Hello, here is some information I thought might be useful for the investor.  If you have comments or any information to add please feel free to contact me.

 

Thank You

JW

818-353-9100

 

Preconstruction

8 Exciting Downtown Retirement Spots

Power Selling

Saving on Energy

The Big Boys

RESPA – What’s considered a kickback?

Due Diligence Checklist

Financing Commercial Property

FYI

 

 

Preconstruction

 

In a recent article in “Property Investor Magazine” the question was asked “Is Preconstruction Dead?”  According to the article; before the fall in home prices it was not uncommon for the small investor, to make great returns in this investment vehicle.  Many contracts were even sold to other investors before title took place.  PIM stated that appreciation had to be around 15 to 25% per year in order for these types of investments to work.  Making preconstruction in a sellers’ market make sense. 

 

According to this article if the investor has to take title and can’t rent the property then they would have to sell.  Since the builder has built several properties and sold to many investors this could mean that there will be a rise in property sales for that area lowering appreciation even more.

 

In order for this type of investment opportunity to work; property values would have to climb at significant levels during the short build period.  If you can find an area that has a high rate of appreciation and a real need for many homes this scenario can work.

 

The good news is that real estate appreciation is cyclical and for many areas os the country, if you can hold a property that you purchased low you may make a profit when the areas appreciation rate increases.

 

Retirement Spots

 

In the recent issue of “Where to Retire” they gave a listing of the hottest cities to live in a downtown area.  www.wheretoretire.com

 

Chicago, IlI

Wilmington, NC

Philadelphia, PA

St. Petersburg, FL

Baltimore, MA

Portland, OR

Atlanta, GA

Vancouver, BC

 

There is also an article that list the 10 ways seniors can avoid fraud when purchasing or looking for retirement opportunities.

 

Power Selling

 

In the most recent issue of Selling Power Magazine there are several great articles.  Selling Power is a high quality FREE magazine for the professionals. www.sellingpower.com

 

-          How to manage your sales team

-          Sales Call Success

-          How to Sell Yourself by Writing A Book

-          How to Write Copy and What is the Best Way to Market

o        Best Sources of Sales Leads

§         Telemarketing

§         Email

§         Direct Mail

§         Search Engine

o        Best Response Rates per Sales Vehicle

§         Email

§         Telemarketing

§         Direct mail

§         2-Dimensional Mail

-          Creativity Lessons

o        Risk is Good

o        Diversity Creates Strength

o        Add-ons Creat Extra Wealth

o        Make the Impossible Happen

-          How to Create a Sales Process that is worth Duplicating

-          How to get Sales Leads that Pay Off.

 

Saving on Energy

 

In the May issue of Multi-Housing News there are a couple of articles on indoor air quality and smart ways to control energy use.  This issue also has the 2007 product choice awards.  www.multi-housingnews.com

 

The Big Boys

 

One of my favorite magazines is MFE Executive www.multifiamilyexecutive.com.  It has great articles and has a great online site.

 

RESPA – What’s considered a kickback?

 

A recent article by the National Assoc. of Realtors spoke to RESPA issues to read this article go to www.realtor.org/RMODaily.nsf/pages/News2007051602?OpenDocument

 

Due Diligence Checklist

 

When you have a property under contract you may find that the difference between a good real estate buying experience and a poor one is the due diligence you do before you complete the purchase.  Especially making sure that your contract allows you the time to do complete whatever you have to do before you purchase.  Changing zoning of a property to use it for something other than it is being used for currently and many other details could take a considerable amount of time.  Here is a short article with a some checklists. 

http://www.creonline.com/articles/art-148.html.

http://www.zipperman.com/duediligence.html.

 

Financing Commercial Property

 

I rarely mention myself when I send out information, but I do not want anyone to forget that I am a commercial lender with Pathfinder Mortgage Corp.  We have fancy offices in downtown Los Angeles which you are welcome to come visit.  I will be happy to meet with you to look over your projects or to just have some lunch and talk shop.  I choose to work with Pathfinder Mortgage because Pathfinder has been around since 1977 and has the greatest relationships with the financial community.  That means very competitive pricing and terms for you.

 

-          What can I lend on?

o        Land (entitled or not)

o        Commercial Industrial – We love ugly buildings with single owners and pretty buildings with partnership entities.

o        Warehouses

o        Specialized buildings, Motor Home Parks, Bowling Alleys, Spas etc…

o        Office Buildings of all sizes

o        Multi-Family – Apartments

o        And just about anything else you can think of that produces income.

-          How much can we lend?

o        From $500K to $100M.

-          What type of Lending?

o        Bridge

o        Mezzanine

o        Hard Money

o        Construction

o        Refinance

o        Acquisition

o        Take Out Loans

o        Etc…..

-          What type of Lenders do you represent?

o        CMBS (Wall Street Money)

o        Life Insurance

o        Banks (Local and National)

o        Private Equity

 

Because Pathfinder has long term and deep relationships with many different types of lenders you are assured the best rates at the best terms.  You are also assured that the team you are working with knows the markets and has done your type of deal before.  You will get expert help at the best rates and we are friendly and open to your particular needs.

 

COMMERCIAL & INDUSTRIAL REAL ESTATE
FIXED RATE PROGRAM

INSTITUTION

INDEX

MARGIN

TERM/AMORT

MAX LTV

PREPYMT PENALTY

Conduit

5 yr T-Bond

95-150bp

5/25, 5/30

80%

Treasury Defeasance

Life

5 yr T-Bond

95-175bp

5/25, 5/30

75%

Yield Maintenance

Bank

5 yr T-Bond

175-250bp

5/25, 5/30

75%

5,4,3,2,1

 

 

 

 

 

 

Conduit

10 yr T-Bond

90-150bp

10/25, 10/30

80%

Treasury Defeasance

Life

10 yr T-Bond

95-175bp

10/25, 10/30

75%

Yield Maintenance

Bank

10 yr T-Bond

175-250bp

10/25, 10/30

75%

5 Year lock, 5,4,3,2,1

 

FYI

 

-          Tennessee cabins and investment property offer I sent you a week or so back just went national with their advertising.  I heard them on 97.1 FM Talk radio in a two hour interview.  I checked and the prices are going up.  Hopefully some of you got a chance to get in before the flurry.

-          The JV opportunity for the storage unit facility is no longer available.

-          If you are interested in the foreclosure market or short sales here is a neat tip.  If you know this one you will probably be mad at me for sharing it here.  For Southern California only.  www.countyrecordsresearch.com.  If you were nice enough to read this whole email all the way through, this service is worth the time.

 

"If all economists were laid end to end they would not reach a conclusion." - 
George Bernard Shaw

 

Hope you enjoy my ranting, but if you don’t please let me know and I will HAPPILY remove you from my list.  I really only want to talk to friends and associates who want to talk to me.

 

Thank You

JW Najarian

818-353-9100