Las Vegas

Because you are the only Broker who didn't lie to me!

2021-01-02T08:15:00.007-08:00

To this day, I remember this statement well!

I was trying to list a couple of Convenience Stores, owned by this attorney, who had invested in a local Convenience Store start up that didn't last.

He had pooled his money with a few other investors and when they were going strong, everything was right.

Then, the stores sales began to decline.

Anyway, the attorney reached out to several real estate companies to list and sell the stores he had control over.

At the time, I was with a Regional Real Estate Company, so I got to go do the listing pitch.

While in his office, I had my material prepared, laying out a somewhat strategy of marketing the stores, he controlled, for sale without broadcasting the stores were for sale. (You know what I mean.)

Anyway, after giving my presentation, he started asking questions about Convenience Stores, that made me think, him being an Owner, he should know the answers to his own questions. But, remembering that I was NOT going to fake it, I answered honestly.

After about 5 or 6 questions, he said he'd be in touch with his decision in about a week.

I thank him for his time and left.

For the next week, I felt as if I had blown the listing opportunity. I resisted the urge to call and get updates. Soon, I just decided I was up against more experienced agents and I was never going to get the listing.

Then, about 10 days later, he called, asked me to bring him our company's listing agreement and he'd have me sell his Convenience Stores.

I was thrilled.

During the meeting to sign the listing paperwork, I asked what was the attributing factor that made him want to list with me.

His answer surprised me: "Because you were the only Broker who didn't lie to me!

I was shocked!

Not that I didn't lie!

That the other more experience agents/broker had.

To this very day, I have kept this in mind.

I realized that the questions he asked me, were in fact to test my knowledge and to test me as to whether I'd lie -- to him.

Sure he's an attorney. Now, retired. He just listed 1.7 acres of land he still owns -- from his days as an investor in Convenience Stores!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Merry Christmas & Happy New Year with Good Riddance to 2020!

2020-12-21T04:41:00.005-08:00

Merry Christmas and a Happy New Year!

istockphoto

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Wouldn't It Be Nice!

2020-12-16T14:30:00.002-08:00

With Apologies to The Beach Boys:

"Wouldn't It Be Nice..." to be able to get back to doing what we did before this Coronavirus zapped all of the free-wheeling fun out of mixing & mingling!

And, "Wouldn't It Be Nice..." to be able to just travel & get lodging & drink & eat wherever you may go!

"Wouldn't it be nice..."

(iStock)

...to cause the hotel management to illuminate their No Vacancy Sign!

With dark days ahead, if we just try to have consideration for others -- even strangers -- we can get through this and back to normal quicker.

In the meantime: Have a Joyous Holiday Season!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

I never met Tony Hsieh, but I Sold him Downtown Las Vegas Properties

2020-11-29T08:03:00.004-08:00

Back in 2012, when I had Ferguson's Motel Listed for sale, and having spent several months marketing, touring and writing low ball offers for the property, a guy, who worked for Tony, approached me about the Downtown Motel property.

The Owner being savvy about the marketing activities surrounding his Motel told me he would sell to Tony at $3.6 Million.

Now, I had just sold the Las Vegas Dragon Hotel to Tony for slightly more than listing price of $2.3 Million. So, I was surprised when Tony's guy offered $2.7 Million for the Las Vegas Dragon Hotel.

Now, I did tell the Owner of Ferguson's this when I listed his motel for $2.8 Million. But a few months later, I realized he was correct when he sold Ferguson's for Tony for $3.6 Million!

Now, Tony never actually personally inspected the hotel property, (he did send a contractor to do that though) nor did he even visit the Las Vegas Dragon Hotel personally before buying it for $2.7 Million. At that time, I thought Tony was being foolish to pay so much for property he didn't truly care about.

Anyway, all three properties I sold to Tony's Downtown Project, Sold.

And, in all that time, I never personally met Tony.

Tony Hsieh

At that time, I was even critical of Tony for overpaying for property. But, apparently, that didn't matter. Tony had Sold Zappos to Amazon for a ton of money; and, he was going to buy property in the "East Fremont District' regardless.

Since then, in the eight years since closing the all cash deals, the values of Tony's purchases have increase far beyond his (at the time) higher than market acquisition price.

And, Tony had moved on to purchase other better known properties -- such as "The Atomic Café," & "The Bunkhouse" to add to his collect which included the Container Park and a lot others.

