14 06 june kreia newsletter

President’s Letterpage 1

“SHARK TANK”page 3

Meet The Sharks!Page 4

VOTE, VOTE, VOTE!Election Sample Ballot

page 6

John Schaub!Saturday Workshop!

Sat. July 28th

Register Now!page 5

About John SchaubPage 7

Brand New KREIAIndiana Sub-Group

page 7

KREIA New Website!Page 9

Dodd Frank UpdatePart 2page 12

Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.comDISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

Presidents MessageHello Fellow KREIA Member

Thanks to Pete Young’s & all Volunteers who made Saturday’s REHAB Seminar a huge success. Power Lunch on Thursday June 12Th at Roosters Turned out26 motivated investors. (What where why when and how) were ?? that were all answered. We will see all interested parties next month!!!! Check out your new website! Please be patient as your new kreia website is being implemented. You can PRE-PAY now online for the meeting at KREIA.comWith the new website, you get to list your properties you have for sale AND every member will get your very own free website! Your Board voted to give this user friendly website a shot. The board and officers will be trained before July 1st, Its new to all of us but promises to blow KREIA Members away!!!!Come one come all 1st time ever at KREIA - “SHARK TANK”. Just like the TV Show “SHARK TANK,” KREIA members with pending deals can submit their deals to KREIA’s panel of “SHARKS” in search of funding, strategies, partners or more.In order to submit your deal to the KREIA Sharks, you must complete the online form with photos in order to qualify to submit your proposal. You MUST submit photos in order to submit your deal to the SHARKS. After you submit your deal in the online form, you can tell the SHARKS what you want… funding, strategies, and even partnering or selling your deal on the spot to a SHARK or two. Go to KREIA.com to submit your deal now.ELECTIONS are this month! VOTE, VOTE, VOTE. Hank Schildknecht has prepared a sample ballot in this month’s newsletter.MARK YOUR CALENDAR NOW! JOHN SCHAUB Saturday Workshop July 26!

Your President,Dennis Erhard

Quote of the month:“I’ve made hundreds of thousands of dollars buying and selling Houses. I’ve made MILLIONS teaching other people how to do it”

Robert Allen author NO MONEY DOWN Deals

Vol 14-06 Monthly Newsletter for KREIA Members

Dennis Erhard

2Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

PresidentDennis Erhard

Vice PresidentFrank Miller

SecretaryChris McCarty

TreasurerMike Grinnan CPA

Treasurer ElectFred Helm

Board of Directors

Mike Butler

GeorgeForee

Eric George

JeanHall

MarkHass

FredButler

TamaraWest

DuffyFord

Dan Jones

RueMcFarland

Wally Kallbreier

ParliamentarianHank Schildknecht

Past PresidentConnie Horsey

Your KREIA Leaders are involved and chair several committees to make KREIA happen every month for you and your fellow KREIA Members.Get involved with KREIA. You can help with the monthly meetings, L.O.T.S. Program, this newsletter, Saturday Workshops, Government Affairs, Social, Annual Picnic, Marketing, the new KREIA website and more PLUS You Get EXTRA KREIA Points for everything you do!Get phone and emails of all KREIA members with the new KREIA Online Member Directory.Reach out and tell them they are doing a great job! (It makes them do more for KREIA!)

KREIA Newsletterpublished monthly and serves both as a newsletter and a reminder notice of your upcoming monthly meeting.KREIA is a member only association focused on education, networking, and resources for today’s investor and to educate real estate investors from the basics to the complex. We are an excellent choice for all levels of investors. Whether you are just starting out in real estate investing, or are working on your hundredth deal, KREIA can help you learn more, earn more, and have more fun doing it.To Subscribe to the KREIA Newsletter is simple and easy. Go to KREIA.com and join the Kentuckiana Real Estate Investors Association.

