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Providing Education, Resources & Networking Since 1978 Kentucky’s premier investment club for landlords, rehabbers and wholesalers Meeting the 4th Thursday of every month (except November & December) KREIA.COM • facebook.com/groups/kreiaky • twitter.com/reiaky

Monthly Newsletter for KREIA Members

Vol 4-22 April 2022 President’s Letter

Main Meeting: Eviction Do’s & Don’ts with real estate attorneys Michelle Rawn & John Benz

Welcome, New Members!

Mike Butler: Why you should never beat up on real estate agents

KREIA Election: 2022 schedule 10 Government Affairs Links

KREIA Photos

L.O.T.S. Recap: Jim Young & 19 Matt Medley force appreciation in the East End National REIA News Briefs

Ian Hooper: Requested donations 28 for the Home of the Innocents John Mays: Scared money don’t 32 make money

Dear KREIA Members and Friends, It’s hard to believe but within a few days of you receiving this newsletter, it will be Opening Night at Churchill Downs. The following week culminates with Louisville’s unique and majestic rite of passage into Spring. As the call to the post trumpets throughout Werby, Thurby, Oaks and Derby it is almost shocking to realize that Erik Hitzelberger the coming of the First Saturday in May also means that 1/3rd of the year is behind us.

As investors (and for that matter, as people) time is our most valuable asset. We can squander and lose money or resources yet make enough to recover all that was lost and more. However, even time well spent can never be regained. When I think of time, I am often reminded of a story that Mike Butler, former KREIA President and author of Landlording on Autopilot, likes to tell. Mike recounts a day he dedicated to getting a house painted. It needed to be done and he had the time and ability to knock it out. Plus, doing so would save him $1,000! Mike completed the task and returned home to a message from a motivated seller. Upon returning the call he discovered she had signed a contract with another investor, and the $1,000 he “saved” by painting the house not only cost him the entire day, but also a $20,000 deal. If I remember properly, Mike hasn’t painted a house since. The economic term for this is Opportunity Cost. Every moment we spend doing one thing is a moment we don’t have to do something else. Therefore, we need to make sure the things we do spend time on are more valuable than those we forgo. This is especially true for newer and/or part-time investors who only have a few hours a week to spend in the real estate arena. Continued on Page 10

Calendar of Events

Copyright MMXXII 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.

Your KREIA Leaders

President Erik Hitzelberger

Vice President Stacey Duvall

Advertise With KREIA

Secretary Jordan Pohn

Treasurer Mike Treasurer-Elect Grinnan CPA Wally Kallbreier

Board of Directors

Put your message in front of the most active rehabbers, landlords and wholesalers in the state! KREIA offers five membership levels for businesses. Go to KREIA.com and join at one of these annual advertising levels to get your ad in every issue of KREIA’s newsletter and be invited to make ad pitches at meetings:

Business Card Membership . . . . . . . . $199 Includes your business-card-sized ad. Admission at monthly meetings is $20. Premium Levels: These four advertising levels include your ½-page ad in each issue.

Rue McFarland

George Foree

Frank Miller

Greg Nalley

Hampton Scurlock

Rob Bergeron

Christopher Jaquith

Alexis Fentress

Ian Hooper

Mary Conrad

John Mays

Karen McKnight

Michelle Rawn Parliamentarian

Chris McCarty Past President

Lauren Willoughby Media Manager

Get involved with KREIA. You can help with the monthly meetings, L.O.T.S. program, this newsletter, Saturday workshops, Government Affairs roundups, marketing, the KREIA website & more. Work alongside active investors! Ask for someone to direct you at the checkin desk at the main meetings.

