Saturday, December 16, 2006

Getting Good Advice

Are you one of those people who come to Las Vegas for investment opportunities? If you are, you should always think twice before putting in your money in certain personal properties. It is important to get advices from experts in the field. A little Knowledge in real estate will help you save big money. There are many things that you can do wrong. You will end up paying big money for little mistakes. So when you want to invest, expert’s advices will help you avoiding these mistakes. For example, you may invest your money into certain personal properties, and you may later find out better offers in the market.

Where do you get your advices? Getting good advices on Las Vegas investing is easy. There are so many good agents, brokers, and investment consultants in Las Vegas. They can help you make smart investment choices. How do you find these good people? There are many ways. Ask for referrals from your friends and family. If your friends just recently sell or buy their houses, they probably can recommend someone to you. You can also surf the internet to look for reputable organizations of brokers. The internet is a great resource for real estate knowledge. Many realtors’ sites offer free and powerful buying tips. Internet resources will help you know the odds in real estate industry better.

Are you one of those people who come to Las Vegas for investment opportunities? If you are, you should always think twice before putting in your money in certain personal properties. It is important to get advices from experts in the field. A little Knowledge in real estate will help you save big money. There are many things that you can do wrong. You will end up paying big money for little mistakes. So when you want to invest, expert’s advices will help you avoiding these mistakes. For example, you may invest your money into certain personal properties, and you may later find out better offers in the market.

Where do you get your advices? Getting good advices on Las Vegas investing is easy. There are so many good agents, brokers, and investment consultants in Las Vegas. They can help you make smart investment choices. How do you find these good people? There are many ways. Ask for referrals from your friends and family. If your friends just recently sell or buy their houses, they probably can recommend someone to you. You can also surf the internet to look for reputable organizations of brokers. The internet is a great resource for real estate knowledge. Many realtors’ sites offer free and powerful buying tips. Internet resources will help you know the odds in real estate industry better.

5 Reasons Why You Should Join a Real Estate Investment Association or Club

It doesn’t matter whether you are a seasoned real estate investor or a newbie, you can never learn too much about investing or wealth building. If you haven’t already you need to find your local association or club today. Here’s why:

1.Guidance. Real Estate Associations and Clubs can provide unlimited support and guidance. Members are interested in what your goals are because theirs are the same. They want to make money and build wealth through real investing.

2. Mentors. Find out who has been investing the longest or who has had the most success in the type of investing you are interested in and make contact with them. Learn from someone who is doing, not from someone who is reading or just talking about doing.

3. Deals. If you are seasoned or new, members are always looking to buy or sell something. They know how to help you with the financing and most of the times the deals are geared towards a fast sale.

4. Education. A good Real Estate Association or Club will fill your meeting time with important topics and offer ways to improve your education. Lots of Associations and Clubs also get discounts to national speakers and may even host one at a local meeting or event.

5. Networking. The members of Real Estate Associations and Clubs are often in the real estate business in one-way or another. So imagine being able to build your investment team all in one place. Members often include real estate attorneys, bankers, brokers, contractors and realtors.

You can find a great list of Real Estate Associations and Clubs at the Real Estate Info Network. www.realestateinfonetwork.com

If you can’t find one there you next best bet is to search the internet for real estate forums. These are also filled with likeminded people and often have topics changing every day.
It doesn’t matter whether you are a seasoned real estate investor or a newbie, you can never learn too much about investing or wealth building. If you haven’t already you need to find your local association or club today. Here’s why:

1.Guidance. Real Estate Associations and Clubs can provide unlimited support and guidance. Members are interested in what your goals are because theirs are the same. They want to make money and build wealth through real investing.

2. Mentors. Find out who has been investing the longest or who has had the most success in the type of investing you are interested in and make contact with them. Learn from someone who is doing, not from someone who is reading or just talking about doing.

3. Deals. If you are seasoned or new, members are always looking to buy or sell something. They know how to help you with the financing and most of the times the deals are geared towards a fast sale.

4. Education. A good Real Estate Association or Club will fill your meeting time with important topics and offer ways to improve your education. Lots of Associations and Clubs also get discounts to national speakers and may even host one at a local meeting or event.

5. Networking. The members of Real Estate Associations and Clubs are often in the real estate business in one-way or another. So imagine being able to build your investment team all in one place. Members often include real estate attorneys, bankers, brokers, contractors and realtors.

You can find a great list of Real Estate Associations and Clubs at the Real Estate Info Network. www.realestateinfonetwork.com

If you can’t find one there you next best bet is to search the internet for real estate forums. These are also filled with likeminded people and often have topics changing every day.

Risk Management in Real Estate Investment

Real estate investment has provided many investors with stable positive cash flow, tax advantages and satisfaction of owning properties. Like any other investments, the secret of success is to minimize the risks in the investment.

1) Prepare for the Success
Sound real estate investment demands knowledge, experience and skills. If you feel too overwhelmed when looking at real estate investment. A good start point is to go to a reputable real estate investing seminars. Real estate investing seminars are actually wonderful tools for beginners. They help the investors to get educated - learn the market, do the appropriate research, and become skilled at what you need to face the estate competition.

2) Pay the right price for the right properties at the right time
In order to make a real estate investment, you must assess the risk involved. No one in their right mind should be making an investment if they don’t know the current market trends or are misinformed. For instance, let’s say that an investor was dying to make some quick cash. They see that golf communities are the newest trend and that most people are interested in spending money on the gated communities. As a result, they quickly invest in a New York golf community, but are confused when it doesn’t take off. Due to the fact that they didn’t research on the best areas to invest, and how weather may affect buyer’s opinions, they are most likely going to have a difficult time selling something that isn’t popular in that specific town.