Group Discounts are available. To Advertise in the KREIA NewsletterTo Advertise on KREIA.comTo Sponsor A Monthly MeetingTo Sponsor A LOTS ProgramPlease contact [email protected]

KREIA SponsorshipsDiamond: Full Page Ad + Table + Pre-Meeting Speaker Only $995 or $99 mo.

Gold: Half Page Ad + Table + Pre-Meeting Speaker Only $499

Silver: ¼ Page Ad Only $299

Business Card : Ad Only $149

Event Sponsor: Meeting, LOTS, Saturday Seminars, and more!-----------------------------------------------------Place Your Ad Now at KREIA.com---------------------------------------------”KREIA Advertising is by far, hands down, the absolute best advertising dollar ever spent for Borders & Borders!” Harry Borders, B&B Attorneys

KREIA SponsorshipsDiamond: Full Page Ad + Table + Pre-Meeting Speaker Only $995 or $99 mo.

Gold: Half Page Ad + Table + Pre-Meeting Speaker Only $499

Silver: ¼ Page Ad Only $299

Business Card : Ad Only $149

Event Sponsor: Meeting, LOTS, Saturday Seminars, and more!-----------------------------------------------------Place Your Ad Now at KREIA.com---------------------------------------------”KREIA Advertising is by far, hands down, the absolute best advertising dollar ever spent for Borders & Borders!” Harry Borders, B&B Attorneys


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5:30pm Early Meeting

Rue McFarland and George Foree

Just like the TV Show “SHARK TANK” – You will present your deal to the KREIA SHARKS panel for funding, strategies, partnering and maybe even sell it on the spot to a KREIA Shark or two. You must complete the online form in order to present your deal to the SHARKS. Go to KREIA.com to enter.

June 26 Meeting

4CLICK HERE TO SUBMIT YOUR DEAL To The SHARKS

National REIAMidYear 2014

Denver, Colorado

KREIA President Dennis Erhard on the stage explaining how KREIA’s L.O.T.S. Program works along with KREIA’s invite a guest to KREIA Meeting Business Card. Dennis had reia leaders from all across America rolling in their seats with his signature Hawaiian Shirts and Kentucky “accent.”

KREIA is lucky to have a president who volunteers his time to travel to learn more about bringing you more benefits as a KREIA member.

Thanks Dennis!

KREIA's "SHARK TANK“just like the TV Show SHARK TANK, KREIA Members who complete their online form with photos will get to present their pending deal proposal to the SHARKS for funding, strategies, partnering, and yes, even selling.

You MUST submit your deal BEFORE 9pm Wednesday, June 25th in order to prepare your deal to present to the SHARKS.

CLICK HERE TO SUBMIT YOUR DEAL To The SHARKSYour SHARK TANK Moderator will be President Dennis Erhard

KREIA members who submit their deal online with photos will get to present their deal to the SHARKS during Thursday’s meeting. Deals will be submitted to the SHARKS in the order they are received. After you submit your deal online, it will be turned into a powerpoint slide show for the SHARKS and audience to view as you describe your deal. Submit Your Deal Now! And MEET THE SHARKS!Rue McFarland

• One of Founding Fathers of KREIA• KREIA Past President and still on Board• Past President Board of Realtors• CCIM Designation - about a dozen in town• 40 year+ real estate investor• Kentucky Licensed Real Estate Broker• has been involved in probably over 1,000 real estate transaction

Sharon Vornholt• real estate investor for (she won't say) years• Owned very successful Home Inspection company and sold it for a very nice

profit.• Regular author on BiggerPockets• Owner of LouisvilleRealEstateGals.com website• has quietly wholesaled many deals to kreia members

Harry Borders• Borders & Borders attorneys – region’s largest real estate closing law firm• 25+ year real estate investor on residential, commercial, and land• 1031 Tax Deferred Exchange Expert• KREC certified instructor• solved problems for investors and agents using creative strategies

Cliff Hayden• Owner and Principal Broker Altec Realty• retired early from AT&T because of his real estate investments• past KREIA Board Member• has helped many investors find great deals• actively growing his investments and buys rental properties on a regular basis

