Heard weekly at http://tjmarrsradio.com

SUBJECT: Learn the 3 Real Estate Investing strategies that will get you more cash and more deals in 2008 than you ever imagined possible.

NOTE: Average profit on these deals are around $35,000 – $50,000 each and you never have to try an qualify for a mortgage or need big down payments or deal with sellers in foreclosure. For serious investors only.

DOWNLOAD THE PODCAST/MP3 HERE

Hear the first radio episode replay by T.J. Marrs, no head weekly at www.tjmarrsradio.com

This episode we talked about "Credit Repair and Real Estate Financing Strategies for the Real World of Today".

Listen Live at 4 pm Pacific Time – every Wednesday or listen 24/7…

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Q. Can you explain to me how the Living Free and Clear system works?

A. It works by managing your money differently in a way that automatically lowers your average daily balance while still staying within your same budget.You can get an idea of what the system can do for you by accessing our demo software.You will be invited to a sneak peak of system by coming to the informational tele-conference.  This is where you will learn how to set up and get the system started.

We are not an extra payment strategy or bi weekly approach. Nor are we a mortgage company or loan officers.

Q. Do I need to refinance to use this program?

                A.  Rarely, the system will suggest the best plan once your information is entered.   We offer                     training to help you understand how to use the system and what will be your best option.                         Reasons we may suggest a refinance would be, if you want to consolidate some additional                     debt, you have an adjustable rate mortgage coming due, or you may want to reorganizing your                 mortgage debt, simplicity.

Q.  How does Living Free and Clear compare with the competition?

                 A.  We are not a mortgage bank or loan officers – so we are not pushing mortgages.  We                          focus more on education, support and tools to help you succeed.   We offer additional                              tools to create wealth via our Affiliate program/Real Estate investing courses.  The system is                  also about 1/2 – 2/3rds the cost of most other programs out there and our system includes                      much more than just software.

Q. Can I market this program and make money?

                A. Yes, we have an affiliate opportunity, it also offers a trial program – 6 months free with the                     Premier program (only cost $1 to try for 45 days then only $29.95 month for tools/web                                 support).
               
                Commissions start at 45% per sale, plus multi level overrides, and all you have to do is talk to                 people you know or send some postcards out. We show you how.

                If you are a loan officer, you can market LFC to generate more leads / loans and earn money                     between loans. Plus it creates a referral explosion.

Q. I can’t get back into my demo software account?

A. The reason you cannot get into the system right now is because your demo trial has expired. We can schedule a time to meet over the phone to go over your information.  When we meet, I can open your account up so we can both look at the numbers online.

On the surface it sounds good to attempt to rate banks for their willingness to short sale a mortgage,

when a buyer is facing foreclosure.  You would most likely be obtaining very subjective, not objective data.

The major problem with getting such data accurately are these:

1.  Different individual buyers are not properly prepared or some are better prepared to negotiate.  The individuals who is asking for the short sale, their money situation to cash it out, and the individual you are dealing with at the bank can all dramatically affect the results.

2.  The individual bank’s policy could change during market turmoil.
It can change as fast as you could collect data.

3.  Individual markets and scenarios are factors.  If the market is perceived to be hot, banks may be les willing to deal. If the market is dominated by empty houses, that may also affect their decisions.

4.  The very question or need to se such data could negatively affect your mindset.  For example, if you think a lender has a poor rating (not very willing to negotiate), you could make the critical errors of pre-judging and not even try.  

The key to short sales are these factors above.  The bottom line it this.  Have a strong attitude, be very prepared with a good package, be persistent, and let the know YOU are the one who can close fastest.  It is competitive out there, be a competitor, and ignore relying presumptuous or subjective data.  Persistence pays, and this is a numbers game.

To get our regular newsletter and participate in our discussions, get to our blog at
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Also be sure to enroll in our newsletter at http://creclub.com as well. 
Check out news about our upcoming 3 day training event at: http://tjmarrs.com

Hello TJ. G…. and I were at your workshop last fall and are involved with your Free and Clear program.
We have a property in Buckeye Arizona that was under a lease-option until the tenant left without notice of any kind. The manager has been unable to rent it since June. If it was rented it would be for no more than 1/2 of the $1750 mortgage payment.