Nevada Rules & Regulations restrict the media from publishing the actual cause of death, so we will have to go with "injuries from a house fire."

RIP Tony. You re-directed East Fremont in an upbeat progressive direction.

Thank You!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

HAPPY THANKSGIVING!

2020-11-24T07:10:00.000-08:00

To All:

I hope you have a peaceful & wonderful Thanksgiving!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

The Beginning Of The End

2020-11-09T06:16:00.000-08:00

Doomsday!

It's a common theme in films. And, it is the theme in the latest installment of the Terminator series that I recently watched.

This film brought back Linda Hamilton & Arnold Schwarzenegger for their star appeal.

It was a really well done remake -- of the very first film released in 1984.

Okay, the twist was... No, if you haven't seen it, I won't spoil it for you.

But, with the end of 2020 rapidly approaching, I sure as hell want this year to end.

Sometimes I wonder: How do we get ourselves lock into such horrible trouble as we so often find ourselves?

Okay, the answer is actually really simple: We elect unqualified people to elected office!

Thus, we end up in dire straits. So, we have to live with the consequence of our collective decisions.

With the new year approaching, I am thinking that we are headed into a recession. (You can NOT give a select few tax cuts & expect economic prosperity. It never happens.

Remember Ronald Reagan's "Trickle Down?"

Nothing ever trickled down to me. How about you?

The same is for the recent Trump Tax Cuts. It's Trickle Down in disguise!

So, since I do NOT have a Crystal Ball, I will just say, my near 30 years in Real Estate gut is telling me we are on time for a Recession, more jobs losses, and deeper economic despair.

Okay, I am a Danny Downer.

But are you prepared for Doomsday!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Vacancies in OFFICE space is overwhelming!

2020-10-27T10:28:00.003-07:00

My son had asked me to drive him to his doctor's this morning.

Since this is a slow time of year (at least that's my experience), I picked him up, drove to the doctor's office, and was going to wait for him while he was there.

However, a nurse/nurse's aid came out, finalized some paperwork with him, and politely told me I would have to come back to pick him up.

Okay. (Change of plans?)

She took my cell number and said they will text me once his appointment is complete.

Since there were chairs in the hall/lobby of the building, I thought of just waiting there. But, my son said, just go.

So, as I left -- being a (curious) real estate broker -- I thought I'd wander the nice building.

NOT to my surprise, I found it to be about 50% vacant.

Now, if you don't know why this is, take a look around you at just how many people don't believe the coronavirus is real; OR, they think it's just a bad case of the flu.

This virus has hasten more and more office workers to be working at home.

Since a lot of offices are maintained via computer, that frees up people to just stay home, log in, and do any work from there.

Thus, the high vacancies in nice office buildings.

Since I work in Real Estate, I can work from home, too. I don't need to maintain a high profile office, either.

Curious about Las Vegas Real Estate?

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

If You Are NOT In Escrow By The End Of September, You Won't Close Any More By Year's End!

2020-09-28T12:36:00.001-07:00

Years ago - probably about 29 Years Ago -- the 1st Broker I ever worked for said this.

At that time, he had been a Real Estate Broker for 34 years. So, I took him at his word. And, he has been correct ever since. Well, he passed away in 1993, the year I upgraded my license to Broker from Salesperson.

And, ever since those long gone days, a lot of what he advised has proven true.

And, since it is late September, "and I really should be back in school," (Thank You Rod Stewart!), it is getting very, very close to NOT closing another Escrow in 2020.

But, given everything that has happened this year, I still had a pretty good year real estate wise.

Yet, I do believe deep down, we are heading in the wrong direction and the economy is going to take a tremendous hit.

I guess the only thing to do is hunker down, brace yourself and ride out the storm as best you can.

AND, there will be another bunch of homes available post foreclosure in the next 12 months.

So, be prepared -- as the Boy Scout Slogan states!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Frozen Foreclosures are happenning!

2020-09-20T08:59:00.009-07:00

Even though I do NOT list or sell Single family homes as a Commercial Real Estate Broker, I do follow and occasionally buy homes for my own sake.

And with the economy headed into the toilet, again. (Thank You Donald Trump!)

