PASSIVELY INVEST IN AMERICA’S HOTTEST MARKET

You are invited to a Zoom meeting When: Nov 11, 2021 7:00 PM EST After registering, you will receive a confirmation email containing information about joining the meeting. The PIP Group, RCN Capital, and National Real Estate Insurance Group have just created the checkmate of all real estate investing moves. The partnership between passive real estate investing and leveraging hard money will change how the individual investor looks at opportunities. Join the PIP Group’s Founder and CEO, Charles Sells, as he joins RCN Capital’s CEO, Jeff Tesch and National Real Estate Insurance Group’s Vice President, Seth Markum as they discuss what this partnership will do for your future investments. In this presentation you can learn: How to fund more projects with the same amount or even less capital. How one can leverage our 20+ years of experience for a much better rate. The variety of different loan options. How to insure your investment properties to minimize your exposure. How to benefit from new insurance products. And much more! After the webinar, have your questions ready for our Q and A session.  Special thank you to REI INK for their continued support and promotional efforts of this event. Take some time to view their website and sign up for their newsletters.

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From Tanks to Magazines

How the Military Shaped this Publisher’s Leadership Style and Work Ethic By Carole VanSickle Ellis Today, Robert “Bob” Rakowski is the publisher of something very rare in the 21st century: a profitable, monthly, print real estate magazine for active real estate investors. The REI-INK founder and publisher proudly observes that the first issue of the magazine, which made its national debut at the Pitbull Conference in February 2019, is built on customer service. “We bend over backward to make our readers and our sponsors happy,” Rakowski explained. The formula seems to be working, as the magazine has featured some of the country’s highest-profile real estate companies and most influential innovators on its cover and, furthermore, has attracted many of these industry experts to its contributor population and editorial board. “One of the things that makes our magazine so good is that all the content is written by subject-matter experts and professionals,” Rakowski said proudly. Unlike the other members of this relatively small real-estate publishing sector, REI-INK also covers all sectors of real estate with the idea that real estate investors who are truly treating investing like a business want and require information from all relevant sectors of the industry. “We knew from the beginning we would not focus just on single-family,” Rakowski said. “We also deal with multifamily, land, industrial real estate, office space, warehouse and storage – if it is important to our real estate investing readers, it is important to us and we will find an expert to contribute on the topic.” Bitten Early by the Entrepreneurial “Bug” When Rakowski graduated from Purdue University, he did what most recent graduates are expected to do: He got a job in his field and started working – hard. “I was working with an international company as a management trainee. That was how things worked back then,” Rakowski recalled. It might have seemed as if today’s REI-INK publisher was destined for a future in the business world (or the music world, as he is also an avid musician and lifelong guitarist), but the future was not so clear at the time. Soon bitten by the “entrepreneurial bug,” Rakowski began “doing his own thing” and started a business. However, just a few years in, “everything changed,” he said. “I had a daughter, and I could no longer be ‘risky’ the way I had been.” He decided to join the U.S. armed forces as an officer in the Army. “I got commissioned as an armor officer in 1984, and I cannot say enough about the military. It is the best job anyone can have in their life,” Rakowski emphasized. In fact, what he planned to be a four-year stint in service extended nearly 17. He worked his way upward through ranks and responsibilities, even working in the “underground” Command Center in Seoul, Korea, where he was assigned to the United Nations for a time. After returning home, he taught ROTC in Arizona and earned his master’s degree. After leaving the military, he served as former presidential candidate Bob Dole’s director of operations for Arizona before being invited to run a political campaign in Phoenix. “That was when I finally reached the point I was at least ‘touching’ the real estate sector,” Rakowski recalled. Still unable to resist the allure of entrepreneurialism, he started a company that helped land developers navigate zoning and entitlements. He even worked with foreign companies who hoped to develop a presence in the United States as well as recognizable names like Wal-Mart, Target, and Circle K. Business was booming, right up until it stopped in the mid-2000s when the housing market crashed and the Great Recession came calling. Fortunately, by then Rakowski had moved into the industry that would ultimately become his passion: publishing. “When the Great Recession hit, a lot of my former clients quit building,” Rakowski said. “They either went bankrupt or they could not get loans to buy land. Fortunately, I had linked up with the owner of a magazine a few years earlier, so I went to work for him during that time. Nine years later, in 2018, that experience served me well because I started my own magazine, REI-INK.” Lessons Learned in the Past, Applied in the Present When Rakowski talks about REI-INK either in terms of production or the finished product, he seldom, if ever, refers to himself. Instead, he speaks of individual participants in the creative process by full name and title or refers to the “REI-INK team,” particularly when giving credit for anything positive accomplished by the group. “In the military, one of the first things they drill into you is that a leader never takes the credit for anything but takes the blame for everything,” he explained. “I know I owe the credit for this magazine’s success to our writers, to Kevin Fullerton of Springboard Creative who designs the magazine, to our advertisers, to our sponsors, to our printing company, to my partner and chief revenue officer Suzanne Andresen who spearheaded the REI Referral Network when we first started that referral program – the list goes on and on.” He concluded, “In the military, you have to trust the people on your right, your left, your front, and back, which I do. That is why this magazine has taken off so successfully, and that is why our readers can trust us to be a reliable part of their real estate team as well.” SIDEBAR Connecting Professionals, Investors & Service Providers Through the REI Referral Network Bob Rakowski launched REI-INK to provide active, full-time real estate investors treating their investments like a business with a trusted resource in the industry. As the magazine skyrocketed to popularity, Rakowski and his CRO and partner, Suzanne Andresen, realized that many investors needed even more. “Our readers told us clearly they wanted to work directly with real estate professionals in local markets, to share areas of investment opportunities, and to have a platform designed specifically for active, full-time real estate investors,” Rakowski explained. In

