tag:blogger.com,1999:blog-37326772144770079982023-11-15T09:05:17.852-08:00Real EstateUnknownnoreply@blogger.comBlogger40125tag:blogger.com,1999:blog-3732677214477007998.post-47375271987497056932012-05-25T11:32:00.000-07:002012-05-25T11:32:00.171-07:00The L Steps - 6 Steps of Real Estate Investing<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Real estate investing in Miami real estate is now becoming popular again as there are many properties in foreclosure, short sale, bank reo's, and government foreclosures. With such an overwhelming inventory of homes available for sale a real estate investor must be able to determine which one to purchase. Investors must follow six steps in order to learn, understand and achieve Miami real estate investment success.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">These are the six L steps to Miami real estate investing:</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">1. Location - Location, location, location is still the key of buying Miami real estate. Buying Miami real estate just because the price is low in a declining area is big mistake that should be avoided. Look for homes in an excellent location like, good schools, economic stable and growing neighborhoods, near shopping centers and malls, near bus stops and metro rails, near hospitals and restaurants. Sometimes it is better to pay a little more for a property in a good location than getting a bargain in a place where it is very hard to sell or rent the asset. Location is often overlooked in purchasing real estate as many investor think they can overcome a bad location if the price is low enough. Out of two homes that are exactly the same, the one in the best location will command a much higher sales price and rental income. Location is the number consideration when purchasing Miami South Florida real estate.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">2. Long Term - Real estate investing is a long term proposition. Don't think you are going to be a millionaire over night. It takes years of hard work and dedication in order to succeed. Hold any property at least one year before selling it. Capital gain taxes will be greatly reduced. Consider renting the property for at two or three years. The rental income generated will help you to properly repair and renovate the property. Many investors purchased properties in the middle of real estate boom with no money down and no equity. These investors were thinking of flipping the homes fast and make a killing in the process. Many homes now in foreclosure are due to investors that were caught in the middle and now realize that real estate investing is very hard to time. Long term Miami real estate investing is the secret to a successful real estate career.</div><a name='more'></a><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">3. Lease Option - Never rent a property with a lease option to buy. Either sell or rent it straight out. A lease option usually is a disaster for both buyers and sellers. The tenant will demand a large discount of the rent to go towards the down payment and closing costs. The problem is that tenant will not buy the property at the end of the lease and the landlord/seller will have wasted a lot of money in rebates given to the tenant/buyer. Demand a 20% or 30% deposit from the tenant/buyer and a clause in the contract that if they default on the purchase they will lose the deposit. This technique will force the tenant/buyer to purchase the property or lose the deposit. The risk of losing the deposit will eliminate the tenant from taking advantage of the landlord by walking out of the contract after receiving a monthly rental discount.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">4. Local - Buy real estate close to where you live. Don't buy real estate in another state or in another country. Keep real estate investing local. Buy in your own county and in your city. The more you know about the area where you are buying the better the decision will be. The investor should always be close to the investment property. The Miami real estate investor should inspect the property often to determine any repair, roof and other problems. The landlord must inspect the property every month when collecting the rent. Check for the number of tenants actually living in the property, check for damages and destruction of the property and overall condition of the place. The investor/landlord will not be able to inspect and determine the condition of the property if it is located far away. Keeping real estate local is an essential step in real estate investing.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">5. Leverage - Most real estate books and seminars tell you to use other people's money when purchasing real estate. This technique is not the best and buyers should try to buy the property in cash if at all possible. Buying a house in cash will help you get a better deal and allow you to negotiate from a position of strength. A cash buyer will always have the upper hand in negotiating with banks, property owners, and other sellers. Cash buyers will not suffer and go into foreclosure if the market turns and they are unable to sell or rent the house right away. Like Dave Ramsey always says "cash is king and debt is dumb". Buying an investment property in cash is an excellent way to avoid Miami real estate investment mistakes.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">6. Learn - Research the property and learn everything about it before you buy. A mistake in Miami real estate investing can be very costly. Usually you make your money when you buy not when you sell. Buying the property at the wrong price the wrong place and at the wrong time could be detrimental. One mistake could wipe you out and put you out of business before you start. Ask questions to the experts, real estate agents, appraisers, mortgage brokers, and other real estate investors. Learn, research, educate yourself in all aspects of real estate investing before you purchase the asset.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">It is definitely a buyers market in Miami-Dade County. Miami real estate investors have more choices than ever before when it comes to real estate investing. Investors must follow the L steps, the 6 steps real estate investor guide to successful real estate investing in order to achieve their investment goals in the Miami real estate market.</div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-13217269127730498782012-05-24T11:32:00.001-07:002012-05-24T11:32:00.552-07:00The Real Estate Sector<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Boom & Bust of Indian Real Estate Sector</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Engulfing the period of stagnation, the evolution of Indian real estate sector has been phenomenal, impelled by, growing economy, conducive demographics and liberalized foreign direct investment regime. However, now this unceasing phenomenon of real estate sector has started to exhibit the signs of contraction.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">What can be the reasons of such a trend in this sector and what future course it will take? This article tries to find answers to these questions...</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Overview of Indian real estate sector</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Since 2004-05 Indian reality sector has tremendous growth. Registering a growth rate of, 35 per cent the realty sector is estimated to be worth US$ 15 billion and anticipated to grow at the rate of 30 per cent annually over the next decade, attracting foreign investments worth US$ 30 billion, with a number of IT parks and residential townships being constructed across-India.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The term real estate covers residential housing, commercial offices and trading spaces such as theaters, hotels and restaurants, retail outlets, industrial buildings such as factories and government buildings. Real estate involves purchase sale and development of land, residential and non-residential buildings. The activities of real estate sector embrace the hosing and construction sector also.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The sector accounts for major source of employment generation in the country, being the second largest employer, next to agriculture. The sector has backward and forward linkages with about 250 ancilary industries such as cement, brick,steel, building material etc.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Therefore a unit increase in expenditure of this sector have multiplier effect and capacity to generate income as high as five times.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">All-round emergence</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">In real estate sector major component comprises of housing which accounts for 80% and is growing at the rate of 35%. Remainder consist of commercial segments office, shopping malls, hotels and hospitals.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">o Housing units: With the Indian economy surging at the rate of 9 % accompanied by rising incomes levels of middle class, growing nuclear families, low interest rates, modern approach towards homeownership and change in the attitude of young working class in terms of from save and buy to buy and repay having contributed towards soaring housing demand.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Earlier cost of houses used to be in multiple of nearly 20 times the annual income of the buyers, whereas today multiple is less than 4.5 times.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">According to 11th five year plan, the housing shortage on 2007 was 24.71 million and total requirement of housing during (2007-2012) will be 26.53 million. The total fund requirement in the urban housing sector for 11th five year plan is estimated to be Rs 361318 crores.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">The summary of investment requirements for XI plan is indicated in following table</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">SCENARIO Investment requirement </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Housing shortage at the beginning of the XI plan period 147195.0 </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">New additions to the housing stock during the XI plan period including the additional housing shortage during the plan period 214123.1 </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Total housing requirement for the plan period 361318.1</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">o Office premises: rapid growth of Indian economy, simultaneously also have deluging effect on the demand of commercial property to help to meet the needs of business. Growth in commercial office space requirement is led by the burgeoning outsourcing and information technology (IT) industry and organised retail. For example, IT and ITES alone is estimated to require 150 million sqft across urban India by 2010. Similarly, the organised retail industry is likely to require an additional 220 million sqft by 2010.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">o Shopping malls: over the past ten years urbanization has upsurge at the CAGR of 2%. With the growth of service sector which has not only pushed up the disposable incomes of urban population but has also become more brand conscious. If we go by numbers Indian retail industry is estimated to be about US $ 350 bn and forecast to be double by 2015.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Thus rosining income levels and changing perception towards branded goods will lead to higher demand for shopping mall space, encompassing strong growth prospects in mall development activities.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">o Multiplexes: another growth driver for real-estate sector is growing demand for multiplexes. The higher growth can be witnessed due to following factors:</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">1. Multiplexes comprises of 250-400 seats per screen as against 800-1000 seats in a single screen theater, which give multiplex owners additional advantage, enabling them to optimize capacity utilization.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">2. Apart from these non-ticket revenues like food and beverages and the leasing of excess space to retailer provides excess revenues to theatre developers.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Hotels/Resorts: as already mentioned above that rising major boom in real estate sector is due to rising incomes of middle class. Therefore with increase in income propensity to spend part of their income on tours and travels is also going up, which in turn leads to higher demand for hotels and resorts across the country. Apart from this India is also emerging as major destination for global tourism in India which is pushing up the demand hotels/resorts.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Path set by the government</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The sector gained momentum after going through a decade of stagnation due to initiatives taken by Indian government. The government has introduced many progressive reform measures to unveil the potential of the sector and also to meet increasing demand levels.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o 100% FDI permitted in all reality projects through automatic route.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o In case of integrated townships, the minimum area to be developed has been brought down to 25 acres from 100 acres.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Urban land ceiling and regulation act has been abolished by large number of states.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Legislation of special economic zones act.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Full repatriation of original investment after 3 years.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o 51% FDI allowed in single brand retail outlets and 100 % in cash and carry through the automatic route.</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">There fore all the above factors can be attributed towards such a phenomenal growth of this sector. With significant growing and investment opportunities emerging in this industry, Indian reality sector turned out to be a potential goldmine for many international investors. Currently, foreign direct investment (FDI) inflows into the sector are estimated to be between US$ 5 billion and US$ 5.50 billion.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Top most real estate investors in the foray</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Investors profile</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The two most active segments are high networth individuals and financial institutions. Both these segments are particularly active in commercial real estate. While financial institutions like HDFC and ICICI show high preference for commercial investment,the high net worth individuals show interest in investing in residential as well as commercial properties.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Apart from these, the third most important category is NRI ( non-resident Indians). They mostly invest in residential properties than commercial properties. Emotional attachment to native land could be reasons for their investment. And moreover the necessary documentation and formalities for purchasing immovable properties except agricultural and plantation properties are quite simple. Therefore NRI's are showing greater interest for investing in Indian reality sector.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>MAJOR INVESTORS</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">o Emmar properties, of Dubai one of the largest listed real estate developer in the world has tied up with Delhi based MGF developments to for largest FDI investment in Indian reality sector for mall and other facilities in Gurgaon.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">o Dlf India's leading real estate developer and UK 's famous Laing O Rourke (LOR) has joined hands for participation in airport modernization and infrastructure projects.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">o A huge investment was made by Vancouver based Royal Indian raj international cooperation in a single real estate project named royal garden city in Bangalore over period of 10 years. The retail value of project was estimated to be around $ 8.9 billion.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">o Indiabulls real estate development has entered into agreement with dev property development, a company incorporated in Isle of Man, whereby dev got subscription to new shares and also minority shareholding the company. But in recent developments indiabulls have acquired entire stake in dev property development in a 138 million-pound sterling (10.9 billion ruppees) share-swap deal.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Apart from this real estate developments opens up opportunity for associated fields like home loans and insurance. A number of global have shown interest in this sector. This include companies like Cesma International from Singapore, American International Group Inc (AIG), High Point Rendel of the UK, Colony Capital and Brack Capital of the US, and Lee Kim Tah Holdings to name a few.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Following are names of some of the companies who have invested in India</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">International developer Country Investment</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">(US $ million)</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Emmar properties Dubai 500</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Ascendas Singapore 350</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Salem & ciputra group Indonesia 350</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">GE commercial finance U.S 63</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Tishman Speyer Properties U.S 300</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Simultaneously many Indian retailers are entering into international markets through significant investments in foreign markets.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Embassy group has signed a deal with Serbian government to construct US $ 600 million IT park in Serbia.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Parsvanath developers is doing a project in Al - Hasan group in Oman</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Puravankara developers are associated with project in Srilanka- a high end residential complex, comprising 100 villas.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Ansals API tied up with Malaysia's UEM group to form a joint venture company, Ansal-API UEM contracts pvt ltd, which plans to bid for government contracts in Malaysia.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Kolkata's south city project is working on two projects in Dubai.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">On the eve of liberalization as India opens up market to foreign players there is tend to be competitive edge to give quality based performance for costumer satisfaction which will consequently bring in quality technology and transparency in the sector and ultimate winners are buyers of this situation.</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">However this never ending growth phase of reality sector has</div><a name='more'></a> been hard hit by the global scenario from the beginning of 2008. Analyst say situation will prevail in near future, and latest buzz for the sector comes as a "slowdown".<br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Sliding phase of the reality sector</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">In this present scenario of global slowdown, where stock markets are plunging, interest rates and prices are mounting, the aftermath of this can now also be felt on Indian real estate sector. Overall slowdown in demand can be witnessed all across India which is causing trouble for the major industry players. Correcting property prices and rentals are eroding away the market capitalization of many listed companies like dlf and unitech.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Fundaments behind slowdown...</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Propetry prices move because of the basic principle of demand and supply</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o when demand is high and supply low prices will go up</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o When demand is low and supply high prices will go down.</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">For example let's assume that somebody has bought a property for Rs X and he is trying to sell the property (say after a year), there can be three options, assumption being that the owner is in need of money and cannot wait for more than 3 months to sell the property.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">1. When the property prices are gliding everywhere : now owner will try to add as much premium to the property as possible, in order to book profits, therefore he will wait for 3 months and sell off in last month at the highest bid. Where he ill get total of Rs X + Rs Y.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">2. When property prices have stabilized: here owner will not be able to sell at premium and book profits due to market stabilization & since he don't want to sell at a loss, he will try to get same amount he brought the property for. Where he'll get total of Rs X = Rs Y</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">3. when property prices are going down : owner will try to sell the property at least profit or least cost. Therefore he ill get Rs X-RsY.</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Reality deals in major cities like Delhi, Mumbai, Bangalore, Chennai and Hyderabad have shown enormous downfall from October 2007 - March 2008. The downfall had been cushioned by fall in stock markets as it put a stop for wealth creation, which leads to shortage of capital among investors to invest in real estate activities. Apart from this in order to offset their share losses many investors have no choice, but sell their real estate properties.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Other factors which have contributed to this slowdown are raising interest rates leading to higher costs. Due to this almost all the developers are facing serious liquidity crunch and facing difficulties in completing their ongoing projects. Situation seems to be so disastrous that most of the companies have reported 50-70% cash shortfall. The grade A developers which are facing cash crunch include DLF,MGF, Emmar, Shobha developers, Unitech, Omaxe, Parsvnath Developers, Hiranandani Group, Ansal API, BPTP Developers and TDI Group. As a outcome of this liquidity crunch many developers have started slowing down or even stopped construction of projects which are either in their initial stages of development or which would not effect their bottom line in near future.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Also with increasing input costs of steel iron and building material it has become it has become inviable for builders to construct properties at agreed prices. As a result there may be delays in completion of the project leading finical constraints.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">At the same time IT industry which accounts for 70% of the total commercial is facing a slowdown. Many residential buyers are waiting for price correction before buying any property, which can effect development plans of the builder.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Aftermath of reality shock to other sectors</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Cement industry hit by reality slowdown</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">The turbulence in the real estate sectors is passing on pains in cement industry also. It is being projected that growth rate of cement industry will drop down to 10% in current fiscal. The reasons behind such a contingency are higher input costs, low market valuations and scaled up capacity which are in turn leading to reduced demand in the industry. High inflation and mounting home loan rates have slowed down the growth flight of real estate sector which accounts for 60% of the total cement demand. The major expansion plans announced by major industries will further add to their misery as low market demand will significantly reduced their capacity utilization.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Setting up new facilities will impart additional capacities of 34 million tone and 45 million tone respectively in 2008-09 & 2009-10. This is likely to bring down capacity utilization in the industry down from current 101% to 82%. Even as it loses power to dictate prices, increased cost of power, fuel and freight will add pressure on input costs.</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Ambuja Cements too is trading at a higher discount than previous down cycle, suggesting bottom valuations. However, replacement valuations for Madras Cements and India Cements indicate scope for further downslide when compared to their previous down cycle valuations.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">All this has added to stagnation of the cement industry.