Money, Money, Money...Maaaa-ney

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Are you frugal with your money or are you a spender?

Do you flaunt your hard working cash or do you live subtly?

People treat and act upon having money differently based on their values and beliefs. There are millionaires out there that when you look twice, you would not think they were worth 7+ figures. As with everything else in life, there are 2 extremes with having a lot of money, being thrifty and being liberal with your savings.

There is a flip side to both. If you are frugal, you fear the loss of your hard working capital. This includes not donating it to worthy causes, however it is your choice on how you want to control your fortune.

For those who are liberal, they may over extend themselves to the point of no return. This aspect may go along with those who do not know how to manage or invest their money properly.
I found this interesting article in MSN.com's Money section about people who are millionaires but you would not tell by they way they live their lives...then again who determines this?

http://articles.moneycentral.msn.com/Investing/StockInvestingTrading/secret-millionaires-addicted-to-saving.aspx

Equal balance or favor towards one side of the extremes?

Tony

Dependence vs. Independence

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If this is your first exposure to reading my articles, let me re-illustrate these statistics for you.

Today's 65 year olds:

• 54% are dependent on church, family or government
• 36% are still working - dependent on someone employing you
• 5% are dead
• 4% are financially independent - this is the gov't saying if you earn $34,000/yr. you are financially independent.
• 1% are wealthy - independence

These statistics are from The Dept. of Health and Human Services.

Dependence is relying on our government, church and family to take care of us. Dependence is also relying on being employed by someone else. This aspect alone raises your stress level of dependence because NOW you are relying on a secure job, with great benefits, retirement funds in which someone else is investing your money in areas in which they have no control over and making sure the bills are paid without over extending yourself on the income limit you have. You need to take a breath now, right? Same as working for someone else...exhausting.

Independence is the opposite of everything I described above. You have control over your time, your investments, your job in your business (hopefully CEO or President), you have better tax advantages and you call the shots. This is the promotion of what our fore fathers visioned for people living in our country.

Read the two paragraphs again. It's harder on the eyes and mind reading the first paragraph. The second paragraph flows nice with positive words. Positive words read easier than negative words.

Again, for those who are seeing these statistics for the first time, the 1% wealthy: 74% of that 1% are business owners and real estate investors!

What are you relying on? If you want change, what are you willing to do?

Tony

Real Estate Bouncing Back?

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I have read comments on other peoples blogs about how it could take years for the real estate market to bounce back.

Bounce back to what? Values of a couple years ago? People buying again? More financing available?

Real estate can be purchased for personal residency or investing in any market if you know what you are doing. This is a fantastic market to buy or invest in because everything is so discounted.

- Anyone can purchase a residence for none of their own cash or credit in this market.

- Anyone can also purchase or invest in real estate without tradtional financing in this market.

- Anyone can grow their retirement accounts in this economy via real estate investing in this market.

- Anyone can grow their equity in this market.

Everyone needs to stop relying on appreciation for long term wealth building in real estate. Relying on appreciation alone is speculation. Long term wealth is built through long term buy and hold in which other people are building your equity or you as the personal resident staying in your home for 30 years and not using it as a cash machine.

There are many ways to purchase real estate in today's market. Do not expect instant wealth (unless you inherit it) because it does not happen that way. Do not rely on appreciation alone.

Real Estate bouncing back is in the eye of the beholder. When you know various ways to purchase real estate or invest in it, the market bouncing back is irrelevant because you can still be successful and grow your wealth in any market!

Then again, this is coming from the mind of an investor.

Tony

Bait and Switch - Banks

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Ignorance is not bliss. Ignorance IS Ignorance.

This is for the first story.

Banks are telling their customers who are seeking a loan modicfication WHO have never missed a payment to stop paying so they can qualify for the loan modicafication.

Excuse Me?

What?

Come again?

You actually stopped paying?

Huh?

You ruined your credit for no reason right?

Who is the Puppet Master and who is the puppet?

Are you lacking vital information?

If your home cannot sell and you need to stay in it, why would you stop paying?

Am I missing something?

http://finance.yahoo.com/real-estate/article/106472/Tough-Workouts

I'm speechless.

Tony

Real Estate Investor Code Of Ethics

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Real Estate Investors who are successful and have amassed a nice portfolio followed a "Code of Ethics." The stories you hear of Real Estate Investors going to jail or are in the news for fraud did not follow a "Code of Ethics."

Although there are no established, in writing "Code of Ethics" for Real Estate Investors, the "Code" is very clear. Our "Code" is "Common Sense", eliminating the Deadliest Capital Sin - Greed. Every business needs to make a profit in order to grow but there is no reason to be greedy.

