(Real Estate Investing Mentors) Don?t make the same mistakes I did?look for a Mentor.

February 27, 2009 by admin
Filed under: Real Estate Principles & Disciplines

After an up and down career in the corporate world, I decided I had enough and wanted to start investing in South Florida Real Estate. After all, the baby boomers were maturing; the economy was humming along and everyone from where I’m from (Philadelphia - Home of the Eagles, soft pretzels with mustard, hoagies) wanted to retire in Florida. I though I was real smart. After all, I dabbled with Real Estate in Puerto Rico and was moderately successful. Man, was I WRONG! I should have gotten a Mentor to guide me!

Some of the many benefits my associates and MREIA members receive are the experience we offer them and because of the networking, the benefit of everyone else’s experience.

If you are a newbie (new to real estate) having someone, a mentor, to ask questions is a blessing. I am always saying - “Look at all the mistakes I can tell you about and how to avoid them while pursuing a deal or making a purchase.”

One of the things as a Newbie, that took me a while to grasp, was creating a business entity and team building to help achieve our objectives, reduce mistakes and limit risk.

Below is a brief outline of items you should address to help you get started in your real estate investment career or hobby:

Before you Start Looking for Deals:

- Make sure EVERYTHING IS IN WRITING.
- Join a Real Estate Investors Association REIA.
  - Miami Real Estate Investor Association MREIA
- Open a Florida Corporation
  - Create Articles of Incorporation
    - Identify corporate Officers: President, Treasurer, Secretary, etc.
    - Need to declare number of outstanding shares and price per share.
- Buy/Sell Agreement or Share Ownership Agreement.
  - Want the ability to move shares when board of directors change.
  - Make sure you have a Shotgun Clause.
    - Dictates that if you are in a partnership and the partners want to get rid of you, you have to be bought out.
- Company Seal
- Meeting Book
- TAX ID # or EIN #
- Print up Your Business Cards
- Business Bank Account
  - Documents Needed to Open an Account
    - Drivers License with Photo
    - Articles of Incorporation
    - Certificate of Status
    - EIN #
    - Signatures of Corporate Officers
  - Bank Stamp for Deposits
- Build Your Team
  - Real Estate Accountant
  - Real Estate Attorney
- Business Plan
- Attend Conventions
- Develop A System