Tag: Tips

Three Quick Tips To Get Momentum As A Commercial Real Estate Investor

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If you do a little research on the subject, you would find a few books have made it into the mainstream financial press. But most consumers of investment products do not know the basics of how to invest in this government backed and federally funded process of collecting on delinquent taxes.

However, an investor is not guaranteed to get a good return by investing in real estate. Let’s look at the 2008 financial crisis. Some unfortunate investors purchased property just before the crisis hit. They probably observed the housing market and believed that prices would continue to increase. Unfortunately, most of them lost out.

If you are a two-income earning family, with credit scores of 680 or better, and have some money in the bank (or other assets); you would want to take advantage of the ‘buyer’s market’ and buy a home. Good news for qualified buyers – due to the reduced number of people looking to buy homes now, home sellers of higher-end properties are having to drop their selling prices. This means buyers can look at homes that are a bit outside what they normally would be able to afford.

A third benefit of rental property investing is that it is not very liquid. Now some people see this as a flaw. However, this can be looked at from a different perspective. When stock prices fall rapidly investors are often spooked into selling assets. This is easy to do and stock investors will sell at lowest prices rather than having a long term strategy. If you have a property that is providing positive cash flow, you are not usually tempted to sell if some prices fall. You usually wait it out. Unless you are going through a divorce, you can usually sell your property on your terms.

You do not need a lot of money to start with, or know a lot about real estate. I started out with no clue about real estate and only a few thousand dollars to invest with.

The way to do this is to wait until after the tax sale. The properties that actually sold at tax sale tell you two things: first, that they were nice enough for someone to bid on, and second, that they probably don’t have a mortgage. Mortgage companies don’t let mortgage property make it all the way to tax sale. They pay off the taxes in the meantime, and foreclose themselves.

Here was her first shocker. Two of the four tenants wouldn’t pay any rent, and still haven’t since her official possession on November 1st, 2010. One of these tenants even had 3 dogs living in the small apartment. Yikes. So here she has two families paying rent and the two others zero, nada.

Lead Generation Tips For Commercial Real Estate Agents Today

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Client contact, inspections, and negotiation during a listing and marketing process should be comprehensive and complete. Put the client into your efforts so they know what you are doing and why.

Your Credit. Your credit is a key part to the real estate financing process. The better your credit score is, the better your opportunity to obtain the financing that’s important to you and affordable to you as well. Improving your credit will help you qualify for less costly loans.

But, what goes into the purchase of a mortgage? Do you qualify? The key ingredients of mortgages involve several key elements, all of which play a role in the decision to give you mortgage financing.

Trying to find the right way to invest in today’s real estate market is not easy. The real question is whether you want to turn the property over and sell it, or if you want to rent it out for a long time. That decision could influence what type of property you should buy. If you are looking to sell with in a time frame, you should buy a home. You can rent it out for a few years while the market value increases and then sell it for a nice profit. That’s the smart way to do it, and the longer you wait the more value the property would have in a potential sale. On the other hand there is a different approach when you are looking to purchase a commercial property.

Only take on as many rental properties as you can afford. If the rental property mortgage is ,000, and your tenants move out, can you comfortably afford the ,000 payment?

Give some facts regards recent property sales or leasing in the local area. Use facts and locations that the reader can relate to. Always ensure that the facts are correct and that you are not breaching any confidentiality before you put pen to paper.

You can also work with a realtor. Realtor can help you in your quest for Sarasota real estate investing. He can help you to gain some information about the market and the properties for sale in Sarasota real estate. He can show you the properties that you can invest with.

3 Tips For Leasing Commercial Property

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On paper, this looks like they’ve been an excellent property manager with a profitable property. And you won’t know any different until you get into your own Due Diligence.

You need to thoroughly study and understand the pros and cons associated with every property that you are shown by your real estate agent. A big house with an equally big home loan will not do you any good, unless you are a billionaire. Otherwise it will just snatch a chunk of your salary every month. Huge condos and villas often come with a hefty maintenance cost as well which are often equal to a commercial property rent. Think it over before signing the agreement with the seller.

