USING THE RIGHT TEAM AND TENACITY—POWERING YOUR PLAN FOR YOUR FIRST MILLION IN REAL ESTATE
Good morning, Memphis! Welcome to our internet listeners and podcast listeners across the 50 states! You’re on Real Estate Mortgage Shoppe. I’m your host, Jo Garner, Mortgage Loan Officer. You can connect with me at www.JoGarner.com. Our general topic is USING THE RIGHT TEAM AND TENACITY—POWERING YOUR PLAN FOR YOUR FIRST MILLION IN REAL ESTATE Subscribe to get Real Estate Mortgage Shoppe podcasts with show notes at www.JoGarner.com Call us while we’re live today December 14th, 2019 at (901) 535-9732.
Today you will be hearing some stories of how successful real estate investors started with their first home and tenaciously continued to invest in real estate, moving from working a job to creating their income from their real estate properties. Alex Craig of Turnkey Properties will be sharing the resources and system he offers to help busy investors build their portfolio.
INTRODUCING ALEX CRAIG OF TURNKEY INVEST PROPERTIES
Alex Craig of Turnkey Properties, it is always great having you back in the Real Estate Mortgage Shoppe studio. You have an A+ rating with the Better Business Bureau and are well-known in the Memphis, TN and Little Rock, Arkansas markets. Take a moment to introduce yourself and tell us about how Turnkey Properties helps investors. (Alex introS himself and giveS a brief overview of what Turnkey Properties does for clients.)
INTRODUCING KYLE PORTER, BRANCH MANAGER SIERRA PACIFIC MORTGAGE-CORDOVA, TN
(Jo) In our studio for the first time we have my branch manager at Sierra Pacific Mortgage, Kyle Porter. Kyle, you have been tenaciously powering our team over at the mortgage office, giving the loan officers the resources and support we need to better serve our mortgage clients and realtors. (Kyle introS himself and talks about what the Cordova, TN Sierra Pacific Mortgage branch has to offer our customers and realtors)
(Jo) The last 25 years or more as a mortgage loan officer, I have been able to watch some amazing stories unfold in the lives of my customers. Some of these customers started with very little over time, consistently added one income-producing home and then another to their portfolio.
WALLACE WINTON’S STORY-TEAM AND TENACITY TO POWER HIS PLAN
About 15 years ago, Wallace Winton (not his real name), worked hard at a job to provide for his family. Every day as he worked, he yearned for a life he could see in his mind, but was financially way out of reach. Wallace started attending a local real estate investment association and became friends with some of the investors there. One night he heard a very successful real estate investor speak at one of the meetings. He put some experienced people from his network on his team and jumped out to buy 4 homes that year, all of those homes earning a positive cash flow. Over the first 7 years, Wallace put a plan in place and acquired 55 rental properties, some of them fixer-uppers that he renovated and kept for income. He had so much income that he no longer had to work a job.
There were bumps in the road to his success, though. Wallace was suddenly slammed with a serious illness that forced him to pull away from buying real estate and just rest and recover for a couple of years. The real estate market crashed. Financing dried up. Then the market spiked again.
Wallace tenaciously stuck with his plan, tweaking it to adjust to what the real estate market was demanding at the time. With his association with the right real estate professionals and the smart use of his resources, Wallace powered through with his plan and, today he and his family are enjoying their abundant harvest.
If you or someone you know wants to power through their plan to build their own portfolio of financial freedom owning real estate, let’s talk! What do YOU want to accomplish with YOUR mortgage? Make your plan. Let’s work your plan. If the deal works for you today, let’s do it to day! Connect with me at www.JoGarner.com or call me directly at (901) 482-0354.
