Residential Assisted Living Seniors Housing Statistics

By Gene Guarino

Latest Statistics Available for the Coming of the “Silver Tsunami of Seniors”

OVERVIEW OF THE SENIOR HOUSING OPPORTUNITY

13,000,000 + People are 80 Years Old or Older Right Now

61,000,000 + Will become 80 or Older Over the Next 20 years

996,000 Assisted Living Beds Exist in the US Today

28,900 Assisted Living Communities Exist in the US Today

33 Is The Average Number of Residents Per Community

61% Of the Beds are in RAL Homes with 4-25 Residents

THE PROJECTED NUMBER OF BEDS NEEDED BY 2029

2,296,000 Projected number of beds needed by 2029

1,300,000 New Beds Are Projected to be Needed by 2029

<40,000 New Beds are Added to the Bed Count Each year.

1,000,000 Potential Additional Number Of Beds Needed

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MONTHLY COSTS FOR ASSISTED LIVING IN THE US TODAY

$ 4,051 Average Cost for a Private Room in an AL Community

$11,288 Highest Average Rate in the US is in Washington DC

$ 2,881 Lowest Average Rate in the US is in Missouri

3.64% Average Annual Increase in the Monthly Cost of AL

DIFFERENCES IN THE TYPES OF SENIOR HOUSING AND CARE

IL = Independent Living. Age Restricted Adult Community

AL = Assisted Living. Non-Medical Care for Seniors

NC = Nursing Care. 24/7 Medical Care For Seniors

Sources:

RALNA – RAL National Association

www.RALNA.org

NIC – National Investment Council

www.NIC.org

STATISTA

www.Statista.com

GENWORTH

www.Genworth.com

US CENSUS

www.Census.gov

gene

Gene Guarino
Founder/CEO
Residential Assisted Living Academy™

Gene is the President, CEO & Founder of RALAcademy.com. Gene has over 30 years experience in real estate investing and business. Today, Gene is focused on just one thing… investing in the mega-trend of senior assisted housing. He has trained thousands of investors/entrepreneurs throughout the United States how to invest in and operate residential assisted living homes. For over 25 years he has been educating people on the strategies of successful investing, business and self-employment. He now specializes in helping others take advantage of this mega-trend opportunity.

Building a Family Legacy

How Gene Guarino Built a Generational REI Business

They say you should never work with family… I disagree.
When you do it right, a family business can be your greatest legacy of all.

I’ve been an entrepreneur my entire life starting very early. When I was 12 or so, I did all the usual “kid stuff” like cutting grass, raking leaves, and shoveling snow. I remember my mother had us “selling things” door to door like apples and pumpkins in the fall, and decorated sugar cubes in the spring, or washing cars in the summer. It was normal for us and it was the start of a legacy of entrepreneurship, opportunity, and teamwork that I have passed down to my kids. At age 16 I had my first official “business”- a music school with a recording studio and a record label. By the age of 18 I bought my first piece of real estate and the entrepreneurial journey hasn’t stopped since.

Time goes fast.

clock-3179167_1280Image by Bruno /Germany from Pixabay

40+ years and 20+ businesses ago, I’m blessed to be able to work with my kids on a daily basis. Our focus is Residential Assisted Living for seniors. We started 7 years ago, and we own, operate, and invest in RAL homes, while training and supporting others doing it too.

Working with my kids has been an incredible opportunity to continue to be a part of their lives as I pass on wisdom, insights and get to help them become the amazing adults they are today. To be part of their lives beyond those first “18 summers” has been the best part of all.

My daughter Isabelle is the COO of the AL Family group of companies.
She’s an absolute Rockstar! That’s what everyone who works with her says, and I whole heartedly agree. Here are her thoughts on working together as a family…

“When Gene started his Residential Assisted Living Academy, I thought it was just another real estate business. I had no idea what the future impact would be from the work he was doing. I never would have imagined we could come this far, this fast.

He once asked me to come visit one of the homes and meet the residents. He explained how his heart had grown and changed since his mom, my grandma, needed care. She had already passed by this time, but his willingness to help other seniors had grown exponentially, and he shared his new passion with us. Seeing that, and all the work he was doing to grow the Residential Assisted Living Academy was inspiring!

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He genuinely wanted to create a solution that did not exist and he saw the bigger picture. The Silver Tsunami of Seniors was coming and he knew this was the right time and the right place. Financially it made sense, but more importantly it was about impact investing and how we could feel good about making money AND helping people too.

I immediately started thinking, how I could leave my job as a flight attendant to come work for him? I had skills in event planning and I knew Gene could use my help. I asked him to hire me and that’s where my journey with the family business began. I took over the organization of the live trainings. They started small, but today we provide training for people from around the world that want to learn about this incredible industry. As the COO, my responsibility is to implement Gene’s vision as the AL Family continues to grow.

Over the past 5 years, we have also created the Residential National Convention, an annual event for the RAL industry. We launched the RAL National Association, Family Legacy Homes, the AL Network, and more! We’re launching new businesses each year. I love this industry because it solves so many problems for people that need help caring for their parents and grandparents.