3) Charge Fair Rents
If you are making a real estate investment and have done the research, you should charge fairly. For example, if you give your tenants a great area, reasonable rent, and are respectful, chances are they will stay and continue paying. If you overcharge and do not treat them fairly, you will be looking at a lot of vacant real estate. In the end, you will have more problems then when you started. You also should be doing detailed inspections. You do not want to miss any problems and then realize later that you made a big mistake in price.

4) Choose the Right Agents
When trying to take your investment to a seller, it is crucial that you check for their resume. You want to work with someone who is a great professional, not someone who is just out to scam you. Therefore, check every number and reference on their list. If you are spending all of this money on a golfing community, you will want to have a great representative.

Natalie Aranda writes on finance and investment. Real estate investment has provided many investors with stable positive cash flow, tax advantages and satisfaction of owning properties. Like any other investments, the secret of success is to minimize the risks in the investment. For instance, let’s say that an investor was dying to make some quick cash. They see that golf communities are the newest trend and that most people are interested in spending money on the gated communities. As a result, they quickly invest in a New York golf community, but are confused when it doesn’t take off. Due to the fact that they didn’t research on the best areas to invest, and how weather may affect buyer’s opinions, they are most likely going to have a difficult time selling something that isn’t popular in that specific town.
Real estate investment has provided many investors with stable positive cash flow, tax advantages and satisfaction of owning properties. Like any other investments, the secret of success is to minimize the risks in the investment.

1) Prepare for the Success
Sound real estate investment demands knowledge, experience and skills. If you feel too overwhelmed when looking at real estate investment. A good start point is to go to a reputable real estate investing seminars. Real estate investing seminars are actually wonderful tools for beginners. They help the investors to get educated - learn the market, do the appropriate research, and become skilled at what you need to face the estate competition.

2) Pay the right price for the right properties at the right time
In order to make a real estate investment, you must assess the risk involved. No one in their right mind should be making an investment if they don’t know the current market trends or are misinformed. For instance, let’s say that an investor was dying to make some quick cash. They see that golf communities are the newest trend and that most people are interested in spending money on the gated communities. As a result, they quickly invest in a New York golf community, but are confused when it doesn’t take off. Due to the fact that they didn’t research on the best areas to invest, and how weather may affect buyer’s opinions, they are most likely going to have a difficult time selling something that isn’t popular in that specific town.

3) Charge Fair Rents
If you are making a real estate investment and have done the research, you should charge fairly. For example, if you give your tenants a great area, reasonable rent, and are respectful, chances are they will stay and continue paying. If you overcharge and do not treat them fairly, you will be looking at a lot of vacant real estate. In the end, you will have more problems then when you started. You also should be doing detailed inspections. You do not want to miss any problems and then realize later that you made a big mistake in price.

4) Choose the Right Agents
When trying to take your investment to a seller, it is crucial that you check for their resume. You want to work with someone who is a great professional, not someone who is just out to scam you. Therefore, check every number and reference on their list. If you are spending all of this money on a golfing community, you will want to have a great representative.

Natalie Aranda writes on finance and investment. Real estate investment has provided many investors with stable positive cash flow, tax advantages and satisfaction of owning properties. Like any other investments, the secret of success is to minimize the risks in the investment. For instance, let’s say that an investor was dying to make some quick cash. They see that golf communities are the newest trend and that most people are interested in spending money on the gated communities. As a result, they quickly invest in a New York golf community, but are confused when it doesn’t take off. Due to the fact that they didn’t research on the best areas to invest, and how weather may affect buyer’s opinions, they are most likely going to have a difficult time selling something that isn’t popular in that specific town.

Friday, December 15, 2006

Building Wealth by Investing in Foreclosure Houses

As a Realtor, it’s amazing to me what lengths people are going to in order to buy a house! Many of these people are dealing with “predatory lenders”, who prey on people with bad credit, including past foreclosures, and write home loans for people who really can’t afford them. While I was describing one person who stood out in my memory as someone who bought a home that she couldn’t afford to an attorney friend of mine who specializes in Bankruptcy and Foreclosure help told me “In five years, she will be MY client.” My response was “Alan, not FIVE years - ONE year!”

Foreclosure is a process, highly regulated by state law, in which the lender tries to recoup the amount owed on a defaulted loan by either selling or taking ownership of the property. The foreclosure process begins when a borrower/owner doesn’t make their mortgage payments, and the lender files a public default notice. The foreclosure process can end one of four ways:

1. The borrower/owner pays off the default amount to reinstate the loan during a grace period determined by state laws. This grace period is also known as pre-foreclosure, and can be as much as six months. The mortgage loan is reinstated, as if nothing ever happened. Happy ending for the homeowner!

2. The borrower/owner sells the property to a third party, either before or during pre-foreclosure. The sale allows the borrower/owner to pay off the loan. This is not as happy an ending for the homeowner, but avoids the consequence of having a foreclosure on the homeowner’s credit history. A smart homeowner who realizes that making the payments is becoming problematic will choose this course of action before things progress to the next level.

3. If the homeowner cannot catch the payment up to make them current and either cannot or will not sell the home, the lender will usually schedule an auction. A third party may buy the property at a public auction at the end of pre-foreclosure.

