What is Real Estate

Writen by Joel Teo

Investing in real estate is a highly lucrative venture that has helped scads of people to rake in loads of money. Though the profession may seem delectably easy, it's certainly not for everyone. Real estate business also fosters several unscrupulous swindlers who make their living by duping newbie investors. Therefore, fresh entrants into the field of real estate must learn how to discern a genuine opportunity from a fake one.

Investing in real estate involves an awful lot of work, especially at the outset. So, it's only for the serious few who are prepared to face the challenge and the uncertainty of the market. Wannabe investors must have access to the following when they embark into real estate investing:

• Investors must have a significant working capital. It's true that there are several finance firms that can lend you money for property investment, but you sure won't wish to be in too much debt to start with.

• You must have a good grasp of the real estate market and the legal procedures pertinent to the trade. In addition, possessing knowledge about the region in which you wish to purchase property is equally crucial.

• Smart asset management and superlative negotiation skills are pivotal for investing in real estate. You would have to convince the homeowner to sell the property.

• Access to a work force that can quickly spruce up a fixer-upper or another property that might have suffered some damage. Be it any trade or discipline, a quick turnaround is a plus.

• A professional property inspector is always helpful when a distressed property needs to be inspected so as to ensure that it's a viable deal.

As a newbie, you are most likely to follow the old-fashioned technique of buy-and-hold. In such a scenario, you would serve as the landlord for the property. The property would normally experience appreciation over time, and you may sell it after it has risen to a certain preferable value. During the time you hold the property, you may rent it to a tenant, thereby generating another monthly source of positive cash flow.

Having gained experience investing in real estate by following the above technique, you can move over to more lucrative deals, such as fixer-uppers and foreclosures. Finding these can be tough, and hence you would invariably require the services of a professional bird-dog (one who finds lucrative property deals for investors).

On the whole, investing in real estate can lead to ample gains. But it is imperative that you have the above outlined real estate tools in your arsenal.

Copyright © 2006 Joel Teo. All rights reserved. (You may publish this article in its entirety with the following author's information with live links only.)

Joel Teo writes about making money with Property Investment. His site, http://www.RealEstateInvestment101.info provides a wealth of informative articles & Tips.

Writen by Suzie Shannon

Happy New Year,
Make it a better world. "Pay it Forward" as in the movie. If you haven't seen it, do!

Welcome,

Basically, almost everyone wants to buy a house and honestly everyone of legal age and competent mind can if they have the will and knowledge. Sure you can buy all the get rich schemes on the web and off the high intensity infomercials but do they really work for everyone? Or do most of them end up on a shelf? Check Ebay when you get done here. It is unbelievable that people pay hundreds of dollars for these so called courses with dreams of making fortunes and then auction them off for 30-40 dollars. That was a terrible investment. They would have fared much better by taking legitimate courses or at least not spending their money.

You may ask, how does one buy a house without money and good or any credit? No joking around Donald Trump does it every time, using other people's money. If you try hard enough you can find someone to sell you their property with owner financing. You just make arrangements with them for the sale price, the interest rate and term. You and they may prefer a short term loan, say ballooning it in five years. This means you make the regular payments for 60 months. This should be adequate time to get stable income and credit, even if you have filed bankruptcy. Of course there are many more ways of acquiring real estate.

Would you consider selling your own property, or does it scare you to death. It really isn't that big a deal or a lot of dumb agents wouldn't be doing so well. Do I sound disgusted with some agents? I am. As an appraiser and broker I have seen a lot of corruption and it enrages me. That's one reason we decided to do this. But, if you are working with an agent, hopefully you spent some time selecting a good one with an impeccable record. In today's market contracts are received within minutes of placing a sign in the yard. Contracts are available on-line, at the office stores and in the library. The average real estate sales commission is 6%, which most people don't know is negotiable. By law there is not supposed to be a set amount across the board. Many times companies offer lower commissions and then some agents won't show the property and are even bold enough to say so. They will show new construction which is typically 5% but nothing else.

