Hunter Estess - A Guide to Solo 401k Plans
Hunter Estess - Make the Invested Time Principle Work in Your Favor
Hunter Estess of New Orleans is a major player in the real estate market in the Gulf South region. He knows how to negotiate successful real estate deals.
The invested time principle states that the more time a person spends on a negotiation, the less likely he or she will get out of the negotiation without making a deal.
When you are looking to buy a real estate property and make an offer, the sellers immediately start spending the money in their heads. The longer the negotiation lasts, the harder it is for them to back out of the deal, because they see the money as if it were already theirs.
When you are selling a property, the buyers usually start envisioning what they will do with the property as if it is theirs before they buy it.
You can use this principle to your advantage by making the other party spend a significant amount of time on the deal. Get the buyer or seller to review or submit financial statements. Ask them to make projections of cash flow, expenses, and profits. Get engineers to take a look at the property. Do a title search. Discuss the concerns with the other side. Send requests for more information.
Most people hate the idea of wasting time. After they spend enough time on something, they really want to make it work.
This being said, you shouldn’t forget that spending a significant amount of time on a deal will most likely have an impact on your decisions as well. Try to keep your work to the minimum and have the other party spend as much time, money, and other resources as possible. That is what smart real estate investors like Hunter Estess do when it is appropriate and beneficial for the negotiation.
Hunter Estess - Luxury Home Construction
Hunter Estess, president of Estess Contractors, in New Orleans, Louisiana, is an industry leader in the construction of new build luxury homes. Many current and potential home owners dream of being able to build their ideal home, and luxury home contractors and developers, like Estess, are available to help those dreams come true.
Estess sums up the goal of his company regarding luxury homes: “we are committed to turning our customers' dreams into realities. What this means to you is the highest quality home at the most competitive price. Through architectural efficiency, volume purchasing and long-term subcontractor relationships, we are striving to build the finest quality homes and service department that can be found anywhere in the industry." By using companies like Estess Contractors, the new home buyer can have a say in the scope of the build, from style (Colonial, Victorian, Modern) to kitchen layout to interior door hardware and everything in between.
Contractors and developers like Hunter Estess of Estess Contractors want their buyers to craft the house they’ve always wanted, and to enjoy living in luxury. Companies will provide a detailed timeline for buyers and walk them carefully and thoroughly through every step of the process. The elements of value, craftsmanship, and luxury are vital to the process of a luxury home build, both for the time the buyer lives in the home and for resale quality in the future. Estess states, “My years of experience give me a good sense of what customers want in their dream home, and what makes their home marketable in years to come should they ever have a desire to sell.”
Hunter Estess - Real Estate Syndication
Successful real estate investors and contractors, such as Hunter Estess, Estess Contractors, achieved their financial security in part by becoming involved in real estate syndication. This mode of investment allows a group of investors to combine their resources to invest in projects of a much larger scope than what they could afford individually. Due to the advent of crowdfunding, the individual investor now has more opportunities to become involved in this type of real estate venture.
Real estate syndication is a deal between the group of investors and a sponsor who invests a smaller amount of cash in exchange for a larger amount of sweat equity. Syndications are fairly simple to create, and there are protections in the syndication agreement to protect all parties involved. Most syndications are structured as Limited Liability Corporations (LLC) or Limited Partnership; often the sponsor is labeled the general manager or partner while the investors are considered passive members or limited partners.
Hunter Estess and other prominent real estate investors are involved in profitable real estate syndication deals. These deals are good because of property appreciation and rental income. Today, it is much easier for the individual investor to become part of a syndication LLC due to the advent of the internet and the concept of crowdfunding. This approach is a way to fundraise via the internet from a group of potential investors. Of enough funding is achieved, the project can commence; if not, the money is returned to the investors. Crowdfunding allows more investors access to real estate projects from the comfort of their office or home.
Hunter Estess - Contract Negotiations
Hunter Estess, president of Estess Contractors, and other renowned real estate investors and developers, are savvy in their approach to real estate contract negotiations. Becoming a reasonably good contract negotiator isn’t overly difficult, and relies on the investor using courtesy and common sense during the contract proceedings and discussions.
When contract negotiations come to a halt, the investor should use silence as an ally. Let the client sit uncomfortably for a night. This move also cools down hot tempers and emotions through the use of time and pause in communication. Don’t believe in or get carried away by the client’s ultimatums about this offer being “as far as I will go,” or “the best offer I have.” All aspects of the negotiations should be placed in writing; no verbal negotiation should be considered binding in any way. In nearly every circumstance, an investor should present a counteroffer unless the deal works perfectly from the investor’s perspective. The negotiator should remember who he represents at all points of the negotiations process.
