Monday 27 February 2012

Pop Quiz Commercial Real Estate Investing

%0D%0A%3Cdiv+id%3D%22article-content%22+style%3D%22color%3A+%23333333%3B+font-family%3A+Arial%3B+font-size%3A+12px%3B%22%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AI+read+once+that+if+you+took+all+the+real+estate+lawyers+in+Illinois+and+laid+them+end+to+end+along+the+equator+-+it+would+be+a+good+idea+to+leave+them+there.+That%27s+what+I+read.+What+do+you+suppose+that+means%3F%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AI+have+written+before+about+the+need+to+exercise+due+diligence+when+purchasing+commercial+real+estate.+The+need+to+investigate%2C+before+Closing%2C+every+significant+aspect+of+the+property+you+are+acquiring.+The+importance+of+evaluating+each+commercial+real+estate+transaction+with+a+mindset+that+once+the+Closing+occurs%2C+there+is+no+going+back.+The+Seller+has+your+money+and+is+gone.+If+post-Closing+problems+arise%2C+Seller%27s+contract+representations+and+warranties+will%2C+at+best%2C+mean+expensive+litigation.+CAVEAT+EMPTOR%21+%22Let+the+buyer+beware%21%22%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0APaying+extra+attention+at+the+beginning+of+a+commercial+real+estate+transaction+to+%22get+it+right%22+can+save+tens+of+thousands+of+dollars+when+the+deal+goes+bad.+It%27s+like+the+old+Fram%C2%AE+oil+filter+slogan+during+the+1970%27s%3A+%22You+can+pay+me+now+-+or+pay+me+later%22.+In+commercial+real+estate%2C+however%2C+%22later%22+may+be+too+late.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0ABuying+commercial+real+estate+is+NOT+like+buying+a+home.+It+is+not.+It+is+not.+It+is+NOT.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AIn+Illinois%2C+and+many+other+states%2C+virtually+every+residential+real+estate+closing+requires+a+lawyer+for+the+buyer+and+a+lawyer+for+the+seller.+This+is+probably+smart.+It+is+good+consumer+protection.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AThe+%22problem%22+this+causes%2C+however%2C+is+that+every+lawyer+handling+residential+real+estate+transactions+considers+himself+or+herself+a+%22real+estate+lawyer%22%2C+capable+of+handling+any+real+estate+transaction+that+may+arise.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AWe+learned+in+law+school+that+there+are+only+two+kinds+of+property%3A+real+estate+and+personal+property.+Therefore+-+we+intuit+-+if+we+are+competent+to+handle+a+residential+real+estate+closing%2C+we+must+be+competent+to+handle+a+commercial+real+estate+closing.+They+are+each+%22real+estate%22%2C+right%3F%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AANSWER%3A+Yes%2C+they+are+each+real+estate.+No%2C+they+are+not+the+same.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AThe+legal+issues+and+risks+in+a+commercial+real+estate+transaction+are+remarkably+different+from+the+legal+issues+and+risks+in+a+residential+real+estate+transaction.+Most+are+not+even+remotely+similar.+Attorneys+concentrating+their+practice+handling+residential+real+estate+closings+do+not+face+the+same+issues+as+attorneys+concentrating+their+practice+in+commercial+real+estate.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AIt+is+a+matter+of+experience.+You+either+know+the+issues+and+risks+inherent+in+commercial+real+estate+transactions+-+and+know+how+to+deal+with+them+-+or+you+don%27t.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AA+key+point+to+remember+is+that+the+myriad+consumer+protection+laws+that+protect+residential+home+buyers+have+no+application+to+-+and+provide+no+protection+for+-+buyers+of+commercial+real+estate.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0ACompetent+commercial+real+estate+practice+requires+focused+and+concentrated+investigation+of+all+issues+material+to+the+transaction+by+someone+who+knows+what+they+are+looking+for.