Pre-Paid Legal is something that all of us should have. We
have health, auto, home owners insurance, etc, yet we don’t have legal
insurance. Probably your largest expenses as a real estate investor will be
your attorney bill. As investors we need attorneys for handling evictions,
reviewing contracts, setting up our estate, drafting contracts, etc.
I started investing in real estate in 1985. As my
investing business grew I built up a network of attorneys, this was
something that just seemed to happen over time and thousands of dollars
later. Since I had many rental properties, I first found an eviction
attorney. I then needed to create a few LLC’s (Limited Liability Companies)
for my various properties and partnerships. For this need, I hired a
corporate attorney. Over time I experienced tough cases against some of my
past tenants owing me larger amounts of money. I wanted a “pit bull”
attorney, a litigator, to go after them. So I hired one of those, too. Over
the years, my assets increased rapidly with my real estate purchases, and I
wanted a living trust created which meant I had to find an estate planning
attorney. WOW and this is just to name a few!
I realized that legal fees were something you must incur
in any business, however, saving legal fees was even more important to me. I
needed experts in all areas of law, but I hesitated to call each of them
unless I really had to have their representation. Each call was a minimum 15
minutes I was billed for – at $200/hour – every time I called it cost me
$50. Sometimes I would call for a simple question and get a $50 bill.
As a real estate investor, you will have many questions.
It is too expensive to pick up the phone and call an attorney for every
question you will have. So, what do we do? We either ask someone (another
investor) who has experience, but they might not be giving us a legal
opinion, or we do without. Both paths can be very costly or end up
disastrous.
Back in 1997 I was attending a real estate seminar and
someone spoke on a service called Pre-Paid Legal. Up to that moment I had
not heard of Pre-Paid Legal, but I was fascinated by what it could help me
save in expenses. I absolutely loved the attorneys that I had in my network,
but I didn’t want to spend unnecessary legal fees either. To this day I
still have the same attorneys as I did when I first started in this
business, but now I also have the service called Pre-Paid Legal. It has
saved me thousands if not tens of thousands of dollars each year!
Pre-Paid Legal has several different components to the
plan. The first plan is called the Expanded Family Plan and it offers many
services. It is not a “be all, end all” for the real estate investor, but it
is so reasonable, that you can’t afford to NOT have it. As a Pre-Paid Legal
member this plan gives you access to A+ rated law firms in every state, all
over the United States and also four provinces in Canada. What you receive
with this plan is amazing: unlimited phone calls to your local attorney
firm, review of personal contracts up to 10 pages in length (no charge and
unlimited), one business contract review per year, representation in court
if you are personally sued (the trial and pre-trial hours continue to grow
each year you are member up to 335 hours in year five), audit representation
on your personal tax return with a tax attorney, drafting of your and your
spouse’s will (with updates each year), court appearances for moving traffic
violations (accidents and speeding tickets), and much more.
The great thing about Pre-Paid Legal is that it works in
other states, other than where you live, if you need an attorney. I invest
in many out of state properties. The attorneys in my network are not
licensed in those states. Pre-Paid Legal will refer me to an attorney in
those states for my real estate needs and also any speeding tickets. The
cost for this plan is only $25 per month. You can see why it is a no-brainer
if you are serious about investing in real estate, for that matter, even if
you are not.
It gets better. There is also a Home-Based Business Rider
available in most states. This add on plan gives the real estate investor:
three business contracts reviewed per month up to 15 pages in length, three
collection letters per month, and three business letters written on behalf
of your business per month. As a member you will also get access to a
website full of downloadable contracts and also many articles on small
business. The website you will receive access to is called:
www.gosmallbiz.com.
The cost for Home Based Business Rider, as a add on to the Expanded Family
Plan, is only $14.50 per month. If you are in a state that has this plan,
you will definitely want to take advantage of its availability.
The last plan Pre-Paid Legal offers and that I personally
have is the Identity Theft Rider. This plan will not only monitor your
credit daily and tell you of anyone that touches your credit, but the plan
will also restore your identity if it is confiscated and misused. Did you
know that one out of every four families this year will be affected by
Identity Theft? This plan can be added on for only $9.95 per month.
All of the plans are for the entire family -- kids to the
age of 23 (if a full time student), and your spouse or significant other if
you live together. Identity Theft is for both partners.