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Foreclosure Activity Increases as Moratorium Lifted

U.S. Foreclosure Starts Increase 67 Percent From a Year Ago ATTOM, licensor of the nation’s most comprehensive foreclosure data and parent company to RealtyTrac (www.realtytrac.com), the largest online marketplace for foreclosure and distressed properties, released its Q3 2021 U.S. Foreclosure Market Report, which shows there were a total of 45,517 U.S. properties with foreclosure filings — default notices, scheduled auctions or bank repossessions — up 34 percent from the previous quarter and 68 percent from a year ago. The report also shows there were a total of 19,609 U.S. properties with foreclosure filings in September 2021, up 24 percent from the previous month and up 102 percent from September 2020. “Despite the increased level of foreclosure activity in September, we’re still far below historically normal numbers,” said Rick Sharga, executive vice president at RealtyTrac, an ATTOM company. “September foreclosure actions were almost 70 percent lower than they were prior to the COVID-19 pandemic in September of 2019, and Q3 foreclosure activity was 60 percent lower than the same quarter that year. Even with similar increases in foreclosures over the next few months, we’ll end the year significantly below what we’d see in a normal housing market.” Foreclosure Starts Jump Up Nationwide Lenders started the foreclosure process on 25,209 U.S. properties in Q3 2021, up 32 percent from the previous quarter and up 67 percent from a year ago — the first double digit quarterly percent increase since 2014. States that posted the greatest number of foreclosure starts in Q3 2021, included California (3,434 foreclosure starts); Texas (2,827 foreclosure starts); Florida (2,546 foreclosure starts); New York (1,363 foreclosure starts); and Illinois (1,362 foreclosure starts). Among the 220 metropolitan statistical areas analyzed in the report those that posted the greatest number of foreclosure starts in Q3 2021, included New York, New York (1,456 foreclosure starts); Chicago, Illinois (1,122 foreclosure starts); Los Angeles, California (1,102 foreclosure starts); Miami, Florida (992 foreclosure starts); and Houston, Texas (866 foreclosure starts). Counter to the national trend of quarterly increases, among those metropolitan areas with a population greater than one million that saw a decline in foreclosure starts in Q3 2021 were Charlotte, North Carolina (down 32 percent); Portland, Oregon (down 26 percent); Rochester, New York (down 17 percent); San Jose, California (down 13 percent); and Hartford, Connecticut (down 6 percent). Highest Foreclosure Rates in Nevada, Illinois and Delaware Nationwide one in every 3,019 properties had a foreclosure filing in Q3 2021. States with the highest foreclosure rates in Q3 2021 were Nevada (one in every 1,463 housing units with a foreclosure filing); Illinois (one in every 1,465); Delaware (one in every 1,515); New Jersey (one in every 1,667); and Florida (one in every 1,743). Among 220 metropolitan statistical areas analyzed in the report, those with the highest foreclosure rates in Q3 2021 were Atlantic City, New Jersey (one in every 709 housing units with a foreclosure filing); Peoria, Illinois (one in every 754); Bakersfield, CA (one in every 923); Cleveland, Ohio (one in every 936); and Las Vegas, Nevada (one in every 1,167). September 2021 Foreclosure Activity High-Level Takeaways • Nationwide in September 2021 one in every 7,008 properties had a foreclosure filing. • States with the highest foreclosure rates in September 2021 were Florida (one in every 3,276 housing units with a foreclosure filing); Illinois (one in every 3,508 housing units); Delaware (one in every 3,834 housing units); Nevada (one in every 4,009 housing units); and New Jersey (one in every 4,487 housing units). • 10,289 U.S. properties started the foreclosure process in September 2021, up 23 percent from the previous month and up 106 percent from a year ago. • Lenders completed the foreclosure process on 2,682 U.S. properties in September 2021, up 8 percent from the previous month and up 33 percent from a year ago. 

