the president and co-founder of theColorado Association of Real Estate Investors.

Bill specializes in all forms of asset protection and is theauthor of several great home study courses:

• The Ultimate Guide to Wholesaling• The Ultimate Guide to Fix & Flip• The Ultimate Guide to Owner Financing• The S.O.L.D. System• Power Real Estate Negotiating• Secrets of a Real Estate Attorney• How to Create a Bulletproof Corporation• Your Step-By-Step Guide to Land Trusts• How to Form Your Limited Liability Companies• Wealth Protection Strategies• Complete Wealth Protection Library

"This article is reprinted here with permission fromCreative Real Estate Online athttp://www.creonline.com"


Our greatest glory is not in never falling, but in getting up every time we do.

~ Confucius

PPaagg

ee 1177

SJI HAS BENEFITS FOR YOU!!!!! Membership Benefits

Club members are entitled to participate in the SJI List Serve, take advantage of a cus-tomized health insurance solution, retail paint store discounts, Home Depot rebate anddiscount programs, access NationalREIA benefits and SO MUCH MORE.

• FREE admission to main meeting; discounted admission to subgroup meetingsand special seminars

• View our monthly newsletter which is filled with meeting info and articles of interest on various aspects of Real Estate investing

• Unlimited networking with new and/or seasoned investors willing to share experiences and ideas

• For a full list of member benefits, click on our Membership Benefits link on the SJI home page (www.sjiclub.org)

New Jersey Department of Community Affairs Division of Codes and StandardsLandlord-Tenant Information Service ORDER FORMTRUTH-IN-RENTING BOOKLET (Revised July 2008)The Truth-in-Renting Act (N.J.S.A. 46:8-43 et seq.) requires the Department of CommunityAffairs to prepare and publish a statement of the rights and responsibilities of residentialtenants and landlords. The Act also requires residential landlords of dwellings with morethan two units (or more than three units if the landlord occupies one of the units) todistribute the Truth-in-Renting Statement now in Booklet format to each of their tenants ator prior to the tenant’s occupancy. Violators of the Act shall be liable for a penalty of up to$100.00 for each violation.

The Truth-in-Renting Booklet is a summary of existing laws, regulations, and court cases. Itis neither exhaustive nor detailed and is intended only to serve as a guide to landlords andtenants. The booklet is available in English and Spanish at a cost $2.00 per booklet. Youmay download or print the Truth in Renting publication from this website free of charge,by logging on to: http://www.nj.gov/dca/codes/lt/table_of_contents.shtml.

PPaagg

ee 1188

SubgroupsSSUUBBGGRROOUUPPSSAtlantic County Subgroup • First Tuesday of the Month at 6 PMFee is $15 for members, $25 for non-members • Super Buffet & Grill, Cardiff Circle*2010: Apr 6, May 4, Jun 1, Jul and Aug (no meeting), Sep 7, Oct 5, Nov 9, Dec (meeting is tentative)This group focuses on opportunities, ordinances and issues in the Atlantic County and shore area. We invite

speakers who are successful local investors with valuable experiences to share, government officials sharing theirplans for growth and periodically plan Cash Flow Games. We meet at the Super Buffet & Grill, 6718 Rt. 322, EggHarbor Twp, 08234. Directions are on the SJI website. (Don't use Mapware, it is out of date!) Dinner starts at 6 PM.Speakers are normally present for dinner (for additional networking). RSVP so we can give the restaurant a headcount. Send an e-mail to [email protected] with RSVP in the subject line.. Entrance feesinclude the buffet (without crab legs), beverage, tax, tip, speakers and great networking.Members: bring your SJImembership card. SJI accepts cash, checks, Visa, MasterCard, Discover and AMEX.

Apr. 6 - Topic: Title Agency Answers for All Types of Deals. John Starn: The Brightman Agency Inc.; SJI BoardMember. John Starn will answer all your Title questions and talk about closing the latest complicated deals like A-B-B-C back-to- back transactions, round robin sales, assignment of wholesale contracts, etc. • Learn about all the servicesavailable to you as an investor.• John has a reputation for salvaging deals and getting them closed. • Although hismain location is in Millville, Brightman Agency can meet your needs and close your deal anywhere in the USA. • Take advantage of this Q&A time with a pro.May 4 - Topic: Lewis Schweller, Real Estate and Contract Attorney will help you avoid the dangers of using a

"generic" contract here in New Jersey. Learn to use contractor contracts that protect you from unscrupulous contractors!June 1 - Topic: Jason Sonstein, Esquire. Would someone bother to sue you? Who needs an LLC? How do you

take a property directly into a trust?