KREIA's newsletter is published monthly and serves to educate you and to remind you of upcoming monthly meetings. About KREIA: The Kentuckiana Real Estate Investors Association is a nonprofit organization focused on education, networking and resources for today’s investor. 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. Group discounts are available. Contact us at support@KREIA.com if you: Want to advertise on KREIA.com • Need help • Have a question

Bronze Membership . . . . . . . . . . . . . $499 Includes free admission to monthly meetings for one person. Silver Membership . . . . . . . . . . . . . . $699 Includes free admission to monthly meetings for two people. Gold Membership . . . . . . . . . . . . . . . $999 Includes free admission to monthly meetings for two people and gives you a skirted table in the vendors area. Platinum Membership . . . . . . . . Reserved Includes extra promotion. There can be only one advertiser at this level. Our current Platinum Sponsor, MM Lending, holds exclusive renewal rights until 2021. Questions? Catch up with KREIA Sponsor/ Advertiser Chair Dennis Erhard at the meetings. Or email support@KREIA.com.

Join KREIA Joining KREIA is easy: Go to KREIA.com and click the "JOIN" option on the menu. Tell all your investing friends. The cost to join as an individual member is $125 per year, with a door fee of $20 at our monthly meetings (which covers the buffet meal and rent on the hall). Click JOIN at KREIA.com to find out about all the benefits of membership for both individuals and businesses. Too many to list here!

Straight From the Source: News From Eviction Court Real estate attorneys explain evictions, post-Moratorium, at April 28th main meeting Now that the Eviction Moratorium that held sway during COVID-19 is over, we’re in our “new normal.” But what exactly does that look like for Kentuckiana landlords? At this month’s KREIA main meeting, attorneys Michelle Rawn and John Benz are going to talk about what’s new, what’s changed and what’s the same in the eviction courtroom, describe evictions from their day-to-day experiences – and answer your questions. We asked Michelle for a bullet-point list of what she and John will be discussing. So, if you join us on April 28th at Woodhaven Country Club, you’ll hear about… • Notice letters – Valid service and an explanation of the different types: 7-, 14- or 30-day notice in Kentucky; 10-, 14- or 30-day notice in Indiana • What documentation is required for eviction filings? • What happens if you accept payment after sending notice or filing the eviction? • How to evict deceased tenants? • How to evict squatters? • How to evict tenants who have been arrested? • How to evict Fido and other furry friends? • Can you turn the utilities off or disconnect essential services? What if the tenant transfers them back to the landlord/property manager’s name? • Does the CARES act still apply? • What to expect at eviction court… in Jefferson County, Ky.; outside of Jefferson County; and in Floyd and Clark Counties in Indiana • What happens after you have your eviction/forcible detainer judgment? How should the warrant for possession (sheriff set-out) go? Be sure to be through the buffet line and in your seat by 7 p.m., because you won’t want to miss a minute of this presentation!

Meet Michelle & John Michelle Rawn and John Benz focus on being a one-stop shop to help real estate investors and property managers at the Rawn Law Firm, PLLC (rawnlawfirm.com). About Michelle R. Rawn Michelle was born in Wooster, Ohio, and relocated with her family to the Kentuckiana area in 1984. Michelle

Illustration by Nina Musgrave

obtained a Bachelor of Arts from Purdue University and her Juris Doctorate from the Louis D. Brandeis School of Law at the University of Louisville. Even before graduating from law school, Michelle knew that she wanted to focus on real estate law and to work with homeowners and investors. Michelle has more than 20 years’ Continued on Page 4

April 28th Meeting Agenda 5 p.m. - Doors open at Woodhaven 5:30 p.m. - Early Meeting begins in the conference room 6:15 p.m. - The buffet line opens! Also, at the microphone, there will be announcements, property pitches and sponsor pitches 7 p.m. – Michelle and John take the floor for our feature presentation

Remember Your Lanyard! If you’ve been to an “in-person” KREIA main meeting lately, you’ve probably picked up one or more color-coded lanyards that identify what kind of investor you are. Please remember to bring your lanyards with you to our main meetings!

Color Key: Blue = Buy-and-Hold Investor; Orange = Flipper; Yellow = Real Estate Agent; Red = Wholesaler; Green = New Member; Purple = KREIA Sponsor; Black = Board Member.

5:30 p.m. Early Meeting: Rental Insurance We’re going to have a special 1-hour presentation with Paul Kaliades from Renters Legal Liability, LLC. Want to know about policies that protect you, the landlord, against tenant-caused damage?

