Jun
20
Bootstrapping Businesses
Filed Under Business Ideas, Resources, Principles, etc. | Comments Off on Bootstrapping Businesses
In Paul Allen and Rick Farr’s class yesterday, they discussed some of the characteristics and statistics of good businesses for bootstrapping.
- Growing Market (at least 10 percent annually)
- Note: of all businesses, 60 percent survive. In a market that isn’t growing, only 20 percent survive. In a market that is growing, 80 percent survive. It is simply harder to take customers from existing businesses than it is to find new customers.
- High Margins (for Internet and Software companies, a company can’t survive bootstrapping with lower than 60 percent margins).
- Customize your product for a few and charge a ton for it. Retain the rights and then rebrand it and sell it to a larger market.
Jun
20
Great Family Home Evening Resources
Filed Under Home, Family and Church | Comments Off on Great Family Home Evening Resources
Trisha and I have loved these Family Home Evening Activities suggestions published by The Church of Jesus Christ of Latter-Day Saints.
Jun
20
A Place to Put Ideas
Filed Under Ideas and Thoughts | Comments Off on A Place to Put Ideas
So often I have fleeting ideas that come and go and then are gone for good. I foresee this as a place I can record those ideas as I have them. Then I can find them again, wherever I have a connection to the web.
Jun
20
Chris Jones, a friend of my brothers invited us to a presentation in Sandy where we learned about buying versus building. Chris is a Mortgage broker. I found it interesting that he was part of the dotcom craze before the finance business. So was my friend Nathan. All the dotcomers left the Internet and started into real estate? I guess the two industries really balance one another out. When the Internet is roaring, real estate is down and vice versa.
After an overview of the housing marketing and the Interest rates for 10 year bonds, Chris pitched a method for buying a house and beginning with 20-30 percent equity without a down payment! Sounds tooo good to be true. They claim that one can become their own general contracter, consult with B.I.Y.D.S. and five months later have more equity than most folks have after 10years on their 30 year mortgage.
The offer sounds very appealing. Especially after they gave case studies of folks who have done it and then sold their homes for 40-60 k profit. Well, the only catch is that you can’t finalize your long term loan until the house is built. It takes at least 5 months to build the home. Considering I’m quitting my job June 1, my chances for a decent loan will be very slim.
Jun
20
Found a nice place in Provo
Filed Under Utah Real Estate | 2 Comments
Tim Whipple gave us a lead to a nice little home that has the capacity to rent to 4 single students from BYU. It could bring down the mortgage to less than our rent. We’re looking into it. We fear Provo’s rules about renting. Originally, I thought they just wanted Owner occupied homes. I’m coming to believe, from what I hear from others, that they don’t want people renting in the neighborhood at all. I don’t understand their line of thought. If they want clean neighborhoods, owner occupied should be sufficient. These laws seem very restrictive and make it difficult for new home buyers.
Jun
20
Alta Vista Homes
Filed Under Utah Real Estate | Comments Off on Alta Vista Homes
Trisha, Michael and I drove out past Lehi and visited Alta Vista’s model home near the ranches. The homes they build today are so well designed. The corners, floor plans, everything is designed to seem more spacious than it is. It was a beautiful home, but we felt like there are too many people out there for our test. We are country folk. But those new homes are so well designed.
While out there, I met with the developer, Dave, and his partner and told them about Utah Real Estate Help. They were very interested. I came away realizing that Utah contractors and developers have probably over built. They are having to compete in every way they can to win over not enough home buyers to fill the homes. Our website, is a perfect tool to help them and the buyers. I’m glad to be able to learn about this process, help connect buyers to developers, it’s a great opportunity. I think by the time we build this business, I’ll know the market well enough to make a good decision about buying a home.
Jun
20
Great Beginning Website – Utah Real Estate Help
Filed Under Utah Real Estate | Comments Off on Great Beginning Website – Utah Real Estate Help
For information specific to utah and the first time home buyer, look at
http://www.utahrealestatehelp.com
Jun
20
I talked with my brother and he told me how the first time he looked for a home, he signed with a realtor. The realtor became busy and let my brother slide and didn’t serve him very well because my brother was locked into buying from him for at least a year or two. The only way to keep the realtor working for you until the very end is by leaving your options open. Good advice from my brother.
Jun
20
Received Estimates Mortgage Payments for Different Scenarios
Filed Under Utah Real Estate | 1 Comment
Here is the fax that Lance sent me from the American Lending Network:
I asked him to give me different scenarios.
| Loan Type | Down Payment | Monthly Payment | Estimated Tax, Insurance, MI | Total |
|---|---|---|---|---|
| FHA 0% down | $0.00 | $864.44 | $170.28 | $1,034.72 |
| FHA 3% down | $4,500 | $839.97 | $170.28 | $1,010.25 |
| 100% Loan Conventional | $0.00 | $1,020.24 | $107.23 | $1,127.47 |
| Conventional 5% Down | $7,500.00 | $845.59 | $107.23 | $952.82 |
| Alta Loan | $0.00 | $894.44 ($336.05) | $107.23 | $1337.72 |
| Alta Loan 5% Down | $7,500.00 | $792.95 ($154.18) | $107.23 | $1054.36 |
Purchase Price $150,000
Payment amounts are estimates and may vary with % rate, loan amount, and escrow amounts and are subject to loan approval.
Alta loans require two loans and therefore two monthly payments.
These estimates are also based on good/excellent credit rating.
I found an on-line option for getting approval: Mortgage Info Center
Jun
20
American Lending Network and The “Pre-approval”
Filed Under Utah Real Estate | Comments Off on American Lending Network and The “Pre-approval”
Lance Hancock called me from American Lending Network and we talked about financing for a home. Although I thought Thayne had referred him to me about “pre-approval,” before minutes into the conversation he asked for personal informaition like my social security number. “Why do you need my social security number?” I asked.
“You can’t get a credit report and get approved without a social security number,” Lance said.
“I’m in the beginning stages of research, Lance. I thought the purpose of this conversation was pre-approval, not approval. How much does the approval cost?”
“It doesn’t cost you anything. We incur the expense and recover it when you finance through us in the end.”
I immediately thought of the implications and my freedom to choose a different Mortgage company if American Lending Network invests in me. Even if I hadn’t signed anything, I didn’t want to be tied down. My friend, John had worked with American Lending Network and then chosen a different company to buy an investment home and a house for his family.
Lance continued, “I thought you were ready to move. Usually Thayne sends me people who are ready to move on a mortgage.”
“I’d be more comfortable doing research and from that research making decisions about how to proceed. Could you just send me a basic pre-approval and we’ll go from there?”
“Sure,” Lance responded.
I found it a fascinating sales tactic to go right to the final approval and I’m glad I didn’t just dish out my info. I need to learn more about this.
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