All About Realestate

By Donna Robinson

Begin with the End In Mind…

I first read the phrase “Begin with the end in mind” in a Steven Covey book called “The 7 Habits of Highly Effective People”. This expression makes a lot of sense because the fact is, you can”t get where you”re going unless you know where you want to go.

Most new investors understand that real estate is an investment vehicle that makes sense. We all know that many fortunes have been built with real estate. But when you are first getting started, all the available information can be very confusing. I often receive emails asking “what strategies should I use?” or “Where should I look to find deals?”.

One reason these issues are so difficult to understand and sort out when you are new to the investing game is that the answer to the question can be different for every individual.

Seminars usually package information in a “one-size-fits-all” course. Since each individual investor has different needs, this inevitably leaves unanswered questions . Simply put, each person has their own individual situation with regard to credit, income, employment, assets, location, etc. All of these factors can affect your investing choices and objectives.

Adding to “newbie confusion” is the sheer number of strategies. Should I own rental property? Should I fix up and resell? How about Options? Or, how about buying tax liens? There are so many choices, how is one to know what to do when just starting out?

Like any trip, you start out by deciding where you want to go. Once the destination has been chosen, you figure out the best way to get there.
It sounds simple, and it is, but that one act of making plans from the “end to the beginning” will cause you to focus more effectively.

Many of the most successful and wealthy real estate investors built their fortunes with rental property. Some of them own hundreds of houses and apartments. Some of them own commercial properties like gas stations, storage facilities, or office buildings. They each had the same destination, that of cash flow from rental income, but two drastically different ways of getting there.

Frankly, most of the really successful investors are very patient men and women who build their portfolios slowly over a number of years. They are cautious and prudent, buying only when they know the deal is a good one.

Let”s say that your ultimate objective is to achieve $5,000 per month passive income from residential rental property.
Now, think of that objective as if it were a city on a road map.

Most cities have a number of different roads you can take to get downtown. It is the same way with your investing. Different people will arrive at the same destination, each one using a slightly different route to get there.

Once you decide where you want to go, your route to your destination will be determined by your financing options.

If you have great credit, income for which you receive a W-2 statement, and lots of cash for a down payment, your financing options will allow you to take virtually any road you wish. The fact is, good credit and cash will get you where you want to go a lot faster. But it”s not the only way.

If you are credit challenged, self-employed, or lack cash for down payments, your ultimate destination can be the same, but you will need a different route to get there.

Your financing options determine the route you have to take to get to your destination. In essence, the answer to getting started is find out what kind of financing you can get, and then find deals that work with your available financing options.

If you can”t get any kind of financing at all, you can still buy deals where the seller will agree to finance the deal, or some creative scenario where financing is provided without you having to qualify.

If you have great credit and cash – hop on the expressway. Look for any good deal, and take advantage of any good seller financing deals that come your way.

In today”s real estate market, prices are lower than they have been in years, while bank failures and tight credit mean that creative financing solutions are becoming more popular. I believe that we may see more activity in the form of private lending, as players with cash may choose to loan direct to real estate investors, instead of keeping their cash in banks or stocks.

As long as you are making quality real estate investing decisions, and keep your destination in mind, you can have a successful trip down the road to a successful real estate investing career.

About The Author

Donna Robinson is a licensed agent, real estate investor and real estate consultant, located in metro Atlanta, GA. She is a respected authority on the subject of real estate investing and property evaluation. Get her free newsletter for real estate investors at http://www.REIUonline.com

By Peter Vekselman

Rental properties are red hot right now. Every metropolitan area in the country, and many rural areas as well, are experiencing a housing crunch in the form of too many renters, not enough rentals. First of all you should understand that the housing market is tanking; new housing starts are at a low not seen in decades and older houses are sitting on the market, just rotting away with nobody in them.

It is a golden opportunity to become a landlord right now. Being a landlord can be a short-term gig where you purchase property and just ride out the storm while people pay you back on your investment. It can also become a long-term job where you are the landlord to multiple places throughout the country; the choice is yours to make.

First of all, you are going to want to remember the golden rule of real estate; location, location, location. Find a house that is supported by travel infrastructure such as trains, bus lines, freeways, and major highways.

Second, the property should be ideally situated to take advantage of supermarkets, schools, and parks or places of recreation. Finally, the house or property should be close to where the jobs are; in other words, a downtown area or large employer. These three factors will make your prospective house more attractive to renters.

Now that you have your property, you need to know a little about buying it. The over inflated prices are gone. Some houses are straight off the market and have been sitting in a bank”s portfolio for some time. Others are from those people who still think flipping will work in this economy. Both are excellent targets for your future investment. Never go higher than a 15 to 20 percent discount of the asking price. If they balk, you walk. Remember you”ve got the money so you are holding all the cards. Once you have your property, you may need to improve it a bit, but do only what will make the place habitable and moderately attractive; don”t think flip-like improvements.

Now you have your house and you have your location, now you need renters. The majority of renters are hard-working people who were taken by shady lending practices, or perhaps even lost their job and had to take a lower-paying one.