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Building Computers to Real Estate Exec

Investor Profile – Sheila Konecke Graduate of the Massachusetts Institute of Technology. Chemical Engineer. Successful real estate executive. Real estate investor. These are just a few of the words to describe Sheila Konecke, a HomeVestors business owner in the Washington, D.C. metro area. Her company, K2NC, LLC has bought over 400 homes to date, and there is no slowing down for this former chemical engineer. Konecke graduated the Massachusetts Institute of Technology with a B.S. in Chemical Engineering in 1980. She then began her corporate journey with IBM “building computers,” which is an understatement considering that while there (and with subsequent companies) she filed for patents to protect several inventions her and her teams created. In 1999, while still entrenched in the corporate world, Konecke attended a three-day class to learn how to buy and flip houses. During the next seven years, she bought fourteen houses. The only problem was she realized she could not buy properties at low enough prices to maximize her potential. Enter Eric Konecke, her brother! In 2006, Eric introduced Sheila, a single parent who lost her ex-husband to cancer, to HomeVestors. Together they bought their first franchise in the Washington, D.C. area. They were both attracted by the recognizable name brand, the built-in advertising and marketing programs, and the strategies and systems for buying homes. From the outset, the sister-brother team followed the HomeVestors’ proven systems and never questioned them. They bought their first house even before doing any advertising! Jumping Ahead Sheila Konecke retired from her corporate job in 2016, after thirty-six years of working as an engineer with IBM, BAE Systems, and a few other corporations whose significant scientific contributions we take for granted. To date, the Konecke team has made over four hundred deals and buys between 30 and 45 properties per year. Sheila estimates that 80% of the homes are flips, 10% are buy-and-hold, and 10% are wholesales. In 2019, they began acquiring Airbnb’s and now own four in the DC and Baltimore areas. They also bought a second franchise in Baltimore. “The Washington, D.C. area is great for investors,” according to Sheila, “while Baltimore is very different. Baltimore has lower price points and a slower appreciation rate.” And both markets are different from Los Angeles where her son is a real estate agent. Sheila also works as a Development Agent in both Washington, D.C. and Baltimore. In this capacity, she coaches other franchisees about the local market, how to approach and work with sellers, and how to build a network of vendors and contractors. She also advises them on strategies for rehabbing houses that will help them maximize their ROI. “Most importantly, I let them know what not to buy,” Konecke said. Lessons Learned and Some Advice When asked if she made any real estate decisions over the years that she regretted, Konecke shared her 2007 Great Recession story. “In 2007, we had twelve houses in the pipeline. The ‘Great Recession’ was starting in earnest. We sold some of those houses and broke even, some of them we held as cash flowing rentals, and 2 of them we took a huge loss on. In retrospect, we should have kept all those houses or as many as we could.” And her advice for people getting into real estate: “People fail in real estate because they don’t have enough cash. You either need cash or ready access to it.” Analytically spoken! HomeVestors What exactly does it mean to be a HomeVestors® business owner? Owning a real estate business is life changing and naturally comes with risks! When you become a HomeVestors business owner, you get immediate access to motivated seller leads, financing resources for qualifying purchases and repairs, one-on-one coaching with your local Development Agent, proprietary software for analyzing properties and deals, and access to a nationwide network of coaches and peers. Your house-buying business is yours and you run it as your own venture with a focus toward your individual business goals. If you are interested in a franchise, call 855-454-4578. Each franchise office is independently owned and operated.