Alex Craig of Turnkey Properties is in the studio. Alex, you have a unique program to help people invest quality income-producing homes. What are some of the advantages of investing in real estate vs other traditional investments? (Alex launches into his topics)
You’re on Real Estate Mortgage Shoppe. I’m your host, Jo Garner, Mortgage Loan Officer. What do YOU want to accomplish with your mortgage? Make your plan. Let’s work your plan if the deal works for you today, let’s do it today. When we come back Alex Craig will be talking about some tremendous areas of momentum in the Memphis real estate market.
LOOK BACK MEMPHIS TRIVIA CONTEST
2nd segment after 9:15 break: Our Look Back Memphis Trivia Contest is brought to you by notable Memphis historian, Jimmy Ogle. For more about Jimmy, go to www.JimmyOgle.com or Search on Google for “Jimmy Ogle Pink Palace” to find some of his informative and entertaining lectures on Memphis history. The Look Back Memphis Trivia Contest is sponsored by John and Jennifer Lawhon of Lawhon Landscape (901) 754-7474 the Lawhon’s can help you plan your landscaping if you have a BIG, BIG project or a smaller project or you can do the big project in phases . The Lawhons are giving away a $25 gift card to the first person with the correct trivia answer. If you know the answer to our trivia question, call us at 901 535 WREC 901 535-9732.
# 166 * 12/14/19
I rose from
teenage prodigy violinist in the 1920s to Supreme Court Justice in
1965. Who am
Hint: In the 1920s, I performed in night clubs on Beale Street at age 13 in a group called the Blue Melody Boys.
Hint: I was first in my class at Southwestern at Memphis in 1930 and received a Law degree from Yale University.
Hint: In 1963, he represented Gideon in Gideon v Wainwright (6th Amendment right for counsel for anyone who could not afford an attorney – a landmark ruling).Final Hint: I served on the U.S. Supreme Court from 1965 to 1969. Who am I?
born in Memphis, the youngest of five children of Russian and
Lithuanian immigrants. Fortas acquired a lifelong love for music from
his father, who encouraged his playing the violin, and was known in
Memphis as “Fiddlin’ Abe Fortas”. At
age 13, he formed the Blue Melody Boys, making $8 per night
performing on Beale Street.
He attended public schools in Memphis, graduating from South
Side High School in 1926 at the age of 16. He next attended
Southwestern at Memphis (now Rhodes) on a scholarship, led the school
orchestra, graduated first in his class in 1930 with a Bachelor
of Arts degree in political
He served on the U.S. Securities & Exchange Commission, Public Works Commission, Department of the Interior, and Advisor to U.S. Delegation in Formation of United Nations. He clashed with Sen. McCarthy during Red Scare (HUAC) hearings in the 1950s.
1963, Fortas represented Clarence
Earl Gideon in his appeal before the Supreme Court. Gideon, a
poor man from Florida, had been convicted of breaking into a pool
hall. He could not afford a lawyer, and none was provided for him
when he asked for one at trial. In its landmark ruling in Gideon
the Supreme Court held for Gideon, ruling that state courts are
required under the Sixth
Amendment to provide counsel in criminal cases for defendants
unable to afford their own attorneys or lawyers.
In 1965, President Lyndon Johnson nominated Fortas to the U.S. Supreme Court, and he served until 1969. On the Court, he was particularly known for his advocacy of children’s rights.
Jimmy Ogle has retired from walking tours in Memphis. Twelve of his Memphis History lectures entitled Making Memphis – Storytelling by Jimmy Ogle may be viewed for FREE on the internet by Googling “JIMMY OGLE PINK PALACE”. View JimmyOgle.com for more information.
TOPICS COVERED BY ALEX CRAIG, TURNKEY PROPERTIES
First question for you Alex: Tell us about being on College Gameday…(Alex was directly spotlighted on camera during College Gameday..”I know that guy…”)
- What does Turnkey Properties do and which markets do you operate within?
- Why Memphis? We can talk about the great things going on in the city –950 million dollar Union Row downtown project which is developing 29 acres of blighted space into hotels, shopping, resturants and offices.
