Biyernes, Disyembre 30, 2011

Best Investment Real Estate Locations

 Where are the best investment real estate locations? If you have enough experience investing in real estate, you can make money almost anywhere, but there are always places that are better or worse for real estate investments. For maximum profits, you want places that have a better demand/supply ratio. You can use the questions below to find them. 

Real Estate Demand

1. Does the area have decent job growth? Ask local authorities and use census information. Ideally, you want to see job growth equal to or exceeding population growth. You also want areas with professional jobs moving in. It is estimated that for every professional job created, there are four service jobs created, and all those employees need a place to live.
2. Is the population growing? You can check the US Census figures online, or ask the local government if they have the statistics. Stay away from areas that have little growth.
3. Is there a decent quality of life? It's subjective, but important. Are there theaters and bookstores? Count coffee shops and cafes. Trendy areas usually have increasing demand for housing. It's also a good indication of a high quality-of-life if people are willing to take lower-paying jobs just to live there.
4. Is there wealth in the area? It's a good sign when there is some degree of wealth in a town. Look for nice homes. Wealth means everything doesn't die when the economy slows.

Real Estate Supply 

1. Number of homes for sale? Lower supply of homes for sale means upward pressure on prices. This indirectly drives up rents as well, which makes for better investing.
2. New construction? Census figures can tell you what's happened over the last ten years. Check with the local authorities to see if the the number of housing units they've issued permits for is more or less than the expected population growth.
3. Rent and vacancy levels? Rents have to be high enough, and vacancies low enough to justify investing. When we first came to Tucson, every building had vacancies We saw a man holding a sign that read, "Apartment - $250 Per Month." A great place for renters, but not so great for landlords.
4. The available land that is buildable? Of course, less available land is better for future appreciation. When the land runs out, the prices start accelerating upwards.
When you use these questions to compare various towns and cities, you'll see the differences more clearly. You'll have an idea about how housing demand compares to supply in each. This will help you pinpoint the best investment real estate locations. 

Author:Steve Gillman
Directory:Articlecity.com

Huwebes, Disyembre 29, 2011

Real Estate Investment – Ways To Success

 If you ever wondered about the most profitable investment avenue, real estate investment comes out tops. Did you know why? As population rises, demand for services and quality living space is bound to grow. Families would look for residences and business would want more offices. Naturally then, owning a piece of real estate would bring higher returns in the form of rental income and capital appreciation over time to beat inflation.

Before you jump at the friendly next-door real estate agent with dreams of cornering a property in the most glamorous district in the city, do your groundwork well. Here are three simple ways to success with real estate investment.

• Determine your time span and budgetary constraints.
• Do a thorough research on the investment.
• Stay motivated to make real estate investment an ongoing habit.

The first step in your attempt to invest in property consists of making a realistic estimate about your finances. You need not save up for the entire value of the property. Even if you decide to purchase a mortgage, the lender would first ask for your financial position. So, calculate your present and potential future earnings, deduct living expenses, payment for other debts and outflows for savings. You can find out the sum you would be ready to pay monthly towards home purchase.

You should calculate the probable number of years for which you could invest in real estate. This puts a dollar value on your capacity to invest and removes ambiguity.

The second step is the most crucial and time-consuming. You must perform a detailed study of the trends in the real estate market. A few rules of thumb are:

• Concentrate your search closer to your area or at least within your state.
• Look for growth potential in upcoming areas.
• Personally inspect the property and the area a couple of times before making the decision.
• Consider areas with good infrastructure as these bring higher rentals.

Investing in real estate should not be a one-off affair. You must imagine property as a component of your investment portfolio. Hence, you must remain an active investor. Keep watching the trend and move out of unprofitable areas to more lucrative ones. Do not be disheartened by the occasional losses. With time and experience, you would make better choices.

Real estate investment calls for careful planning and methodical execution. It is the best way to make your hard-earned money multiply faster and easier. If you did your preparation well, it would be impossible to go wrong. 

Author: Joel Teo
Directory:Articlecity.com

Miyerkules, Disyembre 28, 2011

Benefits of Real Estate Investments Strategies

Real estate investing has offered investors much better returns than most other investment options. Real estate investment is one of the safest investments available. The security of real estate investments is becoming more and more increased these days. Real estate investment is a safe way to start making your personal wealth and retirement finance provided if you act wisely. Real estate investing offers excellent long term returns and sometimes even short term gains. Real estate investing can bring you high profits if you follow certain tips.

