Stealing an Owner's Equity

It's NOT illegal.

Just wanted to say that at the top.

But, I think it should be given that when an agent buys an Owner's property at way under it's value, there should be some form of punishment for the agent when they do that.

Because, basically, even though its NOT illegal to buy a property way under market value, I think its unethical -- especially if you are a real estate professional.

Essentially, all this is, is you are stealing the Owner's equity.

Now, investors who buy and sell real estate  (also known as flippers) want to do this on every transaction.  They think it's their duty to steal the equity for their own profit.

Alpine Motel Apartments

Currently, I am dealing with an apartment building listing I have in Downtown Las Vegas.  I get at least one inquiry a day on it by Investors who can "take this property off my client's hands."

What these investors don't realize, is the owner is also an investor at the same time he is an operator.
So, he isn't in need of having the property taken off his hands.

And that's the rub.  Since housing is in short supply in this area of Downtown Las Vegas, this property -- even though it's in need of renovation -- is mostly full all of the time.
Yet, they keep trying.  They keep making offers to buy low and flip.

But, since I know it's my fiduciary responsibility to protect my client, I tell ALL of these investors that the only way they get this property at a steal is to buy all four of the properties in a portfolio my client owns.

Interested in netting about $1.1 Million a year?
Email me.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Happy Mother's Day!

To all Moms out there.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Lesson Learned! Never accept a Bond as an Earnest Money Deposit!

The motel escrow that I have been in for about a month has gone sideways!

I had a bad feeling about accepting a Bond as an Earnest Money Deposit (EMD). So, I contacted Escrow asking if it was okay.

Once they gave it an approval, I gave it a thumbs up for my Seller client, and we submitted the Executed Offer (PSA) to escrow and then waited.

A week later the Buyer's agent showed up with the Bond that was described in the PSA. He made the deposit.

Then, about a week after that, I get a call from the Escrow Holder.  She explained that the Title Company's attorney slapped her on the wrist for allowing a Bond to be accepted as EMD.

She said we needed to change that to a Cash Deposit, or by the end of the Buyer's Due Diligence, the Title Company would be resigning from the Escrow.

SIGH!

What type of mess did I get myself into?

The Escrow Holder said it would be best to cancel the current escrow, open a new escrow, and make a cash deposit.

So, I encouraged the Buyer's Agent to convince the Buyer to cancel; the Seller agreed and for once quickly signed the Cancellation Addendum.

But, the Buyer is now taking her time.

Oh, well.

She might be upset, but it's her own fault for trying to force a square peg into a round hole.

I did write a NEW PSA and included an additional property that was NOT available that she wanted when the first PSA was written.  BUT, now I am thinking she probably didn't have the cash to move forward in the first place.

That is just my gut feeling.

So, we are in limbo until the Buyer signs the Cancellation Addendum; AND, signs the new PSA.

If the Due Diligence date comes before that, the title's escrow will resign.  The Buyer will be in a legal limbo, but the out for the Seller is they never truly made their EMD according the the Title Company's attorney.

Since this hit the fan, I have learned that back in the 1980's Buyers would put up bonds as EMD's.  Then, the Bonds turned out to be worthless; and, it would tie up properties until there was a (legal)  resolution.

So, lesson learned.

All I want to do is help my Seller client sell his property for the most money to a willing, able, and capable buyer.

Nothing new there.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Invalidation doesn't work

Very recently, a so called prominent Las Vegas Real Estate agent and I were working on a large Resort property sale.

My Buyer has already made accepted offers on three of my listings.

We were discussing the potential sale of a Resort property when my Buyer asked me if I would find out if some conditions of a potential offer for the Resort property would be acceptable to the Seller IF he included them in an offer.

Being the customer's always right type of Real Estate Broker, I said I would ask, but I told him that O didn't think they would accept what he was proposing. BUT, he insisted that I ask.  So, I sent an email to the Seller and Seller's Rep with an outline of what the potential Buyer wanted to offer.

The Seller replied quickly with a firm, "No."

Okay!  I passed that response on to the Potential Buyer.

A short time later, the Seller's Rep sends me a reply -- just to me -- with the simple question: "Do you have a Nevada Real Estate license?"

Now, I know who this agent is.  And as far as I am concerned, he's an ASS!  (I capitalized it because he truly is a big ASS!  And, if I mention his name to any other CRE agent or broker in Las Vegas, they will usually sum him up also as an ASS!)

And, I know all of you know someone who is like this.  They are the big boy/girl on campus and if you don't measure up to the way they think you should be, they treat you badly.

Well, I didn't respond to his invalidation because I know all about this ASS!  Just because you think you are better than others, doesn't mean you are.

And, unfortunately, for him, I am the type that if I am bullied, I bully back.  And, even if he turns around and says he was only joking, we don't know each other well enough to be on friendly terms.

Just so you know: Tough love doesn't work.  It's just a form of bullying.

In the weeks.months ahead, we'll see what transpires about this transaction.

But, I plan to stay the course.

In the meantime, if you are interested in any Las Vegas CRE Property -- even a Resort one...

Contact David Howes: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Happy Birthday To Me!

Tomorrow, March 21st, I grow another year older.

And, patting myself on the back for living long and (somewhat) prospering isn't something to celebrate - especially at my age.

Oh, well.  At least, I'm alive and kicking!

Have a wonderful day!

=)

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

I am going to die of a heart attack!

Okay, that's being over dramatic.

But, being a Real Estate Broker is a stressful business.

And, even though I've been at this for almost 30 years, I like to think that I learn something new everyday.

Recently, one of my escrows canceled due to the Buyer falling and hitting his head.  (I am told) he went to the hospital and was diagnosed with a terminal disease.

Then, last Friday, at or about 5:30 PM, I get a call from the Buyer's agent for my other escrow saying that his buyer's Up Sale property fell out of escrow, too!

F*@&!

You get the picture.

Now, this morning I awoke suddenly by a dream that startled me.
I dreamt I was having a heart attack!

What?

I know. I know.  I am being over dramatic.

Anyway, I got up, took my Meds and began my day.  That was like 4:30 AM.

After sending out about 12 emails to the other various potential Buyers for my listings explaining their "Back On The Market" status, I realized that it was now only 7:30 AM.

This reminds me of what the first broker I ever worked for once said about problems, obstacles and challenges that real estate brings along.

"It's Real Estate!"

=(

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

2019 has started with a Big Bang!

Years ago, when I first started working in real estate, I worked at Sitren Mortgage in Victorville, CA.

Now, the owner of that company was Mike Sitren.

He was a Brooklyn born Jewish man who took me under his wing and taught me just about everything I know about Real Estate.

His passing at the young age of 63 was heartfelt to me.  He left us too soon.

Anyway, I have always tried to maintain the premise that Mike taught.

Be honest to everyone.  He would at times, when 'things' were starting to go sideways say: "It's Real Estate."

And, since the start of the new year, "things" have gone from slow to lightening speed in what seems like a heartbeat.

Almost like when the universe was created with a Big Bang!

I am NOT complaining.

I still have 12 SFR's available that meed to be sold.

If interested in SFR residential real estate rental income...

Contact David Howes at: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8
AND Please #Follow David on Twitter: @DavidAHowes
Have a nice day!