I have heard that there are thousands of homes in pre-foreclosure. This means the home owner hasn't made any mortgage payments for months. Thus, here is one explanation:

The temporary freeze on foreclosures applies to Fannie- or Freddie-backed, single-family mortgages only. The pause on evictions applies only to tenants who live in properties that have been acquired by Freddie or Fannie through foreclosure. It does not apply to tenants in homes that have not been foreclosed on.Aug. 27, 2020

So, with homes about to be foreclosed upon; and the amount of homes already foreclosed but still being occupied by the owner or tenant, we are going to see, probably at the beginning of the new year, another tsunami of homes for sale via foreclosure or portfolio sales just as we saw in 2009.

So, if you are a home investor, kind of like me, you are going to see another opportunity like in 2009, to acquire rental properties on the cheap.

Since I was looking to buy another rental property this summer, the wife and I decided to hold off to see just where prices were headed.

I think down.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Nothing like Heading Full Throttle Right into an Economic Depression

2020-09-15T12:35:00.000-07:00

I am predicting economic disaster coming our way full throttle in the coming New Year of 2021.

To me, what Donald Trump and the Republicans have done with their Tax Cuts, is going to leave us hanging and will result in a large economic collapse than we had in late 2008 and early 2009.

Am I being pessimistic?

Yes!

Will many people be losing their homes again?

Yes!

Was Donald Trump the wrong person to be President?

Yes!

And, his lack of leadership during this pandemic, has only fueled the fire.

I am guessing it will take more than a year to recover from such a devastating result of his incompetence!

Disagree?

Ok!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

It's Time to Acquire a Downtown Las Vegas Apartment Building

2020-09-08T06:41:00.000-07:00

With the way everything is going, and with Downtown Las Vegas in need of housing, here is an opportunity for a small investor to make some money.

OK, you could make a lot of money, but you have to be patient. (If you are NOT patient, you won't make any money.)

a 42 unit apartment building, that had a fire, will begin renovation at the end of September, 2020. The contractor says it will take him six to nine months to repair, renovate and improve the fire damaged building.

The Alpine Motel Apartments

That's right! The Alpine Studio Apartment building is ripe with profit! IF you make an offer now, let it sit in escrow while being repaired, then close upon it's completion.

And, if you wait too long, once fully occupied at +/-$900 per month per unit, the market value of this apartment building becomes +/-$4.2 million or more! (That would be your loss!)

Now, right now, you could put this property in escrow at $3.3 Million, wait for the construction to be completed, then close before leasing. And the Close of Escrow could be contingent upon the City of Las Vegas approving residents occupying the building once again.

Questions?

Contact David Howes: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Two to Go!

2020-08-24T07:32:00.000-07:00

Of the 21 listings I had, I still have 2 remaining.

The Owner of these properties wants way too much money for three of his plex properties.

And, he did overturn a rock to find a local agent who said he could get him his price.
The plex properties are is such dire straits that he will have to sell at Value Add pricing. But, since he's stubborn and thinks they are worth retail, he bought the whole sleazy agent spiel of how he can get him his price. (Not going to happen.)

The Owner will be back in due course, since I am: "The only broker who's ever told him the truth!" (His words.)

However, I still have his motel and studio apartments listed and hopefully, with the activity I am receiving, will get these into escrow fast.

We'll see.

At $1.5 Million for a 30 unit motel with a manager's quarters, that should be the first to sell.

Starlite Motel

And, at $3.3 Million for a rebuilt 42 unit studio apartment building, that should sell quickly, too!

(I am NOT surprised that a lot of developers are offering low ball pricing for it. But, they know that once the rebuild is complete, it will be worth more.)

Alpine Motel Apartments

If you are considering Las Vegas as a spot for your real estate investment dollars...
To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

SUBPOENA'd!

2020-08-12T08:44:00.001-07:00

It took nearly 30 years to finally be Subpoena'd as a witness in a case on a listing of mine.

Now, I wasn't trying to get subpoena'd. It just happened because I was the Listing Broker for the Alpine Motel Apartments when a tenant used his studio apartment stove to heat his unit last December 21, 2019.

Aerial of Alpine Motel Apartments

Yes. Six persons died that day from smoke inhalation.
And numerous persons received injuries while escaping the smoke filled building.

Now, next Tuesday, I have been subpoena'd to appear as a witness. Since I am on the Owner's side, I am going to tell the truth, and nothing but the truth.

So, I will be okay.

Now, if interested in this or any other Las Vegas property (other than residential homes, etc.)...

Contact David Howes by email: davidATdavidhowesDOTnet OR telephone; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Unlicensed Real Estate Broker-Agents

2020-08-07T05:31:00.000-07:00

Every so often, I will get a call from a "Broker-Agent" who has a client who is looking for some form of real estate product.