Many countries offer wide real estate investment opportunities. Real estate investors can easily find excellent profits in rentals, rehabs and high-end properties. Buying properties to use as rentals is very successful real estate investment strategy. The high-end properties have powerful demand among real estate investors, especially in the most desirable areas, such as Paris. The most successful real estate investment strategy is rehabs. Rehabs are also the most risky form of real estate investments. If there is huge demand for finished real estate properties, the opportunity for real estate investors increases widely. Finished real estate properties provide excellent opportunity for real estate investors who are willing to rehab and then rent or sell properties. Real estate investors who want to sell a property after grasping it for only a few years can benefit from this type of real estate investment strategy. Real estate investors who rehab properties can either sell or rent the rehabbed properties for a worthy premium. Real estate investors can buy a run-down property in a main location at a cheap price, remodel or modernize it and then resell or rent it successfully.

Flipping, Bargain purchase investment strategy, Increase value investment strategy, Double-digit cap rate investment strategy, and Commercial Real Estate Investment strategy are the other real estate investment strategies. Flipping involves buying and selling real estate property without actually taking ownership of the property. Flipping enables you to make money with real estate without possessing the property. Bargain purchase investment strategy involves purchasing real estate property for at least 20% less than the current market value. Increase-value investment strategy involves buying a real estate property for its current market value, remodeling the property in order to increase its value by at least 20%, and then selling it. Double-digit cap rate investment strategy involves buying a property having a capitalization rate of 10% or more. Commercial Real Estate Investment involves buying commercial properties that are bigger than a 4 unit apartment building. It is better for the real estate investors who are beginners in the field to avoid commercial real estate investment strategy. On the other hand, if you have experience in real estate investments, you can go for commercial real estate investment as the competition is much less.

Different real estate strategies require different amounts of time. For example rehab is really time-consuming. Real estate investors must not choose a time-consuming investment strategy if you cannot spend much time for real estate business. Some real estate strategies require huge amounts of cash. For example, to buy foreclosure properties whereas buying a property at auction requires little or no cash. The different real estate investment strategies provide different benefits. It is up to you to choose the strategy you feel more comfortable with. But make sure you choose the right strategy that best suits you, and work accordingly. 

Author: Jeff Adams
Directory:Articlecity.com

Martes, Disyembre 27, 2011

The Evolving Nature of Property Investment

 It is time that the real estate industry rethinks the way investment real estate is done. For years, every add you see is how you can buy homes on the cheap and sell them immediately at an amazing profit. Here's the issue: that method of investment doesn't work any more. As a matter of fact, when you consider it, it didn't work that well in times past, either. Still, when you talk to the average guru, he still tries to ram the "flip that house" mantra down your gullet.

Fortunately the industry is starting to change. Good agents are learning that a focus on always flipping properties ends in inflated house prices, followed by a crash. They know that gambling on the price of a house is not the best way of investing in real estate.

Several training companies are now teaching classes that promote much more stable real estate investment techniques. For example, one provider of real estate CE credits is now only offering courses based on this long term philosophy. In fact, this educator teaches that real estate should not be run as a gamble, but as a business. When you run real estate as a business, you can make more accurate predictions, effectively manage risk, and dodge the deep losses of the past.

One main factor in this paradigm shift is looking at property operations rather than just comparable prices. Even if your plan is to quickly sell the property, you need to know exactly how much the property is expected to make/lose per month, even if it doesn't sell. Look at all the costs, from mortgage to snow removal to air conditioner. Look at all the incomes a property has, and if it doesn't have any at the present, be very careful. There aren't many financial drains more painful than empty property.

Another teaching of this new investment school is that an investor's focus does not need to be single family housing only. Multi-famly properties like duplexes and apartments can make much more secure investments - if you understand the business. For these new teachers of real estate, there's no knocking door to door telling people that you're there to "help." Nobody every really believes that anyway, and no one is going to thank you for buying their home at less than market just so they can avoid bankruptcy.