Welcome, New KREIA Members! Fred Brockman Christopher Carter Maurice Chatman Shane Cravens Marilyn Freedman Blake Gordon Anna Haburay Detrick Houseal Jay Koestel Pamela Linville Jerry Mayes Keera McMillian Patrick Mendel

Philip Millay Ben Newby Yecheskel Nissenbaum Kay Ohta Angela Payne Maria Porter Andrew Sloan Todd Sprouse Patricia Temprano Kristy Thompson Anthony Trogner Zac Winiger

KREIA’s New Member Orientation Usually Jordan Pohn gives a short presentation of the benefits of joining KREIA at every regular monthly main meeting. This month, however, Jordan is giving up his halfhour slot to allow the Early Meeting to go a full hour. Online Presentation: You can view a recent session with Jordan and Stacey Duvall by visiting the Intro to KREIA page at kreia.com (About/Intro to KREIA on the menu). On the Member Benefits page (Join/Member Benefits), you’ll learn how to secure your discounts and bonuses.

Eviction Do’s & Don’t Continued from Page 3 experience in the real estate industry as an attorney and more recently as an investor herself. Michelle started the Rawn Law Firm, PLLC, on April 1, 2011, and has never looked back. Her firm handles evictions, collections and closings for real estate investors and property managers in Kentucky, and evictions and collections for landlords and property managers in Floyd and Clark counties in Indiana. Michelle is a member of the Kentucky and Indiana bar associations. She is licensed to practice law in Kentucky, Indiana and Ohio. She sits on the board of several local real estate groups: the Kentuckiana Real Estate Investors Association 2021 photo of Michelle Rawn (she is our Parliamentarian), the by Bruce W. Hinson Kentucky Real Estate Exchangors, and the Louisville Apartment Association. About John R. Benz John is a native of Louisville, Kentucky, and has resided here his entire life. John received his Bachelor and Master of Arts degrees from the University of Louisville and his Juris Doctorate from Chase College of Law at Northern Kentucky University. John is a member of the American, Kentucky and Louisville bar associations. He is admitted to practice in all courts of the Commonwealth of Kentucky, the United States District Court for the Western District of Kentucky, the United States Court of Appeals for the Sixth Circuit and the Supreme Court of the United States. John is an active member of the Boy Scouts of America, where he earned the rank of Eagle Scout and has received the Silver Beaver Award, among other honors.

NEVER Beat Up on Real Estate Agents By Mike Butler Every profession or occupation has a few bad apples; however, the very few bad apples should not taint all of the excellent, great, and good folks who do a great job every day. This article may help open your eyes on how you should treat real estate agents as you continue to grow your real estate business. If you’re in the early stages of investing and you take a look at your settlement or closing statement when buying, you might cringe to see how much agents are paid in commissions. Don’t worry, I did the same thing too. This is part of your education growing up as an investor. “Common Sense” plays a big part in building your relationships in your business. Here’s one of my experiences. It was Thanksgiving and my family had gathered at my Mom & Dad’s home. An agent who regularly brought me great deals calls me on my cell phone telling me about a listing he got just a few minutes ago. The house was on Lehigh off Taylor Blvd. In fact, he called me from his car as he was leaving the seller’s home. Talk about fresh and hot! Owner died, house vacant, and it had never been a rental. 3 bedrooms, 2 baths, 2 kitchens, finished basement with a garage. This agent told me on the phone I could have it for $56,000. The ARV (after repaired value) was approximately $100,000. Now keep in mind, this listing has not been entered into the MLS (Multiple Listing Service). I knew the neighborhood like the back of my hand. This house was about 10 minutes from my Mom & Dad’s home. I told this agent I’m on my way to look at this house, and he agreed to meet me there. Repairs needed: replacing the countertop in the basement kitchen, repainting the interior, and cleaning up the lawn. Now remember, this agent told me they would take $56k. In this situation, his price was a great deal. “Pigs get fat and hogs get slaughtered.” Don’t kick a gift horse in the mouth. I chose not to dicker back and forth on a purchase price. This was a great price, and I wanted to keep this agent happy so he would keep me at the top of his list of cash buyers. Just imagine if I had tried to offer less. Then this would not be an easy, slam dunk of a sale for this agent, and I might not be at the top of his list of cash buyers. I made a cash offer to close within 7 days at Borders & Borders. After running my numbers and reviewing tax concerns, I decided to retail this house for $99,500. It could’ve been listed for more, but I wanted to have a quick closing to get a big chunk of cash. My “all in” investment was approximately $60,000. With a sale price of $99,500, subtracting 6%