Use the channels of media that create good enquiry and capture the momentum of promotion. Could you say what is better as a promotional tool to use today?

Efficiency floor area ratio is an important factor. Many land lords / brokers give an offhand figure of the floor area. Go by the floor lay out plan. As most spaces leased out are on supper area, floor efficiency ratio changes from one development to another, from ground floor plate area to a higher floor plate. Get the minimum wastage of the space you lease out.

The Global Income ratio effectively computes all income (both business and personal) vs. all expenses (again, both business and personal) that the entrepreneur has. 50% to 60% has been the norm for years, now more and more lenders are demanding 40%.

Repeat customer events and expectations of the property in their own words and in their own way, that the customer can see their full understanding of the current situation. Usually, that includes a summary of the type of property, the location of the property, the levels of improvement, the timing of decisions and the required results.

Before I go much further I will say that ‘vendor paid marketing’ is critical today. A genuine client that wants to sell or lease their property must commit personal funds to the process. The must also commit to an ‘exclusive listing’ with the best agent as part of the process.

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Real Estate Investor Tips – Fix And Flip Versus Rent Out

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If you have an old appraisal on the property, add it to your package anyway. Even though the lender will order their own appraisal, it will be appreciated, such as any comparable properties that previous appraiser used at the time to determine the property value.

Cash flow…, appreciation over time… quality Class “A” commercial investment property. And if you do it right, a high rise condo to boot! What are you waiting for? Let’s do this!

OThe first thing that you need to decide is the type of commercial property you are looking for. Jot down the size, location and the type. It is quite possible that you might need a building, so why then look for office space? You need to be clear of these aspects before starting your hunt.

The build of your fence is another key factor. Fencing projects can involve all sorts of fences. An aluminum ornamental fence is a traditional way to go. A more durable vinyl fence can also be used. You might even consider a chain link fence or a steel fence. These are all good options that can work for different properties.

Do you know people who will say good things about you? Ask them to write up a ‘character letter’ for you. It could even be something unrelated to real estate, such as from a minister or scoutmaster where you have volunteered in the past. Do anything you can think of to help sell yourself to the underwriter. This is not the time to be shy.

For example, if you put down 20% a year ago you will not be able to pull additional funds out and risk have the Loan to Value on a rate and term refinance coming out higher than 80%.

Down the road, I’ll teach students how to own rental properties without stressing out. You do it by building five years’ worth of reserves. Flipping properties is a way to create cash reserves first.

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Tips For Today’s Real Estate Market #9 – Best Ways To Rent Out A Commercial Property

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Only take on as many rental properties as you can afford. If the rental property mortgage is ,000, and your tenants move out, can you comfortably afford the ,000 payment?

There are a lot of ways on how to invest in Sarasota real estate. You can buy property and hold rentals – it can be a single home or multi-units. You can buy houses and lease option them. You can buy or rent commercial property. You can even invest with condominiums. You see, there are so many ways on how to invest, so you have to choose which one you can be best with.

However, if you need only smaller amount, then such an unsecured loan comes without pledging your property. Such a loan can help you in paying off salaries or buying some raw material. Of course, you can start only a very smaller trade. Interest rate on these loans goes higher. The repayment duration ranges up to 15 years or you can repay it earlier.

The smell of tobacco is the number one reason why buyers withdraw. Even if the buyer is a chain smoker, he doesn’t want to live in a home that smells like tobacco. He may be a smoker, but he also wants to live in a clean and good smelling home. As a seller, you must take good care of the cleanliness issue of the home if you don’t want your potential buyers to withdraw.

I go back to the point that relationships in our industry are really important. It can take months or even years with some prospects to get to the point of doing business with you. The ‘cycle’ of commercial real estate is quite long in both sales and leasing.

Refraining from the pre-qualification and the pre-approval process will create problems in the future. These procedures show the true state of your finances and tell you if you are fit to buy a house.

Property valuation, the historical operating financials and potential of a property can help in determining the ultimate value to an investor. Always request the historical operating statements, current rent roll and operating pro-forma in your searches for viable commercial real estate investments. These values cannot be anticipated or calculated precisely enough, a substantial diverse in the valuation procedure must be properly done instead.