</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Dying reality advertising</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The heat of reality ebb is also being felt by the advertising industry. It is being estimated that all major developers such as DLF, omaxe, ansals & parsvnath have decided to cut down on their advertising budget by around 5%. The advertising industry in India is estimated to be around 10,000 crore. This trend can be witnessed due to weakening spirits of potential buyers and real estate companies call it a reality check on their advertising budgets. A report from Adex India, a division of TAM Media Research, shows that the share of real estate advertisements in print media saw a drop of 2 percent during 2007 compared to 2006. According to Adex, the share of real estate advertisement in overall print and TV advertising last year was 4 percent and 1 percent, respectively. It's a known fact that infrastructure and real estate companies are responsible for advertising industry maintaing double didgit growth rate. Therefore its understood that a recent slowdown in iindian reality sector has made things worse for advertising industry. The Adex report indicates that the top 10 advertisers shared an aggregate of 16 percent of overall ad volumes of real estate advertising in print during 2007. The list include names such as DLF Group, Parsvnath, Sahara, HDIL and Omaxe group. However, the real estate had maximum share in South India publications followed by North and West publications with 32% and 26% share, respectively, during 2007.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">According to many advertising agencies consultants, this phenomenon is taking a toll as all real estate companies want a national foot print and also these companies are turning into professionals. Therefore they are setting standards when it comes to advertising to sales ratio.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Falling stock markets knock down reality stocks</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Reality stocks have been hard hit by uncertainties prevailing in the stock market. The BSE reality index is the worst performer having shed 51% of its 52-week peak reached in reality. The BSE benchmark index has shed 24% since January. The country's largest real estate firm DLF scrip lost 54% while unitech lost 64% from its peak. The scrips of Delhi bases parsvnath and omaxe have lost 68% each since January.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">The sector is facing a major downfall in sales volume in most markets of the country. The speculators have exit the market and Mumbai and NCR, the biggest real estate markets in markets are cladding subdued sales. In Gurgaon and Noida, which had seen prices almost treble in four years, sales are down 70%, leading to a price correction of 10-20%.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Lets us have a look how major cities are affected by reality downfall.</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Top 4 metros taking the lead - in slowdown</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Delhi &NCR</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">While bears are ruling the stock market, the real estate sector in Delhi & NCR region has started facing departure of speculative investors from the market. According to these developers based in region the selling of flats has become very complicated at the launch stage due to lack of interest from the speculators. Developers attribute this to stability in prices against the past where prices were up surging on monthly basis. The scenario has changed so much in the present year that developers are now facing difficulty in booking flats which may delay their projects and reduce their pricing power for instance a year ago, if 100 flats were being sold in month at launch stage now it has come down 30-40 per month. Till mid 2007 speculators made quick money by booking multiple flats at launch of the project and exiting within few weeks or months. But now due to the stabilization of the property prices little scope is left for speculators to make money in short term. Therefore outcome is their retreat from the sector.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Mumbai</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Mumbai real estate market, which witnessed huge increase in prices in recent years, which made the city to enter in the league of world's most expensive cities, is now feeling the heat of slowdown. Property sales that have been growing at a clank of around 20% every year have been plumped by 17% in 2007-08.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Though slowdown news of property market in country's financial capital has been much talked about, but it was first time that figures proved the extent of slowdown. Information about residential and commercial property sales from the stamp duty registration office show almost 12,000 fewer transactions during the last financial year compared to the year before. From April 2007 to March 2008, 62,595 flats were purchased in Mumbai as against 74,555 in 2006-07.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">According to reality analyst sales volume can die out further in south as developers persist on holding to their steep prices and buyers anticipate a further fall with current rates beyond reach. They further add that market is on a corrective mode and downward trend is anticipated for another 12 months.</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Between 1992-96, the market ran up the same way it did during 2003-07. Post-'96, the volumes dropped by 50%. This time again it is expected to drop substantially though not so steeply. The demand is now extremely sluggish and customers do not want to stick out their necks and transact at prevailing rates.Chennai in past few years we witnessed reality index gaining huge heights on BSE and it also impact could be felt allover India. Amongst them Chennai was no exception. With IT boom in past few years and pumping of money by NRI's have led to prices touching skies. Chennai also witnessed a huge boom property prices over the last few years. However in past few months it has been facing slowdown in growth rate.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Following factors can be attributed to this:</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o This is one of the common factor prevailing all over India- rise in home loan interest rates, which has made it extremely difficult for a normal salaried person to be able to afford a house.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Depreciation of US dollar, which means NRI's who were earlier pumping money into the real estate are now able to get less number of rupees per dollar they earn in US. Therefore many of them have altered their plans for buying house in India.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o The Chennai Metropolitan Development Authority (CMDA) has imposed stricter norms for apartment construction and penalties for violations are more severe than before.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Failure of the legal system of chennai to prevent intrusion, forged documents and illegal construction has added to the problem as many NRI'S are hesitating to buy plots in chennai.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">o Apart from this tsunami of 2004 has shaken the confidence of many investors to invest in real estate.</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">However many analyst are quite bullish about this region. Especially in areas like old mahabalipuram, south Chennai etc because of numerous IT/ITES/ electronics/automobile companies are expected to set up their centers in these areas. Once these projects are complete and companies begin operations their, many people would like to live near to such areas and outcome will be boom in residential sector.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Bangalore</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">As discussed for above cities Bangalore is also dwindling between the similar scenarios. Bangalore seems to be in midst of low demand and supply. This trend is due to myopic developers, due to sudden growth in Bangalore in last few years, lot of builders have caught the opportunity of building residential houses thinking their will be lot of employment, increase in salaries and hence demand for housing. Past few years have been jovial for Bangalore as IT industry was doing well and banking and retail sectors were expanding.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">However with this sudden economic slowdown, due to which Indian stocks markets are trembling, interest rates are high, jobs and recruitment put on freeze have led to cessation of investment in local property markets.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">According to the developers real-estate industry of Bangalore has experienced a drop of about 15- 20% in transaction volumes. Adding to it grade A developers have faced a dropdown of 50% on monthly levels of booking compared to what they enjoyed in December 2007.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Future outlook</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The real estate explosion in Indian real estate is due to by the burgeoning IT and BPO industries. The underlying reason for all these moves is that the Indian real estate is tremendously attractive, because of basic demographics and a supply shortage. Truly Indian real estate is having a dream run for last five years.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">However in the current scenario Indian real estate market is going through a phase of correction in prices and there are exaggerated possibilities that these increased prices are likely to come down.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">In this scenario hat will be the future course of this sector?</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Many analyst are of view that tightening of India's monetary policy, falling demand and growing liquidity concerns could have negative impact on profiles of real estate companies. Slowing down would also aid in the process of exit of some of the weaker entities from the market and increasing the strength of some of the established developers. A prolonged slowdown could also reduce the appetite of private equity.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Its also been projected that large development plans and aggressive land purchases have led to a considerable increase in the financial leverage (debt/EBITDA) of most developers, with the smaller players now being exposed to liquidity pressures for project execution as well as a general slowdown in property sales. Property developers hit by falling sales and liquidity issues would need to reduce list prices to enhance demand, but many still seem to be holding on to the asking price - which, would delay the process of recovering demand and increase the risk of liquidity pressures.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">It was being witnessed that before the slowdown phase the projects were being sold without any hook at an extravagant rate. But at present negative impact is highly visible as lot of high end projects are still lying unsold. In such a scenario, there may be blessing in disguise as high profile speculators will be out making way for the actual users.</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">But here also sector faces trouble as correction in prices has been accompanied by increase in home loan rates by the banks which have led to erosion of purchasing power of middle and upper middle class majority of whom are covered in the category of end users or actual users.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Therefore for future of real estate sector analyst call for a wait and watch method to grab the best opportunity with the hope of reduction in loan rates.</span></div><br />
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</div>Unknownnoreply@blogger.comtag:blogger.com,1999:blog-3732677214477007998.post-88208613866870432192012-05-24T11:32:00.000-07:002012-05-24T11:32:00.218-07:00IRA Real Estate Investing When the Going Gets Tough<div id="article-content" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">IRA real estate investments are booming in 2008 for soon to be retirees who are worried about their future retirement plans. With the economy looking wobbly, the stock market plunging and the big investment banks going under, with us bailing them out, some traditional forms of retirement investing are starting to look a little sick.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">For these reasons IRA real estate investments are increasing. Increasing? Surely not. Along with an economic meltdown, a stock market collapse and all sorts of economic turmoil, isn't the real estate market headed for oblivion as well? Who in their right mind would consider investing their IRA in real estate?</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Surely in 2008 real estate is a one way trip to the poorhouse.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">No, not quite. Have you ever heard the expression that there is opportunity in adversity? There is plenty of opportunity in real estate right now, if you know where.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">But lets look at IRA real estate investing first. How can you invest your IRA in real estate? Is it allowed? Is it legal?</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Traditionally the majority of the population invest their IRAs in investments that are promoted to them by their custodian. In fact some custodians limit allowable investments to their own. So, it's estimated, over 90%, in fact around 96% of IRA funds are invested this way. Mutual funds, CDs and stocks, and so on.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">No problem if the markets are pushing ever skyward, but quite a problem right now.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">But what about IRA real estate investments? Yes it's entirely allowed to invest your IRA in real estate through a self directed IRA. Although this is not widely recognised, IRA real estate investing is one of the best forms of wealth accumulation for retirement. Real estate is a traditional long term wealth accumulation model, and as such is in fact ideal for IRA investing.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">If you're not certain about the details of how to set yourself up for IRA real estate investing consult your CPA, that's outside the scope of this article. However take my word for it, it's quite legal, and many canny IRA investors are doing it right now, and have been for a long time. You may need to execute an IRA rollover into a self directed IRA, but the trouble is worth it.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">And there's powerful reasons to consider investing your IRA in real estate. Did you know, for example, that it's estimated that 85% of all wealth in the US was created through real estate?</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">And that through your IRA you can secure up to 70% bank non-recourse financing to invest your IRA retirement funds in income producing real estate?</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Its food for thought isn't it?</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Now back to the real estate market. After all there's no point in IRA real estate investing if the value of your real estate investment is going down is there?</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Although we all hear that the real estate investment market is dreadful this isn't the whole story. PARTS of the real estate market are dreadful, but not ALL of it. It's perfectly possible to find excellent opportunities for investing in the lower priced end of the market. Simple comfortable homes for the working class who live in those faceless suburbs in cities right across America. There are some fantastic IRA real estate investments available in the right place RIGHT NOW.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">But if you're looking to get out there and find them yourself then you may be in for a shock. It's not something that is realistic for the individual IRA real estate investor. You need professional help.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Buy in the wrong place and you'll probably get burnt, big time.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">But right now there are some excellent opportunities available for securing a great real estate investment, no cash down, at under market value, with tenants supplied, rental guarantees and even a guarantee that you will double your current investment return.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">All through a major US public corporation with a reputation for solid real estate investment returns, for both IRA real estate investing and ordinary credit investing in real estate.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Yes you can secure your retirement future through a good IRA real estate investment, or more than one. However it's the time to leave it to those who really know what they're doing in hard times, and you can relax and leave the hard work to someone else.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">But which corporation could possibly offer an opportunity like this?</div></div><div id="article-resource" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Want to know more about profitable IRA Real Estate Investing? Visit Peter's Website Win-Win Real Estate Investments and find out more about no money down real estate investing at http://win-winrealestateinvestments.com/</div></div>Unknownnoreply@blogger.comtag:blogger.com,1999:blog-3732677214477007998.post-36244680966129325892012-05-15T11:32:00.000-07:002012-05-23T11:34:21.130-07:00Real Estate Development - When is the Right Time to Get Started in Property Development?<div id="article-content" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The media is currently full of real estate 'doom and gloom' - real estate repossessions and arrears are up and real estate prices are down ... its almost as if the 'sky is about to fall'! This situation has seen many real estate developers, and property investors generally, leave the market - and for those thinking of starting out in real estate development, these are scary times indeed.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">What seems like the worst time to get into real estate development can, in reality, be the best time. Successful real estate developers today realize that they can use time to their advantage - their real estate development projects will typically not be ready for sale or rent for 2 to 4 years from inception. So if they have bought well, they are less likely to be affected by the economic situation at the time of purchasing their real estate development site.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">In fact, a weak market is a real estate developer's paradise, because a weak market is a buyer's market, and one of the first steps to any real estate development project is securing a viable real estate development site on the best possible terms.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Although we know that the real estate development business is cyclical, and many parts of the world are in a property downturn, we also know from history that knowledgeable real estate developers are successful in any market - falling, flat or rising.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">We're working towards what we believe the economic conditions will be in 12 to 36 months time. Indeed we ourselves are still active in the market - seeking Council permission for a number of real estate development projects. This gives us the opportunity to act quickly and build our approved real estate development projects when the market does become buoyant.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">It is our opinion that the following market signals are some of the key factors that will lead to increased future opportunities, especially for real estate developers:</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">· The pent up demand for housing. In March 2008 leading Australian economics forecaster, BIS Shrapnel chief economist Dr Frank Gelber argued that housing prices across Australia will rise by 30% to 40% over the next five years because of the built-up shortages of housing.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">· The current Federal Government has stated that they will work towards increasing Housing Affordability and have begun to announce incentives including Tax Credits of $6000 per year if the housing is rented at 20% below market rent.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">· We believe that an increasing number of people, in the short to medium term, are likely to require the rental accommodation that we intend to build. This is due to either their financial stress (can't afford to purchase a home) and/or demographic trends (including Gen-Ys who are less likely to buy Real Estate).</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Even if our 'crystal ball' is incorrect, we know we have the resources to hold real estate development sites during possible further market fluctuations to come, and increasing rents are certainly helping with that!</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Our belief is that this is a golden time to act - perhaps a once in a generation opportunity. Maybe it is not the time to sell completed real estate development projects at the moment, but it is certainly a great opportunity to secure the development site and obtain development planning approval. Now this strategy is not for everyone - you must have the necessary resources to hold the development site and especially the knowledge of real estate development to take advantage of these opportunities.</div><a name='more'></a><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The best approach for anyone contemplating real estate development will depend on his or her own personal and financial circumstances, but the key message here is that you must do something!</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">There are many strategies that small real estate developers are currently using, if they don't have the resources to complete a real estate development project right now, including to turn their real estate knowledge into cash by locating ideal property development sites, perhaps taking out an option on the site, and on-selling the 'Development Permit Approval' to someone who does have the resources.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Successful real estate developers know that times of opportunity like this only come along once in a while, and they're taking action so they don't miss the boat.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Regardless of your immediate financial situation, this is the perfect time to leverage your real estate development knowledge into current or future income. If you have any doubts about your ability to do this, or you would like an experienced real estate development mentor to guide you, act now to get the knowledge and mentoring that you need. There is no time to waste!</div></div><div id="article-resource" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Adrian Zenere is a Registered Architect and Licensed Home Builder along with his wife Amber they have built a multi-million dollar sustainable property portfolio through Real Estate Development. Together they run their own architectural practice http://www.archizen.com.au specializing in Holistic Architecture combining eco sustainable development with feng shui principles and creating harmonious living that is respectful of our environment. Their projects are regularly featured in the Australian Property Investor, Luxury Home Design, Lifestyle Magazine, Home at Yellow and several newspapers.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">They are also co-founders of the Real Estate Development Club where they*use their real estate development knowledge and experience to help real estate investors become successful real estate developers. To have a closer look at Adrian and Amber's entire Real Estate Development process and download your FREE REAL ESTATE DEVELOPMENT REPORT and other valuable real estate development resources visit:http://www.RealEstateDevelopmentClub.com</div></div>Unknownnoreply@blogger.com1tag:blogger.com,1999:blog-3732677214477007998.post-12428370298400549532012-05-06T11:32:00.001-07:002012-05-23T11:33:29.198-07:00Top Five Reasons to Invest in Real Estate Today<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When it comes to real estate, the topic of the day is the downturn in the market, the number of people losing their homes, and how much this is going to hurt the economy. In the seventeen years I have been in the real estate business, I have witnessed every fluctuation the market has to offer. While it is true that many property owners are enduring trying times, rarely does the same happen to knowledgeable real estate investors.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">There are those individuals who remain emotionally unattached and invest wisely in real estate. As a result, they live a very comfortable, if not lavish, lifestyle. Investing in real estate, especially during a downturn, can widen an investor's opportunities and bring about lucrative returns. This is a truth. If you are thinking about becoming a real estate investor or have already made the decision to start, the following information is priceless.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Wanting to secure a comfortable financial future, most of us go to work every day hoping to build a nest egg. Since, it is common knowledge that real estate investors have the capacity to not only build a nest egg but also create a fortune, why aren't more people joining the ranks of real estate multimillionaires? Why aren't there more people fighting for a seat on the real estate bandwagon?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Well, the truth behind real estate investing is that it is a business and therefore, must be treated like one for it to prosper. Just like any other promising venture, investing in real estate requires a well-defined vision, a strategic plan, and an entrepreneurial mindset. Even with the overwhelming evidence revealing success, only a microscopic segment of the population is willing to take the risk, do the work and follow through. The rest simply watch and call those of us doing the work "Lucky".