- 1.1 billion dollar Pinch Development which will include residential units, hotels, retail and office space
- Loews hotel –will attract more convention business by adding much needed hotel space near the convention center, which is undergoing 200 million in development
- Raleigh area Town Center Development —
- Fed Ex recent annoucment of $450 million for hub expansion and Fed Ex relocation of corporate offices downtown, which is in addtion to the 1.1 billion moderization project at the HUD—brnging total investment to 1.5 billion
- Future 10 year jobs growth predicted at 3% over the national average
- Why would clients hire you instead of doing this on their own?
- Advantages of owning real estate vs traditional investment products
- Success on the Front End will determine your long terms success with your rental property (I will talk about renovation and further hit on advantage of a mortgage loan on a property as the owner can leverage the cost of the renovation at 20% of the actual cost. )
- Where are some of the best areas to purchsae investment property
- Current inventory of homes to purchase for rental property
- What if someone wants to sell their house, would you be interested in buying?
- What is the difference between what YOU offer as “Rent Ready” vs what some other companies define as “Rent Ready?”
TOPICS COVERED BY JO GARNER, MORTGAGE LOAN OFFICER & KYLE PORTER, BRANCH MANAGER FOR SIERRA PACIFIC MORTGAGE
- (Jo shares investor story) Buying ahead of revitalization to get the best deal and then wait-Dayo Dekker’s story-
It reminds me of a real estate investor we will call Dayo Dekker. Dayo worked in a high pressure profession where his income was 100% commission. Dayo spent years suffering through feast and famine at his house depending on how the market treated him. He desperately needed a steady source of income to carry him through lean times on his commission job.
Dayo Dekker begin buying only rental homes in close proximity to streets where homes were being revitalized and renovated. He did not buy on the same street where revitalization was actively taking place but he bought ahead of the path where the revitalization was headed so he could still buy at a low enough price to get a good profit from his tenants and yet he could see his values pop up quicker as more and more other investors started buying around him and fixing up houses. Dayo bought ahead of the curve for a quicker return on income and value.
If you, like Dayo Dekker, want to look at buying a one-to-four unit rental property in growing areas, contact me and let’s do a test drive on some financing options to see what will work best for you and give you the positive cash flow you need when you make your purchase.
I even have some investor products for good credit borrowers where you do not have to qualify with tax returns and traditional income qualification formulas. We can take the monthly lease income compared with your principal, interest, taxes and insurance mortgage payment to qualify you—very much like a business loan. And there is no limit on how many financed properties you own. We can talk a little more about these financing options later in the show today.
- Some of the safest and most common mortgage products used by real estate investors
- Standard 30 year fixed rate conventional mortgage. I see investors using the 30-year fixed rate mortgage as a tool to create bigger positive cash flows because, as the rental income these investors receive each month continues to increase, their principal and interest payment on their 30-year mortgage stays the same. The investor’s profit is the expanding margin between the higher rents they receive and the fixed, low principal and interest payment that never changes.
- Renovation and repair mortgages for homeowners and investors too.
With the high demand for homes in the current market and the shortage of homes available for sale, you have to know where to look to find a bargain in this competitive market. You also have to know how to finance these bargain properties since so many of the bargain priced properties are fixer-uppers. It takes a special loan to finance a home needing major repairs and renovation.
Give me a call and let’s talk about the property YOU want to buy.
- Hard money- when to use it. Hard money is usually money from private sources and not through the bank or mortgage company. Real Estate investors tend to use hard money when they need money fast to purchase a home and renovate it but only need the money for a short time. Hard money tends to have a much higher interest rate than the market rates and requires upfront cash to pay for the use of the funds. To pay back the hard money, investors usually sell the home at a higher price after fixing it up and pay off the hard money loan at the closing and pocket the profits. If you are not going to keep the property very long, hard money can be a convenient.
