The monthly newsletter for Mid-America Association of Real Estate Investors. A Real Estate Investing Trade Association based in the Kansas City Metro Area. Find us online at www.MAREInet.com.

1. u MEMBER D ISCOUNT
C ONSTANT C ONTACT O c to b e r 2010
PAGE ............. 15
u W ORKSHOP
S ELLER FINANCING TO
THE R ESCUE
PAGE .......... 8
u MONTHLY
O CTOBER 12
MEETING
PAGE ............. Investment
2
NEWSLETTER OF
MID-AMERICA ASSOCIATION OF
REAL ESTATE INVESTORS
news
For Real Estate Investors & Property Owners
NO MORE FORECLOSURES
Lawsuits are flying, foreclosures being set aside, paper-
work not reviewed . . . It’s a real mess. So quite a few of
the nations lenders have stopped doing foreclosures while
the review their processes and procedures.
But what does that mean for the 1000’s of homes already
foreclosed and worse yet, bought on the courthouse steps
or sold as an REO? Is the title any good, should we be
worried?
Check out Repo Gate on page 12 provided to us from the
great staff over at Accurate Title!
2 Holes or 3, will it pass inspection
As we renovate older homes we are faced with
what to do with those 2 hole, ungrounded out-
lets. Do we go back with newer versions of the
same thing, they do exist, but cost a bit extra.
Just put in the new 3 hole, grounded ones? Will
that work? Will it get called out on inspection
for both Section 8 and FHA Home Loans to name
a few? What do we do with the GFCI?
Find out the details in Grounded or Not
Grounded on Page 20 from MAREI Member Bill
Vaughn with Accessible Electric Inc.

2. Round Table Discussion
Rare Treat Our Panelists
Local, Live, Working Real Estate
Frank www.DoubleDutchHomes.com
Investors are going to share
Janssen
HOW THEY DO IT. Brian www.J6BuysHouses.com
We have asked them to pick Winberry
One of their recent deals Ray www.Eaton3.com
And walk us through: Eaton
Marketing Where the deal
came from
Our panelists have all different kinds of
Situation Surrounding the
seller & property experience from our newest part-time
Negotiation Discussions with investor to our seasoned veteran.
seller & buyers We have full and part time investors.
Funding How they paid for Be prepared to take NOTES!
the deal or not
See details on page 23
Exit Strategy How they sold/
rented the deal
Structure How they put the
deal together
Outcome How it all turned out Interested in learning
& what they learned
November Meeting
Speed Networking
Back by Popular Demand
more about creative fi-
Page 2 MAREInet.com

3. Contents
MAREI News
In This Issue
October Meeting 2
Visit Our Web Site Contents 3
MAREI Staff 5
What’s Up . . In the News 6
www.MAREInet.com
Member’s Properties 7
Blog Seller Financing to the Rescue 8
Amendment 3: Vote in Missouri 10
Properties
Repo Gate 12
Message Board Title Defects 13
Business Associates Membership Has it’s Privileges 14
Video Content for your Web Site 16
Vendors
Market Update 18
Grounded or Not Grounded 20
Calendar 22
Investment Opportunities 24
Features ‫ ׀‬October 2010
Seller Financ- Video Content Advertiser’s Directory
ing to the for your web
site: Stop Workshop on Notes 9 kcmoHomeBuyer 25
Rescue: How
making ex- Amendment 3 11 T.O.T.L. Renovations 25
Investors Can
cuses: You
8 Profit from
the Emerging 16 can find the
time, you can
Accurate Title
Constant Contact
13
15
Home Depot
MAREI Library
25
26
Solutions to figure out
technology, Rockstar Investor 17 FreeTrialWebSite.info 27
the Real Es-
and here’s the Classifieds 24 EddieSpeedinKC.info 28
tate Crisis
content.
Investment News Page 3

4. Organization
MAREI
Notes
Contact Information
Mailing Address PO Box 8685, Prairie Village KS, 66208
Phone: 816-523-4400 x 222 Fax: 816-523-4440
Our Mission Statement
Mid-America Association of Real Estate Investors is dedicated to promoting ethical real estate investing
and to protect and promote the best interest of our membership through educational and networking
opportunities as well as community, legislative and public relations.
Legal Disclaimer
MAREI does not exist to render and does not give legal, tax, economic or investment advice and dis-
claims all liability for the action or inaction taken or not as a result of communications from or to its
members, officers, directors, employees and contractors. Each individual should consult his/her own
counsel, accountant and other advisors as to legal, tax, economic, investment and related matters con-
cerning real estate and other investments.
Content Disclaimer
The views and opinions expressed by authors of articles contributed to this newsletter do not necessar-
ily reflect those of the association, the board of directors or the staff.
Advertise in the Investment News
Reach more than 1000 active real Rate Schedule
estate investors monthly!
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lage, KS 66205 or request an online payment for to use credit or debit card.
Page 4 MAREInet.com

5. MAREI
Staff
Kim Tucker 816-523-4400 Don Tucker 816-523-4400 Steve Burns
Director President Audio Visual
Kim@MAREInet.com Don@MAREInet.com cashflowtreasures@gmail.com
Robin Sage John Welchert Larry Prato
Meeting Ambassador Meeting Ambassador Commercial Subgroup
RobinSage38@yahoo.com 816-268-3849 913-227-4693
Dan Goodwin 913-642-5218 Shelda Goodwin Frank Janssen
Meeting Ambassador Meeting Ambassador Creative Financing Subgroup
DanGoodwin@kw.com SheldaGoodwin@kw.com 816-865-6514
Investment News Page 5

