Friday 27 April 2012

Investing In Real Estate In Up And Down Markets

Some people who doubt that there is a right time to get started in real estate investing worry that there are too many people buying houses to find a deal. Competition is everywhere. If you can't understand - that in business, competition is normal - then real estate investing is not for you. Just take a look at the marketplace in companies such as Coke and Pepsi, Nike and Reebok, McDonalds and Burger King, and a million other services and products out in the marketplace. So if you see a lot of investors competing against you then know that it's a rewarding business to be in because you are not the only one that sees the potential for profit. Plus, there are more than enough deals to make everyone rich, in due time. At any given time there are hundreds of properties for sale in your own local market niches, enough for each investor looking for them.
Some investors know that events such as the September 11th tragedy, the huge number of job layoffs and the decline in the stock market will kill the economy, and anything they buy will go down in value. But, once again, this need not be the time to fold-up your tent and quit before you get started. In order to be successful in investing, learn how to make money in "up" and "down" markets. Have strategies to utilize in both "up" and "down" markets to survive when the economy is bad or thrive when the economy is booming. And if everyone else is forecasting "doom & gloom" it only clears out the competition as you have more market share to profit from, as this is a good thing!
Ask yourself: "When do I want to make money?" And the answer is usually right now!
Thus, go out and get your investing business going, right now! And not base your actions on what others are saying because the majority of the population is not rich, only those few who dare to take the right risks and take the necessary steps to be successful.
Stay in 'the Game,' and stay 'the Course' (persist)
One of the major disappointments of the conventional, 'rental real estate' approach is there's just no money in it NOW, only after a long period of ownership. There's not enough spread between the income realized from rent - versus - the expenses of mortgage payments and repairs for the investor to make any money today. You barely get by in the early years of your property's ownership. You've got to have other income to support your lifestyle. You can't just count on the rentals to support you.
Most likely, in the beginning you'll be supporting your properties with your other income if you bought via the traditional way. That's not too attractive. A lot of investors don't have the stomach to endure the rough and tough financial stresses of the rental business. Even more so - people just don't have the desire to hang in there to make it work, in due time. Thus, if you persist you will outpace your competition because they will no longer be in the business, and you will have "no competition". This business is a long-term commitment and over 80% of real estate investors - who have been in the business for that long, go on to become millionaires. What I'm saying to you is this: Stay the course, and you will beat most all of your competitors because you can ride the ups and downs of the market in the Real Estate Game, in due time.
Opportunity is everywhere
This is 'NOT' a common statement I hear from new investors. True, it may work differently in some markets than in others, but there are investors making money in every city (large or small, metro-area or the rural-areas), every day of the week. You have to learn your market: the rents, the trends, the local customs, the lenders, the title companies, etc.
Then, learn the techniques and adapt them to your market. One thing is for sure, everyone needs a roof to live under, either renting or owning. People need to live somewhere. So study your market carefully, because there are tons of opportunities in every marketplace. You just have to learn your market and be able to service your market accordingly. If you don't believe this, simply read the 'Success Stories' of all my students achieving financial independence and earning big profits using my field-tested and perfected real estate investing system.
Typically, the main argument of real estate "Nay-Sayers" is by associating real estate with toilets, bad tenants, property damages, tenant evictions, etc. - all the bad tasting things that may happen to an investor getting ready to jump into the real estate game.
For somebody who believes the only thing to real estate is getting a loan and buying a run-down duplex, in a bad part of town, entering the real estate game most certainly could turn into a major nightmare very quickly. However, an individual open to possibilities and who is willing to learn various techniques and strategies - will very quickly discover that's this methodology is not the most profitable way to be transacting real estate deals.

