Latest Real Estate Articles

How To Tell If A Deal Is Profitable For Real Estate Investing

Thu, 29 Jul 2010 18:58:58 +0000

Successful real estate investing demands you acquire profitable deals regardless of your business model.
The following tips will guide you on how to narrow down on profitable deals and weed out the bad ones.
1)    Fair Market Value
You must know the Fair Market Value before you can make an offer on any property.    When buying houses, I try to work with low market value to be safe.

The county records market value of the property is a good indicator of market value. It is usually lower than comparable sales of homes sold in the area. However in a poor house market, depressed house values can be caused by foreclosures in the neighborhood. If you do not have access to the MLS, you might need a local realtor in your dream team to run comps for you.

2)    Renovation Estimates
You will need to do some kind of repair on most houses.   You must reliably estimate repairs quickly without getting too detailed. As you get experienced at looking at houses, you can estimate repairs by looking at a house in 5 to 10 minutes.

I try to work with higher repair estimates to stay safe.

3)    Mortgage Balance
You cannot make an offer on the property unless you know the mortgage balance. If your offer cannot pay off the mortgage and leave a profit for you, then you may be better off looking for another deal.

If a seller is not motivated enough to provide this information, you better look for another deal.

4)    Sale Price
If a motivated seller wants full market value for their property, they are not motivated enough for you. If a seller is looking to get full market value for their house, move on to the next deal.   Unless they can allow a margin for profit, you may be better off looking for the next deal.

Sometimes motivated sellers may not know the market value of their house, and showing them your numbers may change their minds and accept your offer.

5)    Is It Occupied?
This indicates how motivated the seller is. If they are making more than one mortgage payment, they will without doubt want to sell fast.   It also means you can take possession of the house as soon as you buy it.

How do you collect this information?
A good real estate investor website is the easiest way to receive this information. A good real estate investor website will definitely help you receive this information.   The website should pre-educate them how you work and allow them to submit their house information directly on your website.

The form should ask for as little information as possible but just enough to know whether you have a deal or not.

The less information you collect the more response you will get through your website.   This will save you lots of time because you only talk to motivated sellers whose numbers make sense.

You can then ask them for any information you need as you talk to them.

Sources Of Buyers For Your Real Estate Investing Deals

Wed, 21 Jul 2010 17:56:51 +0000

As the saying goes, you make cash in real estate when you buy houses. But obviously you have nothing until you sell your properties.

The faster you can get a buyer and sell, the more profits you make out of your deals. The more you hold the house, the more the holding costs and the less the profits.

It is therefore important to identify potential buyers for your properties. As a house flipper, the assumption here is that you flip houses as your real estate investing model.

1)    Build a buyers list
This is the most critical requirement so selling houses successfully.   A buyers list is a list of potential house buyers where you buy and sell houses.

When selling properties to end users, this is a list of people looking to buy houses on retail or terms who meet the criteria of your houses.

When flipping houses, you build a wholesale buyers list, or people who buy houses, fix them and then rent them out or sell at for a profit.

A real estate investor website is crucial to meet this need.   The website must have the capability to collect names and emails of potential buyers before they can view house details.

The real estate investor web site must have integrated squeeze pages that allow you to get the names and emails of potential buyers before they can get access to property details.

You then advertise your squeeze page or web site.   Once they sign up to your buyers list, then you can send them deals of your houses as soon as you receive them and hopefully get a buyer for your properties.

2)    Local networking meetings
These are critical because you meet real estate investors that buy and sell properties in your market. Make it a habit of exchanging business cards and always request to add them to your buyers list.

3)    Foreclosure auctions
Most foreclosure sales are attended by hundreds of real estate investors.   Even though you may not buy from these auctions, you can make important contacts who can be potential buyers for your properties.

4)    Newspapers
Placing an ad in a local newspaper whenever you have properties for sale is likely to get you buyers fast.   I give them my real estate investor website address rather instead of a phone number. Before they can view the properties I have for sale, they must join my buyers list.

5)    Online sources
There are may web sites where you can advertise properties you have for sale. Start with Craigslist.com.   Always aim to send them to your website so they can give you their name and email.