6. Director Notes
What’s Up
In the News
Did you attend the Find it Fund it Fix it and go to the MAREI web site
Flip it Bootcamp and Bus Tour last month? (www.MAREInet.com) and click on Lead Safe
under the Government Affairs Tab on the top
Boy was it fun and we all learned we cannot
you will find links to tons of Resources, includ-
live with out the IPad. I really envy those who
ing our meeting earlier this year. As the gov-
took the plunge and bought one.
ernment did not do a good job getting the
And how the driver got that big bus down all word out, they are not fining un-certified con-
those little residential streets in Kansas City tractors yet, but they will be soon. So if you
was amazing! are renovating houses built before 1978, get
to a Lead Safe Work Practices Class or get
your General Contractor to one. Our speaker
earlier this spring has open classes coming up
that you can attend:
go to BakerEnvironmental.com to register.
The other big issue we talked about was the
3% real estate tax that was in the health care
bill. So I checked with my accountant and
here’s what he had to say.
If you want to do a bus buying tour of REO’s,
or all your lease to own houses or what ever, This is a new tax on investment income, in-
you can rent the smaller 24 person bus for the cluding capital gains. It’s a tax on the profits,
day for a fairly reasonable price. Then take a that at current rates would make the tax
bunch of buyers around at once. 18.8% versus 15%, and it does not start till
2013. It only applies if your income is over
In the classroom we talked about a lot of
$200,000 ($250,000 married). On personal
things where to find deals, how to find private
home sales, it only applies to profit over
money lenders, great ways to save money on
$250,000 ($500,000 if married) and then only
a rehab. All the things promised.
if your income is over $200,000 ($250,000 if
But there were a few issues that everyone married). On rental properties it would apply
really wanted to know more about. Lot’s of to all profit, but again only if you are over
soap box moments if you will. $250,000 in income. And the law will proba-
One big topic that took up the chunk of the bly be repealed before then anyway, as all the
day was Lead Safe Work Practices. Pete ex- states are picking the Obama Care Law apart
tended this portion just for our members be- across the country. If you are going to make
cause they had so many questions. I am not that much profit for the tax to affect you, then
going to detail everything for you, but if you do a 1031 Exchange, no profit, no tax.
Page 6 MAREInet.com

7. Get Involved
Admission to Monthly Meeting . . .
Free (For Members)
Volunteering Monthly at the General meeting
Acquiring enough MAREI Bucks to pay for Membership
Volunteer in MAREI Office
Real Live Working Real Estate Investor Office
Sponsor a Sub Group
Your own Private Coaching Group
Teach a Class
Be the Expert in Your Field
Join a Committee
Give Back
For more information on becoming a volunteer,
Contact Kim Tucker, Director,
At info@MAREInet.com or call 816-523-4400 x 222
Investment News Page 7

8. W. Eddie Speed
Seller Financing
To the Rescue . . .
How Investors Can Profit from the Emerging So- Qualifying for a conventional mortgage today is much
lution to the Real Estate Crisis more difficult than it was just a few years ago. More
restrictive underwriting criteria disqualify countless
As a real estate investor, you know all too well that
candidates who have both a willingness and the abil-
the mortgage industry is suffering from a major melt-
ity to meet the requirements of the loans.
down. Lending institutions are folding, foreclosures
are reaching record highs, and subprime lending has As a result, as many as 50% of the people who
caused a catastrophe for property sellers, buyers, would have qualified for a conventional mortgage
and lenders alike. just two years ago no longer do. Since the shake-
out in the lending industry, many good candidates
As a result, there’s a limited pool of qualified buyers
are being denied the opportunity to borrow money.
and a shrinking supply of conventional lending
sources. In addition, there’s an abundance of proper- Seller financing is the ideal solution for these people
ties on the market at low prices. and investors alike. To avoid the same pitfalls that
brought down many lending institutions, however, the
Seller financing is filling the void created by the mort-
investor must weigh the risk of each
gage crisis, offering an alternative
loan, and proceed only with those that
to those hard-to-come-buy conven-
Eddie will be teaching an present a high likelihood of success.
tional loans. It moves property,
more quickly and at higher prices. all day workshop at JCCC From This Day Forward . . .
Seller Financing Goes Main- on October 23rd. Visit Most people enter into seller financing
stream contracts with the same enthusiasm
www.EddieSpeedinKC.info with which they enter into marriage.
After the high-interest rates of the
For more info or see page They’re as happy at closing as newly-
1980s, seller financing became a
weds at the altar. But if the commit-
specialty niche among real estate 9. Paper registration at the ment is based on blind faith, the rela-
transactions. The upheaval in the
back of this newsletter. tionship may dissolve faster than ice in
housing market, however, is now
the punchbowl.
creating an extraordinary demand
for this alternative financing No investor finances his property for a
method. buyer with the belief that the arrangement will turn
sour. At most, it’s considered a remote possibility
Two years ago, seller financing accounted for about
with tolerable consequences. If the buyer defaults on
1 in every 400 real estate transactions. Today, it ac-
the loan, the investor assumes that he can simply
counts for 1 in every 50 transactions. What’s more,
annul the deal, repossess the property, and avoid
some experts predict that it will soon become the fi-
any loss.
nancing vehicle for one out of every ten real estate
transactions. But the buyer has likely occupied the property for
months, perhaps years. What condition is it in now?
What does this mean to you? Seller financing pro-
Have the taxes and insurance been paid? Have
vides you the opportunity to sell your properties to
needed maintenance and repairs been done? Has
quality buyers—at the full retail property values and
the buyer trashed the place and fled? Has the equity
more quickly--for a substantial and steady income
disappeared? The seller/lender could get stuck with
stream.
unpaid bills and costly repairs. The honeymoon is
For Quality, Qualify over.
(Continued on page 9)
Page 8 MAREInet.com