- Credit lines – Credit lines are great for temporarily getting funds to pay cash quickly for a home to fix up and resell or refinance after repairs are done to pay off the credit lines and pocket the positive Some of my investors have borrowed temporarily on their 401k retirement funds, cash value on life insurance policies and they have used an equity line of credit that is secured on their primary residence or other properties.
If the real estate investor plans to keep the home for a good while for rental income, usually we work out a plan to for me to refinance the property with a fixed rate, permanent mortgage to pay off the credit lines and private money loan so that those lines of credit will be available for purchasing the next real estate bargain.
REAL ESTATE TIP OF THE WEEK (Alex Craig shares a real estate related money-saving or time-saving tip pertaining to his business. (Money-saving tip: Do not put carpet in rental properties in high traffic areas. You will end up having to replace the carpet much too often over the course of time)
Kyle Porter shares a real estate or money-saving or time-saving tip from the mortgage business): Kyle invited mortgage officers in the Mid-South area to call the Sierra Pacific Mortgage office in Cordova, TN to talk with the Sierra Pacific team about ramping up their mortgage career in 2020. Sierra Pacific Mortgage has the support and the resources to help mortgage officers produce more loans with better service to customers.
Talk Shoppe offers free networking & education to anyone interested in real estate or in business. Talk Shoppe meets every Wednesday 9A-10A CT at ServiceMaster by Cornerstone 9575 Macon Rd Cordova, TN This Wednesday December 18th, 2019, join us for the Christmas and Holiday Mixer. You can build some business relationships by participating in some networking activities that make it easier to meet new people. For more about Talk Shoppe go to www.TalkShoppe.com
Talk Shoppe events are free thanks to supporters like Tim Gilliland of www.BackupRX.com When you need to recover lost data on your computer, you will feel very thankful when you call Tim at BackupRX and simply download all your data and system files immediately when you need it. Contact BackupRX about getting your data automatically backed-up at www.BackupRX.com
2. Our Memphis Tigers play basketball today. Go Tigers!!
3. Jack’s Challenge: Invite someone you know that is going through a tough time this holiday for some coffee time. Buy their coffee, listen and be a friend. You may never know this side of heaven the positive difference it can make.
4. Subscribe at www.JoGarner.com and you can get our weekly blog posts with podcasts conveniently in your inbox.
5. Real Estate Mortgage Shoppe reminds you to MAKE YOUR PLAN. LET’S WORK YOUR PLAN. IF THE DEAL WORKS FOR YOU TODAY, DO IT TODAY.
SPECIAL NOTE: REAL ESTATE MORTGAGE SHOPPE RECOMMENDS THAT YOU CONSULT WITH A FINANCIAL, LEGAL OR OTHER CERTIFIED, LICENSED PROFESSIONAL BEFORE ACTING OR INVESTING ON ANYTHING YOU HEAR OR SEE FROM THE CONTENT ON THIS SHOW OR BLOG POSTS. THE INFORMATION WE SHARE ON REAL ESTATE MORTGAGE SHOPPE IS GENERAL IN NATURE MEANT FOR GENERAL EDUCATIONAL PURPOSES ONLY. ALL EXAMPLES GIVEN FOR ILLUSTRATION PURPOSES ON REAL ESTATE MORTGAGE SHOPPE AND ARE BASED ON TRUE STORIES BUT WE USE FICTIONAL CHARACTERS AND DO NOT DIRECTLY REFLECT REAL PEOPLE OR EXACT DETAILS IN ANY OF THE SITUATIONS.
