DIRECT VS. DELAYED EXCHANGE




A "delayed" exchange is when you sell (close 1st escrow) and then buy (close 2nd escrow). They require more time, money, grief and risk than a "direct" exchange.


A "direct" exchange (a.k.a. 2-way exchange) is when someone buys yours, you buy theirs and both escrows close on same day saving you the extra time, money, grief and risk of selling and then buying in the traditional way ("delayed" exchange).


Click here for the 13 advantages direct exchanges have over delayed exchanges.


Click here to learn about 3-way exchanges.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






21 REASONS AN EQUITY BUYER (EXCHANGE) CAN BE YOUR BEST BUYER (SOLUTION) EVEN IF YOU DO NOT LIKE THE PROPERTY THEY OFFER YOU


  1. The 2 solutions we offer, if you do not like the property offered you (rather than lose your buyer). The first is our unique ability to complete 3-way exchanges so you exchange for property you're happy with. The second is I will accept equity in (buy) some lesser property in lieu of cash commission so you can enjoy a traditional sale (no exchange). We've successfully done both. Click here to learn more about our 2 solutions.
  2. Your daily holding and opportunity costs. Your holding cost is your property's negative cash flow. You experience an opportunity cost when other available property will produce a higher yield than your property.
  3. You have no cash offer that's better than your exchange offer. You may not sell at all if you limit yourself to only traditional marketing and cash buyers.
  4. Your equity buyer offers more cash than equity and lesser property offered produces cash-flow and/or is easier to sell.
  5. Your equity buyer is easier to deal with than cash buyer due to you and them selling in same economy.
  6. You save as much as 50% in commissions in our exchanges when I'm the only Realtor. Sending postcards and emails to our 2,650+ buyers (vs. Realtors) improve your chances of me being only Realtor.
  7. You're selling to buy property like a) your equity buyer's property (2-way exchange) or b) your 3rd party's property (3-way exchange). A 2-way or 3-way exchange (a.k.a. "direct" exchange) can be your best solution if you're selling to buy other property in the traditional way (a.k.a. "delayed" exchange). This becomes clearer after reading this entire webpage.
  8. You'll exchange for property that improves your situation or solves your problem (divorce, empty nester, relocation, cash flow, foreclosure, loan coming due, etc.). An exchange can be your best solution if you're selling to solve a problem (vs. buy other property), have no cash offer that's better than your exchange offer and problem needs to be solved NOW. Click here for the 21 ways an exchange can improve your financial and personal situation.
  9. For 13 more reasons, click here for the 13 advantages direct exchanges have over delayed exchanges.

The above 21 reasons also explain why some (if not many) of our 1,650+ equity buyers will exchange for YOUR Chico Area property.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






13 ADVANTAGES DIRECT EXCHANGES HAVE OVER DELAYED EXCHANGES


Click here to learn more about direct and delayed exchanges.
  1. They (direct exchanges) save you the extra time, money, grief and risk of selling and then buying in the traditional way ("delayed" exchange). See 3, 7, 12 and 13 below for risks saved (eliminated) by a direct exchange.
  2. They are an ADDITIONAL WAY (opportunity) to sell when you may not have sold in the traditional way. They are also an additional way for buyers to purchase (exchange for) your property. Many will buy your property "only via an exchange." An exchange is both a sale and a buy.
  3. They eliminate your risk of someone else buying the property you want before you sell your property. That assumes "your seller" will accept your property in exchange or a 3-way exchange can be completed or I buy your lesser property in lieu of a cash commission so you can buy the property you want.
  4. They conserve your cash or allow you to buy property requiring more cash than you have.
  5. They eliminate buyers and Realtors avoiding your property due to your sale being contingent on you buying replacement property. For example, if you offer your property "For Sale" contingent on you buying other property, you'll be at a disadvantage because many buyers (i.e. 1031 buyers) and Realtors avoid sellers who need to buy other property before selling (closing escrow).
  6. They eliminate sellers and Realtors avoiding you due to your purchase offer being contingent on you selling property. For example, if you submit offers to buy property contingent on you selling your property, you'll be at a disadvantage because many sellers and Realtors avoid buyers who need to sell property before purchasing (closing escrow).
  7. They eliminate your risk of not buying replacement property as planned. After an exhausting traditional sale, sellers often do not focus on buying and sale proceeds are spent (investments, vacations, toys, etc.) or lost (poor investments, theft, casualties, etc.) reducing cash available to purchase replacement property. And even if you saved all sale proceeds but delayed purchasing replacement property in a market of rising property values (inflation), the same sale proceeds will buy less property due to the rising property values.
  8. They help you and your equity buyer qualify for new loans for these two reasons: 1) Lenders ignore current loans in new loan qualification process due to being paid off on same day new loans are funded; and 2) Exchanging equity along with cash in hand lowers loan-to-value ratios.
  9. They eliminate you storing your belongings and your short or long-term rental after selling your home while you look for a replacement home. You simply move everything to your new home after closing exchange escrow (vs. moving twice). Not all landlords rent short term and those who do, charge more.
  10. They eliminate you dealing with renters or a vacant unsold home (holding and opportunity costs) while occupying your new home.