9. (Continued from page 8) A Safe Bet on paper.
Like fiancés, borrowers are emotion- How risky is seller financing? Much What the savvy investor must do is
ally involved with the transaction and lower than it used to be. That’s be- differentiate between these deserving
might not view their financial situation cause it used to be easy, too easy, to buyers and the riskyones.
objectively. Equally excited about obtain a conventional loan. People
closing the deal, the seller might also I Do Diligence
who failed to qualify for traditional
be blind to the risks in doing business
mortgages were, by definition, the Approving your seller-finance candi-
with a particular buyer.
riskiest borrowers. date is like choosing your life partner.
Other investors recognize the risks but During that first encounter, your date
believe they can sidestep a foreclo- Lending institutions have since tight-
presents himself or herself in the best
sure action by having the buyer pre- ened their criteria, making it far more
sign a deed back to them at closing. possible light. He appears honest; she
difficult for would-be buyers to borrow
However, the buyer cannot waive his seems responsible. You like what you
future rights. There’s no protection for money. Many are ―just missed‖ bor-
see and you want this to work. You
the seller if the arrangement goes rowers who now fall narrowly outside
make plans.
sour. Seller financing doesn’t come the newly tightened criteria of lending
with a pre-nup. institutions. These are reliable, low- Smart couples conduct due diligence
risk prospects who show every inten- before saying their ―I do’s.‖ They learn
Clearly, the smart approach is to learn
their fiancés’ background, character,
all you can before you’re heavily in- tion of meeting the terms of their
values, strengths, and weaknesses.
vested in the relationship. loans, and have the ability to do so. Many singles even hire private investi-
They simply no longer ―measure up‖ gators to do a background check on
Alternative Financing
for Today’s Economy.
One Day Workshop
 Saturday October 23rd
 With Eddie Speed
 How to Create Loans for ―Just Missed‖ Buyers who can’t Qualify for Conventional Loans.
 How to Maximize the Value of the Note.
 Minimum Credit, Down Payment, Borrower Qualifications . . . Plus Federal Disclosure laws.
 The most Effective Ways to Find Notes: Direct Mail and Reverse Ad Marketing
 How to Purchase Notes: Without Investing a Dime of your Own Money
 Negotiation Skills that turn Note Owners into Note Sellers
 How to Enrich Your Own Portfolio with Income Producing Assets that will last.
 And Much, Much More!
You can’t miss at this one day workshop. Cost is $19.95 for one person, $29.95 for a couple
Details and Registration on the MAREI calendar:
www.EddieSpeedinKC.info
Note the room only seats 70 people, so ensure your seat and register early!
Investment News Page 9

10. Take Action
Amendment 3
The Facts
Amendment 3 stops politicians from taxing your erty sale – that’s $40,000 handed over to politi-
property AGAIN. cians off the top, discouraging economic activ-
ity, delaying business growth, denying entre-
There is a threat of a new tax in Missouri called a ―real
preneurs their dreams of success. Especially in
estate transfer tax.‖ The tax adds to the cost of selling
communities bordering other states with trans-
commercial property, farms, and homes.
fer taxes, Missouri has a competitive advan-
What is a Real Estate Transfer Tax? tage with NO transfer taxes. Let’s keep it that
way!
A real estate transfer tax is a state or local govern-
ment imposed tax that is collected when you transfer Death taxes. Small farms and family homes that
ownership of your commercial property, farm or home. have been passed on or transferred to family
Typically, once the tax is initiated, the rate can be in- members for generations would face new bur-
creased by the state, county or city at any time. densome transfer taxes even if they are inher-
ited and even though the family has paid prop-
Voting YES on Amendment 3 kills this new double
erty taxes on the same land for years.
tax on property.
Double Taxation. Real estate transfer taxes are
Amendment three keeps the money you earn from the nothing more than double taxation. They are
sale of your property in your pocket. In this fragile often paid by the seller – that is people who
economy this double tax would put an additional bur-
have lived in their home for years and have
den on the sale of your property making it harder to
already paid tens of thousands of dollars in
profit from your investment. Amendment three elimi-
property taxes, sales taxes and other fees.
nates this economic killer. Vote YES on Amendment 3
and stop politicians from double taxing your commer- Punishment of Homeowners. In the current econ-
cial property, farm or home. omy, many people are having to sell their
homes because of a job loss or pay cut. With
Amendment 3 will provide protection from: home values dropping, many are selling at a
Damage to the economy. We need to keep taxes loss. It is unfair to impose additional taxes on
low in Missouri. New taxes discourage people people who already are facing severe financial
and businesses from locating here, and a new hardship.
real estate transfer tax would have a negative An Unfair Impact on Lower-Income Missouri-
impact on our state’s economic development. ans. A real estate transfer tax would impose a
Business Killer: Imagine adding a 4 percent higher tax burden on lower income households
transfer tax to a $1 million commercial prop- that typically spend a larger percentage.
Page 10 MAREInet.com

