Real Estate Entrepreneurship
Real Estate Entrepreneurship in the Philippines
The Real Estate Entrepreneurship begins from those who are willing to invest their TIME to learn to achieve these three (3) stages of Financial Freedom:
Stage One: Your Passive Income is equal or more than your Monthly Salary.
Stage Two: Your Passive Income can Afford to Pay your Desired Monthly Life Style.
Stage Three: You can now Afford to Pay for your Big Dreams.
Is Real Estate Entrepreneurship for You?
What is a Real Estate Entrepreneur?
A real estate entrepreneur or a real estate investor to a lesser extent is someone who actively or passively invests in real estate. An active investor may buy a property, make repairs and/or improvements to the property, and sell it later for a profit. A passive investor might hire a firm to find and manage an investment property for him. Typically, investors choose real estate for several reasons: cash flow, capital appreciation, depreciation, tax benefits and leverage.
Stages of Real Estate Entrepreneurship
Investing in Yourself: Building your online brand and reputation
Stage 1. Infopreneurship
Investing Time: Building real estate business systems
Stage 2. Real Estate Marketing
Stage 3. Real Estate Project Packaging
Investing Money: Make money work hard for you.
Stage 4. Real Estate Development
Stage 5. Real Estate Investing
Enterprise Creation: Making a Difference in the World.
Stage 6. Serial Entrepreneurship
Stage 7. Social Entrepreneurship
Stage 8. Life Entrepreneurship
A must read for infopreneurs:
Stage 1: Infopreneurship
A fresh apprentice undergoes an intensive training on online marketing developing them to become successful infopreneurs. We teach them method on how to achieve Stage 1 Financial Freedom which is Getting out of the rat race. In this stage an apprentice is taught how to create information outlets (sites). They become the bridge between the sellers and the buyers. They work for the sellers by sharing the right information to the right buyers. And, they work for the buyers by giving them information on what they are looking for.
There are hundreds of millions of dollars of online marketing money floating in the internet. The apprentices are taught on how to get a slice of that pie. There are now different online marketing tools that makes everything convenient even to those who are new in the world of internet marketing. With the guidance of the coaches and mentors, achieving Stage 1 Financial Freedom is achievable for the shortest period of time.
First (1st) part of infopreneurship is building an online brand and reputation. The apprentice are coached to focused on their skills, background, experiences, knowledge, expertise, strength and passion. They are taught on how to exploit these to create and generate contents for their social and professional networking sites, webpages, blogs and/or websites.
The second (2nd) part is setting up ecommerce system to accommodate passive income from these different sites. They are required to apply for debit card to connect to their paypal account and set up their paypal account to be able to transfer funds to their assigned bank accounts.
The third (3rd) part is choosing at least 10 topics they are interested or passionate about and build a webpage or site around each of these topics. In each sites digital products and services such as books and webinars or offline seminars are being shared. Every time a visitor buys the information the apprentice gets a commission.
The goal of stage 1 is for the apprentices monthly online income to exceed their monthly offline salaries.
Kinds of Real Estate Deals
a. Project Selling
b. For Sale by Owner
c. For Lease by Owner
d. Foreclosed Properties
e. Distressed Properties
Stage 2: Real Estate Marketing
Before we coach an apprentice in Stage 2 Real Estate Marketing, they must be first become a licensed real estate salesperson or licensed real estate broker. This is a requirement of the Philippine Real Estate Service Act (RESA) Law.
Our real estate cooperative gives salesperson seminar as one of its educational services. They must finished the Steps 1 to 5 of the CARENET 8 Step CORE TEAM process. The Real Estate Sales Cycle and Marketing Training will provide them ample skills to make their first real estate sales.
Those who undergoing Stage 1 can simultaneously do Stage 2 if they are already licensed real estate salesperson or licensed real estate broker. With the knowledge from Stage 1 Infopreneurship an apprentice can be assured of online real estate marketing success.
An apprentice will learn by doing the real thing selling the different kinds of real estate deals:
a. Project Selling - All new real estate salesperson apprentices are required to market and sell the focused project of the cooperative. They will be assigned to respective tribes and business team so they can learn from the more experience tribe or team members. We believe in learning through leveraging in others peoples experience. We believe in what T. Harv Eker said: if you are working too hard and earning too little you are not using leverage.
b. For Sale By Owner (FSBO) - The apprentice salesperson / broker will learn how to build their real estate FSBO listings through proven listing acquisition systems. With the training they receive from Step 6 of the 8-Step Core Team Process they will sell these properties efficiently. Unlike the Project Selling which we deal directly with Real Estate Development Companies, FSBO is where we deal directly with Property Owners. FSBO properties can be a resale of property in a real estate project, rawlands, existing businesses and tourism real estate such as beachfronts, islands and resorts.
c. For Lease By Owner (FLBO) - This time the apprentice will be dealing with a different kind of breed of real estate investors. These are people who invest in real estate properties to make cashflows from rentals and leases. This also includes those who are doing short-leasing and vacation rentals. Working with this time of real estate investor will give the apprentice a feel on what is it like to be earning from real estate rentals and leases. They need this kind of experience for the next stages of the Real Estate Entrepreneurship Power Investing Plan.
d. Foreclosed Properties - The apprentice will have a chance to deal with financial institutions such as banks and private lenders. They will deal with the cooperative accredited banks and other institutions which are disposing their foreclosed properties. Foreclosed properties are lower than the market value and they can be purchased through monthly payment terms.
e. Distressed Owners - These are special cases in which property owners are selling way below market value because of different reasons such as medical expenses, travelling abroad or to pay off overdue debts. This kind of properties will create high profit margin if the apprentice knows how to buy and sell or buy and loan or buy and lease them.
