As many people in the local area know, our founder–Ralph R. Roberts–has developed deep expertise in helping consumers fight the good fight against real estate and mortgage fraud-related scams. According to FBI statistics, real estate and mortgage fraud cost the American public over one billion dollars in 2005. This is double the amount from the year before, and if the prognosticators are right, 2006’s losses will be even higher. Many people may not realize they are victims until they find themselves in foreclosure or are facing eviction. Bottom line: For many people, the American dream of homeownership has become a nightmare.

With that in mind, we are pleased to announce that starting in January, Ralph will host a monthly teleconference call to offer free advice to consumers on how to avoid real estate and mortgage fraud, and what to do if you believe you have been targeted. January’s call–which will cover the signs of real estate and mortgage fraud and will give listeners tips for both prevention and solutions if they feel they?¢‚Ǩ‚Ñ¢ve been scammed–is scheduled for Tuesday, January 2, 2007, at 7:00 PM Eastern Standard Time. Subsequent calls will be scheduled for the first Tuesday of each month.

There is no charge to participate in Tuesday’s call (except for normal long distance telephone rates if applicable), but registration is required. To register, please contact Ralph’s assistant, Kym Johnson, at (586) 751-0000 or email her at kymjohnson@ralphroberts.com.

Robert “Bob” Bruss–a California Real Estate attorney/broker and the former director of the National Association of Real Estate Editors, but best known as a respected and widely syndicated writer and consumer advocate for all things Real Estate–just reviewed our founder–Ralph Roberts–latest book, Flipping Houses For Dummies. From Bruss’ weekend column:

Realty Broker Reveals How to Profit From Flippers
By Robert Bruss
Sunday, December 17, 2006

In good markets or bad, real estate broker Ralph R. Roberts reveals in “Flipping Houses for Dummies” how he acquires run-down houses, fixes them up, and then either “flips” (sells) them for a profit or holds for long-term investment. Roberts, a highly respected real estate author, trainer and broker, shares his techniques along with advice on how to minimize the tax bite on profits.

Every serious real estate investor who wants to earn large profits needs to understand the methods Roberts uses because he has perfected flipping houses almost to a science. He thoroughly understands and explains all the critical aspects, including locating the properties to determining if they are suitable, negotiating a successful purchase, supervising the fix-up work, and making a profitable resale.

As a longtime real estate broker, Roberts knows all aspects of the home brokerage business and he doesn?¢‚Ǩ‚Ñ¢t hesitate to share his insider secrets. For example, he says, “Nothing on the MLS (multiple listing service) is the gospel truth. Sellers and real estate agents alike often estimate room sizes or make mistakes when entering details. Approach all prospects with a discerning eye.”

Even if you are not interested in “quick flip” real estate profits, this is a great book to study because the author shares so much of his real estate knowledge which he gained, starting at age 19, over more than 30 years in the real estate business.

Maybe Roberts is getting a little “salty” in his old age, but he exposes secrets most Realtors would never share with their clients. Examples include how to obtain a “listing history” of a property, how to determine what the seller paid, how long the property has been on the market even with more than one listing, and if the property is difficult to “unload.”

This is a “fun read” book in the usual dummies style, which includes features such as tips, warnings and even several sanity checks. Along the way, Roberts shares many personal examples to illustrate the topics, making the book extremely valuable so the readers don?¢‚Ǩ‚Ñ¢t make the same mistakes he made.

Throughout the book there is heavy emphasis on what to look for in a potential flipper house, how to locate them, how to acquire them, and how to finance them. Roberts provides valuable insights about the importance of borrowing funds. “As a real estate investor, good debt gives you leverage,” he advises, meaning you control the property with little of your own cash.

Along the way, there are several excellent checklists such as the “profit projector” and the “home inspection checklist” so no important aspect is overlooked when evaluating a possible flipper candidate.

Especially valuable is the chapter on “The Art of Haggling: Negotiating a Price and Terms.” Having sold thousands of homes at his real estate brokerage, Roberts is a “pro” when it comes to negotiation and putting sales together. His negotiation strategies are priceless. I especially enjoyed the part about “digging up pertinent information about the seller.” If you are a serious real estate investor, this chapter is a “must read.”

Foreclosures receive extra attention because they offer special flipper profit opportunities. Acquiring these properties can be tricky, but Roberts simplifies the process as much as possible without getting bogged down in details. Of course, it helps that he has a full-time associate who specializes in acquiring these distress properties.

This book is designed for realty investors who want to profit from buying below market, making cosmetic improvements to add value, and then quickly reselling. But real estate agents and home buyers should also study it because of the valuable insights offered by a longtime, very successful real estate broker. On my scale of one to 10, this superb book rates an off-the-chart 12.

Since Ralph works right here in our Warren office, you can talk with him anytime about investing in real estate. For more information, please click here or call our office at (586) 751-0000.

Real estate “flipping,” or buying a property cheaply, renovating it to add value, and quickly reselling it at or near market value for a profit, is on the rise. With the growing popularity of hit television shows like “Property Ladder” on TLC, Discovery’s “Flip That House,” and “Flip This House” on A&E, it?¢‚Ǩ‚Ñ¢s no secret that people are eager to learn more about the flipping investment strategy. If you want to get in the game, or you?¢‚Ǩ‚Ñ¢re already in it and want expert advice and tips to become more successful, the newly published, first edition of Flipping Houses For Dummies (written by our very own Ralph Roberts and hia co-author Joe Kraynak), can be your guide.

Ralph’s no-nonsense book gives you the start-to-finish scoop on buying, renovating, and selling property, with plenty of time- and money-saving tips, strategies, and warnings to keep you on budget and on schedule. Flipping Houses For Dummies will show you how to:

• Find properties to flip
• Project your profits
• Secure financing
• Draw in buyers
• Work with contractors, agents, and other real estate professionals
• Steer clear of legal gray areas, including cash back at closing schemes

Flipping Houses For Dummies will also make you aware of savvy strategies for negotiating deals, modernizing for maximum profit, marketing flipped properties, avoiding common blunders, and staying afloat in a slow market. Also included is coverage on negotiating, property inspections, mortgages, taxes, and working with contractors, brokers, and real estate agents.

Like all ‘For Dummies’ books, this one concludes with a “Part of Tens,” including chapters titled “Ten Renovation Cost-Cutting Strategies,” like hiring students over the summer and buying overstocked or discontinued building materials, and “Ten Common House Flipping Blunders” such as failing to inspect the property before closing on it. The “Cheat Sheet” in the front of the book provides lists of signs of attractive fixer-upper and potential money pit, as well as check lists for home staging and cosmetics.

Flipping Houses For Dummies is available at bookstores all across the United States, and from Amazon.com.