11. Investment News Page 11

12. Title Issues from our
Repo Gate
Business Associate
Your Title
Ally Bank, JP Morgan/Chase and Bank of these and other legal foreclosure issues. Only
America, so far, have all halted foreclosures in Old Republic Title Insurance Co., so far, has
23 states and the situation is also affecting the refused to write title insurance on these bank's
sale of REO property. Most of these states are REOs.
judicial foreclosure states. (Kansas is one, Mis-
Short sales are another matter entirely, as you
souri is not).
are actually buying from the current owner
Depositions in other states have revealed that and of course, an owner’s policy of title insur-
there were "robo-signers" who signed several ance will protect this investment.
thousand affidavits a month attesting to
The American Land Title Association, which is
"personal knowledge" of the status and owner-
working closely with Fannie Mae, Freddie Mac
ship of a loan without even looking at the file
and federal banking regulators to keep the
and the notaries who attested to witnessing
REO market fluid, is discussing what steps
were not present. Sometimes, these "robo-
lenders might take in order to ensure that title
signers" did not have any legal authority to
insurance policies can continue to be issued on
sign.
REO properties.
What does this mean for the investor in fore-
Please note this information was provided to
closure property as far as marketable title? If
us by Natalie Kraft with Accurate Title Com-
reversed, it is possible that purchases from
pany. If you read this article on the MAREI
the courthouse steps could go back to the
blog, you will find that the underlined areas
original owner or the lender will have to make
are clickable to further articles or Google those
some kind of monetary compensation to them.
specific words to find related articles.
Any property with a foreclosure in its chain of
title could be affected. The future is very un- Accurate Title is a full service title insurance
certain. The courts will have to decide if the agent and escrow company that has been a
property reverts to its original owner and if MAREI member since its inception. Our staff
the purchaser receives a refund of the pur- includes an attorney and experienced escrow
chase price. You may have to obtain legal professionals. We are committed and experi-
counsel. enced in assisting investors and, as always,
we strive to exceed your expectations. You
If purchased from the lender, as an REO, title
can find them online at
insurance should be a requirement of your
www.AccurateTitle.com as well as on Face-
purchase. Many of the Special Warranty Deeds
book and Linked in.
and contacts now "disclaim" any liability for
Page 12 MAREInet.com

13. Title Defects
Is the Lien Valid
Many investors buy homes on the This seems to be a common oc- vit to continue has been filed by
courthouse steps, with a quit currence, especially in today’s the holder or owner of the mort-
claim deed, or otherwise take a wild market. gage.
property with all it’s title defects.
Some liens can be usually be One would assume that since
While it is good to have an expert
title person check out all the is- eliminated automatically from the there are new mortgages or
running in Missouri if: deeds of trust in place, that the
sues, many times the investor
mortgage had been paid. But to
does the initial looking at liens.  10 years after the maturity
find out for sure you can take
So what do you do when there is date on the note.
some steps.
a first mortgage or deed of trust  20 years after recited date,
sitting out there from a few years execution date, recording  Call the lender and ask, but
ago without a release being filed, date, acknowledgement date as many have gone out of
yet there is a new first mortgage  40 years after a future ad- business it might take a bit of
in place. Is it safe to assume it vance date. investigative work to find out
was released? How can you find who took them over and then
In Kansas the lien can be re-
out. Likewise if there is a lien for the new company to lo-
leased on July 1 of the following
that is so old that one would cate the right information.
year preceding the date 42 years
think it should be paid off, what after the date of initial recording  Call the title company that
do you do? of the mortgage and if no affida- (Continued on page 26)
ACCURATE TITLE COMPANY
―When You Need Timely,
Top-Quality Service . . . ―
 Owners and Loan Policies
 Endorsements
 Ownership & Encumbrance Reports
 Foreclosure Reports
 Ownership Information
 Tax Information
 Buyer’s Closing Services
 Seller’s Closing Services
 Lender’s Closing Services
 Recording Services
 Funds Disbursement Services
 1031 Exchange Services
 Special Requests
www.AccurateTitleCo.com
913-338-0100 phone
913-338-0107 fax
Investment News Page 13

14. Benefits
Membership
Has Privileges!
Besides getting awesome deals on train-  Office Max: From printing & binding,
ing programs on our webinars and at our to finishing & customizing - to reduc-
seminars, are you taking advantage of ing time & money with discounts from
everything MAREI has to offer you? As a 10% to 60%, Office Max ImPress of-
Member of MAREI you are also a member fers solutions for the full range of your
of the National Real Estate Investors As- needs.
sociation (MAREI). These and many more  Rentals.com: Save time and money
benefits are available to you for FREE! while shortening the duration of va-
 Home Depot: A biannual rebate of cancies between tenants with our mar-
2% of your net sales for your pur- keting and save time with our tools.
chases at The Home Depot and Home Members receive 20% discount off
Depot Tool Rental through an unparal- regular pricing. Number 1 in the
leled Material Purchase Rebate Incen- search engines.
tive Program. Many members across  Travel Discounts with Avis, Budget,
the country have cashed checks for and Enterprise.
$1,000, $2,000 and $3,000.
 Real Estate Books by the nation’s
 Sherwin-Williams: One of our most largest provider of real estate training
popular and most used benefit, Sher- materials—Dearborn, Nolo, and Kap-
win-Williams offers unbeatable pricing lan.
to National REIA members. Enjoy
To find out complete details on all these
deep discounts on paint, applicators,
member discounts log into the member
floor covering, paint sundries, wall
area and look at the Benefits Section in
covering, spray equipment, and even
the Library. We also mail a complete
window treatments! Your discount
booklet with all discounts and instructions
card is in your membership package.
on how to access when you renew or join
 FedEx: Receive significant inbound or upon request. To request email
and outbound discounts on small info@MAREInet.com and ask for the
package shipments through FedEx, as member benefits booklet.
well as copying and printing services
through FedEx Office.
Page 14 MAREInet.com

15. C
h

Partnering with MAREI
Go to www.MAREIandCC.info
T
v
FREE 60 day Trial Personal Coaching to do it right
Get 15% off if you prepay for 6 Event & Social media Marketing
months
Get 20% off if you prepay for 1 year Tons of tools to grow your contact list
Same Service MAREI uses!
Investment News Page 15