If you choose to sell your property here are some starter points. Make it look good from the street. Decisions begin right there. Many times a purchaser will take one look and say no. Make your schedule very flexible so when they want to see it they can, or they'll move on. Clean the clutter and dust. Have some coffee brewing or some bread baking. Let the people freely browse the house with you. Don't lead them. Many times your familiarity with the house causes you to just rush through, but they need time!

Suzie is a licensed real estate broker and certified residential appraiser with 20 years of experience who hopes to improve the industry one step at a time.

http://www.freewebs.com/realestatenews/.

Writen by Alan Forsyth

Buying Off Plan

It can be difficult to decide when every deal seems to be not to be missed!

There are some key things I look for when buying off plan, whether it's in the UK or abroad it makes no difference.

The property must be good value now ie it compares favourably with similar properties today, and is not based on properties going up in value 10% each of next 2-3 years.

Supply and demand – this is vital. What is current supply and demand? What will it be when complete? If market is already looking saturated now, will it be any different in 2 years? What development is planned in area in the meantime?

Market forces – will demand grow? Decline? Who is the market? Young professionals, holiday makers?

Interest rates – what are current interest rates? Are they likely to go up/down?

Tax efficient/costs – Tax can often be your biggest expense. What are property taxes like in the country looking to invest in? What is most tax efficient way to buy ie joint names, limited company? What are other taxes like? Eg Capital gains tax, wealth tax, inheritance tax, income tax.

Location – obvious?! One development may be 20% cheaper than another, why is that? Which will go up in value by more? What attractions/amenities are there now/will be there on completion?

Payments – what is payment structure? Is this best way to leverage your money?

Independent lawyer – would always get an independent lawyer from the developer. Once have a good lawyer can trust, stick with them!

Does price cover everything? - eg air conditioning, swimming pool, car parking?

What is economic situation in country? What is likely to be over next 18 months-2 years? Is it stable?

What is size of development?

What is the build quality like?

What is the size of developer? Are they likely to go bust? If they go bust is your money secure? How long have they been around for?

Will the developer keep in contact during build period? Will they help with your strategy/exit strategy?

Exchange rates? If have bought in a foreign currency, what is likelihood of changes in exchange rates? Can you minimise the risk?

And once have asked all these questions should help form an answer!!

As with any property purchase, you should be pleased with the value when you buy, and also have an idea of the way the market is going over the build time – you do not want to have a BTS strategy and get to completion date to find out no-one wants to buy your property at the price you hoped for, as supply outweighs demand, or get hit with higher tax bill than expected. Or go in with a BTL strategy and then find out yields are much lower than you need to cover costs. This may seem obvious, but many people make these mistakes.

Alan Forsyth is a full time property investor and developer with 10 years experience in UK and overseas. He is managing director of http://www.property-investment-tips.com which offers free independent advice and tips on property investment, courses, countries, strategies, mortgages and much more - with a free newsletter every 3 weeks giving latest tips and offers to over 500 investors. Sign up today at the site for free independent advice!

Writen by Teri Eckholm

Considering remodeling your current home but are concerned that the investment might outweigh the value added to your home? If you are considering a kitchen remodel, it could be an excellent investment.

I always tell my clients considering putting their homes on the market, that kitchens and bathrooms sell homes. A recent report from National Association of Realtors (NAR) agrees. In late December, the NAR released the 2005 Cost VS Value Report for home remodels. This study looked at cost data, resale value and percentage recouped for 18 different projects in 58 housing markets across the United States. With major, mid-range kitchen remodel, a homeowner can expect to recoup almost all of their expenses with an average 92 percent return on investment. This is up from 66 percent in a similar study in 2002.

Before a considering remodeling your kitchen, you need to understand "Why" you are undertaking this project. Is it because you trip over yourselves in the kitchen in a home you love and plan to stay in forever? Or is it because you plan to move and the 1970's orange counter and olive green appliances are too ugly to get the best price for the home. The approach to the perfect remodel will be different if you are planning to stay in the home for the long term.

Family Lifestyle Inventory

If you are designing the perfect kitchen for your family, take a lifestyle inventory. This is a process where you answer questions to understand what will be the most important needs specific to your family for the new space. It will help you and your designer to incorporate important details into your plan.