Monday 23 April 2012

2008 Internet Real Estate Agent

Happy New Year! Here's to 2008 being the year for taking your business and personal life to their highest level. The need for people to connect and exchange goods and services has been one of civilization's ongoing themes. Now, the need for people to get on the internet and search for real estate information is going to increase exponentially. The big question is, not how technology will advance the real estate industry, but rather how will you use it.
2008 poses many challenges for the real estate industry and its irrevocable relationship with the internet. How are you positioned to garner your share of targeted real estate leads and marketing potential of the internet? Are you investing in old traditional training techniques of sending out post cards, fancy listing presentation displays and a clever tag line? You already know that marketing to your sphere of influence and past clients is essential. But what other business systems have you implemented for seller or buyer leads?
How are you spending your education dollars and time? Now is the time to take action.
Search engine optimization and online lead generation is a competitive game, and it is growing more competitive by the day. You've read the articles, watched it on the news and read all the press releases. The biggest companies in real estate are investing the lion share of their resources to the internet. No more old traditional training, old school marketing or ideas. Major corporations are dumping money into their internet business in order to compete in the networked society we live in. What are you doing now to further your education and online real estate lead generation business? That's your challenge in 2008 and beyond.
As I've stated before, you can still create a very successful online real estate lead-generation business. However, these days are numbered.
The Web is big, but it's a finite resource. Well, more accurately said, cyberspace is infinite, but people will only dig so deep. Real estate Web sites that capture the top spots in the search engines are garnering high quality leads and massive lists of interested buyers and sellers. But, as more and more big-brand companies compete and figure out how to grab high ranking search engine positions, they will slowly but surely elbow out the little guy. It's the nature of an industry to be "open" to early adopters at the beginning and then slowly close to only those that can afford the great investment of time and money needed to stay competitive. As more and more buyers and sellers use the Internet for real estate research, the "evening and weekend traditional real estate agent marketing model" is fast becoming extinct.

Monday 16 April 2012

Real Estate Flipping - Is Flipping Real Estate the Smartest Way to Get Started in Real Estate?

Real Estate Flipping - Is Flipping Real Estate the smartest way to get started in real estate investing?
"Flip This House", "Flip That House", "Property Ladder",... and on and on...
Over the past couple years you and I have been hammered on TV with real estate flipping shows that depict these people making outrageous profits flipping homes and making it look easier than heck.
So, is this flipping stuff real? Well... it sure is. There are countless people out there making a darn good living flipping homes. But... the tv shows on flipping are darn deceiving when it comes to the "reality" of real estate flipping.
Is flipping real estate the best way to get starting in real estate investing? I'll let you decide for yourself. However, in my opinion, for most people, especially in today's down markets (not all markets are down... there are actually some doing really well), real estate flipping is not the best way to get started in real estate investing.
Here's why:
First, let's clarify two kinds of flipping.
  1. The Fix and Flip - Where you buy real estate, rehab it, and sell it to a retail buyer. The kind that is on the TV shows.
  2. The Wholesale Flip - Where you buy real estate (or get it under contract), find a wholesale buyer, and flip the contract. The kind that is less glorious... but has a ton of money in it... with a heck of a lot less risk.
To me, the Fix and Flip method is not for most newbie's... even though that is the kind of real estate investing you see on TV all of the time.
Why?

Saturday 14 April 2012

Real Estate Rebate - Can The Traditional Model Survive?