4. If the auction does not bring about a sale of the property, the lender will take ownership of the property, usually with the intent to re-sell. The lender can take ownership through an agreement with the borrower/owner during pre-foreclosure or by buying back the property at th

As a Realtor, it’s amazing to me what lengths people are going to in order to buy a house! Many of these people are dealing with “predatory lenders”, who prey on people with bad credit, including past foreclosures, and write home loans for people who really can’t afford them. While I was describing one person who stood out in my memory as someone who bought a home that she couldn’t afford to an attorney friend of mine who specializes in Bankruptcy and Foreclosure help told me “In five years, she will be MY client.” My response was “Alan, not FIVE years - ONE year!”

Foreclosure is a process, highly regulated by state law, in which the lender tries to recoup the amount owed on a defaulted loan by either selling or taking ownership of the property. The foreclosure process begins when a borrower/owner doesn’t make their mortgage payments, and the lender files a public default notice. The foreclosure process can end one of four ways:

1. The borrower/owner pays off the default amount to reinstate the loan during a grace period determined by state laws. This grace period is also known as pre-foreclosure, and can be as much as six months. The mortgage loan is reinstated, as if nothing ever happened. Happy ending for the homeowner!

2. The borrower/owner sells the property to a third party, either before or during pre-foreclosure. The sale allows the borrower/owner to pay off the loan. This is not as happy an ending for the homeowner, but avoids the consequence of having a foreclosure on the homeowner’s credit history. A smart homeowner who realizes that making the payments is becoming problematic will choose this course of action before things progress to the next level.

3. If the homeowner cannot catch the payment up to make them current and either cannot or will not sell the home, the lender will usually schedule an auction. A third party may buy the property at a public auction at the end of pre-foreclosure.

4. If the auction does not bring about a sale of the property, the lender will take ownership of the property, usually with the intent to re-sell. The lender can take ownership through an agreement with the borrower/owner during pre-foreclosure or by buying back the property at th

Ideas - Real Estate In Belize For Sale

In this article we look at realestate in Belize for sale. We will explore some factors you may want to consider to see if Belize makes sense as a repositioning strategy for your real estate portfolio.

Real estate markets in the US have changed dramatically over the last few years. With limited domestic options for reinvestment, many are looking to international markets. Realestate in Belize for sale - is this a viable reinvestment option? Let’s take a look at some pros and cons of this market:

First, why Belize? Well, why not? With gorgeous beach front and private islands, Belize offers amazing views, great weather and cheap rum who wouldn't want to live here?

While most people may opt to live by the ocean, properties inland such as ranches, citrus groves, and raw land can provide just as good a location to live or to start a small business. Also, inland properties assure better waste management and accessibility to utilities. (Keep in mind, that energy costs are much higher in Belize because of more primitive infrastructure and because basic resources in Belize are less efficient than first-world countries.)

If it's the blue water and sandy beach that you desire, check out Hopkins/Sittee Point or Sarteneja, along the southern coast. But, you may want to stay away from Placencia Peninsula. The consensus is that the bubble has already burst in this beautiful and remote area.

Ambergris Caye is the most popular, but most expensive, place to live for expats while the Remote Cayes offer over 200+ private islands. But beware of hurricanes!

Indeed, much of the disadvantages to investing in Belize stem from the devastation brought on by hurricanes. Locals say that it is not necessarily the wind, but the 6 foot tidal surges that destroy properties and businesses. While, rebuilding costs are pretty inexpensive; you need to be sure to hire good supervisors that live in the country that can pay workers directly.

In addition, realestate in Belize for sale comes with the same general hassles whenever investing out of the United States. However, most business and government transactions are handled in English and currency is traded in dollars - much to an American's advantage. While the government remains stable (democratic elections are held every four years); title insurance is available for those concerned with sudden changes in the political landscape.

International real estate options continue to be a consideration as people explore their real estate strategies. Is Belize the right strategy for you? It could be, but it is even more important to do your homework and consider these investments with your eyes wide open. Visiting the country is a good first step. So, pack up that beach towel and don't forget the sunscreen
In this article we look at realestate in Belize for sale. We will explore some factors you may want to consider to see if Belize makes sense as a repositioning strategy for your real estate portfolio.

Real estate markets in the US have changed dramatically over the last few years. With limited domestic options for reinvestment, many are looking to international markets. Realestate in Belize for sale - is this a viable reinvestment option? Let’s take a look at some pros and cons of this market:

First, why Belize? Well, why not? With gorgeous beach front and private islands, Belize offers amazing views, great weather and cheap rum who wouldn't want to live here?

While most people may opt to live by the ocean, properties inland such as ranches, citrus groves, and raw land can provide just as good a location to live or to start a small business. Also, inland properties assure better waste management and accessibility to utilities. (Keep in mind, that energy costs are much higher in Belize because of more primitive infrastructure and because basic resources in Belize are less efficient than first-world countries.)

If it's the blue water and sandy beach that you desire, check out Hopkins/Sittee Point or Sarteneja, along the southern coast. But, you may want to stay away from Placencia Peninsula. The consensus is that the bubble has already burst in this beautiful and remote area.

Ambergris Caye is the most popular, but most expensive, place to live for expats while the Remote Cayes offer over 200+ private islands. But beware of hurricanes!

Indeed, much of the disadvantages to investing in Belize stem from the devastation brought on by hurricanes. Locals say that it is not necessarily the wind, but the 6 foot tidal surges that destroy properties and businesses. While, rebuilding costs are pretty inexpensive; you need to be sure to hire good supervisors that live in the country that can pay workers directly.

In addition, realestate in Belize for sale comes with the same general hassles whenever investing out of the United States. However, most business and government transactions are handled in English and currency is traded in dollars - much to an American's advantage. While the government remains stable (democratic elections are held every four years); title insurance is available for those concerned with sudden changes in the political landscape.

