Monthly Archives: October 2007

October 23, 2007 · 11:28 am

As California Burns…

Remember the people in southern California today in your prayers. I can imagine replacing my house. But replacing the memories, the photos, the keepsakes…those things you can’t replace.

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If you have your money in 401Ks and IRAs you are going to want to read this from last week. It’s worth your time. Sound financial planning takes more than one vehicle. So go read Jeff Brown’s Trojan Horse.

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As I understand it the workshop I’m doing at UMKC regarding real estate investing already has more students registered than I usually speak with at one time. I’ve liked the smaller groups in the past because of the active participation. It will be interesting to see how this goes. You can register for this class by calling 816. 235.1448.

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I was speaking to a would be real estate investor on the phone today and she said she went to a 3 hour course on REI and the only answers she got was to buy the books and tapes they had to sell. Gee, that sounds familiar.

You DO NOT have to spend thousands on books and tapes to be a good real estate investor. Work with someone that has a vested interest in your success. You could be reading one, right now.

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Filed under Worth Reading

October 22, 2007 · 11:59 am

A Real Estate Joke: Rated PG-13

A businessman met a beautiful girl and agreed to spend the night with her for $500. They did their thing, and, before he left, told her that he did not have any cash with him, but he would have his secretary write a cheque and mail it to her, calling the payment “RENT FOR APARTMENT.”

On the way to the office, he regretted what he had done, realizing that the whole event had not been worth the price. So he had his secretary send a cheque for $250 and enclose the following typed note:

Dear Madam,

Enclosed find a cheque for $250 for rent of your apartment. I am not sending the amount agreed upon, because when I rented the place, I was under the impression that:

#1 – It had never been occupied;
#2 – There was plenty of heat; and
#3 – It was small enough to make me feel cosy and at home.

However, I found out that:

#1 – It had been previously occupied,
#2 – There wasn’t any heat, and
#3 – It was entirely too large.

Upon receipt of the note, the girl immediately returned the cheque for $250 with the following note:

Dear Sir,

#1 – I cannot understand how you could expect a beautiful apartment to remain unoccupied indefinitely.
#2 – As for the heat, there is plenty of it, if you know how to turn it on.
#3 – Regarding the space, the apartment is indeed of regular size, but if you don’t have enough furniture to fill it, please do not blame the management.

Please send the rent in full or we will be forced to contact your present landlady.

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Thanks you to Al S. for sending this way.

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October 20, 2007 · 7:59 am

Kansas City Royals Have New Manager

The Kansas City Royals have hired a new manager by the name of Trey Hillman. He’s the guy pictured below celebrating a Japan Series win with the Hokkaido Nippon Ham Fighters. (Try saying that three times quickly with a straight face.)

As stated here before my first choice would have been for Frank White. Having said that, I don’t think you want me running a baseball team with my vast knowledge of college basketball.

To date most of Dayton Moore’s decisions have been spot on as to changing the talent make-up and losing culture of the Royals. We had very modest improvement this year with a manager that came in with a lousy record. So in walks this guy who knows how to win. He knows how to adapt. He wasn’t a golden boy. He was the kid you wanted to cut but couldn’t. At least that’s what I get when I read between the lines. See Joe Posnanski’s article in today’s Kansas City Star.

Also, doesn’t this all make you wonder about Buddy Bell’s “retirement?” He retired to spend more time with family and work in the Royals’ front office. Then, an hour and a half later, he takes a scouting job with the Chicago White Sox. Does that sound like he retired? Sounds like Dayton Moore allowed him to leave with dignity so that he could make a hire of a younger manager more in tune with all the young talent the Royals have both here in Kansas City and Wichita.

In a closing thought this can only help real estate investing, right? As the Royals begin a ten year tear winning 3 World Series titles the value of the team and the city will rise exponentially. It’s perfect! 🙂

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Filed under Kansas City Sports

October 19, 2007 · 8:48 am

UMKC Communiversity Class On Real Estate Investing

On November 10th, 2007 I have been asked to teach a class on practical real estate investing here at the University of Missouri-Kansas City’s Communiversity. Communiversity is an adult outreach service of UMKC.

Of course I have agreed to do so because it is in everyone’s best interest that as many people know about and understand real estate investing as possible. I didn’t say everyone needed to be a real estate investor, though that wouldn’t be a bad idea. But if people understand the basic dynamics of income property and real estate investing then maybe they won’t fall victim to the get-rich-quick gurus out there.

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October 18, 2007 · 11:14 am

Boston Legal To Take On Foreclosure Mess

I was speaking to a client today and the subject of his work on Boston Legal came up. I asked him when Alan Shore and Denny Crane were going to take on the whole real estate foreclosure mess that has been taking place.

There was a pause, and then he said “soon.” Seems Alan Shore is working up one of his passionate closings to expel the evils of banks, mortgage brokers and quite possibly real estate agents.