commissions for the agents involved, my net profit was $33,000. All repairs were completed within one week and it was listed. The buyer took about 30 days to close – I owned it less than 2 months. Back to the NEVER Beat Up on Agents lesson. At this time in my investing career, I had met a great broker/agent when I purchased one of his listings. Together, we crafted a great relationship beginning with HUD-owned properties. Rick Nix with Realty Plus was an expert on the HUD property process and still is today. Rick became my HUD House Bird Dog. He monitored the HUD program and notified me ASAP when a house in my target areas hit the market. Rick was paid a $1,000 flat fee for every HUD home I purchased, regardless of purchase price. This was awesome, and I bought a good number of HUD homes with Rick. Question for the Lehigh Deal: Do I give this listing to Rick Nix or to the agent who brought me this listing before he entered it into the MLS? Believe it or not, I actually struggled a little bit on this one, but fortunately common sense prevailed. The agent who brought me this deal is the reason I was able to make a quick $33,000 cash profit. If this agent did not get this listing when I was ready to sell it, not only would he have gotten his feelings hurt, but he would probably never bring me another deal ever again. I wanted this agent to continue bringing me great deals. In trying not to quagmire my relationship with Rick Nix, I explained my pickle to him. Rick told me I would be making a huge mistake if I did not let this agent have this listing. Lesson learned. This same mindset applies to all deals involving agents. Step into the agent’s shoes for a moment. Imagine sitting at the closing table, or the day before, and the buyer threatens or challenges you to discount your commission. Guess what this agent will think of you? Plus, when they hear your name again, what might they say about your way of buying real estate? You want ALL real estate agents to be your bird dogs, even before you get your license. PART 2. After my first two years investing in real estate, it was plain for me to see that of the superstar investors and mentors I admired, all had this one item in common: They all had their broker’s license. You might think they got their broker’s license so they could make commissions representing buyers and sellers. FALSE! Not True. All of these investors never pursued getting listings or representing buyers. They all told me they were their own best customer as a buyer or seller. Representing Continued on Page 28

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2022 KREIA Election

Erik Hitzelberger: President’s Letter Continued from Page 1

By Michelle R. Rawn It’s that time of year again – KREIA elections. The Election Committee would like to inform you of the election procedure. KREIA is run by a board of directors consisting of five officers (President, Vice President, Secretary, Treasurer and Treasurer Elect), 12 atlarge board members, the immediate Past President and the Parliamentarian. The officers serve for a one-year term, while the at-large board members serve for a two-year term, with six new members being elected each year. The only exceptions are when an at-large board member chooses to run for an officer position before his/her two-year term has expired or has to resign prior to the end of his/her two-year term. There are no term limits, and all incumbents may run for re-election if he/she Stock photo / 123rf.com so desires. This year you will be able to choose to vote in person at the June 23rd meeting, online at the KREIA website, or by requesting a ballot prior to June 21st by emailing Michelle R. Rawn at Michelle@rawnlawfirm.com. In-person and online voting will end promptly at 7 p.m. (EST) on June 23rd. Absentee voting ends at 11:59 p.m. (EST) on June 21st. Those elected at the June meeting are strongly recommended to attend the July board meeting and will be sworn in take office at the July regular meeting. All board members are required to actively participate in at least one committee. Several members are actively involved with more than one committee and several are a committee chair. In order for KREIA to be successful, all board members are required to be an active member helping at all KREIA events. If you are interested in running for the KREIA Board, please email Michelle at Michelle@rawnlawfirm.com. If you have any questions about the election or governing process of KREIA, please feel free to contact me.

As you turn the page on the calendar, I encourage you to think about your relationship with time. The first step is always to understand the baseline.