International real estate options continue to be a consideration as people explore their real estate strategies. Is Belize the right strategy for you? It could be, but it is even more important to do your homework and consider these investments with your eyes wide open. Visiting the country is a good first step. So, pack up that beach towel and don't forget the sunscreen

Thursday, December 14, 2006

4 Ways to Avoid Getting Burned in a Collapsing Real Estate Market

There are many people out there that have been waiting for several years for the housing market to take a downturn. There are also a lot of investors that have been dreading it. Well, it is finally here, the housing market is cooling off and a lot of real estate investors who were after a quick buck are now losing money. What this article is about is how to survive the downturn and possibly even make a profit on your real estate investment.

1) Turn your property into a rental.

If there are fewer people who are willing to put down the money on an expensive house, then it stands to reason that there are more people that are going to be renting. Think about it, those people still need a place to live, and you can become their landlord. Just make sure that the rent will cover the mortgage until the market turns around again. I would also recommend that you find a property management company to take care of the place while it is being rented out. They will typically charge around 15% of the total rent, so make sure you add that into the rent.

2) Refinance while you still can.

If you purchasaed your house a few years ago when the itnerest rates were high, you will definately want to refinance while you can. There is nothing worse than trying to sell a home while you are paying a huge mortgage on it. Try and get the mortgage to a lower level if possible, making it easier to ride out the bad times. You need to act on this quickly however, while the interest rates are still somewhat low.

3) Get rid of your property now!

If you are willing to take a hit while you can still handle the loss, then get out of the market while the getting is good. The "House for Sale" signs are starting to pop up all over the place, so you need to get your property sold as quickly as possible to limit the amount of damage that will be done if you try to sell later. You might even be able to make some profit if you act quickly enough.

There are many people out there that have been waiting for several years for the housing market to take a downturn. There are also a lot of investors that have been dreading it. Well, it is finally here, the housing market is cooling off and a lot of real estate investors who were after a quick buck are now losing money. What this article is about is how to survive the downturn and possibly even make a profit on your real estate investment.

1) Turn your property into a rental.

If there are fewer people who are willing to put down the money on an expensive house, then it stands to reason that there are more people that are going to be renting. Think about it, those people still need a place to live, and you can become their landlord. Just make sure that the rent will cover the mortgage until the market turns around again. I would also recommend that you find a property management company to take care of the place while it is being rented out. They will typically charge around 15% of the total rent, so make sure you add that into the rent.

2) Refinance while you still can.

If you purchasaed your house a few years ago when the itnerest rates were high, you will definately want to refinance while you can. There is nothing worse than trying to sell a home while you are paying a huge mortgage on it. Try and get the mortgage to a lower level if possible, making it easier to ride out the bad times. You need to act on this quickly however, while the interest rates are still somewhat low.

3) Get rid of your property now!

If you are willing to take a hit while you can still handle the loss, then get out of the market while the getting is good. The "House for Sale" signs are starting to pop up all over the place, so you need to get your property sold as quickly as possible to limit the amount of damage that will be done if you try to sell later. You might even be able to make some profit if you act quickly enough.

Be Wise When Investing in Real Estate

The real estate investment world is one you should join cautiously. There are so many factors, such as rising interest rates and increased housing inventories, that could make your foray into a "quick buck" a quick loss.

By the end of 2004, there were an estimated 80,000 real estate investors enrolled in investment clubs.

You've probably seen the television shows on the networks that show how easy it is to flip a house. That is, you buy it, fix it up and sell it quickly for a profit.

However, with an unpredictable market, you may not be able to flip it quickly after all. The National Association of Realtors recently said that those looking to make a fast dollar in a home they recently purchased may be disappointed.

To invest in real estate, you must have a lot of business in order. You have to know that loss is a real possibility. You can't be looking for a quick dollar.

You need to start with having your personal home mortgage-free before you consider investing. You will not only have a home that won't be at risk if your investment fails, but you will learn what it takes to pay off a mortgage. There is a lot to learn in that process.

Then you need to get the correct information. Go back to school, take classes on the side and read everything you can get a hand on about investing in real estate. Don't turn to the informercials for information. Go to reputable and trusted sources.

Find yourself a mentor that will help you on your path. Look for someone who has been successful in the business for many years. Then start looking for a team of people to help you. You will need a real estate agent, contractor, go-to people, property managers and so on.
The real estate investment world is one you should join cautiously. There are so many factors, such as rising interest rates and increased housing inventories, that could make your foray into a "quick buck" a quick loss.

By the end of 2004, there were an estimated 80,000 real estate investors enrolled in investment clubs.

You've probably seen the television shows on the networks that show how easy it is to flip a house. That is, you buy it, fix it up and sell it quickly for a profit.

However, with an unpredictable market, you may not be able to flip it quickly after all. The National Association of Realtors recently said that those looking to make a fast dollar in a home they recently purchased may be disappointed.

To invest in real estate, you must have a lot of business in order. You have to know that loss is a real possibility. You can't be looking for a quick dollar.

You need to start with having your personal home mortgage-free before you consider investing. You will not only have a home that won't be at risk if your investment fails, but you will learn what it takes to pay off a mortgage. There is a lot to learn in that process.

Then you need to get the correct information. Go back to school, take classes on the side and read everything you can get a hand on about investing in real estate. Don't turn to the informercials for information. Go to reputable and trusted sources.

Find yourself a mentor that will help you on your path. Look for someone who has been successful in the business for many years. Then start looking for a team of people to help you. You will need a real estate agent, contractor, go-to people, property managers and so on.

