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The 10-year reversed direction this past week.  Looking at the graph below, it appears that concerns over Turkey caused the drop through the blue support line around 2.94%. Tariffs, Turkey and expected FED interest rate increases (along with the growing US debt/deficit) have the market showing anxiety.  Stepping back, this is great for those looking to purchase or refinance existing debt.

Building Your Business – Matching Your Approach to Those That Want You

I just reviewed my own posts over the past few months.  There seems to be a consistent theme of doing the right thing for the client, being extremely proficient at what one does, and proactively solving problems before they cause a deal to fall apart.  Okay, that makes sense for most of us.

So, let me assume then that you are great at what you do; and that you are protecting the best interests of all involved.  In addition, you desire to grow your business.  I believe one of the simplest approaches is to find those business partners and clients that desire the way you do business.  Yeah, I know I did not state anything earth shattering there.

Let me use myself as an example here.  So, I am known for taking the overall approach stated above with both my clients and business partners (and for being extremely transparent).  When I get focused on building my business, I struggle just like many of you.  Then I step back and try to become a consultant to myself.  Now this is a lot harder than helping others.  After all, I am way too close to the whole thing.

That is when I reach out to my Centers of Influence.  We get down and dirty in these conversations that are intended to help each other.  The constant theme is to find business partners and clients that feel a pain that my approach solves.  For example, if my style solves a problem for a Commercial Real Estate Broker, then it can be a win-win.  That Broker typically wants their transactions to close on time, run smoothly, and have the client feel the team brought tremendous value.  That way the referrals and introductions can flow easily

The difficult part is often simplifying what you or I do (and then utilizing your existing contacts to find those that would be a good fit).  At this point, I suggest you set up your meetings with your top business partners that already appreciate and understand your value.  Ask for their help.  Ask them what THEY think your value is and who do they know that would benefit from your approach.

It is my hope that you and your business will greatly benefit by these meetings.  Feel free to call to discuss any of your concerns as I do enjoy helping my business partners succeed.  As time permits, focus on what you do well, who you do it for, and what situation your client or business partner must be in where your approach would be seen as an ideal gift to all.

Investments Opportunities for Purchase with Strong Cash Flow:

Back on the January 15th update, I wrote about “Creating Residential Listings Using Commercial Opportunities.”  Each week,  I am presenting some of those investment opportunities to better educate all on what is actually available.  Note that these are all Single Tenant Net Leased properties that have listed in about the last 10 days.  In addition, I assumed a 5.25% loan with 50% down.  This is just a small sample of what is actually available.

If you assume investors in the Bay Area are getting a cash flow of 3.5%, then you can see the potential improvement with these properties above.  This approach is great for the investors desiring increased cash flow, an opportunity to get out of daily property management, and/or taking the challenges of rent control off the table.  Should you wish to discuss any of these or others, then give me a call.

That’s it for this week.  As always, feel free to give me a call with any of your strategic financing needs.

Articles of Interest:

Realtor.com shared “What Does Your Homeowners Policy Cover in Disasters? Often, Not Enough.”

The SJ Mercury News reported “Fewer than 1 in 5 residents can afford a home in Bay Area.”

NREI shared “The Top 20 Tech Talent Markets in North America.”  If one reviews the slide show carefully, there is a fair amount of information that can be gleaned from this article.

CNBC reported “Why Trump is attacking Turkey with sanctions and tariffs.”

 

See the table below for approximate interest rates.

Type Rate Fixed Term
Apartments 4.455% – 5.080% 3 to 10 year (30 yr amortization)
Commercial 4.765% – 5.380% 3 to 10 year (25 yr amortization)
SBA Lending Call for Options Call for Options
SV Commercial Lending