Louisa's Journal: The Second Chapter

Louisa. It is evident in your writing the enthusiasm and internal drive is at full steam

And by sharing it give us the reader and fellow DGers a little of both I look forward to your new entries and thanks for the link to the old one

You are Inspiring me! Have been feeling like starting over with the journal too. I love your thought process, and I just watched that speech you posted, and it has been on my mind. Have been living in average, need to live in GREATNESS! Way to go.

I'm so excited to see what this new chapter brings. I totally agree about average. It's good, but not great and certainly not Outstanding! We should be all living outstanding lives and investing on an Outstanding level. I always think of Dean's blog on Unique Ability. If we can live in our Unique Ability the rest will fall into play or we'll at least make enough that we can pay people to handle the rest!

Ready Set Go!
~Andrea

I am so glad to see you back on here! I think of you often and wonder what you are up to, so it will be good to be kept updated.

You are such an inspiring writer!

Karen

Glad to see you back. I have missed you!

Michael

Joel --we haven't met, but just saw your profile and glad you are here! Thank you for stopping by...so appreciate it! Looking forward to seeing all that you are up to and hope your RE in NY is going well!!

Cathy ---YAY!!! Thank you! Great to see you and thanks for popping in so quickly...glad you are here!! Yes, do a new journal!! I would love to pop in and see what you are in the midst of, as always. Would be like old times You are coming to the Edge next year!! Commit now. We have to hang out again! )

Andrea --So awesome to see you here! Aw, thank you for your excitement Really appreciate it! Yes, totally agree....LOVE Dean's focus on Unique Ability. It completely changed the way I look at my time, my talents and what I can outsource to focus on my UA. Look forward to being more involved and seeing all that you are up to as I hear that it is GREAT!!!!

Karen ---Thank you!!! You as well!!! Can't wait to keep up again. And looking forward to stopping by your journal. You are a LIGHT! And love coming back to see your smile!

Michael ---I have missed you! Thank you! Your posts are always so amazing, and this site is blessed by your presence, expertise and enthusiasm. Glad to be in the loop with it all again.

THANK YOU ALL FOR COMMENTING! )) It's been a long time!
Louisa

Louisa, I look forward to seeing your continued postings on forum here. Wow, have you rattled my cage and got me thinking.

I agree with you that all of us have greatness within us. I also know that Dean is challenging us to do better, to be better, to find and nourish that greatness within us. I look at your writings and musings on chapter two above and marvel at what you have done. I would say that what you have done so far is pretty darn good. Yet as I watch you rev things up here in chapter two, I will be rooting for you. Personally, I want to see where you take this and what you do with it because I know you can do it. So here's to your unique abilities and where you take it from here.

Be your very best always-Judy Williamson

What you focus on is where your energy goes-Kristin

With gratitude,
Patrick

Congratulations and Best of Greatness for your second chapter.

You writing exudes great enegry, enthusiam and motivation.

Reminds of Book -- Good to Great by Jim Collins,

Regards,
Bimal

We are over joyed to have you back and you have been busy!!!! Thats wonderful, isnt life a blast, many more , Jim

Patrick ---Thank you for your thoughtful note! I'm glad someone else is thinking about being GREAT!! Appreciate it and hope you will stop by again.

Bimal --- Good to see you! Been a while! Thanks and I'll have to check out that book. I have heard of it and Jim Collins. Sounds like it is perfect timing for it right now with me

Jim ---Thank you so very much!!! I appreciate your note and I'm glad to be back here!

So, I've decided GREATNESS is exhausting!

But worth it ...

One thing I'm determined not to do is be so overwhelmed by the change that needs to happen within me, that I quit. Walking around the past week has been like an out of body experience (in a strange way) where I know where I need to be, but it can't all happen in 24 hours. So while I am aware of my surroundings and do everything I can with my time to control it to be "GREAT" ---I'm human. Transformation is not an overnight process. But one that takes consistent discipline and action over time to happen.