Wednesday, December 13, 2006

Flipping Properties in a Bad Real Estate Market

A "bad market" in this instance means a real estate market where there is little to no appreciation, the market is clogged with unsold houses, depressing sales and foreclosures are up; torpedoing home values.

So clearly, the traditional, "buy, fix up and flip" or buy and sell to a rehabber is not going to work in this environment. In fact, it is those very flippers who were late to the party or just plain greedy and are now bailing out and dumping their properties, that are helping to drive down home sales and prices.

So what is a real estate investor to do to make some quick money, especially if he or she is new or has no resources, which describes many flippers?

The solution to this dilemma lies in understanding the needs of property owners who have to sell in the reality of today's market.

People looking to sell in this environment are going to have problems; huge problems if they are forced to sell at this time.

The houses will sit on the market for months with no offers or very low offers. The homes value will slowly erode as the homeowner waits for Godot.

In fact, many people are or will be trapped in their homes; perhaps unable to afford to stay, unable to sell; especially if they have little or no equity in their homes.

In order to get out of their homes, they would have to bring cash to the closing and "buy" their way out of the house. This is impractical for most people, especially if their need to sell is financial as many are.

Rising mortgage payments, the result of financially incongruous mortgages, so prevalent during the recently departed "Boom;" called for "Resets" a few years after origination at 50-100% increases in payments.
A "bad market" in this instance means a real estate market where there is little to no appreciation, the market is clogged with unsold houses, depressing sales and foreclosures are up; torpedoing home values.

So clearly, the traditional, "buy, fix up and flip" or buy and sell to a rehabber is not going to work in this environment. In fact, it is those very flippers who were late to the party or just plain greedy and are now bailing out and dumping their properties, that are helping to drive down home sales and prices.

So what is a real estate investor to do to make some quick money, especially if he or she is new or has no resources, which describes many flippers?

The solution to this dilemma lies in understanding the needs of property owners who have to sell in the reality of today's market.

People looking to sell in this environment are going to have problems; huge problems if they are forced to sell at this time.

The houses will sit on the market for months with no offers or very low offers. The homes value will slowly erode as the homeowner waits for Godot.

In fact, many people are or will be trapped in their homes; perhaps unable to afford to stay, unable to sell; especially if they have little or no equity in their homes.

In order to get out of their homes, they would have to bring cash to the closing and "buy" their way out of the house. This is impractical for most people, especially if their need to sell is financial as many are.

Rising mortgage payments, the result of financially incongruous mortgages, so prevalent during the recently departed "Boom;" called for "Resets" a few years after origination at 50-100% increases in payments.

Legally Realty

Real estate is booming in India like never before. It is the right time to invest in real estate market in India. There is unprecedented growth seen in the realty market in last few years. Real estate prices are skyrocketing in the major cities of the country. All around development is very much visible in the form of skyscrapers, shopping malls, office complexes, and residential apartments mushrooming in the big cities.

While investing in properties one should ensure that all legalities are being adhered to. The documentation should be as per the laid guidelines and should cover all laws related to the concerned property. Since there is a huge amount involved in property transactions the importance of legal aspects has also increased. The lease laws and the locally applicable property laws should be clear. The buyer and seller as well as the landlord and tenant should be aware of their rights and duties. There should be a proper legal agreement with respect to the property being transacted.

Let us also analyze the factors behind the growth in real estate sector. Real estate India growth is directly proportional to the growth of industries and employment opportunities in any city. With the opening of industries, there is a rise in working population. There is significant hike in the purchasing power of the people and as a result of that there is an increase in demand for commercial and residential properties India. People have realized the fact that investing in real estate is much safer and gives hives a higher rate of return as compared to other investment options. Banks and financial institutions are offering housing finance at very attractive terms. All those who do not have liquid cash but wish to own a property can approach these banks for loans. This would enable them to own a property and repay the loan amount to bank along with applicable interest in easy installments
Real estate is booming in India like never before. It is the right time to invest in real estate market in India. There is unprecedented growth seen in the realty market in last few years. Real estate prices are skyrocketing in the major cities of the country. All around development is very much visible in the form of skyscrapers, shopping malls, office complexes, and residential apartments mushrooming in the big cities.

While investing in properties one should ensure that all legalities are being adhered to. The documentation should be as per the laid guidelines and should cover all laws related to the concerned property. Since there is a huge amount involved in property transactions the importance of legal aspects has also increased. The lease laws and the locally applicable property laws should be clear. The buyer and seller as well as the landlord and tenant should be aware of their rights and duties. There should be a proper legal agreement with respect to the property being transacted.

Let us also analyze the factors behind the growth in real estate sector. Real estate India growth is directly proportional to the growth of industries and employment opportunities in any city. With the opening of industries, there is a rise in working population. There is significant hike in the purchasing power of the people and as a result of that there is an increase in demand for commercial and residential properties India. People have realized the fact that investing in real estate is much safer and gives hives a higher rate of return as compared to other investment options. Banks and financial institutions are offering housing finance at very attractive terms. All those who do not have liquid cash but wish to own a property can approach these banks for loans. This would enable them to own a property and repay the loan amount to bank along with applicable interest in easy installments

Tuesday, December 12, 2006

Investment Real Estate Done Right - Your Quickest and Safest Path to Wealth

In investment real estate the quickest way to wealth is through owner financing, or lease optioning. So, let's take a look at one model transaction, involving the purchase and sale of two properties on lease-option contracts so you an apply it to your own investment real estate system.