It’s been such a pleasure working with my family and especially my dad, Gene. He is an amazing inspiration and leader. He has inspired us to bring to life his vision of positively impacting 1 million people through Residential Assisted Living. All along the way he’s imparting life lessons and wisdom that he’s learned. We’re all growing together and I couldn’t be happier or more inspired than I am working together as a family.

In the future I plan to incorporate my own family into this. I’m excited to bring my own kids into our Residential Assisted Living homes and show them the impact we’re having on seniors and their families. I hope my children can see the good work we’re doing in the RAL industry and feel inspired to keep the tradition and legacy going. I want to pass on to my kids what my dad passed to me. Giving them a leg-up in the world and feeling good about helping others through RAL!”

Guarino Family 3Emmanuel, my son, leads the sales division at the AL Family group of companies. He says,

“When I started working with the company it was just my dad and a few other people. I remember asking him what I could do to help. Three months prior to that, my father gave me Robert Kiyosaki’s Rich Dad Poor Dad. I read that book in what felt like 20 minutes. After I read it, I witnessed Robert Kiyosaki asking my dad all about what HE was doing. Robert wanted to learn more about the RAL model. That blew my mind! When I saw that I jumped in.

I remember telling my future wife and telling her about what I did. She jumped right in. My sister Victoria was a schoolteacher and eventually, joined the family business too, shortly followed by her husband. My sister Isabelle was already on board and was moving up in the company. She was the enforcer- doing anything that needed to get done. She quickly became the boss.

Working with family does come with its challenges. In my opinion if you do not have a business coach or an outside source that can oversee what you’re doing, you’re going to struggle. Our business coach works with us every three months. When he’s there, we discuss what we’ve done well and what we can improve. However, the real benefit of having a coach is that they have an unbiased view and that can help tremendously. Many times, it’s hard to evaluate yourself or what your family thinks of you. However, with an unbiased third-party they can see what’s right and what’s wrong. We’ve been blessed and we all work extremely hard and are extremely focused. I think the reason this is possible is because we believe we’re building something much bigger than ourselves and we see this company helping the masses.

Leaving a legacy for the future:

Guarino Family 2

It’s amazing to get to do what we do. Many times, my wife and I ask ourselves how we got so lucky to be part of this family and this company. We’re incredibly blessed to do work that really helps people. We get to help the residents and their families, but we also get to help the staff and their families.”

My daughter Victoria is the CFO of the AL Family group of companies. She says,

“I was a teacher working long, underpaid and under-appreciated hours. My dad needed an assistant and help with office work. I was about to have my second child and flexible hours sounded amazing! Some things are just meant to be. Timing in life is critical and the opportunity to work with my own family was challenging, exciting, and fun.

As a family, we all get along surprisingly well. Growing up we were a close family. I think the secret to our current success is that we all have different strengths, and we work within them. Each sibling has unique roles and responsibilities within the company and that gives us enough of a separation from getting in each other’s hair.

My favorite part of family business is that I can be myself. I know that my opinion is valued and these people know what I mean when I speak. They understand me and my perspective. I feel comfortable around them and we can address issues head-on. Residential Assisted Living is a great business model for building a family legacy. We teach people how to work on the business, not in it. Families can successfully work together if there is mutual respect and open communication.

As a child, I would watch my parents and want to be like them when I grew up. I hope I can be that example to my children. I want them to see us as positive influences and have a desire to continue the very valuable work that we do. It’s an honor and a privilege to work with my family in a business that is truly changing lives- Doing Good And Doing Well!”

I have to say that working together as a family has been a huge blessing and the best legacy I could ever provide. I wouldn’t change it for anything in the world. – Gene

To learn more about Gene and the AL Family, check out: www.ALFamily.com

What Does The Future Hold for Residential Assisted Living?

Photo by Andrea Piacquadio from Pexels

By Gene Guarino

Where is the Assisted Living industry headed?

There are 77 million baby boomers in America alone. That is 4,000 people turning 85 every day, 120,000 every month, and 1.4 million this year alone. And this is happening all over the world. The average person living in assisted living is 82 years old, and they will live there for an average of two to three years, maybe even longer. So when we are talking about 1.4 million baby boomers, not all of them will check into assisted living but a percentage will. The fact is that 70 percent of us are going to need help with our Activities of Daily Living, ADL, for an average of three and a half years. Whether they live at home and have someone come in and help us, or they go to a Residential Assisted Living home, they are going to need that help.

So when we are talking about 30 percent of 1.4 million people, not including the ones who are turning 86, 87, 88, and so on. That is potentially hundreds of thousands of people who are going to need help.
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Photo by Expect Best from Pexels

Currently there are 1.4 million people living in assisted living and there will be that much more need each year coming, which is why you see big box facilities being built. There is a need, but when I needed help with my own mom, I didn’t want to send her to a big complex. She wanted to stay at home. But when you do need to send them someplace, you want it to be a home, which is what Residential Assisted Living is.

What is going to happen in the Future?

More and more people are going to need this help, and you want to be the alternative to the big box complex in their own neighborhood. A lot of people are going to want this option. We only need 10 to 12 who want this option over the big complex of 200 or more beds. We may charge more if we have better amenities, or less if we want the business more than the big facility does. We don’t want to charge too little or too much. However there is a sweet spot that we charge, and this works all over the country.

How do we position ourselves for success?

