#Small Multifamily Properties

[propertymanagementllc]

How to Draft a Comprehensive Contract

Contracts are the backbone of business relationships and legal agreements. Whether you're a business owner, freelancer, or simply making a significant purchase, understanding how to draft a comprehensive contract is crucial. A well-structured contract not only protects your interests but also ensures that all parties involved are on the same page, reducing the risk of disputes and legal complications. In this comprehensive guide, we will take you through the process of drafting a contract step by step, ensuring that your agreements are legally sound, clear, and comprehensive. By the end of this article, you'll have the knowledge and confidence to draft contracts that safeguard your rights and interests.

Understanding the Basics of Contracts

Before diving into the nitty-gritty of contract drafting, it's essential to have a solid understanding of what contracts are and their key components.

What is a Contract?

A contract is a legally binding agreement between two or more parties that outlines their rights, obligations, and responsibilities. It serves as a roadmap for the parties involved, ensuring that everyone understands what is expected of them.

Key Elements of a Contract

Offer and Acceptance: One party makes an offer, and the other party accepts it. This is the foundation of any contract.

Consideration: Both parties must exchange something of value, such as goods, services, or money, to make the contract legally enforceable.

Intention to Create Legal Relations: The parties must intend for the contract to have legal consequences.

Legal Capacity: All parties involved must have the legal capacity to enter into a contract. This means they must be of sound mind and not under duress or coercion.

Legal Purpose: The contract's purpose must be legal. Contracts for illegal activities are not enforceable.

Types of Contracts

Contracts come in various forms, including:

Express Contracts: These contracts are explicitly stated in writing or verbally.

Implied Contracts: These contracts are not explicitly stated but are implied by the parties' actions and behavior.

Unilateral Contracts: One party makes a promise in exchange for the other party's performance. For example, a reward for finding a lost item.

Bilateral Contracts: Both parties make promises to each other. This is the most common type of contract.

Executed Contracts: All parties have fulfilled their obligations.

Executory Contracts: Some or all obligations are yet to be fulfilled.

Understanding these fundamental concepts will provide you with a strong foundation for drafting comprehensive contracts.  

Identifying Parties and Their Roles

Now that you have a grasp of the basics, let's dive into the specifics of drafting a contract. The first step is to clearly identify the parties involved and define their roles and responsibilities.

The Importance of Accurate Party Identification

It might seem obvious, but accurately identifying the parties involved is crucial. Use full legal names, addresses, and contact information. Failing to do so can lead to confusion and disputes down the road.

Defining Roles and Responsibilities

Each party's role and responsibilities should be clearly outlined in the contract. This includes what each party is expected to deliver, deadlines, and quality standards. For example, in a business contract, specify who will provide what goods or services and when they will be delivered. Additionally, consider including a clause that addresses the possibility of one party delegating their responsibilities to a third party with the consent of the other party. This can help maintain clarity and flexibility in case of unexpected circumstances.

Defining the Contract's Purpose and Scope

Once you've identified the parties, it's time to define the contract's purpose and scope.

Clearly Stating the Contract's Objectives

Clearly state the purpose and objectives of the contract. What is the contract aiming to achieve? What are the desired outcomes? Providing a concise and specific description of the contract's goals helps prevent misunderstandings.

Establishing Scope and Deliverables

Define the scope of work or deliverables expected from each party. Be as detailed as possible, specifying quantities, quality standards, and any relevant milestones or deadlines. A well-defined scope minimizes the chances of disputes arising from differing interpretations of what was agreed upon. In cases where changes to the scope may be necessary, include a mechanism for change orders or amendments to the contract. This ensures that any modifications are documented and agreed upon by all parties.  

Terms and Conditions

Now, let's delve into the specific terms and conditions that should be included in your contract.

Setting the Duration of the Contract

Clearly state the contract's duration, including the start and end dates. If it's a long-term contract, consider including provisions for renewal, termination, or extension. This gives all parties a clear understanding of the contractual timeline.

Payment Terms and Pricing

Define the payment terms, including the amount, currency, and schedule of payments. If applicable, specify late payment penalties and any conditions for payment adjustments, such as discounts for early payment or penalties for late payment.

Termination and Renewal Clauses

Include clauses that outline the circumstances under which the contract can be terminated by either party. This could include breaches of contract, failure to meet performance standards, or other specified events. Conversely, if the contract is renewable, specify the conditions and process for renewal. Additionally, address the consequences of termination, such as any remaining payment obligations or the return of assets.  

Drafting Clear and Precise Language

One of the most critical aspects of contract drafting is using clear and precise language to avoid ambiguity.

Avoiding Ambiguity

Ambiguity in contracts can lead to disputes and legal battles. Use precise language to leave no room for interpretation. Here are some tips to help you draft clear and unambiguous contract language:

Define key terms: Provide clear definitions for any terms that might have different interpretations in the context of the contract. This ensures that all parties understand the intended meaning.