Michelle R. Rawn Chairman of the Election Committee Tel: (502) 639-9396 Fax: (502) 276-0607 Email: Michelle@rawnlawfirm.com

1) Do you guard your time zealously or do you allow others to steal it from you? (Hint... Do people call you on their schedule or set up meetings without your permission?) 2) Do you plan and time-block your days or go through the motions? 3) Do you think about who you can impact each day? 4) Do you achieve 3 things each day that move the needle toward success? We are entering the backstretch and still have a lot of ground to cover before the end of the year. That being said, if you don’t make the right adjustments now, you won’t be in position to finish strong. If you answered “No” to any of the above questions, change is needed. As always, KREIA is here to support you. We remain committed to providing you with education and tools you can use to build financial freedom. To that end, Michelle Rawn will be covering the Do’s and Don’ts of Evictions at this month’s main meeting. My only contribution is this… DO what she tells you and DO hire an attorney to handle the legal portion. In 16 years, I have never stepped into an eviction court room. I don’t have the time for it and neither do you. We will continue to meet both in-person and via Zoom this month. Please join us whichever way you feel most comfortable by pre-registering at KREIA.com. To your investing success! Erik Hitzelberger KREIA President P.S. Anyone else like the 4-Horse?

GOVERNMENT AFFAIRS LINKS State Government Roundup Kentucky Realtors Legislative Updates. Read weekly updates on bills in play in Frankfort at the Kentucky Realtors’ site: bit.ly/KYR_LEGU

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Local Government Roundup Louisville Metro Government: Get a summary of local affairs (and state) by the Greater Louisville Association of Realtors (GLAR): bit.ly/LRGAU KREIA’s Government Affairs Board Chair: Rue McFarland

5236 Dixie Hwy Copyright MMXXII 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.

SomeMMXXII of KREIA’s national sponsors via National REIA.•For list,•and info on visit nationalreia.org/benefits Copyright Kentuckiana Real Estate Investors Association P.O.the Boxfull 91225 Louisville, KY•discounts, 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.

photo by bruce w. hinson www.obedientcamera.com

Above: If you’re looking to learn about foreclosures, short sales and auctions in the Kentuckiana area, you can’t do better than to listen to this group of folks, who headlined our March main meeting. Left to right on the panel: Eli Williams, Julie Bex, Debbie Richardson and Frank Miller. KREIA Vice President Stacey Duvall moderated.

KREIA

Photos

Visit KREIA’s Private Facebook Group to see more of Bruce Hinson’s photos – in color!

photo by bruce w. hinson www.obedientcamera.com Above: Julia King, from King Financial Repair, led the early meeting with a crash course on credit. Need help qualifying for the loans you need? Talk to Julia! At Right: The Lanyard Crew sits in wait at Woodhaven’s entry area. Wear a lanyard to show other investors what you do! (And remember to bring your lanyards back with you to all our main meetings.) Below: We had a packed house for March’s main meeting!