  11. These 3 advantages apply if your "direct" exchange needs to qualify for a 1031 tax-deferred exchange. Before deciding to sell, buy, exchange or hold (do nothing), you are advised to consult with a qualified tax professional on matters including but not limited to verifying these 3 advantages. David Hector is not a qualified tax professional.
  12. They save you the intermediary fees paid in a 1031 tax-deferred "delayed" exchange.
  13. They eliminate your risk of not properly identifying the replacement property with the I.R.S. (within 45 days) and not properly closing escrow on your replacement property (within 180 days) in 1031 tax-deferred "delayed" exchange (fail to defer tax).
  14. They eliminate the 45 and 180 day time pressures in 1031 tax-deferred "delayed" exchange that can force you to pay a higher price and buy property you ordinarily wouldn't.

Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






2 SOLUTIONS WE OFFER, IF YOU DO NOT LIKE THE PROPERTY OFFERED YOU (RATHER THAN LOSE YOUR BUYER)


In most cases, we guarantee our listing clients many offers quickly assuming both traditional marketing (MLS, etc.) and our exclusive marketing system are used while realistically priced. But we cannot guarantee you'll like the properties offered you. Everyone has different expectations and motivations. Some cash rich buyers cannot find what they are looking for.


THE FIRST SOLUTION is our unique ability to complete 3-way exchanges so you buy (exchange for) property you're happy with. In other words, one or more of the unacceptable properties offered you may be acceptable to "your 3rd party seller" who is selling property you're happy with (so we can complete your 3-way exchange).


Here's a summary of a 3-way exchange:

  • You buy 3rd party's property to be found or already found.
  • 3rd party buys your equity buyer's property.
  • Your equity buyer buys your property.
  • All 3 escrows close on same day.


Click here for an example of a successful 3-way exchange. Completing a 3-way exchange is easier than you realize as the example demonstrates.


If you are offered unacceptable but marketable and realistically priced property, you can begin shopping for your replacement property "nearly" as if you have cash because many 3rd party sellers (selling property you're happy with) will exchange and some may exchange for your buyers marketable and realistically priced property. And if they do, you end up with property you're happy with via a 3-way exchange and save as much as 50% in commissions if I am the only broker.


Or, if you find property you like but your seller (3rd party) doesn't like your property but will exchange, one of the properties TO BE OFFERED you may be acceptable to your seller (3rd party). But your seller may sell to someone else before you find buyers for yours. If the only way you can purchase is via an exchange, your focus should be on finding good cash and equity buyers for your property and not on finding replacement property.


Much of the difficulty in exchanging for property you'll be happy with is overcome by our 1,650+ equity buyers, 2 solutions and inventive know-how.


Click here for reasons some 3-way exchanges are not successful.


THE SECOND SOLUTION is, I purchase lesser property offered to you (in lieu of cash commission) so you can enjoy a traditional sale (no exchange). Or, if your seller (selling property you want) doesn't like your lesser property, I may accept equity in (buy) your lesser property (in lieu of cash commission) to eliminate your risk of someone else buying the property you want.


The second solution requires I be paid a +/- 6% commission. I may not be willing to buy any of the properties offered to you. I will make a reasonable effort to buy so you enjoy a traditional sale or purchase property you want and I improve my situation.


2 SOLUTION SUMMARY


Our 2 solutions help explain why our primary goal is to quickly produce as many traditional and exchange offers as possible and it's important, but much less important you like the property offered you. We turn some unacceptable property into acceptable property via 3-way exchange and turn some exchanges into traditional sales if I purchase your buyers lesser property.


To best achieve your primary goal, we may want to market your property "For Sale or Exchange–All Exchanges Considered."


Good offers (buyers) and exchange opportunities (sellers) are LOST by Realtors not having our superior qualifications.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






WHAT A SUCCESSFUL SALE OR EXCHANGE DEPENDS ON


Quickly selling for a higher price or exchanging for a better property depends on the following:


  • Using both traditional marketing (MLS, etc.) and our exclusive marketing system while realistically priced. Some of the best buyers pass on unrealistically priced property. Multiple offers at the same time often result in a bidding-war driving your sale price higher.
  • Our superior problem solving abilities, inventive know-how and skill-set to ensure your best buyer (offer) or seller (exchange opportunity) closes escrow.
  • Transferring all properties in the exchange at appraisal by qualified independent appraisers. Often that's the only way all parties in the exchange will agree and close escrow saving you time, money, grief and risk.
  • You working alongside me and having reasonable expectations and positive outlook.
  • You understanding our exclusive marketing system and "what a successful sale or exchange depends on." If you do not understand, you are less likely to do all the things required to successfully sell or exchange.
  • Your ability to reach decisions. Click here for positive quotes from Napoleon Hill (author of Think and Grow Rich) and others involving decision making.
  • Using key words (city, property type, etc.) to search our 1,650+ equity buyers willing to exchange for Chico Area property for those with property and objectives matching up well with yours.
  • [For Chico Area property owners wanting to exchange for property outside the Chico Area] Search various real estate marketing websites for property in your targeted location outside the Chico Area meeting your criteria. It's more effective to do that after offering your Chico Area property "For Sale or Exchange–All Exchanges Considered" via traditional (MLS, etc.) marketing and to our 1,650 equity buyers willing to exchange property for Chico Area property because "your seller" will have more properties to choose from. If your 3rd party seller likes one of the properties offered you, we can complete a 3-way exchange so you end up with 3rd party's property. Ask us how many of our 650+ equity buyers have property in your targeted location outside the Chico Area.
  • You understanding the 3 reasons our primary goal is to quickly produce as many traditional and exchange offers as possible and it's important, but much less important you like the property offered you. Here are the 3 reasons:
    1. 3rd party (selling property you're happy with) has more properties to choose from to buy (exchange for) improving chances of successfully completing your 3-way exchange.(**)
    2. I have more properties to choose from to buy (in lieu of cash commission) improving chances of you enjoying a traditional sale (no exchange).(**)
    3. You save time, grief and money (holding, travel and opportunity costs) when you quickly sell or exchange. In other words, you experience those savings when we turn unacceptable property into acceptable property via 3-way exchange or if I purchase your buyers lesser property (in lieu of cash commission). Your holding and opportunity costs add up daily.

(**) Our 2 solutions explain. Click here for our 2 solutions

Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.









21 WAYS AN EXCHANGE CAN IMPROVE YOUR FINANCIAL AND PERSONAL SITUATION


  1. Cash-flow
  2. Relocation
  3. Raise cash
  4. Improve yield
  5. Loan coming due
  6. New business/job
  7. Reduced risk/debt
  8. Downsize or upsize
  9. 2nd (vacation) home
  10. Deferred income tax
  11. More or less leverage
  12. Consolidate or diversify
  13. Build dream or spec home
  14. Improved income tax shelter
  15. Eliminate property management
  16. Simplified life for you and your heirs
  17. Rid oneself of problem co-ownership
  18. Owning property type you are more familiar with
  19. Avoid losing equity in a trustee sale (foreclosure)
  20. Divorce–One or both spouses in a divorce receive non-cash property
  21. Move equity closer to home, work, family, friends, leisure, retirement or where you'd rather be. Some are looking for a life change (whole new environment/life style)

Your equity buyer's property and objectives can match up well with yours (their property improves your situation) even though you're and their objectives are entirely different. In fact, they often need to be entirely different. Here are examples


  • Empty nester matches up well with a growing family.
  • A retiree matches up well with those looking for a new business/job.
  • Those needing to simplify life match up well with those wanting more property and leverage.

Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






8 REASONS OUR POSTCARDS, EMAILS AND MULTIPLE WEBSITES QUICKLY PRODUCE MORE GOOD OFFERS


  1. Our postcards and emails are sent to 2,650+ cash and equity buyers vs. waiting for them to find your property on the Internet, MLS and in publications.
  2. Our postcards and emails are shared with family, friends and associates who buy and exchange.
  3. Our postcards and emails are quickly sent resulting in more good offers SOONER all around the same time improving your chances of a bidding-war.
  4. Our postcards and emails ask buyers to visit our website (www.davidhector.com) to see your property and learn 21 reasons an exchange can be the best solution. They can visit our website at their convenience 24/7 without talking to a Realtor. Our other listings and real estate activities drive hundreds of additional buyers to our website to discover your property is For Sale or Exchange.
  5. Our multiple other real estate marketing websites are also working 24/7.
  6. Our postcards and emails produce good offers "no other marketing will." Click here for the 9 reasons.
  7. Our postcards and emails are kept as a reminder.
  8. Our postcards are more likely to be read than emails, but we can send multiple FREE email blasts. We have 2,300+ email addresses of cash and equity buyers and Realtors.

Our postcards, emails and multiple websites do nearly all the work in producing your offers.


ADDITIONAL BENEFITS OF OUR POSTCARD, EMAIL AND WEBSITE MARKETING

You save time, grief, money and risk due to seeing only property offered you vs. seeing a list of properties For Exchange.


Sending postcards and emails to our 2,650+ buyers (vs. Realtors) improves your chances of me being only Realtor saving you as much as 50% in commissions or enabling me to possibly purchase your buyer's lesser property so you can enjoy traditional sale.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






5 TYPES OF BUYERS WHO PURCHASE "ONLY VIA AN EXCHANGE"


  1. Buyers selling to purchase property LIKE YOURS who haven't sold and will not buy in the traditional way unless they sell first. An exchange is when someone buys yours, you buy theirs and both escrows close on same day.
  2. Buyers with sufficient income and credit but due to cash shortage cannot qualify for loan (buy) unless they use equity in property (in lieu of cash) as down payment.
  3. Buyers who are selling to solve a problem (not buy other property), haven't sold (solved problem), problem needs to be solved NOW and the exchange solves their problem. Some are forced to exchange due to extreme motivation (divorce, foreclosure, loan coming due, relocation, etc.).
  4. Buyers with plenty of cash, income and good credit who will purchase "only via an exchange" due to: a) needing to conserve cash for the future; b) requiring double benefit of transferring excess property and acquiring desirable property; and c) wanting to avoid the time, grief, expense and risk of selling and then buying in traditional way (delayed exchange).
  5. Property owners who aren't thinking of selling, buying, exchanging or your property but will exchange for your property due to our emails, postcards and websites convincing them your property better meet their needs and improves their situation (they'd prefer to own your property).

Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






OUR EXCLUSIVE 2,650+ CASH AND EQUITY BUYERS


We invested literally many thousands of hours (750 hours annually) and dollars capturing and maintaining our exclusive 2,650+ cash and equity buyers. They are explained below.


Chico Area includes Butte Creek Canyon, lower Paradise, Butte Valley, Durham, to Sacramento River, to Tehama County line, Cohasset, Forest Ranch and Butte Meadows.


OUR 1,000+ CHICO AREA PROPERTY OWNERS WILLING TO EXCHANGE:

We have U.S. and/or email addresses of 250+ Chico Area property owners who'll exchange (equity buyers) due to MANY YEARS OF


  • Habitually asking Chico Area property owners: "are you selling to buy other property," "will you exchange for property that improves your situation," etc.
  • Chico Area property owners responding to our "For Sale or Exchange" marketing.
  • Reviewing virtually all expired and cancelled Chico Area MLS listings since 2004.
  • Our emails and postcards being shared with family, friends and associates.

Due to researching daily all expired and cancelled MLS listings and FSBO's since 2004, we also have U.S. and/or email addresses of virtually all Chico Area property owners who failed to sell. REO's (bank owned) and short-sellers were excluded because they won't exchange or buy.


You are not alone in this economy.


Based on California Association of Realtors research, over 750 (60%) of our latest 1,250 Chico Area sellers who failed to sell will exchange.


We organize them chronologically and by property type (homes, apartments, commercial & land/lots) so we can better target them.


Failure to sell is not likely due to your or their property. Click here for "What a successful sale or exchange depends on."


Our 1,000+ Chico Area property owners willing to exchange, will exchange because they are 1) selling to buy other property, 2) the exchange improves their situation or 3) solves their problem.


The most effective way to find Chico Area property owners willing to exchange for YOUR property is sending postcards and emails to virtually all Chico Area property owners who failed to sell (REO's and short-sellers excluded) plus our 250+ Chico Area property owners who said they will exchange (a.k.a. our 1,000+ Chico Area property owners willing to exchange).


Most of our 1,000+ Chico Area property owners willing to exchange can only be contacted by postcard because we only have +/- 33% of their email addresses.


We need to contact more than 1,000 of our Chico Area sellers who failed to sell in order to contact 1,000 Chico Area property owners willing to exchange because not all of those who failed to sell will exchange. You only need one good buyer!


OUR 650+ WHO WANT TO EXCHANGE PROPERTY OUTSIDE THE CHICO AREA FOR CHICO AND OTHER N. CALIF PROPERTY:


Here are a few of their locations: Truckee, Tahoe, Grass Valley, Nevada City, Roseville, Sacramento, Elk Grove, Bay Area, Fairfield, Monterey, Salinas, N. Calif. Coast, S. Calif., Redding, Mt. Shasta, McCloud, Orland, Red Bluff, Corning, Lake Almanor, Mendocino, Paradise, Oroville, Oregon, Washington, Idaho, Hawaii, Colorado, Arizona, New Mexico, Florida, etc.


Ask us how many of our 650+ have property in your targeted location outside the Chico Area.


We have all the email addresses for our 650+ equity buyers due to MANY YEARS OF


  • Asking thousands of sellers with property outside Chico posted on real estate marketing websites: "Will you exchange for Chico or other N. Calif property," etc. The same websites are used to find additional property in your targeted location outside the Chico Area the owners of which will exchange for your Chico Area property. Your property can be posted on them as well. One website has 6,000+ properties. Warning: a significant % of those who post on such sites have unreasonable expectations and waste everyone's time.
  • Inquiries and offers for our listings due to them being on real estate marketing websites.
  • Responding to our other "For Sale or Exchange" marketing.
  • Our emails and postcards being shared with family, friends and associates. Etc.

We are certain we have 650+ with property outside the Chico Area to exchange for Chico and other N. Calif property because we counted well over 650 email addresses.


MORE ON OUR 1,000+ AND 650+ EQUITY BUYERS WILLING TO EXCHANGE:


Buyers we only have U.S. mailing addresses for are organized separately. Buyers we have email addresses for are also organized separately.


We have 2,300+ email addresses of cash and equity buyers and Realtors.


We can use key words (city, state, property type, etc.) to search our 1,000+ and 650+ equity buyers willing to exchange for Chico Area property for those with property and objectives matching up well with yours.


Many of the following are cash and equity buyers.