Other items in the new philosophy are the facts of exactly what makes a good property. What are the real, tangible benefits of owning a bit of investment property? What are the real tax benefits? And what is the difference between cash flow and income/loss?

As more agents and brokers follow the example of this real estate education company, perhaps the industry will lose the correctly-earned stigma of being shady and unprofessional, because they'll be acting with the long term in mind, not just making a quick buck.

Author:Adam Walters
Directory:Articlecity.com

Lunes, Disyembre 26, 2011

How To Choose Investment Real Estate Property

 The decision to invest in real estate is an important one. When you begin choosing the properties you will purchase, there are several factors you should consider. This article will provide tips for doing so and help you make the right choices.

Consider your goals. If you are planning on purchasing investment property for the purpose of renting it out, think about the market you wish to target. If you don't have a lot of money for getting started, you may need to purchase small homes that will be primarily rented by an individual or couple. These would be more like starter homes and would usually contain two to three bedrooms. The square footage would not be all that much, but they would make great first investments. They would also make wonderful homes to renters looking for a good deal without having to spend a lot of money each month.

Consider the renter's market. If rent is high in your area, you'll need to charge the equivalent in order to provide great value and make the house inviting. If you go too low, potential renters will wonder what is wrong with the property or the area. While the price of real estate will fluctuate, rent often remains relatively the same.

Consider what your house payment will be and compare that to the cost of rent each month. You want to take in more than you are sending out, so make sure the rent you receive will be more than your monthly house payment. Otherwise, you are just renting the house to pay for it and you won't be making any money from the venture.

Make a sizable down payment. This will decrease your house payments and enable you to make more from the rent. The more you are able to put down, the more your monthly payments will decrease.

Consider any repairs that will need to be performed on the investment property before purchasing it. This is important because you must be able to make those repairs. If they aren't necessary you could go ahead and rent the home, but you would be better off to make any improvements first in order to raise the value of the home. This will also help you tremendously when it comes time to sell.

Use the money you make from one home to purchase another. This is how you will grow your investment property business and really begin seeing a profit. The more you make the more you can save. You will need to put some of that money back into homes and other properties for improvements and renovations, but if you choose carefully, you may find homes that don't actually need many repairs or updates. This will allow you to use your money toward down payments and other fees associated with buying and selling property. It will also give you a repair fund you can use when work does need to be completed on investment property you are renting. 

Author:Jack Bosch
Directory:Articlecity.com 

Biyernes, Disyembre 23, 2011

Finance Your Real Estate Investment Properties

 Unlike traditional residential real estate mortgages, real estate investment financing is way more creative and offers more options than you think. The golden rule in real estate investment is OPM (Other People’s Money).
I have enough money; shouldn’t I buy my real estate investment for cash? No, I absolutely advice against investing large sums of cash into a single real estate investment. There are two reasons why not. First, you give away most of your profits by not leveraging your real estate investment. Second, it is far too risky to put every egg into one basket.
Let me explain the leverage issue for a moment. I will give you an example of a $100,000 investment property that typically increases its value (appreciates) by 7% average a year. Maybe more, maybe less depending where you live. Paying all cash for this property will yield in a 7% appreciation profit plus the net profit from renting the place. Now you’re looking at roughly 15% of returns.
If you’re conservative with your investments you might be satisfied with this kind of a return. These days you might get equal or better returns with other conservative investments minus the hassle of being a landlord. But you don’t mind being a landlord, because you understand and utilize the leveraging method with financing your real estate investment.
With the example above you will make roughly $15,000 a year in profits from your investment. Now let’s take a closer look at what leveraging can do for you. Today a typical real estate investor can get financing as high as 95% - 97% of the purchase price. Occasionally 100% financing is available as well. But this would be totally unfair in this example to compare this with all cash purchasing.
15% return sounds like a lot, but wait till you see this. Let’s assume that the rental income will cover all your expenses including the mortgage payments. Taking the same example from before your net return would be the 7% appreciation profits of your property. This would translate into a $7,000 a year profit. With a 95% financing in place you would get $7,000 return on $5,000 (your 5% down payment) invested. This is a whopping 140% return on investment.
With the same $100,000 you can go out there and get 20 investment properties, finance 95% of it and make an amazing $140,000 profit a year. This beats the projected $15,000 profits with an all cash transaction any day.
Of course you will have a lot of trouble to get financing for 20 properties in a single year. Typically 5-6 new rental property mortgages are the maximum lenders will allow these days. This is the signal to get creative with your financing structures.
In this case sellers financing would be your key to achieve your goal of maximum leverage of your investment dollars. Despite the message from all these late night infomercials, seller financing is harder to get than they want you to make believe it is.
It all depends on the seller’s ability to offer seller financing and the seller’s motivation. Only about 1 out of 20 properties for sale are able to get seller financing. That means that there’s no mortgage balance on the property. From this narrow selection the seller must be motivated to sell under these conditions. This could be tax reasons, time constraints, personal reasons and many more.
As you can see this translates into a lot of work to achieve your goals. But let me tell you one thing. This separates the tire kicker real estate investors from the real go-getters. Wouldn’t you agree that a little bit of hard work and determination is well worth it to build a real estate empire?
I think it is well worth the trouble and hard work. At the end of the day you keep building your real estate investment portfolio and sooner than later you will be able to cash in. 