Camden County Subgroup • First time meeting at this NEW location -- SuretyTitle office, #1 East Stow Rd, Marlton, NJ. Directions; From Rt 70 Cherry HillRt, Greentree road 1 /2 Mile east of Rt 73. Left at Stow Rd traffic light, 1stbuilding on the rightNew Fee is $5 for members, $15 for guests (dinner not provided) 6:30 to 9 PM*2010: Apr 22, May 20, Jun 17, Jul 22, Aug 19, Sep 23, Oct 21, Nov 18, Dec 23 (No meeting)This group focuses on local ordinances and issues that affect Camden County investors. Held the Thursday after

the main meeting. Entrance fee for this meeting is $5 for members and $15 for guests. Food will not be served (soplease have your dinner first). Meeting time - 6:30 to 9 PM. RVSP to let us know you are coming! Email CathyAmbrose-Stone ([email protected]) and put CCSG as the subject. We are working on getting mayors and bankersbut are also asking for your suggestions as to towns and banks you would like to hear from. This is a nice night outwith networking and education.Apr. 22: Three experienced investors will describe 2-3 recent transactions from A to Z

(1) William Becker, teacher, author, commercial & residential real estate investor, President of American Real EstateInvestors of Cherry Hill - How to find opportunities at Auctions, REO, etc. (2) Chip Seeger, SJI member, Investor - 30transactions in 3 states, Where I found them, How to network for profit (3) Chris Robert - 1st deal - how I found it andhow I decided to do it (because I expect to make 50K)

Delaware Subgroup • Second Tuesday of the Month at 7 PMNEW FEE- FREE for members; Non-Members: $10.NEW LOCATION: ReMax Sunvest Office, Wilmington, DE*2010: April 13, May 11, June 8, July 13, Aug 10, Sept 14, Oct 12, Nov 9, Dec 14 NEW MEETING LOCATION: ReMax Sunvest office located at 5560 Kirkwood Hwy, Wilmington, DE 19809. The officesits back behind an Allstate Insurance and an Eye Doctor building. The entrance is in the rear end of the building.

From NJ: DELAWARE/DEL MEM BR (Crossing into DELAWARE). Take the I-95 S exit on the LEFT toward (continued on page 19)

9

(SUBGROUPS continued from page 18)Delaware Subgroup ContinuedNEWARK/BALTIMORE. Merge onto DE-141 N via EXIT 5 on the LEFT toward NEWPORT/LANCASTER. Take the SR-2/SR-41 exit, EXIT 6A-B, toward ELSMERE/NEWARK/LANCASTER. Merge onto ROBERT W KIRKWOOD HWY/DE-2W via EXIT 6B on the LEFT toward NEWARK/LANCASTER.Make a U-TURN at MILLTOWN RD onto ROBERT W KIRK-WOOD HWY/DE-2 E. End at 5560 Kirkwood Hwy Wilmington, DE 19808-5002 .

NEW SUBGROUP LEADER CONTACT INFO: Margarita Resto, Please RSVP if you plan to attend so we know to expectyou. Send an email to [email protected] and put in the subject line, DELAWARE SUB-GROUPApr. 13 - Topic: Sheriff Sale cycle - success strategies and potential pitfalls. Speaker: Brian O'Neil of One-Pie

Investments and One-Pie Holdings. Since 1991, I have bought and sold in some manner, including assignments,over 1000 properties. One-Pie¹s strengths seems to focus on the Sheriff Sale market. We attend the New CastleCounty sales each month and are probably one of the biggest if not the biggest purchaser of Sheriff Sale properties.We put our money out there with all the associated risks and by doing so, provide a safety net for our buyers. We¹veseen our share of the court rooms (Superior and Bankruptcy) in defending our purchases and have developed, whatwe consider, a superior legal team.