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5 Proven Reasons to Switch from Zillow 3D to Matterport

Technology for the Full Lifecycle of Any Property By Kori Covrigaru When you are a Single-Family Rental investor, you often need in-depth information about properties that can be difficult to access without being on-site. You also need the marketing power of the world’s best real estate platform — Zillow. Now you can have both. Matterport, the top virtual walk-through technology, is now available on your Zillow Rental listings. So you have a choice – Do you use the native Zillow 3D or Matterport virtual tours for your listings on Zillow? Here are five reasons to choose Matterport. 1. Matterport is now available on Zillow Matterport lovers rejoice! You can now use Matterport on Zillow Rentals. A major disadvantage for Matterport was that it did not link with Zillow, the world’s most popular real estate site. But Zillow recently added functionality, allowing Matterport virtual tours to be included on Zillow Rental listings. 2. Full property lifecycle use A Matterport tour is unique in its attention to detail and accuracy. This means that it can be used for the full lifecycle of any property. Pre-acquisition: Matterport provides detailed views of a property to help you make your acquisition decision. The immersive experience will give you a lifelike walk-through of the property with zooming and measurement capabilities, unlike any other platform. You will know exactly how much you would need to invest to get the property rent ready before stepping foot inside. Renovations: Make renovation decisions from afar. A Matterport tour provides a dollhouse view helping you visualize the property in its entirety. Matterport’s measurement capabilities can help reduce material waste and change orders for your renovation as well. Property turns: Attract new tenants with a virtual tour. 95% of renters say they would be more likely to rent a property if a 3D tour was present on the listing. Tenant move-out: Schedule a virtual walk-through of the property post-move-out to inspect the space, identify any potential damage and help you plan a refresh to get it rent ready. 3. Remove renovation planning Investing comes with its share of anxieties. You cannot always be on-site for tasks like meeting with contractors or completing walk-throughs during a renovation. By leveraging Matterport, investors can be present without being on-site. With the detailed views, investors can direct the project, approve purchases and trust that their renovation is on track and on schedule throughout each phase of the project. 4. In-depth walk-throughs 3D dollhouse view: Matterport allows users to view the house from the outside looking in, minus the outside walls, like a dollhouse. Floor plans: Matterport creates a 2D schematic floor plan as well, with dimensional accuracy within 1%. Measurements and dimensions: Speaking of near-perfect dimensions, Matterport provides accurate dimensions with a tool that measures any spaces of your choice. Need new counters? Want to replace that shower? Take measurements for the projects right from your Matterport tour on demand. 5. Virtual reality-like experience With Matterport, your tour is immersive and provides the detail needed for SFR investors. • Use the zoom capabilities to dive deep into the details • Take measurements for renovations • View the property from any angle with dollhouse views There is no question that Zillow is a powerful platform for getting your property noticed. But you no longer need to be limited to the native app when using Zillow’s amplification power. Get the most from your properties’ virtual tours with Matterport’s powerful, full lifecycle capabilities.