So I just take a mental note, give myself a break when I know that due to work or family that there are certain areas of extra attention that can't quite happen immediately. But I'm making small strides to make those areas great. And carving out some scheduled time ---time that over a week ago, I would have spent relaxing (say, right after my 3 year-old and 1-year old go to bed)....I've been organizing, planning, making things great. And while it hasn't been fun...the result is less stress later.

For me, my real estate business in the past year has felt like an overwhelming amount of focusing so hard on deals, rehabs, the next deal, that I've ignored some personal taking care of myself, planning meals for family, keeping an organized office for better workflow, keeping a more clean car just for the sake of cleanliness/organized and less scattered workplace leads to a clear, more focused mind. And in the meantime, I've noticed that it just so happens, that the past year has been more of a struggle with business than it ever has been before.

I know the market has changed but I'm determined that in combination with adjusting my strategies, I need to get some "personal greatness" in alignment to also continue to succeed in business. So that's where I'm dedicating some attention.

REAL ESTATE. What is going on right now ----DUPLEX - buy and hold
I'm rehabbing a duplex and in the final week. This has been a great rehab. Took a while to start because it was my first property where after purchase, we had to evict the tenants first (unfortunately, tried to give them ample warning, and cash to leave as they were on a month-to-month lease, but these just weren't people that I would have rented to to begin with).

Going into Week 3 of rehab ---this week, we are finishing paint, resurfacing countertops, tubs, vanity tops, putting in tile this weekend, getting appliances by the end of the next week and finishing touches by Friday.

I have advertised that it is coming soon and have a list of 15 people interested so far. Pictures will be released Monday as well as address, and showings will be set up starting next Friday for rental. I imagine we will have both sides rented by the end of week 4.

Right now we are under budget by $2K after everything so I'm thrilled about this project so far, and after a recent project with a budget issue, it is nice to return to a success!!

This one for me is interesting too because it is the first time, I'm trying some techniques to cut budget, but still deliver quality. I have never resurfaced countertops. I typically put in granite (yes, granite in rentals...appraisals are higher, I can charge top dollar on rent [cashflowing properties after all expenses by $400+], and I only have to show it once or twice and it is rented, and I figure granite will last awhile!) People still think it is crazy, but if I have room in the budget, I will do it. Or I will put in laminate. But to take existing, dated laminate, and resurface it? I've never done it. This will be a first. It is a patented product by a company called Get A Grip (national) and I have a local rep who is doing it. For 2 kitchens in a duplex ---standard size rental kitchen ---he's charging $255 per kitchen. That's it. And it has a textured design finish. We will see how the product holds up, but I've used him for bathtub resurfacing and it's brilliant.

I also typically put in laminate floors instead of carpet ---at least in the main areas. On this one, I didn't have room in the budget to do it. In the future, I still believe in laminate (for rentals, hardwood for flips)...just think it handles traffic over time better. People tend to like it better too and it handles pets better.

I partnered with private money on this one, and we are actually holding it long term together ---I'm the work, he's the money, and we're splitting the cashflow and future profits 50/50. I'm also getting the property management on both sides. I started a prop mgmt company through partnering with a broker, and want to keep the prop mgmt in house, but long term, outsource it to someone else to manage completely (within the umbrella of my company). I had someone handling it for awhile in house, but I had to cut overhead at the beginning of the year, so it's back to me for the moment. It is actually something I enjoy and I believe, a part of my unique ability ---I really love property management and I have amazing tenants, but I know in order to do volume, outsourcing will need to happen and I DO look forward to that ---as long as it stays under my umbrella of business, because I have really studied best practices, and want to continue that overall track record in managing tenants.

NEW BUSINESS ---So this is the first time in a while, I have only had one deal going. I took off a few months to help my Dad in rehabbing his home for sale, and help out my cousin with cancer (she has had surgery to remove all of it and is doing great).