Gloucester County Subgroup • Second Wednesday of the Month at 6:00 PM NEW ENTRANCE FEES: $5 for members/$15 for non-members • Dinner isnow extra • The Five Points Diner- Restaurant

*2010: April 14, May 12, June 9, July & Aug (No Meeting), Sept 8, Oct 13, Nov 10, Dec 8LOCATION ---The FIVE POINTS DINER, Deptford Twp., N.J. between Route #47 and #41. (see website for more

directions). We are offering a variety of speakers for your Real Estate needs. The speakers are many localGloucester County Agents, and also a variety of speakers that topics will support the investor in his/her business.Gloucester County has many opportunities in development and growth in all areas of Real Estate. To Keep informedand learn to increase your Real Estate potential, come join us and learn!!! Please RSVP to provide a count for therestaurant. The Sub-Group Leader is Agnes Musick, [email protected] Apr. 14 - Topic: Home Ownership and Housing Counseling Services that AHOME Provides. This includes (1) first

time homebuyer programs for lower income first time home buyers (2) Home buyer education and counseling serv-ices and (3) Foreclosure prevention assistance. Speaker bios: Donna W. Turner - is the Executive Director ofAHOME, Inc. of Millville, a non-profit agency that builds affordable houses for lower income first time home buyersand provides pre-purchase housing education and foreclosure prevention counseling. Donna is a graduate of TempleUniversity and served as a Public Affairs Officer in the US Naval Reserves for 18 years. She is the Treasurer of theHousing and Community Development Network of New Jersey. Ms. Turner has also worked for several public hous-ing agencies, including the Philadelphia Housing Authority. Sonya ("Dee") Ivanovs - Is a Foreclosure PreventionMediation Specialist with AHOME. She is a recent graduate of Thomas Edison State College with a Bachelor'sDegree in Social Science and is a graduate of Cumberland County College. Ms. Ivanov's professional experienceincludes working with at-risk children and families, and children with special needs.

Landlording SubGroup • First Wednesday of the Month at 6:30 PMFee is $5 for members, $15 for non-members * Collingswood SeniorCommunity Center

*2010: April 7, May 5, June 2, July 7, Aug 4, Sept 1, Oct 6, Nov 3, Dec 1This new subgroup will focus on many different topics of interest to potential and existing landlords. Some possible topicswill include: Lease Prep, Tenant Retention Management, Tenant Selection, Tenant Credit and Criminal Check, Section 8Landlording, 1031 Exchanges, Proper Accounting Procedures and Documentation, Tax Prep, Successful AdvertisingTechniques, Sales Contract Prep (Buying and Selling) and Eviction. In addition to cash and checks (payable to SJI), thissubgroup now accepts credit cards (MC, Visa, AMEX and Discover).April 7 - Topic #1: Summary of last month's meeting Topic #2: Les Major of the Major Group, Inc. Public

Insurance Adjusters. The Major Group provides adjustment services for Commercial as well as Residential properties.



LANDLORDING SUBGROUP - beginning next month with our MAY meeting, we are moving to a new meeting loca-tion. Alliance Building, 217 Broadway, Westville, NJ 08093 ....as soon as details are finalized (entrance fees, meetingstart time), we will post on our website and eblast.

(SUBGROUPS continued from page 19)Landlording Subgroup ContinuedLes will explain to us the basics of insuring our properties properly, what kind of policy to have in place, some of theramification of having co-insurance and whether or not to have sump pump insurance, among many other things. The Major Group - When Disaster Strikes, We Navigate the Insurance Maze on your Behalf At The Major Group, ourteam of experienced, professional public adjusters improves the lives and outcomes of people who have sufferedproperty losses by navigating the insurance claims process, ensuring that they receive an equitable and prompt settle-ment. If you are a residential or commercial property owner who has suffered a loss, The Major Group will meet withyou at no charge to review your specific situation, inform you of your options and help you determine the best way toproceed. Our recommendations will range from insightful advice on how to process your own claim to our handlingevery detail of the claim on your behalf. The Major Group, Inc., Email: [email protected], Phone: 856-231-8000,http://youradjusters.com

Mercer County Subgroup • Fourth Thursday of the Month at 6:30 PMMEETING LOCATION: Same location, but Restaurant is now called Asia Fusion Buffet -368 Route 33, Hamilton, NJ 08619. It is located in the Mercerville Shopping Center.Meeting Cost Reduced - $15 for members and $25 for visitors. Dinner is included!*2010: April 22, May 27, Jun 24, Jul 22, Aug 26, Sep 23, Oct 28, Nov and Dec (No Meeting)This new group is for Mercer County investors. This group will focus on the opportunities, growth, and issues in the

Mercer County area, including Trenton. Networking begins at 6:30 pm & games will be played from 7:00 to 8:30 pm.April 22 - Topic: A Dialogue on Trenton’s Economic Development Present to Future. The presentation will focus

on the economic development projects that have recently impacted the City; the financial assistance programs thatmake Trenton an appealing location for light industrial, commercial and mix use projects; and the future developmentitems that will shape Trenton’s future. Speaker: Anthony P. Carabelli, Jr., Economic Development Specialist, City ofTrenton.