Hunter Estess and other real estate investors have become experience contract negotiators which has benefited their businesses tremendously. These investors and negotiators know that negotiating the particulars of a contract should be done with positive word choice and phrasing. It’s also fine for the negotiator to say no to a deal on behalf of his client. In many cases, the buyer mayhave made unreasonable demands, and perhaps knew they were unreasonable. This rarely brings an end to negotiations, and a successful contract can be agreed upon with additional time and effort.
Hunter Estess - Asset Management in Real Estate
Hunter Estess, president of Estess Contractors, and many other real estate developers and investors work on their asset management skills to continue to be successful in their businesses. Investment assets are purchased every day by investors, governments, private companies, and corporations. These entities can purchase real estate to improve and resell, or to rent or lease out.
Real estate investment can be tricky because of the nature of the field. Properties can become devalued, damaged, and deteriorated over time. Asset management also means working within the parameters of the government’s complicated tax and legal rules. Investors can also use asset management in regards to investment portfolios. IN this scenario, diversification is key to success. Investors like Estess will purchase and control multiple real estate properties in many different locations, thereby avoiding the placement of all eggs in one basket. Asset managers will specialize in particular aspects of property, such as operations or regions. This manager works on rental and lease agreements in ways to attract customers, eliminate vacancies, and limit and liabilities.
Real estate investors and developers like Hunter Estess are familiar with all aspects of real estate asset management. The main goal of asset management is to maximize investment returns and property values. The asset manager must work to reduce liability, find high and reliable sources of revenue, and reduce expenses. Asset managers must be entrepreneurs as well, overseeing multiple facets of investment properties. Those managers who are successful are rewarded with the largest portfolios and the highest profits.
Hunter Estess - How to Choose a Location for Real Estate Investment Projects
Hunter Estess started his career in real estate as a teenager hosting open houses for his family business.
Everyone has heard the phrase: the three most important things in real estate are location, location, location. While having a great location is very important, it does not automatically guarantee success for real estate projects. An incompetent real estate investor could own a property in the best location possible and still lose a fortune.
Two great real estate strategies are buying in up-and-coming neighborhoods or cities and improving existing locations.
New York is a great example of a city that was has gone through a transformation. In the 1990s, it was a really dangerous and unattractive place, however today it is a really popular city that gets over fifty million tourists a year.
Improving an existing location requires creativity and vision. It also includes changing the role a location plays at the moment. For example, you could build the most luxurious building in a neighborhood or introduce some drastic changes to an existing building. Small investors can do so by changing the way a property is used or renovating a property in such a manner that people will start thinking about the location in a different way.
Many real estate investors, especially in the beginning of their real estate investing career, are afraid to think big. They look for cheap properties and are unwilling to pay a premium for a location for a parcel of land or a building. They don’t understand that in some cases overpaying does make a lot of sense. This is why investors such as Hunter Estess are not afraid to think big and make deals for millions of dollars.
Hunter Estess - Land Banking Explained
Hunter Estess of New Orleans has a proven record of accomplishment in the real estate industry.
Before getting on any deal, every serious investor in real estate should ask and answer a number of questions not only about the property, but also about the surrounding area. Do rent prices in the area keep up with inflation? Is the area stable, changing for the better, or deteriorating?
One of the best places to look for great real estate deals is the areas that are not very successful themselves, but are located close to very successful properties and areas.
The strategy of investing in land or properties with the assumption that they will significantly go up in value in the future is called land banking. Land banking is a smart approach in many cases, especially with areas that have strategic locations. It can bring exponential returns if the investment is made in the right project.
However, before the property goes up in value, you will still need to pay taxes and other charges on it. If the property brings in no income, taxes and charges need to be added to the investment amount. This is why it makes sense to keep using the property as currently intended while you wait for opportunities to arise.
For example, in New York City land banking may include an investment in an existing parking lot. The goal may be to build something on the property, but in the short term it may make sense to continue using the property as a parking lot to have incoming revenue. That is what many experienced real estate investors like Hunter Estess do with their projects.
Hunter Estess of New Orleans is a highly regarded figure with years of experience in the real estate industry.
One of the dangerous traps that awaits beginner real estate investors is the aura of legitimacy. It is the predisposition of people to believe what they see on paper or what they hear spoken by the media.