OUR 365+ LOCAL AND OUT-OF-TOWN BUILDERS AND DEVELOPERS:


We have all their email and/or U.S. mailing addresses. Virtually all Chico Area builders and developers are included. We accumulated them over 25+ years of nearly non-stop marketing of development land (I either owned or listed). Researching the owners of all City of Chico development projects is another way we obtained them. Many said they are looking for Chico Area land to develop (e.g. apartments, subdivisions, etc.). Some want fixer uppers. We can print and show them to you.


OUR 750+ LOCAL PROFESSIONALS:


We have U.S. mailing addresses of 750+ local physicians, dentists, engineers, appraisers, CPAs, CFPs, attorneys, etc. We can print and show them to you.


For example, we have U.S. mailing addresses of 385 physicians and 111 dentists as follows: 186 Chico, 55 Paradise, 63 Oroville, 11 Gridley and 70 Yuba City/Marysville physicians (385 total) and 96 Chico, 15 Paradise and Magalia dentists (111 total).


BUYERS WHO SUBMITTED OFFERS OR INQUIRED ABOUT OUR LISTINGS.


We have their U.S. and/or email addresses.


HUNDREDS OF BUYERS PRODUCED VIA OUR CLASSIFIED MARKETING STRATEGIES:


Our classified marketing strategy(s) we use to market your property depends on your objectives, property type, location, etc. I've developed many classified marketing strategies over my 31+ years of Chico real estate brokerage experience. They require postcard marketing.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






6 REASONS OUR EXCLUSIVE MARKETING HELP YOU SELL IN TRADITIONAL WAY (NO EXCHANGE)


  1. Many of our 2,650+ buyers are cash-buyers due to selling, refinancing, inheritance, gift, etc. Some of our equity buyers we captured months ago who failed to sell, later sell and become cash buyers.

  2. The additional offers our exclusive marketing quickly produces all around the same time improve your bargaining position and chances of a bidding war and selling in the traditional way.

  3. The additional buyers attracted to your property primarily due to it being "For Exchange" may be willing and able to purchase in the traditional way (no exchange) especially if forced to in a bidding war.

  4. Our emails and postcards are shared with family, friends and associates who buy in the traditional way. We've SOLD listings for ALL CASH due to our exclusive marketing system.

  5. Using both traditional marketing and our exclusive marketing system is synergistic.

  6. If you do not like the property offered you, I will consider purchasing it if it's lesser property and I am paid a +/- 6% commission. If I purchase it (as I have done in the past), you enjoy a traditional sale (no exchange). I'd rather discount commission for cash.

Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






EXAMPLE OF A SUCCESSFUL 3-WAY EXCHANGE


One of our classified marketing strategies quickly produced 8+ offers to exchange Chico property for our client's San Jose (Calif) home within 3 weeks of mailing postcards to Chico property owners we had good reason to believe will exchange for San Jose property. Our classified marketing strategy, is knowing which Chico property owners are likely to exchange for San Jose property.


It's much easier for us to exchange Chico property for Chico property in a 2-way and 3-way exchange. If we can produce that many exchange offers for a San Jose home, imagine how many offers we will produce for your Chico Area property.


Because none of the Chico properties were acceptable to the San Jose home owner but one was realistically priced and marketable (Vallombrosa Ave Chico home), we began shopping for Chico homes the San Jose owner would buy in the traditional way.


We found many and asked all those 3rd party sellers if they would exchange for the Vallombrosa Ave home. A Keefer Rd Chico home seller said yes resulting in the San Jose owner buying (exchanging for) a Chico home they were happy with (Keefer Rd home) via a 3-way exchange.


The San Jose owner didn't need cash to buy the Keefer Rd home because the Keefer Rd owner was willing to exchange for (buy) the Vallombrosa home and the Vallombrosa Ave owner was willing to exchange for (buy) the San Jose home so we could complete their 3-way exchange.


We quickly produced quality offers for all 3 properties with all 3 escrows closing on the same day 95 days after mailing postcards.


Here's a summary of the 3-way exchange:


  • 1st party (San Jose owner) buys 3rd party's property (Keefer Rd)–Escrow 1.
  • 3rd party (Keefer Rd owner) buys 2nd party's property (Vallombrosa Ave)–Escrow 2.
  • 2nd party (Vallombrosa Ave owner) buys 1st party's property (San Jose)–Escrow 3.
  • All 3 escrows close on same day.

Here's another way of looking at it:


  • San Jose owner buys Keefer Rd. Keefer Rd sells to San Jose owner.
  • Keefer Rd owner buys Vallombrosa Ave. Vallombrosa Ave sells to Keefer Rd owner.
  • Vallombrosa Ave owner buys San Jose. San Jose sells to Vallombrosa Ave owner.
  • All 3 escrows close on same day.

Exchanging Vallombrosa Ave for Keefer Rd was the easiest part of their 3-way exchange.


DO YOU HAVE PROPERTY OUTSIDE CHICO TO EXCHANGE FOR CHICO PROPERTY?