6)    Social networking websites
You can reach hundreds or thousands of reale state investors through Facebook and other similar websites.   Sharing your properties in Twitter, Facebook and so on can get you potential buyers fast.

Reasons to Visit The City of Nottingham

Mon, 12 Jul 2010 11:51:14 +0000

If you have never been to the city of Nottingham before you have lots of reasons to do it now, however if you were lucky to visit this place with such a recognizable name all the more you would like to do it again. Resting upon river Trent the city of Nottingham is located in the East Midlands of England. The fact that films about Robin Hood and his emprises depict and mention of this very place attracts many tourists to this city and surrounding areas. Nottingham cultural achievements It is important to note that the large areas set aside for various entertainments and amusements make this city an ideal place not only for teenagers but for adults as well. From the cultural point of view the city offers many places to visit: museums, galleries, theatres, cinemas and music venues such as Rock City, The Old Angel, Ocean, The Edge and many others. They attract all sorts of the most popular and recognized names in music. Their performances definitely charm thousands of spectators. This city is also known as a place that plays hosts to various festivals where the annual Goose Fair is considered to be the largest show of its kind not only in the country but in the world. It takes place at the Forest Recreation Ground in October and lasts about four or five days. This trade tradition is originated from over seven hundred years ago and is still a popular trade fair and gigantic attraction with many different rides and games. If you are fond of relaxing in the Turkish bath or at least want to know what it is and what it looks like the city can give you this unique opportunity to experience it. Educational organization Nottingham takes on an important role in lots of students` lives due to its educational institutions. To be more exact the city plays home to two universities and several smaller colleges. These several educational facilities house about 40,000 students giving them quite a few studies in various subjects. Nottingham's School of Fashion graduated noted fashion designers; one of the striking examples is famous designer Paul Smith. One of the oldest education establishment as Nottingham High School founded in 1513 is also here. Moreover almost each of the educational institutions provides residence for first year students. But those who don`t want to stay on campus can look for some dwellings out of it and it easy to find. Using available search engines it is quite enough to type the words Student Lets Nottingham or Property Nottingham to get the desired result in no time. It goes without saying that there are many student organizations, gyms, shops and others. There are different chat rooms organized for varied student population where they club together and join each other's activities. The university's sport teams take part in the British Universities Sports Association. The organization of weekly music nights and student radio programs make things really zipping along here.

How Real Estate Investors Find Great Deals When Flipping Houses

Fri, 09 Jul 2010 06:14:41 +0000

These tips will help you find good investment properties.

The obvious qualification when buying any investment property is if you are buying it low enough.

These few points will help you qualify a house as a good investment.

1)    Extent of repairs
Most wholesale houses need repairs.

You must determine the depth and cost of such repairs.

If you determine the fixes needed are mainly cosmetic, you probably have a good deal.

Unexpected fixes can east up all your profits.

2)    Budget
Can you fix it and stay within your estimated budget?

Now and then, it could be obligatory to carry out an inspection even for a house that needs repairs to find out if you might want to do structural repairs such as plumbing, changing walls and so on.

3)    Time frame
Can you do rehab in a short time-frame?
Will these changes boost the house value and make it easier to sell?

Speed is necessary when flipping houses so costs remain low.

Your goal should be to spend little money, cash in quickly and move on to the next deal.

4)    Hiring contractors Vs doing it yourself
Even though flipping houses involves wholesaling them to other rehab real estate investors, it may be necessary to assess the type of rehab that needs to be done and if you can do it yourself if necessary, or hire a contractor to do it for you while keeping the carrying costs low.

5)    Neighborhood
Avoid low-priced areas or war zones.

You must also stay away from expensive neighborhoods when flipping houses.

Staying within the medium price range will not only give you more deals, but your properties will be easier to sell.

Is the house comparable with other houses in the same neighborhood?

Is it too small or too big compared to the other houses?

Any of these factors will make it harder to sell your house and potentially eat into your profits.

Stay within the average for the neighborhood to sell faster.

6)    Comparable sales
Do comparable houses sell at prices that will allow you to make a profit?

Though you could think you are buying low, comparable sales in the neighborhood could prove you wrong.