+In+short%2C+it+requires+the+exercise+of+%22due+diligence%22.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AI+admit+-+the+exercise+of+due+diligence+is+not+cheap%2C+but+the+failure+to+exercise+due+diligence+can+create+a+financial+disaster+for+the+commercial+real+estate+investor.+Don%27t+be+%22penny+wise+and+pound+foolish%22.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AIf+you+are+buying+a+home%2C+hire+an+attorney+who+regularly+represents+home+buyers.+If+you+are+buying+commercial+real+estate%2C+hire+an+attorney+who+regularly+represents+commercial+real+estate+buyers.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AYears+ago+I+stopped+handling+residential+real+estate+transactions.+As+an+active+commercial+real+estate+attorney%2C+even+I+hire+residential+real+estate+counsel+for+my+own+home+purchases.+I+do+that+because+residential+real+estate+practice+is+fundamentally+different+from+commercial+real+estate.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AMaybe+I+do+%22harp%22+on+the+need+for+competent+counsel+experienced+in+commercial+real+estate+transactions.+I+genuinely+believe+it.+I+believe+it+is+essential.+I+believe+if+you+are+going+to+invest+in+commercial+real+estate%2C+you+must+apply+your+critical+thinking+skills+and+be+smart.%3C%2Fdiv%3E%0D%0A%3C%21--more--%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0APOP+QUIZ%3A+Here%27s+is+a+simple+test+of+YOUR+critical+thinking+skills%3A%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0APlease+read+the+following+Scenarios+and+answer+the+questions+TRUE+or+FALSE%3A%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AScenario+No.+1%3A+It%27s+Valentine%27s+Day.+You+are+in+hot+pursuit+of+the+love+of+your+life.+A+few+weeks+ago%2C+she+confided+in+you+that+all+she+ever+dreamed+of+for+Valentine%27s+Day+was+that+her+lover+would+show+up+at+her+door%2C+dressed+in+a+white+tuxedo+with+tails+and+a+top+hat%2C+and+present+her+with+a+beautiful+bouquet+of+flowers.+You%27ve+rented+the+tuxedo%2C+but+now+you+are+concerned+about+how+much+money+you+are+spending.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0ATRUE+OR+FALSE%3A+Since+flowers+are+pretty+much+all+the+same%2C+it+is+OK+for+you+to+skip+the+roses+and+show+up+with+a+bouquet+of+fresh+yellow+dandelions.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3@+justify%3B%22%3E%0D%0AScenario+No.+2%3A+For+several+years+you+eyesight+deteriorated+to+the+point+where+you+can+barely+see+your+alarm+clock.+You+are+now+considering+corrective+eye+surgery+so+you+won%27t+need+glasses.+Your+sister-in-law+had+corrective+eye+surgery+and+has+had+spectacular+results.+She+recommends+her+eye+surgeon%2C+but+mentions+the+cost+is+about+%245%2C700+for+both+eyes+and+that+the+surgery+is+not+covered+by+insurance.+A+few+years+ago%2C+you+had+surgery+to+correct+your+hemorrhoids+and+it+cost+you+only+eight+hundred+bucks.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0ATRUE+OR+FALSE%3A+Since+surgeons+all+went+to+medical+school+and+are+all+medical+doctors%2C+you+are+being+frugal+and+wise+by+asking+the+surgeon+who+performed+your+hemorrhoid+surgery+to+perform+your+corrective+eye+surgery.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AScenario+No.+3%3A+Several+years+ago%2C+when+you+first+got+married%2C+you+asked+a+former+classmate+who+is+a+lawyer+to+represent+you+in+the+purchase+of+your+townhome.+The+cost+was+only+%24375.+A+year+later%2C+you+started+a+family+and+decided+you+needed+a+Will.+The+same+attorney+prepared+Wills+for+you+and+your+wife+for+a+total+cost+of+%24700.+You+started+your+own+business+and+your+attorney+friend+formed+a+corporation+for+you+and+charged+you+only+%24600+plus+the+cost+of+the+corporate+minute+book.+Years+later%2C+when+your+son+was+arrested+for+misdemeanor+reckless+driving%2C+your+attorney+friend+handled+the+criminal+case+and+got+your+son+off+with+supervision+for+only+%241%2C500.