One of the reasons I like Boston Legal is because it takes on relevant current events. The show’s format and characters allow several points of view to come forward before the inevitable closing filled with emotion, un-arguable logic and conviction.

Since real estate, real estate investing and the current condition of the market are of great importance to me I cannot wait to see how Hollywood interprets this current condition we find ourselves in.

As noted, here in Kansas City, Tulsa, Dallas and other cities the market really isn’t that bad when compared to California, Arizona and Florida. I can’t wait to see what their view cooks up. And I’ll probably be siding with Denny Crane. 🙂

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Filed under Personal Real Estate Opinions

October 17, 2007 · 12:05 pm

College Basketball Experience: A Hall Of Fame For College Basketball

The College Basketball Experience updated 7.23.2008. See below.

Frequent readers of this blog know my passion and love for the game of college basketball and my beloved Kansas Jayhawks. Today is a special day in Kansas City and around the country for those that love the game of college basketball. The College Basketball Experience opened today. It’s adjacent to the new Sprint Center and it’s fantastic.

There is no way I’m going to do the place justice with one blog post. Let me just say that if you live in and around Kansas City you need to check this place out. Tickets are just $10.00 for adults and you will get your money’s worth even if you are just a casual fan.

Upstairs I got to:

Shoot baskets against a clock.
Take free throws staring into the Illinois student section.
Listen to the crowd groan when I missed a last second three for the win.

I passed on the dunking areas. Unless I can do it on the 10′ rim I don’t see the point. And that wasn’t going to happen. My heart raced, my breathing grew heavy and I worked up a sweat pretending I had any talent what-so-ever. After evaluating my performance, it’s no wonder Larry Brown didn’t spend any time recruiting me.

There are photos of everybody and anybody who has left their mark on college basketball. There are computer screens everywhere to hear from your favorite coaches. There are areas for the little ones to get into the game, too.

Make the trip to Kansas City and make sure you visit The College Basketball Experience. It is sure to be an attraction in our city that will bring folks from around the world that love college basketball.

update: The College Basketball experience is still a total blast! Today I took my four kids ages 3 thru 15 and they all had great fun. Total cost for the five of us? $31.00. Reasonable for an hour and a half’s entertainment. The kids loved the display where you had 5 seconds to run to a spot and shoot before time expired.

As usual, I loved reading all the history on the walls. And with the Kansas Jayhawks winning the 2008 National Championship there were updated photos and trophies and everything. A big treat for a guy like me.

I love the history and present of college basketball. We all know I’m a nut for the Jayhawks. But people are constantly amazed at my knowledge about their schools, as well. Some people collect stamps. Some people build boats. I watch and read about college basketball. It’s a great experience.

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Filed under Kansas City, Kansas City entertainment, Kansas City Sports

October 17, 2007 · 7:24 am

Borrowing To Get Out Of Debt?

I’ve been reading quite a bit lately and the blogs/newspaper articles that have been grabbing my attention all center around debt and consequences. And while this seemingly has nothing to do with real estate investing it does speak to the mindset of many of the people that you and I know. And the debt mindset has an effect on how much our money costs when we do borrow and filters down into every consumer item you and I touch.

(In the interest of full disclosure I am not now, nor have I ever been since the age of 18, debt free. Besides my houses I have a car payment and a couple of other miscellaneous debts. So I too am a part of the problem.)

Jeff Brown had an article yesterday talking about Social Security, the Boomer generation and the probable lack of funding for future generations. It’s a read definitely worth your time. And don’t forget to take a few minutes and go through the comments. You should also take the link jump over to Brian Brady’s blog and thoughts on the subject.

Then in today’s Opinion section of the Kansas City Star Lewis Diuguid has an op-ed piece that has some numbers I haven’t seen before;

At the end of 2006 US residents owed $745 billion on general-purpose credit cards… up $34 billion from the previous year.
The savings rate for 2006 was NEGATIVE 1%.
13% of all credit cards have balances of more than $25,000.
The national debt now stands at $9,815 trillion.

Reading those numbers and knowing how our government works you cannot help but know that taxes will start going up to pay for a whole lot of people who chose cable television, SUV’s and lavish vacations over savings. (Not everyone, but a good many.)

Younger generations are headed for uncertain times in which they’ll be taxed to pay for their parents’ and grandparents’ retirements as well as having the additional burden of saving out of pocket for their own.

If the government continues to lower interest rates to prop up the ease of additional debt I’m really not sure with whom to be upset. The American population’s appetite for instant gratification has gotten us to a point were financial disaster looms for tens of millions. And with our own government so far in debt (can you conceptualize $10 trillion?) there is really no way they are going to be able to help. Not in a manner that doesn’t cost you and I a lot of cold hard cash…or maybe we’ll just pay our taxes with our credit cards.