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Utilizing Technology in Asset Management

The Best Way to Avoid Being Left Behind By Bryan Lysikowski As a construction professional, it is critical to stay up to date with the latest technologies and industry trends, especially those that can increase productivity and overall efficiency. Ultimately this will allow for the ability to quickly identify what products or trends will be worth investing your resources to implement. If a company wants to remain competitive in the SFR construction and service industry, they need to adopt the available beneficial technologies, or they may get left behind. As new technologies emerge in the SFR service industry, organizations can struggle to keep up with them all. Implementation and adoption of these new technologies can take a considerable amount of time and resources, so it is critical that companies in the SFR space toughly vet and test out these new products before going down this path. And while embracing new technologies may require significant upfront investments, they can also save time and money and potentially provide a competitive advantage and provide you with new opportunities for growth. The best practices for implementing new technologies apply universally to most organizations; however, the benefits and the “why” can vary drastically from one entity to another. One thing that does not change is the fact that technology can and does improve how teams work by reducing costs, increasing efficiency, and adding value for customers. Adopt, Embrace and Invest in New Technologies Quickly The construction industry has been historically slow to adopt new technologies. Luckily, this is starting to change as more organizations realize how impactful these technologies can be to their bottom lines. Before deciding on which technologies to adopt, they should research various available products. In the research phase, product demonstrations, hands-on testing, and understanding best practices will help determine which options would work best for you. After researching and completing a thorough evaluation, companies should adhere to a three-step process to incorporate the new technologies: adopt, embrace, and invest. Once you have decided to invest in and adopt new technology, it is important to ensure that staff will embrace it at all levels. Educating staff and providing adequate training will be a critical step to having a successful implementation. This will not only ensure that the modern technology is used correctly but will also help employees understand the overall benefits and ultimately embrace the changes. Adoption also requires an investment of the organization’s resources of both time and money, so it is vital to make sure that budgets include adequate allocation with these investments in mind. While it can be easy to focus on only the direct cost of the selected product, you must also account for training, professional services, equipment, implementation, and ongoing maintenance. How Do New Technologies Affect the Bottom Line? Here are some ways technology can help organizations in the SFR space increase efficiencies in their existing workflows. Help Streamline the Acquisition Process By utilizing mobile devices and 3D photo imaging cameras, platforms like Matterport allow an asset to be digitized and sent back to the primary office instantly. Experienced estimators can utilize the data’s measurement capabilities to create complete construction scopes and cost estimates without in-person visits to the asset. This process allows for estimators to be centralized and eliminates the need to find a reliable estimator in each market where clients are acquiring properties and reduces the need to make multiple trips to an asset. It can also help reduce the time it takes to get estimated costs for repairs, which enables clients to make acquisition decisions sooner. Collaborate Quickly and Effectively Using technology while at the asset makes it more efficient for contractors to collaborate with the clients, asset managers, tenants, owners, and other stakeholders in near real-time. These communications can also provide real-time feedback to contractors or team members still at the asset who may have questions or issues while in the field. All communications are logged and can be helpful when dealing with tenant-occupied properties when accurate notetaking is not only needed but required. This process can be further facilitated with web-enabled or mobile apps and allows instant data collection, document sharing, and reporting. Other common systems used in this manner are bid management platforms that utilize mobile devices with alerts and notifications, online bid rooms, video meeting platforms, and GPS check-in and tracking. These solutions can help increase real-time communication and collaboration among teams and stakeholders, allowing for reduced timelines between project milestones. Simplify and Automate the Information Capturing Process In-field staff can use mobile devices to check-in and out of a property, provide photos, and property condition reports and then wirelessly send this information instantly from the field to the client or back-office staff. Mobile data collection while at the asset eliminates the need to complete physical paperwork after leaving the job site and reduces the likelihood of missing critical data that would result in a time-consuming return trip to the property. Real-time collection of data also streamlines the back-office process and allows for quicker transmission to the client. Information can be directly integrated into the organization’s system of record, which decreases the likelihood of errors and eliminates the inefficiencies involved in paper-based forms. Ensure Teams are Meeting Compliance and Documentation Requirements Using technology solutions to manage project communications and documentation allows organizations to better meet compliance regulations and documentation requirements by enabling them to be completed more accurately and efficiently. Digital photos, video, 3D imagery, and project-related documentation can be stored in document management systems. These systems can then be accessed in multiple ways and can be shared with all stakeholders. These solutions can save a significant amount of time since all stakeholders can access the documents without typical delays in making off-line documentation requests. Access Real-Time Data with Mobile and Cloud-Based Solutions Cloud-based document management systems, paired with mobile devices, help improve the efficiency of asset-related workflows by making all related documents easily accessible no matter where you are located. Contractors can easily access scopes of work, photos,

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