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Photo by Gerd Altmann from Pexels

When the big box companies start building these large facilities in your area, they will be looking to acquire market share. Which means that they are going to come to us and want to buy what we have. If you have 10 homes you are a target. If you have 50 or more homes, you become a bigger target and you are even more valuable to them. At this point you have some great options:
  1. Keep what you have and continue to make thousands of dollars in net profit each month from each RAL home.
  2. Sell your RAL businesses for a big lump sum and lease the properties back to the buyers
  3. Sell the RAL businesses AND the real estate for an even bigger pay day
The opportunity is huge and the timing is absolutely right because more people will need what we have. You can also subscribe to our iTunes for on the go listening: https://itunes.apple.com/us/podcast/assisted-living-networks-podcast/id1360517721?mt=2

gene

Gene Guarino Founder/CEO Residential Assisted Living Academy™

Gene is the President, CEO & Founder of RALAcademy.com. Gene has over 30 years experience in real estate investing and business. Today, Gene is focused on just one thing… investing in the mega-trend of senior assisted housing. He has trained thousands of investors/entrepreneurs throughout the United States how to invest in and operate residential assisted living homes. For over 25 years he has been educating people on the strategies of successful investing, business and self-employment. He now specializes in helping others take advantage of this mega-trend opportunity.

3 Ways Automation Tools Are Helping Real Estate Investors(REI) Become Successful

Image by Gerd Altmann from Pixabay

By Victoria Kennedy

Real estate investment is a good business for multiple reasons. As a smart investor, not only can you leverage on real estate to build your wealth, you can also enjoy amazing tax advantages and live the American dream. But it takes a lot of serious dedication and hard work to make money from it.

While most real estate investors feel the lingering need to handle every part of their business, it isn’t advisable as this is an easy way of getting worn out especially when you are trying to juggle multiple deals at the same time.
Thanks to technology, there are automation tools primarily designed to make work much easier for real estate investors and wholesalers. In fact, automation tools have become the very key to attaining success in the real estate business today — from making enormous profits to sealing deals. Hence, there is a need to utilize automation tools.
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Image by Gerd Altmann from Pixabay

What is Real Estate Automation Tools?

These Automation tools are software basically designed for accomplishing real estate tasks and solving laborious problems investors encounter consistently and repetitively. As a success-driven real estate investor, here are basic reasons why you need to implement real estate automation tools:
  • They provide quick results
  • They save time
  • They reduce errors
  • They promote business operations
There are several automation tools in existence but the following are a few out of the many which can help you in boosting work productivity in the long term and take your real estate business to higher levels — in other words, handling all steps from finding properties to selling them off at reasonable prices. Such tools are:
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Image by Gerd Altmann from Pixabay

1. Deal Machine: Used For Researching Properties to Buy High competitive bidding of a rental property among investors typically shoots the price higher compared to a property with low bidding. Imagine buying a property where your competitor has little or no idea about it. This is where implementing Deal Machine becomes highly advantageous. It’s one of the best tools to use if you’re looking for properties that are off the market and could still be a great deal to buy. Accuracy is a crucial factor to consider in this business and Deal Machine is one of the best tools that can provide you with accurate data. For instance, when you use the app to take a picture of a rental property, it will automatically know who to contact almost immediately. Additionally, DealMachine searches public records and plus 3rd party data to give you the property owner’s name, mailing address, mortgage information, and more.
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Image by Goumbik from Pixabay

2. PropStream: Lead generation A data provider that assists real estate investors and wholesalers by pulling up market statistics based on the demographics that is being entered in the software. It is dynamically updated with an easy filtering process. For distressed property search, users can narrow down their specific targets such as foreclosure, pre-foreclosure, bankruptcy, divorces, and so on. Real estate investors are always on the lookout for what is happening in the market and this tool can be an option. Essentially, it allows the user to see what is thriving well on their list and with the data they provide, investors can easily compose their marketing pitch for their targets.
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Image by Markus Winkler from Pixabay

3. REI Reply: Used For Automated Sequential Marketing This is another crucial tool every success-driven real estate investor must-have. REI Reply is an automated tool that enables both experienced and newbie real estate investors, effectively communicate, monitor leads, and close deals faster and easier. Top lead generation experts, like Esteban Andrade, the CEO of Hesel Media, have tested and recommended REI reply to be a reliable tool. “I have all my investors using REI Reply because it’s the only tool that has everything an investor really needs,” he says.
Its easy and accessible system employs sequential automation to provide you with a full-time team that ensures that your business keeps running. Its sequential automation replaces use of Lead Sherpa, Podio, Call Rail, Pipe Drive, MailChimp, and Sly broadcast; all of which are responsible for qualifying leads, tracking and analyzing phone calls, ensuring that real estate investors have a premium text messaging service, and a ringless voicemail marketing tool for their business. They also have a deal going on for only $49/mo which makes this tool affordable and reliable.
In summary, automation is a great way for real estate investors to grow their business; and with the right application, success is always around the corner.
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Victoria Kennedy [email protected] atmanrealestate.com