16. Marketing
Video Content
For your web site . . .
It’s official, there are over 2 billion videos viewed tips, lease to own tips, even getting the most
on YouTube each day. Its simple to say that for your rental dollar tips. You are looking
video is one of our hottest tools. So why aren’t for ideas to create a series of short very fo-
more real estate investors using video marketing cused tips that when you explain take about
to attract people to their ―I Buy Houses‖ and ―My 2 or 3 minutes.
Wholesale‖ web sites, not to mention the uses it
 Home Selling Tips – You buy houses right?
has for just about any business.
Think about all those phone calls you have
In talking with quite a few Kansas City Real Es- with sellers explaining what you do? So
tate Investors I have found there are 3 main rea- what if you recorded a series of 2 -3 minute
sons why they don’t: videos on how you buy houses, how short
sales work, other options to get their home
1. Time: Make time, skip the Chiefs this
sold. You know this stuff, just talk about it
Sunday and get busy. Schedule time
and record it.
during the week, this is important. Or
hire someone to do it for you.  Bio – Talk about yourself, how long you
have been buying, selling, or renting houses,
2. Technology: Use the digital camera
where you do it, how many you have done.
you already have, the video features on
Make yourself a real person in the viewers
your lap top, or go spend $200 at Wal-
eyes.
Mart for a flip cam. Then log into You-
tube and start playing with it – it’s free for  Home Tours – these are easy, have a
crying out loud! house for sale or rent, walk through the
house and create a short video as you walk
3. Content: What do I put in my videos?
through the front door to the kitchen. You
What will people want to see?
may even want to walk through the whole
This article is here to answer reason #3, and house and talk about all the great features.
show you where to start when creating content You can even create a video with just digital
for your videos. stills using online tools and add music.
 Testimonials – you have a lot of choices  Community Events – As a real estate in-
here! Did you help a past desperate seller? vestor it is very important to support your
Did you flip a really great deal to a whole- community where you invest. Attend events:
saler who made a ton of money? Did you ball games, festivals, neighborhood garage
help some lucky family lease to own their sales and take video or stills shots to create
way into owning their first house? Talk to into video. Edit with your web site name
them a bit, give them some ideas, play with over it and then post online. Let the
the camera and record 30 seconds of video. neighborhood folks know you created a
 Home Buying Tips – Go through all those video memory of their event, and they will
how to buy houses articles you already have view it and share it with their friends – in-
or go online and look for some on other web stant, free advertising for you.
sites, that fit what you do – home buying (Continued on page 17)
Page 16 MAREInet.com

17.  Team Players: Interview
some of the key people on
your team to find out what they
do. Post to your site, and
share with the key player, they
share with their friends, that’s
what they call going viral, sort
of anyway.
 Before and After: If you reno-
vate properties, a great before
and after video will show off
your quality renovation and
skills.
So after you create the video, you
may want to find some online edit-
ing tools and maybe record a short
intro to add to all of them or to
overlay your web site address, so
as folks share your video with oth-
ers, they can find their way back to
your web site.
As you post on Youtube, don’t for-
get to write something about your
video in the space provided, use
key words – I buy houses, I sell
PRIVATE LENDER
houses, private lending, sell your
Locally Owned & Operated Private Money Lender
house fast, lease to own . . . you
get the idea and be sure to locate We are a Direct Lender, not a Broker
yourself on the map.
 Rehab Loans up to 100% of Costs
Then take the post and put it on  Up to 65% of the After Repaired Value
your blog. Be sure to write a bit
 Terms from 30 Days to 1 Year
about what the video is on the blog
using key words again. Then us-  Rates from 12 to 16% Interest Only
ing services that like HootSuite or  Points from 6 to 10 in Lieu of Equity
NetworkedBlogs, have it automati-  Appraisals Required
cally post to your pages on Face-
book, Twitter, and Linked In. Draw Requests on Wed. Paid on Fri-
And did you know the search en- day
gines really like video too?
If you want to get some feedback RockStarInvestor.com
on videos, be sure to post them to
the MAREI Facebook Page so Jeff Basler
your fellow members can take a
peek. 913-221-9080
Investment News Page 17

18. Trends
Market
Update
August 2010 Housing Trends Supply of Homes in the Kansas City Re-
The Kansas City Regional Association of gion is determined by taking the
Realtors tell us that it looks like the Kan- ―inventory‖ and dividing it by the 1‖2
sas City Market is rebounding from the fall month average of number of sales.‖ As a
in after the Tax Credit Ended. We are rule of thumb a 5-6 month supply of
starting to see a very slow increase in homes on the market is balanced, over 6
prices and sales numbers, which they say months is a buyer’s market and less than
is not usual for July and August. 5 months is s sellers market. Combined
supply of homes in the metro is at about
The two key factors that are still having a 8.7 which is up slightly over the 8.1 in
huge effect is employment and consumer July. Existing homes is at 8.7, up slightly
confidence. from 8.1 last month and the new home
If we look at the Kansas City Market: supply was also 8.7, up from the 8.2 sup-
ply in July.
Average Sales Price of a new home in
August was $313,007 which is 2% higher Local data is from www.KCRAR.com
than a year ago. There were price in- where you can read the complete report.
creases in Cass & Platte. Existing home
Real Trends has the following analysis re-
prices averaged $152,944 which was a
garding trends across the nation:
1% decrease from last year. over last
year. All counties except Jackson, ―While the market for home sales
Leavenworth, Miami & Wyandotte saw an slumped as expected with the expiration
increase in the average sale price for ex- of the tax credit program, results for Au-
isting homes over August of last year. gust were not as bad as feared earlier in
the summer. July 2010 was down 20.4%
Home Sales saw sales of New homes of
so, by comparison, August’s decline of
131 properties which is a 30% decrease
13.7 percent in units was not as severe.
from 2009 and New home sales increased
It is clear that even though mortgage in-
in August by 28% over July . Existing
terest rates are at their lowest point in
home sales were down 24% over last year
over 40 years and prices are stabilizing,
and up 7% over last month. June’s com-
high unemployment the lack of equity and
bined total sales were up 8% from last
liquidity among homeowners is restricting
month and down 25% from last year.
American families’ ability to take advan-
Inventory saw a 32% decrease in new tage of record low rates and soft prices,‖
homes from last year and existing is 3% said Steve Murray, editor of the REAL
higher that last year and just 5 % higher Trends Housing Market Report. ―Many
than July. Overall for August we have a housing forecasters assumed that the ex-
5% increase in total inventory from July piration of the tax credits in
and a 13% increase for 2010 over 2009.
Page 18 MAREInet.com