After discussing the situation with them about their client, I've gotten into the habit of asking these "Broker-Agents" their licensing status.

And, most will claim an affiliation with some brokerage or an attachment with someone who is licensed

(which is illegal) and they will be the "Broker-Agent" representing the Buyer in the deal.

Still Illegal!

Since these "Broker-Agents" usually are slick, and they attempt to oversell a property to a meaningful potential Buyer, the deal usually doesn't go through.

And, recently, I've run into this scenario but this time the well qualified Buyer didn't show up, but the "Broker-Agent" did with his licensed Agents in tow,

To me, I have never been that desperate to close a transaction that I would need to be involved as a licensed Broker in something like this to earn a commission.

Through my 29 years working in real estate, I would from time to time run into a Buyer who would want the Procuring Fee (or part of the Procuring Fee). Also Illegal!

But, I'd rather lose that transaction than be beholden to them because once you do it, you then are on their hook! I don't think it is worth it just to make money.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Dealing with an Inexperienced 'Know-It-All' Real Estate Agent

2020-07-24T07:38:00.000-07:00

First: I will survive a 30 day All Cash Real Estate Escrow. (That's a fact!)

Second: I am NOT sure I will ever recover from this "New" Agent's idiocy!

He works for a local real estate company that has had a nice success rate. I'm sure there are agents there that are competent and worthy for anyone to work with.

But, on this particular transaction, this agent has tried his best -- in my opinion -- to get my client/friend to remove me so he can be the only agent in the deal.

Why?

I don't know -- 3rd Base!

Yes! That's how confusing this has become, and we are still NOT in an Open Escrow, yet!

Here's the background:
On Sunday just past, I receive a call from a Buyer. He saw my plex properties on a listing service.
And, it turns out, he wants to buy two of them! Okay.

After discussing the price points, the Buyer wanted to think about it.

A day or so later, my client/friend says he is thinking of listing the two most horrible looking, lack of curb appeal, cost ridden plex properties with someone on the Multiple Listing Service. (I am NOT a Realtor and I have found as a CRE Broker, the Multiple Listing Service is great for homes -- lousy for commercial buildings)
To me that's okay because the Seller's price is retail, and the Buyer's prices have all been wholesale. (He won't accept wholesale and I thought I would just cut my losses.)

Anyway, the buyer then disappears for a few days, then I get a Realtor form offer from this agent for that particular Buyer. A sleazy move on the Buyer;s part, but okay.

The one offer is for two properties (which the seller owns under two different entities); and, they are low ball prices.

Turns out, the buyer called me, got first hand information on the properties, then went back to the agent to write the offer.

At First I am offended, but Hey, "It's Real Estate," said Mike Sitren.

Anyway, turns out this agent does have a lot of listings, yet I have had other Buyers who worked with him in the past tell me he tried to do things they were uncomfortable with. (That's another story for later.)

Anyway, as I try to help him understand that there needs to be two offers, and I Counter his one offer for 2 properties with 2 offers for one property each, he starts to insult me, my forms, and boldface lies about regulations. (I doubled checked with the state on a few of his pronouncements that he was sure were illegal. They are not, according to the NVRED.)

Now, I am wondering: Is my client/friend going to sign the 'new' offers (one for each property) that the agent (reluctantly) finally agreed to write? Time will tell.

After we (I am hopeful) close this transaction, I know I will be moving on to other deals already in process!

PS: In my near 29 year experience, sleazy agents will crash and burn sooner than later.
This agent needs to go sooner.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

14 down, 7 to Go!

2020-07-18T06:50:00.000-07:00

Sounds like a Football or Basketball score, doesn't it?

Out of the 21 properties I have had listed, I have been able to sell 14 of them!

Yes, I need to replace the Sold listings with other listings, but all in due course.

I listed a portfolio of 12 Single Family Homes (SFRs) including a townhouse and a condo.

I listed three motels.

I listed a portfolio of 6 Multifamily apartments.

I still have those remaining because they are extreme value added and the Seller wants his price.
(Still working an offer that might work, though.)

In the meantime, if interested in acquiring a Las Vegas property...

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Luxor and Excalibur to be Demolished?

2020-06-29T14:19:00.001-07:00

Never cared for the Luxor.

Even though you can see the top spot light illuminating the night sky from my house -- even on over case nights.

To be honest, I think I've only been inside in the life of the property maybe 6 times?