Ex: When closing a Short Sale and selling it off, there is no reason to sell it for FULL fair market value. Leave equity in for the next person and it will sell faster. If a deal is appraised at $175K, you buy it for $100K, sell it for $135K. You make a $35K profit and leave $40K in equity for the buyer. It sells faster and you receive your money quicker. I would rather sell it quick like this example than struggle to sell it at FMV where it will sit longer.

Real Estate Investing is not a get rich quick business! It is long term wealth building! POUND this idea into your head if you need to.

Real Estate Investors have an obligation to be fair and uphold the highest integrity in every transaction. We use disclosures and letters of understanding signed by sellers so they know what is going on in the transaction. Why do it any other way?

Nouveau Riche put together a 50 minute video titled Ethics and Disclosures: The Duty of Fairness and Integrity in Real Estate Transactions. All students MUST view this video prior to registering for classes.

Everyone is talking about the real estate market in a negative way. We FOCUS on being positive. Our education provides us the ability to grow our long term wealth in EVERY market. Up, down, sideways, backwards, in reverse, it does not matter. Successful investors treat it as a business long term and uphold "common sense ethics" and integrity!

You can view a PDF file by following this link:

ttp://college.nouveauriche.com/pdf/EthicsandDisclosures.pdf

Are you upholding your Code of Ethics and Integrity?

Tony

2009 Nouveau Riche College Dates

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Here are the dates for this years college sessions for Nouveau Riche.

All session run from Monday thru Saturday.

Week 1. April 6th - 11th

Week 2. July 13th - 18th

Week 3. October 5th - 10th

Week 4. December 14th - 19th

With over 35 classes available to register for, Nouveau Riche's real estate investment college is an experience unlike any other.

To learn more about the college experience, please follow this link.

http://college.nouveauriche.com/

Please contact me for more details regarding Nouveau Riche's tuition packages.

Silver - 5 days /30 NR hours - 1 Yr to take & repeat - partner attends for free
Gold - 10 days /60 NR hours - 1 Yr to take & repeat - partner attends for free
Regents - 20 days /120 NR hours - 2 Yrs to take & repeat - partner attends for free

College week is a great week not only to learn, but to network with other investors and real estate professionals!

Tony

Investing vs. Marketing a Home - Agents vs. Investors

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Disclaimer: What you are about to read may cause some to be upset. Yet, I need to distinguish between the two.

There is a big difference between Real Estate Agents and Real Estate Investors. The big difference is Education. I'm not saying they are good or bad, just the education is different. Agents know the market and the trends of the area. The are educated on how to market and sell a home, the facts and figures involved in the home, and where to access information for the local area in which they are going to work, along with other essential information needed to market a house or piece of property.

Real Estate Agents get educated to be licensed to sell homes and represent buyers. During the pre-licensing education, they are not taught in the real estate classes how to work:

• Short Sales
• Rehabbing
• Fix 'n' flips
• Work wholesale assignments
• Manage investment properties
• In depth mortgage financing
• Foreclosures
• Purchase Option Contracts
• Tax Strategies for maximum profit
• Legal Strategies for investing
• Using your 401k and IRA's to invest in real estate
• Buy and Hold Investing - Landlording
• Introduction to Land Development
• Lease Options and sandwich leases
• Managing Property Managers
• Master Leases
• Multi-family investing
• Investing in Tax Lien Certificates
• Probate Investing
• 'Subject to' investing

The above mentioned topics are not covered in-depth or at all in Real Estate Classes in which people are going to test for a license to be a Real Estate Agent.

Again, I am pointing out the difference in education between being taught to someone getting their license to MARKET real estate and INVEST in real estate.

This is what makes Nouveau Riche's real estate investment college so unique. NR educates you on the topics listed above and more, so you have the right knowledge when it comes to investing in various aspects of real estate.

Real Estate Agents are great to have on your team and I encourage you to utilize their knowledge!

This post came to light after comments were exchanged on my previous posts regarding Short Sales in which a Realtor was saying what we do is a scam, possibly illegal and unethical.

My rebuttal as always is:

The wealthy write the rules, when you know the rules you can play the game!

Also, I have talked with Real Estate Agents in the Chicago market who have gone through our education and agree.

There is more education in real estate beyond just testing for licensing to market property.

Here's to continued education and growth!

Tony

Governemnt Giving Up On Adults - Reality Check

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Jim Piccolo, President and CEO of Nouveau Riche, sat in on the first ever White House Round Table Discussion on Financial Literacy.