It is safer to have conservative estimate of the fair market value when buying houses than make end up making a loss because houses in the same market have not been selling within your price range.

7)    Demand for the property
Even in a depressed real estate market, some neighborhoods will be in more demand than others.

Is it accessible to schools, shopping, parks, hospitals and others that make it more marketable?

This will make you sell your house fast.

Whether you plan to flip the house to another investor or do the repairs yourself, these are important factors to consider that will make your house sell faster and move on to the next deal.

Important Questions to Ask Before Starting the Short Sale of Your Home

Thu, 01 Jul 2010 11:58:30 +0000

In today’s market, with home prices substantially lower than during the housing “boom”, you may find yourself in the position of having to sell your home, yet owing more to your lender than you can get for the house on the open market. One way of solving this problem – and avoiding foreclosure – is to sell your home in a “short sale”. With a short sale, you sell your home for whatever the current market will bear, and your lender agrees to accept the proceeds of that sale and release the lien on the home.
A short sale is not to be taken lightly, but it can present significant advantages. Before you pursue a short sale of your home, you should consider these important questions:

1.Do I have a Qualifying Hardship? Lenders generally will only accept a short sale when the mortgage holder has a bona-fide inability to meet their current mortgage obligation, or a “qualifying hardship”. There are a number of reasons why a homeowner may face financial hardships -- job loss, divorce, and medical bills are just a few. Many hardships will qualify you for a short sale and allow you to sell your home.

2.Who are the lending institutions for my loans, and how do they handle short sales? Every lending institution has a different set of guidelines and policies to process short sales. Some work quickly and some work slowly. Knowing how your institution works is an important part of being successful.

3.Does my Realtor understand how to work short sales with my lending institutions? Short sales are relatively new type of sale that many independent Real Estate Agents are unprepared for. If your agent is part-time, new to the process, or has not closed many transactions of this type, be concerned. The bank you are about to negotiate the short sale with is likely processing thousands of these transactions and is fully prepared to get the best deal it can. Make sure you have a Realtor that is fully prepared as well.

4.What are my tax consequences? When should I talk to a CPA? In every short sale, there are potential tax consequences that a seller must manage. Asking your CPA or tax advisor about your situation and possible consequences is a very important part of planning for your future.

5.Are my loans “recourse” or “non-recourse” loans? Could I be held liable for the loans later? Most loans are written as “non-recourse”, meaning that the lender will not be able to pursue you in the future for a loss incurred. However, some loans are recourse loans in which the financial institution may choose to pursue legal and collection avenues for the loss. Even this aspect can be negotiated – after all the lender does not want your house back, and stands to lose thousands if there ends up being a foreclosure instead of a short sale. Make sure your Realtor is prepared to help you negotiate if you are in the “recourse” category.
Remember, in most situations, a well-planned short sale of a home has significant advantages over a foreclosure. If you are facing financial hardship, if your home is worth less than what you owe on it, if you are unable to pay the bills, if you need to sell due to relocation of a job, then contact The Thompson Group today. We serve Phoenix, Arizona and the surrounding cities.

Urban Legends: Finding the Perfect Home

Thu, 01 Jul 2010 11:50:11 +0000

Does the “perfect home” exist? I guess if you have an unlimited budget, then probably so. For the rest of us – those who aren’t rock stars or professional athletes -- the perfect home for us may exist, but finding it requires a little preparation. Here are some steps to take to get you there.

1.Meet with a Realtor for a buyer consultation. Good Realtors start by meeting with you to identify your needs and to inform you about the current marketplace. Understanding what is available and how it may meet your needs can save hours of time otherwise wasted looking at homes that don’t work.
2.Meet with a reputable lender. Getting qualified and knowing what the monthly cost of your new home will be is an important step to take. Looking at homes in a price range that is too high, with monthly payments you can’t afford can waste a lot of time -- and cause a lot of heartache if you decide on a home you like only to find out later that you cannot afford it.