Nominated as a 2020 Brand Ambassador for Inman, Victoria Kennedy is a well-respected authority in Real Estate marketing and branding. She is the CEO of Atman Real Estate, a marketing & branding agency that is committed to helping top producing Real Estate professionals become the #1 Agents in their area. She is a highly in demand speaker on all things digital marketing, and has helped many clients boost their visibility and revenue. Because of her expertise in real estate, she has been a trusted speaker and contributor to such organizations as the National Association of Real Estate Brokers, Inman News, and Yahoo Finance. In addition to running a successful marketing agency, she also has given talks, workshops, and has worked as a trusted consultant for Realties, Title Companies, Investors, and top producing agents. She has been featured in over 175 publications and podcasts both nationally and internationally. In addition to her marketing expertise, Victoria is a #1 selling classical-crossover singer and has sung with the likes of Andrea Bocelli, as well as toured all over Europe with her music. She is excited to share with you the power of her Closing Maximization Method and how it can exponentially grow your business. Find out more here: atmanrealestate.com

Realty411 Announces 5th Virtual Weekend Investor Expo with All-New Topics and Educators — RSVP Now.

Time-Tested Experts Reveal The Secrets of Their Personal Success in Real-Time — Live Chat is Available for Guests to Ask Tough Questions!

Realty411, the longest-running national real estate investor magazine, invites investors of all levels to register for a brand-new Virtual Weekend Investor Expo to be held on Saturday, October 17th and Sunday, October 18th.

The complementary weekend online event features fantastic learning opportunities with some of the nation’s most renowned experts.

Beginning at 9 am PST (Pacific Standard Time), Realty411 will host a LIVE and interactive expo and, once again, top-industry speakers, both veteran, as well as burgeoning super-stars, will spill their secrets (and shortcuts) for ultimate success as a full-time real estate investor.

Realty411‘s 5th Virtual Weekend Investor Expo, which is produced with assistance by event hosts who are live from coast to coast, features some repeat faces, plus all-new educators covering important topics of interest.

Important information to be covered at the October event, includes:

  • Investing Safely Out of State — Learn how to grow a real estate portfolio in areas that are outside of your zip code.
  • Protecting Your Portfolio — Discover the important role insurance plays on properly protecting your real estate assets.
  • Get the Edge with Technology — Learn how software can enhance your opportunities to locate and control the best deals available.
  • Financing Options for Investors During COVID-19 — Lending has changed during the pandemic, many companies are no longer even lending! Meet finance specialists ready and able to fund your deals.
  • Real-Time Feedback — Get LIVE tips, plus Chat with Active Flippers Get “insider” secrets from professional rehabbers across the country — Our experts are coming in live from many markets!

Realty411‘s weekend REI investor bonanza is attracting more than a dozen speakers from both billion-dollar veteran real estate service companies, as well as up-and-coming stars in the realty industry space.

One of the experienced educators featured at Realty411‘s Virtual Investor Expo will be Becky Kromminga.

The goal at Real Estate IQ is to bring technological advances, big data, intelligence augmentation, and predictive analytics into the real estate investment industry.

Becky is an executive with Real Estate IQ, a fast-growing real estate data and analytics company. She is in charge of customer service and marketing, and helps with business development and sales in the Houston area.

A former math teacher and educational researcher, Becky enjoys applying her skills from these areas to real estate investing, and teaching people how to make the most of the REIQ system.

Also added to Realty411‘s Weekend Investor Expo schedule is Jacqui Price, Senior Vice President of Sales at National Real Estate Insurance Group, the nation’s largest insurance Program for RE investors

As real estate investors, we know the importance of insuring our investment properties. However, would getting just any insurance policy be sufficient to protect our investments? The short answer is, no.

Property insurance coverage should be specific to one’s business strategy, geographic location of the properties, and risk appetite. Ignoring or neglecting any of these components can have a drastic impact on our bottom line following a loss.

During Realty411‘s Weekend Investor Expo, Jacqui Price with National Real Estate Insurance Group, will discuss how to properly insure your investment properties to minimize exposure.

Some crucial insights will be discussed, including: 

  • Coverage exclusions – what coverages are usually excluded on all property policy forms, and which of those common exclusions could be “bought-back”.
  • Cost savings – how to save on insurance costs without jeopardizing your coverages.
  • Liability Insurance – what exclusions to look for on your liability policy.
  • Additional Considerations – What additional coverages can help you stabilize your insurance rates long-term.

Jacqui says: “Many investors, especially in the beginning of their real estate investing journey, purchase insurance based on the minimum requirements from their lending institution, or just simply choose the cheapest coverage on the market. Truth is, doing so could create great coverage gaps and put investors out of business following a loss, which happens all too often.” 

With over eight years of experience insuring properties across all 50 states, Jacqui Price has helped numerous clients find the right insurance coverage to fit their needs. She’ll share not only the best practices, but also strategies that are based on decades of experience insuring investment properties.

Additional speakers for Realty411’s 5th Virtual Expo will be announced shortly; be sure to visit Realty411Expo.com for further updates and speaker bios.

Reserving time to register and attend Realty411‘s Complimentary Virtual Expo is of vital importance to those interested in growing their knowledge and expanding their rental portfolios.