Assume you buy an investment property for $50,000 to $60,000, and you sell it on a lease-option contract for $80,000. You receive $4,000 as a down payment from the buyer, and you will get the remainder of the balance in 12 months. You’ve created a note for the remaining $76,000 that pays you $570 monthly (interest-only payments of 9%). This gives you nearly $7,000 more in interest payments, if you keep this property for a year. You then find a rehab property in an inexpensive neighborhood that you can get for $35,000. You offer a 10% down payment of $3,500, promising to pay of the loan in 13 months or less.

Now, you can use the $4,000 from the first property, so you don't have to come up with your own money for the down payment on your second property. Offer to pay 8% on the remaining $31,500. This is a monthly payment of $231. Be sure your agreement allows you to defer your first payment for 30-60 days. Now, if you can’t sell the house in 13 months (this certainly won't be a problem, though), you’ll have the cash from the first house you bought, when the $76,000 balloon payment comes due in 12 months, so you won’t lose anything or have to get your own financing, when you have to pay off your second home in 13 months.

In investment real estate the quickest way to wealth is through owner financing, or lease optioning. So, let's take a look at one model transaction, involving the purchase and sale of two properties on lease-option contracts so you an apply it to your own investment real estate system.

Assume you buy an investment property for $50,000 to $60,000, and you sell it on a lease-option contract for $80,000. You receive $4,000 as a down payment from the buyer, and you will get the remainder of the balance in 12 months. You’ve created a note for the remaining $76,000 that pays you $570 monthly (interest-only payments of 9%). This gives you nearly $7,000 more in interest payments, if you keep this property for a year. You then find a rehab property in an inexpensive neighborhood that you can get for $35,000. You offer a 10% down payment of $3,500, promising to pay of the loan in 13 months or less.

Now, you can use the $4,000 from the first property, so you don't have to come up with your own money for the down payment on your second property. Offer to pay 8% on the remaining $31,500. This is a monthly payment of $231. Be sure your agreement allows you to defer your first payment for 30-60 days. Now, if you can’t sell the house in 13 months (this certainly won't be a problem, though), you’ll have the cash from the first house you bought, when the $76,000 balloon payment comes due in 12 months, so you won’t lose anything or have to get your own financing, when you have to pay off your second home in 13 months.

Understanding Opportunity Cost When Investing In Property

While most investors have got involved in property investing because they understand the opportunities to make money through leverage and capital growth or high yields, I still see and hear of many who do not fully understand opportunity cost.

Remember anyone that gets into property is usually in it to generate money or income – how many deals/properties you own is insignificant.

So what does opportunity cost mean?

Well according to the encyclopedia, “Opportunity cost is a term used in economics, to mean the cost of something in terms of an opportunity foregone (and the benefits that could be received from that opportunity), or the most valuable foregone alternative. For example, if a city decides to build a hospital on vacant land that it owns, the opportunity cost is some other thing that might have been done with the land and construction funds instead. In building the hospital, the city has forgone the opportunity to build a sporting center on that land, or a parking lot, or the ability to sell the land to reduce the city's debt, and so on.”
http://en.wikipedia.org/wiki/Opportunity_cost

So in property investing terms, if an investor decides to invest £50k in a property in for example Wales, the opportunity cost would be what he could have made by investing in Spain, Ireland or Dubai. Or similarly if an investor decides to keep equity of 50k in a property, the opportunity cost is what he/she could alternatively have invested this money in and the resultant value.
While most investors have got involved in property investing because they understand the opportunities to make money through leverage and capital growth or high yields, I still see and hear of many who do not fully understand opportunity cost.

Remember anyone that gets into property is usually in it to generate money or income – how many deals/properties you own is insignificant.

So what does opportunity cost mean?

Well according to the encyclopedia, “Opportunity cost is a term used in economics, to mean the cost of something in terms of an opportunity foregone (and the benefits that could be received from that opportunity), or the most valuable foregone alternative. For example, if a city decides to build a hospital on vacant land that it owns, the opportunity cost is some other thing that might have been done with the land and construction funds instead. In building the hospital, the city has forgone the opportunity to build a sporting center on that land, or a parking lot, or the ability to sell the land to reduce the city's debt, and so on.”
http://en.wikipedia.org/wiki/Opportunity_cost

So in property investing terms, if an investor decides to invest £50k in a property in for example Wales, the opportunity cost would be what he could have made by investing in Spain, Ireland or Dubai. Or similarly if an investor decides to keep equity of 50k in a property, the opportunity cost is what he/she could alternatively have invested this money in and the resultant value.

Monday, December 11, 2006

Rehab Your Way to Wealth: The Quick Way to Fixer-Upper Success

Completely rebuilding a house is not necessary to make money in investment real estate. Most times, if you have bought smart, you won’t have to make a huge improvements on your investment property. Look for places that need only a small amount of work. For example, look for a property that appears to be run down from the outside, but does not need major repair. Here are a few tips for saving money and making quick improvements, in order to quickly sell your rehab property.

1. A house may need a coat of paint but have a nice roof. The paint might cost a few hundred dollars, while a new roof might cost $2,000 to 3,000. Plus, a fresh coat of paint makes almost any house look brand new.

2. Check the foundation very carefully. Foundation work is extremely expensive. I would stay away from any house with a questionable foundation.

3. Like exterior paint, landscaping goes very far in terms of curb appeal, one of the biggest factors in the sale of any kind of real estate. A house with uncut grass, weeds overrunning flowerbeds, and poorly trimmed bushes or trees is very difficult to sell. Conversely, a house with minor deficiencies in other areas may still have a buyer, who wants something that looks good from the outside.