Anonymous “The quickest way to get rich is to get rich slow”
- Greg Inman of Next Day Access in Memphis, TN https://www.nextdayaccess.com/memphis-tn/ (901) 881-6769
- Bernice Ross, Inman News Austin, Texas
- Mary Lou Nowak, Mid-South Home Helpers (non-medical assistance in the home) (901) 414-9696
- Transitional Music: “If I Had A Million Dollars” by Bare-Naked Ladies
“Memphis” by Johnny Rivers for the Look Back Memphis Trivia Contest
ABOUT ALEX CRAIG, PRESIDENT OF TURN-KEY PROPERTIES
Company Mission Statement: To be the premier turnkey supplier of cash flow properties through providing investors worldwide a way to passively invest in stable, cash flowing real estate, by focusing internally on customer service and renovations that will reduce vacancy and maintenance. Our simple formula for success is to provide the Right Properties in good areas with quality rehabs within the Right Markets that provide sustainable cash flow and having the Right Property Management that will operate the property in the investors best interest.
Alex Craig became a Real Estate Investor in 2007, after eight years of corporate experience as National Sales Manager and Director of Marketing for Worldwide Adhesive and Plumbing Manufacture. He is a lifetime native of Memphis and a graduate of the University of Memphis with a Bachelor of Science in Education. Alex owns and manages a portfolio of houses in Memphis and in Little Rock, AR. He is the cofounder and president of Turnkey Investment Properties, Little Rock Turnkey LLC, CB Properties of Memphis LLC. Outside of work, Alex enjoys travel, golf, basketball, and spending time with his wife (cofounder of Memphis Turnkey and CB Properties) and three daughters.
ABOUT KYLE PORTER, BRANCH MANAGER OF SIERRA PACIFIC MORTGAGE CORDOVA, TENNESSEE
Kyle is a native Memphian that has been in mortgage banking in the Mid-South for 20+ years. Specializing in construction lending and first-time home buyers, Kyle and his team at Sierra Pacific Mortgage make it a point to treat every customer and client like they are family, making sure each one is given the hands-on attention that is needed in the mortgage process. Kyle is heavily involved in the real estate community, serving on the Affiliate Board for the Area Association of Realtors and is an active volunteer for Habitat for Humanity and Youth Villages.
ABOUT JO GARNER-MORTGAGE LOAN OFFICER:
WHAT DO YOU WANT TO ACCOMPLISH WITH YOUR MORTGAGE?
“Whatever YOUR personal priorities are, my job is to help you get the mortgage terms that will give you bragging rights when you talk about it and help you score on hitting your goals .”
As a mortgage loan officer, my job is to help you get to the benefits you want from your financing terms. What is most important to you? I can help you find the financing terms that will help you get to what you want. What is your comfort level on a house payment? How much are you comfortable paying down,? What type of financing do you need to get the house you want to buy or refinance?
Different clients have different priorities in life—some are buying their first home with very little down payment funds. Some are recovering from medical challenges, divorces or preparing to send children to college and some are embarking on a long term goal of buying properties to build rental income.”
Jo Garner is a mortgage officer with extensive knowledge in tailoring mortgages to her customers who are refinancing or purchasing homes all over the country. She offers conventional, FHA, VA or other loan programs for refinancing and purchases.
Jo can help you look at rent vs buy, when it makes sense to refinance, how to get the best deal on your home purchase financing.
Jo Garner has been in the real estate/financing business for over 25 years. She got her start in Portland, Maine where she first began her real estate career. She received her real estate education from the University of Southern Maine and was personally mentored in San Diego, California by Robert G. Allen, author of Nothing Down, Creating Wealth and The Challenge.
On moving back to West Tennessee in 1987, she went into business buying and selling discounted owner-financed notes secured on real estate. In 1990 Jo went to work for a residential mortgage company and has been a mortgage loan officer for over 25 years. Her goal is to offer excellent, affordable service to her customers, tailoring the loan programs to the specific needs of her clients.
In addition to her work in the mortgage field, Jo Garner is the primary sponsor and founder of Talk Shoppe in Memphis. www.TalkShoppe.com Jo Garner also host the radio show Real Estate Mortgage Shoppe airing on News Radio AM 600 WREC and iHeart Radio with podcasts and show notes published on www.JoGarner.com