</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When I began my career in real estate, I didn't have a plan. I didn't invest. I didn't even see past my next commission check. What kept me hanging on was a desire to live like the people I worked for, most of whom were real estate investors. Years later, I committed to create serious wealth through real estate. As soon as I mindfully committed to my goal, I began to make deals and more money than ever before.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">By choice, I am not one of those investors who vacations six months out of the year. I work all the time meeting with clients, looking at properties and refining my strategy. Add to that a growing number of mentoring/coaching clients and my schedule is officially full. Nevertheless, I am continuously increasing my net worth as I am doing something that never feels like work.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Besides creating amazing wealth, being your own boss and having a place or two to call home, owning a real estate investing business has many other advantages. The following five play a special role for the novice investor.</div><a name='more'></a><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">1. Safe Investment</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When we use a timeline to compare the real estate market to other investments, such as the stock market, it is easy to see that real estate continues to increase in value over time without any serious instability. Although, there is currently a housing crisis in various parts across the country, every indicator points out that what we are actually experiencing is a readjustment of highly inflated real estate prices. Just as prices may be dropping, in time they will undoubtedly increase. In contrast, the stock market has put investors through a dizzying rollercoaster ride made up of swift highs and abrupt lows throughout history. Regardless of what type of market we are in, it is clear that an investment in real estate guarantees a profit over time.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">2. No Cash Necessary</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">For beginning real estate investors, sometimes the only investment they can make is their time. For every real estate investor, finding a lucrative deal is as good as striking oil. There are plenty of seasoned investors vith money in their pockets itching to buy a piece of discounted property. Wholesalers often utilize this method. Therefore, if you are new to the game, consider finding a deal, tying it up and connecting with an investor who can take it off your hands...for a price, of course.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">3. Almost Anyone Can Do It</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Real estate is such a lucrative field that it opens doors to countless amateur investors everyday. There are how-to books and seminars at every turn teaching would-be investors a myriad of ways to make huge profits in the real estate market. While it is true that overnight success is practically unheard of, anybody with the heart, mind and determination can make it big in real estate. The keys are to continue learning and to monitor market conditions.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">4. Leveraging Power</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">While novice investors can turn a quick profit by wholesaling their deals, Buy-and-Hold investors can yield a profit by borrowing against (leveraging) their properties. Typically, lenders will allow holders of owner-occupied property to borrow up to ninety-five percent of their property's value and up to eighty-percent of non-owner occupied units. This means that you can either purchase property with a minimal out-of-pocket investment or acquire financing that will allow you to pull cash out of your property's equity to use for future ventures.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">5. Tax Breaks</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The popular 1031 exchange and depreciation are just two of them. The United States government has set up multiple tax breaks favoring real estate investors. Owning real estate with the goal of making a profit allows you to deduct interest payments, repairs, and vacancies among other expenses when preparing your tax return. It is important to note that purchasing real estate makes economic sense; it should not be purchased solely for the tax benefits.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Ultimately, owning a real estate business is the way to achieve financial freedom regardless of economic conditions. Whether you quit your job and dive right in or you work at it in your spare time, you can make it happen. Worthwhile benefits are waiting faithfully for the taking.</div>Unknownnoreply@blogger.com4tag:blogger.com,1999:blog-3732677214477007998.post-51785750672820495992012-04-27T11:23:00.000-07:002012-05-23T11:32:19.289-07:00Investing In Real Estate In Up And Down Markets<h1 style="border: 0px; margin: 0px 0px 5px; padding: 0px 100px 0.2em 0px; text-shadow: rgb(204, 204, 204) 2px 2px 3px;"><div id="article-content" style="color: #333333; font-family: Arial; font-size: 12px; font-weight: normal;">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.<br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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!</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Ask yourself: "When do I want to make money?" And the answer is usually right now!</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Stay in 'the Game,' and stay 'the Course' (persist)</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Opportunity is everywhere</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><a name='more'></a><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">A True Wealth Builder</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Well, if you shudder at the very thought of spending your nights and weekends unstopping troubled toilets, painting scarred up walls, and pacifying angry/upset tenants, you are in good company. I have no interest in dealing with ill-affecting and time consuming renter-problems or their negative attitudes. When you follow a systematic approach to investing, you won't have to deal with negative outcomes!! There are other creative ways to manage properties that involve no hassles and no headaches whatsoever, such programs exist in our "Automated Management System" which take away those ownership nightmares.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Much more profitable strategies exist if you are open to 'non-traditional' ways of investing in real estate. For example, in our System approach, there are "Rent Credits" used to maximize your time, while minimizing your overall risks, while creating positive cash flow versus, living with negative cash flow and tenant-troubles. There is a better way!! Your properties will be beautifully managed and maintained. Your Tenant-Buyers will be happy, you will pocket plenty of positive cash flow and you'll be able to spend your free time locating additional real estate investments, doing the things you love and have passion for doing, which is the very point of becoming a professional real estate investor in the first place!!</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">If you really are serious about real estate investing and do extensive research into the real estate business, constantly learning and improving your knowledge level you will realize that your risks are minimal when compared to other business models.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">If you talk to any knowledgeable real estate investor and compare the cost of starting a real estate investing company versus some other type of business, you'll see that a real estate business has far less risks. I like to be upfront with you that you will need some marketing dollars at the least to launch your real estate business. You also need to have a long term vision of this venture and at least give it at least a good 6-12 months to make it work. Otherwise, your money (marketing budget) and time will be a waste.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">I know this but most people don't know that it takes at least some money initially to make money as a real estate investor. I don't mean to scare anyone away but let's compare a real estate investing business to a restaurant/carryout business. I know these types of businesses very well because relatives of mine own restaurants/carryouts, so even though I never owned a restaurant, my relatives have taught me the inner workings of that business and what it takes to sustain it to be profitable.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;*text-align: justify;">First, for a regular restaurant it takes $30K in gross sales just to break even each month. And this does not include the 15 hour days, and six days per week, and the initial investment of $120K down payment with great credit for a bank to even lend you the money needed to open it. You also have to have years of knowledge and experience before you invest your life savings to start a restaurant business. Then, it usually takes about 1-3 years until the profits really come in, thus, this is only if you can survive to stay in business that long. My father-in-law is currently running a carryout and he has had over seventeen years experience and he tells me how fed up he is with the restaurant business. That is why he's also getting started as a real estate investor and he's asked me to invest some of his money into our rehab properties. He sees the huge rewards and minimal risk involved in real estate compared to his restaurant business or other businesses he has been in. And he is seriously considering selling his business to do real estate investing full-time.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When you compare risks in real estate investing versus investing in other business avenues and/or endeavors, as you can come to your own conclusion: real estate investing is the 'Best Game' in town, when it comes to generating great wealth, while achieving your American Dream for financial independence.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Real estate investing has cycles just like any other business</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The stock market has it's cycles. We experienced that after the September 11th Tragedy. Only less than two years prior, we saw a peak in the stock market with high tech stocks soaring and making stock market investors 'paper rich.' The stock market has it's 'ups' and it's 'downs.'</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Modern real estate thrives on doing things smarter, wiser, strategically - not harder, more time consuming, with profit-eating outcomes. At the end of the day, the key to success is to focus on being a 'great entrepreneur.' I asked an experience investor (he owned about a quarter of Blacksburg, Virginia) what his specialty was in real estate investing and his response was not that he was good at Lease Options, Wholesaling, Short Sales, REOs, Rehabs, Notes, Residential, Land Developments, or Commercial real estate. But he said he was an 'expert at making money.' We both laughed at that but I will never forget that conversation. You need to know about the marketplace and technical factors involved in a deal, but your main duty whenever you are investing is always to make money. Thus, at the end of the day, your job is to make money in 'up' as well as 'down' markets. And if you focus on being a 'great entrepreneur,' you'll be able to make money with many techniques, strategies, and skill sets to be successful in any market.</div></div><div id="article-resource" style="color: #333333; font-family: Arial; font-size: 12px; font-weight: normal;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Minh is formally trained as a financial planning strategist for small businesses and individuals within the Virginia, Maryland, and Washington DC areas; Minh is also recognized as a real estate investment lecturer on the topics of creative real estate investing. He is the author of a Best-Selling Course, "Turnkey Profits Using Lease Purchase and Other Creative Investing Techniques." Minh is also a co-author of a national best seller: "Mission Possible" along side Stephen Covey (author of 'Seven Habits of Highly Effective People") and Brian Tracey (international top ranked motivational speaker). He is also an active member of three real estate investing associations in the Greater Metro Washington DC areas.</div></div><div style="text-align: justify;"><span style="color: #333333; font-family: Arial; font-size: 12px; font-weight: normal;"><br />
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</div><span style="color: #333333; font-family: Arial; font-size: 12px; font-weight: normal;"><div style="text-align: justify;">Article Source: http://EzineArticles.com/923040</div></span></h1><div style="text-align: justify;"><br />
</div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-78869533879176360372012-04-23T11:23:00.000-07:002012-05-23T11:31:00.974-07:002008 Internet Real Estate Agent<div id="article-content" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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?</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">How are you spending your education dollars and time? Now is the time to take action.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">As I've stated before, you can still create a very successful online real estate lead-generation business. However, these days are numbered.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><a name='more'></a><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">If you want to stay competitive in the period ahead, you will need to grab a piece of the Internet action, and now is the time to establish your foothold. You CAN still create a successful real estate online lead-generating business. You CAN still get top spots in the search engines. It's not too late, but I guarantee if you wait, it soon will be.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">More and more, I get calls from companies selling real estate leads. They notice I'm everywhere on the internet. My sites rank very high organically for specific real estate search terms and cpc. I also own the right spots on other real estate portals that drive targeted traffic to my listings, my sites and yes.....generate high quality, exclusive leads.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">I just received a call from a company selling real estate leads. As published in my book, Internet Real Estate Agent: A Guide To Dominating Internet Real Estate Leads and Marketing, there are specific questions you must ask to avoid wasting money and time. After going back and forth with the skilled sales rep., I was able to hone down the basics of how the program works.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Here's how their lead program works:</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">1. A person is watching television, listening to the radio or sees a banner ad online. The add is asking the person to call a phone number to learn about a real estate tax advantage and commission rebate back to them if they buy or sell real estate.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">2. Pay $60 a month for a zip code.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">3. Pay 19% referral fee at closing (this gets split between the "lead company" and the customer at closing).</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">4. Here's the kicker....the leads are given to 7 other agents as well.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">This real estate sales lead business model isn't new and many companies have a slight variation to it. Personally, I would never buy leads from this business model. I prefer to create my own exclusive lead systems.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Here's some of the pitfalls with the real estate lead business model you're being sold.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">1. Leads coming from TV, Print, radio or the internet that rely on some form of incentive offer are usually very low quality leads. One of the incentive offers is a "commission rebate program". Need I say more?</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">2. Why pay a monthly fee so you can compete for the lead? Why not get EXCLUSIVE leads that are not incentive leads. You can't do every lead program on earth, so pick and chose how you spend your money and time.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">3. I have a hard time paying a referral fee to someone when I'm competing with other agents, given a low quality lead and there's no personal relationship. That's not a referral, it's a lead. No relationship, no history and no commitment from the potential customer to use me. I like paying referral fees to agents that have personal relationships with their real clients. When I get a referral call from another agent, they know the person being referred to me and I get the client. That's a real referral and qualifies for that big referral fee.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">4. There are so many ways to generate leads. You should pick and chose the best ways to spend your time and money.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">After reading Internet Real Estate Agent, you won't fall prey to poor Internet business models. You may make a mistake or two--I do from time to time when trying something new--but, these mistakes are quickly remedied. You will understand exactly how to improve your real estate website, what to know before buying a real estate website, advanced concepts for Google AdWords, how to market your listings online for more leads, the changing Broker/Agent model and much more. Discover how to set up your own internet real estate lead generation machine. Don't be dependent on any one company for leads. Get educated and become independent!</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The book will guide you through a tremendous amount of information and facts, not hype, regarding Internet real estate lead generation and Internet marketing. It's the lowest cost real estate training and education you will ever spend. It's all about internet real estate lead and marketing. Keep this book by your side and use it as a trusted reference guide. Start working on your Web site, and then move onto the other areas of online lead generation and Internet marketing. Once you have your online real estate lead-generation business set up, it really will run 24 X 7, by putting the right message in front of the right people, at the right time.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Agents and Brokers already know they need to market to past clients and their sphere, but it only gets you so far. They also know the urgent need to embrace the internet. The value of traditional farming techniques is diminishing. The fact is, everyone is mailing something; everyone is doing longer open houses; and everyone is getting into the real estate business. But, hardly anyone is doing online advertising. Even fewer are doing it right. In fact, most agents and brokers attempting to do online lead generation and property marketing are doing it totally wrong. Don't waste money and time by buying leads from a company that sells false dreams of Internet riches. Take control of your business lead systems and start implementing your plan today.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Here's a short sample from the book:</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Marketing Your Listings for Leads</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The majority of this book has been on creating a real business Web site, driving quality traffic to your Web site, and converting that traffic into leads. Now let's focus on how to create more business by marketing your listing online. You've worked long and hard to get the listing, now let's leverage that listing to create more business. For most of the homes I've sold, the buyers began by viewing the pictures and details online and then contacted me about a private showing. If you market the property correctly, you will get leads. Using the list of marketing resources below, I average over 2,500 targeted property views for each listing. I get highly qualified internet buyer and seller leads when marketing a property online. Think about that for a second. Online, people are searching for a specific home, in a specific area, in a specific school district, in a certain price range, etc....and my listings are showing up. That's a ton of quality traffic almost all of it was free.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">I just read the other day about a Director of Technology who serves on a major MLS board who said the traditional business model of getting leads from holding open houses is almost dead. People are using the Internet for research, and they are contacting an agent long before they enter the house. Based on my personal experience, I agree with this assessment. Having spent many Sunday's working at open houses, I find it very rare for someone to walk through the door and say "I don't have an agent."</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The following list of ideas will put you in a position to actually make more money from each listing you have. If you don't have any listings or are new to real estate, I suggest approaching an agent in your office that has a listing and ask if you can do some Internet advertising for him or her. Just be sure to abide by any local MLS rules you have...</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">So here's to 2008 and enriching your level of internet real estate education and business income.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Happy New Year, Cheers!</div></div><div id="article-resource" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Scott Thompson, Realtor</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">[http://www.AgentWisdom.com]</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Sign up for the free newsletter.</div></div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-87307009444701480432012-04-16T11:23:00.000-07:002012-05-23T11:30:01.092-07:00Real Estate Flipping - Is Flipping Real Estate the Smartest Way to Get Started in Real Estate?<div id="article-content" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong>Real Estate Flipping - Is Flipping Real Estate the smartest way to get started in real estate investing?</strong></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">"Flip This House", "Flip That House", "Property Ladder",... and on and on...</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong>Is flipping real estate the best way to get starting in real estate investing?</strong> 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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Here's why:</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong>First, let's clarify two kinds of flipping.</strong></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><ol style="margin: 0px 0px 1em 2em; padding: 0px;"><li style="line-height: 1.5em; margin: 0px; padding: 0px; text-align: justify;">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.</li>
<li style="line-height: 1.5em; margin: 0px; padding: 0px; text-align: justify;">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.</li>
</ol><div style="text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong>Why?</strong></div><a name='more'></a><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><ul style="margin: 0px 0px 1em 2em; padding: 0px;"><li style="line-height: 1.5em; margin: 0px; padding: 0px; text-align: justify;">You need a good understanding of rehab costs</li>
<li style="line-height: 1.5em; margin: 0px; padding: 0px; text-align: justify;">You need to have good funding... either from a private lender or a bank (private lender is preferable)</li>
<li style="line-height: 1.5em; margin: 0px; padding: 0px; text-align: justify;">You need to be able to float the carrying costs if you can't sell the property quickly</li>
<li style="line-height: 1.5em; margin: 0px; padding: 0px; text-align: justify;">If you don't calculate your costs just right... there may not be a whole lot of room for error... and room for error means greater risk on you!</li>
<li style="line-height: 1.5em; margin: 0px; padding: 0px; text-align: justify;">The market is in a downturn... so there are less retail buyers out there for middle income houses... which is what most people start out flipping</li>
