<![CDATA[Real Estate Investor Workshop Site - Posts]]>Tue, 09 Feb 2016 03:29:09 -0800EditMySite<![CDATA[Chart Your Wealth Building for 2016 and beyond!]]>Thu, 01 Jan 2026 16:36:39 GMThttp://investorworkshops.weebly.com/posts/chart-your-wealth-building-for-2016-and-beyond​Yogi Berra is known to have said "'If you don't know where you are going, you'll end up someplace else.”
.It is a new year.. We reflect and look forward as we transition from 2015 into 2016. Another year. A lot can be accomplished but in order to be the highly productive successful person you are you need to be clear about your goals in each area of focus in your life. Usually your New Years resolutions focus on your health but what about your wealth resolutions? 

There are typically seven 'life buckets' which include health, spirituality, business, relationships, job and finances (wealth). The latter 'finance bucket' is the focus of my wealth building workshop I am hosting on February 27 at 10am to 12pm in Lincoln Park (details upon registration). 

​This Part One: Charting the Course workshop is designed for entry-level investors looking to better understand what it means to build financial wealth and it gets you on the path to develop a plan for where you want it to be at year end, in five years, ten years and someday as you navigate towards retirement. Focus is the key to achieving that success.

The workshop is free and there are absolutely no strings attached (like some workshops that try and get you to  'buy our Part 2 workshop' or 'buy this book we wrote' or whatever). We are looking to meet and introduce the ideas of wealth building and leverage in real estate investments and meet like minded people. 

What is Financial Wealth? The simple definition is financial wealth is an accumulation of assets that deliver the passive income necessary to achieve my personal mission in life without having to work. Building my financial wealth through investments to live a large and limitless life. It is about putting my money to work and letting it work for me over timeA place where someday I have enough money working for me that I no longer need to work for money.

​Here is a little video and introduction to me and an outline of the Investment Workshop. 

“Wealth consists not in having great possessions, but in having few wants.” ~ Epictetus 85 A.D.
​It’s not about luck but about planning a strategy towards your specific financial investment goals. It is about understanding how to take luck out of the investment game. Follow the tried and true investment systems to win and meet your short term and long term goals. Define your own criteria to follow based on others successful (and failed) models. First you will learn to play the game. Then you will learn to win the game through the proven systems and models used for decades.  

This is NOT a get rich quick, flip your head off miracle system, magic pill workshop.
Seriously. Investments and building wealth take time. You can get rich quickly but this workshop is focusing on building wealth which takes time. 

Once you begin to answer why you want to reach the goals you've setup (to support my parents, to live a carefree lifestyle, to retire early. Whatever your specific reason you'd like to not have to rely on your job and working but rather want to have your money working for you so you can live the way you envision your life being most complete and to live the largest life possible and achieve your personal potential.
​“Being rich is not about how much money you have or how many homes you own; it's the freedom to buy any book you want without looking at the price and wondering if you can afford it.”  ~ John Waters
So your next steps are simple. You really have nothing to lose (except the two hours in the workshop).  Are you ready to be a conscious player in the financial wealth-building game? Are you ready to create your Investment Mission Statement? Are you ready to engage it strategically and with purpose? Are you ready to keep score carefully and monitor your wealth building goals? Are you ready to intentionally invest and compound your return? Are you ready to stay on track and adjust where needed? Are you ready to watch your net worth grow?

If you answered three of these with a yes then register for the workshop now by clicking here. ​If you have any questions go ahead and email me here.  I hope to see you at our Part One workshop and discuss your goals.  
<![CDATA[36% think it's risky being a landlord]]>Tue, 26 Jan 2016 21:43:47 GMThttp://investorworkshops.weebly.com/posts/36-think-its-risky-being-a-landlordBy Warren Lewis

A new poll which has taken a snapshot of the UK’s property investment concerns, has revealed the negative perception that Brits have of becoming a landlord. According to the results, 36% of UK adults felt that it is extremely risky being a buy-to-let landlord.

Despite the negative perception, millions of buy-to-let landlords are reaping the benefits with data from HM Revenue & Customs showing that the number of buy-to-let investors in the UK is around 1.6 million, after an increase of 120,000 in 2014.

The research asked 2,000 people what their biggest concerns would be with investing in buy-to-let property. Making repairs to toilets (63%), and risking tenants damaging your property (63%) have been flagged as the key things that put people off being a landlord, due to unexpected and unforeseen costs. Two thirds (62%) also said being a landlord means you risk losing income when the property is vacant.

When looking at confidence in property investment across the UK, the key differences that the research has shown is that in London (39%) and the West Midlands (38%) the majority of the public believe the property market will continue to boom. However the least confidence was found in the North East (21%) and the East Midlands (26%).

It has been predicted that the new pension reforms that come into effect in April will lead to people investing in property and upping the number of landlords. The poll found that investment in student property is regarded as the best choice amongst the public, with 1 in 8 saying that if they were to invest in property it would be in student accommodation because of the incentives available to them in recent years. Behind this was retirement property (10%), and holiday homes (9%).