Consider cooking habits: One cook or two? Baker? Left-handed? Do you do dishes as you cook? Lots of Gadgets? Buy in Bulk? One oven or two?

Consider eating habits: Family gatherings? Everyone for themselves? Eat outdoors? Need morning sunshine? Entertaining?

Other Considerations: TV in kitchen? Computer or home office needs? Homework? Laundry? Will the family grow? Older relatives? Handicap Accessibility requirements?

All of these are things to consider when making a decision on whether and how to remodel your kitchen. Work with a designer or use a remodeling design software that will take into account the important specific needs of your family.

Trends for Today's Kitchens

For a remodel to add value at resale, you must consider current needs and trends. So what are the hot for trends for kitchens today?

Open to Family Room or Great Room

Maple cabinetry is a first choice. Cherry is a close second. Painted or enameled are also desirable. A variety of heights, lots of moldings, cabinetry looks and no soffits are the trends.

Modern Stainless Steel Appliances. Cook tops separate from ovens.

Breakfast Bar/Informal Eating Area and multi-level counter tops.

Office/Communication area.

Access to Deck or Patio for Outdoor Entertaining.

Stainless steel sinks with instant hot water systems.

Pantry or Other Easy Access Storage.

Multiple types of Lighting (Bright for tasks, Indirect for mood).

Windows for Natural Light.

For natural wood flooring oak is the first choice for durability. Laminates are also very popular.

Granite or Quartz-based granite clones for counters or islands (Zodiac, Cambria, Silstone). Too expensive to do the whole kitchen in granite? Consider just the island in granite and the bulk of the counter in a complimentary colored laminate.

Ceramic tile back splashes.

Stick to Your Budget

It is easy to get caught up in the remodeling process and go over budget. Take time from the start to reflect on your family's needs and reasons for the remodel. Consider options that make the most sense for your family, budget and neighborhood. Make certain that the kitchen isn't build way beyond the quality and value of the rest of the home. Remember remodeling for family use will cost more than a remodel for resale.

If remodeling specifically to put your home on the market, take into consideration the quality and condition of the home. A good Realtor who knows your market can assist you here. If you are in an upscale neighborhood where homebuyers will expect high-end quality, don't make discount-store decisions. Likewise, if your home is in an area of modest or lower value homes, skip the cherry cupboards and granite counters. Understanding the market place you are in will help you to recoup the most from your investment.

Spending a little extra time in the planning stage can reduce the headaches and heartaches of a construction project that does not meet expectations. Taking your time will allow you to make the wise decisions that add value to your most important financial investment, your home.

Copyright 2006/Teri Eckholm

Teri Eckholm is a Minnesota Realtor with Keller Williams Premier Realty serving clients in the Twin Cities metro area for over five years. Selected as a 2004 and 2005 Super Agent by Mpls/St. Paul Magazine and Twin Cities Business Monthly, her extensive sales and marketing background has allowed her to assist hundreds of clients move from across town and across the U. S. Find additional information on Teri and the Twin Cities metro real estate market at http://www.terieckholm.com

Writen by Diane Sims

What is a loft apartment? At the most basic level a loft apartment differs from a regular apartment because of the open layout. Lofts are open floor plans with few if any walls separating the living, dining, living and sleeping areas. The open floor plan of a loft gives it a stylish look that many residents enjoy.

In general loft apartments are older buildings that were once commercial properties. In the last 5-10 years many historic and industrial buildings that were once vacant, have now been converted into upscale loft apartments. The development of loft apartments has been a boost to local economies, revitalized downtown areas, and brought new life to historic districts.

Lofts are normally 4 to 12 story buildings, with sometimes higher than average ceilings. Large windows are often a feature of lofts and the interiors are designed to provide the occupants maximum access to exterior light.

Interior layout and design are usually a important key feature of loft apartments. Many lofts have hardwood floors, natural brick walls and exposed ceiling beams. Particular attention is also paid to hardware details such as fixtures and lighting.