Use plain language: Avoid overly complex or legalistic language. Contracts should be understandable to all parties involved, not just legal experts.

Be specific: Avoid vague or general statements. Instead, specify details, quantities, and deadlines as precisely as possible.

Eliminate double negatives: Double negatives can lead to confusion. Instead of saying, "The contract cannot be terminated unless the non-breaching party does not fail to provide notice," say, "The contract can be terminated if the non-breaching party provides notice."

Consistency is key: Use consistent terminology and formatting throughout the contract. This helps maintain clarity and prevents misunderstandings.

Proofread and edit: Errors in grammar, spelling, or punctuation can introduce ambiguity. Carefully proofread and edit your contract to ensure it is error-free.

Incorporating Necessary Legal Provisions

In addition to clear language, contracts often require specific legal provisions to address potential issues and contingencies. Here are some essential legal provisions to consider:

Governing Law and Jurisdiction

Specify which jurisdiction's laws will govern the contract and where any legal disputes will be resolved. This prevents disputes over which legal system should apply and where legal actions should take place.

Dispute Resolution Mechanisms

Include clauses that outline the process for resolving disputes. Common methods include negotiation, mediation, and arbitration. Specify how disputes will be escalated if they cannot be resolved through negotiation or alternative methods.

Force Majeure and Liability Clauses

Address unforeseen events or circumstances that might affect the contract's performance, such as natural disasters, acts of terrorism, or government regulations. A well-drafted force majeure clause defines what qualifies as a force majeure event and how it will affect the parties' obligations. Additionally, include liability clauses that specify the limits of liability for each party in case of breaches or other issues.  

Protecting Intellectual Property

If your contract involves the creation or use of intellectual property (IP), it's essential to address IP rights and protections.

Identifying and Defining Intellectual Property

Clearly specify what constitutes intellectual property in the context of the contract. This can include copyrights, trademarks, patents, trade secrets, and any other relevant IP.

Ownership and Usage Rights

Define who owns the intellectual property created during the contract and under what conditions. For example, in a software development contract, outline whether the client or the developer will own the code and whether the client will have exclusive rights to use it. Address licensing terms if the intellectual property is shared or if one party needs specific rights to use it. Be clear about any royalties, usage restrictions, or sublicensing arrangements.  

Compliance with Applicable Laws and Regulations

Ensure that your contract complies with all applicable laws and regulations. Ignorance of the law is not an excuse, so take the time to research and understand the legal requirements that pertain to your contract.

Understanding Legal Requirements

Depending on the nature of your contract, you may need to consider various legal aspects, such as consumer protection laws, industry-specific regulations, data privacy laws, and tax obligations.

Ensuring Compliance in the Contract

Incorporate clauses and provisions that explicitly state the parties' commitment to complying with all relevant laws and regulations. Include provisions that require the parties to indemnify each other in case of legal violations arising from the contract.  

Including Appendices and Exhibits

Complex contracts often require additional documentation to support and clarify their terms.

Organizing Additional Documentation

Appendices and exhibits are used to attach supporting documents to the contract. These can include product specifications, drawings, schedules, and lists.

Referencing Appendices Effectively

Within the contract, clearly reference the appendices and exhibits to indicate their relevance to specific sections. For example, if a payment schedule is detailed in an exhibit, make sure the main contract references it.  

Reviewing and Revising the Contract

After drafting your contract, it's essential to conduct a thorough review. Legal professionals, such as attorneys or contract specialists, can provide valuable insights and ensure that your contract is legally sound.

The Importance of Thorough Review

Reviewing the contract helps identify any potential issues, inconsistencies, or missing provisions. It also ensures that the contract aligns with the parties' intentions and protects their interests.

Collaborating with Legal Professionals

Consider involving legal professionals in the review process. They can provide expert advice, make necessary revisions, and help you avoid common pitfalls.  

Execution and Enforcement

Once the contract is finalized and all parties are satisfied, it's time for execution and enforcement.

Signing the Contract

All parties involved should sign the contract to indicate their agreement and commitment to its terms. Electronic signatures are often legally acceptable, but it's essential to ensure compliance with applicable electronic signature laws.

Ensuring Compliance and Enforcement

After execution, monitor the contract's performance to ensure that all parties adhere to their obligations. If disputes arise, refer to the contract's dispute resolution mechanisms to seek resolution.  

Common Mistakes to Avoid

To wrap up, let's discuss some common mistakes to avoid when drafting contracts:

Common Pitfalls in Contract Drafting

Ambiguous language: Unclear or vague terms can lead to disputes.

Incomplete provisions: Missing key clauses can leave gaps in your contract.

Ignoring applicable laws: Failing to consider legal requirements can lead to legal issues.

Lack of specificity: Not specifying important details can lead to misunderstandings.

Poor organization: Contracts should be well-structured for easy reference.

