CAPITOL CITY REAL ESTATE INVESTORS, LLC
Dedicated to keeping our investors up to date with the latest investment news! Date: October 24, 2008
BREAKFAST MEETINGS
Northeast Group 2ND & 4 Monday @ 8:30am Lizards Thicket 10170 Two Notch Rd.
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Irmo Group 2
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Thursday, November 13, 2008
7 PM – 9 PM Saluda Shoals Park, Columbia
*Networking begins at 6:30pm *
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Tuesday @ 8:30am
Shoneys 600 Bush River Rd.
Expert Panel Discussion: Tips for Successful Investing in Today’s Real Estate Market
FOCUS GROUP MEETING
Deal Analysis & Exit Strategies
Part -4- Developing Your Exit Strategies This focus group is scheduled to meet at 5:30pm 1 hour prior to the start of the regular monthly meeting. This meeting is open to all CCREI members. Please arrive on time and ready to participate. See you there! Here are a few of the topics of discussion; 1. Positioning yourself to succeed in the new Real Estate Market. 2. Analyzing at the past to predict the future. 3. Where’s the money? 4. How will the Feds mortgage bail out plan affect our business?
RE 101: Introduction to RE Investing Classes now forming for 2009. Call our office for details……. 948-8033. Opportunities in Today's Economy What is the best way to safely and profitably navigate through today's economic waters? Which investments will do best? Which ones should you avoid? These are all great questions, and in fact, if you're not actively looking for the answers to these and similar questions
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you just might miss out on the biggest wealth opportunities in over 15 years. First of all I totally understand and acknowledge that the economy is struggling, and that the financial markets are a mess, and that no one knows for sure how the government sponsored “bailout” plan will actually be put into effect. But we do know five very important factors: First, we know that the current lack of financing for companies and real estate owners means that a lot of very solid assets are much more difficult to sell or refinance right now... Second, we know that the general mood is one of dark pessimism, and that this emotion is magnified by the media and it greatly distorts the accuracy with which the market is seeing the value of most asset classes... Third, we know that over time the market always corrects for the emotional excess--whether that excess be optimism or pessimism... Fourth, we know that banks, financial institutions, and other corporations are being forced to unload a LOT of assets right now to clear their balance sheets and raise capital... Fifth, that recent change to accounting regulations from the SEC has required many companies to book their asset values on their balance sheets to current market value, and this at a time when current market value is temporarily at an incredible low for many types of assets... So what does all this mean? That over the next 24-36 months BILLIONS will
be made by savvy investors who shop for solid buys on assets at steep cash discounts. What does this all mean to you? That if you invest the time and money now to learn what you need to learn to buy intelligently, that over the next 36 months you will be able to generate huge gains at a time when the rest of the market is crying over how the sky is falling. This is exactly what Warren Buffet is doing. On October 1st Buffet invested $3 billion in GE in one of the sharpest moves of his investing life. Not only did he get the benefit of buying at a time when GE was trading at a 35% discount, but he also got his $3 billion in “preferred shares”. Preferred shares are at the front of the line with respect to getting paid back and earning their 10% annual dividends of any other common stock (think of it like a first mortgage taking priority over a second mortgage.) Buffest not only made a shrewd buy on the investment, but simply by the way he structured his deal he made a higher return with LESS risk than all the other investors in GE. But still the world will tell you that the only way to get a higher return is to take on higher risk. This just isn't so. An educated and savvy investor can and does get higher returns while at the same time structuring the deal to mitigate any risks involved. And you can do the same thing...if you take the time to get the financial education you need. The end……………….
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