The U.S. Government says the best approach for financial literacy starts with teaching children. A great approach. However at the same time, the U.S. Government wants to give up on you, the adults!

Now is the time to take action and make a change. Educate yourself on Financial Literacy. Nouveau Riche has developed the first ever college curriculum style class on Financial Literacy.

This is FACT ladies and gentleman. My 20 year old colleague Kevin, provided this link for everyone to see FACT not FICTION.

Here is a link of Jim Piccolo talking at a Nouveau Riche event.

http://www.youtube.com/watch?v=O2SF_BMIwp8

Are you ready for a personal financial revolution?

Tony

The Economy - A Perspective

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I continue to be amazed by the mentality towards our economy. Everyone declares it is horrible. Our nation is in a financial crisis. We are in a recession. The Global Economy is suffering. Consumers are not spending. And so on.

Next consumers COMPLAIN athlete's and entertainers are paid too much...especially the athlete's.

Do you know why this is?

Consumers KEEP spending their money buying tickets, merchandise, CD's, DVD's, bigger T.V.'s, food at the venue, and everything & anything associated with sports and entertainment.

Do you see the paradox?

Maybe consumers should stop spending their money on these things or stop complaining. Maybe consumers should spend their money wisely in order to get ahead then go back to spending on these fun activities.

The saying goes: Business before pleasure.

Just one thought...

Tony

Taxes Rule!

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As a business owner you receive many tax breaks and deductions. The IRS tax code favors business owners on their taxes. With 100 tax advantages for business owners and 300 for real estate investors, it makes paying taxes fun.

1. Business owners provide jobs, insurance, income, and other facets for people.

2. Real Estate investors provide shelter for individuals and families.

These 2 things alone give power to the credence of giving those who do own/control businesses and real estate a tax break.

Remember, the best tax advantage for middle-income families is to start a business.

As the business starts generating money, you can put some off to the side and start investing. Now your money is working hard for you. Once this process starts, more opportunities arise as you are able to collateralize gaining more borrowing power. Tax breaks and deductions go along with the growth of your business and investing portfolio.

Taxes are always a rough and tough topic. Usually these words are expressed from those who work for someone else and don't know the power of business ownership and real estate investing.

Take advantage of lowering your tax bracket! Contact me!

Tony

Be A Leader

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Give your very best at all times.

When you are ready to give up, don't. Keep going!

When you quit is when you fail.

It will hurt mentally, keep going.

It will hurt emotionally, keep going.

To be a leader, you can't quit.

You have to give your all.

Be a positive influence in people's lives.

Change lives.

Be the leader people are looking for!

http://www.youtube.com/watch?v=T_wyBftd8gk

Turn followers into leaders!

Tony

Property Analysis Wizard (PAW)TM

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Property Analysis Wizard comes FREE when you purchase S.E.E.K. (SUPER ENTREPRENEURIAL ENCYCLOPEDIA OF KNOWLEDGE)TM.

P.A.W.TM is a powerful real estate investment analytical tool that allows you to:

1) Add new, modify and delete properties in your portfolio

2) Analyze financials for both single-family and multi-units

3) View comparables for a property

4) Determine your acquisition strategy of "Buy-Hold" or "Buy-Sell"

5) Track your property income, expenses and time

6) View property contacts information

7) Prepare a formal Personal Financial Statement

8) Construct offers on properties

9) Prepare legal documents for properties, and

10) Email properties for sale to buyers.

You also get FREE with purchase of S.E.E.K., a computer analysis class at NR's College.

In this property analysis training session, students learn how technology can save time, money, and effort in real estate investing. As they are guided through a step-by-step process of analyzing properties for purchase based on the results achieved from the Property Analysis Wizard (P.A.W.)TMsoftware, students will learn how to determine short-term and long-term strategies for single-family and multi-unit properties. The importance of a power team, how to construct property offers, and how to prepare legal documents for properties will also be covered.

Finally, for FREE when you purchase S.E.E.K., you can attend our Building a RME portfolio class.

Students will learn how to leverage the power of the real estate investing system created by The Real Market Experts (RME), called the Investor ConciergeTM. This class demonstrates ways that students can maximize their experiences with this proven system and how to leverage someone else's time to do much of the work for them. Students learn the ins and outs of using this system and ways to incorporate the real estate education they have learned to build a successful and diversified real estate portfolio in some of the hottest markets in the U.S.

Nouveau Riche has put together an amazing system to assist in your growth as a business owner and real estate investor.

Take advantage today!

Tony Toto

ISA

Nouveau Riche