Conclusion

Drafting a comprehensive contract is a critical skill for anyone involved in business or legal agreements. By understanding the basics of contracts, identifying parties and roles, defining purpose and scope, including essential terms and conditions, using clear language, and incorporating necessary legal provisions, you can create contracts that protect your interests and facilitate successful business relationships. Remember that contract drafting is a skill that improves with practice and experience. Continuously educate yourself on contract law developments and seek professional guidance when necessary. With the knowledge and insights gained from this guide, you'll be better equipped to navigate the world of contracts and ensure that your agreements are both comprehensive and legally sound.

[headspace-hotel]

Going through the bills proposed in the kentucky 2024 legislative session and some of the things being proposed are

make a PFAS Working Group

require homeless shelters to provide free menstrual products (it's actually disturbing that they didn't already)

require schools to provide free menstrual products

create harm reduction centers and lower penalties for possessing controlled substances

require insurance to pay for cancer screenings (okay. low bar but okay)

abolish the death penalty (actually has a couple republican sponsors)

decriminalize cannabis

make fluoridation of water in districts optional (?????)

make coal the "state rock" of Kentucky

Prohibit children from being interrogated in a "deceptive manner" (?)

Make weight discrimination illegal

pay schools to food grown at kentucky farms to provide for school meals at low income schools (hey that's rad)

Lower the age of carrying a concealed deadly weapon from 21 to 18 (?????????????)

Require companies to give their employees earned paid sick leave

Impose restrictions on the collection of biometric data by private entities

Allow poultry to be sold at farmers' markets and at farms

pay for cancer screenings for firefighters

let pregnant incarcerated people have midwives or doula services

require that public high school curriculum include instruction on the history of racism

Remove Robert E. Lee Day, Confederate Memorial Day, and Jefferson Davis Day from the list of public holidays (WE HAVE THOSE?!!?!?!)

Retroactively expunge some cannabis convictions

"Prohibit public school districts from expanding any resources or funds on diversity, equity, inclusion, and belonging or political or social activism; prohibit public school districts from engaging in diversity, equity, inclusion, and belonging" (HUH?????)

require schools to give kids a lunch period of at least 30 minutes (the bar is in hell)

provide scholarships for teachers to help the teacher shortage and give teachers compensation for planning time

require schools to have defibrillators

make it so a homeless person doesn't have to pay to get a copy of their birth certificate

require a working smoke detector to be present in any house sold (...did we not already have this?)

create the Kentucky Urban Farming Youth Initiative

Require local governments to lower minimum square footage requirements for housing, and facilitate multifamily housing, manufactured housing, and "tiny homes," and require that zoning laws have a "substantial connection to protection of public safety, health, and usage of property" (This could be a good thing??)

require hiring and licensing authorities to allow people convicted of a crime an opportunity to get a job

Propose a new section of the Kentucky Constitution that guarantees the right of an individual to buy, sell, or use a certain amount of cannabis and to grow a small amount of cannabis plants, and put this on the ballot (LET'S FUCKING GOOOOOO LET THE PEOPLE DECIDE please this would be so funny)

Now let's watch how many of the good and basic common sense laws get left to die by Republicans because Republicans are ghouls

this is why it's important to vote in local elections, this is the kind of stuff that's being decided upon

[porterdavis]

Poverty is a policy choice

The Atlantic has an unflinching look at how the US is such a bad actor when it comes to poverty, especially child poverty, compared to the rest of the developed world. President Biden's Extended Child Tax Credit passed in his first year in office lifted 40% of the families living in poverty out of poverty, a stunning result achieved at a relatively small cost. The Republicans killed it.

There are tremendous knock-on benefits to lifting people out of poverty - healthcare costs go down, crime goes down, tax bases are widened, welfare rolls are reduced, productivity goes up. All these are well known. So why does America fall so short? Here are a few points from the article to consider:

Housing is typically the largest expense for a household. “Municipal zoning ordinances, enacted through referenda pushed by citizens’ groups and homeowners’ associations, and which prohibit the construction of multifamily apartment complexes in upscale neighborhoods, is a case in point. These benign-sounding rules foster segregation, effectively preventing the poor ... from moving in. Such policies are one of the few issues that Americans in red and blue states seem to agree on."

So yes, the NIMBY effect of the 'rich' forces the poor to live out of sight, unable to benefit from the schools, parks, and appreciation in property values enjoyed by the wealthy.

The financial structure favours the wealthy in a variety of ways. "When the wealthy patronize shops and restaurants that offer low prices and fast service, their satisfaction comes at the expense of cashiers and dishwashers paid poverty wages. When we open free checking accounts that require maintaining a minimum balance, we benefit from the fact that banks can collect billions of dollars in overdraft fees from poor customers who struggle to meet these requirements—and who often end up gouged by check-cashing outlets and payday lenders."