photo by bruce w. hinson www.obedientcamera.com

Jeffersontown Rehab House: A Closer Look Jim Young and Matt Medley team up for an East End flip By Lauren Willoughby What do you do when a quick run of the numbers on a potential flip house shows that breaking even is the likely scenario? For investors Jim Young and Matt Medley, who joined forces to tackle this East End flip, you get creative and force appreciation. In their case, they decided to turn basement space into living space. Upping the bedroom count in this Jeffersontown neighborhood turned this project “from a no to a go,” Jim said. “A KREIA member picked this up at auction, because he was The house at 7604 Charron Road, in 40220, was about a month shy of completion at the time of diligent. I missed that auction, so our March 29th L.O.T.S. event. (Photos: Lauren Willoughby) I paid him $20,000 or more to Jim used charts to break down the rehab numbers during get up in the morning and get that done,” Jim said of the wholesaler who brought them the deal. “Good on him. And I his presentation. “The $55,000 for the first floor up are break-even numbers. So, the $40,000 we put into the baseapparently ended up competing with a hedge fund. I don’t ment brought the value up about $76,000, turning this into a know how they were going to make money.” The numbers gross profit of around $41,000 after expenses,” Jim said. were just not working to make this house a rental. “To be honest with you, we took some risk that housing “Matt had made a casual comment about finishing the basement, and I had rejected it, because finished basements prices wouldn’t crater. They didn’t, so I think these numbers generally don’t get you your money back,” Jim said. “This was might be a little low.” When it was Matt’s turn to present, he talked about the an exception.” Matt showed how they could turn the basement from a 2- floor plan changes. On the first floor, he removed pocket doors on the right, which opened up the living area in that car garage with unfinished space to a 1-car garage with finished space consisting of a den, kitchenette, laundry area part of the house from front to back. Matt did the same for the kitchen/dining area at the left, (moved from the first floor) – and a fourth bedroom. removing more pocket doors. “We put a header in and knocked a wall out…. It made it feel a lot more modern.” Upstairs, Matt said they added a walk-in closet to the master bedroom and a stand-up shower to the master bath. But downstairs is where things really get interesting. Be sure to watch the video to find out all they did in the basement. Great job, guys! Thanks for hosting us. THE NUMBERS Purchase: $220,000 Rehab Cost: $96,800 ARV/Est. Sales Price: $382,260 Realtor/Misc. Costs: $23,819 Estimated Gross Profit: $41,641 Jim Young, left, brought his IRA funds to the deal and Matt Medley, right, was the Project Manager. (And Matt brought money too.)

Find the video from this L.O.T.S. event to be available soon on our Videos page.

Why do we call it “L.O.T.S.”? Because we Learn On The Site!

Copyright MMXX 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.

Do You Want Your Business Card to Appear Here? Join KREIA as a Business Card Advertiser for only $199/year and see your ad in a year's worth of KREIA newsletter issues! Copyright MMXXII 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.

National REIA News Roundup National REIA, of which KREIA is a chapter, reports on issues affecting real estate investors and also links to stories of interest from other organizations. Here is a sampling of recent news and resources that Brad Beckett, NREIA’s Director of Education & Outreach, has compiled. For more news, visit RealEstateInvestingToday.com

Black Knight Says Annual Home Price Growth Hits All-Time High in Feb. Black Knight’s Mortgage Monitor Report for February, 2022, says home prices increased 1.84% in that month – which is nearly four times the 25-year average for the month – and the 14th month of the pandemic to see greater than 1% monthly growth. In addition, the average home has now increased in value by more than 34% since February 2020. Read the report: bit.ly/k2204prices

Mortgage Rates See Largest 3-Month Increase Since 1987 Affirmative Defense has Morphed In late March, 30-year mortgage rates experienced their into Pay to Stay largest 3-month increase since May 1987 – up 1.56 percentage points since the end of 2021. A recent chart shared on twitter by Len Kiefer, Deputy Chief Economist at Freddie Mac, who helps “people understand the economy, housing, and mortgage markets,” illustrates these increases going back to 1987. Read more: bit.ly/k2204rates

National REIA’s Charles Tassell said on a recent radio show: “Low-income housing advocates, always pushing to limit housing providers’ rights, sought to establish a very limited form of affirmative defense. The idea being that, if a renter was behind due to Covid, and their money was in process, the voucher and payment should be honored by the housing provider. The goal was to reduce the prophesied tsunami of evictions.” Hear the full interview: ihr.fm/3v46mUK

What First-Time Buyers Want

Convert Empty Office Buildings Into Transitional Housing? That’s what Omaha-based investor Ryan Basye is doing. Hear him talk about why in Omaha REIA’s “REIA Radio” podcast. Listen to the podcast: spoti.fi/3k3QThi

The Most Affordable Towns Where You Can Buy a Vacation Home In the market for a vacation home or looking for a shortterm rental or two for your portfolio? The folks over at Realtor.com put together a list of the top 10 places where folks can find the most affordable vacation home right now. They say some urbanites are even buying a second home before securing a primary residence. (Kentucky locations didn’t crack the Top 10, the closest to us being Sevierville, Tennessee.) Read the full story: bit.ly/k2204vacation