3.Determine your primary and secondary locations for your home. A primary location is generally determined by the ideal maximum distance you would consider living from work, family and other social functions. For example, “I would really prefer to live within five miles of the office and the kids' school.” Your secondary location is generally based on how far you’re willing to live, if a home in the primary location isn’t available: “I’d be willing to live up to ten miles away if it was a great home.”

4.Decide what type of home will meet your needs, and then determine if any homes that meet your needs are available in the primary location. If not, are there any available in the secondary location? Remember, the number one factor in determining real estate values is location. Sometimes tough decisions need to be made based on whether or not you want a specific home or if it’s more important to be in a preferred location.

5.Last but not least, once you have an idea of what type of home and what location will work for you, go look at homes.

Renting An Apartment - Advice For First-Timers

Wed, 12 May 2010 08:46:09 +0000

Renting an apartment is something that most people have to do at some point, especially now that the price of a home is out of the reach of most young people who are just starting their career. You can get some really great rental deals, but you have you to know what you are doing else you could end up being out of pocket. To make sure that you get a good deal, and do not overspend or get ripped off, bear in mind the following...

Cost - You need to decided on a budget before you start looking for an apartment, and stick to it. A good rule of thumb is to not spend more than a third of your monthly income on rent. If you overstretch yourself, and rent somewhere that is beyond your means, then you will soon regret your decision as you will not have enough disposable income to do all the things that you like to do.

Private landlord vs. property management company - You need to decide whether you want to rent an apartment from a private landlord or a property management company. A private landlord is more likely to be someone hoping to get rich quickly from their real estate investment, and who will avoid making improvements / repairs whenever possible. On the other hand, a property management company is in the business for the long-term, and are more concerned with building up and maintaining a good reputation.

Your lease - When renting an apartment, you will need to sign a lease agreement, which is a legal document that states the terms and conditions that you and the landlord must adhere to. Your lease will probably be at least a few pages long, but you must read all of it. If any problems arise later on, you will be bound by whatever is stated in the lease, and saying that you did not read / understand parts of it is no defense.

Electricity, water, etc. - The cost of water, electricity, etc. can add a significant amount onto your monthly rent payments, so be sure to save some of your budget to account for such costs. Some landlords will work these costs into your monthly rent payments, but it is not a common arrangement. Dealing directly with utility companies is the cheapest course of action, as then your landlord cannot add any mark-up onto the standard bills.

Information About The 2010 American Resort Development Association Annual Convention

Wed, 12 May 2010 07:08:07 +0000

The American Resort Development Association (ARDA) is an American group of resort developers. For members of this association to meet with each other and discuss about the latest trends in the industry, a special convention is held during the course of each calendar year. This meeting assists the association's members to know more about the issues concerning the development of resorts throughout the world.

This event, where professionals of the resort development industry from more than 20 countries worldwide meet together along with their peers, is the only one of its kind. There is a definite advantage to take part in this meeting, since it provides an opportunity to meet the experts of the industry and network with them too. The resort developing industry too has problems like that of other businesses. The high profile speakers that attend this convention help members to overcome these problems.

Apart from that, those who attend the meeting also get a unique opportunity to learn about new services and products directly from the suppliers. During the course of the annual convention, the participants get the opportunity to meet and discuss with the other leaders of the industry, all under one roof. This show that is aimed at the resort development industry allows industry suppliers to gain recognition and also to gain important leads.

At the same time property managers and developers get an opportunity to learn more about the latest in services and products. Thanks to the strong attendance and an action packed agenda, the 2010 American Resort Development Annual Convention held at the Venetian Resort Hotel Casino, was a huge success. One of the highlights of the show was the opening keynote which was delivered by Andy Sernovitz. ARDA is famous for the receptions and parties held during such conventions and 2010 was no different.

The 2010 American Resort Development Annual Convention was held from the 14th to the 18th of March, 2010. If members were enthralled by the RCI/AIF Open that was held on Sunday, they were overjoyed by the Monday night ICE Breaker Party which was held at LAVO. The convention ended with a special event held to honor the leading professionals of the industry. Rhythmics provided the entertainment for the concluding session of the convention.

