Minnesota Investment Real Estate Advisors
 May 2007 Newsletter
 
Dear Scott,
We are excited to share the first edition of our monthly newsletter with you!  Our goal is to provide useful tips and information to help you become a successful real estate investor.
 
Whether you are thinking about investment real estate, a rookie or a seasoned investor, we will have something for you.  Please feel free to pass this along to anyone you know who might be looking to generate additional income or to add real estate to their retirement portfolio.
 
Sincerely,
Scott Ficek & Richard Garvey
Next Investor Club Meeting
GlassesThe next Investor Club meeting will be held on Wednesday, July 11 at 6:30 at the Mendakota Country Club.  Our guest speaker will be Joe Barwick, a Financial Advisor with Foster Klima, speaking on personal finance/retirement planning.  
 
We also encourage you to invite anyone interested in learning more about owning investment property to join us at 6:30.  We'll give a brief "Intro to Investment Property" while the rest of you have a chance to network and enjoy drinks and appetizers.
 
Please contact Emily at Tri-Minnesota Mortgage at  952-223-5005 to RSVP.   
In This Issue
Next Investor Club Meeting
New Website
Carbon Monoxide Alarms Required
Finding Tenants on Craig's List
Featured Property

149 12th Ave NE
149 12th Ave NE, Mpls
Duplex-2 Br Up/2 Br Dwn
Rent $875 Up, $750 Dwn
 
.77% Basis Points
$209,900
 
 
Quick Links
 
New Website Has Launched
We are excited to announce the launch of our website:  www.MNIREA.com.  We have built a secured section for our customers that will provide access to forms, sample documents and referral lists such as:  leases, eviction information, tenant screening, accounting set-up and 1031 Exchanges.  If you are interested in receiving a login and password to this customer section, please send an email to scott(at)ficekinvestments.com.
Carbon Monoxide Alarms Required
Smoke DetectorFor anyone planning to remodel or sell a residential property, this will affect you.  The Minnesota State Legislature has passed new a law (MN Statute 299F.51) stating that every single family dwelling and every unit in a multifamily dwelling must have an approved and operational carbon monoxide alarm installed within ten feet of each room lawfully used for sleeping purposes. 
 
Even more important, if you do remodeling work that involves opening or moving walls these detectors must be hard-wired into the electrical system, much like most newer smoke detectors.  Expect that Section 8 and Truth in Housing inspectors will also be looking for these going forward. 
 
These new regulations go into effect as follows:
  1. January 1, 2007 for all newly constructed single family and multifamily dwelling units for which building permits were issued on or after January 1, 2007.
  2. August 1, 2008 for all existing single family dwelling units.
  3. August 1, 2009 for all multifamily dwelling units
Finding Tenants on Craig's List
 FoldersThere are many ways to successfully find tenants for your properties.  If you currently own property, you may have tried yard signs, referrals from current tenants, newspapers or posting at the local coffee shop.  One avenue that I have had success with is Craig's List.  This simple and free website brings buyers and sellers, landlords and tenants, together in what they like to call a community setting. 
 
While you can post your vacancy on the site in about 2 minutes.  I have listed some additional tips that should drive up the response rate to your ad.  There are about 25-50 new postings per hour, so you need to spend a little extra time in order to increase your chances for success.
  1. Register on the site for an account.  This allows you to keep track of the ads you are running. 
  2. Make sure you always upload digital pictures of your apartment.  Many tenants say they will not even call on a listing unless they see pictures. 
  3. Always include your phone number, but never include your email address.  Instead, use the built-in anonymous feature to avoid getting spam, as the spam senders comb these sites looking for email addresses to add to their lists.
  4. Put as much detail in the ad as possible, including the rent, exact street address, pet preferences, application fee, damage deposit, etc.
  5. With 25-50 posts per hour, you should re-post your ad every couple of days.  Many people never scroll past the first page when looking.
  6. Use the "My Account" section to re-use generic ads to speed up posting.  Also use this section to remove your previous ads and then simply click a button to re-post them.

I have also had great luck with "reverse prospecting" on Craig's List.  I click on the section for "Need Housing" and search through there every couple of days looking for people that need apartments near my properties with vacancies. 

With just a little practice and computer time, using Craig's List has proved to be a fast and free way to find tenants.
We hope you enjoyed the first edition of our monthly newsletter. 
 
Sincerely,
Scott Ficek & Richard Garvey
Minnesota Investment Real Estate Advisors, LLC.
If your home is currently listed, this is not a solicitation.