Excalibur was a place we stayed at with our kids in the 1990's before moving here. We wanted to get a feel for the city during a Thanksgiving weekend. (That was a mistake!)

Anyway, it's a rumor these are to be turn down.

Here's the article:

https://www.casino.org/news/luxor-las-vegas-demolition-rumors-spread-insiders-say-days-numbered/

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

I Will Serve You With A Subpoena!

2020-06-28T10:08:00.000-07:00

Wow!

Never thought I'd have to be subject to being subpoenaed.

But, when you are trying to market a downtrodden building, and a tenant causes the building to catch fire, I guess other Tenants consider that a violation of their rights?

This all stems from the fire, caused by a tenant using their stove to heat their studio apartment at the Alpine Motel Apartments!

Yes, I was the broker trying to sell the property As Is, Where Is.

But this plaintiff's attorney is fishing for information.

It is my understanding that you may have represented Mr. Orozco regarding a potential sale of the
Alpine Motel in August of 2019. At the very least, I understand that you were the broker.

Please forward to me all images, inspections, notes, contracts, agreements, emails regarding such.

Obviously, this is just an email and you do not have to respond. Unfortunately, because of COVID, I
cannot serve a subpoena at this time. However, as of July 1, I can. So, either you respond this
way, or, after July 1, I will serve you with a subpoena. Your choice.

At the very least, demand is hereby made that you take steps to preserve all emails, notes,
inspections, letters, agreements, communications, and images related to Mr. Orozco and/or the
Alpine Motel.

Alpine Motel Apartments

Well, I am going to talk to my golf buddy attorney to see about this.

Most likely I will co-operate because I only have a few things he's asking for. Probably best to take the high road.

"When in doubt, tell the truth!" Mark Twain

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

The Local Las Vegas Motel Market

2020-06-16T07:14:00.003-07:00

With Resorts commanding top dollar, and some even falling back into foreclosure, the local Motel scene is alive!

The reason is, even though the Resorts were shut down, the local governments understood that local motels were essential to helping keep visitors to local residents open and happening.

Years ago, my wife and I decided that it was better for relative/out of town visitors to have some visitation freedom!

You see: Las Vegas is a destination that some want to partake in as a complete stranger; and, they want to do what could be frowned upon in other (outside of Nevada) neighborhoods.

So, initially, we booked local motel rooms for them, but they soon got the hint.

(FYI: The wife & I for years would visit "them" and be offered accommodations in a relative's house. But, we felt we needed 'more privacy.' So, we started booking stays at local motels when we visited them!)

Thus, we maintain privacy. and visitors maintain freedom to gamble until they drop without worrying about their hosts!

To us it is a Win-Win!

So, with local motels being necessary or essential, and the resorts shut down, my listings have generated a lot of interest.

Thus, the need for qualified motel persons to contact me asap while I still have two remaining.

(Another FYI: I am currently negotiating a potential sale on one of them.)

If interested in motel income....

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

The Economy Motel in Downtown Las Vegas is SOLD!

2020-06-04T08:32:00.000-07:00

It took a while.

It was grueling to the end!

But the Seller is happy to get almost what he wanted for this property.

The Economy Motel

It would have Sold sooner for a cheaper price if the Buyer hadn't been so stupid!

YES! The previous Buyer stupidly canceled escrow the day before closing because he feared the US Travel Ban and the COVID19 virus was going to have an adverse effect on his property ownership.

Neither was a reason to cancel. Thus, his $250,000 Earnest Money Deposit (EMD) was going to be forfeited if he hadn't stepped back up and made another deal.

Because of his actions, he had to pay a penalty. You do know that if you cancel escrow (default), your EMD becomes nonrefundable and is released to the seller, right?
Especially, if you are scheduled to fund and closed the next day.

Some Buyers are just too dumb to realize they are NOT that smart.

So, The Economy Motel is in a new owners control. We'll see just what happens to it in the next year or so.

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Fontainebleau (Drew) is in Default AGAIN!

2020-06-01T15:14:00.000-07:00

I hope everyone, by now, knows that the section of the "STRIP!" where the Fontainebleau (Drew) is located, is NOT a choice area!

Drew (former Fontainebleau) in Default!

I wonder: Who is idiotic enough to acquire this tear down at full retail value?

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Be Aware of Who is in your Audience!

2020-05-27T16:37:00.000-07:00

Years ago, I learned, via a more experienced broker than I was at the time, ALL DEVELOPERS lie!