The notion that the government subsidizes the poor while taxing the rich does not take into consideration the massive tax benefits homeowners have with the mortgage interest deduction and state and local tax write-offs. Indeed, "the average household in the top 20 percent income bracket receives $35,363 in annual tax breaks and other government benefits—40 percent more than the average household in the bottom 20 percent."

"What is “maddening,” Desmond writes, is “how utterly easy it is to find enough money to defeat poverty by closing nonsensical tax loopholes,” or by doing 20 or 30 smaller things to curtail just some of the subsidies of affluence."

His bleak conclusion:

"Getting affluent people to engage in rhetorical hand-wringing over inequality is easy enough. Persuading them to yield some of their entitlements is a lot harder."

[tradedmiami]

SALE IMAGE: Raul Pino, Jade Hernandez & Pablo Vignolo DATE: 05/20/2024 ADDRESS: 4121 34th Street MARKET: Orlando ASSET TYPE: Industrial SELLER: Bill Kennedy BROKERS: Jade Hernandez, Raul Pino (@Thewolfofsouthfl) & Pablo Vignolo (@Hypepabs) - The Hype Real Estate Group (@TheHypeRealEstateGroup) SALE PRICE: $8,300,000 SF: 84,562 ~ PPSF: $98 NOTE FROM BROKERS: We are proud to have exclusively listed this property in Orlando. Our team specializes in sourcing properties throughout the state of Florida and expanding into Georgia and North Carolina. Reach out to us (@thehyperealestategroup) so we can go over our current off-market pipeline and close some deals together! We focus on industrial, retail, multifamily, and land. Feel free to reach out to us at 786-503-5583 or 305-303-3837. If you have seen our closing and still not reached out, we do not bite lol. From small buyers to big buyers we are here to help and have a lot of off-market deals in our inventory. Feel free to reach out. #Miami #RealEstate #tradedmia #MIA #TradedPartner #Orlando #Industrial #JadeHernandez #RaulPino #PabloVignolo #TheHypeRealEstateGroup #BillKennedy

[fresh-bag-of-ham]

Wait sorry could you elaborate a little about that housing post? My experience (heavily influenced by college towns to be clear) has been that landlord corporations will buy up single family homes quickly for cash, which means that 1) there is a shortage of housing for people who want to purchase homes rather than rent, 2) the landlord companies are extremely predatory and rent to students charging them each $$$$ to live there no matter how many people are living in the house, and 3) building new housing, including multifamily apartments, does nothing to fix this because it's built by developer corporations that set ridiculously high rents and don't care if many of the units are unoccupied. I can see how the proposed legislation would do nothing but shift who's getting screwed over, but I don't see how "build more housing" on its own actually fixes the root issue if the new housing is just as expensive + it's still the predatory landlord companies owning everything. But I also don't know very much about this outside of my general observations.

Yes, I can elaborate!

There's a shortage of housing for everyone in the US, period, which is making the housing that does exist more valuable, period. This makes owning a rental property a great investment (super low vacancy rate!), and it also makes buying a condo purely as somewhere to stash your money for a while a great investment (price almost guaranteed to be higher when you sell it later!). All this competition does make it harder for people who want to buy a home just to live in themselves, but the investors they're competing against are reacting ""rationally"" to a general scarcity that already exists.

College towns, because of the relatively fixed base demand of students needing places to live close to campus, are unfortunately really prone to predatory landlords -- I mean, I was in college 2006-2010 when the housing bubble burst and there was basically no effect on student rent prices. All 25,000 of us students were still all competing for the same scrubby rental houses.

[much elaboration below the cut...]

What does affect the student housing prices is changing land use code to allow mid-rise apartment buildings. The new housing was expensive, top of the market, sure, but buildings are crazy expensive to build right now, and the building is also pretty nice. So suddenly the wealthiest 1,000 students are living in the brand new 20-story building with the in-house pool and gym, and now there's only 24,000 students chasing the same scrubby rental houses. The effect on prices is far from immediate, but after a few mid-rise apartment buildings go up, after you get maybe 5,000 new units to the market, people have more options and the natural vacancy rate starts creeping up? The owners of the scrubbiest rental houses start to worry. With so many other options for renters, do they have to lower rents to compete? Fix up their units? Or do they have to sell off a couple properties, maybe the ones furthest from campus? Or do they have to get out of the business altogether?

This is overly simplified of course, and, depending on other factors, increasing housing supply might only result in less upward pressure on rent prices, but you can actually see all the 'how to get rich without working' passive income bros start to freak out in real time on twitter when a town where they own a small rental empire starts upzoning and issuing building permits, because what they're exploiting to make money is housing scarcity.

There are a couple of general ideas around this floating around in various states of exaggeration that are misrepresentations or distortions of reality. To address a couple...

This video addresses the idea that inspired the proposed legislation from a few days ago, the idea that the housing shortage is being caused by Wall Street investors buying up single-family homes.