</ul><div style="text-align: justify;">There are many people out there making a very good living flipping... but most of them started several years ago... and have many flips under their belts.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">They already have systems down, have marketing channels for getting buyers, have solid lending sources, etc. Not to say that new real estate investors cannot do all of the above... YOU CAN!</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong>But, there are better ways to get started in real estate investing</strong> that allow you to get in with little or no risk or money, and will allow you to learn the Fix and Flip business before you ever take a huge money commitment to do so.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">What's the single best way (in my opinion) to get started in real estate flipping to minimize your risk and shorten your learning curve... all the while making nice money in the process? Well... obviously option #2 from above: The Wholesale Flip - or in other words... wholesaling real estate, flipping houses for quick cash, flipping contracts, etc.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When you wholesale real estate you do everything a flipper would normally do... except actually repair the property and sell it to a retail buyer. But, you don't have the risk or time commitment that a fix and flipper has.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Basically, you as a wholesale real estate flipper (or wholesaler for short), find properties that need work that you can purchase at a large discount and flip them for a fee to a rehabber who will do the work.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Your job is to find the properties, analyze the numbers to determine the repairs needed, create an offer that enables both you and the rehabber that you will sell to to make a profit, and sell the contract to a rehabber who will actually make the repairs.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Often times real estate investors will make between $2,000 and $20,000 on a wholesale deal. So, for a low to no risk way to get started in real estate... there are huge profits to be had.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong>Another reason for starting out doing wholesale real estate deals</strong> is that you learn the ropes of what it takes to be a rehabber. After analyzing several deals and talking to rehabbers to find out what they look for... you will have a good grasp on what a good deal is, how to accurately estimate repair costs, who the rehabbers use as contractors, etc.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">So, you actually make money while you are getting a hands on education on real estate flipping and rehabbing.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Anyhow, I didn't start out to write this article to scare you from the fix and flip mindset. There is good money in it...</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">My motivation to write this article is to help guide new real estate investors away from the glorified version of rehabbing that is plastered all over TV... and point you toward what I believe to be the best way to get started in real estate investing.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">I have something to confess...I may be a bit of a hypocrite... but I didn't start with wholesaling. I actually started with buying income properties. But, with today's markets... wholesaling real estate is the way to go to get your feet wet and make some serious money in the process.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong>There is much more to real estate flipping</strong> and wholesaling real estate than the TV "reality shows" show. One of the best ways to learn the ropes is to learn from someone who does it everyday and makes a solid living doing it.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><ol style="margin: 0px 0px 1em 2em; padding: 0px;"><li style="line-height: 1.5em; margin: 0px; padding: 0px; text-align: justify;">Go to your local REI club and hook up with an experienced mentor</li>
<li style="line-height: 1.5em; margin: 0px; padding: 0px; text-align: justify;">Go out on your own and try to hack it yourself with no instruction (not advised)</li>
<li style="line-height: 1.5em; margin: 0px; padding: 0px; text-align: justify;">Invest in a quality, step by step multimedia course that walks you through A - Z on the exact blueprint that successful wholesalers and real estate flippers use.</li>
</ol><div style="text-align: justify;">If you want to go the route I took, the wholesaling course that I actually still use today is shown below.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The real estate wholesaling and real estate flipping course that I think is by far better than any other out there is below. They always way over deliver and they are the only "gurus" out there that I can truly say are trustworthy and good people. I've bought a ton of courses, and the Wholesaling for Quick Cash (link below) is the only one I'd recommend.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The Wholesaling Course I Recommend - <strong>Most Actionable one I've seen</strong></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">So, whatever you do to get started in real estate investing, just do it. Taking the wrong action is better than taking no action at all.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Good luck... and Cheers!</div></div><div id="article-resource" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Trevor Mauch is a young real estate investor and entrepreneur who purchased his first income property at the age of 21. Trevor focuses on creating multiple streams of passive income along side active income in both real estate and his other businesses.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">As a passion, Trevor loves to help people succeed in life and real estate investing. To help people achieve success, and to provide a real down to earth source of real estate, life success, and business building information Trevor created the website The REI Brain (link below).</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The REI Brain focuses on providing free information and training to people to help them utilize the three important prongs of success that must be taken into account before anyone can reach true success in real estate investing.</div></div>Unknownnoreply@blogger.com2tag:blogger.com,1999:blog-3732677214477007998.post-59707933522542750512012-04-14T11:23:00.000-07:002012-05-23T11:29:14.165-07:00Real Estate Rebate - Can The Traditional Model Survive?<div id="article-content" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong>The Beginning Of The Real Estate Rebate</strong>: 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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong>New Models</strong>: 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.</div><a name='more'></a><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The brokerages that offer these innovative real estate services are referred to as Discount Brokers, Rebate Agents, and Real Estate Consultants. It can clearly be seen, that all of these new models engage the buyers and sellers in the home buying or selling process. Subsequently, these models are ideal for the home buyers of tomorrow, generation X and Y. These are tech-savvy home buyers and they are not afraid to delve into the process if it means they will save thousands of dollars. Ten years from now, generation X will collectively be in their early and mid 30's. Many will use the traditional method to buy their first home, while others will seek out innovative brokers. How will the market share shake out in 2017? Only time will tell. It is anticipated that many traditional brokerages will be forced to adapt to a mixed service model, meaning they will offer both traditional and discount services to buyers, rather than one or the other. This may prove to be a necessary strategy if traditional brokerages would like to remain competitive after 2020. The new real estate business models enable consumers to have the best of both worlds, professional assistance and more money in their pockets.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong>Real Estate and The Internet Today</strong>: In today's world, the effect that the Internet has had on the real estate profession is extremely apparent. As the popularity of the Internet initially grew, many agents were concerned that consumers would cut them right out of the deal. To date, this has not been the case. The real estate industry has come to embrace the Internet and all of the great marketing tools that it has given birth to. It has also helped real estate professionals have better access to listing information, recent sales history and various statistical data reports. Leonard Nomura of Bentley Real Estate Group says he could not imagine life as a broker without the Internet. The numbers are astounding. According to the National Association of Realtors, 77% of home buyers used the Internet to find their homes in 2005. This has steadily grown from 2% of buyers using the Internet to find their homes in 1995 and is speculated to be over 85% today. According to clickz.com, 50% of all consumers who surf the web, do so with the intent to purchase consumer goods and services. This includes Real Estate, automobiles, clothing, music and anything else imaginable.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">As a result of the emerging mixed service models, consumers can now choose from a range of real estate services that did not previously exist. It is believed that many real estate professionals see these new models as a threat because of their ability to significantly impact the traditional real estate brokerage's market share. According to Real Trends an industry newsletter, alternative Real Estate Models currently make up 2% of the market, but could grow to 12% by 2010. The transformation of the real estate industry has only just begun. Time will tell the true story of how the market will shake out, but the bottom line is this; alternative real estate models are putting money back into consumer's pockets and you will always put a smile on someone's face when you show them how to save thousands of dollars.</div></div><div id="article-resource" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">SharpBuyers.com is a national real estate rebate company based out of Boston Massachusetts. It was founded by Robert Nichols and Leonard Nomura. SharpBuyers.com is a division of Bentley Real Estate Group. We currently offer buyers rebates in every state where rebates are allowed, including California, Illinois, Florida, Georgia, Massachusetts, Washington, Virginia, and Maryland. We offer Seller services in select states as well. Please contact us to find out about our seller services coverage areas. SharpBuyers.com was formed to provide comprehensive real estate services, enabling customers to attain the maximum value from their real estate transactions, and to give clients a broader range of real estate services. We believe that the Internet will change the way real estate will be sold and purchased. As a result SharpBuyers aims to be at the forefront of that change.</div></div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-21602195480085075852012-04-09T11:23:00.000-07:002012-05-23T11:28:27.215-07:00The Real Estate Blog Alphabet - 26 Benefits and Best Practices<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Here you have them, real estate blog benefits and best practices ... from A to Z.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Authoritative</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Believable</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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...</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Candid</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Direct</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Enthusiastic</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Flexible</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Google-friendly</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><a name='more'></a><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Happening</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Generally speaking, real estate blogs are much more "happening" than their website counterparts. Blogs are easier to update than regular websites, which is important in the ever-changing world of real estate, interest rates, etc. When you update your blog often with quality content, it becomes an active resource that people are more inclined to read, revisit and recommend.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Informative</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When you keep people in your area informed about the local real estate scene, you increase the usefulness of your real estate blog. You also increase the likelihood of future business from those readers, not to mention the likelihood they will recommend your blog to others. Blogging is a simple but effective way to keep people informed. Before you publish a new post, get in the habit of asking yourself, "How will this blog post help my readers?" If you can answer that, publish a way. If you can't answer it, rethink the topic.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Jargon-free</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">In general, blogs are not the place for corporate speak or "fluff" content. This applies to the real estate blog as well. Write your blog in your own voice. Don't try to impress people with your vocabulary. The best blogs convey quality information in a conversational style. This will increase your readership, the level of dialogue, and (ultimately) the blog's profitability as a client-acquisition tool.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Knowledgeable</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Dr. John Tuccillo, former Chief Economist for the NAR, recently said: "With the expansion of the number of Realtors, the level of competence has fallen to its lowest point ever." If this general perception spreads to the public in general, it could cause real problems for real estate professionals. This is another area where a real estate blog can benefit you. Use your blog to show readers how knowledgeable you are on your subject. Just remember, some of your readers will know as much about the subject as you do. So check your facts before posting!</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Lead-producing</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">You stand to gain a lot from the interaction and trust mentioned previously in this list. When you interact with your blog readers in a positive way, you have a much greater chance of turning them into clients. You can also configure your blog to allow reader comments, which is another way to generate leads and start a dialogue.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Manageable</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Blogging programs simplify the web-publishing process to such a degree that anyone can do it, regardless of their web experience. In fact, a single individual could easily manage a large web presence if it were built on blogging technology. This is ideal for real estate agents who operate independently, without the benefit of an I.T. department.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Non-invasive</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">A well-written real estate blog will "pull" readers into the message, as opposed to pushing the message on the reader (like magazine ads). People can sign up for your blog in total privacy, either by using the blog's RSS feed or an email subscription option (if you provide one). The readers come to the blog -- it is not thrust upon them. As long as blogs in general adhere to this non-invasive, respectful approach, they will be held in higher esteem than other communication channels like email.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Operational</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">A real estate blog is more than a simple communication tool. It can serve operational roles as well. This could include internal collaboration (like an intranet) or outward instruction (like a home buying seminar online).</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Purposeful</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Before you publish your first blog post, you should determine the purpose of your real estate blog. Sure, you can always dive right in and figure out your purpose as you go. But your blog will be more effective (and easier to produce) if you have a purpose and plan ahead of time. Ask yourself, "What do I want to accomplish with my blog? Who is my ideal audience? What information would they find useful?"</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Qualitative and Quantitative</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When real estate blogging is done well, it has both a quantitative and qualitative affect. The quantity of content will increase your website's usefulness and search engine visibility. The quality of content helps you position yourself as an expert and differentiate yourself from other agents in your area (see entry for "Knowledgeable" above).</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Recyclable</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Blog content can be reused for many purposes. For example, you could expand your blog posts into article-length and publish them online for additional exposure and web traffic.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Straight-shooting</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">This point is somewhat repetitive of 'C' for candid. Guilty as charged. But it's worth repeating, so I'm repeating it. The most popular real estate blogs got to where they are partly by being straightforward. In this context, straightforward refers to both the design and the content of the blog. Real estate blogs that are "overly designed" tend to look more like websites than blogs. I truly believe this reduces their candidness and authenticity. The same goes for the blog's content. Blog postings that are straightforward and candid will generate more interaction and "buzz" among readers.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Thoughtful</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The best real estate blogs are thoughtful. I don't mean thoughtful in the sense of "kind" -- although kindness does go a long way on the Web -- but thoughtful as in "full of thought." Each time you publish a blog post, put rome thought into the content. Make sure it (A) supports your overall blogging goals, (B) gives your readers useful information, and (C) reflects well upon you as a real estate professional.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Usable</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When you first set up your blog, it will be straightforward and easy to use. The default settings of most blogging programs are designed this way for a reason. But some people feel the need to clutter up their blogs with all kind of nonsense, reducing the blog's usability and readership in one swoop. Avoid this. Keep you blog clean and easy to read. Web readers and researches are skilled at hopping from site to site. They don't need much of a reason to bail out on you, and they'll do just that if your blog is hard to navigate.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Voluntary</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">You should blog because you want to, not because you think you have to. If you start a real estate blog just because everyone else is doing it, it will lack the heartfelt enthusiasm that's a trademark of popular blogs. (See "E' for enthusiastic above.)</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Wise</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Your real estate blog is the ideal place to share your wisdom about the industry. This will help you position yourself as an authority in your field (letter 'A' above) and foster the trust mentioned under the letter 'T' above. A "tip of the day" series is a prime example of this. It's a great way to share your real estate wisdom, and it's the kind of thing that will keep people coming back to your blog and recommending it to others.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Xstensible</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Yes, I cheated with this letter. But real estate blogs are truly extensible (and you try to produce an adjective starting with 'X'). Your blog can grow as your audience grows, or as your company grows. You can add additional authors, perhaps a colleague in the mortgage industry. You can add sections to cover additional topics. You can expand a blog however you need to support your objectives. And it doesn't require an I.T. department to get it done. Blogging programs are designed to be extensible.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Yours</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">A real estate blog can have one author or several authors. I've seen popular blogs published by individual agents, as well as some published by teams of writers. But the blog has to belong to somebody. It should be yours, or his and hers, or all of yours. Somebody needs to own the blog. Otherwise, nobody will trust what it has to say.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Zippy</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The dictionary defines zippy as "lively and full of energy." These are great traits for a real estate blog. If you are passionate in the way you publish your blog, it will eventually connect with readers who are equally passionate about the subject matter. These are the kind of people who will promote your blog without being asked to do so! It goes something like this: "Hey, Barbara, you have to check out this real estate blog I've been reading lately. Let me send you the link..."</div>Unknownnoreply@blogger.com1tag:blogger.com,1999:blog-3732677214477007998.post-25306995509630808112012-03-25T11:09:00.000-07:002012-05-23T11:23:20.019-07:00Real Estate Leads 101 - Are You Copping Out of Following Up<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Working with a lead generation company has given me interesting insight into both real estate leads and agents. I dealt with both ends: the consumer and the agents themselves, and my job was to make them both happy. Yeah right. Easier said than done.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The consumer side is easy - real estate leads want a home value, they want information on the market, they want a real estate agent and we get them that. The real estate agents? Well that's another story - they pretty much wanted everything under the sun when it comes to real estate leads. They wanted to be handed people ready to list their homes with them asap, with no work involved on the agent's part. They want listings, not real estate leads.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Well, if I could provide that consistently, all the time, I'd either have a multi-million dollar company, or I'd be doing real estate full time myself. Get this through your heads agents: there is no magic service out there that will hand you listings for a low fee. Instead, these services provide you with real estate leads and it is YOUR job to turn them into clients. Got that? Real estate leads + you = clients!</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">YOU went to the classes, YOU studied up on sales and marketing techniques and YOU printed up all kinds of trinkets with your name and logo on them for your real estate leads. Ergo, YOU must convince your real estate leads to work with you. And if you're not converting them, maybe you need to take a look at your own methods, rather than immediately blame the source of the real estate leads.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">By now, I've probably heard every excuse under the sun as to why online real estate leads are bad or bogus. And that's all it is, an excuse, a cop out to make you feel better about not being able to turn your real estate leads into listings. That being said, here are the top 5 cop-outs I've heard over the years about following up with real estate leads and my responses to them.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">1. I'm a new agent and no one wants to use a new agent.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Well, how do they know you're a new agent? Did you announce it the second you spoke with your real estate leads? You don't need to tell all your real estate leads that you're new. If they ask, tell them, and be honest, but don't just volunteer the information. And how to you know "no one" wants to use a new agent - sounds like a gross generalization to me. You won't know until you get out there and try - convince your real estate leads that to be new means you're cutting edge, the best thing out there right now, show them what an expert you've become, even if you're new to the business. Just TRY to convert them. Assuming from the start your real estate leads won't want to use you because you're new doesn't even give you a chance.</div><a name='more'></a><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">2. Some real estate leads are on the Do Not Call Registry.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">So? There's no such thing as a Do Not Knock list. If your real estate leads are on the DNC Registry and you feel THAT uncomfortable risking a call, you should have your butt in the car, directions in your hand and preparing yourself mentally for your introduction once you knock at their door. And actually, as per the basic rules of the Do Not Call Registry, if a consumer on the lists makes an inquiry (which is what online real estate leads are!), you can contact them for up to 3 months after the inquiry. So you've got 3 months to get them on the phone, after that, there's still always that door! Don't use the DNC as a cop-out method with real estate leads. It's a flimsy excuse.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">3. It's unprofessional to go knock on someone's door.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">This is the line I usually got after suggesting stopping by the property. My thing is, who said so? Who told you it is unprofessional to go visit your real estate leads' homes and drop off the information they requested? That is a matter of opinion and as long as your real estate leads don't think it's unprofessional, you're good. And by showing initiative and going out of your way to meet your real estate leads, you may have just earned a client for life.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">4. These real estate leads are too far from my area, or it's in a very bad part of town.