Author:Peter Dobler
Directory:Articlecity.com

Huwebes, Disyembre 22, 2011

Real Estate Remains A Strong Investment

Opportunities to make big, quick profits in residential real estate tend to come and go in cycles. When a local market is hot, families may find it possible to buy a house at an attractive price, fix it up, and watch its value rise in just a few years.
When the same local market is at the low end of the appreciation cycle, reaping a profit on the family home can take a good deal more time but the reward can be just as satisfying if price and location and carefully considered.
Even in uncertain economic times like these, history shows that real estate is one of the soundest investments a family can make. During the Great Depression of the 1930s when the stock market plummeted as much as 89 percent, housing prices dropped only 39 percent. According to most of the research on housing trends, prices continually stay at the same level as, and most often appreciate faster than, the rate of inflation. Housing prices actually rose an average of 10 percent during the recessions of the mid-1970’s and early 1980s.
CENTURY 21 statisticians report that the rate of home appreciation since 1990 has been around five percent nationally, with inflation hovering around four percent. Homeowners, obviously, are still staying ahead in the real estate game on average.
And, with mortgage interest rates the lowest they’ve been in two decades, real estate today is a more attractive investment than it’s been in years.
First-time buyers are the big winners in this environment. Drawing up a budget can help you and your family decide on what you can afford. Once you’ve determined a price and picked your desired community, shop around to find the best house you can buy for your money. This strategy can help you realize greater appreciation two or three years down the road.
This is also a good time to purchase a second or vacation home. A bargain cabin in the woods today might bring an excellent return when housing prices move upward. Affordable second-home prices also allow you to purchase a vacation home that can serve as a stepping-stone to a larger retreat in the future.
But appreciation isn’t the only advantage to buying a home. The federal government thinks home ownership is so important to the future of our country that it allows mortgage interest to remain the last substantial tax shelter for families. Owners can also take deductions on their property taxes. And, the profit on the sale of your home remains tax free as long s you buy a house for a greater or equal price.
So before you decide that this is not a good time to invest in residential property, re-examine the financial benefits of owning your own home and put them to work for you. 