What is the least destructive way to walk away from a house with a neg-am mortgage that might sell in a best scenario for $170,000. The current payoff is about $218,000 with commissions and closing costs bringing the difference needed from us at closing to about $55,000. With 5-600 houses per week coming into the Phoenix market, the value continues to drop daily.

A sub question to this is if the property is put into an LLC and the loan is defaulted would it come back to us personally? An entity lawyer did not know the answer to this.

Thanks, P & G

How have you been Phil?
If it is ok, I will also post this answer on the blog (names removed).

RE: When a lease option tenant leaves early, and you are upside down on payments and mortgage payoff…

When you are selling on lease option, tenants will occasionally leave on you like that. Hopefully you got enough money up front, as I always recommend, to make it harder for them, but if hey do, oh well.

YIKES on the neg-am situation. I know you did not learn that from me. I always say, if it wont cash flow on a 15 year fixed am, you are in too deep. I have warned investors about those low down, and variable loans risks for years. For this very reason. I’ll give it to you strait, there is now real clean exit.

The only way I can see now is:
1. Let the foreclosure happen.
2. Pay of down. But try a short sale first, if you can cash it out when approved.

As far as putting it in an LLC…here is what I teach You can’t buy the insurance after the fire starts.
Also, even if you did first buy it in an LLC, you would still likely be the guarantor. In this case you are are on the loan, not matte who is on title. Sorry about that.

This one does not look good. Hopeful you can get out clean, and take a new approach next time, like those we will teach at our upcoming boot camp in September, that can help you prosper, while avoiding such situations again.
Get details on that at http://tjmarrs.com (look for the upcoming event link)

Of course the downsize is that the market could not rescue itself, and thus required he biggest FED bailout since 9/11.

The risk this causes is that rates cold be driven higher as the dollar may be devaluated, s usually happens in such a cycle of activity. A lower dollar means, it will cost more to buy good, especially foreign good and services. That is something America depends on too much these days. My advice, start buying American, and lets strengthen the fundamentals of our own economy and I believe everything can stabilize soon.

What does this mean to the consumer in the housing market? Expect a slow recovery in prices and interest rates. Fortunately it can also mean a better supply of funds to make he mortgage investors comfortable enough to start investing in mortgage backed securities, and thus provide new money into the system, for we consumers to borrow to buy property again.

Be sure to get to our upcoming live event. Get details at http://tjmarrs.com

T.J. Marrs
http://tjmarrs.com
http://livingfreeandclear.com
http://creclub.com

The entire bottom fell out of the funds market Friday and the FED had to act to stop the entire money market to stop functioning.  This had never happened before, and is significant to investors and especially jumbo borrowers.  Both the US Fed and several major European banks had to act to stop it and create liquidity.  It was very serious, and thus caused one of the worse on Wall street sine 911.  As a result retail lenders are further tightening their standards, especially for investors, and this will likely last for some time.  In the jumbo mortgage industry many lenders have virtually stopped lending.  So if you own a SFR property with a mortgage above $417,000, get ready for some serious slowing of the selling market.  No money = few sales.

The GOOD NEWS

Markets will come back, but not after some depreciation in some regions.  But who knows which ones.  Most likely regions with high reductions in value will likely be in such markets as New Jersey, Virginia, California, Florida, Arizona, etc.  The higher appreciation as of late, the faster they fall. 

For savvy investors there are multiple way to finance properties which do not require a new institutional mortgage…fortunately.  That money has will get much more restrictive.

Private party money raising strategies, subject to’s lease options, and short sales will truly blossom again as the way to buy many properties.  The further good news, is seller will be more motivated to listen.  But watch your values, a they may depreciate up to 5-20% over the next year.  At least this seems more likely than not.

However when selling on contracts and lease options you can make up a lot of ground and literally create a market for the buyers who want to buy, but can’t now due to the negative lending environment.  To exemplify this further, in our coaching environment with students, we are seeing record numbers of deals these days, on both the buying and selling side.

Stop by our call Tuesday night to hear more commentary on this and other strategies that will wok well in this environment.  More articles such as this are also available by subscribing to our blog at http://tjmarrs.com 

The call is available via the web and tele-seminar format.
EVENT:  Real Estate Gold Coaching Q&A Call
DATE & TIME: Wednesday, August 15th at 12:00pm Pacific
FORMAT: Simulcast! (Attend via Phone or Webcast — it’s your choice)

TO ATTEND THIS EVENT, CLICK THIS LINK NOW…
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Get attendance details there.