Now I am ready to go!!!!! But I am choosing rather than to be so crazy with lots of deals going, but no time to "BE GREAT" in other areas of my life ----I'm focusing on some of those things and want to get in a disciplined routine of maintenance ---so that I can take on more deals, and not feel like I'm solely focused on real estate, but that I am taking care of myself too!

That having been said, I'm hungry to get more going.

AGENT MEETING--met with my agent and a new team member of his who is handling calls, and going after business (both on and off market). We are starting probate mailers again, bandits, calling eviction landlords, and heavy MLS offering (or as much as we can, it is definitely a bit more limited now as far as the number of properties....but want to go after it!!)

CONVERSION RATE I mainly want to focus on conversion rate because honestly, marketing has never been the issue ----the deal flow has been an issue, and it is the conversion rate that is suffering, so I may get more involved on that end again and start meeting with sellers. I know it is a changing market, and sometimes you just have to get out more offers, but the conversion rate lately is so low ----I just want to see what I can do with it. This will take more time for me to carve out and put in my schedule as I'm not used to handling that end, but I'm tired of losing all the deals...just want to see what is going on here and if we can tweak the approach to close more deals now and follow up to continue to offer and close more deals in the future.

SELF-STORAGE. I'm also interested in commercial self-storage. I'm studying up on it now, but would like my first closing to be by the end of September, so I need to get some mailers going and do my due diligence to make this happen. I would like to blow up in self-storage. After hearing more about it, I just think the cashflow is more serious and is less time-consuming than single family rentals. I am sticking to my goal on this, and pursuing it in my off-time often.

Setting some goals this weekend on how many offers I'll be getting out this week. How many mailers, etc...

It's really good to be back with marketing, offers, etc....again, and I'm pumped to get one or two or three new ones under contract!!!

Cheers!
Louisa

Excited about this week!!! I made my grateful/extrordinary/average and "what I will do this week to overcome average" lists this morning for Week Two.

Something I decided for myself ---that I have to do---is begin going to bed earlier, and begin starting my day at 5:15am.

For my schedule, while I am not a morning person, I need to push the envelope to make the changes I want to happen. Up until now, with kids 3 and 1, I just resigned myself to say "I will get up earlier in the future, but not now, I need this rest for them", not to mention babies getting up in the middle of the night was an issue before, so I knew I would just have to wait to implement this. I do need rest, and I do want to be careful with it, for without proper sleep, I'm miserable and being a great mom to my kids and playing with them, reading to them, having fun with them from the time they up until they leave, and from the time they get home until bedtime is super important to me.

But I decided this change is as much for them as it is for ME! And that if I can get up, workout, pray, meditate on my goals for the day, shower, be ready and organize some things before they even wake up ----that I will have set the day for success for myself, and exude that energy for them!

After last week, due to some choices I have made consistently, I already have a ton more energy and feel better. Now, to layer that with another behavior ----in order to get more done and bring business to the next level, waking early is my next "big change".

Bed at 10pm and waking at 5:15am. I'll do this Tues/Thurs & Fri. And will make it to bed by 10pm on Wed night too....just working into this slowly and if i need a day in the middle to help that sleep cycle a bit, I will. By next week, I'll be on board for this every night and every morning Mon-Fri. This will not be an easy task. So I'm stating it here so I stay accountable to myself.

I'm trying to layer and add on to my "changed behaviors" so that I don't get too overwhelmed. My goal list for these first two weeks have been utilizing small changes for a bigger difference. This one "waking early" behavior will be a "big change", so while I'm continuing the small changes I did last week, I'm not adding on other changes this week because pulling this early morning off will be HUGE for me! (I think my husband will hardly recognize that it is really me as I get out of bed to do stuff so early, but I'm visualizing it so it will happen!!)