Author: W. Troy Swezey
Directory:Articlecity.com

Miyerkules, Disyembre 21, 2011

Real Estate: A Strong Investment

Description: Even in uncertain economic times like these, history shows that real estate is one of the soundest investments a family can make. Also remember that the stock market is not the only place where people can make their fortunes. And also, you’ll hardly ever hear of real-estate investors who’ve gone bankrupt, unlike stock market investors.
Even in uncertain economic times like these, history shows that real estate is one of the soundest investments a family can make. During the Great Depression of the 1930s when the stock market plummeted as much as 89 percent, housing prices dropped only 39 percent. So, according to most of the research on housing trends, prices continually stay at the same level as, and most often appreciate faster than the rate of inflation. In fact, the prices of houses actually increased by 10 percent during the economic recessions of the mid-19702 and the early 1980s.
The last downturn of the global stock market resulted in millions of investors who got their fingers burned. Overnight, life savings were eaten away, retirement funds went into decline and the economic forecast for all of us who had any money invested in stocks and shares was gloomy, to say the very least. And as a direct result, investors sought alternative asset classes to invest their hard earned money in. This has led to a global boom in real estate markets and property prices, and has spawned a generation of budding real estate investors.
However, the opportunities to make big, quick profits in residential real estate tend to come and go. If the local market is hot, families might get to buy and sell a house at a profit. but, if the market is not so hot, there are chances that you’ll have to hold on to the house for a longer period of time before selling it or at least till the market turns.
Tips for First-Time Real Estate Buyers
If you play well, you can be the big winners in this current environment of boom. However, it’s important to draw up a good budget to help you decide what you can afford. And, once you’ve determined a price and picked your desired community, you can shop around to find the best house within your budget.
However, for those of you who’re still uncertain about how to go about it, there are five things that might just help you close a great deal. While deciding on the house to invest in, never make the mistake of assuming anything. Instead get help from an expert if you’ve any doubts. Also, it’s important to set a realistic budget and stick to it. You also need to consider every single area of cost and payment to make sure that there are no nasty surprises on the way.
More than Just an Investment
Residential real estate is more than just an investment. For example, if you purchase a vacation home, it will not only be a great deal when housing prices move upwards, but it can also be a place for some great vacations for your family and you.
Also, there is another advantage. The federal government believes that home ownership is so important to the future of our country that it has allowed mortgage interests to remain a substantial tax shelter for families. So, homeowners are allowed deductions on their property taxes. And, the profit on the sale of your home remains tax-free as long as you buy a house for a greater or equal price.
So, before you decide that residential real estate investment is not exactly your cup of tea, re-examine the financial benefits of owning your own home. Also remember that the stock market is not the only place where people can make their fortunes. And also, you’ll hardly ever hear of real-estate investors who’ve gone bankrupt, unlike stock market investors. 

Author:Naomi Warne
Directory:Articlecity.com 

Martes, Disyembre 20, 2011

Real Estate - A Key Ingredient In Your Investment Portfolio

 There are a staggering number of different investment products that are available to investors today. Each one comes with different risks and with these risks comes differing rewards. One can feel that in order to understand each type requires an advanced degree, but you can improve your odds of success by doing your research.

You may have been aware of some financial advisers or institutions talk in regards to having a diversified portfolio. The thinking goes that to hold different types of investments better protects your money and maximizes your profits. You can think of it as being a multi-pronged strategy to investing. Savings, stocks, and bonds are considered to be just one kind of investment.

The next kind of investments are known as commodities. Some examples of these are items like gold, silver and oil. They can bring in very high returns but high returns are accompanied by higher risk. Commodities are generally left to the experienced investor who has the ability to closely watch the market since they are very volatile.

Real estate has traditionally been a solid investment but not everyone has the capital to go out and start buying property. To apply the New York residential real estate market as an example the average value of a property is over $300,000 with commercial properties being even more. But there are other ways to invest by using Real Estate Investment Certificates or REITSs.

These companies have the job of buying interests in or properties like malls, motels and hotels, office space or mortgages. As an investor you are able to select which kind of REIT you want. Equity REITs are investments in property. The rents that are charged makes then money. To use New York as an example again you may have shopping areas with a Wal-mart, Home Depot, Payless shoes etc. that are all leasing buildings from the property owners. All together these New York properties are all making money from rents for the REIT and its investors. The second type of REIT involves the lending of mortgage funds generally to developers or property owners. If you don't know which one you prefer you can choose to get a hybrid REIT which is a combination of the two.

One risky kindof real estate invest is known as an option. This is simply a purchaser is making what's known as an "option for consideration". The option entails an offer to buy a property as long as certain conditions are fulfilled such as financing or inspections. During this time the property is taken off of the market in return for a small amount of money as a deposit. There is a risk that if the conditions are not fulfilled the potential purchaser may be forced to forfeit their deposit. On the positive side the purchaser could earn a quick and substantial profit if they can quickly sell their option to a third party. carrying this out successfully means a thorough knowledge of the market and a fair amount of research.

It can be complex at times but the more you learn the better off you will be. Long term investing is the key and real estate has been shown to be a great vehicle for investors and even with the many possible risks involved it is thought to be the least risky when set side by side with other types of investments. This makes it is a vital component of any portfolio. 

