How to Collect County Overages For 50% Finder’s Fees

If you’re looking for a job you can work from your home office that has huge earning potential, there’s an opportunity that’s been present in the real estate industry for decades that almost no one knows about: county overages. Here’s how to collect county overages and charge up to 50% for your services.

1. Get trained. First of all, make sure you get trained. You don’t want to attempt to collect county overages on your own without being thoroughly educated on what you’re doing first. While completely legal, you really have to know the laws and know what you’re doing in order to avoid inadvertently breaking the law and ending up in trouble. Make sure you consult an expert in the field, and if you can, take a training course.

2. Locate overages. Request lists of overages from the counties you’d like to work in. When you receive them, you’ll need to process the information, decide which claims are worth working on, and get to work researching those overages. Note: you may not want to tell the employee you speak to that you are trying to collect county overages. They don’t like to give up their money, and can sometimes try to make it difficult for you if they know that’s what you’re doing.

3. Locate owners. Next, you’ll skiptrace the potential owners, locating them at their current address and phone number. Or, you’ll attempt to find friends, neighbors, and family members of the claimant who can put you in touch with the owners.

4. Get the owners under contract, while keeping your sources secret. Explain to the owners that you’ve found money they are owed, but that you can’t divulge the location or source of the funds until you have an agreement in place to share the proceeds. You may charge up to 50%. You may have to negotiate your percentage to get the claimant to agree.

5. Collect the overage and keep your percentage. Once you’ve gotten a signed agreement back from the claimant, you’ll go to work processing the claim and getting all the necessary documentation the county requests in order to process the claim. Then when the check comes, you get paid. It’s that simple!

NJ Multifamily Highly Sought After, But Not Readily Available

Multifamily has been the darling of the Northern New Jersey investment community during the past two turbulent years. Today, high occupancies, slowing rental rate declines and fewer landlord incentives, the stability of returns, and readily available financing continue to make multifamily a prime target – but with few properties on the market, trades are slow to date in 2010.

THE FUNDAMENTALS
Multifamily rental occupancies in Northern New Jersey appear to be stabilizing in the mid-90 percent range, approximately 2 percentage points lower than the long-term average. In essence, New Jersey rental fundamentals have moved in sync with the nation – and outperformed the national average. Current statistics signal continued strength.

While employment pressures and housing purchases have led to a more volatile swing at Class A properties compared to Class B/C communities, both have seen occupancies return to parity. For landlords, this is a positive sign that downward rental adjustments are no longer necessary. Equilibrium of demand is returning, and the expiration of home ownership incentives should further improve multi-family occupancies.

Rents at Class A communities have fallen by 10 to 15 percent since their peak in 2007, but still remain in line with inflation, when referencing back to rent levels in the early 2000s. A rapid two- to three-year run up in rents starting in 2003 occurred as the labor market swelled and the new construction pipeline switched to for-sale housing. Significant condominium conversions, especially along the waterfront markets, further impacted the supply-demand imbalance.

The housing boom came to a halt and the economy slowed, forcing landlords to provide two, and even three, months of free rent to stabilize their properties. When their hopes that the market would improve in the 12 months following the signing of a new lease did not materialize, landlords dropped their asking rents by a percentage equivalent to the free rent.

These adjusted rents have needed little further correction, and free rent is being used more sparingly. This is a tell-tale sign that the rental market is firming and that concessions likely will give way to rent growth in the coming year. Economists and government forecasting agencies backstop this projection, stating that employment will be neutral in 2010 following by positive trends in 2011. As the economy recovers, multi-family housing will benefit from its shorter lease durations allowing the ability to raise rents more quickly than other property types.

THE INVESTMENT OUTLOOK
In Northern New Jersey, there has yet to be a sale of an apartment building in excess of $10 million in 2010. This is off from a total of five deals in 2009, and an average of 16 deals per year from 2004 to 2007. With this asset type still considered “the only game in town,” investors and advisors charged with placing money must bid aggressively to win the few properties put up for sale.

This lack of offerings and an influx of new investment dollars from private investors to institutional money managers have created a rapid price appreciation for core assets – the primary target of this type of institutional investor. Value-add investors are pursuing Class B/C properties, seeking higher rates of returns and an opportunity for upgrading and repositioning.