WEEKEND ---Commercial Self-Storage---I spent the weekend (well, any off-time that I could during kid naps and nighttime) studying self storage. This was really helpful to me. I'm learning a lot on evaluating commercial deals. Building spreadsheets to do this and understand this. Understanding/evaluating the best market conditions for these deals, doing research in the community of the deals to understand demand, and then putting the pencil to the paper on the numbers, and all the questions that need to be asked to evaluate them. My goal this week is to study 6 cities surrounding my area and find out through research:
1. market demand in each area ---get a per square foot, how much people in that community actually rent space --is it an undersupplied market, oversupplied market or at equilibrium (in order to find out what best areas to focus in on deals)
2. tax appraisals on commercial in those cities ---how often that city updates these, or do they base it off of a sale, etc...so that the taxes after purchase are not a surprise and knowing what number to plug in this part of evaluating a deal
3. connect w/ self-storage brokers ---figure out how and at least connect with one, find a deal, and ask the questions needed to fill in the evaluation sheet on the deal (at least one deal for this week)

My other goals are my regular business ----getting out offers and finishing a rehab:
1. 5 MLS offers this week (starting slow, as I want to dedicate time to self-storage)
2. 50 probate letters out ---begin catching up on my list
3. Calls/Offers out on any of non-MLS property calls from the marketing that have come in (this may only be a few as we're ramping up again)
4. Sending out renewal incentives to 2 rental properties ---finding out if they will be renewing in August, and advertising by Friday, if not.
5. Duplex rehab ---staying on top of the finish out for this week. Getting Craigslist pics up by Tues night and releasing address for drive-by for prospective tenants.
6. Accounting ---reconciling one particular bank account for Jan/Feb that is not aligning in QB----and more importantly, map out a goal plan of when I can outsource this again (not my unique ability!)

Really want to focus on some realistic goals so that they indeed happening. I think more than the above, I wouldn't get very far in self-storage this week, and that is really important to me.

Happy investing to all!!
Louisa

a big goal this week is to get my LLC docs done for the investor I'm partnering with as we transfer half ownership on a deal to myself, and then refinance out (this is the duplex)....starting the refinance by early next week, so getting this LLC knocked out and registered.

Also --asking some tax ramification questions on a partnership LLC vs. regular LLC, and making sure the bank will be kosher with the quitclaim to our LLC etc on a commercial refinance.

Whew! I have a lot in front of me, but it should be a HUGE week of progress!!
Louisa

You always make my head swim! But also light a fire under me.

I am also been studying and getting ready to do some boot camps on Commercial Properties. I will be in Boston in July and August working on that.

I think self storage is a terrific market! Also looking at apartment complexes--big ones.

This will be a great year!

Karen

Louisa you are knocking it out of the park!!!! I knew you would be successful because you had the drive and tireless work ethic to do it. I am very proud of what you have accomplished I see I have a lot of catching up to do lol. Duplex sounds great, maybe we will do a deal together down the road, that would be cool. I have to get this new one done and sold before i can entertain the thought of investing somewhere else but its something to keep in mind. hope all is well and I hope to see you guys soon.maybe the EDGE 2015.
Richie

and so determined to be Amazing!!!
You'll get used to the 5:15am-10:00pm schedule... I do that M-F; it's the only way to be able to do any rei with my job and all
Just remember to keep your life in balance (Financial, Spiritual, Emotional, Social, and Physical) the SMART (Specific, Measurable, Attainable, Realistic, Timely) way

You're definitely inspiring many of us here to keep pushing ourselves beyond our comfort zone! thank you!!!

hugs,
Val

Karen - Thanks for the note! Oh, so glad to hear you are pursuing commercial too!! Commercial bootcamps ----that sounds really fun!!!!! Glad you are doing those!!! CONGRATS! I love continued education!!

Richie -- Thank you! Great to hear from you as always! And you just keep me posted when you are thinking about partnering on a deal in Nashville. Let's do it! Would be fun!!

Valerie --Thank you! I will need help with this early morning hurdle for sure! Glad to know you already do that! Good for you!!! And I love your acronym. Want to put it above my desk! Awesome! Maybe that was from the Edge? Trying to remember if I have heard it before. Great reminder!! Thank you!