If so, here are the most effective ways to find Chico property owners willing to exchange for your U.S.A. property located outside Chico:


  • Using one of our classified marketing strategies, mail postcards to Chico Area property owners we have good reason to believe will exchange for property in your location outside Chico, like we did for the San Jose (Calif.) home owner (in the above example). For example, if you have Sacramento property you want to exchange for Chico Area property, we can mail postcards to Chico Area property owners we have good reason to believe will exchange for property in the Sacramento area.
  • Send postcards and emails to our 250+ Chico Area property owners who said they will exchange and virtually all Chico Area property owners who failed to sell (a.k.a. our 1,000+ Chico Area property owners willing to exchange). Many of them will exchange for property outside the Chico Area because it moves their Chico equity (property) closer to work, family, friends, leisure, retirement, home or where they'd rather be. Some are looking for a life change (new environment/life style). Many Chico Area property owners told us the location outside Chico, they will exchange to.
  • Use key words (city, state, etc.) to search our 1,000+ Chico Area property owners willing to exchange for those willing to exchange for property near yours outside Chico.

Click here for our 1,000+ Chico Area property owners willing to exchange. They are part of our exclusive 2,650+ cash and equity buyers.


If you or someone you know have property located outside Chico to exchange for Chico or other N. Calif property, our classified marketing strategy and "1,000+ Chico Area property owners willing to exchange" are the best strategies to exchange U.S.A. property outside Chico for Chico and other N. Calif property.


Even though this webpage was written to Chico Area sellers, much if not all of it applies either directly or indirectly to those wanting to exchange U.S.A. property outside Chico for Chico and other N. Calif property.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






8 REASONS TODAY MAY BE THE BEST TIME TO EXCHANGE


  1. Your replacement property will cost you LESS if you sell and buy or exchange NOW. If you wait for your property to go up in value, your replacement property will also go up in value, forcing you to pay MORE. Not selling or exchanging will not make your property worth more.
  2. Interest rates are at or near all time low.
  3. Income tax on the property you sell or exchange will likely be less due to lower values. If you have a loss, ask a tax professional about amending tax returns for a cash tax refund.
  4. County property tax on the property you buy or exchange for may be less.
  5. Closing costs (e.g. commission) are less because they are based on price.
  6. More sellers will exchange for your Chico Area property due to this economy and the 21 reasons an exchange can be the best solution. Do not expect to find exchange opportunities unless you EFFECTIVELY market to equity buyers. No one does that better than us. We can quickly send emails and postcards to: a) Virtually all Chico Area property owners who failed to sell (REO's and short-sellers excluded). Over 750 (60%) of our latest 1,250 Chico Area sellers who failed to sell will exchange; b) 250+ Chico Area property owners who said they will exchange; c) 650+ who want to exchange property outside the Chico Area (e.g. Lake Almanor, Tahoe, Roseville, Sacramento, Bay Area, Idaho, Oregon, Washington, etc.) for Chico Area property. We also can search real estate marketing websites for additional property in your target location outside the Chico Area the owners of which will exchange for your Chico Area property. One website has 6,000+ properties; and d). Hundreds of additional cash and equity buyers quickly produced via our classified marketing strategies.

  7. Your equity buyers will likely only have your property to exchange into due to very few Chico Realtors trying to exchange. You'll have many properties to exchange into if you use both traditional marketing and our exclusive marketing system while realistically priced and your property is reasonably marketable. We offer 2 solutions if you do not like your buyer's property.


  8. You'll probably have no equity buyers competing with you for the property you hope to exchange for because very few Chico sellers and Realtors try to exchange.
  9. Time Value of Money. The cash and or cash-flow property you receive at close of your exchange escrow results in you receiving cash sooner. A dollar received today has greater value than a dollar to be received in the future for these reasons:
    • Return on your investment–A dollar in hand today can be invested today to earn you a return on your investment (rental income, interest income, etc.), resulting in a sum greater than one dollar in the future (e.g. compounding). The dollar to be received in the future cannot earn you a return until you receive it. The lost opportunity to earn a return on the future dollar is your opportunity cost.
    • Higher purchasing power–Due to inflation, a dollar in hand today will buy more goods/services than a dollar to be received in the future.
    • No risk–When the dollar is in hand there is no risk of not receiving it. Forecasting and being promised money in the future doesn't guarantee you'll receive it.

Not exchanging for better cash flow property will likely result in an opportunity cost. Exchanging for property that reduces your negative cash flow will probably benefit you.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






8 REASONS VERY FEW CHICO REALTORS TRY TO EXCHANGE AND CHICO AREA SELLERS ARE MISSING OUT ON GOOD OFFERS (**)


  1. They do not realize an exchange can be an excellent and possibly the best solution, is achievable or is even an option.
  2. They do not realize exchanges are no more complicated than traditional sales after finding your buyer because same offer forms are used in both.
  3. They do not have our 1,650+ equity buyers willing to exchange property for Chico Area property.
  4. They cannot effectively offer our 2 solutions, if you do not like the property offered you. Our unique ability to complete 3-way exchanges is vital.
  5. They do not have my 31+ years of Chico real estate experience, skill-set, inventive know-how, superior problem solving abilities and classified marketing strategies.
  6. They (like most of us) are slow to try new ways of doing things (change the way they think/habits). Leaders' blaze trails not traveled by others.
  7. Our exclusive marketing system is not easy to duplicate.
  8. They specialize in short-sales and REO's.