This article is really important in addressing something you mentioned, the idea that landlords "don't care if many of the units are unoccupied". The number of unoccupied units, otherwise known as the vacancy rate (and its inverse, the occupancy rate), is something landlords care a lot about.

This in-depth report describes a relatively new company that offers landlords not just software, but access to a dataset of all rental rates in their area. Not just asking rents for available listed units, but all rents being charged for every unit. Using this dataset, the software recommends that landlords set their rents some amount higher and accept a (slightly) lower occupancy rate.

The company had been seeking occupancy levels of 97% or 98% in markets where it was a leader, Winn said. But when it began using YieldStar, managers saw that raising rents and leaving some apartments vacant made more money. “Initially, it was very hard for executives to accept that they could operate at 94% or 96% and achieve a higher NOI by increasing rents,” Winn said on the call, referring to net operating income. The company “began utilizing RealPage to operate at 95%, while seeing revenue increases of 3% to 4%.”

I feel like people are imagining a building with maybe 20% vacancy? Maybe 30% vacancy if you were imagining a particularly greedy landlord?? But this article describes a shift from 2-3% vacancy (basically enough to allow a short turnover period between tenants) to 5% vacancy. And even that, the landlords could hardly stomach at first! Because vacant units feels like leaving money on the table, it goes against all their business sense.

But a shift from 2-3% to 5% vacancy still takes some units off the market, right? Well, yes, but a) I wouldn't call that "many", and b) in the grand scheme of things it means waiting a couple more months between tenancies. That's certainly not good, but the far more devastating effect of this scheme is that a small increase in the vacancy rate is no longer a downward force on rent prices.

So let's say they've been operating at 98% occupancy, charging $1000/mo rent. To take in 4% more revenue at 95% occupancy, that's basically a 7% increase in rent, $1073/mo. At that price, for revenue to fall back to what they'd been making before at 98% occupancy (which presumably was enough to cover operating expenses), the occupancy would have to drop to 91%.

So where this company would previously only tolerate maybe a 3% vacancy before dropping rents to fill their available units, this company now would tolerate a 9% vacancy rate in theory. Because of the demand for housing being what it is they're operating at 5% vacancy and just raking in profits like they describe.

On the one hand, this is definitely a huge problem. This company's software has become incredibly prevalent among landlords across the country, and the DOJ is currently investigating this company for antitrust violations because of the data sharing and price-setting that this company/algorithm has enabled. So that's encouraging!

On the other hand, this whole scheme wouldn't even be possible if we didn't have a housing shortage to begin with. In a housing surplus, the first building to fall below their vacancy threshold would have to start lowering rents and leasing more units to cover the difference, those additional units on the market would start to increase vacancy rates in other buildings and they'd do the same thing, and the whole house of cards would collapse.

tl;dr: Yes, the new housing itself (without subsidies from every level of government to build an affordable housing development) will likely be top of the market (after all, it's brand new) but housing scarcity generally allows everybody to jack up rents and behave predatorily, even the landlords of the oldest and shittiest rentals, and the only counter against that that doesn't leave somebody out in the cold is to increase housing supply.

[trickstarbrave]

i have like 0 money to do this with but im trying to understand zoning and shit bc my dream in live is to just have a big plot of land with me and my friends owning small houses on it and having a shared garden and hanging out regularly 

and i have learned zoning makes this like absolutely impossible. not like impossible-impossible but so prohibitively annoying and expensive that its a giant pain in the ass to even get off the ground. 

there is a city that allows co-housing like i described in various plans and methods of doing so that are approved with the possibility to do it other ways as well with city approval. so i started looking at land and housing with enough land to do that on in the area. most within the heart of the city were pretty expensive and/or small but some of the stuff of the outskirts is affordable esp with programs designed to help ppl buy homes. 

and then i looked into zoning of these areas. they are not zoned within the city, but unincorporated county parcels. and the county wants unincorporated land to stay rural and single family. you can have accessory dwelling units, but it has to be 1 per lot max regardless of size of your parcel, doesnt matter if its less than an acre, 5 acres, or 10 acres or more. you can subdivide, but with some of the minimum requirements of size for these parcels, that would also mean rezoning them as they would no longer meet the minimum requirements, so it would be both subdivision AND rezoning which would need approval, along with having a road paved between the divided property. you could simply rezone it to multi-family residential, except they are written in a way where if you want to make something multifamily residential they assume you wanna build an apartment or housing complex for rent, not a shared co-living community, and rezoning will require: talking with someone from the county zoning office to see if you have any leg to stand on, drafting a plan for what you intend to do with that land exactly, interviewing your neighbors and getting their opinions and approval on it, paying to hold a local meeting, and then a panel of people hold the meeting to take in all local opinions and hear any and all opposition, after which they decide if they want to approve or not approve it (or that you need to make changes to your plan/the land before they consider it). after that they will then make a formal decision, change it in the registry, etc etc and THEN i would be approved to have multiple dwellings on the property so my friends and i could make an intentional living community. if you go ahead and build anyways, you won’t be able to hook it up to anything bc then the county will find out, and if the county finds out either way they will rip the building down and fine your ass a lot of money

meanwhile an empty plot of land in the city limits that allows co-living construction isssssss 400k. lol. and that doesnt qualify for any assistance with purchasing it bc it doesn’t have a house on it. and there are no houses with lots big enough to put a bunch of small little homes on it, not without paying out the ass like 800k-1mil+

the fuck man

[jayconner-raisingprivatemoney]