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">This is probably my favorite cop out, because it just sounds ridiculous to me. If your real estate leads are too far, why did you sign up fnr that area? Or, if you are getting some real estate leads out of your area, how far? Most of the time, agents complain about having to drive 30 minutes away. To me, 30 minutes of my time is DEFINITELY worth the fat commission check I could get. And if some real estate leads are too far, haven't you EVER heard of a REFERRAL COMMISSION? Find an great agent in the lead's area and send it on over. That way you'll still get a portion of the commission AND you've saved 30 precious minutes of your time.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When real estate leads are in a bad part of town, it usually means it's a very low-value home and is located in either a ghetto or backwater somewhere. It pisses me off when real estate agents say that the home isn't worth their time. Guess what buddy? When you got your license, you gained knowledge that others don't have, but will need at some point. You should be willing and open to share this with your real estate leads, no matter what the economic status of their home and income is. If you don't want to help them, no one can force you, but you are a BAD agent if you're not at least willing to find someone who will your real estate leads.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">5. If they wanted to be contacted, they would have given all their correct contact information.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">This is a tough one, because on one level I do agree with this SOMEWHAT. Real estate leads who give a good name, number, address and email seems to be more approachable than real estate leads that have fake names, or fake numbers, etc. But again, this statement is really a matter of opinion. You have NO idea what's going through the consumer's head when they filled out their information. Maybe they're not technologically savvy and thought if they put their phone number over the Web, everybody would get it. Maybe they mistyped something. Maybe they don't want to be hassled daily by telemarketer calls but DO still want the information. Until you actually touch base with your real estate leads, you have no idea where their head is at. What would hurt worse, getting a phone slammed in your ear, or missing out on a $15,000 commission because you THOUGHT they didn't need anything since they gave a wrong phone number?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">These 5 objections are really just cop-outs and excuses in disguise for not following up with your real estate leads. And pretty flimsy ones at that. If these are your objections to your real estate leads, you need to stop sitting around thinking up objections and just get out there and GO. Start contacting those real estate leads, start making phone calls and sending postcards. You may not convert them all, but I guarantee if you put your all into following up with every single one of your real estate leads no matter what objections you may have, you will see a HUGE increase in your conversion rate. You just have to get in there and TRY.</div>Unknownnoreply@blogger.comtag:blogger.com,1999:blog-3732677214477007998.post-63607276357710450982012-03-18T11:09:00.000-07:002012-05-23T11:22:33.325-07:00Real Estate Leads 101:A System For Success<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When dealing with real estate leads and converting leads to clients, there are three important questions to ask yourself:</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">1. How are you getting real estate leads?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">2. How are you following up with your real estate leads?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">3. Are you usinf a system for effective follow up?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>How to Get Real Estate Leads</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">For questions 2 and 3 to even be an issue, you first have to figure out a way to GET real estate leads. You can't follow up with something you don't have! There are several traditional ways for real estate agents to collect real estate leads in their pipeline. One way is the direct marketing approach - basically you send out a whole lot of newsletters, fliers, and postcards with your contact information to homes in the neighborhood you're farming for real estate leads. If you start getting calls and emails, you've started building your own pipeline.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">A second way of getting real estate leads is to network and ask past clients for referrals. As a real estate agent, you should always be talking to be people in the outside world, letting them know what you do, handing off business cards. Whether you're at a sports event, a dinner party or you're child's school play, there are plenty of opportunities to build real estate leads. Never be afraid to call on old clients for referrals either - if you did your job right,t hey should be more than happy to send friends and family your way.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">A third way to get real estate leads is through internet marketing. In this case, I mean building your own website with contact pages as well as subscribing to some kind of online lead generation service. By doing both, you can both harness your own real estate leads and also get plenty of leads from an outside source.</div><a name='more'></a><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">My advice? Go with all three. A good mix of direct mailings, networking, and internet marketing should have your pipeline a mile long with real estate leads. Keep in mind though that you will have to spend a little money to get all those leads!</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Following up with Real Estate Leads</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Without follow up, your real estate leads will be leads forever, never clients. Following up simply means to increase the effectiveness or success of something with further action. Following up with real estate leads can involve phone calls, emails, direct mailings, dropping by the property, etc. Basically, use any means necessary (within reason) to make contact with your real estate leads to determine what you can do for them. It may take 2 weeks of follow up to convert a lead, it may take 2 months, it may even take 3 years, but as long as you are consistent and persistent with follow up tactics, you can convert your real estate leads into clients.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">One thing to keep in mind with follow up is that you should always have a reason to be contacting your real estate leads. Don't give them to much information in one mailing, or else you use up your reason for contacting them at a later date. Instead, send them pieces of useful information regularly over extended periods of time. It doesn't even necessarily have to be directly relating to home buying or selling - you can send them information about their community they may not know, the schools, job opportunities in an area you know they were thinking about moving to, the standings for the little league championship their son was in, etc. The information you're sending your real estate leads should be a individualized for each lead.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Are you going to convert all your real estate leads? No. Do you need to convert them all? No. Should you still TRY to convert them all? Always! Most people will need a real estate agent at some stage in their life, so you might as well be the agent right there to help them out, answer any questions and keep them informed with useful information.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Employing a System for Follow Up</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">A system is simply any formulated, regular or special method or plan of a procedure for obtaining an objective. In the case of real estate, your objective is to convert real estate leads to clients through follow up. Your system of follow up is simply an organized, efficient and general procedure to get in contact with your leads.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Without some sort of system of following up with your real estate leads, it's very easy to waste precious time because of disorganization. Having a system is the most effective way to streamline your follow up so you still have time to actually list and sell your clients' homes! After all, with hundreds of real estate leads to constantly follow up with, when are you supposed to have time for listing presentations, settlement, advertising homes for sale, etc?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">By having your own organized plan of follow up, you can dedicate certain hours in your day to your follow up of real estate leads. There are services out there that "sell" follow up systems to real estate agents, but they're really not necessary for everybody. If you're already disciplined and organized, there's no reason you can't formulate your own system of follow up, like designing several email templates, dedicating a certain amount of time each day to phone calls and creating an easy to access, track and monitor database of your real estate leads which includes all the important contact information needed to get in touch with them.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">A system can be something as simple as creating a schedule for yourself and then rigidly adhering to that schedule. Having a systematic approach to following up with your real estate leads is the best way to maximize your conversion rate and minimize time spent following up.</div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-83114945929355913002012-03-13T11:09:00.000-07:002012-05-23T11:19:55.835-07:00Common Real Estate Programs Available<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Are you interested in learning more about the real estate market? If you are, you may want to think about taking a real estate program or class. Real estate programs are available in classroom-like settings, as well as online. What is nice about real estate programs is that they are designed for a wide variety of different individuals; individuals with different goals. A few of the most common real estate programs available are touched on below.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">One of the most common types of program available are for those who are interested in becoming real estate agents. If you are looking for a career change, you may be interested in becoming a real estate agent. Real estate agents help homeowners sell their homes and they also help prospective home buyers find and buy the homes of their dreams. Most real estate programs, which have a focus on becoming a real estate agent, also test and certify their students. If you are looking to become a real estate agent, a real estate program, particularly one that has a focus on making a living as a real estate agent, may be perfect for you.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Another common type of real estate program available are those that are designed for home buyers. Buying a home can sometimes be a long, complicated, and frustrating task. Many first time home buyers are unsure as to what they should be looking for in a new home. If you are one of those individuals, you may want to think about taking a real estate program that aims to educate students on what to look for in a new home.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">There are also real estate programs that are designed for those who are looking to sell their own homes. Many home sellers turn to real estate agents for assistance, but not all do. If you would like to sell your own home, that is fine, but you need to know what you are doing. A real estate program that aims to educate homeowners on how to sell their own homes often offer tips on marketing, as well as information on how to deal with prospective buyers.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Another type of real estate program available is for those who are interested in making a living a real estate investor. Real estate investors are those who buy real estate properties and then either rent them out or resell them to make a profit. Although real estate investing is a great way to make money, it can be a tricky business. That is why real estate programs, with a focus on real estate investing, have increased in popularity. Real estate programs, with a focus on investing, often teach students how to make money as real estate investors by outlining some techniques that work, as well as ones that don't work.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">As outlined above, there are a number of different real estate programs that you can take; programs that can fit your needs. In short, whether you are looking for a real estate program that will teach you how to properly buy a home, properly sell a home, make a living as a real estate agent, or make a living as a real estate investor, there should be a real estate program out there that is perfect for you.</div>Unknownnoreply@blogger.comtag:blogger.com,1999:blog-3732677214477007998.post-86861369252788651682012-03-10T11:09:00.000-08:002012-05-23T11:19:26.696-07:00Real Estate Auctions - The New Land Rush<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">On a sunny afternoon in Florida, an energetic crowd gathers on the lawn of a high end luxury estate. A loud and eager banter between an auctioneer, a group of bidders and bidder assistants fills the air. For several minutes the auctioneer asks for the next highest bid and the bidders respond. Suddenly the bidders grow silent. The high bidder holds his breath in anticipation of winning the auction. The auctioneer calls for one more bid. In a loud clear voice which rolls over the audience he says, "Fair warning, last chance" the auctioneer pauses, "SOLD!" And in less than 10 minutes another multimillion dollar estate has changed owners.<strong></strong></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Successful real estate auctions like the one above are happening all over North America and the Caribbean. Recently real estate auctions have been on the rise, the increase in popularity is partly driven by growing inventories and fading buyer confidence. Properties that were selling in weeks using traditional methods are now languishing on the market unable to attract buyers even as seller's lower prices. Many say the real estate boom is over but savvy buyers and sellers are profiting from real estate auctions.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong></strong><strong>Real Estate Auctions Work in Up or Down Markets.</strong><strong></strong></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Regardless of trends or market cycles, real estate auctions provide an open and transparent process for buyers and sellers. Properly conducted real estate auctions attract ready and willing buyers and motivate them to act now.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The auction method removes the "wait and see" attitude which serves to further depress real estate values. Buyers are always concerned about overpaying. Buyers gain confidence with their purchases at real estate auctions because they can see what others are willing to pay.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When market demand is high and inventories low, real estate auctions can deliver selling prices well above what a willing seller would have accepted in a negotiated private treaty sale. In good selling climates many property owners using traditional real estate methods; negotiating with one buyer at a time, leave thousands of dollars of equity on the table. During up markets real estate auctions are the best way to establish top market price.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong>Evaluating Your Real Estate for Auction</strong><strong></strong></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Not every property or seller for that matter makes a good candidate for auction. First of all sellers must be ready to sell now and for the current market value. Also a real estate auction will not fix problems caused by a downturn in market value of your property, if you owe more than a willing buyer will pay, be prepared to come to closing with your check book.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Properties that do well in real estate auctions have a high uniqueness factor. Ask your self, "What makes my property different from most others?" Maybe you own a resort property or high end luxury home, commercial properties and land do very well at auction. Real estate auctions thrive on uniqueness. If your property is like everyone else's, the best thing you can do is offer the most competitive price.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Most importantly sellers must be reasonable about setting a minimum bid. A seller must look at the lowest, most current comps and price below that to generate the interest and urgency necessary for a successful real estate auction. Once the auction begins and qualified bidders start competing against one another you can watch the selling price increase.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><strong>Locate a Qualified Real Estate Auctioneer</strong><strong></strong></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Start by checking with the National Auctioneers Association, the best real estate auctioneers belong to this organization. These real estate auctioneers are well trained and adhere to a standard of practice and a code of ethics. Many attend the annual International Auctioneers Conference where the latest techniques and innovations in the real estate auction industry are presented.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Find out if the company you are interviewing is a full time real estate auction firm. Many real estate agents are getting auction licenses yet have no experience with the auction method of marketing. Conducting a successful real estate auction is nothing like (private treaty) traditional real estate sales. Go with a real estate auction pro.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">You're probably better of with an auction house that specializes in real estate auctions. There are many qualified auctioneers who have generations of experience selling personal property; furniture, dishes, lawn equipment and the occasional rare painting. Selling real estate at auction is a complex matter that should only be attempted by full time experienced real estate auction professionals.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Commissions and fees may vary, sellers must pay all marketing expenses up front and buyers typically pay 10% of the sales price to the auctioneer of which a share goes to participating real estate agents.</div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-18609828089301901792012-03-05T11:09:00.000-08:002012-05-23T11:18:13.412-07:00Money-making investments in the real estate market?<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The real estate market is one where a profitable investment is always to be found; somewhere amidst the foreclosure lists or lying dormant on a real estate agent's desk. This guide aims to give you the background necessary to allow you to find profitable investment real estate.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The first key to profiting from real estate is to find a highly motivated and urgent seller. The idea is that to negotiate a lower price on a piece of real estate requires the seller to want to sell their house quickly or desperately. If you are talking to an unmotivated seller on the telephone then it will soon be very clear that you are not going to get a discounted price on this real estate. If the seller is unmotivated then you will be unable to negotiate a lucrative deal.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">One counterintuitive aspect of real estate investment is that you normally make a profit when you buy real estate and not when you sell it. This means that, while there is often little you can do to increase the value of real estate; sellers are human and are often willing to negotiate their price. Saving money while buying real estate is the key to selling homes for a profit in the real estate market.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">With that in mind, your first step is to develop a list of real estate properties that you are considering investing in. You are going to need to view around ten pieces of real estate before you careful choose which one will be your chosen investment.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">One useful technique for sourcing profitable real estate properties is to interview real estate agents; the people that profit from real estate on a daily basis. Interviewing a real estate agent and finding out if they own any investment real estate they would be very useful. Remember, they will be more than willing to be interviewed because you are offering them your regular custom.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Real estate agents understand the market "inside out" and can be an excellent source of investment properties with low prices because others have not seen or understood the potential of them. After you create a good relationship with some local real estate agents you will typically receive a phone call every time they notice a good property reach their desk. Remember, they receive a lot in return for this relationship because the more real estate that they sell the more commission that they earn.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Another very useful method for sourcing great real estate deals is the use of foreclosure lists. All you have to do is to search Google for "foreclosure lists" in your local area. Typically, you will have to pay a subscription fee to access this but it is definitely worth the cost.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">In order to profit from foreclosure lists easily and quickly, follow these steps:</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">* Firstly, buy the daily foreclosure list for your area and flip through the pages.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">* Select the only the real estate that has been on the list for less than thirty days.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">* Highlight the real estate that is within your budget.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">* Look particularly for real estate that is located in nice surroundings or desirable neighborhoods and only select properties that are within fifty miles from where you live.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">* Using the internet, access the local tax records and obtain the tax value of this particular piece of real estate.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">* Also, search for the real estate in question on meritrealty.org. This website is also designed to give clues as to the value of real estate.</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Once you have picked a few potential properties then ask your real estate agent to take you for a viewing. If you are happy with this real estate then hire a real estate property surveyor to make sure that the house is structurally sound. This step is necessary to ensure the value of your investment.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">After this point you will be in a position to make an offer on this real estate and to attempt to "buy low" in order to "sell high".</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Admittedly, finding a profitable piece of real estate is usually the result of a small amount of hard work. However, this article has put you at a great advantage in the real estate market. Also, the rewards of finding valuable real estate speak for themselves. Buying an under priced piece of real estate can mean profits of tens of thousands of dollars.</div>Unknownnoreply@blogger.com1tag:blogger.com,1999:blog-3732677214477007998.post-32216326403816431442012-02-27T11:23:00.000-08:002012-05-23T11:27:27.324-07:00Pop 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+bowlin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10 Real Estate Marketing Tools<div id="article-content" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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!</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>1. A Real Estate Website</b></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>2. A Web "Presence"</b></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>3. A Real Estate Blog</b></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>4. Real Estate Postcards</b></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">"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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>5. Home-Buying Seminars</b></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><a name='more'></a><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>6. Client Referrals</b></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">It's no secret that client referrals lead to a lot of business in the real estate industry. So in this regard, referrals are a powerful marketing tool for real estate agents. But some agents forget that the process leading up to a good referral begins on Day 1 of the working relationship. Take good care of your clients from first contact to closing day, and you'll tap into one of the most powerful marketing tools for real estate -- the client referral.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>7. A Big Idea</b></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">This is a real estate marketing tool you can't buy in stores, which is partly why it's so effective. Big ideas are everywhere, but it's almost impossible for me to list them for you. Once a big idea has been used in a certain market area, it can never be repeated with equal success. When you can come up with something that gets people in you're area "buzzing" and spreading the word, you've tapped into another powerful marketing tool for real estate success. You've harnessed a big idea!</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>8. A Modern Outlook</b></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The Internet has forever changed real estate research, as well as the real estate transactions themselves. So it's important for real estate agents to adopt a modern way of thinking about their business. Start with what consumers are doing today, how they're using the Internet, etc. Work backwards from there? How can you use that to your advantage? Keep a modern outlook toward real estate, and you'll acquire yet another marketing tool for real estate success.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align:*justify;"><b>9. The Website Listed Below</b></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Currently, there's only one place online where agents can go to learn about direct mail marketing, online marketing, blogs and other topics on the subject. That website is listed below, and it offers dozens of free articles on the topics mentioned above.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>10. Behold, the Real Estate Professional</b></div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">As we discussed at the beginning of this article, you are your most powerful marketing tool for real estate success. None of the other items on this list can be effective without your energy, focus, compassion, intelligence and enthusiasm. So the next time a software or web marketing company says, "We have the most effective marketing tool for real estate business" ... you can say, "No you don't. I do!"</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">* You may republish this article online if you retain the author's byline and the active hyperlinks below. Copyright 2007, Brandon Cornett.</div></div><div id="article-resource"><div style="margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="color: #333333; font-family: Arial; font-size: 12px; line-height: 18px;"><br />