19. (Continued from page 18)
April would have a negative Market Experts Wanted
impact on housing sales for
the remainder of the year. Are you an expert on the market in your area or
The August results confirmed
that with no more tax-favored field of expertise? We are looking for experts on
treatment for housing pur- Residential, Apartments, and Commercial to
chases and with the continua-
tion of high unemployment, contribute to the newsletter, the blog, and the
the housing market would re- meeting. Be seen an expert in your Niche.
treat.
We expect the market to im- Contact info@MAREInet.com
prove slightly in the months
ahead as buyers return slowly
to the housing market. Of
great concern to most housing
experts is the possibility that
the slump in housing will
cause administration officials
to discuss some additional
forms of housing tax credit
assistance. Were these discus-
sions to be made public, as
happened last week with Sec-
retary Donovan, buyers could
chose to sit out any decisions
to purchase and await further
Federal aid. This would have
a major negative impact on
housing sales in the near
term.‖
On the National Level we have
pulled information from Real
Trends August 2010 issue.
Complete digital issue is in the
member library. Be sure to log
in and read.
Find the current copy in the
MAREI member library online.
Investment News Page 18

20. Renovations
Grounded or
Not Grounded
Grounded (3 Prong) -VS- circuit, you may facilitate the use an appli-
ance that under the right circumstances
Non-Grounded (2 Prong) Receptacles.
could cause serious injury or death to an un-
Anyone who has ever worked on or lived in suspecting user.
a home that was built before the Mid 1960's
Since most homes that were built before the
has seen them, the old "2 prong" non-
Mid 1960's were wired using an un-
grounded receptacles.
grounded electrical system, the use of "2
How many of them have you changed out prong" non-grounded receptacles was all
with new "3 Prong" grounded receptacles in that was required.
order to accommodate a new appliance or
Changes to the National Electric Code that
computer?
started requiring the use of an equipment
How many times have you failed a Mechani- grounding conductor in all branch circuits
cal inspection due to a receptacle with an and the introduction of sensitive electronic
"Open Ground" devices into our homes over the last40
So what's the big deal anyway? years, have driven the need to install
Grounded type (3 Prong) receptacles to ac-
An equipment grounding conductor installed
commodate the way we live today.
in an electrical branch circuit is designed to
provide a continuous path to facilitate the So what's the right way to do this?
movement of electrical current caused by How do you update the outlets in your
surges and or faults - to earth via the home, without creating a potential electrocu-
homes grounding system. tion hazard?
If an appliance that has damaged wiring is We all know that rewiring an entire home
plugged into a supposed "Grounded" (3 can be very expensive and can potentially
Prong) receptacle, instead following the as- cause severe secondary damage to the
sumed grounding path back to earth, fault or homes finish.
surge currents could be passed through the
Fortunately the National Electric Code af-
user.
fords us a few less drastic options.
By installing a "Grounded" (3 Prong) recep-
Article 406 of the 2008 NEC says that only
tacle on an un-grounded electrical branch
Page 20 MAREInet.com

21. where connection to an equipment grounding
conductor is possible shall a Grounded (3
Prong) receptacle be installed, unless one of
the following replacement methods are used.
1) A non-grounded (2 Prong) receptacle shall
be allowed to be replaced with a Ground Fault
Circuit Interrupter (GFCI) receptacle. These re-
ceptacles shall be marked " No Equipment
Ground". This marking is usually done by use of
a small sticker placed on the receptacle cover
plate.
2) A non-grounded (2 Prong) receptacle shall Depending on the type of electrical service in the
be allowed to be replaced with a grounded (3 home, Fuses or Breakers and the wiring method
Prong) receptacle, where supplied through a used when the home was initially wired, it is often
GFCI device. These receptacles shall be more cost effective to install GFCI breakers to pro-
marked as " No Equipment Ground" and "GFCI tect the entire circuit than it is to spend several
Protected". Again this is usually done by use of hours of labor trying to separate out individual de-
small stickers placed on the receptacle cover vices for protection.
plate.
One thing to keep in mind any time you are install-
A GFCI device may be either a circuit breaker ing a GFCI device of any kind, is that the contents
or receptacle. GFCI Devices are designed with of refrigerators and chest freezer can be lost if
an internal circuit that measures the amount of plugged into a GFCI protected receptacle that trips
electrical current returning on the white- and is not reset before the contents thaw.
grounded circuit conductor ( or what is often re-
As always every home is different, as is every wiring
ferred to as the "Neutral"), as compared to the
system. You should always consult a licensed Mas-
amount of current being drawn from the device
ter Electrician before starting any electrical project.
on the black- ungrounded circuit conductor
( "Hot"). If the amount of current returning var-
ies by more than the amount allowable by
safety standards then the GFCI will open, thus Article Provided by
cutting the flow of current through the circuit. Bill Vaughn
It is important to note when employing the use
Accessible Electric Inc.
of GFCI protection as outlined in option #2
above, protection may be achieved through the Serving the KC Metro Area since 1995
use of either a GFCI receptacle, or a GFCI (913)-915-0838
Breaker.
Investment News Page 21