Jay Conner on Transforming Real Estate Deals with Private Money Strategies

Private Money Academy Conference:

Free Report:

***Guest Appearance Credits to:

"How I Raised $2 Million in 90 Days for Property Deals with Jay Conner"

https://www.youtube.com/watch?v=5rzX5J_zDaA

Welcome to another insightful episode of the Raising Private Money Podcast!

Today, Jay Conner joins Rama Krishna on his "Multi-Family AP360" podcast where Jay talks about his secrets to revolutionizing the real estate game since 2003! With experience in buying and selling houses, Jay operates in a small market in North Carolina, averaging impressive profits of $82k per deal.

Tune in as Jay shares his journey from relying on traditional bank loans to mastering the art of raising private money without asking for it. You'll learn about his unique strategies for finding motivated sellers, leveraging private funds, and achieving remarkable success in real estate investment.

Whether you're a seasoned investor or just starting, Jay's expertise will provide invaluable insights to skyrocket your real estate business. Don't miss this episode filled with practical tips and inspiring stories!

Timestamps:

00:01 - Raising Private Money Without Asking For It

04:28 - Bank shuts down credit, which became the biggest blessing in disguise.

06:21 - Private money from individuals gives high returns.

10:51 - 8% interest rate on your investment?

15:42 - Exit strategy relies on funding and method.

18:29 - Expand your network, and BNI groups for connections.

21:54 - Offering high returns on real estate investments.

23:05 - Negotiated higher rate, increased investment to $500,000.

26:54 - Jay Conner’s Book "Where to Get the Money Now."

Have you read Jay’s new book: Where to Get The Money Now?

It is available FREE (all you pay is the shipping and handling) at

What is Private Money? Real Estate Investing with Jay Conner

Jay Conner is a proven real estate investment leader. He maximizes creative methods to buy and sell properties with profits averaging $67,000 per deal without using his own money or credit.

What is Real Estate Investing? Live Private Money Academy Conference

YouTube Channel

Apple Podcasts:

Facebook:

[mysmartcousin]

Commercial vs. Residential: Where to Invest in Real Estate

When considering real estate investments, one of the fundamental decisions investors face is whether to invest in real estate commercial properties or residential properties. Both avenues offer distinct advantages and appeal to different types of investors based on their financial goals, risk tolerance, and market conditions. In this blog post, we will explore the key differences between commercial and residential real estate to help you make an informed decision.

Understanding Commercial Real Estate

Commercial real estate refers to properties that are used for business purposes and generate income through leasing space to tenants. These properties can include office buildings, retail spaces, industrial facilities, and multifamily apartment buildings with five or more units. Investing in commercial real estate typically requires a larger initial investment compared to residential properties, but it also offers potentially higher returns.

Advantages of Investing in Commercial Real Estate

Higher Income Potential: Commercial properties often command higher rental incomes compared to residential properties, especially in prime locations and during economic upswings.

Longer Leases: Tenants in commercial properties typically sign longer leases, providing more stable and predictable cash flow for investors.

Professional Relationships: Commercial leases are usually signed with businesses, creating professional landlord-tenant relationships that can lead to consistent rental payments and property maintenance.

Evaluating Residential Real Estate Investments

Residential real estate, on the other hand, includes properties intended for single-family homes, condominiums, townhouses, and small multifamily units (generally four or fewer units). Residential investments are often considered more familiar to individual investors and may require less initial capital compared to commercial real estate.

Advantages of Investing in Residential Real Estate

Accessibility: Residential properties are generally easier to finance and manage, making them more accessible to individual investors and those new to real estate investment.

Larger Tenant Pool: The demand for residential rental properties can be robust in many markets, ensuring a steady flow of potential tenants.

Potential for Appreciation: Residential properties in desirable locations can appreciate in value over time, providing additional returns when the property is sold.

Factors to Consider When Choosing Between Commercial and Residential Real Estate

Risk and Return Profile

Commercial real estate investments often carry higher risks due to factors such as economic downturns affecting business tenants. However, they also offer potentially higher rewards in terms of rental income and property appreciation.

Residential real estate investments may offer more stability in rental income but could be susceptible to economic fluctuations affecting tenants' ability to pay rent.