Now, a developer can come along and adamantly state: They never lie! Okay! I believe they believe that's true.

But, in my 28.5 years of real estate experience, developers lie -- all the time.

Once, while at a event, a developer was giving his presentation on how to buy land to develop it.
Unfortunately, for him, he didn't realize several audience members were wealthy land owners.

I was sitting next to one and I did my best to keep my lips sealed and listen to the presenter's lies. The land owner was doing likewise.

Anyway, this developer talked about how he's able to acquire land cheaply in order to have a greater profit post sale, development and leasing up of the development.

I had the feeling he thought all attendees there were want to be developers. It never occurred to him that maybe a handful were actually Owners(?).

Anyway, after the developer's spiel was complete, and as we were exiting, the land owner I sat near, quietly said, "I would never, ever sell my land to that guy. What a moron! That guy doesn't realize that half the audience knows more than he does."

Now, the developer is/was a well known builder in the Las Vegas Valley at the time; the Land Owner still has more an 100 acres to his name. And, Yes, he's developed much of his own property. He buys, builds and leases out what he can get accomplished in the area where his land is located. Needless to say, he makes a great living.

Moral of the Story: Know your audience!

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

It's Real Estate!

2020-05-15T13:47:00.001-07:00

Yesterday, while showing one of the Motels I have for sale here in Las Vegas, I was talking to the Buyer/Investor about the Pandemic.

Our discussion centered around rental properties and how they make you money over time.

The Investor said he had given up on stocks via the Stock Market because they always lost money.
(I told him about my theory that the Stock Market is nothing more than legalize gambling. He thought about it for a second and agreed.)

Anyway, he sticks to just real estate now, because he said even though he doesn't make as much money as he thought when sells a real estate property; he said if he holds them for a while, and rents them out, when he does sell, he's never lost money.

He said the trick is to buy with as little of a loan as possible. Cash is better, of course!

Thus, I remarked that, that is what I have found. I own rental property and over time the value, rents and aggravation all grow, but in the end, I have always sold for more than I paid for them.

And, if you buy correctly, that limits your downside when selling.

That made me think of when I first entered real estate under Mike Sitren, way back in 1991.
We sold HUD OWNED Homes, originated the loans to financed the buyers purchase and made money both ways!

Now, almost 30 years on, I am just selling CRE and working the rental properties as needed.
It always reminds me of Mike saying when things go rough during a real estate transaction: "It's Real Estate!"

And with this pandemic running rampantly through our lives, if you don't settle down and ride it out, the only real estate in your future, will be a grave plot.

My apologies for end on such a sour note, but if you have an interest in Las Vegas CRE...

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

"You Need To Pay My Broker!"

2020-05-12T07:45:00.001-07:00

Developers!

All of the Developers I have worked with throughout my near 30 year Real Estate Career have always been the same: Greedy!

Recently, I have been going back and forth with a S Cal Developer, who used to be licensed as a real estate agent in California, who is now searching for Las Vegas houses (to buy and flip).

Fortunately, I have a seller client who will sell his rental houses in a portfolio all cash.

After going back and forth with the Developer, and settling on the price and terms, the developer then throws in that I have to split the procuring commission with his "broker!"

What?

Apparently, this Developer wants half the procuring commission and he found a local agent -- who I know - who is wiling to pay this unlicensed person half of the procuring fee just to have some business!

Is this sleazy?

YES!

First, it never occurred to me that the "agent" actually would be willing to do this. (He must be hard up for money.)
Second, why would an agent/broker even want to be inserted into any ongoing negotiation post the listing agent procuring the Buyer. (This doesn't make any sense.)
Lastly, this Developer never mentioned "his broker" until the terms of the deal were set and I was drafting the contract.

Now, the Seller does NOT need to sell! (It would be a different scenario if that was the case.) And, the original sales terms have been altered from the Seller's original terms and I have a feeling (knowing the Seller for as long as I have) he is most likely NOT going to accept.

We'll see what happens.

(My wife suggested I report this to the NV RED because I know that the Developer wants and probably will get half of the procuring fee IF I go along with his sleazy deed.

If you are searching for an honest CRE Broker...

Contact David Howes: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!

Happy Mother's Day!

2020-05-10T09:59:00.000-07:00

To Contact David Howes try: davidATdavidhowesDOTnet OR; 7 0 2 5 01 9 3 8 8 AND Please #Follow David on Twitter: @DavidAHowes Have a nice day!