22. Calendar
Upcoming
Events
Sub Group: MAREI’s Commercial Investors meet every
Oct
other week. This month on October 6th & 20th. This group
is for MAREI members and their guest. See online calen-
dar of events for more information.
6
Lee’s Summit Investor Breakfast Lee’s Summit Investors
Oct Networking Group meets the 2nd Saturday of the month for
coffee, breakfast, and conversation at the Panera Bread on
9
Chipman in Lee’s Summit. Open to MAREI Members &
Guests.
Children & College Students
Oct
MAREI Monthly Meeting MAREI meets for networking &
Monthly
education on the 2nd Tuesday of the month from 6pm to 9
Is your child interested in real pm. At the Sylvester Powell Jr Community Center. No
Meeting
estate? Is ready to learn?
12
Charge for Members, Guests $25 at the door, $15 if pre-
Add your child aged 12 to 18 registered.
to your membership.
Oct
College Students with student All Day Workshop Alternative Financing for Today’s Econ-
ID, we have internships omy: Create Seller Financed Notes to Sell your houses
available. Work in the faster. Buy and Sell Seller Financed Notes. Cost $20 to
23
$30. More info & Sign up www.EddieSpeedinKC.info
MAREI office for $10 in
MAREI bucks to use for
Membership & Workshops
Webinar As a Real Estate Investor should I have a real
Contact Oct estate license and How to go about obtaining a real estate
MAREI Office for more info. license in Kansas and Missouri .
info@MAREInet.com
30
Page 22 MAREInet.com

23. Monthly
Meeting
Sylvester Powell Jr
Community Center
6200 Martway, Mission KS
913-722-8200
Tuesday, Oct 12 5:30 Member’s Only -
Doors open at 5:30
let’s talk Private Lending
Members: FREE 5:45 Set Up / Registration
Guest Fees: $25 at door . . 6:00 Industry Partner Expo
Pre-register online for $15 Invite your friends
6:00 Member Networking
colleagues to visit the
If guests join with in two days of 7:00 Haves & Wants (Bring
the meeting, their guest fee will be your Deals) Monthly Meeting for
applied to the membership fee with
7:30 Round Table - with a Guest Pass
proof of payment.
How I Did the Deal (available online at
Please call 816-523-4400 x 222.
www.MAREInet.com).
9:00 New Member
Registration
Location
For each new member you
6200 Martway
refer, earn MAREI Bucks
Mission, KS 66210
which can be used towards
seminars, advertising,
North of Shawnee Mission Pkwy Park in North Lot
or membership fees.
South of Johnson Dr 2nd from the Building
East of Lamar Less Kids & Door Dings
Investment News Page 23

24. Properties
Investment
Opportunity
Address City Offered as Price Bed / Bath Contact Phone
55th & Swope Pkwy Kansas City, Mo Rehab $7,000 3/1 Al Fraser 913-735-5549
304 Grant Liberty, MO Owner Occupant $117,500 Bob Baldwind 816-520-9330
1220 W 30th St Independence, MO Owner Occupant $108,900 JJ Pawlowski 816-916-4593
219 W 81st St Kansas City, MO Owner Occupant $109,900 3/ 1 1/2 Rick Zeitun 913-461-8560
21813 Lombardo LN Peculiar, MO Fixer Upper $134,900 4 bed, 1 bat Donna Wilson 816-213-8151
8812 Evanston Way Kansas City, Mo Owner Occupant $97,900 JJ Palowski 816-916-4593
1634 Kensington Kansas City, Mo Rental $48,000 3 bed, 1 bath Stephen Summers 816-350-7200
3124 Mersington Kansas City, MO Rehab $15,000 3 bed, 1 bath Danek Fonrose 816-804-4506
1515 Haystack Rd Raymore, MO Pre-Foreclosure 195,000 2900 sq ft Joyce Myers 816-509-0884
1112 E 4b2nd St Kansas City, MO Rehab 24,000 4 plex Eric Deeter 913-579-3354
6009 Cherry St Kansas City, MO Rehab $40,000 1 + bed Maggie Sheehan propertyloca-
tors@yahoo.com
Market Your Properties
Do you have investment properties to market to the membership? Be sure to log into the MAREI member
area and post your properties on the classified page.
Be sure to include:
Address: Street & City, State
Type of sale: Wholesale, Listing, Turn Key
Price: Your asking price
Type of Property: Single, Duplex, Multi, Etc
Contact: Name & Phone Number
Web Link: For more info and more photos
You can include 1 photo, but make sure it is not too high quality a photo or it will have too many pixels to load.
New web site will have direct link on the main page to the properties on the Classified section of the web site.
You may also want to list on the message board as well and post links on our social media pages.
Page 24 MAREInet.com