Many loft apartments are located near business, nightlife and entertainment areas. Because of the urban locations loft apartments are often favored by young professionals and business people. The luxury of loft apartments also appeals to the style conscious and art enthusiasts.

In New York City there are many lofts in the Soho, Tribeca and Chelsea districts. Some lofts especially in arts districts have tenancy regulations such as status as a full-time artist. There are also many loft apartments of other major US Cities, such as Chicago, St. Louis, Houston and Dallas.

Diane Sims provides information for apartment hunters, and people seeking to buy or sell a home in Texas. More information is available at: Houston Lofts and Dallas Lofts

Writen by Sanford Rosser

Whether you're a "move up" home buyer, downsizing, or relocating to the metro Atlanta area, you'll find a diverse range of home styles and price ranges just north of downtown in the Marietta – East Cobb, Roswell, Alpharetta corridor. Featuring affordable single family homes, condominiums, townhouses, and luxury real estate, these communities also offer great schools and unbeatable location.

East Cobb is truly the hidden gem of the local real estate market. Without a large highway, neighborhoods and homes in this part of Marietta offer a peace not often found in metropolitan areas. As such, families often choose East Cobb for its kid friendliness and reputation for having top public schools. The hallmark of east Cobb real estate is its exclusivity and low Cobb county taxes. New construction homes in east Cobb differs from the rest of Marietta – it has become difficult to find a new home for under $500,000 in this area. Resale homes can be found in almost any price range in the east Cobb. Real estate values have done very well in the last few years and show no signs of slowing down. While unique restaurants and nightlife are not abundant, many are within driving distance of most any East Cobb neighborhood.

If you're looking for the classic Southern town that has a mix of newer and older historic homes, look no further than Roswell Georgia. Real estate in the historic district dates back to before the civil war. A quaint and quiet downtown area features antique shops and top quality restaurants and cafes. Featuring access to GA 400, historic homes, and a nice diversity of new construction homes, Roswell real estate is a testament to historical preservation. North of downtown, the Crabapple community features newer homes with modern amenities, great schools, and a variety of shopping centers.

Alpharetta is one of Georgia's most unheralded success stories. During the last 20 years, the Alpharetta real estate market has exploded with growth. New homes are going up at a tremendous rate and showing no sign of stopping. People who have bought homes and real estate in Alpharetta chose it for it's unbeatable modern shopping and convenience. Everything in Alpharetta seems new – from its shopping centers and restaurants to its homes and office buildings. In the beginning, most residents of Alpharetta used to live there and commute to downtown. Today, we're seeing people start to commute to Alpharetta from surrounding communities because of it's growth.

Whether you're looking for family neighborhoods, historic homes, or something new and exciting, East Cobb – Marietta, Roswell, and Alpharetta Georgia have something to offer everyone.

Sanford Rosser of Heritage Real Estate Brokers. Visit our Atlanta Real Estate site to search for homes currently for sale in East Cobb, Marietta, Roswell, and Alpharetta Georgia.

Writen by Doug Lasley

Here are just a few of the many reasons why:

-Rapid Real Estate Appreciation Rates. (Number 1 State in the US)
-Population Growth - Supply & Demand - Fastest Growing State in the US.
-Huge Pent up Demand for Affordable Housing.
-Affordable Prices. (relatively undervalued land - low construction costs)
-Baby Boomers Trends.
-Number 1 Retirement Destination.
-Year Round Fantastic Weather.
-1,200 to 1,800 miles of coast line. (some of the best beachs in the world)
-Number 1 Tourist destination.
-International Appeal.
-Tremendous Business Growth. (Pro-Growth Government)
-Landlord Friendly State.
-No State Income Tax.

Florida's Real Estate Investment Market

Will the rising prices in the Florida real estate market continue, or will this bubble burst? During a time that has seen the largest piece of land being purchased in Florida since 1965 (which, by the way, was when Walt Disney bought 30,000 acres in what is now Orlando), most real estate investors are wondering how much longer the trend will continue. We are happy to say, we believe it will last for quite some time and this is why:

Savvy real estate moguls are purchasing large parcels of land not for the purpose of quickly cashing in on this booming market through the development of new homes and communities. What these developers have realized is that the expected growth in population for the state of Florida is estimated to be an increase of 35,000 new residents per month, with the trend estimated to continue for at least the next 30 years. As the population continues to grow over the next 30 years, these large parcels of land will only go up in value.