How To Find Apartment Rentals For Family Living

Sun, 09 May 2010 09:58:43 +0000

Looking for an apartment is much easier when it is just for a couple or single person. But when you have a family to think about, there are some specific things that can make a great building. The best way to find apartment rentals for family lifestyles, is to be thorough when you are viewing units.

The exact measurements of your unit is important. Kids need lots of space to put their belongings and have room to run around. Some apartments will have larger main living areas but smaller sized bedrooms. It doesn't matter which rooms are small and which ones are big, as long as there is enough room.

If a small apartment is what you will need, then ensure that there is enough room outdoors for kids to be active. Your unit doesn't have to be overly large, but if there is a grounds area with some green space, kids and families can make use of the extra space there.

When you have a laundry service in the same building as your apartment, it can make it very easy when you have kids. More family members can mean more laundry and you don't want to be taking clothes to the off site laundry facility if you don't have to a few times a week. When it is just down the hall or down stairs, you can do a few loads during the week, when it is perfect for you.

Daycare that is located in the building itself, can be a nice feature to have when you have kids. Often the traveling in the morning or on the way home from work, can be exhausting enough, when people have to add time on to the commute to do a daycare drop off or pick up, it can be tricky. When it is close by, it can make life easier for everyone.

Some apartment buildings have parks and a pool on the property. This can be nice for anyone who has kids and likes to spend time doing recreational activities. Often people with young kids, need an extra place that is close by, to let kids run, climb and swim. For older children, parents can send them to the park, when they need to get outdoors.

When you have children, getting out to the store, can be tough. This is especially true if there is no access to a car. Finding a building with a store, can make running small errands simpler and faster to do. There will be times when you run out of important items that you need, and getting out to a store might not be an option, there could be bad weather or no access to a car, but when a store is located in the building, you just have to take an elevator to get to your destination.

With the right apartment rentals for family situations, you can have a building that you can truly call home. When everything can be accessed right at your building it can be handy for anyone who has a family and children. An apartment that is full of families and kids, will provide you with the right environment to raise a family.

How To Organize A Research On Your Home's History

Thu, 06 May 2010 08:33:58 +0000

Investigating the history of an historic piece of property tend to be extremely enjoyable. But that excitement can certainly change to frustration if you lose trail of your research materials. Before you move too far into the investigation of your house, conclude how you will coordinate the data you acquire. There is nothing more annoying than attempting to discover an old scrap piece of paper that you know you took notes on - unless it is going over ground that you have already covered because you can't recollect which sources you have looked at in the past. Because most of us will do our investigation over a period of months, or even years, it is ridiculous to recall what has been prepared exclusive of an organized file.

In a research, it is most useful to make use of a three ring binder, with dividers isolating the numerous sources of research i.e., directories, title searches, correspondence, etc. I prepared all of my interpretation on 8 1/2 " x 11" sheets of paper, which could then be easily inserted into the proper section of the binder. Writings on small scraps of paper tend to get lost. Photocopies made during the search procedure will also be this size, creating all constant and simple to file.

Take notes information in a log as soon as you get it and write down, in detail, where and when a search was completed. Keep track of everything you see, even those items that enclose no positive information. Record the foundation by author and title, or the profile number if that is how the institution listed it. Also keep a record any contacts you make, whether by letter, phone or in person. Keeping a log can also assist you plan upcoming trips too. You can record the sources you wish to review when you go to the library, courthouse, etc. and note the call or microfilm information so you save time when you are at the repository.

Keep a study record for all of your on-line research as well. Again, you don't want to persevere with revisiting web sites you have previously checked in the past.

Classify your research tasks in an useful and logical method. Determine what you need to know and where you can find it. Make a list of particular tasks, noting where you need to go, to whom you need to speak, and what you expect to find, and the order in which you expect to push on. You can change this list as you proceed with your research.

As you launch to gather photographs, documents and newspaper trimmings, ensure that all of your copies are created on archival-quality paper. All storage boxes and binder sleeves is required to be archival safe as well. Before keeping photos, make certain you label each one with a photo-safe marking pencil, noting the date, location and any subjects in the photo.

By utilizing this binder methods to organization, you will have all of your research in one accessible location. The effect is that you can come back to your investigation days or even years later and manage to pick up where you concluded.