I use Pre-Paid Legal with my current attorneys to
formulate my legal team. I could give you countless number of stories on how
I have used it over the years and how it has saved me thousands of dollars,
here are just a few:
Example 1: I was refinancing an apartment building
and needed a rushed appraisal.
Unfortunately, the appraisal had mistakes in it and was
not completed on time. I tried to get my money back. The cost was $2,400!
The mortgage company and appraiser ignored my many requests for
reimbursement. I even sent certified letters requesting a refund. No
response from anyone -- I was utterly and completely ignored. I decided
enough was enough and I called Pre-Paid Legal. That same day they sent a
letter out to the appraiser (no charge to me) and the mortgage company.
Within 2 weeks I received a refund check for $2,400. Amazing that my letters
meant nothing, but a letter from a high-powered attorney firm got a
response!
Example 2: When my daughter turned 16 she had two
car accidents involving other people (four accidents in all, but that’s a
whole other story). I called Pre-Paid Legal for representation for these two
accidents and they went to court with us. At 16 years old you can lose your
license for this many accidents in a short period of time. At both
appearances they were able to get all the points removed and her record is
pretty much clean. She did have to pay the fines and attend a 1-day class,
but she didn’t lose her license nor did our insurance go up due to potential
points on her record. Having an attorney on your team really makes a
difference!
I felt the need to share this information with all of you.
I wish I had known about the service when I was starting out as an investor.
If you like what you have read about the service and would like more
information, you can go to
www.prepaidlegal.com/hub/mgott and review the plans first hand. From
there, you may sign up directly on that site.
If you have further questions please call Michael Gott at
248-227-3943 and he will be happy to answer them based on your specific
needs or wants. You will definitely want to get jump started in your real
estate business with Pre-Paid Legal.
The following is from
PREPAID
LEGAL:
For 30 years, Pre-Paid Legal Services has provided equal
access to justice for middle income families across the United States and
Canada for less than the cost of a cup of coffee a day. As a New York Stock
Exchange Company with over one million members, Pre-Paid Legal is quickly
becoming a household name as a revolutionary, rock-solid solution to an
often inaccessible justice system. The law firms providing services under
our plan are service-oriented. In order to meet our selection criteria, they
must understand and empathize with our members' legal problems
Our Provider Law Firms are selected after extensive
investigation and are closely monitored to ensure our members receive
top-quality service Pre-Paid Legal has the combined buying power of members
across North America. As a result, when you call your Provider Law Firm when
you have a legal need, you represent one of their largest clients- a
significant incentive for providing quality, responsive services.
The American Bar Association says:
- "Americans have come to view legal assistance as a
necessity. The best way for the majority of Americans to be able to
assure themselves of legal assistance when they need it... is through a
prepaid legal plan."
- "More than half of all households have a legal
situation right now."
"Even law abiding Americans will encounter a legal
situation an average of four to six times per year." -National Resource
Center for Consumers of Legal Services You are nearly three times more
likely to be in court than you are to be hospitalized. -National Center for
State Courts and the American Hospital Association If you went to a lawyer
and said, "I need your services. I can't pay your rate but here's what I
need you to do for me:
- I want phone access to you for any subject matter
that comes up.
- I want you to review every document that I sign.
- I want you to prepare my Will and update it every
year.
- If I get a speeding ticket, if I get sued, or if I
get audited or need to go to court, I want you to represent me.
I realize I'm asking a lot from you, so in return I'll buy you a cup of
coffee a day.
Do we have a deal?
Of course not...it sounds ridiculously one-sided, but that's exactly what
you get with a Pre-Paid Legal membership!
Have you ever?
- Been overcharged for a repair?
- Tried to return a defective product?
- Received a moving traffic ticket?
- Lost a security deposit?
- Been audited?
- Signed a contract?
- Purchased a home?
- Prepared a Will?
Why would you be without protection such as this? We
protect ourselves against unforeseen medical expenses but yet we are 3 times
more likely to end up in court then in a hospital.
Now that you know about Pre-Paid Legal is there a reason not to start you
legal protection today?
You can sign up today at :
PREPAID
LEGAL
© 2007 by Wendy Patton
Wendy Patton is widely
recognized as one of the most inspiring speakers on "Little or
No Money Down" real estate investing. Her real estate savvy and
great depth of experience and knowledge has helped her in
orchestrating the most complete and easy to follow, Lease/Option
Program in circulation.
Home Study Courses by
Wendy Patton
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