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AYour+business+has+been+successful+and+you+have+built+a+pretty+sizable+nest+egg%2C+but+you+are+tired+of+working+for+every+dime+and+want+to+try+investing+in+real+estate.+You+have+your+eye+on+a+strip+shopping+center.+It+includes+a+grocery+store%2C+bank%2C+hardware+store%2C+dry+cleaners+%28on+a+month+to+month+tenancy%29%2C+a+couple+of+fast+food+restaurants%2C+a+gift+shop%2C+dental+office%2C+bowling+alley+%28with+a+lease+about+to+expire%29%2C+and+wraps+behind+a+gas+station%2Fmini-mart+on+the+corner.+The+purchase+price+is+%248%2C000%2C000%2C+but+the+net+operating+income+looks+pretty+good.+You+figure+if+you+turn+the+bowling+alley+into+a+full+service+restaurant%2Fbanquet+facility%2C+and+convert+the+dry+cleaners+into+a+24-hour+coin+laundry%2C+the+net+operating+income+will+increase+and+the+shopping+center+will+turn+into+a+spectacular+investment.+You+plan+to+pull+together+much+of+your+life+savings+and+put+down+%242%2C000%2C000+to+buy+this+strip+shopping+center%2C+borrowing+the+balance+of+%246%2C000%2C000.+You+remember+that+your+lawyer+friend+handled+the+purchase+of+your+home+several+years+ago%2C+so+you+know+he+handles+real+estate.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0ATRUE+OR+FALSE%2A+Commercial+real+estate+is+the+same+as+residential+real+estate+%5BHey%2C+its+all+dirt%2C+isn%27t+it+%28%3F%29%5D%2C+so+you+are+being+a+shrewd+businessman+by+hiring+your+lawyer+friend+who+will+charge+much+less+than+a+lawyer+who+handles+shopping+center+purchases+several+time+a+year.+%5BWhat+is+this+%22due+diligence%22+stuff+anyway%3F%5D%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AANSWERS%3A%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AIf+you+answered+%22TRUE%22+for+any+of+the+foregoing+Scenarios%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0ASTOP%21%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AThe+Quiz+is+over.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0APlease+find+a+quite+place+to+reflect+upon+your+life+and+consider+whether+the+decisions+you+make+consistently+give+you+the+results+you+desire.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AIf%2C+on+the+other+hand%2C+you+understand+that+the+answer+to+each+of+the+foregoing+questions+is+FALSE%2C+I+am+available+to+help+you+in+Scenario+No.+3.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AFor+Scenario+No.+2%2C+you+should+follow+your+sister-in-law%27s+suggestion+and+contact+her+eye+surgeon%2C+or+some+other+eye+surgeon+with+equal+skill.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AFor+Scenario+No.+1%2C+you+are+on+your+own.+%5BBut%2C+if+you+answered+TRUE+for+Scenario+No.+1%2C+you+may+be+FOREVER+on+you+own.%5D%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AInvesting+in+commercial+real+estate+can+be+profitable+and+rewarding+-+but+it+requires+good+critical+thinking+skills+and+competent+counsel.%3C%2Fdiv%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AYou+have+a+have+a+brain.+It+is+strongly+recommended+that+you+use+it.%3C%2Fdiv%3E%0D%0A%3C%2Fdiv%3E%0D%0A%3Cdiv+id%3D%22article-resource%22+style%3D%22color%3A+%23333333%3B+font-family%3A+Arial%3B+font-size%3A+12px%3B%22%3E%0D%0A%3Cdiv+style%3D%22line-height%3A+1.5em%3B+margin-bottom%3A+1em%3B+padding%3A+0px%3B+text-align%3A+justify%3B%22%3E%0D%0AR.+Kymn+Harp+is+a+seasoned+attorney+based+in+Chicago%2C+Illinois+with+30+years+experience+representing+commercial+real+estate+investors%2C+lenders+and+developers.+He+is+a+frequent+speaker+at+continuing+education+seminars%2C+and+is+a+widely+published+author+on+commercial+and+industrial+real+estate+topics+including+due+diligence%2C+entitlements%2C+commercial+real+estate+financing%2C+and+Brownfield+development+and+financing.%3C%2Fdiv%3E%0D%0A%3C%2Fdiv%3E%0D%0A