Investor Experience and Involvement

Investors with a background in property management or business may find commercial real estate more aligned with their expertise and interests. Conversely, residential real estate can be an excellent starting point for new investors or those looking for a less involved investment strategy.

Making the Right Investment Choice with mysmartcousin

In conclusion, whether you choose to invest in commercial or residential real estate depends largely on your financial goals, risk tolerance, and personal preferences. Both types of properties offer unique opportunities for generating wealth and building a diversified investment portfolio.

At mysmartcousin, we understand the complexities of real estate investment and can guide you in making the right choice tailored to your needs. Whether you are leaning towards the robust potential of commercial properties or the stability of residential investments, our expertise and personalized approach ensure that your investment strategy aligns with your goals.

Invest wisely with mysmartcousin and explore the diverse opportunities in commercial and residential real estate today.

By structuring the content with clear subheadings and naturally integrating the keyword "Commercial vs. Residential: Where to Invest in Real Estate" throughout the blog, we aim to enhance its SEO performance. This strategic use helps in improving keyword density and relevance, thereby increasing the likelihood of ranking on the first page of search engine results for relevant queries.

[renurenovationcompany]

Transforming Spaces: Comprehensive Renovation and Restoration Services by Renu

At Renu, we manage a diverse range of projects from small interior renovations to iconic luxurious undertakings, with a specialized focus on multifamily renovations in Dallas. Our multifamily general contractors ensure efficient project delivery and optimal investment value. Our services extend to swift and reliable restoration for water, fire, or storm damage, rebuilding properties and restoring lives. In hospitality renovation, we transform hotels into luxurious and comfortable spaces, meeting industry trends and guest expectations with innovative design. Our expertise in adaptive reuse projects revitalizes existing structures, converting nonresidential properties into residential assets while addressing environmental concerns. We also specialize in affordable housing construction, providing comprehensive preconstruction services and reliable project completion. Trust Renu, the leading general contractors in Dallas, to handle your renovation, construction, or restoration project with unmatched dedication and skill.

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10 stars property management landlord rescue

Our team of real estate experts have been working in the real estate industry for years and are passionate about property management.

They have over 30 years of combined experience in real estate, customer service and property management!

As landlords ourselves, we also understand how to maximize your return!

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Outdoor amenities are crucial to attract and retain customers in multifamily apartments. The availability of a suitable outdoor facility can be a significant deciding factor during the decision-making process. Outdoor amenities enhance the appeal of the multifamily property as they improve the residents' lifestyle.

Multifamily property developers consider several factors, like location, configuration, and size, while selecting outdoor amenities. The developers also consider the community's needs and the services or facilities available in the neighborhood. These factors directly influence the outdoor amenities at multifamily properties. Visit our website page https://ringley.co.uk/areas/abbey-wood.

Service Charge Sorted

Service charge sorted is a Ringley child business. Explore new landing pages for best small blocks of flats in London and low-cost managing agents. All information is available on the service charge sorted website.

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Buying Small Multifamily Properties: A Mini Monopoly Game for Real Estate Investors

Article Summary: Buying Small Multifamily Properties Key Points: – Small multifamily properties are an easy way to build a portfolio. – Creativity can help you invest without needing a lot of money. – Despite challenges, the real estate market is still viable. – Starting small can lead to long-term financial success. Hot Take: Investing in small multifamily properties is like a budget-friendly…

[tradedmiami]

SALE IMAGE: Raul Pino & Pablo Vignolo DATE: 06/25/2024 ADDRESS: 3552 East 10th Court MARKET: Hialeah ASSET TYPE: Industrial BUYER: Larry Groll SELLER: Carlos Edde BROKERS: Pablo Vignolo (@HypePabs) & Raul Pino (@TheWolfofSouthfl) - The Hype Real Estate Group (@TheHypeRealEstateGroup) SALE PRICE: $2,500,000 SF: 13,202 ~ PPSF: $189 NOTE FROM BROKERS: We just closed on another off-market deal in Miami. Our team specializes in sourcing properties throughout the state of Florida and expanding into Georgia and North Carolina. Reach out to us (@thehyperealestategroup) so we can go over our current off-market pipeline and close some deals together! We focus on industrial, retail, multifamily, and land. Call us at 305-303-3837 or 786-503-5583. If you have seen our closing and still not reached out, call us! From small buyers to big buyers we are here to help and have a great amount of deal volume. #Miami #RealEstate #tradedmia #MIA #TradedPartner #Hialeah #Industrial #PabloVignolo #RaulPino #TheHypeRealEstateGroup #LarryGroll

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What Renters Are Looking for in 2024

The United States is experiencing a housing crisis, which includes a lack of affordable housing options for renters throughout the nation. On average, only 34 out of every 100 extremely low-income renter households have access to available residences in their price range. Renters in this economic class experience shortages in every state and major metropolitan area in the country. Despite this shortage, nearly 44 million housing units are rented every year. Renters in 2024 maintain several areas of focus when it comes to assessing a potential rental unit.