What makes this population growth even more impressive is that it is no longer low income retirees coming to Florida, but wealthy individuals looking to retire in the sunshine state (300 days a year of sun). As the first wave of baby boomers reach retirement age, we are seeing that they possess 70% of the nations' net worth. As this group of the population makes up a huge percentage of our countrys' population, about ½ of these people have no intent on staying in their current location, but are looking to live in places with a high level of "lifestyle" and warmer weather.

With this increase in money coming into Florida with the boomers, business opportunities and job growth will not be far behind. With this we see an increase in the numbers of 20 to 40 years odds looking to take advantage of this growth and demand for new goods and services.

One of the best ways to take advantage of this continued growth in Florida as a real estate investor is pre-construction Investing. By locating a preconstruction investment project in an area that is in high demand, or is projected to be within the next couple of years, you will have the opportunity to profit on the appreciate of your investment before it is even completed! Plus with the estimated growth over the next 30 years, this is not a limited time opportunity, but one that should last for at least the next 15 years.

Florida Median Home Sales Price Grows by 27%

Doug Lasley (Broker-Associate) BuyVacationCondos - LANDDepo Call 407-876-5771

info@BuyVacationCondos.com

http://www.buyvacationcondos.com

Writen by Raynor James

Selling your house yourself can be intimidating if you're doing it the first time. Here's how to deal with unpleasant negotiators.

Unpleasant Negotiators

Sometimes you encounter someone who is not going to be happy unless he maneuvers you into accepting less than your home is worth or doing things for his benefit that are unreasonable. Then what? Well, first let's discuss the most common forms these nasty types take and then we'll talk about what to do with them.

One frequent form the unpleasant negotiator takes is the person who tries to intimidate you and disparage your property. Red flags should go up if someone works hard at trying to get you on the defensive. I'm not talking about an occasional negative remark. What I'm talking about is a whole string of them and the attitude that goes with it. Even if it's cloaked in the appearance of classic good manners and charm, you're dealing with a rascal.

The second typical form an unpleasant negotiator takes is the "nibbler." You think negotiations are over and that the two of you have come to a mutually acceptable agreement. Then at various points as you progress toward completion of the sales process, the other person "nibbles." They usually pretend they had no idea that the carpet needed to be stretched, the roof needed to be replaced, the crystal chandelier in the dining room did not convey, or fill-in-the-blank, and use that as an excuse to change things. This process can and does continue right up to the point of settlement or the point the deal falls apart, whichever comes first!

The Walk-Away Secret

Sometimes you get these two nasty types in one negotiator, but don't despair. You can cope with them. The first thing you need to do is to stay in a calm, evaluating frame of mind. At each step along the way, ask yourself, "Is this reasonable? Am I willing to do this in order to make a sale?" Proceed as long as the answer is "yes."

Be willing to walk away if the answer becomes "no." I cannot over emphasize the power of "being willing to walk away" from negotiations. Don't read that phrase too quickly. Be "willing to walk away." It is one of the strongest negotiating tools on the planet. It's simple. It does not require being nasty. However, what it does require is that you not consider your home sold (or bought, for that matter) until all negotiations are really over.

Think about it. You put yourself in a "losing posture" with a nasty negotiator the moment you emotionally consider your house sold. So long as you're willing to walk away, you have power that is as strong as the buyer's wish to buy. If such a "deal" blows up, so be it. You weren't going to get what you wanted from it anyway.

Now, a word about "nibbles." There is a civilized way to cope with this. Don't hop into doing it until you really feel it is a nibble or you become a nasty negotiator yourself. However, a nibble can be dealt with by inquiring blandly, "If I do that for you, will you do 'fill-in-the-blank' for me?" Your goal is to convey to the nibbler that each successful nibble will cost him something. Make it something significant relative to the nibble request.

