Nothing Succeeds Like Success
Susan Munafo has been investing in New England real estate for less than a
year, although with a top notch web site and experience in her native
Virginia, she's already hit the ground running. Building on a 20 year
career in marketing and sales, Susan sat down with us to offer her
insights and advice for investors.
ForeclosuresMass: Welcome, and thanks for taking some time to speak with
us. You mentioned you've been at this for less than a year locally. How
did you get started investing in New England?
Susan Munafo: My husband and I moved our family up here from Virginia
last year. We had renovated two homes (we were living in them, not
investing) and on the second one, our general contractor just up and
disappeared. I took it over, and at one point my husband said, "You're
really good at this, why don't you do it for a living?" And that's how I
began.
FM: Do you specialize in a particular type of deal?
SM: I knew I couldn't make any money buying properties through realtors.
So I placed ads in local papers and got calls from people facing
foreclosure. Now that I'm in it, I've learned the importance of focusing
like a laser beam on one particular thing. There are so many ways you can
get involved in real estate - probate, apartment houses, rehab, etc. - but
a key to success is to pick something, get really good at it and start
making money. For me, I'm sticking with your bread and butter, middle
class homes in pre-foreclosure.
* Next 37 17 investors only!
FM: How do you find your properties?
SM: Mostly through direct mailing. I had run ads when I was down in
Virginia, but today it's mostly mail, using the leads I get from
ForeclosuresMass. I also do some yellow pages advertising and cold
calling.
FM: Can you give us an example of a recent deal you've done?
SM: I'm working on a deal that was referred to me by another investor.
Did I mention networking is HUGE? They are four months behind and upside
down - they owe a lot more than the house is now worth in this market.
Plus, the house has major structural issues and an original 1959 kitchen.
I am submitting a short sale package to the bank tomorrow for a 50%
discount. I know the bank can't come out ahead unless they discount the
note and my job is to convince them of that. I created a spreadsheet
showing what the bank would make if they took it back at auction versus
what they would make if they accept my deal. To me, it's a no brainer,
but you can never be sure with banks.
FM: You've settled in quickly here. What do you think it is that makes
you so good at what you do?
SM: Having a sales and marketing background is definitely important,
because at the heart of it, that's what you're doing as a foreclosure
investor. You've got to get the leads, qualify the leads, qualify the
prospects and make the deal. That's marketing and sales. Plus, I'm
confident that my sales background helps me position things so that people
don't feel threatened.
FM: On that point, how important is the people side?
SM: It's critical. I have a background as a physical therapist (way back
when), and that orientation - wanting to help people out of tough
situations - is still the foundation of what I do. I get great
satisfaction out of that and it's a big part of why I'm passionate about
this work. Being good with people really plays a big role.
FM: What would you advise someone who's just getting into real estate
investing?
SM: I'd say four things. First, as I mentioned earlier, stay focused.
You can't know everything or be everywhere, so pick something and get
really good at it. And don't waste money on a million seminars! Go to
ForeclosuresMass' "Opening the Door to Profit" and you're off to an
excellent start.
Second, network. You need to go to every investor meeting you can to
learn, build relationships for referrals and build your buyers list. In
the process of networking, you'll learn tons (more than you will at a
pricey seminar), avoid mistakes and move ahead much more quickly than you
otherwise would. I learn something valuable at every meeting I attend.
Third, see if you can find a mentor - a person that you can partner with
to help you learn the ins and outs of this business. Try to establish an
agreement in which, for instance, you find the deal and they coach you
through how to qualify it and manage it.
Fourth, but most important, have integrity. Be honest, even when you
don't know the answer. It's not just about getting a deal - it is about
helping people who are arguably, at the most difficult time of their life.
Make sure you can walk away knowing you did the right thing for everyone
involved.
FM: Any final thoughts for our readers?
SM: Just get out there and do it!!!!! If you have a good deal, somebody
will help you and somebody will definitely buy it.
Susan Post Munafo discovered her passion for real estate while renovating
her first two homes with her husband. In 2004, she founded HomeFree Real
Estate Group. Since then, Susan has built a team of professionals that
has helped many families in financial distress start a new chapter in
their lives. Contact Susan at HomeFree Real Estate Group, Inc.,
781-477-0205 ext. 82 or susan@homefreegroup.com.
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