To start, renters are interested in more space, including backyards. First impressions and curb appeal are hugely important for property owners interested in renting, or selling, a space. Tenants can often fully tour a home using digital tools without ever visiting the property, though 69 percent still want to take a guided, in-person tour before committing to a property. Considering how easily potential tenants can research rental units, property owners must invest in a lasting impression. A spacious, well-maintained outdoor space is a great way to stand apart from more confined rentals. Renters are especially interested in green spaces, even if they are renting in an urban environment.

Renters are also looking for more space indoors. Ever since the onset of the COVID-19 pandemic, renters have sought to “upsize” rental spaces and create home offices. The need for at-home workspaces has been exacerbated by a growing interest in starting small businesses. Close to half of American renters work from home multiple days per week, with 64 percent saying they expect this work arrangement to continue. Real estate economist and Florida Atlantic University professor Ken H. Johnson noted that Americans are prioritizing larger rental spaces. “Instead of one bedroom, they go for two.”

Some needs are more general than others. According to the National Multifamily Housing Council (NMHC) Renter Preferences Survey Report, which polled about 221,000 renters across the US, the vast majority of renters prefer an apartment to a townhome or single-family property. Nearly nine out of 10 respondents said they would choose an apartment over another type of rental property.

Americans also have preferences for the surrounding rental community. Over half of renters told NMHC that they would be more likely to rent a property if it was pet-friendly, compared to seven percent who said a pet-friendly designation would discourage them from renting. The former is interesting considering only 36 percent of respondents owned a pet, meaning many without pets still preferred a pet-friendly environment. Meanwhile, 65 percent of renters valued a healthy building certification and would consider certification status when signing a lease.

Different groups of renters have different needs. While adults and families may need extra space for a growing family or business venture, student-specific rental needs range from Wi-Fi reliability to the property’s proximity to campus. These types of rentals must often appeal to both students and parents. Flexible lease terms, individual leases for all roommates, and the ability to make online rental payments from multiple accounts are all important services in the student rental market, which consists of nearly 2.2 million students.

When it comes to specific amenities, 92 percent of renters say a washer and dryer in the unit tops everything else. At least nine out of 10 renters also described air conditioning units and soundproof walls as must-haves. Other important amenities include a garbage disposal and closet space.

[keithscribnerspokane]

Five Commercial Real Estate Investment Criteria You Should Keep in Mind

The commercial real estate sector ought to provide substantial cash flow and consistent returns to the investors, but this process can be time-consuming. The Ones setting up their careers as investors must stay patient until the property appreciates to a certain level or a stable rental income is generated. However, many options facilitate one with buying and holding investments since multiple financing firms now provide loans to the ones who begin with little or no money. Before jumping on the bandwagon, a couple of aspects are mentioned in the investment criteria that you need to look at beforehand.

Supporting Weblink: https://www.investopedia.com/articles/investing/110614/most-important-factors-investing-real-estate.asp

Commercial Investment Type:

It should be understood that all commercial properties are of different types, sizes, and values. Therefore, the amount you need for investment differs, and so is the financial return you get. A small building covering a concise area would be comparatively less costly and require less maintenance than a tall, towering one. However, a few investors look for large establishments that require huge capital and have high-risk factors and greater financial returns. The main types of commercial properties are office buildings, retail including shopping malls, industrial sector incorporating manufacturing sites and warehouses, multifamily housing entailing duplexes and triplexes, hotels and eateries, and special purpose buildings. Every investor has a unique portfolio and prior experience in the industry, which determines how well they will pursue their next investment.

Budget Suitability:

Every investor has a budget allocated for investment. The monetary returns associated with an investment are massive, but at times, there are unpredictable expenses associated with every property. Before applying for a bank loan, analyze if you would be able to repay the amount that the bank has offered you. Also, before making investments, one should enlist all predicted expenses and potential income to check if they are liable to begin a new investment or not.

Market Cycle:

Recovery, expansion, hyper supply and recession are essential components of the market cycle. This cycle relies on the economic sector rather than the country's climatic conditions. Each processing element predicts which phase is appropriate for property buying and selling. For purchasing a property, recovery and expansion are the most suitable stages.

Demand and Supply:

Every area has a varying supply and demand of commercial properties. To analyze which property has more demand in the area and where one should invest, investors should study the area keenly and do ample market research. One can take help from estate agents in this process.

Time Taken:

There is a lot of time and patience required for real estate investments. One should be ready to wait for an extended period and do the paperwork for the entire process.

Keith Scribner has been a commercial real estate investor in Spokane, Washington, and the pacific northwest for about 40 years. One can explore more about Scribner Investment Companies by visiting http://www.scribnerinvestmentcompanies.com/keith-scribner-s-bio.html.