Since the start of the pandemic, which ruined the magazine’s scheduled in-person expos, nearly 2,500 investors have registered for a Realty411 virtual event. To reserve space at Realty411‘s Virtual Investor Expo, CLICK HERE or visit:

https://www.eventbrite.com/e/realty411s-virtual-weekend-investor-expo-join-us-this-october-online-tickets-121474703107

Are you interested in dramatically growing your business? Since 2007, Realty411 has been a leading educator to the real estate investor (REI) community. Be sure to contact us to be featured in one of our upcoming virtual expos. We host hundreds of investors in real-time: 805.693.1497.

NEW WEBINAR: Bulletproof Retirement with Real Estate

invest1properties

Webinar on Thursday, 9/24 at 6:30pm PST

Rentals 2 Retirement:
Bulletproofing your retirement with real estate

Join us for this informative webinar where we will show you how to build a safe, secure and predictable stream of income/retirement through conservative real estate investing.

As the CoronaVirus works its way through our communities there are two things you can be sure of: first, we will survive this Pandemic and come back stronger than ever (that’s what we Americans do) and secondly, as we return to the “new normal”, preparing for retirement and the future will be more important than ever. Whether you are looking to do a 1031 exchange, diversify your stock portfolio by investing in real estate or create a stream of income to supplement your retirement, we can show you how to get there!

Since 2009 Invest 1 Properties has been one of the nation’s leading turn-key investment property providers. Focusing on the dynamic Kansas City market with over 900 properties sold, we have the systems in place to assure your success.

Our process is simple:

-We find the property for you

-We fully renovate the property
-We partner with local property management to place a qualified tenant and manage the property

-You just COLLECT THE CHECK

This is truly “hands-off” turn-key investing. We even include a rent guarantee and renovation warranty on every property we sell and WE PAY ALL 1031 exchange fees when you close with us!

So join us to learn more about this incredible real estate investing opportunity and why we consider the Kansas City market a true hidden gem that has produced outstanding results for our clients over the last 11+ years.

Here are just a few of the reasons why:

-6.9% appreciation in 2019

-3.1% unemployment (Jan 2020), well below the national average

-Low cost of living and population growth is increasing year over year

-10%+ average cap rates

-In house financing available with no tax returns or W2’s, no bank qualifying

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What Working with Doctors Without Borders Taught Me About Building a Relationship-Based Business

Image by StockSnap from Pixabay

By Victoria Kennedy

Any leader worth their salt understands how important it is to build relationships with those you want to lead. I learned this lesson firsthand while on assignment working with Doctors Without Borders/Médecins Sans Frontières (MSF). Working side-by-side in some of the most intense scenarios you can imagine, I came to truly appreciate what it means to lead with the heart.

Now, as I forge ahead building the future of my Real Estate lead generation agency, even during a global health pandemic, those earlier lessons about leadership have come full circle. During a time when people need connection, helpfulness, and human kindness more than ever, we all should be taking our cues from mission-driven organizations like MSF.
Here are the four big lessons that guide me as I build my relationship-based business:

1. Develop Ambassadors, Not Employees

Doctors Without Borders/Médecins Sans Frontières (MSF) is a dynamic movement propelled forward by people from all corners of the globe who share a common mission: to save lives and alleviate suffering by delivering medical care where it is needed the most. To achieve this mission, the medical personnel who work with MSF are not merely employees. They are ambassadors for MSF promoting its ideals and raising awareness about the organization.
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Image by Anemone123 from Pixabay

For real estate agents, the lesson here is to look for a team that embodies a spirit of ambassadorship. When you find colleagues and business partners who are open to teaching you sales techniques that have worked for them, you will feel supported in developing your own sales process. So, remember to build relationships with employees and colleagues, not just prospects.
Once realtors, brokers, and other real estate professionals experience this relationship-based approach, they become instant ambassadors. Ambassadors are proactive. They don’t sit back and let life happen. They go out and close deals. They understand, especially in this climate, standing out is about more than simply following up on leads.

2. Go Where You Are Needed the Most

This simple, but powerful concept drove the founders of Doctors Without Borders/Médecins Sans Frontières (MSF). In May of 1968, a group of young doctors decided to go where their medical services were needed the most: to the victims of wars and disasters anywhere in the world.
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Image by jennycepeda from Pixabay

The needs of buyers and sellers have shifted during the pandemic. However, smart realtors and brokers who follow this principle have naturally shifted their focus to meet current needs. When real estate agents trust the system and go where they’re needed the most, they will stay on track with closings regardless of market fluctuations.

3. Let Transparency and Accountability Be Your Beacon

For a medical aid organization, like MSF, that relies on the financial support of donors, transparency and accountability are crucial. But the fact is, in the real estate industry, these values are just as important. It’s sad, but we all need to look out for frauds and those who seek to take advantage of people’s goodwill during this difficult time. In a relationship-based business, this should never be an issue. When you put trust at the core of how you lead, your value will shine through to your clients. One way to build trust is to provide transparent information that your clients can use. For example, you could email weekly videos about the state of their local market to your prospects.