For example, you may get a contract to review and sign that says "standard form of agreement" or something similar. The intent of this line is to convey the aura of legitimacy and make you think that the agreement is non-negotiable. In reality, there is no such thing as a standard agreement. Every agreement and every deal are negotiable under the right circumstances. All you have to do is to find out who has the authority to make the changes and then deal directly with that person. If they really want to make a deal, you will find parts of the contract that are negotiable.
This is why you want to learn early in the process about who is in charge and deal directly with that person. There is a reason why the biggest deals are made by decision makers who meet in person. You can create a much different atmosphere and level of trust when you have face-to-face meetings. Remember, the business of real estate is all about the relationships you create with other people. Find the decision makers and deal directly with them just like Hunter Estess does. This will make your life much easier, and deal cycles shorter.
Hunter Estess - How to be Smart about Making Decisions in Real Estate Investing Business
Buying real estate is no longer just about finding a place to call home. For more than ten years, Hunter Estess has been using real estate as an investment opportunity, using it to create enough passive income to achieve financial independence. Although the real estate market has an abundance of opportunities for anyone to make large gains, buying and owning real estate is more complicated than investing in stocks and bonds. Here are four ways you can invest in real estate.
1. Rental properties are the most basic way to invest in real estate. When you purchase a piece of property and rent it out to a tenant, you become the landlord, responsible for paying the mortgage, taxes, and cost of maintaining the property.
2. Real estate investment groups work like small mutual funds for rental properties. A company will buy or build a set of apartment buildings and then allow others to buy them through the company.
3. Real estate traders buy properties with the sole purpose of holding them for a short amount of time, usually no more than four months, in the hope of selling them for a profit.
4. A real estate investment trust is created when investors’ money is used by a corporation to purchase and operate income properties. They are bought and sold like other stocks on major exchanges.
These are only a few of the ways you can invest in real estate. There is a lot of potential with real estate, but you have to remember that it is an assured gain. As with any investment you have to make careful choices and consider the costs and benefits before diving in. After years of investing, Hunter Estess has learned how to identify the best opportunities for investing.
Hunter Estess - Four Ways to Invest in Real Estate
When you own your own business or work as a sole proprietor, you don’t have the luxury of participating in an employee run retirement plan. For Hunter Estess, owner of Dash Development and Holdings, this means investing in an individual 401(k) plan, also known as the solo 401(k). These plans work much like the traditional 401(k) plans that are offered by large companies but is strictly designated for sole proprietors who don't have any employees.
Just like the traditional 401(k) retirement plan, solo 401(k) plans can be either designated as a traditional or Roth IRA. A traditional plan, you are able to save money on a pre-tax basis, meaning that it grows tax-deferred until you withdraw it. At the time of withdraw, you are required to pay taxes on the money. A Roth IRA allows you to invest after-tax dollars and your money grows tax-free, meaning you aren’t taxed when you withdraw the funds.
If you are planning on investing large sums of money, these types of plans are ideal. Individual 401(k) plans allow you to save for your retirement as both an employer and an employee. This means you are able to contribute more to your plan than you would with other retirement plans. As an employee, you are able to contribute up to $18,000 every year, and as the boss, you can contribute an additional twenty-five percent of your income, with a maximum of $53,000, which includes your employee compensation.
These types of plans are appealing if you plan on socking away large sums of money. For Hunter Estess, a Solo 401(k) plan is the perfect investment option for his retirement as a sole proprietor and business owner.
Hunter Estess - Organization and Planning Tips for Property Managers
When you become a property manager, like real estate investor and developer Hunter Estess, it is your responsibility to ensure that everything runs smoothly. This entails making sure all the required information is presented to the property owner in a timely fashion, as well as ensuring that your residents are happy. Here are some key management tips that can help you become a successful property manager.
- Always have a complete contingency plan outlined in advance. Make sure you cover what to do in case of a flood, fire, or other natural disasters. You need to act quickly under these circumstances and without hesitation. When you have a plan in place to handle these types of situations you can ensure everything runs as smoothly as possible.
- Even if you have on-site maintenance at the property, there still may be things that are better off being outsourced. Make sure you know your staff’s specific strengths and weaknesses and have a proficient person on call if needed.
- Try and minimize the paperwork you have in hard-copy. Too many hard-copy reports and other paperwork can create confusion, limiting the efficiency of the office. Consider using property management software to help reduce the need for extensive paperwork.
- Make sure you have a protocol in place for dealing with unhappy customers. To avoid receiving negative feedback from your residents, you need to be able to quickly respond to legitimate issues.
As a property manager, your goal should be to minimize the chaos and complications inherent in running one or more properties. Hunter Estess is a successful real estate investor and developer in New Orleans, Louisiana.