Purpose built student accommodation (PBSA) is a class of investment that means you have guaranteed income, management of tenants, property resale and outsourced repairs. These privately owned student halls provide a high standard of student living and are expected to be extremely desirable to those put off by the traditional risks and hassles of being a buy-to-let landlord.

James Harrington, business development manager at Emerging Property, said: “Purpose built student accommodation is designed to mitigate the key concerns expressed by investors in this survey. Not only are they operating within a market that delivers far greater yields than traditional buy-to-lets, but also, as the result of onsite property management and guaranteed returns, provide a hassle-free passive income, with zero costs and complete peace of mind.”

The incentives that are offered through new property investment structures oppose the common perception that the public have of being a landlord. Harrington went on to explain why: “In 2014, we witnessed record university intake levels in the UK, with numbers exceeding half a million for the first time. With existing supply gaps, this is resulting in high demand and positive rental growth, which ultimately leads to improved yields and enhanced security. This trend is set to continue, with legislation, both at the national and local level, encouraging increased university intake and exacerbating demand for purpose built accommodation.

<![CDATA[Investors Develop Bigger Appetite for Value-Add Product]]>Tue, 26 Jan 2016 21:40:18 GMThttp://investorworkshops.weebly.com/posts/investors-develop-bigger-appetite-for-value-add-productInvestors do not always agree on how they define “value-add” investment. But one thing they can agree on these days is that they want more of it.
Investors are showing increasing preference for allocations to value-add assets compared to core and opportunistic investments, according to the 2015 Pension Real Estate Association (PREA) Investment Intentions Survey. Overall, 77 percent of investors who responded to the survey said they expect to buy value-add investments in the U.S. this year, compared to half who plan to buy more core assets and 28 percent who expect to invest in opportunistic properties.
“According to our numbers, definitely over the last year you have seen a move away from core and towards the value-add sector,” says Greg MacKinnon, PhD, director of research for PREA. Last year, the sentiments for plans to invest in value-add and core assets were comparable, with only slightly more investors favoring value-add at 62 percent, and 60 percent of investors who said they expected to make core investments in the U.S. in 2014.
The growing interest in value-add is being fueled by a combination of factors. The most notable reason is falling yields for core properties. Just like in 2014, there is a lot of capital in the market, both domestic and foreign, that is buying commercial real estate.
“We expect cap rates to decline in most property types and most qualities, just due to investment activity,” says Jeanette Rice, Americas head of investment research at CBRE Research and Consulting. So investors that stick with core will have to reduce yield expectations.

“Core capital has started to flow to the best quality assets in secondary markets to find a home for its growing base of capital and achieve incrementally better return as compared to the traditionally core markets,” says Justin Hildebrandt, executive director, real estate investments, at USAA Real Estate Company. USAA Real Estate Company completed approximately $1 billion in transactions in 2014 and the firm expects that volume to increase in 2015.

According to Hildebrandt, USAA Real Estate Company has changed some of its strategies or shifted into other parts of the capital stack that still provide attractive returns, but also feature more downside protection. “In addition, we have found interesting value-add and development opportunities where we are able to have an attractive basis as compared to many of the core trades, but we are also comfortable with the risks of construction and lease-up,” he says.
The recovery in the U.S. economy over the past year is giving investors more confidence in taking on risk related to value-add properties. In addition, value-add properties are more appealing given expectations that interest rates may rise. If interest rates do tick higher, it will likely be because the economy is recovering. “So the way to protect yourself from a rise in interest rates is to have some kind of growth potential in your assets,” says MacKinnon. Value-add assets provide for that growth with more opportunities to improve occupancies and raise rents.
Moving from core to value-add is a step further out on the risk spectrum. “But in general, people aren’t jumping into the deep end with both feet,” says MacKinnon. To that point, there has not been a big increase in investors looking to do opportunistic investment. Another interesting note is that that the increasing allocation to value-add is occurring largely among domestic investors. Foreign investors coming into the U.S. remain much more focused on buying core assets in the top six metros, he adds.
So what are some of the hot value-add buys in today’s market? “I think what you will find is that the markets that have the dearest pricing right now for core is where people have most interest in value-add,” says MacKinnon. Typically, that means investing in value-add projects in suburbs around the major metros, as well as some of the dominant secondary markets. For example, investors are looking at value-add office buildings in markets such as New York, Boston and Los Angeles.

The question in every property sector is “What is the next segment that offers more value?” adds Rice “We see the suburban office market as having a lot more value than what had previously been perceived,” she says. So far, capital hasn’t really migrated to suburban offices to a great extent, but that will change in 2015, because central business districts (CBDs) and urban office areas like Atlanta’s Buckhead have seen prices driven up, says Rice.

In the multifamily sector, what has been really hot is urban infill and hi-rise apartments.
“But there is not as much upside in the urban product as we see in the suburban product right now,” says Rice. There has not been as much multifamily building in the suburbs, and there is still plenty of demand for that product. “So that is another area where we believe we will see a little more migration on investment,” she says.
An article written by Beth Mattson-Teig