Thursday 23 February 2012

Top 10 Real Estate Marketing Tools

Real estate agents often ask me, what's the best marketing tool for real estate? In fact, if I had a dollar for each time I heard this question, I would be on vacation right now!
So what are the best marketing tools for real estate? Well, I'm always quick to say that you are your best real estate marketing tool. Yes, you ... the real estate agent reading this article. I've gone so far as to write an article about the most powerful real estate marketing tool, which is the agent behind the marketing.
So that automatically gets into the top-ten list of marketing tools for real estate. But what are the other nine? Here's my list.
1. A Real Estate Website
Each day in your market area, hundreds (possibly thousands) of home buyers and sellers turn to the Internet for real estate information. Having a real estate website is the first step to connecting with this ideal audience. Thus, the website is a core marketing tool for real estate in the modern age.
2. A Web "Presence"
What's the difference between a web presence and a website? Plenty. A website is a grain of sand on a long beach, with little hope of standing out in any significant way. But a web presence increases the chance people will find you online. A web presence includes such things as the real estate website, online press releases, real estate blogging and other online ventures. your chances of be. In an age where so many people use the Internet for real estate research, a strong web presence is a necessary marketing tool for real estate success.
3. A Real Estate Blog
In my opinion, real estate blogs can be one of the most effective marketing tools for real estate agents. Especially when they're used properly. When you publish quality content to a real estate blog on a regular basis, you are increasing your web presence (mentioned above). You're also positioning yourself as an authority in your area. These are just a few of the reasons a blog makes a good marketing tool for real estate success.
4. Real Estate Postcards
"Postcards," you say, "aren't those a little outdated?" Not at all. The postcard marketing strategies used by a lot of real estate agents are indeed outdated, but the medium itself can still bring great rewards. Real estate postcards have been a reliable marketing tool for real estate agents for decades. They can still be highly effective, especially when integrated with some of the other marketing channels on this page.
5. Home-Buying Seminars
I frequently recommend home-buying seminars as a marketing tool for real estate agents. No other real estate marketing technique can produce a room full of potential clients, eager to hear what you have to say. Sure, there are plenty of logistics involved, but the rewards usually outweigh the effort. Home buying seminars are most effective as a real estate marketing tool when conducted in collaboration (i.e., a real estate agent teaming up with a home inspector, mortgage professional, etc.

Thursday 16 February 2012

All About Real Estate Agents

Who Are They...
Real estate agents are professionals instrumental in connecting the buyer with the seller. 
Additionally, many real estate agents manage rentals wherein they introduce tenants to landlords and oversee the maintenance of the property on behalf of the landlords. 
In most areas real estate agents are required to be highly educated, licensed and are regulated by a governing body. 
Some real estate agents are also Realtors. 
To use the title Realtor, a real estate agent must be a member of the National Association of Realtors which in addition to a number of other requirements, requires Realtors to adhere to a strict code of ethics and offers Realtors additional educational and designation opportunities. 
Though not required by rule or law, it might be a wise decision to seek the services of a Realtor.

What Do They Do....
Real estate agents bring together two or more interested parties, perform those steps necessary to successfully conclude a transaction and charge a commission for their services. 
For sales transactions, they charge commission to the seller while for rentals, commission is typically charged the landlord. 
Real estate agents generally calculate their fee as a percentage of the selling price (in the case of a sale) and as part of the rent for rental units.