4. Look for investment properties that have nice kitchens or kitchens that can become nice with little effort and money. If you can refinish some cabinets and lay some cheap flooring, this will help you sell, because women are instrumental in the final decision of most real estate purchases, and they love nice kitchens. It’s not sexist; it’s a proven real estate fact.

Completely rebuilding a house is not necessary to make money in investment real estate. Most times, if you have bought smart, you won’t have to make a huge improvements on your investment property. Look for places that need only a small amount of work. For example, look for a property that appears to be run down from the outside, but does not need major repair. Here are a few tips for saving money and making quick improvements, in order to quickly sell your rehab property.

1. A house may need a coat of paint but have a nice roof. The paint might cost a few hundred dollars, while a new roof might cost $2,000 to 3,000. Plus, a fresh coat of paint makes almost any house look brand new.

2. Check the foundation very carefully. Foundation work is extremely expensive. I would stay away from any house with a questionable foundation.

3. Like exterior paint, landscaping goes very far in terms of curb appeal, one of the biggest factors in the sale of any kind of real estate. A house with uncut grass, weeds overrunning flowerbeds, and poorly trimmed bushes or trees is very difficult to sell. Conversely, a house with minor deficiencies in other areas may still have a buyer, who wants something that looks good from the outside.

4. Look for investment properties that have nice kitchens or kitchens that can become nice with little effort and money. If you can refinish some cabinets and lay some cheap flooring, this will help you sell, because women are instrumental in the final decision of most real estate purchases, and they love nice kitchens. It’s not sexist; it’s a proven real estate fact.

Real Estate Investments

Real estate investments come through a variety of different options. However, whether it is a vacation property, a first home, an early retirement house, or a rental property that you find appealing, real estate investments are all the rage, and are quickly becoming one of the safest investments available, especially in our less-than-perfect economy.

One of the most accessible investments for the average American is more common than most residents realize. A first home offers a lot of advantages over renting. Building up home equity, utilizing tax advantages, and appreciation in home value are only some of the things that make common homes into great investment opportunities. The best market to look for when buying a home is a stable one, with average rates of appreciation. A stable market will provide a safe investment a few years down the line.

Vacation properties or second homes provide an excellent investment opportunity for individuals with the extra income to spend on another property. However, vacation home buying is often fraught with mistakes when it comes to the investment value:

• It is a common error to believe that locations with extreme demand and skyrocketing rates of appreciation are the best for investment. Don’t allow yourself to be fooled. Markets with unreasonable demand and unaffordable home prices like these will be unable to sustain this type of growth. Unstable markets run the risk of leveling out, or worse yet, crashing. Your best option is a stable market with average rates of appreciation, roughly around 5%.
Real estate investments come through a variety of different options. However, whether it is a vacation property, a first home, an early retirement house, or a rental property that you find appealing, real estate investments are all the rage, and are quickly becoming one of the safest investments available, especially in our less-than-perfect economy.

One of the most accessible investments for the average American is more common than most residents realize. A first home offers a lot of advantages over renting. Building up home equity, utilizing tax advantages, and appreciation in home value are only some of the things that make common homes into great investment opportunities. The best market to look for when buying a home is a stable one, with average rates of appreciation. A stable market will provide a safe investment a few years down the line.

Vacation properties or second homes provide an excellent investment opportunity for individuals with the extra income to spend on another property. However, vacation home buying is often fraught with mistakes when it comes to the investment value:

• It is a common error to believe that locations with extreme demand and skyrocketing rates of appreciation are the best for investment. Don’t allow yourself to be fooled. Markets with unreasonable demand and unaffordable home prices like these will be unable to sustain this type of growth. Unstable markets run the risk of leveling out, or worse yet, crashing. Your best option is a stable market with average rates of appreciation, roughly around 5%.

Sunday, December 10, 2006

7 Tips to Real Estate Agent's Success: Tip #4 - Establish Sales Goals

Sales goals are just as important in real estate as they are in any other business. Successful goal achievement begins with using valid criteria and understanding the linkage between sales goals and strategic planning.

Within your strategic plan for your real estate business, there should be a sales plan. This plan centers around specific sales goals to secure the result of converting those who have received your marketing message to an actual selling or listing client.

After establishing specific goals, then your challenge is to monitor these goals to ensure achievement. If you are new to this industry, it may take 6 months before the first sale. HINT: Use the W.H.Y. S.M.A.R.T. criteria for goal setting.

Many real estate agents have goals, but very few have integrated specific goal setting criteria into their goal planning, goal setting and goal achievement process. The S.M.A.R.T. criteria:One of the reasons for this is because the What’s In It For Me (WIIFM) or the W.H.Y. has not been included. All goals should be committed to Writing. When sales goals are written down, the intangible thought now has some substance and becomes more real. The paper can be not only actually seen, but also touched. Suddenly, the sales goal appears to be more concrete than just a wish or a dream.

Additionally, goal planning, setting and achievement is a process that should become a Habit of behavior. Weekly written grocery lists or the daily "to do" lists are habits that improve performance. Planning, setting and executing sales goals should become a habit that is consistently demonstrated on a weekly, monthly and yearly basis.

Finally, goals need to be Yours. Achieving goals for someone else usually are not successful because of the WIIFM. When the business sales goals can be translated into your specific goals, then you have greater ownership of the goals.

When the W.H.Y. S.M.A.R.T. criteria are infused into sales goals, successful goal achievement has been greatly increased. For example, using the industry average of 6% commission rate with 3% going to the listing broker and 3% going to the selling broker, the typical real estate agent averages 1.5% commission unless she or he listed and sold the property. If the sales goal is to earn $20,000 the first year, this means that the agent must achieve listings or sales of over $1.3 million. By the second year, the goal may have been increased to an income of $30,000 which translates into listings or sales of $2.0 million. By having the marketing research, the sales plan is data and market driven. Consequently, the agent can determine how many homes he or she needs to list or sell based upon the $1.3 or $2.0 million.