Author: Stefan Hyross
Directory:Articlecity.com 

Lunes, Disyembre 19, 2011

10 Tips for Successful Real Estate Property Investment

Just because real estate prices seem to have hit a temporary ceiling in many countries around the world, that doesn’t mean that profits from property investments are hard to come by.
Even during a real estate market slowdown, stagnation or depression profits can be made locally and overseas. This article shows you the top ten tips that real estate investors apply to their property portfolio building strategy to ensure success from their investments.
1) Research the curve - the concept of a property market cycle existing is not myth it’s a fact and is generally accepted to be based on a price-income relationship. Check the recent historical price data for properties in the area of the country you’re considering purchasing in and try to determine the overall feel in the market for prices currently. Are prices rising, are prices falling or have they reached a peak. You need to know where the curve of the property market cycle is at in your preferred investment area.
2) Get ahead of the curve – as a basic rule of thumb, professional real estate property investors seek to buy ahead of the curve. If a market is rising they will try and target up and coming areas, areas that are close to locations that have peaked, areas close to locations experiencing redevelopment or investment. These areas will most likely become ‘the next big thing’ and those who by in before the trend will stand to make the most gains. As a market is stagnating or falling many successful investors target areas that enjoyed the best levels of growth, yields and profits very early on in the previous cycle because these areas will most likely be the first areas to become profitable as the cycle begins turning towards positive once more.
3) Know your market – who are you buying property for? Are you buying to let to young executives, purchasing for renovation to resell to a family market or purchasing jet to let real estate for short term rental to holiday makers? Think about your market before you make a purchase. Know what they look for in a property and ensure that is what you are going to be offering them
4) Think further afield – there are emerging real estate property markets around the world where countries’ economies are going from strength to strength, where a growing tourism sector is pushing up demand or where constitutional legislation has been or is about to be changed to allow for foreign freehold ownership of property for example. Look further afield than your own back yard for your next property investment and diversify that real estate portfolio for maximum success.
5) Purchase price – set yourself a budget that will realistically allow you to purchase what you’re looking for and profit from that purchase either through capital gains or rental yield.
6) Entry costs – research fees, charges and all expenses you will incur when you buy your property – they differ from country to country and sometimes even from state to state. In Turkey for example you should add on an additional 5% of the purchase price for all fees, in Spain you will need to factor in an average of 10% and in Germany fees and charges can be in excess of 20%. Know how much you will have to incur and factor this amount into your budget to avoid any nasty surprises and to ensure your investment can become profitable.
7) Capital growth potential – what factors point to the potential profitability of your real estate property investment? If you’re looking overseas at an emerging market, which economic or social indicators exist to suggest that property prices will increase? If you’re buying to let out are there any indications to suggest that demand for rental accommodation will remain strong, increase or even decline? Think about what you want to achieve from your investment and then research and find out whether your expectations are realistic.
8) Exit costs – if you will incur substantial capital gains taxation liability if you sell your property investment for profit, will that render the investment profitless? In Spain a foreign buyer can incur up to 35% capital gains tax, in Turkey on the other hand property sales are capital gains tax free if the underlying real estate has been owned for four or more years.
9) Profit margins – what levels of capital growth can you realistically gain on your property investment or how much rental income can you generate? Work out these facts and then work backwards towards your initial budget to work out your potential profit margins. At all times you have to keep the bigger picture in mind to ensure that your real estate investment has good potential for profit.
10) Think long term – unless you’re buying property off plan and intending to flip it for resale and profit before completion you should view real estate investment as a long term investment. Real estate is a slow to liquidate asset, cash tied up in property is not simple to free up. Take a long term approach to your property portfolio and give your assets time to increase in value before cashing them in for profit. 

Author:Rhiannon Williamson
Directory:Articlecity.com

 

Biyernes, Disyembre 16, 2011

Investment Property: How to Choose a Good Real Estate Attorney

 Protecting your investment property is a main priority. An investor needs to have a good real estate attorney on his side. But since you are not a lawyer yourself, how do you determine who will be the best choice?