Mike Butler• Grew his business with full time job - Undercover Louisville Police Detective• 2 term past president KREIA and serves on board today• served 3 years on board of National REIA• purchased hundreds of rentals and has never gone to a bank to • Authored #1 Best Seller Business Book "Landlording on Autopilot"• featured in Money Magazine “Can Real Estate Make You Rich?”• principal broker of Vista Realtors

5Copyright MMXIII Kentuckiana Real Estate Investors Association•PO17592 • Louisville, KY• (502) 509-2216 www.KREIA.comDISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

BUILDING WEALTH ONE HOUSE AT A TIME& MAKING IT BIG ON LITTLE DEALS!

Saturday, July 26th

Doors Open 8:30am Class 9am-4pmWildwood Country Club, 5000 Bardstown Rd. Louisville, KY 40291

Includes Hot Lunch Buffet! Register Now KREIA.comHere is some of what you will learn in your fast paced day with John:

Putting together the plan to increase your cash flow every month for the rest of your life

Finding the most profitable deals in your town

Buying only the properties that will make you the most money

Negotiating the most profitable terms when you buy

Borrowing without personal risk at terms that guarantee you a profit

Attracting and using investor money to increase your rate of return

Negotiating contracts that will close

Ten ways to improve your offers to close on more deals

Getting and keeping the best tenants in your town

Giving your tenants incentives so you never have to work nights or weekends

Building a management team that will free you to make more deals or just have fun

Selling in a hurry at retail prices

How to get your first ten houses free and clear – in ten years or less

Hurry! Early Bird Discount Registration expires in 3 Weeks! Register now at http://kreia.com

REGISTER NOW!EARLY BIRD DISCOUNT!

MembersOnly $99

2 for $149

GuestsOnly $1492 for $199

------------------------------After

Early Bird Expires

Members $129

Guest $199

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John Schaub

John Schaub has prospered during three recessions, four tax law changes and interest rates ranging from 6-16% in his 35 years as a real estate investor. His 2005 best-selling book, Building Wealth One House at a Time, assisted more than 50,000 real estate enthusiasts on their way to successful investing. His 2007 book, Building Wealth in a Changing Real Estate Market, is available online and in bookstores.

John recommends buying better, well-located houses rather than cheaper houses and other management-intensive properties. Better houses are more profitable and far less trouble. He advocates paying off debt, owning properties free and clear, and renting only to long term, high quality tenants.

John buys, sells and manages his own properties, and enjoys providing quality housing at fair prices for working families in his community. He teaches two Making It Big On Little Deals seminars each year where students learn how to identify the best investment property in their town, how to buy it at below-market prices, and how to negotiate terms that guarantee a profit.

John also invests his time helping those who cannot afford to buy a home through conventional sources through his work with Habitat for Humanity and the Fuller Center for Housing. John has served for more than 20 years on the board of Sarasota Habitat, 7 years on Habitat's International Board and currently serves on both Habitat's US Council and on the board of the Fuller Center for Housing.

John, a Florida native, is a proud graduate of the University of Florida, where he earned his B.A. from the College of Business Administration in 1970. He is an accomplished boat captain (power and sail), fisherman, skier (snow and water) and an instrument-rated pilot. John loves to travel, especially with his wife Valerie and young adult children Jay, Megan and Tyler.

.

7Copyright MMXIV Kentuckiana Real Estate Investors Association•PO17592 • Louisville, KY• (502) 509-2216 www.KREIA.comDISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

KREIA Welcomes John Schaub!

Register Now for Saturday Workshop with John Schaub on July 26th

Register Online at KREIA.com

National REIA Mid Year ConferenceDenver, CO

Can You See President Dennis Erhard?