Project Packaging Process
a. Identification of Landowner
b. Highest & Best Use Analysis
c. Fund Sourcing
d. Project Management
e. Project Marketing
Stage 3. Real Estate Project Packaging
Once apprentices leveled up as a CORE TEAM member. They will be taught to identify land owners who are willing to developed their properties either by joint venture partnership or through an investment funding. The CORE TEAM member will understudy with the Cooperative Real Estate Project Packaging and Management Team.
The core team member will be guided every step of the way throughout the following process:
a. Identification of Landowner - One way is to ask land owners who submit their properties for us to market if they are willing to develop their property and our cooperative will package and manage the project for them. If they agree the owner signs an authority to find investor or joint venture partner and states our professional fee for managing and packaging the real estate project.
b. Highest and Best Use Analysis - With our team of coop licensed real estate professionals: engineers, architects, appraisers and consultants we will research, study and analyze the highest and best use of the property, and the most profitable and less expenditures among the various feasible project options.
c. Fund Sourcing - The coop development team will create a business plan to be presented to real estate investors and/or developers local and international.
d. Project Management - The team will manage the project from conceptualization to the final delivery. Various product and service suppliers will be efficiently outsourced to make the project into reality.
e. Marketing of the Project - With all the CARENET member from apprentices, core team and coaches are trained in online marketing as their second in nature, this will be an easy task. Having to package a property with an expertise in marketing is a great advantage. All projects are designed and developed with the potential and actual market demands on mind in each member of the team.
Stage 4: Real Estate Development
Once you become a CARENET Coach, you can level up to this stage. This is where you or the coop already owns the land and/or the funds to develop the property.
Real Estate Developments can be:
a. Immediate Demands of the Community - Building dormitories in areas around schools and universities. Also, building schools and community centers where there the community needs it. It is now a common practice for big subdivision developers to build a school and community centers to include in their projects.
b. Public Private Partnerships (PPPs) - In this case we partner with the local or national government in developing infrastructures for the development of the municipality and cities. Our cooperatives priority PPP projects will mostly focused on Tourism Real Estate development.
c. Mid Term and Long Term Development Plans - We will also take a look at the LGUs mid-term and long term plans and identify zoning areas for commercial, industrial and memorial parks. Based on the current needs of the community we can developed profitable projects that will also create social impact.
d. Projects for Cashflows and Capital Gains - This includes residential and commercial developments for leasing, rentals and build and sell purposes.
How to Invest in Real Estate
a. Investing in Cooperative Shares
b. Investing in Capital Gains
c. Investing in Rentals & Leases
d. Investing in Other Real Estate Bluechip Companies
Stage 5: Real Estate Investing
From the capital gains and cashflow created from Stages 1 to 5, the apprentice now becomes a Coach an has money to work hard for them. They can put their money to work by doing the following:
a. Investing in Cooperative Shares - the cooperative will reinvest the funds to real estate development projects, loans and credits to its members, etc. The investors will receive dividends based from their share capital and patronage refund based from the services they avail from the cooperative.
b. Investing in Capital Gains - The investor can invest in buy and sell, renovate and sell, and build and sell. They make profit margins from buying low, adding value, and selling high.
c. Investing in Rentals & Leases - Monthly cash-flow from investing in residential and/or commercial units/lots rentals and leases.
d. Investing in Other Real Estate Bluechip Companies - Since the investor has in-depth knowledge from the different stages of the Power Investing Plan, they now have an intelligent information on which publicly traded real estate companies stocks to invest with.
What is a Serial Entrepreneur?
An entrepreneur who continuously comes up with new ideas and starts new businesses. A serial entrepreneur will often come up with the idea and get things started, but then give responsibility to someone else and move on to a new idea and a new venture.
Stage 6: Serial Entrepreneurship
"An entrepreneur is a person who solves problems for profit or pay" - T.Harv Eker.
Now with Three (3) E's under their belt: Education, Experience and Excessive Cash. The entrepreneur can start to fund business ideas that gives solutions to others people's problems and concerns.
As a serial entrepreneur, they build the business systems, sell it and/or gets passive business income from it.
What is a Social Entrepreneur?
Social entrepreneurs are individuals with innovative solutions to society’s most pressing social problems. They are ambitious and persistent, tackling major social issues and offering new ideas for wide-scale change.
Stage 7: Social Entrepreneurship
Being a citizen of the Philippines, a third world country, every social problems is a common scenery in major urban centers and far flung rural areas. As responsible Filipino Entrepreneur with our talent, time and treasures we offer to help our country and assist our government in facing and addressing these social problems.
We will start from our home town. Applying from our experiences and skills from Stages 1 to 6 we will create social enterprises that will effect change in our local communities. This will be, but not limited to:
- alternative off grid energy generation
- water and irrigation systems
- information technology
- community entrepreneurial and skills development centers
This book is my inspiration and the reason why this power investing plan was created
Stage 8: Life Entrepreneurship
Life entrepreneurs are ordinary people who integrate their life, work, and purpose through distinctively entrepreneurial behavior—and, in so doing, create extraordinary lives of significance.
Each of the members of CARENET: from apprentices, core team members and coaches have their own life purpose. In my case my life purpose is: to inspire and engage people in creating wealth and abundance". Living this life purpose created me to become a Life Entrepreneur, coaching and becoming a mentor to those who wants to create a life of wealth and abundance using the power of leverage.