</span></div><span style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em;"><div style="text-align: justify;"><span style="line-height: 1.5em;">Brandon Cornett is a real estate marketing specialist and the author of several books on the subject. For more information on</span><span style="line-height: 1.5em;"> </span><span style="line-height: 1.5em;">real estate marketing tools</span><span style="line-height: 1.5em;">, visit the author's website at</span><span style="line-height: 1.5em;"> </span><span style="line-height: 1.5em;">http://www.armingyourfarming.com</span></div></span></div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-71753376318218638892012-02-16T11:23:00.000-08:002012-05-23T11:25:40.929-07:00All About Real Estate Agents<div id="article-content" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Who Are They...</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Real estate agents are professionals instrumental in connecting the buyer with the seller.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">In most areas real estate agents are required to be highly educated, licensed and are regulated by a governing body.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Some real estate agents are also Realtors.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Though not required by rule or law, it might be a wise decision to seek the services of a Realtor.</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">What Do They Do....</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">For sales transactions, they charge commission to the seller while for rentals, commission is typically charged the landlord.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">How Do They Do It...</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">People who want to sell or rent their property leave details of their property with the real estate agent.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Along with all property details the real estate agent will typically have keys to the house to facilitate showings.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">The other interested party (i.e. the buyer/tenant), gets access to this information and to the property by contacting the real estate agent.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">That's how the real estate agent becomes a hub of information.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Contrary to some common misconceptions, real estate agents typically represent the seller or the buyer but rarely both.</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Why Should I Use One...</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">First and foremost, to protect yourself. Real estate transactions are highly regulated, highly paper (document) intensive transactions.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Because of the real estate agent's knowledge and expertise, property sellers often get a few thousand dollars more for their property.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">The good real estate agent, working in this manner benefits in at least two ways...</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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...</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">and secondly, if they make the customer/client happy they earn a good reputation and often receive referrals (hence more business).</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Worth Noting...</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">It is worth noting that there is a myth floating around that real estate agents only work on behalf of the seller, buyer beware.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">This is not written in stone nor is it always the case. Real estate agents are, in most regions, highly regulated.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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).</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">If you are unsure of the relationship between you and your real estate agent, do not hesitate to ask.</span></div></div><div id="article-resource" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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]</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">For Additional Free Real Estate information go to: [http://www.realestateseekerusa.com]</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">For Free Real Estate Financing (Mortgage)information sed: [http://www.mortgageseekerusa.com]</div></div><div style="color: #333333; font-family: Arial; font-size: 12px; text-align: justify;"><br />
</div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-62159993654966294662012-02-14T11:23:00.000-08:002012-05-23T11:25:02.553-07:00New York Real Estate Ownership Guide<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="color: #333333; font-falily: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Saving on New York Real Estate Attorney Fees</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span></div><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">What kind of home fits my needs?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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.</div><a name='more'></a><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Coop or Condos?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Cooperatives are the most popular property purchased in New York City. One reason for this is a trend away from expense-ridden properties where foreclosures are common. Another reason for coop popularity is convenience. Deals can be less expensive (about half the price of a condo) and may involve less paperwork in the closing. Less financial stress and fewer headaches might sound good, right? But what most buyers don't know is that when you buy a co-op, you're NOT buying the physical apartment. Actually, you're buying "shares" of a corporation that owns the building which contains the co-op on its land. Also keep in mind that, just like any other company, a co-op has officers such as a president, a vice-president and a treasurer. And just like any other company they're responsible for the well being of the coop. If the coop suffers a financial meltdown, you could lose your apartment investment altogether.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">What happens if I do decide to buy a coop?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">You receive a stock certificate and a proprietary lease.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The co-op requires that each coop owner pay a "maintenance fee". If you own a condo, you'll be paying a "common charge." Usually, the monthly fee paid by a shareholder is almost double the fee paid by condo owners.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Sometimes a co-op only "owns" the improvements, and some other company or organization owns the land. This form of co-op is not the normal situation, but it does exist. Your New York Real Estate Attorney should be able to assist you in determining if you are purchasing such a property.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Where does the maintenance fee go? How is the money spent?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When an "entity" (i.e. some organization or other company) holds a mortgage of the co-op, the coop corporation must pay a monthly mortgage payment to the bank. The "maintenance fee" charged to coop owners helps the corporation offset this cost. By charging each shareholder a charge per share the "maintenance fee" helps pay the city taxes on the property as a whole and pay for the expenses in maintaining the property (such as the superintendent or doorman) The "common charge" for a condo helps offset the expenses associated with the maintenance of the building. Elevators, painting, cleanliness and any landscaping all require funding not to mention the common areas of the residential unit.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">It is important to note that the monthly fee is not fixed. Just like rent, it can be increased. In buying a condo, however, you are buying a portion of the physical building in which the apartment is located. You then own part of the building and will receive a deed to the property that shows that you are the legal owner. The common charges for condos usually tend to be stable. Most co-ops require that a seller receive approval by the board before attempting to sell. Likewise, the buyer must also be approved by the board to make sure that the buyer will be a "responsible" co-op owner. One exception to this situation is when the coop has a special status as being a "sponsor unit". That means that when the building was converted into a co-op, the co-op conversion plans allowed the sponsor of the building to reserve the right to sell unsold shares without board approval. If you are purchasing the co-op from the original sponsor, then most likely you will not need to get board approval. The same applies to subletting the unit. In most cases you'll need permission. In some cases, purchasing the unit from the original sponsor, may entitle you to the same rights and privileges as the sponsor.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Recently after the cost of fuel skyrocketed, many co-ops and condos monthly fees increased. So when buying a coop or condo make sure that you understand the financial future implications. Ask for the financial information before signing on the bottom line.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Should I buy a single or multi-family residence?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">One of the most common dilemmas encountered when purchasing a home is whether to buy a "single-family home" or "muti-family home". Common sense dictates that a single-family home will cost you significantly less than a multi-family home, and will appreciate accordingly. What are the advantages? The peace that comes with it is enticing for some. Not having to deal with renting to strangers, and the headaches of hiring (or being) a landlord. However, on the other side of that argument, a multi-family home can be a financial plus: the rental income helps with the monthly mortgage payments and makes ownership less financially stressful.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">How can a real estate agents help me?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Normally the first person you may have direct contact with in the purchase or sale of land or residence, is a real estate agent. Most people use them rather than do it themselves. The agent works for his or her supervisor, and they are called "brokers". The kind of relationship you have with the agent can have a major impact on how well you as a buyer or seller, understand the initial process, and transaction. Two important points: Agents can normally provide good advice and suggestions regarding your purchase or sale. Since they're well-educated in both the property markets and their field, they are can give you past performance for a particular property. However, although the agent may seem to work for you, unless expressly contracted for, they normally work for the seller!</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">What is a Binder? Why is it important?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">A binder (otherwise known as an "offer to purchase") is the first document secured by a minimal money deposit. You will normally sign a binder at the moment that you decide to make the seller an offer to purchase. This tells the seller that you are serious about making the purchase. Once the Binder Agreement is executed, the real estate broker or agent will present it to the seller. If accepted, the property will no longer be shown to potential buyers. It is important to note that the binder, unlike a contract of sale, is subject to a time limit. Unless the binder details the money to be refunded, it will be forfeited under most circumstances.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">What should I know about the "Contract of Sale"?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The contract of sale is the first formal stage of the buying and selling process. When you have retained a New York Real Estate Lawyer and have made an acceptable offer, at this point in time, you and the seller will sign a contract of sale. The seller's New York Real Estate Attorney will normally draft the contract and then the buyer's New York Real Estate Attorney will review the contract to make sure that you are protected from any future problems (both legal and residential issues).</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">It's also important to note that when the buyer signs the contract, a "Down Payment" is given to the seller for the seller's New York Real Estate Attorney to hold in a special account called an "Escrow". The seller's New York Real Estate Attorney is required by ethical rules to do so. However, not to worry: the entire amount will of course, be credited to the buyer and applied to the final outstanding balance at "closing."</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The biggest mistake a buyer or seller can make is signing a contract of sale before getting adequate legal representation. A contract of sale is an agreement to purchase and sell the property. Once it's signed, it becomes a legal document. If you change your mind and want to change the terms of the agreement or if you want out of the transaction altogether, then you will find yourself in an extremely frustrating legal bind. That's why an experienced New York Real Estate Lawyer is necessary throughout the process, especially at the beginning stages. The contract of sale dictates exactly how the transaction will proceed. It says how payments will be made and collected, and contains all the important details. Tell your New York Real Estate Lawyer every detail which you think is important and essential to you intensions. For example, maybe you are selling another property while simultaneously buying a home. Since the sale of your property is a condition, that condition is a major detail that you should tell your New York Real Estate Lawyer since, the other "party" may have not accepted your offer had they known such a condition.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Another issue that sometimes comes up is the issue of occupancy. Generally a house is sold vacant. However, if you would like to keep the existing tenants, it is a good idea to tell your New York Real Estate Lawyer (assuming it's not a new construction), and that by itself can save you time and hassle in the process of renting the property later on.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">As a seller, should I have my home inspected?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Home inspections can sometimes make or break the deal. A New York Real Estate Lawyer can secure a condition in the contract of sale which allows the buyer to refuse to purchase the property if the home inspector determines that the structure is not physically sound. Termite problems or signs of other wood-destroying insects are great reasons for a buyer to opt out of the contract. In such cases the seller usually return the buyer's down payment and everybody walks away from the table. Home inspections are relatively convenient, inexpensive and will save you a lot of time and money.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Finding a New York Real Estate Lawyer?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When looking for legal representation, most importantly, you want a New York Real Estate Attorney whom you feel comfortable with. If you don't feel comfortable with a particular New York Real Estate Attorney, chances are that you will not have a good working relationship.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">An experienced New York Real Estate Lawyer, who you feel comfortable with, can be greatly beneficial in explaining and reducing the mystery out of buying or selling real estate in New York. Your New York Real Estate Lawyer can review and prepare the contract of sale, order title insurance, and conduct key parts of the transaction. Making sure the property you are purchasing has no undisclosed liens. If they do exist, your New York Real Estate Lawyer can take care that they will be satisfied prior to the closing.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The last thing you need is to have doubts and questions about your transaction. You want to make sure that after all the documents are signed and notarized, that you understand what just happened and that you are confident that everything was done correctly.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When should I close the deal?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The closing is the climax of the transaction. The buyer's New York Real Estate Attorney is normally the ringmaster who coordinates the time and place of the closing. The closing is where the parties meet to finalize the deal. Normally the parties you will see at the meeting are the seller and their New York Real Estate Attorney, the bank's New York Real Estate Attorney, and the title representative. What occurs at the closing table can be broken down to three major steps:</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The bank makes the loan to the buyer and in return the buyer gives the bank an interest in the property (Mortgage)</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The buyer turns that loan over to the seller and in turn receives a deed from the seller</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The title company makes certain that the seller does indeed own the property they are transferring</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Unless there are any serious outstanding issues, the closing can take about 2-3 hours. At this stage, the buyer should have obtained homeowners Insurance prior to the closing. Since not all insurance companies charge the same prices for the replacement value of a house you might want to shop around before the closing.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Lastly, a day or two prior to the closing, it's always a good idea to do a walk though of the property to make sure that it is in the same condition as when you decided to buy it.</div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-62588553164807759552012-02-09T11:23:00.000-08:002012-05-23T11:24:16.383-07:00Commercial Real Estate - Big Profits<div id="article-content" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Real estate has always been known as the safest of investments.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">This is one reason many people choose real estate investment as their full time job.</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">However, commercial real estate is also a great option for investing in real estate.</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Commercial real estate includes a large variety of property types.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">To a majority of people, commercial real estate is only office complexes or factories or industrial units.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">However, that is not all of commercial real estate. There is far more to commercial real estate.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Strip malls, health care centers, retail units and warehouse are all good examples of commercial real estate as is vacant land.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">So, is commercial real estate really profitable?</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Absolutely, in fact if it were not profitable I would not be writing about commercial real estate at all!!</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">However, with commercial real estate recognizing the opportunity is a bit more difficult when compared to residential real estate.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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).<a name='more'></a></span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">There are many reasons to delve into commercial real estate investment.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">For example you might purchase to resell after a certain appreciation level has occurred or to generate a substantial income by leasing the property out to retailers or other business types or both.</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">In fact, commercial real estate development is treated as a preliminary</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">indicator of the impending growth of the residential real estate market.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Therefore, once you recognize the probability of significant commercial growth within a region (whatever the reason i.e. municipal tax concessions), you should begin to evaluate the potential for appreciation in commercial real estate prices and implement your investment strategy quickly.</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Regarding commercial real estate investment strategies it is important that you identify and set investment goals (i.e. immediate income through rental vs later investment income through resale) and that you know what you can afford and how you will effect the purchase.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">It would be wise to determine your goals then meet with your banker (or financier(s)) prior to viewing and selecting your commercial real estate.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">Also remain open minded and understand that should the right (perfect)</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">opportunity present itself, your investment strategy might need to be revisited and altered, sometimes considerably.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">For example: If you find that commercial real estate, (i.e. land) is available in big chunks which are too expensive for you to buy alone but represents tremendous opportunity, you could look at forming a small investor group (i.e. with friends or family) and buy it together (then split the profits later).</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Or in another case (i.e. when a retail boom is expected in a region), though your commercial real estate investment strategy was devised around purchasing vacant land, you might find it more profitable to buy a property such as a strip mall or small plaza that you can lease to retailers or a property that you can convert into a warehouse for the purpose of renting to small businesses.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">So in a nutshell, commercial real estate presents a veritable plethora of</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">investing opportunities, you just need to recognize them and go for it.</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">About the Author:</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">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.</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">If you are interested in Southwest Florida Properties see his website at [http://www.rciflorida.com]</span></div><br />
<div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><span style="line-height: 1.5em;">For additional Real Estate information go to: [http://www.realestateseekerusa.com]</span><span style="line-height: 1.5em;"> </span></div><div style="text-align: justify;"><span style="line-height: 1.5em;">For Real Estate Financing information see : [http://www.mortgageseekerusa.com]</span></div></div><div id="article-resource" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">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]</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">For additional Real Estate information go to: [http://www.realestateseekerusa.com] For Real Estate Financing information see : [http://www.mortgageseekerusa.com]</div></div><div style="color: #333333; font-family: Arial; font-size: 12px; text-align: justify;"><br />