If you don't think fast on your feet, you can always say, "I'll get back to you on that." Don't allow yourself to be rushed if you think best when you mull things over.

Stay calm and thoughtful. No one can force you to make a sale or purchase that's not in your best interest. Keep evaluating the situation, and stay open to the possibility that you may need to walk away until the sale is complete. That way you won't force yourself to do what's not in your best interest either. It's not easy, but it's very simple. Stay in control of yourself.

Raynor James is with http://www.fsboamerica.org - providing FSBO homes for sale by owner. Visit our "sell my home" page at http://www.fsboamerica.org/seller.cfm to list and sell your home for free for one month. Visit http://www.fsboamerica.org/buyer.cfm to see homes for sale by owner.

Writen by Charles Essmeier

If you had the opportunity to buy a television or a sofa at a price that was three times the suggested retail price, would you do it? That scenario may seem ridiculous, but thousands of people do just that every day when they sign an agreement at a rent-to-own store. Rent-to-own, or RTO for short, is a system that allows consumers with little or no credit to acquire furniture, electronics or appliances by renting them by the week or by the month. At the end of the rental agreement, the renter gets to keep the merchandise. The renter may also agree simply to rent the merchandise for an agreed-upon period of time.

While furniture or appliance rental may be suitable for someone who needs them for only a month or so, it represents an expensive way to buy for someone who intends to keep them. A television may seem inexpensive at only $10 per week, but if the agreement requires eighteen months of rental before the customer owns it, the total amount paid will be $780. That would be fine if the television were valued at anywhere near that amount, but in most cases, that $780 will provide a television that sells for only $250 or so at electronics stores. The additional $530 goes to the rental company in the form of profit. Expressed as an annual interest rate, some rental fees can exceed 400% annually.

In addition to the rental charges, the customer will also likely have to pay sales tax, delivery charges and possibly return charges if he or she elects not to keep the merchandise. Late payments may also incur a late fee, provided that the rental company doesn't elect to terminate the agreement and take the merchandise back altogether. In that case, the customer has nothing to show for the money invested.

Rental companies point out that for those who have no credit cards, the RTO concept provides an opportunity to "have it now." That is true, but consumers who have little money would be better off either saving that $10 per week and buying the television in six months' time. Alternatively, the consumer could put the television on layaway at a retailer and pay it off over time. Either way, the consumer would save hundreds of dollars in rental fees.

A consumer who needs furniture or appliances for a short time, such as someone on a temporary assignment to another city, might find an RTO agreement useful in order to avoid living in an empty apartment. But anyone who wants to buy furniture, electronics, or appliances might be better served by simply saving their money until they have enough to buy the merchandise outright.

©Copyright 2006 by Retro Marketing. Charles Essmeier is the owner of Retro Marketing, a firm devoted to informational Websites, including http://www.End-Your-Debt.com, a site devoted to debt consolidation, personal bankruptcy, establishing credit and credit counseling. He also may know something about The Debt Consolidator.

Writen by Scott Boulch

A house properly priced is half sold. But there are plenty of ways to price it improperly.

You can't go by what you paid for the place. Perhaps you bought two years ago when local prices were skyrocketing, and things have cooled off since. Perhaps houses like yours can now be bought for less, and if you hold out for what you paid, you'll just waste your time.

On the other hand, perhaps prices in your area have taken off, and you'd short-change yourself if you just tried to "get my money out" (but you'd have a fast sale).

You can't go by how much you've spent on improvements. A given street will support only a given price range. If you've invested so much that yours would be the most expensive house on the street, the buying public is not likely to reimburse you.

You can't go by your tax assessment figure. Even in communities that aim at full-value assessments, the figures are almost never in line with what buyers are currently ready to pay.

So how do you price your house?

By putting yourself in a buyer's shoes.

What else is for sale in the area? How does it compare with your house? How long has it been on the market? What has sold recently, and how much did the buying public value it at? What has failed to sell in the past year?

Any good broker can furnish the data you need, often in the form of a chart known as a CMA, Comparative Market Analysis.

And once you have it, again think like a buyer. What price would it take for you to look at a list and say to an agent "Take me to see that one"?

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