First, as always, ask for references. Veteran investors as well as your investment agent will give the best leads. You will want an attorney whose practice is seventy percent or more real estate work. A general practitioner may say he can do a closing, but that doesn’t mean he has the experience you will need to handle your investments. Of course, an attorney who has been practicing for a long time will know his stuff more than someone who has just finished law school. That is not to say a firm that has seasoned attorneys as well as recent law school grads isn’t a good choice. But, you do want to make sure your contracts are being reviewed by someone who has been practicing for at least a few years.

Ask your prospective attorney if he invests in real estate. If he doesn’t, does he have other clients who are investors? Either way, he is sure to understand not only the market but your perspective. You want an attorney who has a lot of experience handling properties similar to your investment property. But, having a wide range of real estate investors will also give him more expertise. A good attorney will no doubt be involved in the local bar association or some other form of service within the legal community. Any professional who is involved in local associations will know his stuff. Your county bar association can help you locate attorneys as well as tell you if an attorney is in good standing.

Also, choose an attorney you feel comfortable with. If a lawyer doesn’t return your phone calls in a timely fashion, he may feel you are not worth his time. A good attorney will treat his clients with respect regardless of how much money they are spending at the firm. Choosing a self-employed attorney or one that works at a small firm may be a better decision than one working at a big firm. Smaller firms can be more motivated and understand the investor’s concerns better because they are business owners themselves. As well, there will not be layers of senior partners needing to manage the account and overcharge you for services. And, ask your lawyer if he likes to work on creative deals such as 1031 exchanges or double closings. You will want someone with flexibility who is willing to make the deal work for his client.

Once you find that real estate attorney you can trust, treat him with as much respect as you expect. And don’t try to haggle him too much on his fees. Make sure you have budgeted for legal fees in your underwriting of your investment. A good attorney can protect your investments and in turn, your financial future. He is no doubt worth every penny.

What do you think? 

Author:Jay Redding
Directory:Articlecity.com

Huwebes, Disyembre 15, 2011

About REITs - Why Real Estate Mutual Funds are a Wise Investment

 You may be watching all of the things that are happening in the economic world these days and wondering if it is wise to jump into the investment market by buying stocks, bonds, mutual funds or anything else traded on the stock market. This all depends on where you are thinking of investing.

While many markets are still very unstable, there is one market that always is a bit stronger than the rest, real estate. If you want to invest, right now is the time to look more closely at real estate mutual funds or real estate investment trusts (also known as REITs). Here's why.

Real estate mutual funds are essentially portfolios that are related to the real estate market. That means they will be funds that are filled with stocks, bonds and other investments, which are real estate related. There are a couple of reasons this is a wise way to go.

The first thing you need to understand about a mutual fund is that this is very different than stocks. Stocks are individual shares in one business or interest. Instead, real estate mutual funds are essentially a real estate portfolio that is filled with a number of stocks and other investments related to real estate. The diversity that is available in real estate mutual funds often offers more security in a fluctuating market.

Another thing to keep in mind is that real estate mutual funds are specifically related to real estate. Real estate is a great asset. Even if the market falls, you still have a physical asset that is being invested in which will always have value. That is something you cannot say about stocks from other business entities. In those cases, if a business fails your money can go with them.

If you are ready to get into the real estate mutual fund market now, you may be very pleased at the returns you see. Right now real estate interests are at record lows. That means there is a great amount of room for them to grow in the months and years to come. Essentially you will be able to do just what all investors want to be able to do, buy low and enjoy the profits to come

Author:Robert Shumake
Directory:Articlecity.com

Miyerkules, Disyembre 14, 2011

Real Estate Investment Courses

In order to help you to get a firm foundation in the real estate industry, it is necessary to have the basic knowledge before any firm step is taken to make an entry into it. A real estate investment course not only provide you with that knowledge, but also train you on the correct procedures that require to be completed in any real estate deal.

There are many companies offering various courses at different levels for anyone interested to gain basic or advanced knowledge concerning the real estate market. If you are new to the real estate market, then these courses can teach you the meaning of various terms such as foreclosure, short sales, lease options, flipping, etc. These courses will also teach on how to identify properties, where there could be high profits with comparatively low risks and also properties that need to be avoided at all cost.