4. Get Creative with the Resources You Provide

The medical professionals who are part of Doctors Without Borders/Médecins Sans Frontières (MSF) aren’t afraid to get creative to find solutions out in the field. Providing medical aid without the institutional support of hospitals requires thinking outside the box. This is why so many institutions, like nursing homes, have been turning to MSF to help train staff during the COVID-19 pandemic.
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Image by Fathromi Ramdlon from Pixabay

Real estate leaders and professionals have also needed to get creative during this unprecedented time. Here are some of the ways our brokers and realtors have gotten creative as they’ve shifted their real estate businesses online:
  • They work with photographers to create 3-D virtual home tours.
  • They livestream open houses as virtual events.
  • They send memorable gifts to clients (e.g., face masks and home-made hand sanitizer).
Doctors Without Borders/Médecins Sans Frontières (MSF) is a unique organization with amazing professionals doing much needed work. But the lessons of leadership apply to every business in every industry. When leaders focus on building relationships, there’s no limit to what we can do together.
Bao Le is a philanthropist, tech expert, and CEO of Boass Digital which is a marketing agency for top Real Estate professionals. Discover his system for doubling your closings by booking a call here: https://bit.ly/314aeH1
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Victoria Kennedy [email protected] atmanrealestate.com

Nominated as a 2020 Brand Ambassador for Inman, Victoria Kennedy is a well-respected authority in Real Estate marketing and branding. She is the CEO of Atman Real Estate, a marketing & branding agency that is committed to helping top producing Real Estate professionals become the #1 Agents in their area. She is a highly in demand speaker on all things digital marketing, and has helped many clients boost their visibility and revenue. Because of her expertise in real estate, she has been a trusted speaker and contributor to such organizations as the National Association of Real Estate Brokers, Inman News, and Yahoo Finance. In addition to running a successful marketing agency, she also has given talks, workshops, and has worked as a trusted consultant for Realties, Title Companies, Investors, and top producing agents. She has been featured in over 175 publications and podcasts both nationally and internationally. In addition to her marketing expertise, Victoria is a #1 selling classical-crossover singer and has sung with the likes of Andrea Bocelli, as well as toured all over Europe with her music. She is excited to share with you the power of her Closing Maximization Method and how it can exponentially grow your business. Find out more here: atmanrealestate.com

Marketing Your Way To Millions

Image by Gerd Altmann from Pixabay

When Kathy Kennebrook first started in the Real Estate Investing Business, she very quickly figured out that the best way to find good deals was to locate qualified motivated sellers. What is a qualified motivated seller? It’s someone who needs their property now, as opposed to someone who just wants to sell. This is the seller who has a problem they need to solve and they want you to solve it for them.

After Kathy had been in the Real Estate investing business for a little while, she developed some really effective marketing strategies including direct mail to locate highly motivated sellers. She then put together a system to create a machine that would bring her deal after deal after deal. Better yet, Kathy created a machine that was automated so she got someone else doing all the work for her so all she has to do is deal with the motivated sellers.
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Image by Gerd Altmann from Pixabay

Now you too can learn her special secrets to attracting motivated sellers!! Learn out how Kathy Kennebrook made a seven figure income in just 12 short months using her Unique Direct Mail Strategies to locate motivated sellers. Learn how you can do the same in your pajamas without licking a single stamp!
  • Learn how Kathy Kennebrook carved a unique niche market that other Real Estate Investors simply don’t know about, and how you can too.
  • Learn how to implement a “cookie cutter” system that works every time to get more motivated sellers contacting you than ever before.
  • Learn how to find the owners of vacant, abandoned houses even when they don’t want to be found.
  • Learn how to find and make incredible deals with out of state owners.
  • Learn how to start from scratch and complete your first deal within 30 days.
  • Learn how to implement a dummy proof, affordable and efficient Marketing System that will result in motivated, qualified sellers contacting you in droves practically begging you to take their property off their hands.
  • Turn small marketing dollars into BIG profits with minimal effort and HUGE results.
  • Learn how to automate the system so you can deal with the many sellers who will contact you, just like Kathy Kennebrook does.
  • Learn how to pick out the marketing gems that work best for you in your area and capitalize on them for maximum profits.
  • Learn how to use Kathy Kennebrook’s special response mechanism that gets motivated sellers contacting her quickly giving her the information she needs to make the deal.
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Image by kiquebg from Pixabay

  • Learn how to find and make incredible deals with burned out landlords.
  • Learn how to follow up with prospective sellers so you buy their property when their circumstances dictate that they do so.
  • Learn how to use telephone scripts so you never have to wonder what to say to these motivated sellers.
  • Learn how Kathy Kennebrook locates motivated sellers who will simply deed her their homes in lovely neighborhoods.
  • Learn how to call on ads, what to say, who to call and how to get someone else doing all the work for you so all you have to do is deal with the sellers who really want to sell. Kathy Kennebrook even has all the telephone scripts for you to use so the sellers are pre-screened for you.
  • Learn how to use attorneys to find you great deals on distressed properties no one else knows about. This is an excellent lead generation tool you only have to market for one time. Kathy Kennebrook has used this tool to create relationships with attorneys who bring her deal after deal.
  • Learn how Kathy Kennebrook finds and works with owners of properties with no mortgages so she can get really creative financing on these beautiful properties in excellent neighborhoods.
  • Learn how to use wholesale buyers to bird dog for you, build your lead base and make even more money for you by buying the properties from you after you get them under contract. This is one of Kathy Kennebrook’s favorite techniques for making money quickly and easily in the Real Estate Investing business.
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Image by Kelly Alpert from Pixabay

