Create, Manage, Protect and Grow Wealth

through Turn Key Real Estate. I N S I D E T H I S

I S S U E :

M E E T I N G A G E N D A 1

M A R K E T I N G : M Y C O N C E S S I O N I S B E T T E R T H A N Y O U R S

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H A N D Y M A N ’ S C O R N E R

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V E N D O R B E N E F I T S 4

A Monthly Insight Into Boston Real Estate Investors Association

Bio: Stephen Miller was also one of the

original founders of Strongbrook REIC. His

responsibilities include building and

improving a variety of Strongbrook

programs, with a particular focus on

marketing and fulfillment.

He undertakes the creation and delivery of

educational content, directing and

producing audio and visual programs for

Strongbrook Direct and Strongbrook REIC.

Stephen also coordinates with The

Strongbrook Group's CEO to identify and

communicate with potential and current

shareholders.

Stephen Miller has been General Manager

at a leading home inspection company in

the Tampa Bay area. He has also worked as

a licensed loan officer, and is a recognized

industry expert on "compassionate

financing," a subject on which he has

taught numerous classes. Stephen holds a

BS in international business.

Strongbrook REIC

AUGUST 2015

Over the past decade Strongbrook has become a leader in creating and managing real estate within investment and retirement portfolios. Strongbrook analyzes each client's current financial situation to determine both their immediate and long term cash flow needs, and then creates a financial "Game Plan," using investment-grade real estate to accelerate net worth growth, and creating positive monthly cash flow that does not erode

retirement account value. Strongbrook's 10 year history of producing positive results with real estate, during market highs, crashes and lows, is due to its proprietary short-term buy and hold strategy of purchasing investment-grade single family rental homes in High Equity Growth Markets, as well as in Cash Flow markets. By understanding how to identify, and

when to deploy Equity Growth Strategies and/or High Positive Cash Flow Strategies, Strongbrook is able to sustain growth and create positive cash flow for its clients by navigating in and

Door Fee:

Non-Members: $30/ per person guest fee; Members always attend FREE! Boston REIA Membership: $240/yr

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The Hilton Dedham

25 Allied Dr. Dedham, MA 02026

(781) 329-7900

Is it just me, or have people gone crazy with specials and lower rents? In markets all over the country we are seeing people lower rental rates $40, $75, $100, even $200. I don’t remember seeing anything like this since the late 80’s. What is amazing to me is seeing a property that is 87% lower their rents $100 and then being happy that their occupancy went up to 91%. It is as if these people don’t know how to calculate economic occupancy any more.

Someone recently pointed out to me that over 95% of the people in our industry have never been through a downturn in the market. That is a sobering thought. They went on to say that strong markets mask average performance and weak markets expose poor performance in a hurry. By the desperation in concessions being given I would argue that there is a lot of poor performance out there.

Even worse is the apparent feeding frenzy everyone seems to have gotten into. “Someone down the street lowered their rents? Well we have to match them!!” “Our competitors are paying locators 150%? We have to do at least that much!!” What if I told you this wasn’t true? Let me give you a couple of actual examples.

A management company I was working for took over a tough property in a tough market. The property was cut off from all locators due to nonpayment. Since they were 86% in a 91% market and had limited traffic, we figured that it was a

priority to get these accounts open. Then a funny thing happened, we realized that the market was paying locators 150% plus giving away a month’s free rent. So in effect, they were giving away two and a half months of income. It didn’t take us long to realize that we were making more money at 86% with no locator bills than the competition was at 91%.

In the late 80’s we had a property where everyone was giving away two months free rent, plus trips, microwaves, you name it. Our owner told us he could not afford to do that. Simply put, he would have to give the property back to the bank, and that was not an option. So he told us that he paid us to figure it out, so we had better figure it out! We must have complained and moaned for most of a morning about hoe unfair this was. Why, he was asking is to work miracles…the market was the market and it wasn’t our fault. But finally solutions started forming. Here was our plan:

In a market where everyone was giving away the store, we would offer only two week free. While everyone else was selling price, we would sell product. We trained our leasing agents to ask prospects questions like “I wonder why xyz apartments is so desperate? Because of our great reputation and customer service we don’t have to offer specials like that.”

You know what? We got some crazy looks. And we lost some leases to people

who said they liked our property, but the special down the street was just too great to pass on. We’d answer, “We’ll see you in six months!” We said this with a smile on our face…not smug, but caring and confident. Not quite six months later we started having people come back. They were tired of all of the noise, the poor service, and the trashy grounds. Those properties had filled up with a bunch of “specials shoppers.” You know the type, they hop around from property to property, looking for their next special. We suddenly became the oasis amongst the desert. The result? The very best residents in the area wanted to live at our property. Our occupancy went up to 91% in an 85% market, and many of the properties with the insane specials were struggling in the low 80’s.