New Investor Subgroup • First Monday of the Month at 6 PMNEW COST: Members pay $15 AND Guests pay $20. Dinner is included inentrance fee. • MEETING LOCATION: The Golden Corral, 130 Black Horse Pike,Audubon, NJ 08106. Restaurant located in front of Walmart.

*2010: April 5, May 3, June 7, July 5, Aug 2, Sept (No meeting), Oct 4, Nov 1, Dec 6This group, which is also called the Newbie Sub Group was created to educate our new investors, but offers a variety

of topics in a round-table discussion format. It is held the first Monday of the month and covers a wide variety oftopics that even a seasoned investor will find interesting. Subgroup Leader is seasoned real estate investor Fred Ezell, Sr.. You can contact him at [email protected] speaker begins at 7 PM.Apr. 5 - Topic: Calling all INVESTORS. If you are or are planning to be a landlord in the near future, you need to

come and learn of these government assistance programs. This presentation is focused on Camden County but mostcounties have similar programs. Speaker Stephanie Bittner of Center for Family Services will be presenting lots ofgreat information on how to use these programs. Remember, Knowledge is our best weapon to help us all be suc-cessful. There are lots of government programs designed to help Landlords keep tenants in their homes. Vacanciesdestroy any and all profits we hope to make, and lost MONIES we can never recoup. They also offer and teach Creditrepair, and teach prospective homeowners how to purchase their homes and how to maintain them. If you are a flip-per this should be on your calendar to attend as you can learn how to use these programs to put families into yourhomes. You will be receiving all the contact info for several of the Camden County and Camden City programs.Representatives from each of these programs will be there to answer all your questions.

NEWBIES SUBGROUP - beginning next month with our MAY meeting, we are moving to a new meeting location.Alliance Building, 217 Broadway, Westville, NJ 08093 ....as soon as details are finalized (entrance fees, meetingstart time), we will post on our website and eblast.

1

Ocean County Subgroup • Fourth Wednesday of the Month at 6:30 PMNEW Cost: Members are now FREE, Visitors pay $10; Bring dinner/snack:cookies/coffee provided • Summerville Assisted Living at Stafford (new location)

*2010: Apr 28, May 26, Jun 23, Jul 28, Aug 25, Sep 22, Oct 27, Nov 17 (3rd Wed.), Dec (No Mtg)For those planning on investing in Ocean County, this meeting is for you! Meeting from 6:30 to 8:30.We meet at the Summerville Assisted Living at Stafford (in the sun room), 1275 Rt. 72 West, Manahawkin, NJ 08050.Apr. 28 - Topic and Speaker: To be determined. Visit our website for updates.

IINNTTRROODDUUCCIINNGG SSJJII''ss NNEEWWEESSTT SSUUBBGGRROOUUPP!!!!!!!!!!!!!!!!!!!!!!!!!!NEW Short Sale Subgroup • 2nd Monday of the Month at 6:00 PMCOST: Members pay $5 AND Guests pay $15 * MEETING LOCATION (forApril's meeting only): Collingswood Fire Department, 20 W. Collings Ave.,Collingswood, NJ 08108, 856-854-1043*2010: Apr 12, May 10, Jun 14, Jul 12, Aug 9, Sep 13, Oct 11, November 8, Dec 13The theme of the subgroup is ‘Everything Short Sale’. Subgroup leader Ron Odom promises to empower you withall the knowledge you will need to do short sales the proper way. The media reported last week that there are 15million homes underwater in the United States, and more are facing foreclosure everyday! This is an investingbonanza! Short sale opportunities are everywhere! Don’t know how to do a short sale? Been doing short sales andnot getting good results? Don’t let it get you down – SJI has just formed a new Short Sale Subgroup, led by SJI’svery own Ron Odom. All levels of investors welcome! The meeting will be purely informational. No selling. Bring allyour burning questions!Apr. 12 - Our Kick Off Meeting will be an open, round table discussion -- so bring your questions! This will be a

good exchange of general information -- everything Short Sale!

********SPECIAL GIFT!!! All who attend this meeting will receive a free copy of ‘Navigating the Short SaleJungle’ by Jeff Watson, short sale attorney. This is the year of the short sale. Don’t let history past you by.