The NAHB’s Eye on Housing says first-time home buyers want double sinks and pantries in the kitchen as the most popular of 30 kitchen features listed in the recent “What Home Buyers Really Want” study. Topping the chart, 80% of first-time buyers rated a double sink and a walk-in pantry essential or desirable, closely followed by drinking water filtration and table space for eating. Read the full report: https://bit.ly/k2204want

Businesses are Relocating South We have seen the posts about Americans moving at a rapid pace to areas in the South & West that have better allaround climates. A new report from FOX Business says the “Sun Belt” is becoming a hot spot for business relocation. Companies all across the fruited plain are cutting costs by moving south. They point out how this race towards the South is actually fueling a housing boom in Texas. Read the report: fxn.ws/3EAzZ3c

Housing Starts Up 22.3% The U.S. government is reporting that privately‐owned housing starts in February were at a seasonally adjusted annual rate of 1,769,000, which is 6.8% higher than January’s revised number and 22.3% higher than one year ago. Read the U.S. Census report: bit.ly/k2204starts

Copyright MMXXI 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.

Mike Butler: NEVER Beat Up on Agents Continued from Page 6 buyers and sellers was NOT the best use of their precious and valuable time. There are several reasons why they got their broker’s license. 1. Resources: access to the MLS and other services 2. Education: the required continuing education kept them current and up to date with new laws, rules, and regulations involving the real estate industry. 3. Trump Card: as a broker or agent representing myself as the buyer, I could choose to allow the listing agent to keep all the commission – but only if they brought the deal to me. Enrolling in real estate agent school was an eye-opening experience for me. At first, my reason was to obtain my Trump Card to have more negotiating power. Boy, was I wrong! After traveling all across America, burning up my vacation time from my job, time away from family, airfare, hotel expenses, food, tuition and more, I – along with fellow investor Jay Long – attended almost every boot camp and seminar we could find. Some were great and some were not so great. Both of us believed we crammed over 30 years of experience and strategies into our brain in about 18 months or so. And our results were outstanding as we averaged buying almost 2 rentals every week! To make a long story short, real estate agent school was perhaps the best ever real estate training. This school taught me so many things the gurus never mentioned: Fair Housing, title insurance, all the different ways to take title, and so much more. I felt very lucky because, prior to this training, I had never purchased owner’s title insurance. The next deal, I purchased it, and the heirs of the estate sued me and their oldest sister, who was in charge of the estate. My owner’s title insurance policy took charge and handled 100% of all of the legal fees and charges. I was left alone with no worries. Back to NEVER Beat Up on Agents: After passing the state exam to get my “Sales Associate License,” I had received my new Trump Card in doing deals. From that day forward, at every closing on a deal I found on the MLS, I had a conversation with the listing agent to learn more about them. AND they were told that had they brought this deal to me without me finding it on the MLS, I would’ve let them keep BOTH sides of the commission. In those days, it was common for the listing and selling agents to each get half. I let the listing agent know I would give my half to them had they brought this deal to me. It worked.

Donate ‘Most Needed Items’ to the Home of the Innocents By Ian Hooper In addition to KREIA’s raffles and cash donations to the Home of the Innocents, let’s donate in other ways – by helping them source their “Most Needed Items.” You can find an updated list of the Home of the Innocents’ requests by following this menu path at their website – Help the Home / Donate / Wish List. Or you can go there directly using this URL: https://www.homeoftheinnocents.org/help-thehome/donate/wish-list/ Here’s the current list of most-needed items 1. Hairbrushes 2. Women’s electric razor 3. Facial tissue 4. Pillows and pillowcases If you bring any of these items to KREIA’s April 28th main meeting, I will deliver them to the Home of the Innocents. Look for a box on your way in at Woodhaven. Another way to help is to buy requested items through HOI’s Amazon Wishlists at the same website link above.

The other big Trump Card involved marketing to resultsdriven agents who listed homes in the neighborhoods where I wanted to buy rentals and basically repeating the same thing. The Bottom Line is to NEVER Beat Up on Agents because they are Bird Dogs for your business. To your continued $uccess,

P.S. Sign Up for Your FREE Investor Training Every Tuesday at 12 noon: MikeButler.com/PowerLunch Also, catch Mike’s real estate investing podcast: www.5hrRealEstateWeek.com Mike Butler is a KREIA Past President, a recipient of the Ed Melton Award, a property manager, a high-volume landlord, a principal in Tenant Finder Service, a retired Louisville undercover police detective, and the author of the bestselling real estate book “Landlording on Autopilot,” now available in its 2nd edition.