Today:
---Off to do a tenant move-out (another moving in w/ no days vacant...I've been giving my tenants a bonus to get someone else in the day they move out). Going well so far!)
---Check on the duplex rehab. Take pics to put on Craigslist
---Have an offer to make on a single family response to our marketing
---5 MLS offers ---making these today for this week ---getting the quick numbers to my agent
---Sending out emails for 2 renewals in Aug
---Self storage ---breaking down my own market
---Writing my commercial VP for bank loans about quitclaiming the duplex into an LLC name (previously owned by private money person, now will be owned by both of us in LLC)
---Operating agreement and Articles of Org ---drafting this for our LLC ---getting the basics in there following the Nolo LLC book
---Writing about my tax question on the partnership LLC

More soon!
Make it a great day!
Louisa

I do really like Dean's focus on wholesaling and liquidity.

More than ever, I believe in this concept and in the importance of liquidity. After having a small portfolio of rental homes but realizing I don't have much liquid, I know that I need to build this $100K liquid.

One reason I am also interested in self-storage and really honing in on the research, finding the deals, etc... is because of this liquidity concept. One super-intriguing thing to me is wholesaling a great self-storage deal to someone for some MAJOR liquid dollars on one deal, two deals, three deals. Worth the extra effort it will take to become knowledgable enough in this field to wholesale a commercial deal....possibly more work on the front end (since I'm starting at zero in self-storage) but I'm looking forward to some great profits on the back end from wholesaling one or two deals, and then keeping some for the long term.

Can't wait to ramp up on the wholesaling side!!!
Louisa

Louisa,

the acronym came from the life coach on IE

hugs,
Val

Valerie ---yes, brought me back to my first life coach session. The acronym...love it!!! I THOUGHT I had heard it before. ))))

You are rocking it. Keep going and keep posting. It is inspirational to see you write these posts on Forum. Thank you.

Be Your very best always-Judy Williamson

What you focus on is where your energy goes-Kristin

With gratitude,
Patrick

Thank you Patrick!!! Appreciate it!!!

Seems like a long time since I have written! Had a lot to juggle this past week, and namely kids by myself every night and through the weekend with husband traveling...have really been working a lot on a personal and professional level with making efforts to make things GREAT, so my absence here has not been without huge strides in attaining my goals!!

One big thing that propels me even more to take things to another level, is my husband has survived yet another downsizing in the company he works for just in the last few days. A company that was once up to over 100 employees and prospering nationally and internationally, is down to less than 10 and he is now one of two people that do what he does, when there used to be 60+ in his role!

It makes me more grateful than ever for my real estate. And while he just landed a good project that should secure his role for a while, it's still a job where doors could shut. And really puts fire under what I'm doing to continue to get better, work smarter, and strategically take things to the next level. DETERMINED!!

On the RE Side:
--I'm on the last 2 days of rehab, and have noticed that I'm carrying "too many buckets" these last 2 days.
--Duplex - I do have one side rented w/ move in this Friday, and believe the other side should rent pretty quickly, so good news!
--Reminded of how I enjoyed outsourcing bookkeeping & outsourcing some $10 an hour types of activities, that I have engaged in too much the past 2 days. AND GETTING THIS BACK! I had to cut back on some overhead, and look forward to having it back! Still really need to make a plan on this.
--Actually, as I'm writing, I'm realizing ---the cashflow from this project as well as the property management fees I'm getting more than pay for hiring a bookkeeper part time to keep books. DONE. Craigslist ad to go out next week!
--Reminded of how if I can't afford $200 on a project for someone else to take on what I have in the past 2 days, then the deal isn't worth it as it prevents me from BIGGER things! (And in this case, I do have the room, and so while I'm kicking myself a little bit ----I'm tweaking things to run them differently next time and want to ALWAYS be thinking WHO can I outsource THIS to!!!!)