The Beginning Of The Real Estate Rebate: Society as a whole has been significantly impacted by the emergence of the Internet. It has made the world a smaller place and has intern changed the way we communicate and conduct business. It has helped companies target their clients through avenues such as Google & Yahoo, and has subsequently put the products and information that consumers looking for, at their finger tips. Social Networks such as Myspace and Facebook have made it possible to stay in contact with friends and family around the world via the Internet. As time passes these changes and effects will become more wide spread and alarmingly self evident. One such industry that stands to be dramatically affected is Real Estate.
For decades, the real estate industry has been defined by traditional representation in which an agent charges the seller a commission to market and sell their home or represents buyers through the entire home buying process. In the past, the traditional model was the staple of the real estate profession and it faced little to no opposition. Thhs has begun to change. With the dependency that society and has developed on Internet, creative minds have begun to develop new models that cater to every type of consumer. As a result, consumers no longer have to settle for the "One Size Fits All" traditional model, but have a choice in choosing the type of service that fits their real estate needs.
New Models: Consumers may now choose between a variety of real estate products and services. These services are characterized by enabling buyers or sellers to seek specific real estate assistance as opposed to the whole package. In the case of sellers, real estate agents will charge a fee only for the services they provide. For example, a seller may only want to list their home on MLS (Multiple Listing Service Used By Real Estate Professionals around the Country) for the added exposure, and require some assistance drafting a purchase and sale agreement. Listing a home and receiving assistance with a P&S will cost you hundreds of dollars as opposed to paying a 5%-6% commission that would cost thousands of dollars. Buyers who are interested in finding a home on their own or willing to participate in the initial house hunting work, can receive a rebate at closing. This model gives buyers the professional assistance of a realtor and rewards them for their efforts with a portion of the commission at closing. One company that gives buyers a rebate is SharpBuyers. They are a national real estate rebate company based out of Boston Massachusetts. They have agents all throughout the country that will help buyers find a home and give them a rebate at closing. Another emerging model is real estate consultants. These are licensed real estate professionals that exclusively charge flat fee's for specific services.

Monday 9 April 2012

The Real Estate Blog Alphabet - 26 Benefits and Best Practices

This alphabet lists 26 key benefits and best practices of using a real estate blog. Not all of these entries will apply to every individual blogging scenario, but they all apply to real estate blogs in general. So you are bound to find something useful here that you've never considered before.
Here you have them, real estate blog benefits and best practices ... from A to Z.
Authoritative
Everyone knows you have to understand a subject well in order to write about it or explain it to others. When agents blog about the real estate scene in their cities or towns, they position themselves as authorities on the subject. In this way, a real estate blog can be a useful tool for positioning, branding and differentiation.
Believable
If used properly, a real estate blog can make the agent (or company) behind it more believable. And let's face it ... in the post-Enron, low-trust world of corporate skepticism, a little believability can go a long way. Use your real estate blog to communicate openly and honestly with your audience. Lose the fluff and the jargon. Be candid and sincere. And speaking of being candid...
Candid
It's a mistake to treat your real estate blog as "Website, Part 2." Blogs are easy to publish, so you can publish to them more frequently. In this way, a real estate blog can become an ongoing dialogue between you and your audience (potential clients). To get the most out of this dialogue, and to achieve the believability mentioned above, a real estate blog should take on the candid, heartfelt voice of the author.
Direct
Real estate blogs are direct-to-reader / direct-to-consumer. You simply type your message, click the "Publish" button, and your message becomes instantly viewable online. Unlike other forms of business communication, there are no journalists or editors to put their own spin on things. Your message goes from you, directly onto your blog, and directly to your audience.
Enthusiastic
In a perfect world, only the truly enthusiastic bloggers would publish real estate blogs. But this is not the case, and as a result there's a lot of "half-hearted" blogs online today. Half-hearted commentary stands out like a purple elephant in the blogosphere. This kind of blogging actually does more harm than good. On the other hand, enthusiasm comes across in blog posts -- but enthusiasm is both positive and contagious.
Flexible
The number of ways you can use your real estate blog is limited only by your imagination and energy. Maybe your blog will be a source for local real estate news. You can do that. Or maybe your blog will cater to a certain niche, such as condo buyers or home sellers. You can do that too. With the versatile publishing capabilities of most blogging programs, you can set up your blog to support any business, marketing or communication objective.
Google-friendly
A real estate blog can help you increase your online visibility in several ways. For one thing, a blog can help you expand your website with new content, easily and efficiently. Blog daily for a year, and you'll have 365 new pages of content. And search engines love topical content. A real estate blog is also more "social" than a regular website, so with time and effort your blog can acquire links from other blogs. This "link popularity," as it's known, can do wonders for search engine ranking.