  • Learn how to find your personal dream home in a lovely neighborhood with no cash out of pocket and no credit. Your family will love you for it!
  • Learn to recognize the difference between a motivated and a non-motivated seller and end the conversation quickly with a non-motivated seller so you don’t waste your time.
  • Learn how to make the deal on the phone before you ever go see the property. Kathy Kennebrook knows how important your time is.
  • Learn how to use 24 additional marketing techniques that are some of Kathy Kennebrook’s personal favorites to build your lead base and let even more motivated sellers know you buy and sell houses.
Kathy Kennebrook developed these strategies and systems as tools for her own Real Estate Investing business, and now Kathy Kennebrook is going to share them with you, the Real Estate Investor in order to help you grow your own business. Kathy Kennebrook explains to you step by step how to build your Marketing System, and how to track your mailings, your sellers and your deals to make the highest profit possible in your Real Estate Investing business.

For information on these amazing strategies, take a look at Kathy Kennebrook’s Marketing Magic System at her website- www.marketingmagiclady.com

The Effects from Covid on Reverse Mortgages

By Edward Brown and Mary Jo LaFaye

With the Covid crisis still looming, much attention has been focused on conventional loans where monthly mortgage payments are required. Recently, laws have been passed on both local and national levels to ensure homeowners are not evicted for non-payment on FHA loans.

Relatively little attention has been geared toward reverse mortgages during the Covid virus. Why is that? At first glance, the simple answer is that no monthly payments are required for reverse mortgages; thus, there is no risk for a foreclosure for non-payment of a mortgage. However, one needs to go deeper to understand that there could be a potential risk to the homeowner of losing their house in certain circumstances but for the foreclosure moratorium.
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Image by fernando zhiminaicela from Pixabay Under normal circumstances, the borrower on a reverse mortgage does not have to worry about foreclosure by the lender because no monthly payments are required; the loan balance just keeps increasing as interest accrues over time and is only required to be paid back upon the death of the last remaining borrower, move out by the borrower, or death of the non-borrowing spouse if the borrowing spouse predeceased them. The borrower’s only requirement for yearly payments are real estate taxes and insurance, HOA dues if applicable, plus maintenance and utilities. If the borrower fails to pay these, technically, they are in default and the loan may be called. This could lead to a foreclosure. In addition, the house may not be left vacant or abandoned. For those borrowers who take a lump sum reverse mortgage and whose income is estimated to be too low to maintain the real estate taxes and insurance, they may be required to have a Life Expectancy Set Aside [LESA]. LESA is similar to an escrow account that is set aside for future real estate taxes and insurance and is based on the life expectancy of the borrower. These future expenses are deducted from the lump sum provided by the reverse mortgage company and held by them. The funds in the LESA become part of the loan balance once the lender disburses them to pay the property charges on behalf of the borrower. Thus, those borrowers who have LESA, for all intents and purposes, would not typically face foreclosure during their expected lifetime.
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Image by Olga Lionart from Pixabay
Many conventional borrowers have requested deferments from their lending institution as they fell on hard times with the loss of income during Covid. The need for deferment requests are all but eliminated for reverse mortgages.
There has been a tremendous push toward applying for reverse mortgages by homeowners. There are many reasons for this; historically low interest rates mean that a borrower can obtain a much larger reverse mortgage, as the interest that gets added to the mortgage every year is less than in a high interest rate environment. Thus, the lower the interest rate, the better it is for the homeowner and, consequently, the less risk for the mortgage company. In addition, many older homeowners have lost their job during the virus, and their largest retirement asset, by far, is their home equity from which they can draw upon. These same homeowners not only may not qualify for a HELOC [Home Equity Line of Credit], they may not want them after considering the benefits of a reverse mortgage (HECM) vs. a HELOC. For one, HELOCs require monthly mortgage payments. In addition, unlike a reverse mortgage (HECM), the bank can freeze [or reduce] the HELOC line and not allow access to it. This puts the homeowner in a precarious position of having debt against their property [as the HELOC is recorded against the property for the maximum potential draw of the line] without any benefit. Such was the case during The Great Recession in the mid-late 2000s when $6 billion of HELOC credit was frozen in June of 2008, and the freezing continued for some time. Why? The answer lies in the fact that the fastest way for a bank to shore up its balance sheet is to freeze HELOCs, so they do not have to set aside reserves. During The Great Recession, banks were facing write downs and write offs of loans as the loans that they had previously written took a downturn when borrowers, during the credit crisis, were unable to pay their mortgage. When a bank makes loans, they use depositors’ funds. The government requires reserves [loan loss reserves] be set aside to ensure the return of those depositors’ funds. If a bank has existing loans outstanding, they cannot just call in those loans [unless borrowers default]; however, a HELOC is a “potential loan” as the loan technically only exists as the borrower draws upon it. In this situation, if they freeze [or reduce] the line, the bank has not lent the money yet and can stop it before the borrower accesses the money that was available to them.
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Image by Queven from Pixabay
Most major banks have seriously curtailed the issuance of HELOCs during the current Covid crisis, and those that continue to offer HELOC’s have imposed stringent qualifications to borrowers.
Many borrowers are realizing reverse mortgages offer advantages over HELOCs in this regard. There are limited income and credit qualifications to obtain a reverse mortgage. Reverse mortgage (HECM) lines of credit cannot be frozen or reduced, and, since there are no monthly mortgage payments, the risk of foreclosure [even after the moratorium] is slim. A new situation has arisen due to Covid and that has to do with nursing homes. Once considered an alternative to in-home care [which is usually two to three times the cost of a nursing home], many stories have been published about the increase in deaths surrounding Covid and older Americans in care facilities. Most people would like to be in their own home instead of a care facility given the choice, but, unfortunately, many people cannot afford the [around the clock] care required to stay home and be cared for. Loved ones, especially during the virus, are looking for a way to keep their elders in the safety of their own home and receiving the quality and quantity of care they needed. Many are looking toward a reverse mortgage to fill this need. Many people have enough equity in their homes, especially as real estate has tremendously rebounded since The Great Recession, to allow them a large enough reverse mortgage to afford the costs associated with in-home care.
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Image by Tumisu from Pixabay The National Reverse Mortgage Lenders Association [NRMLA] reports that there have been significant increases in draws [on the HECM reverse mortgage line of credit]. Those retirees who lost their part time jobs and need to make ends meet, helping family affected by Covid, and those who are just generally concerned about their future finances. NRMLA states there has been a 55% increase in the number of draws and 14% in the size of the draws. In fact, they notice that some borrowers who had never previously drawn on their line of credit are fully drawing the line now.
As Covid gets more impactful on the economy and on peoples’ lives in general, we should expect reverse mortgages to grow, and now seems to be the most opportune time to obtain one – before interest rates increase.