So, while I'm still asking myself, am I doing this AVERAGE or GREAT?! ---I am realizing, the next question should ABSOLUTELY be ----is this an activity that I can outsource...or is this something BIGGER that I need to focus on to grow my business, grow my outlook, and GROW my real estate?

This was so drilled into my head last year at the Edge and in training last summer. But it has really come back to me again as I've finished up this particular job. I look at the past few days and realize how few of the "BIGGER" things I've been able to focus on due to little things that could be outsourced.

LESSON LEARNED!! Beating myself up a little because it's taking too long for me to get this. Have to back off though...I know it's a marathon, not a sprint! DO MORE, GO FASTER, is just not leaving my head!

Just read your last posting while there are gurus out there who would give you better suggestions.

But I congratulate you for continuing to move ahead. If you reflect back on what you have achieved you will realize you are forging towards greatness from goodness.

I would like to illustrate a quote from Jim Rohn

Do not wish Things were easier
but wish you were better !!!!

Very profound and motivating, isn't it.

Bimal

Bimal ---Hello and Thank you!! It is profound and motivating! For sure!!! I love quotes/motivation that stems from accountability and the drive to be better. I think that is awesome. Thanks for commenting!! Hope you are well. And appreciate you stopping by my journal! )
Louisa

SOOOOO...my absence here is not me stopping, but me not stopping to breathe and type in this fabulous space. ))

And this will be a quick stop...as I have to run, but I'm very excited.

Last week - good stuff:

--Met up w/ a partner of mine, and a builder contact of his. Had a great lunch meeting and then toured a couple the builder's completed new builds. He has 16 new builds going right now, with most of them going in East Nashville area, one of the hottest markets in the country at the moment. We figured out a partner split and the builder is going to take us on. He will bring a deal, and/or we will bring a deal (I plan to have multiple deals going w/ him), and he will give us his "at cost" build rate, and we split profits. So, we feed him a deal or he gives one to us to finance, and he deals w/ codes, floor plan, does all the rehab work/finish out, and pre-sells all his new construction prior to finish date, and we show up to close. Um, yes please!!

I've done my due diligence on him. We are set. He has 2 deals close to closing (thinking final contract on one of those is today/tomorrow), and we have one negotiating in the works that nicely popped after our builder meeting...

--Offered $150K on a lake house w/ a boat dock (no more dock permits issued so this is very valuable) ---asking is $309K. It is a total tear down/new construction project. PERFECT. We thought they might blow us off with that type of offer. We heard back this morning. They countered at $230k. WOW. $80K off asking in 2 days. I'll take it. Well, kind of....we re-ran numbers to get more hard and specific, and countered back at $200K. We shall see, but this would be a perfect new construction for our builder and he'd be very pleased that it was on the lake!

Still working on lots of stuff w/ new partner LLC, construction relationship (finding out how many my partner and I can do together on the new build end, to where we would cap out), and self-storage studying.

Did I mention my partner, who owns a roofing company in 2 cities in TN....his company has just completed their first self-storage facility...and literally done everything for the build except the metal shell/frame of the building (entire interior from slab to doors, to electrical to EVERYTHING on the inside and the asphalt road leading up to it)? It was for a major, national self-storage company, and they have given him more work because they liked his job so much. This was an awesome discovery for me, and we toured the facility last week.

Now, all we need is perfect land to build in an underserved market in self-storage, and he can build everything for us. I thought I was dreaming as I was walking through! What awesome timing!

On a personal note, the strive for "greatness" has kept me busy w/ baby steps to get there in various areas of my life. I have really changed a ton of my habits over the past four weeks, and I'm slowly watching part of my life transform in a good way. I'm much more conscious of how I leave things, clean things, organize things, and structure my time and my life. It is an ever-evolving cycle that takes continuous discipline, but I'm finding the time I'm putting in, well-worth the results!

AHHHHH!!!! I'm so excited!!! ))))))

I'll report back on the lake house. In the meantime, working on other deals.