How Do They Do It...
People who want to sell or rent their property leave details of their property with the real estate agent. 
Along with all property details the real estate agent will typically have keys to the house to facilitate showings. 
The other interested party (i.e. the buyer/tenant), gets access to this information and to the property by contacting the real estate agent. 
That's how the real estate agent becomes a hub of information. 
Contrary to some common misconceptions, real estate agents typically represent the seller or the buyer but rarely both.

Why Should I Use One...
First and foremost, to protect yourself. Real estate transactions are highly regulated, highly paper (document) intensive transactions. 
The real estate agent possesses an in depth knowledge of the laws, rules, regulations, disclosures and documentation necessary to successfully complete the transaction to the satisfaction of the buyer, the seller and the law.

Because real estate agents are most familiar with local real estate market conditions, it is wise and makes sense to seek the advice of one to get an idea of the current trends and pricing for properties within that market. 
A good real estate agent will know the prices (or price range) of various properties of different types and at various locations within the region.

Because of the real estate agent's knowledge and expertise, property sellers often get a few thousand dollars more for their property.
Many home seekers, including seasoned real estate investors use the services of real estate agents to locate the best real estate bargains in the easiest and quickest manner.
Furthermore, the best agents analyze the wants and needs of a home buyer/tenant and provide valuable input as to the kinds of properties available to them within their budget. Therefore, a good real estate agent will not just present a list of available properties to the buyer/tenant but will actually discuss their needs and make suggestions.
The good real estate agent, working in this manner benefits in at least two ways... 
First and most obviously, when the real estate agent is able to successfully complete the transaction the commission is earned and the real estate agent is paid... 
and secondly, if they make the customer/client happy they earn a good reputation and often receive referrals (hence more business).

Worth Noting...
It is worth noting that there is a myth floating around that real estate agents only work on behalf of the seller, buyer beware. 
This is not written in stone nor is it always the case. Real estate agents are, in most regions, highly regulated. 
With few exceptions, real estate agents work either for the seller (as is the case with many listing agents) or for the buyer (as is the case for a buyer's agent). 
Additionally, some areas allow for dual agency where an agent can work for both the seller and the buyer or as a transaction broker where the agent represents the transaction itself and neither the seller nor buyer individually. 
However, in the case of dual agency/transaction brokerage, note that rule, regulation (law) and ethics do not permit the agent to act in favor of either party while in detriment to the other. 
If you are unsure of the relationship between you and your real estate agent, do not hesitate to ask.
Dave Jarvis is a licensed Real Estate Broker in Florida and is Broker and Owner of Realty Concepts, Inc. a Southwest Florida Real Estate Corporation. If you are interested in Southwest Florida Properties see his website at [http://www.rciflorida.com]
For Additional Free Real Estate information go to: [http://www.realestateseekerusa.com]
For Free Real Estate Financing (Mortgage)information sed: [http://www.mortgageseekerusa.com]