(**) While researching all Chico Area expired and cancelled MLS listings since 2004 (+ doing other work) to build our list of 1,000+ Chico Area property owners willing to exchange, we rarely saw the words "exchange" and "trade" in the MLS.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






9 REASONS OUR EXCLUSIVE MARKETING PRODUCE GOOD OFFERS "NO OTHER MARKETING WILL"


Instead of waiting for our exclusive 2,650+ cash and equity buyers to find your Chico Area property on the Internet, MLS and in publications, we send them postcards and emails.


  1. No one else can send emails and postcards to our 2,650+ cash and equity buyers.
  2. Sending emails and postcards to virtually all Chico Area property owners who failed to sell (except REO's and short-sellers) and/or other property owners [classified marketing strategy(s)] results in many of them realizing they are cash and EQUITY buyers for your property due to your postcards and emails asking them to visit our website to see your property and read the 21 reasons an exchange can be the best solution. Prior to receiving your postcards and emails, few if any of them were thinking of your property or exchanging. If they were not thinking of exchanging, they certainly were not looking for exchange opportunities (yours) on the Internet (craigslist, etc.), MLS and in publications (IMP) and advertising their property "For Sale or Exchange" on the IMP.
  3. Here are additional reasons very few are looking for exchange opportunities (yours) on the IMP and advertising their property "For Sale or Exchange" on the IMP effectively or at all: a) Full-time job and other obligations (too busy); b) Traveling; c) No Internet access. Seniors own a greater percent of real estate and often have no Internet access; d) The person responsible for finding exchange opportunities and advertising "For Sale or Exchange" on the IMP failed to do their job; and e) No one can look for exchange opportunities and advertise "For Sale or Exchange" in all Internet marketing sites and publications.
  4. Very few Chico Realtors try to exchange (**). Click here for the 8 reasons very few Chico Realtors try to exchange and Chico Area sellers are missing out on good offers.
  5. (**) While researching all Chico Area expired and cancelled MLS listings since 2004 (+ doing other work) to build our list of 1,000+ Chico Area property owners willing to exchange, we rarely saw the words "exchange" and "trade" in the MLS.
  6. Few if any of the Chico Area sellers who took their property off the market (MLS) and gave up trying to sell will offer to buy or exchange their property for yours unless they receive your emails and postcards. We can send emails and postcards to virtually all Chico Area property owners who failed to sell since 2004. We organize them chronologically and by property type (homes, apartments, land/lots, & commercial) so we can better target them.
  7. Exchange meetings result in very few buyers discovering your property due to a very small percent of Chico Realtors in attendance and not all properties presented being communicated to their buyer clients. At exchange meetings, Realtors wisely present their client's property to other Realtors because an exchange can be an excellent solution. We encourage you to have your property presented at exchange meetings. BUT it's dramatically more effective and efficient to send emails and postcards to our 1,650+ equity buyers willing to exchange property for Chico Area property (vs. Realtors).
  8. Our emails and postcards are shared with family, friends and associates who would not have discovered your property any other way. They buy and exchange.
  9. Sending emails and postcards to our 2,650 + cash and equity buyers that include but aren't limited to our 1,650+ equity buyers willing to exchange property in (1,000) and outside (650) the Chico Area for Chico Area property produces offers the Chico MLS will not for these reasons: 1) Very few Chico Realtors try to exchange resulting in very few Chico Realtors looking for exchange opportunities (yours) on the Chico MLS; 2) More cash and equity buyers (vs. Realtors) discover your property is For Sale or Exchange; 3) None of our 650+ properties outside the Chico Area to exchange for Chico Area property are on the Chico MLS.
  10. Sales and exchanges due to MLS are likely to involve more Realtors and therefore more commissions. Sending postcards and emails to our 2,650+ buyers (vs. Realtors) improves your chances of me being the only Realtor saving you as much as 50% in commissions or enabling me to possibly purchase your buyer's lesser property so you can enjoy a traditional sale.


  11. "Realtor advertising" including their photo and listings do not effectively market listings because buyers and Realtors often do not read them due to having more efficient ways to find property (e.g. MLS searches). And even if they read them, Realtors rarely advertise "For Sale or Exchange." The primary objective of "Realtor advertising" including their photo and listings is to market Realtor (NOT LISTINGS). Realtor-to-Realtor marketing (e.g. emails) is ineffective for the same and other reasons. I ignore them because my focus is on selling or exchanging my exclusive listings and most buyers aren't loyal.

You miss out on offers if our exclusive 2,650+ buyers do not receive your emails and postcards.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






WHY SOME MAY DISCOURAGE YOU FROM SENDING EMAILS AND POSTCARDS TO OUR 2,650+ CASH & EQUITY BUYERS


  • To get your listing.
  • They cannot offer you our 2,650+ cash and equity buyers.
  • They cannot offer you our inventive know-how, skill-set and superior problem solving abilities.
  • They do not realize all the offers and benefits you will receive.

Don't expect other Realtors to promote our exclusive marketing system. They cannot offer it.