</div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-25937650590067826702012-01-25T11:09:00.000-08:002012-05-23T11:15:45.379-07:00Real Estate Softw`re - An Agent's Guide to Software<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Each, day thousands of real estate professionals go online to research real estate software. But what is real estate software, and how can it help you improve your real estate business? These are the questions we will address here.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">What is Real Estate Software?</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When we talk about real estate software, we're actually covering a wide spectrum of software products. In general terms, real estate software is any software that helps you manage some aspect of your real estate business.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The "some aspect" part of that definition is important, because to date there is no real estate software that will help you manage all aspects of your business. Instead, most types of real estate software are designed to help you manage a certain element of your business, like contract preparation for example.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Various Types of Real Estate Software</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Below, we look at some of the most popular types of real estate software. As you will see, each type of software is designed to help you perform a certain part of your real estate business. Please note that this list is not all-inclusive. There are more types of real estate software than I could possibly cover in this one resource. So at the end of this guide, I've listed some additional resources where you can find any type of real estate-related software imaginable.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Content Management Systems</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Some types of real estate software are designed to help you manage property listings on your website. Basically, these are content management systems (CMS) that have been adapted for real estate purposes. A good example of such a program would be Realty Manager by Interactive Tools.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Such programs allow you to add, edit or remove property listings (including house photos) within your real estate website -- without any knowledge of web coding. If you have listings on your website that require constant management, you can see the convenience of this kind of real estate software.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Real Estate Contract Software</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">As the name implies, this type of real estate software helps agents prepare real estate contracts. As you well know, contracts are a big (and often time-consuming) part of the real estate business. So anything that can streamline and simplify the process would be welcomed by real estate agents. That's what contract-management software strives to do.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">One of the best features of real estate contract software -- a feature you should look for when purchasing this type of software -- is the ability to create contract templates by pulling in required disclosures and other commonly used items from your city and state. This way, once you have the real estate contract software set up how you want, you would simply enter new client details and listing prices to generate contracts.</div><a name='more'></a><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin,bottom: 1em; padding: 0px; text-align: justify;"><b>Real Estate CMA Software</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Once again, the name tells you what this type of real estate software does. CMA software helps you prepare comparable listings / sales reports that you can show to clients. The biggest benefits of this type of software are time savings, professional appearance, and basic mathematical functions. CMA software will help you produce an attractive and informative CMA report in less time than doing it without software assistance.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Contact Management Software</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Contact management software is not to be confused with contract management software. Though they only differ by one letter, these two types of software have nothing in common. Contact management software helps you manage your contacts, or client communications.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Most of these applications are built around databases. You enter client information into the database (with details such as name, phone number, neighborhood of interest, etc.), and then you can easily search the data later.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When choosing a contact management solution, look for one that allows customization of the data fields. You want the ability to create whatever info fields for each contact that's important to you. All of these programs will let you enter the basics, like name, phone number, address and the like. But what if you wanted to also label people with buyer vs. seller? Or by price range? Or by the neighborhoods they're interested in? You'll need this kind of flexibility, and any good contact managements solution should offer it.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Real Estate Educational Software</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">This is another popular type of real estate software. As the name implies, this kind of software helps you advance your professional education. The most common types of real estate educational software are the test preparation programs. These programs help you prepare for state licensing exams and other real estate-related professional exams. For just about every real estate exam you can imagine, there's a piece of software that can help you prepare for it.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Virtual Tour Software</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Virtual tours are extremely popular among real estate professionals these days. Home buyers love virtual tours, so when you add them to your real estate website, you've increased your website's value for your key audience. The only problem is, virtual tours are not an easy thing to put together. That's wherd this type of real estate software comes in.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">One way to create virtual tours is to have a virtual tour company do it for you. With this option, you shoot the photos or film footage yourself, and send it to a virtual tour company who creates the finished product. But for the more adventurous agents, there is also the virtual tour software path. Using this software, the agent creates his or her own virtual tours, using photos taken by the agents themselves.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Real Estate Website Software</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">This software covers a pretty broad spectrum. Real estate website software can help you with many aspects of your website, from creating graphics to capturing leads. But one product rarely does it all. Most types of real estate website software are highly specialized, performing a certain aspect of website enhancement.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Conclusion</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">So we've seen that for every type of real estate business function, there's a piece of software to help you do it more efficiently and (ideally) more effectively. Does that mean you need all of the real estate software on this list? Obviously not. My advice is to look at the business functions where you spend the most time, and shop for a software product that can simplify that process for you.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">It's also a good idea to play around with different types of real estate software before buying. Most software vendors have either a free trial or an online demo through which you can judge the product for yourself. If you come across a software vendor who offers neither of these trial options, then keep shopping. When purchasing real estate software, always follow the rule of "try before you buy."</div><div style="color: #333333; font-family: Arial; font-size: 12px; text-align: justify;"><br />
</div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-58304923465541030382012-01-24T11:09:00.001-08:002012-05-23T11:15:02.910-07:00Real Estate Search Engines - A Home Buyer's Guide<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">In recent years, real estate search engines have exploded in both popularity and quantity. It seems that every time you turn around, there's a new real estate search engine being launched or announced.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The use of real estate search engines has also skyrocketed. People go online by the thousands every day, conducting real estate searches through websites like Yahoo, Trulia and the others listed below. This usage will only increase as new search engines emerge, and as existing engines become more advanced.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">This article reviews some of the most popular real estate search engines available today. But before we get to those reviews, let's cover some quick terminology.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>What's a Real Estate Search Engine?</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Here's my informal definition of a real estate search engine: "Any website that allows consumers to search for real estate listings." I think that's a basic definition we can all agree upon. Of course, there are many different types of real estate search engine, but in their basic form they all match the definition above.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Popular Real Estate Search Engines</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Here's a list and summary of some of the most popular real estate search engines online today (with popularity measured by prominence in the marketplace, website traffic, and general buzz).</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>REALTOR.com</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">This is probably the most popular real estate search engine, just because it has been around the longest. When you land on the home page of REALTOR.com, you're offered a variety of real estate-related information. But the primary element on their home page is, of course, their real estate search engine.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">To begin, you simply enter a city and state, provide some qualifying information like price range and number of rooms, and then click "Go." Once you get to the actual home listings, you can sort them by price, number of rooms, etc.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">One thing I've always liked about REALTOR.com is the way the results are presented. You can view 10 homes per page, with thumbnail photo and basic information. This lets you "eyeball" shop and weed out any homes that don't interest you right off the bat. That way, you only have to click the "learn more" link for homes that you've screened first. A lot of the newer real estate search engines are map-based, meaning you have to click on an icon to see the house and details. I prefer to see a lot of listings at a glance and then "drill down" as desired ... but that's just me.</div><a name='more'></a><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>HomePages</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">This website offers another map-driven approach to real estate search. As with most real estate search engines, you start the process by entering a city and state. After sitting through a map-zooming process that makes you feel like you're skydiving, you'll be asked for the usual follow-up parameters (price range, number of rooms, etc.). Properties for sale are presented as icons that you can click on to learn more about.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Personally, I didn't like the interface because it doesn't show as much data at a glace as other real estate search engines -- you have to sort of scroll around the map to find what you want, and that annoyed me. From my perspective, it seems to be another one of those websites that's so "slick" it's just plain hard to use. But that's just me!</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Trulia</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Trulia bills itself as delightfully smart real estate search. Their "About" page offers a more detailed description: "We are a real estate search engine that helps you find homes for sale and provides real estate information at the local level to help you make better decisions in the process."</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">From the home page, you simply enter a zip code to see real estate listings for that area. You can also refine your search by price range, number of rooms or bathrooms, etc.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Like many real estate search engines, Trulia is powered by Google Maps. Trulia has customized the Google application to show pushpin icons for each property listing, which adds a nice visual element to the search.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">You can use Trulia's real estate search engine with or without an account, but if you sign up for a free account you'll be able to save your searches for future convenience. If you like Trulia and plan to use it often, I recommend creating an account. It will save you a lot of time on future visits because you won't have to enter your search parameters all over again (unless you want to).</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Yahoo Real Estate</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Yahoo's real estate search offers a lot of information in addition to property listings. You can also find information on schools and neighborhoods through their site. But this is an article on real estate search, so let's stick with that.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">From the home page of Yahoo Real Estate, you can search for homes, apartments, or even home values. For homes, you simply enter the city and state and hit enter. You are then shown a map with icons representing homes for sale.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Hover your mouse over an icon and it will show the listing price. Click on the listing price, and it will pop up a bubble with street address, a thumbnail photo, and a "learn more" link. To get around the map, you simply click-and-drag with your mouse (as with MapQuest or similar mapping sites).</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>NeighborhoodScout</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">NeighborhoodScout is a different sort of real estate search engine. As the name implies, this website focuses more on neighborhoods than actual home listings. Here's how they describe themselves:</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">"NeighborhoodScout is a web-based patent-pending neighborhood search engine that uses neighborhood statistics to build neighborhood profiles that allow individuals and families to instantly find the best neighborhoods for them, in any part of the United States they choose."</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">So if you're relocating to a new area, this website might help you refine your search by narrowing it to a few select neighborhoods.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>A Word of Caution</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">When using any real estate search engine, you need to understand they do not operate in "real time." The accuracy of a real estate search engine is determined by the age or "freshness" of their data, which varies from one search engine to the next.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Also, while a real estate search engine can be a helpful research tool, they do not take the place of a qualified real estate agent. If you are new to the real estate world, I strongly recommend that you have professional help when buying or selling a home.</div><div style="color: #333333; font-family: Arial; font-size: 12px; text-align: justify;"><br />
</div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-72266064833901690402012-01-24T11:09:00.000-08:002012-05-23T11:14:04.554-07:00The "Real Estate Bubble" is a Hoax<div id="article-content" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Those who watch television and listen to the media long enough, more than likely will begin to hear about the real estate bubble and its affects on the national economy and stock market. Recently, the media has begun to talk about their theory that the bubble is soon to burst, and they have done an excellent job of creating a hype about their theory, which actually has no merit whatsoever. Before investors get taken away in a media hype that suggests the real estate bubble is going to break, one needs to get a basic understanding of the real estate market and how it works.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">First of all, it is important to understand that, in reality, there is no national real estate market. The real estate market is much more localized and can not be studied or judged on a national level. From state to state, and even from town to town, the real estate market is going to vary greatly, and it is a grave error to try to base your understanding of real estate on a supposed national market that does not exist.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">It is also important to understand that the real estate market as a whole neither explodes nor crashes. Real estate is a market that can go down in some areas while going up in other areas. Even when the market does appear to be going down in some places, much of the time it has only fallen flat instead of continuing to increase, which makes it appear like there is a problem with value going down. Even when the real estate market goes up or down, it takes a long time to see changes that occur across the board. While real estate prices do fluctuate and go through cycles, it is important to realize that the economy of a country is not going to crash if property values start to go down a bit or they hold steady instead of increasing.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Some people tend to view the real estate market as they do the stock market, and the two are very different. The real estate market cannot be viewed as a national market, and much of the time, it is actually based on local economies and how they are doing. On the other hand, the stock market is based on national merit and the rise and fall of the stock market has very little to do with the price of real estate.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">In some communities, it is true that the price of real estate is going down, but if one looks closely, there are a variety of reasons that cause it to lose value. In some cases, it is simply the fact that a city has built too many new houses, which can make it appear as if the real estate market is going down. If you are going to invest in real estate, there are a variety of economic trends that you should consider to be sure that the market is going to stay strong in the area.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">One thing that assures a strong real estate market is the arrival of more and more immigrants to the United States every year. Another thing that assures a strong real estate market is the later age at which people are getting married. Many are not getting married until they are in their middle to late 30s and this is resulting in even more single people purchasing their own homes. The interest rates are also helping to keep the real estate market strong, and since they are lower than ever before, it is easy for people to get the home loan they need.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Those who are interested in investing in real estate need to throw away the concept of the real estate bubble and the idea of a national real estate market. Broad statistics, including national, state, and even city statistics, will, in reality, be no help when you are looking for properties to invest in. It is more important that investors look closely at the real estate market in certain neighborhoods and communities and that they look at relevant material such as average prices in the area, number of times the property has been on the market, and how the sales prices have changed since the last year. Keeping your focus local and small will help you find the best real estate investment properties.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">While the media may be trying to convince people that the real estate bubble is about to burst and that there may be a real estate market crash, there is no proof to back this up. In some cases, people are not building as many homes as a result of this news and it is actually causing real estate prices to go up since the demand is high and the supply is low. Investors need to understand that the market need not affect how successful they can be as a real estate investor. Investors that understand how real estate works will be able to find great investment properties that will make them money.</div><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Being successful as a real estate investor does not depend on the market or the real estate bubble, but it depends on how good an investor is at their job. Those who take the time to study communities and to look at local statistics will be able to find the best places to invest. If an investor relies on the media, there may be failure in the future, but a well planned and well studied investment can lead to profit and success.</div></div><div id="article-resource" style="color: #333333; font-family: Arial; font-size: 12px;"><div style="line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Specializing in commercial and investment real estate, Tony Seruga, Yolanda Seruga and Yolanda Bishop are always searching for new and profitable commercial properties across the U.S. Visit [http://www.maverickrei.com] for more great information.</div></div>Unknownnoreply@blogger.comtag:blogger.com,1999:blog-3732677214477007998.post-56816184288046317332012-01-15T11:09:00.000-08:002012-05-23T11:13:22.175-07:00The Future of Commercial Real Estate<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Although serious supply-demand imbalances have continued to plague real estate markets into the 2000s in many areas, the mobility of capital in current sophisticated financial markets is encouraging to real estate developers. The loss of tax-shelter markets drained a significant amount of capital from real estate and, in the short run, had a devastating effect on segments of the industry. However, most experts agree that many of those driven from real estate development and the real estate finance business were unprepared and ill-suited as investors. In the long run, a return to real estate development that is grounded in the basics of economics, real demand, and real profits will benefit the industry.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Syndicated ownership of real estate was introduced in the early 2000s. Because many early investors were hurt by collapsed markets or by tax-law changes, the concept of syndication is currently being applied to more economically sound cash flow-return real estate. This return to sound economic practices will help ensure the continued growth of syndication. Real estate investment trusts (REITs), which suffered heavily in the real estate recession of the mid-1980s, have recently reappeared as an efficient vehicle for public ownership of real estate. REITs can own and operate real estate efficiently and raise equity for its purchase. The shares are more easily traded than are shares of other syndication partnerships. Thus, the REIT is likely to provide a good vehicle to satisfy the public’s desire to own real estate.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">A final review of the factors that led to the problems of the 2000s is essential to understanding the opportunities that will arise in the 2000s. Real estate cycles are fundamental forces in the industry. The oversupply that exists in most product types tends to constrain development of new products, but it creates opportunities for the commercial banker.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The decade of the 2000s witnessed a boom cycle in real estate. The natural flow of the real estate cycle wherein demand exceeded supply prevailed during the 1980s and early 2000s. At that time office vacancy rates in most major markets were below 5 percent. Faced with real demand for office space and other types of income property, the development community simultaneously experienced an explosion of available capital. During the early years of the Reagan administration, deregulation of financial institutions increased the supply availability of funds, and thrifts added their funds to an already growing cadre of lenders. At the same time, the Economic Recovery and Tax Act of 1981 (ERTA) gave investors increased tax “write-off” through accelerated depreciation, reduced capital gains taxes to 20 percent, and allowed other income to be sheltered with real estate “losses.” In short, more equity and debt funding was available for real estate investment than ever before.