This taught me a valuable lesson. Just because everyone else is jumping off of the bridge, you don’t have to. If you will truly focus on customer service, maybe direct mail properties with bad service, and genuinely believe in your product, you can do okay without the crazy specials.

So if the property down the street lowers their rent to $100, what are you going to do …be desperate, or be successful?

Marketing

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B O S T O N R E A L E S T A T E I N V E S T O R S A S S O C I A T I O N

Our Mission:

Boston Real Estate Investors Association is an organization that promotes high standards of professionalism for real estate investors through the

nationally recognized PHP Education program, Encouragement through networking and the exchange of ideas, and a strong sense of personal and

professional Ethics, individual integrity and community involvement

My concession Is Better Than Your Concession

by Robert Tinning, CPA

President, Claremont Management

M E M B E R S H I P B E N E F I T S

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Boston REIA Can Help You Reach Your Personal and Financial Goals Through Real Estate Investing!

Beginners: Boston REIA provides the tools and education that you need to do deals in this once in a lifetime market, even if you have no cash or credit. This is local information from local people who are doing the business and not charging tens of thousands of dollars like the fly by night national companies that are here for a week and then gone, never to be heard from again. In our industry, we know that after a few weeks of one of those huge event where people spend tons of money, that they will eventually end up at our group, and 9.5 times out of 10, they tell us they learned more in one or two of our low costs events and training programs than they learned from these here today, gone tomorrow trainers. Plus with Boston REIA’s networking and other educational events, you will stay exposed to successful local investors who will offer you support and encouragement.

If you’re an old pro, Boston REIA helps you grow your business through networking, discounts on products and services, and advanced education on systematizing your business and hiring others to make you money.

If you’re a landlord, Boston REIA’s programs and benefits help you collect more of your rents, manage your properties professionally, stay abreast of landlord / tenant law, and currently help you deal with city utility issues.

If you’re a wholesaler, Boston REIA provides you with a whole group of serious investors who buy houses, plus we offer tools to market your properties and grow your buyers list. Plus our educational programs can help you make more from each deal, find larger numbers of deals, and just plain make more money. You can work outside of a group to build your buyers list one name at a time or you can come to just one meeting where almost 100 people can be added in one night.

If you’re a rehabber, Boston REIA is going to save you $1000 with discounts on paint, appliances, and more, plus we consistently have 2 or 3 new contractors at each meeting to help you on your next rehab and agents to help you sell your properties faster and for top dollar.

www.facebook.com/bostonreia

www.meetup.com/

BostonRealEstateInvestorsAssociation

twitter.com/bostonreia

plus.google.com/u/0/+BostonREIA

www.linkedin.com/company/boston-real-

estate-investors-association

www.youtube.com/user/BostonREIA

C O N N E C T W I T H U S

Editor's note: Most lists of household hints are as old as we are, so we were pleased and surprised by this fresh selection from Martha Beckman of Saint Cloud, Minnesota. Some of these tips are great money-savers and a lot of them seem positively ingenious!

If the screw holding an appliance to a wall or ceiling has stripped the plaster and no longer holds, saturate a cotton ball with Elmer's glue. Gently push the entire cotton ball into the hole. Allow to dry at least 24 hours then reinsert the screw.

Hang posters and light-weight pictures on your walls with globs of toothpaste. It's easy to clean off when you want to take them down.

Cream of tarter on a damp cloth will remove rust form porcelain surfaces.

After the freezer has been defrosted, spray it with a non-stick spray. That way the job will be much easier to do the next time.

If something boils over in your oven, sprinkle the mess with salt immediately. When the oven is cool, just brush it out and wipe with a damp cloth.

To keep scatter rugs from slipping, glue four rubber jar rings in the corners.

To remove odor from a plastic container, wash the container, dry it, then fill it with crumpled newspaper, cover it tightly, and let it stand for 24 hours.

Have You Tried These?

Handyman's Corner

Vendor Benefits

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Reasons Why You Should Become a Boston Real

Estate Investor Association Vendor

Vendor Members have access to a fast growing membership of individuals focused on investing in real estate. This is a built-in audience of people that have a need of your services. Besides the obvious benefit of reducing your cost to reach this pre-qualified group, you may participate in defined marketing and networking opportunities.

Take full advantage of the opportunity to promote your product and/or service by prominently displaying your company’s promotional materials and information at our monthly meetings. Consistent exposure to our members on a continual basis through our newsletter.

Vendor Member recognition in our newsletter and website.

An exceptional value in display advertising.

For more information regarding the Boston REIA Vendor Programs contact: BostonREIA@gmail.com