Anyone who discourages you from sending postcards and emails to our 2,650+ buyers either doesn't understand or isn't thinking of your best interest.

After being informed, make your own decision. Don't be easily influenced by others and let them determine your future.


Click here for positive quotes involving decision making.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






POSITIVE QUOTES INVOLVING DECISION MAKING


In Napoleon Hill's book THINK AND GROW RICH published in 1936 he wrote:


"Analysis of over 25,000 men and women who had experienced failure disclosed the fact that lack of decision was near the head of the list of the 31 major causes of failure. Procrastination, the opposite of decision, is a common enemy which practically every man must conquer. Analysis of several hundred people who had accumulated fortunes well beyond the million-dollar mark (again, THINK AND GROW RICH was published in 1936) disclosed the fact that every one of them had the habit of reaching decisions promptly, and of changing these decisions slowly, if and when they were changed. People who fail to accumulate money, without exception, have the habit of reaching decisions very slowly, if at all, and of changing these decision quickly and often.


The majority of people who fail to accumulate money sufficient for their needs are generally easily influenced by the opinions of others. They permit the newspapers and the gossiping neighbors to do their thinking for them. If you are influenced by opinions when you reach decisions you will not succeed in any undertaking, much less in that of transmuting your own desire into money. If you are influenced by the opinions of others, you will have no desire of your own. Everyone has an opinion, but in the end it is your opinion that swings your world.


You have a brain and mind of your own. Use it and reach your own decisions. If you need facts or information from other people to enable you to reach decisions, as you probably will in many instances, acquire these facts or secure the information you need quietly, without disclosing your purpose. Those who reach decisions promptly and definitely know what they want, and generally get it. The leaders in every walk of life decide quickly and firmly. That is the major reason why they are leaders. Definiteness of decision always requires courage, sometimes very great courage."


End of Napoleon Hill's quote.


Here are famous quotes involving DECISIONS from THE BOOK OF POSITIVE QUOTATIONS compiled and arranged by John Cook:


  • Conditions are never just right. People who delay action until all factors are favorable do nothing.–William Feather
  • Do not wait for ideal circumstances, nor the best opportunities. They will never come.–Janet Stuart
  • Nothing at all will be attempted if all possible objections must first be overcome.–Samuel Johnson
  • You decide you'll wait for your pitch. Then as the ball starts toward the plate, you think about your stance. And then you think about your swing. And then you realize that the ball that went past you for a strike was your pitch.–Bobby Mercer
  • The opportunity is often lost by deliberating.–Publilius Syrus
  • Often greater risk is involved in postponement than in making a wrong decision.–Harry A. Hopfa
  • Man without decision can never be said to belong to himself; he is as a wave of the sea, or a feather in the air which every breeze blows about. –John Foster

HOW YOU MAKE YOUR CHICO AREA PROPERTY STANDOUT FROM ALL THE OTHERS


Marketing "For Sale or Exchange" gives buyers more ways to purchase. Giving buyers more ways to purchase makes your property standout from all the others.


Many will buy your property "only via an exchange."


For example, some cash buyers who like your property will purchase another property due to liking it a little more. If the same buyer will purchase "only via an exchange" and they only have your property to exchange into, they are much more likely to buy (exchange for) your property.


It's nearly certain your equity buyers will only have your property to exchange into because very few Chico sellers and Realtors try to exchange.


Advertising "For Sale or Exchange" captivates, enables and motivates buyers to purchase (exchange for) your property instead of someone else's.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






WE DO NOT ADVOCATE EXCHANGES OVER TRADITIONAL SALES AND VICE VERSA


We advocate: 1) Using both traditional marketing (MLS, etc.) and our exclusive marketing system to quickly produce more good offers; 2) Making your property standout from all the others by giving buyers more ways to purchase; and 3) Having solutions if you do not like the property offered you (rather than lose your buyer).


Discover why traditional sales and exchanges have their own unique advantages and disadvantages when you read the 21 reasons an exchange (equity buyer) can be your best solution (buyer).


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






APPRAISALS CAN DECIDE EXCHANGE PRICES


Having all properties in the exchange appraised by qualified independent appraiser(s) to decide prices assures you do not pay too much and sell for too little. Using appraisals is often the only way all parties in the exchange will agree and close escrow saving you time, money, grief and risk. Your exchange can be contingent on you approving appraiser(s) and appraisals. New loans require appraisals.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






KEEP IT SIMPLE WHILE YOU SAVE


Exchanges involve more property and you selling and buying all in one day. Traditional sales involve less property and only you selling. Exchanges save you the time, money, grief and risk of selling and then buying in the traditional way.


We prefer to "keep it simple." But sometimes keeping it simple will not result in quickly selling for a higher price or exchanging for the best property or a sale or exchange at all.


Copyright © 2012-2013 David M. Hector, California \nLicensed Real Estate Broker, All rights reserved.






 
     
 
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David M. Hector
Real Estate Brokerage
DRE # 00796981
Office: (530) 893-5533
Fax: (530) 893-5575

Toll Free: (800) 898-5568
Email: dh@davidhector.com



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