</div><a name='more'></a><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Even after tax reform eliminated many tax incentives in 1986 and the subsequent loss of some equity funds for real estate, two factors maintained real estate development. The trend in the 2000s was toward the development of the significant, or “trophy,” real estate projects. Office buildings in excess of one million square feet and hotels costing hundreds of millions of dollars became popular. Conceived and begun before the passage of tax reform, these huge projects were completed in the late 1990s. The second factor was the continued availability of funding for construction and development. Even with the debacle in Texas, lenders in New England continued to fund new projects. After the collapse in New England and the continued downward spiral in Texas, lenders in the mid-Atlantic region continued to lend for new construction. After regulation allowed out-of-state banking consolidations, the mergers and acquisitions of commercial banks created pressure in targeted regions. These growth surges contributed to the continuation of large-scale commercial mortgage lenders [http://www.cemlending.com] going beyond the time when an examination of the real estate cycle would have suggested a slowdown. The capital explosion of the 2000s for real estate is a capital implosion for the 2000s. The thrift industry no longer has funds available for commercial real estate. The major life insurance company lenders are struggling with mounting real estate. In related losses, while most commercial banks attempt to reduce their real estate exposure after two years of building loss reserves and taking write-downs and charge-offs. Therefore the excessive allocation of debt available in the 2000s is unlikely to create oversupply in the 2000s.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">No new tax legislation that will affect real estate investment is predicted, and, for the most part, foreign investors have their own problems or opportunities outside of the United States. Therefore excessive equity capital is not expected to fuel recovery real estate excessively.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Looking back at the real estate cycle wave, it seems safe to suggest that the supply of new development will not occur in the 2000s unless warranted by real demand. Already in some markets the demand for apartments has exceeded supply and new construction has begun at a reasonable pace.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Opportunities for existing real estate that has been written to current value de-capitalized to produce current acceptable return will benefit from increased demand and restricted new supply. New development that is warranted by measurable, existing product demand can be financed with a reasonable equity contribution by the borrower. The lack of ruinous competition from lenders too eager to make real estate loans will allow reasonable loan structuring. Financing the purchase of de-capitalized existing real estate for new owners can be an excellent source of real estate loans for commercial banks.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">As real estate is stabilized by a balance of demand and supply, the speed and strength of the recovery will be determined by economic factors and their effect on demand in the 2000s. Banks with the capacity and willingness to take on new real estate loans should experience some of the safest and most productive lending done in the last quarter century. Remembering the lessons of the past and returning to the basics of good real estate and good real estate lending will be the key to real estate banking in the future.</div>Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-3732677214477007998.post-23476019951648449632012-01-06T11:09:00.000-08:002012-05-23T11:12:41.608-07:00Report: The Real Estate Market In Panama<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Most likely, you have heard of the recent real estate BOOM currently occurring in Panama. Perhaps, there are several internet sites you have read or visited searching for further information on the topic. Or maybe you are one of those persons that have taken the decision already of buying an apartment or a beach house, but you don't know where to start or wish to start your own real estate project in Panama, yet still need more information. Well, I have prepared this article in a practical and simple way in order to guide you in our real estate market. You will find this paper helpful, whether it'll be for the direct buying of a property or to start your own real estate project in Panama or simply to have a more complete notion of this rising real estate BOOM.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>What is happening in the Panamanian Real Estate market?</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">What is going on in Panama is without any sort of precedent. The market is growing rapidly and such real estate development has never been experienced before in our country. Monthly, we are visited for hundreds of foreigners interested in buying real estates in Panama, in the City, the coasts and the mountains. The constant rising of the value per square meter is almost in a monthly rate. For example: in January, 2006 it was possible to find apartments in Panama City for around US$ 1,000.00 per square meter, which is nearly impossible nowadays (US$ 1,200 - US$1,400 and rising). This has generated the value per square meter to triplicate in the city and even to quadruplicate in the rest of the country. The main real estate broker associations have foreseen that the general value of the land in Panama could rise up to 30% to 40% in the next three years, due to this price increasing flow.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Extreme luxury towers of over 100 stories, residential houses of over a million dollars, yachts and marine clubs, huge luxury hotels, golf camps designed by well-known international specialists, as well as top of the line malls, are currently under construction or in process of delivering in the next couple of years; renovating the face of the city into an international and cosmopolitan metropolis. Promoters, private investors and international real estate companies, from United States, South America and even Europe, have started the construction of real estate projects of great impact. Also, a great number of international real estate broker companies are currently setting up businesses in our country per month. Specifically we could say that seven of the highest towers under construction in Latin America are being built in Panama City, within the areas known as "Avenida Balboa" (this area is projected as the skyscraper in front of the sea in the city). We could mention, among others: Aqualina, Aquamare, Vitri, Ocean Two and One, Los Faros de Panama and Ice Tower, ready to be delivered for the year 2009; besides the hundreds of apartment towers bring developed around the city. Great beach lot projects, island resorts, as much as in the Caribbean Sea (Bocas del Toro) as in the Pacific Ocean (Pearl Islands); as well as delightful retirement mountains (Boquete, Altos del Maria) are part of the avalanche of real estate projects that seems just to be starting.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Which are the real factors that caused this real estate boost?</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">We all know that after the hostilities occurred in Panama in 1989, the Panamanian real estate market remained hesitant and the small amount of inversions in this sector were led in its majority into commercial projects. Eleven years had to run by after this event (year 2000) for the leaders in the tourist sector of the Panamanian government (led by the well-known Panamanian singer Ruben Blades) to take action initiating a serious campaign for the enhancement of the country's image. Panama was shown as "the path less traveled", stressing not only in the advantages of being and international banking services and offshore center, but also in the social, tourist, ecological and geographic elements that until then were unknown to the rest of the world. This successful campaign was promoted worldwide in the main international television chains, in Europe as well as in the United States. Added to this, something that has to be acknowledged, for the year 2003 Panama comes back to the international field with the announcement that a young Panamanian lady (Justin Pasek) won the Miss Universe contest, situation that allowed by extension the range of advantages of our country as a tourist and commercial destiny. Between the years 2003 and 2005, little by little the number of visitors increased as a consequence of these two important catalysts.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Meanwhile, small groups of professionals (lawyers, brokers, and independent professionals) were offering seminars about the Panama's advantages or organized small real estate tours to foreigners. Several articles published in international retirement magazines (generation known as "Baby Boomers") and second residences abroad, started to acknowledged Panama as one of the best countries in the world to live at high standard levels, but with low costs; all of this caused due to excellent projects addressed to this market, as "El Valle Escondido" in Boquete - Chiriqui or "Altos del Maria" in Panama. One of the main triggering factors of this real estate boost in Panama occurred last April 24th, 2006, when Donald Trump announced in New York City the construction in "Punta Pacifica" area in Panama City of a 65-story tower branded as "Trump Ocean Club International Hotel", with a cost of 220 million dollars. Further more, on October of the same year, the national acceptance for the enlargement of the Panama Canal was given, initiating construction works in the year 2009. Starting from this point, there is no doubt that Panama would become the centre and role model of real estate investments in the area, situation that has been increasing exponentially.</div><a name='more'></a><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Which are then Panama's advantages as a real estate destiny?</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Well, let's get into the subject. Let's study those advantages that Panama offers and that will allow you, effectively, to take the decision to buy a property in our country, as many foreigners have done. From the real estate point of view, we could mention:</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>-*-</b> Panama offers the best banking center in the region, with the use of the American dollar as legal currency and with top of the line banks (HSBC, CITIBANK, BBVA, etc.) which will facilitate the process of obtaining mortgages for foreigners, offering a fast international bank transaction process for deposits and reservation of properties.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>-*-</b> Panamanian immigration law has one of the best retirement programs in the world, which will allow you to become a "resident" in less than two months. This program offers several incentives as the possibility to import goods and personal values into your new properties free of import duties, as well as motor vehicles also free of import duties.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>-*-</b> An outstanding service, utilities and infrastructure system for properties, such as: high speed Internet (there are five of the main Internet interconnection Networks crossing through Panama), Cable and Satellite TV, public potable water, wide range of telephony offer, fixed and cellular.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>-*-</b> The opportunity to buy extreme luxury apartments with ample spaces to a price amazingly low compare with apartments of the same quality in USA and Europe.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>-*-</b> The opportunity to acquire properties exempt to the 0% of property taxes for a period of 5, 10, 15 and even 20 years (depending on the date of construction's commencement).</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>-*-</b> A vast variety of companies and bilingual professionals involved in the real estate market.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>-*-</b> If you are a businessman, Panamanian law has fiscal benefits to constructors and promoters that start real estate projects in the country.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Additionally, there are other advantages to take into consideration that even when you are not directly involved in the real estate business, they can become helpful at the moment of taking the decision of buying a property:</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>-*-</b> Panama has been acknowledge for companies as Pinkerton Intelligence Agency as a high standard security country in contrast with the current situation in neighboring countries.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>-*-</b> You can hire house keeping services for a low cost (around US$ 150.00 per month)</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px;"></div><div style="text-align: justify;"><b style="line-height: 1.5em;">-*-</b><span style="line-height: 1.5em;"> </span><span style="line-height: 1.5em;">Up-to-date high standard technology available.</span><span style="line-height: 1.5em;"> </span></div><b><div style="text-align: justify;"><b style="line-height: 1.5em;">-*-</b><span style="line-height: 1.5em;"> </span><span style="line-height: 1.5em;">The opportunity to acquire products from all over the world in the Colon Free Zone, due to the noticeable position of the Panama Canal and the transit of over 14,000 ships per year.</span></div></b><br />
<div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>-*-</b> The conditions of Panamanian taxation law allow the tax payer not to pay taxes on bank interests or even income taxes when the service and/or business are performed abroad.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>-*-</b> An exceptional geographic position to perform international commercial transactions, with fast access to the Pacific Ocean as well as to the Atlantic.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>-*-</b> Panama has a low-risk profile in regards to natural disasters, such as earthquakes and hurricanes.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">These are some of the many advantages that Panama can offer if you decide to acquire a property in our country, whether it is to invest or simply to relocate and enjoy life.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Which are the most attractive places to buy properties?</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">To better answer this question, we have to divide our answer in four groups: Panama City, the mountains, the Pacific shore and the Atlantic shore.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Panama City</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The main seaside view luxury condos are found in Panama City, distributed as follows: Balboa Avenue, Punta Pacifica and Costa del Este. The region known as "Avenida Balboa" has become the icon of real estate development in Panama. The reason for this is due to the current construction of luxury residential apartment towers with an outstanding architecture with a height of over 100 stories, to be concluded in the year 2009. Balboa Avenue offers quick access to the whole city, the banking area, as well as to the main avenues, given that it is the coast boulevard. One hundred meters away from this area you will find restaurants, bars, hotels and several facilities. European promoters, American and South Americans have foreseen the real estate potential in this area, equivalent to condos phenomenon occurred in Miami during the eighties. "Punta Pacifica" area was developed over the old City airport (for the reason that it was next to the pacific coast and inside the city). This region was designed specially to provide an answer to the upcoming real estate demand. The area offers beautiful projects and high standard apartment towers. You will also find in "Punta Pacifica" malls (Multiplaza Pacific), Hospitals (John Hopkins Hospital), corporate buildings and access to highways (Corredor Sur) which will grant you fast access to the international airport in 15 minutes. Is also in this sector where the Trump Organization and K Group will raise their promoted real estate project. Another of the desired areas for foreigners is Costa del Este.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The "other city" as is referred to was also conceived and designed for the development of apartment buildings and closed residential communities. It is the perfect place for a foreigner to completely relocate in Panama. This region has it all schools, malls, wide avenues; this sector offers several real estates with a gorgeous view to the sea or to the city, located five minutes away from the city and only ten from the international airport. It also important to stress out that this luxury tower's development is not circumscribed to these few areas. There are also urban projects in the region of Punta Paitilla, Coco del Mar and San Francisco (all of them in front of the sea), as well as beautiful developed residential areas in the surroundings of the Panama Canal, such as Albrook, Clayton and Quarry Heights.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>The Mountains</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">Gorgeous mountain projects with cool, fresh weather from 18Cº to 20Cº (64ºF to 68ºF) have been developed in the provinces of Panama, Cocle and Chiriqui. In the province of Panama, the most representative mountain project is found in the region of Sora, 75 minutes away from the City and known as "Altos del Maria". This project consists of a well-organized foreigner's community with utilities and spectacular landscapes. Another region of urban development can be found in what is known as "Tierras Altas" (High Lands) located in the province of Chiriqui (Volcan, Boquete and Cerro Punta). Among these places, Boquete has become one of the most relevant real estate centres in the whole country, given that it counts with a wide supply of real estate projects, residential houses in the mountains with amazing landscapes. Boquete has been recognized by specialist in the subject as one of the best places for retirement in the world, fact that has generated in this region the highest concentration of retired foreigners in the country. Finally, in the province of Cocle, you will find the region known as "El Valle". Located in an extinguished volcano, El Valle offers the perfect weather, rivers, waterfalls and tourist attractions. El Valle is at present taking measures to become one of the most wanted regions in the field of mountain real estate properties, owing to its facilities and infrastructure, as well as to its proximity to Panama City (1hr. 45 mins.)</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>The Pacific Shore</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The supply of lots in front of the sea starts in the pacific coast line of the Province of Panama, and it goes all the way until the mid-country provinces. Most Panamanian high-class families have their beach houses on this sector; due to its proximity to the City (45 minutes). This coast line offers residential areas such as Came, Coronado, Punta Barco, San Carlos, Gorgona, among others. Within these beach residential areas we have to remark the region known as "Coronado", region which counts with one of the best professional Golf camps in Latin America, pools, beach clubs, equestrian clubs, several restaurants and great supply of houses and apartment buildings in front of the sea. Additionally, further on in the pacific coast line, we can find the region of Playa Blanca. Since the development of the macro hotel project known as "Royal Decameron" in the area, the infrastructure and general surroundings have grow significantly. In Playa Blanca, you will be able to find casinos, swimming pools, restaurants, bars and discotheques, beach clubs and a great variety of real estate projects just right next to the beach. Finally, we should also mention the recent development experienced in the seaside areas the provinces of Los Santos (Pedasi) and Veraguas, such as Playa Arenal, Punta Mala and Playa Venao, among others; which have become the new destiny for many foreigners (mostly Europeans) that are searching for great extensions of lands in front of the sea.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>The Caribbean Shore</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">In this area, we can find a similar supply of real estate properties to the one found in the pacific coastline of the mid-country provinces. There are several properties in front of the sea, as well as vast extensions of hectares next to the beach. This region is located two hours away from Panama City and it offers the option to buy in the well-known Colon Free Zone. On the west side of the country, you will find in the Caribbean coastline, the spectacular region of Bocas del Toro, where properties next of the sea or in the middle of an island are simply astounding. A great variety of international real estate companies have started projects in the crystal clear waters of Bocas del Toro. Bocas is one of the most known tourist destinies in Panama, located only 1hr and 45 minutes away by plane. It offers an amazing night life, restaurant, hotels and tours around the different islands of the area. Bocas del Toro coastline has become the most wanted real estate choice for retired or pensioned foreigners in the Caribbean. Among the best areas of Bocas del Toro you can find Isla Colon, Boca del Drago, Red Frog Beach and Playa Larga. The residential project known as Red Frog is of renowned reputation in the international spheres, given that it offers an incredible exclusively designed development for foreigners in one of the most beautiful islands in Bocas del Toro, Bastimento's Island. The project has marine clubs, restaurants, houses and a dazzling infrastructure.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Islands</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">The most notorious group of islands is found in Bocas del Toro, given that, as we already mentioned it offers a wide variety of real estate projects in the Caribbean, scenario of several TV series broadcasted around the world. The most important islands of the archipelago are: Isla Colon, Isla Bastimentos, Isla Solarte, Isla Cristobal, Isla Popa and Isla Zapatilla. Likewise, we can found several small independent islands for private projects. Bocas' islands counts with an astonishing ecosystem for scuba diving, marine activities and bird watching. Another group of islands that is raising popularity is the real estate market found in the archipelago of Mosquito's Gulf, in front of the pacific coastline of the province of Chiriqui. This Gulf has been granted by the Panamanian government the title of Ecological Reserve, as a consequence of the great diversity of marine fauna found in the area. Most of the islands have registered real estate titles, which allow its prompt buying. The surroundings of these islands are famous for being one of the best places in the world for Black Marlin fishing. The Pearl Islands are located within the Gulf of Panama, three hours awax from the city in the open sea, offering a group of more than 35 beautiful islands with spectacular landscapes, surrounded by coral reefs and vast vegetation. The beauty of this area attracted the production team of the popular reality show "Survivor", who has filmed several times in this region. Finally, you will find the island of "Coiba" in the Pacific Ocean, formerly a prison already abolished and currently a National Park. The main island and its small islands such as Isla Iguana have become in top destinies for scuba diving and water sports.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>What should I and should not do when buying a property in Panama?</b></div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;">As a final tip, we will recommend you some practical advises in case you decide to buy a property in Panama:</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Recommendation # 1</b> : You can visit the projects on your own, but it is advisable to be assisted by a professional who could properly introduce you to the promoters, avoiding the pointless increase on the price.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Recommendation # 2</b> : If you are not fluent in Spanish, you should ask the promoter to get you the contract both, in Spanish and in your native language, for all legal transactions to be performed.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Recommendation # 3</b> : Once you reserve your property, immediately ask for a receipt and the signature of the Promissory Purchase-Sale agreement.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Recommendation # 4</b> : Once you have signed this agreement, double-check the deadlines for the subsequent down payments of your property. If you miss one of these, you are exposed to lose the money already paid to the promoter.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Recommendation # 5</b>: Try to take a quick decision on acquiring the property; given that once you reserve it, the price is then frozen. Due to the current demand in the market, prices on apartments rise at a monthly rate.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Recommendation # 6</b>: Once you reserve your property, look for the professional advice of lawyers or real estate brokers, in order to verify all documentation and contracts are due to the procedure of registration.</div><div style="color: #333333; font-family: Arial; font-size: 12px; line-height: 1.5em; margin-bottom: 1em; padding: 0px; text-align: justify;"><b>Recommendation # 7</b>: Think about the possibility of acquiring your property through a Panamanian corporation. They are of fast incorporation, considerably cheap and easy to manage. Using a corporation to acquire a property in Panama will ease a future transfer of it, if that's the case.</div>Unknownnoreply@blogger.com0