Tuesday 14 February 2012

New York Real Estate Ownership Guide

This article is designed to be a roadmap for the first time homebuyer or seller. Throughout, I'll guide you through the many steps of purchasing or selling your property and explain to you in the process how to avoid the most common mistakes. You will also learn both the legal and psychological problems often encountered.
For most people, buying (or selling) a home is one of the biggest part of living the "American dream". It's also probably the biggest investments they will ever make. Not surprising then, that many find this experience to be very exciting but also worrisome at the same time. Achieving the final transaction and transfer of funds for the property (referred to as the "closing") can leave many home owners feeling exhausted, even depressed. The same can be said for buyers. However, if the process is done correctly, it can also be both interesting and exciting for everybody involved. The ultimate outcome depends on many factors: time, energy needed to devote to the transaction, thoughtfulness and patience. All these traits are included in the process, and all can have an impact on your bottom line.
That's why preparation is key in any successful transaction. The process, complicated by multiple transactions and waiting periods, can be quite confusing. Real estate transactions require expertise. Those wanting total control of the transaction with a do-it-yourself attitude can make many costly mistakes. So unless buyers and sellers have a solid background in Real Estate, they stand to lose thousands of dollars in any given transaction.
Saving on New York Real Estate Attorney Fees
Trying to save a few extra dollars on legal fees may sound like a nice idea, especially for those with large down payments. But this strategy may backfire. You may end up being penny-wise, but broke in the long run. There are many detailed procedures involved in the purchase process that the vast majority of consumers may overlook.
In one of the biggest purchases of your life, it's simply not the time to "bargain shop". Remember the key criteria: if you can't afford to see the big picture in the transaction you probably aren't ready to close the deal. The amount of legal fees charged should not be the deciding factor in hiring a particular New York Real Estate Lawyer. You retain a New York Real Estate Lawyer because you trust that they will represent your best interest in the transaction. The bottom line is that you want a New York Real Estate Lawyer you can trust, if trust becomes an issue you are well advised to seek another New York Real Estate Lawyer, no matter how low the fees are. For the most part, a New York Real Estate Lawyers aim to satisfy their clients and keep that satisfaction within the legal bounds of the law --all at the same time. The happier their clients, the busier the New York Real Estate Attorney will be with future clients. So it makes common sense as much as it makes dollars sense to retain a New York Real Estate Lawyer who aim is to achieve the client's goal in the real estate transaction. 
Real Estate transactions involve use of standard legal language. It is quite understandable then, if a buyer or seller do not understand the terms used in the transaction. First-time homebuyers have the worst experience. That is the reason why it makes sense to hire a New York Real Estate Lawyer who can represent your interest and can help you avoid pitfalls and unnecessary problems. 
If not detected prior to closing, once a problem occurs, it can take time and money to correct the situation. An attorney with experience in New York real estate law can help steer a buyer or seller away from costly mistakes.

What kind of home fits my needs?
When buying a home, you have to determine what property will fit your needs. Picking the right kind of property to purchase requires careful planning, organization, and sacrifice. Since most people don't have the time, real estate brokers can be extremely helpful in letting you understand the many issues you might encounter. The questions involved can be overwhelming. What matters need further inquiry? Which homes come with bad neighbors? There are many matters which you need to inquire about when you look at different properties that interests you. However, some issues are common to most real estate purchases. A simple tip is to determine what borough you like to live. If you plan on living in Queens, Brooklyn, Bronx, Staten Island, Manhattan or Long Island, you may want to deal with a broker in that borough.

Thursday 9 February 2012

Commercial Real Estate - Big Profits

Real estate has always been known as the safest of investments.
In fact, real estate investment completed after proper research into and evaluation of the property (to determine actual and future value), can lead to tremendous profit. 
This is one reason many people choose real estate investment as their full time job.

Discussions about real estate tend to focus on residential real estate; commercial real estate, except to seasoned investors, typically seems to take a back seat. 
However, commercial real estate is also a great option for investing in real estate.

Commercial real estate includes a large variety of property types. 
To a majority of people, commercial real estate is only office complexes or factories or industrial units. 
However, that is not all of commercial real estate. There is far more to commercial real estate. 
Strip malls, health care centers, retail units and warehouse are all good examples of commercial real estate as is vacant land. 
Even residential properties like apartments (or any property that consists of more than four residential units) are considered commercial real estate. In fact, such commercial real estate is very much in demand.

So, is commercial real estate really profitable? 
Absolutely, in fact if it were not profitable I would not be writing about commercial real estate at all!! 
However, with commercial real estate recognizing the opportunity is a bit more difficult when compared to residential real estate. 
But commercial real estate profits can be huge (in fact, much bigger than you might realize from a residential real estate transaction of the same size).