25. NEED TO FLIP A
PROPERTY FAST?
T.O.T.L. RENOVATIONS
PROPERTY LEADS WANTED Top of the Line Renovations for all your
rehab needs quickly, at a reasonable price.
NOTICE:
We specialize in:
WHOLESALERS, INVESTORS Make-ready
Siding & Windows
Carpentry & Roofing
Our company money is sitting idle for Plumbing and Electrical
Painting & Flooring
lack of houses. Looking for rehabs Drywall & Doors
Fences & Decks
to retail in Lee’s Summit, Blue Springs, Kitchens & Baths
and Johnson County. Licensed and Insured
Call Anthony @ 816-606-0266
www.kcmoHomeBuyer.com or Emily @ 816-252-0095
Totlrenovations@comcast.net
816-523-4400 x 223
Roger Holyfield
 (816) 510-9199
 Roger_L_Holyfield@HomeDepot.com
All MAREI members can register through our
special link to receive a 2% rebate on all pur-
chases made at Home Depot. From a $5 item for
a week end project to a $10,000 rehab: kitchen,
lights, appliances, Etc.
Investment News Page 25

26. (Continued from page 9) (Continued from page 13)
filed the new lien, if they did the
refinance, they should have paid
their potential mates.
the old lien and be able to in- NEW IN THE
Likewise, real estate sellers should demnify you and have some kind
MAREI LIBRARY
carefully analyze their seller-finance of proof that the old lien was
candidates, using disciplined under- paid such as the HUD1, copy of
writing. The primary variable that af- the check and payoff letter.
fects the cash value of their note is  If you are in contact with the A Look Behind Your Web Site:
the buyer’s credit. Thus, not only does owner of the property, they may
good underwriting mean a more trou- Filed In Marketing
also have the required documen-
ble-free loan, but you also create a tation you need as many lenders
7 Secrets to a $100,000 + Pay
more valuable, salable loan. will mail the lien release to the
homeowner and leave it up to Raise: Filed in Real Estate
As Ronald Reagan said, ―Trust but
them to file. As they don’t know
verify.‖ what to do with it, they save it Real Trends September 2010:
Seller Financing: It’s a Good Thing away in a box.
Filed in Market Data
 It is also important to note that
You can be extremely successful in
because of privacy laws it may Real Estate Glossary: Filed in
this business, if you use a methodical
difficult to get an answer unless
approach that calculates the risk and you have the loan number and Real Estate
weighs the benefit. Plus, it’s much the borrowers social security
more profitable than sitting on an un- number. Release from Real Estate Con-
sold property. As investors it is very important to tract: Filed in Forms & Con-
With due diligence, good judgment, have a good team in place to deal
with these issues and look at them tracts
and some common sense, you can
become very successful with seller early on in the process. For example
if you just bought an REO with a quit 27 Ways to Buy Multi-Family
financing. And the timing couldn’t
be better. claim deed or on the courthouse Properties With NO MONEY
steps without title insurance, you
In addition to your own success, you may want to order title now, before DOWN!: Filed in Multi-Family
can provide a much-needed service to you have a new buyer so you can
people who deserve the opportunity to deal with issues. If you wait until
own their own homes. Are you ready the last minute, your closing might
to say ―I do‖? because you can’t locate all the re-
leases and forms needed.
OLD IN THE
About the Author
If not all can be found, it is important
Eddie Speed, Founder of Note School®, to note, they probably can’t be found MAREI LIBRARY
has purchased more seller-financed notes to prove they are owed money ei-
than anyone else in the business. With a ther. In which case you can file a Book of Real Estate Forms
lifetime volume of seller-financed notes quiet title suit and get these liens
released. But that could be time – from Robert Allen: Filed in
topping half a billion dollars, Eddie has
that you may not have. Quiet titles Forms and Contracts
seen just about every scenario. He is also
an acclaimed instructor, mentor, and re-
can cost on average $2000 to
$2500 or even up to $3500 if it is Assignment of Contract: Filed
cipient of the industry’s most prestigious
a really tough one to clean up.
award. in Forms and Contracts
The Science of Getting Rich:
Filed in Success
Page 26 MAREInet.com

27. Professional Real Estate Websites
This is a completely customizable real estate website with all of the capabilities tai-
lored to meet the business development needs of any real estate investor, agent,
realtor or broker. Your very own professional quality real estate website is just a few
clicks away!
List of Features Included on Your Real Estate Website
Hosting and Email Included
Unlimited Property Listings
Map Links and Local School Information
Property Listings in our National Database
Unlimited Number of Website Pages
Financial Calculators
Hundreds of Website Templates
Powerful Easy-to-Use Design Tools
Custom Form Wizard
Real Estate Directory
Real Estate Discussion Groups
Guestbook and Online News and Calendar Publishing
Ready-to-Use Content
Website Promotion Tools
Website Reseller Program
10 Day Tutorial Included
Your Complete Website (including hosting) is just $39.90 per month
plus a one-time initial setup fee of $39.90
Go to www.FREETrialWebsite.info
Risk Free - No Obligation - No Credit Card Required!
Investment News Page 27

28. MAREI is partnering with KCIG to allow our members to go to their 1 day
training event on October 23rd: Alternative Financing for Today’s Mar-
ket. Discussion on buying & selling notes and creating seller financed
notes with guest speaker & Note Expert: Eddie Speed.
Register Now
 How to create loans for buyers who just can’t qualify
Name
Name  Screening the Tenants: Verifications, Credit, Down Pmt
Address  How to maximize the value of the Note
Address
 Where to find ready sources of funds to buy notes
Phone  How to find notes sellers and note buyers
Email  Government Disclosures Required and More
 Sign up online at www.EddieSpeedinKC.info
2nd Person
2nd Person Email
Method of Payment
Sign up for: Price
Visa
Check MasterCard For One Person $19.95
Discover American Express $29.95
For Two People
Credit Card # Exp. date
Credit Card # Exp. date
Signature
Signature
Email to info@MAREInet.com or fax to 816-523-4448
Mail to: PO Box 8685, Prairie Village, KS 66208
See Page 9 for More Info or go Online to
www.EddieSpeedinKC.info