Mike Butler, Dennis Erhard, and Carl Fischer of CamaPlan.com at NaREIA Mid-Year

8Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.comDISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

No Member Spotlights were submittedPlease submit yourself or a fellow member

http://kreia.com/submit-member-spotlight

Welcome New Members!Christopher Fueling

Stacy SherrardJonathan Leal

Arjan Manwani

Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

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KREIA.com NEW Website!At the May KREIA Board meeting, your board voted to move forward to bring you and your fellow members more

benefits by implementing a brand new, PROVEN, member friendly website for KREIA. Your new website is already up and running; however, it is not completed yet.

Here are some of your New Benefits with New KREIA.com website:

Brain Dead Simple Log In using Your Email Address

YMember friendly and easy to use!

You can add your own properties for sale!

Glossary helps you understand real estate language

Real Estate Investor Articles

Home Study Courses

Pre-Pay for Monthly Meetings on KREIA.com

Registration for LIVE Training events on KREIA.com

View your account history and events attended

Online Active KREIA Member Directory

Includes FREE Website for all active members, Online mentoring program will be available soon!

PLUS Many More Features and Benefits on the way!

Rick Wardlow, Joe Gribbins, Allee Harmon, Bill Dollinger, Frank Miller Call 502-489-5515

http://wardlowauc.com

10Copyright MMXIII Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

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12Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.com DISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

DODD FRANK FOR THE INVESTORPART TWO- RESTRICTIONS ON OWNER FINANCING!!!

Here’s the GOOD NEWS… Investor buyers can STILL get financing from any source they want.

Here’s the TERRIBLE news… Owner occupant buyers now have lots of restrictions placed on who they can get a loan from. These new rules impact contract for deeds as well as seller retained mortgages (and, of course, the ever present contract for deed in disguise as a lease-option) and private financing.

So, assuming an owner occupant wants to obtain a loan from a source other than a bank or mortgage company, here are the new rules.

If the lender only lends once in a 12 month period, the lender: a) MUST be a “natural” person (i.e. not an LLC or corporation); b) MUST have owned the property (i.e. no private financing, only owner financing); c) MUST NOT have built the home in the ordinary course of his/her business; d) MUST NOT have a negative amortization; e) MUST be for at least 5 years, and if longerand adjustable, must be tied to an index rate, such as Libor.

If the lender lends 2 to 3 times in a 12 month period, the lender MAY be an LLC or corporation. But the lender also: a) MUST have owned the property (i.e. no private financing, only owner financing); b) MUST NOT have built the home in the ordinary course of his/her business; c) MUST NOT have a negative amortization; d) MUST be FULLY AMORTIZED; e) if the rate is adjustable, it must be fixed for at least 5 years, and it must be tied to an index rate, such as Libor; and f) MUST determine ingood faith that the consumer has a reasonable ability to repay the loan (similar to what a loan officer would do).

If the lender lends more than 3 times in a 12 month period, all of the above requirements for a lender lending 2 to 3 times in a12 month period apply and IN ADDITION, the lender MUST BE A LICENSED LOAN OFFICER.

As you can see, navigating the waters of seller financing has again become tricky. Please check with your real estate attorney before embarking on a seller financing transaction for a dwelling. Attorney Harry Borders


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14Copyright MMXIV Kentuckiana Real Estate Investors Association • P.O. Box 91225 • Louisville, KY• 40291 (502) 509-2216 www.KREIA.comDISCLAIMER: KREIA does NOT pre-qualify, evaluate, endorse, guarantee or warranty any particular deal, service, company, or person. The Kentuckiana Real Estate Investors Association recommends you perform your own due diligence & seek appropriate legal, accounting, or other professional advice before making any investment. KREIA is a Member of National Real Estate Investors Association.

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.com

PO Box 91225Louisville, KY 40291Return Service Requested

KREIA’s Monthly Meeting! Thursday June 26th

5:30 EARLY MEETING

LOUISVILLE’S FULLER CENTERIS #1 IN THE WORLD!

Rue McFarland & George Foree will give a presentation with all of the

details and Q&A

Documents

14 06 june kreia newsletter