Scared Money Don’t Make Money By John Mays Fear - an unpleasant emotion caused by the belief that someone or something is dangerous, likely to cause pain, or bring about another undesirable outcome. Fear is unequivocally the Number 1 reason most people will never move past the harmony of average and into an abundant and prosperous life. Fear shackles our goals and extinguishes our dreams. Fear to buy, fear of losing money, fear of not making enough money, fear of future value, fear to sell, fear to refinance, fear of inflation, fear of failure, fear of success. Fear hits us at every phase of our real estate investing journey and can stagnate or even destroy us from the inside out. If you have been tripped up with fear in your journey, remember to take a moment this month and re-assess your “why.” Take a moment to remember the reason you are investing your time and money in the first place, remember the positive outcomes that will come in the future, remember the endless possibilities you dreamed of years ago, remember the hope for a brighter future, remember the joy that will come to so many people through the seeds you plant today. I encourage all of you today to put faith over fear and give permission for joy and prosperity to be abundant in your life. This is your year!! Let’s get it! John Mays is an investor and current KREIA board member. John and his wife, Joy, are passionately in love with each other and unapologetically obsessed with real estate investing. They enjoy supporting and coaching other couples on their journeys to build generational wealth while putting love and family first.

Quoteable Quote “Inaction breeds doubt and fear. Action breeds confidence and courage. If you want to conquer fear, do not sit home and think about it. Go out and get busy.” – Dale Carnegie

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THE Local Resource for Landlords, Rehabbers & Wholesalers Meeting the 4th Thursday of every month (except November & December) at Woodhaven Country Club, 7200 Woodhaven Road, Louisville, KY 40291 KREIA.COM • twitter.com/reiaky • instagram.com/reiaky • youtube.com/reiaky facebook.com/reiaky (public) • facebook.com/groups/kreiaky (private)

UPCOMING EVENTS

News From Eviction Court Now that the Eviction Moratorium that held sway during COVID-19 is over, we’re in our “new normal.” But what exactly does that look like for Kentuckiana landlords? Real estate attorneys Michelle Rawn and John Benz are here to explain and provide answers to your questions. Join us for our April main meeting. April 28th, 5:30 p.m. - 9 p.m. ► 5:30 p.m. Early Meeting: In this special 1-hour presentation, Paul Kaliades, from Renters Legal Liability, LLC, discusses insurance policies that protect you, the landlord, against tenantcaused damage. ❖ May 7th – 9 a.m. – 3 p.m. Workshop: How to Pump Up Your Retirement Account with (Creative) Real Estate Investments. Equity Trust’s John Bowens headlines this Zoom-based seminar.

❖ May 3rd – Noon – 1 p.m. L.O.T.S. event. We visit Josh Hardy’s latest rehab project near Barbourmeade. Platinum Sponsor Flippin Loan provides a free lunch to members! ❖ May 11th – Noon – 1:30 p.m. Lunch & Learn. Duna Bolotte hosts KREIA Past President Chris McCarty at this educational event. Members only. ❖ May 12th – 5 p.m. – 7 p.m. KREIA Happy Hour. Networking at Woodhaven. Everyone is invited. Bring a friend! ❖ May 17th – Noon – 1 p.m. Tool Tip Tuesday With Tamara West. Investor/broker demonstrates investor resources. ❖ May 19th – KREIA Game Night. Join us at Martin’s Bar-BQue for a competitive, educational game of CASHFLOW. ❖ May 21st Workshop: Wholesaler Quick-Start Day with Vena Jones-Cox – 9 a.m. – 3 p.m. on Zoom. “Here’s the stepby-step, no-BS guide to exactly what you need to know about, and the work that goes into, a wholesale deal.”

We’re Back at Woodhaven, Baby! PRE-Register Now at KREIA.com