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Edward Brown

Edward Brown currently hosts two radio shows, The Best of Investing and Sports Econ 101. He is also in the Investor Relations department for Pacific Private Money, a private real estate lending company. Edward has published many articles in various financial magazines as well as been an expert on CNN, in addition to appearing as an expert witness and consultant in cases involving investments and analysis of financial statements and tax returns.

Rehabbing Your Way to Millions Part II

By Kathy Kennebrook (The Marketing Magic Lady)

Here are some ideas I implement in my own business when we rehab a house to get it ready for resale, lease option or owner financing. These are some really great inexpensive ways to get your home sold quickly!

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Image by midascode from Pixabay

  1. Pay attention to the exterior, put in new lawn and nice plants. Curb appeal counts!! If you can get your prospective buyer’s interest from the onset, you are that much closer to the sale of the property.
  2. Paint the exterior with two to three warm inviting colors. Add shutters if the exterior looks drab. Make sure the gutters and roof are in good shape.
  3. Make sure the front door is in excellent condition. This is part of your buyer’s first impression of your home.
  4. Paint the interior in neutral colors and paint the trim a different color than the walls. Make it look warm and inviting. We get compliments all the time from our buyers about the neutral colors. They will be able to match their furnishings easily when you use neutral tones.
  5. Pay attention to the kitchen and baths and make them as appealing as possible with as much counter space as possible. These are the two main areas of the home that really count, so spend your extra rehabbing dollars on them.
  6. Put in a Jacuzzi tub and rain shower head even if it’s a lower dollar home. The extras will make your home sell much more quickly since other homes in the same price range likely don’t have these extra features.
  7. Pay attention to smell. Does the home smell inviting when you walk in? Use a neutral air freshener in the home to keep it fresh.
  8. Use custom door knobs on closets and bedroom doors. Also use rocker switches for the light switch covers.
  9. Use crown moldings around the ceilings. This is an inexpensive feature that will make your home really “pop”.
  10. Use a decent grade of carpeting, tile, or laminate or wood instead of vinyl flooring in the home, even if it’s a lower dollar home.
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Image by midascode from Pixabay

I believe in these ideas that will make your home stand out from all the others in the same price range. These are all ideas that will make your house sell much more quickly than others in the same price range and your buyer’s won’t argue about the price you are asking for the property. A lot of the time, you will get a higher offer than your asking price if your home is really gorgeous.
Just remember that the longer a house sits on the market before selling, the more it costs you in holding costs like mortgage payments, insurance, lawn care, water and electric. It is absolutely worth spending a couple of dollars more on the front end in order to get your homes sold quickly even if the market is sluggish.
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Image by Alexander Stein from Pixabay

If you decide to list the property with a Realtor I suggest paying a higher commission than is normally offered in your area. For example, if a typical commission is 3 percent, then offer a 4 ½ percent commission on a full price offer. This will make your Realtor work much harder to get your home sold first. This is one way to automate the selling houses part of your business. We have been working with the same realtors in our business for many years now. You can also run ads in the online newspaper, use social media and hold open houses to get your property sold. Make sure you produce flyers and post them in grocery stores and anywhere else a potential buyer will see them. You can also put an insert in your local shopper guide. Many potential buyers will see your property for sale. And don’t forget to use lots of signage to get your property sold quickly.
Always make sure you implement multiple ways to sell a property. You want to have at least three different marketing techniques in place to sell your home quickly.
For more information on selling homes quickly and finding even more motivated sellers, make sure you visit Kathy Kennebrook’s website at www.marketingmagiclady.com

LEARN DIRECTLY FROM KATHY KENNEBROOK AT REALTY411’S VIRTUAL WEEKEND INVESTOR EXPO, CLICK HERE!