Sales goals are directly tied to the market plan within the strategic plan. Without goals, the real estate agent is embracing what I call the "spray and pray"sales technique.
Sales goals are just as important in real estate as they are in any other business. Successful goal achievement begins with using valid criteria and understanding the linkage between sales goals and strategic planning.

Within your strategic plan for your real estate business, there should be a sales plan. This plan centers around specific sales goals to secure the result of converting those who have received your marketing message to an actual selling or listing client.

After establishing specific goals, then your challenge is to monitor these goals to ensure achievement. If you are new to this industry, it may take 6 months before the first sale. HINT: Use the W.H.Y. S.M.A.R.T. criteria for goal setting.

Many real estate agents have goals, but very few have integrated specific goal setting criteria into their goal planning, goal setting and goal achievement process. The S.M.A.R.T. criteria:One of the reasons for this is because the What’s In It For Me (WIIFM) or the W.H.Y. has not been included. All goals should be committed to Writing. When sales goals are written down, the intangible thought now has some substance and becomes more real. The paper can be not only actually seen, but also touched. Suddenly, the sales goal appears to be more concrete than just a wish or a dream.

Additionally, goal planning, setting and achievement is a process that should become a Habit of behavior. Weekly written grocery lists or the daily "to do" lists are habits that improve performance. Planning, setting and executing sales goals should become a habit that is consistently demonstrated on a weekly, monthly and yearly basis.

Finally, goals need to be Yours. Achieving goals for someone else usually are not successful because of the WIIFM. When the business sales goals can be translated into your specific goals, then you have greater ownership of the goals.

When the W.H.Y. S.M.A.R.T. criteria are infused into sales goals, successful goal achievement has been greatly increased. For example, using the industry average of 6% commission rate with 3% going to the listing broker and 3% going to the selling broker, the typical real estate agent averages 1.5% commission unless she or he listed and sold the property. If the sales goal is to earn $20,000 the first year, this means that the agent must achieve listings or sales of over $1.3 million. By the second year, the goal may have been increased to an income of $30,000 which translates into listings or sales of $2.0 million. By having the marketing research, the sales plan is data and market driven. Consequently, the agent can determine how many homes he or she needs to list or sell based upon the $1.3 or $2.0 million.

Sales goals are directly tied to the market plan within the strategic plan. Without goals, the real estate agent is embracing what I call the "spray and pray"sales technique.

Housing For Alternative Lifestyles

What are alternative lifestyles and why would they require alternative housing? To answer the first part it is easiest to give examples. Then the answer to the second part becomes self evident.

One winter we were camping in our conversion van at a hot springs area in Arizona. We met a man who sold stuffed animals on the side of the highway. Having been through a bad divorce, and having little money, he was living in the van at places like these hot springs. Every day he drove off to the nearest highways and set up his stuffed animals for sale. He claimed to have sold $4,000 worth the first month, so his low cost living meant he could save the money and get back on his feet.

Meanwhile, another neighbor at the hot springs was living in his old RV. He had a house, but he preferred to supplement his social security by renting it out. This meant he lived in his RV for a few weeks at each location, often for free, and spent evenings sitting around campfires talking to travelers like us.

A friend of ours lived in a shack that he built for $3,000 on a small piece of land he bought for $7,000. He was there for enough time to pay off the land and sell it for a profit. This is illegal in many areas, of course, because of things like occupancy permits and minimum square footage requirements. Usually, however, you can camp on your land, so a $2,000 used RV parked on your land makes for a cheap and legal housing alternative.

Other Housing For Alternative Lifestyles

Alternative lifestyle doesn't mean "low income" of course. There are other reasons for living differently and needing different types of housing. Whether to save money, to travel, to live creatively - there are many reasons why people choose to live in tents, RVs, cabins, underground homes, rental rooms and anything else that's less common than the houses, condos and apartments that most people call home. Here are a few more of these housing options.
What are alternative lifestyles and why would they require alternative housing? To answer the first part it is easiest to give examples. Then the answer to the second part becomes self evident.

One winter we were camping in our conversion van at a hot springs area in Arizona. We met a man who sold stuffed animals on the side of the highway. Having been through a bad divorce, and having little money, he was living in the van at places like these hot springs. Every day he drove off to the nearest highways and set up his stuffed animals for sale. He claimed to have sold $4,000 worth the first month, so his low cost living meant he could save the money and get back on his feet.

Meanwhile, another neighbor at the hot springs was living in his old RV. He had a house, but he preferred to supplement his social security by renting it out. This meant he lived in his RV for a few weeks at each location, often for free, and spent evenings sitting around campfires talking to travelers like us.

A friend of ours lived in a shack that he built for $3,000 on a small piece of land he bought for $7,000. He was there for enough time to pay off the land and sell it for a profit. This is illegal in many areas, of course, because of things like occupancy permits and minimum square footage requirements. Usually, however, you can camp on your land, so a $2,000 used RV parked on your land makes for a cheap and legal housing alternative.

Other Housing For Alternative Lifestyles

Alternative lifestyle doesn't mean "low income" of course. There are other reasons for living differently and needing different types of housing. Whether to save money, to travel, to live creatively - there are many reasons why people choose to live in tents, RVs, cabins, underground homes, rental rooms and anything else that's less common than the houses, condos and apartments that most people call home. Here are a few more of these housing options.