The right course should teach and guide you on to the correct procedure to be followed, while buying and selling properties. It would also teach you to contact the right people, in case you want to pick up a foreclosed property or if you want to buy a property and then lease it out. The right course will show you the right way to research potential properties and use the appropriate calculations, in order to determine the ideal value. It can also show you various ways, in which you could negotiate a better deal with the seller, since you will need different tactics while dealing with regular sellers and distressed sellers.

In case you want to purchase older properties and then rehab it before selling it off, then these courses should show you various ways by which you can identify the right properties and teach you the right method to calculate the actual cost of the property after the rehab. This will enable you to make the ideal offer to the seller after covering your rehab costs and your profit margin. A real estate investment course should also teach you, on how to maintain a positive cash flow, even if things are not moving according to your plan. The course can thus guide you on alternative methods to retain a positive cash flow, until the time becomes right to sell the property.

There are various courses that are offered through various media. The Internet too has innumerable companies that advertise feverishly about the various courses that one can attend. Choose the course that is suitable to the level of knowledge that you have about the real estate industry. Crosscheck the company that is offering the course. Do not get swayed away by fancy wordings or impossible claims. Choose the company that has a long history of offering high quality courses. Check the fee structure and the duration of these courses and join the one that provides the right quality of knowledge and suits your schedule. Many companies also call real estate experts or people that have struck gold in the real estate market to share their experiences during these courses. Their wealth of knowledge can be of great help to you. Such experts can give you critical tips, on how to ferret out prime properties and make killer profits. Many courses also issue a certificate or diploma after completion. Check whether the company is authorized to issue the necessary certificate or diploma, before you enroll in any course.

A good real estate investment course not only teach you the finer details of the real estate industry, but on successful completion, can also provide you with the confidence to actually start dealing in real estate. 

Author:Kim Cherles Petty
Directory:ArticleCity.com 

Martes, Disyembre 13, 2011

Real Estate Investment Forum

Whether you are new to the real estate market or an old hand, there are various issues, where you would appreciate some help, whenever you find yourself stuck with a particular problem. A real estate investment forum could provide you with solutions, which could have otherwise eluded or troubled you.

A real estate investment forum is an informal get-together, where people connected to the real estate industry meet to discuss various problems, offer solutions, give and take advice and also build contacts. Thus, you will find real estate brokers, agents, builders, homeowners, buyers and even various lenders attending various forums in a bid to garner business and solve problems that are put forth.

There was a time, when forums actually meant that people got together for discussions, but that is now being challenged by the new medium for meeting, i.e. The Internet. The Internet has allowed people to conduct virtual meetings and also host bulletin boards, where anyone can post their queries, provide solutions or just try to contact someone in this vast industry. Thus, you might find a homeowner trying to find a contractor to solve his leaking problem or a seller trying to find a buyer for the home. You could also find various legal queries being posted on these forums, where people could ask for help in matters related to mortgage payments or foreclosure.

Many forums also have industry experts on their board, who provide answers to any query that might be posted by their visitors. These experts also share their views and offer tips on how to identify the right property to invest in and also the right time to sell. They explain the investment strategy that was successfully adopted by them and also warn about the potential pitfalls that could bog you down. Most online forums require you to become a member first. This means that you will need to provide your name and email address to the forum. The forum might also send you regular newsletters and inform you of any new developments that might take place in the real estate industry.

However, it is better to do some research concerning the credentials of any online or offline forum before you become a member. In case the forum does not have actual experts, but only has some self-proclaimed messiah dishing out worthless or even dangerous advice, then you would pay the price for following that advice. There might also be some members or founders that might have a vested interest to guide you towards investing in a particular project that might not be suitable for you. It is therefore very important that you get reliable advice from ethical experts.
The interesting part of any query that you put before the forum is that you could get a variety of different answers. While it could prove to be a bit confusing, it might also offer you a solution that you would never have thought about on your own. Many of the answers posted are based on actual experience. Thus, you can gain on other people’s experiences or misfortunes.

Many forums also dwell on specific topics concerning investment. Such forums offer specific advice on flipping, leasing, short sales or foreclosure. Thus, forums can help you to lower your risk, when you plan to invest your hard-earned money and also guide you to take the best route that could increase your cash flow and provide you with the highest margin, when you decide to sell the property.

Author:Kim Charles Petty
Directory:Articlecity.com