(SUBGROUPS continued from page 20)

All details of each meeting can be reviewed on our website, www.sjiclub.org or call our club phone 856-663-1133.

April 2010AAPPRRIILL 22001100Sunday Monday Tuesday Wednesday Thursday Friday Saturday

New InvestorsSubgroup 6PM-9PM

LandlordingNEW!!!

6:30PM - 9PM

Main Meeting6PM-9PM

Ocean CountySubgroup

6:30PM-8:30PM

Mercer County6:30PM-8:30PM___________Camden County

6PM-9PM

Atlantic CountySubgroup 6PM - 9PM

Delaware REI 7pm-9PM

NEW!Short SaleSubgroup6PM - 9PM

Gloucester CountySubgroup 6PM-9PM

1

8

15

22

29

7

14

21

28

4

11

18

25

6

13

20

27

3

10

17

24

31

5

12

19

26

2

9

16

23

30

Board Meeting 7PM-9PM

3

All details of each meeting can be reviewed on our website, www.sjiclub.org or call our club phone 856-663-1133.

May 2010MMAAYY 22001100Sunday Monday Tuesday Wednesday Thursday Friday Saturday

New InvestorsSubgroup 6PM-9PM

LandlordingNEW!!!

6:30PM - 9PM

Main Meeting6PM-9PM

Ocean CountySubgroup

6:30PM-8:30PM

Mercer CountySubgroup

6:30PM-8:30PM

Camden CountySubgroup6PM-9PM

Atlantic CountySubgroup 6PM - 9PM

Delaware REI 7pm-9PM

Gloucester CountySubgroup 6PM-9PM

1

8

15

22

29

7

14

21

28

4

11

18

25

6

13

20

27

3

10

17

24

31

5

12

19

26

2

9

16

23

30

Board Meeting 7PM-9PM

MAC INVESTMENT COMPANY, LLC

626 N 19TH Street, Allentown, PA., 18104Phone: 610.351.9927 Fax: 610.351-0903

Toll Free – [email protected]

NEW!Short SaleSubgroup6PM - 9PM

Newsletter designed by Studio One22

17 BEST WORDS OF ADVICE FOR NEW LANDLORDS

(shared by rental owners with up to 50 years oflandlording experience)

1. Treat landlording as a business and develop a system and set of written procedures for all steps inyour rental process.

2. Get a good state-specific lease and be sure yourlease is clear regarding all expectations you have foryour residents' responsibilities. (Many leases maketoo many assumptions of what is to be expected).

3 Believe in yourself, but do not believe anything puton the rental application. Verify it all.

4. Thoroughly screen your applicants. Along with run-ning credit checks, be sure to check eviction recordsand possible criminal background on all applicants.

5. Get the cooperation of your residents and startadvertising and showing rentals BEFORE the lease isup.

6. Fill vacancies faster by reaching out and serving a"niche" target market.

7. Keep your relationship between you and your resi-dents in a business-like manner and treat all residentswith respect.

8. Conduct regular inspections of your properties.

9. Enforce your rules consistently and immediately.

10. Keep good records and document everything.

11. Utilize both craigslist.com and postlets.com toadvertise your rentals. Both are free services.12. Look for ways to reward your long-term residentseven if in only small ways.

13. Join and participate in your local landlord associ-ation and visit MrLandlord.com to get continued sup-port, education and encouragement from other land-lords. Also seek out one or two mentors.

14. Become extremely familiar with the state landlordtenant laws where your own rental property.

15. Learn as much as you can about your local rentalmarket and what other landlords and managers arecharging, offering and doing.

16. Always look to expand your business networkwith other landlords, contractors, suppliers, profes-sionals and community contacts. Network with indi-viduals who are growing, progressive and honest.

17. Seek further training and education. Read land-lording books like Landlording and the Landlord's Kitand go on a landlord cruise conference.

18. Don't give up! Don't let the small percentage ofrental challenges take your focus off your big goals.Landlording is not a get rich quick scheme, but cangenerate long-term wealth when done correctly.

These ideas, words of advice and tips were shared byrental owners who attended our recentMrLandlord.com Cruise Conference. To receive a freesample of the Mr. Landlord newsletter, call 1-800-950-2250 or visit their informative website atMrLandlord.com, where you can ask landlording questions and seek the advice of other rental owners24 hours a day.

by Jeffrey E. Taylor"Mr. Landlord"

SJI April 2010

Documents

Transcript of SJI April 2010