Most renters will have had their homes foreclosed on and their credit rating will reflect that. Some landlords had been using credit scores as a test of the worthiness of their potential renters, but that practice is kind of sketchy now, given the amount of foreclosures and layoffs in recent months. Instead, we recommend you interview them (or have a representative interview them); some people got blindsided by the down turn and even well-respected white collar workers are needing to downsize. Interviewing will be a better gauge of their worth than an abstract number that doesn”t even mean anything anymore.

About The Author

Peter Vekselman has been successfully investing in real estate since 1996. He has completed over 1000 real estate deals, owned a construction company, been a private lender, and owned a property management company. To learn more about Peter please visit http://www.coachingbypeter.com.

By Thomas Pretty

Whenever buying or selling property it can be advisable to utilise the services of estate agents as these have the experience of the complex process and the industry more generally. There is however a number of different considerations that should be made if the process is to be successful. One of these is whether the estate agents are local or not; fundamentally the importance of local knowledge cannot be underestimated.

Using local estate agents is hugely beneficial, the clearest benefit is the local knowledge they will have but an added bonus is that as they are local they are likely to have a local shop. This is important as it allows people looking at properties in the area to see details of your property in the shop window. Additionally however it is important ensure agents will have similar properties to yours on their books.

For instance, it is rarely advisable to utilise estate agents if you are selling a three bedroom terraced home and the agent predominantly deals in large country estates. This works in reverse so it is important to find an agent hat has similar properties to yours, at this stage it is also advisable to ask them what successes they have had with similar properties. This has the bonus that agents with such a previous portfolio will be known locally for selling property that is similar to your own; hence people are more inclined to start their property search with that particular agent.

Ideally around three different estate agents will be used when it comes to getting a property valued. Bear in mind that an agents” valuation is just a professional opinion based upon their knowledge of the local property market and factors affecting the property industry more widely. It is important to gain numerous valuations so that an average figure can be built up, often valuations will differ depending upon the agent.

Even though agents will differ in their valuation figures it is not always the best course of action to simply fall for the highest. Ask agents to back up their claims with proof of previous properties sold in the area, if it all checks out, go for this agent.

It is also worth taking the time to ask estate agents exactly how they intend to market the property. Most agents now realise the benefits of using online property portals as a medium of getting the largest exposure for the house or flat. Despite the modern age however the value of using the local press and the shop window should not be discounted as both can generate a great deal of interest.

Remember that before employing an agent you should keep your cards close to your chest. For example, let the agent tell you how much the property is worth rather than telling them how much you want for it. They are the ones with the expertise and hence they should be doing the legwork.

It is hoped that this article has made it clear how to secure a great service from estate agents. The importance of local knowledge should not be discounted as it is vitally important when selling property; the same applies when buying as a local agent can provide vital information that is difficult to find elsewhere. Make the decisions carefully as property is one of the largest expenses in life, hence it is essential that an agent is only chosen after a detailed and well researched decision making process.

About The Author

Property expert Thomas Pretty looks at the decision making process when selecting estate agents and how buyers and sellers can get the best deal. To find out more please visit http://www.haart.co.uk/

By Art Gib

Utah once saw its home values topping the charts with some of the highest appreciation values around the nation. That was back in 2006. Property values in some of Utah”s most sought after locations are seeing their biggest depreciation now in 2008.

Just like much of the nation, home owners are filing foreclosures at a greater rate than ever before. St. George once saw the highest growth rate in the county; it now sees the highest home depreciation in Utah. Single family homes have depreciated as much as 44 percent in value compared to figures from last year.

New construction for projects that started less than a year ago is more often being abandoned. Throughout the state there are abandoned construction sites and houses still in their skeletal state as building crews are told to hold off while the investor finds new funding resources.

The abandoned property construction is often seen as blight for cities. Sugar House, a trendy district in Salt Lake City, has a large “hole” in its old boutique shopping area located at 2100 South and 1100 East, dug out for future structure foundation.

The investor, Craig Mecham, originally was to build mixed-use structures with commercial retail and condo housing. Now his investors have backed down due to the climate of things so building was stalled. He was later ordered by the city to have building plans by January 1st of 2009 or else.

In another tale of Utah investment property gone wrong is the Cottonwood Mall project, located in central Salt Lake Valley.

General Growth Properties, the new investors of the Cottonwood Mall property, is trying to stave off bankruptcy right now. Now is not the time to finish a big project but they have a whole city waiting on their completion of the new mall – a replacement for the old Cottonwood 60”s era mall that they tore down. Right now Caterpillars and a large gravel lot, several football field sizes large, are all that are there.

General Growth is the nation”s second largest mall builders who are hurting from the heaps of debt brought by soured funding after the start of the big lenders Fannie Mae and Freddie Mac were salvaged by the U.S. government.

It”s like this everywhere in the U.S. but using Utah as a benchmark – a state known for its fiscal conservativeness – it really puts current investment in perspective. But not all is doom and gloom.

Currently Utah”s governor, Jon Huntsman has bonded 400 million with the Utah Housing Corporation. This goes along with the around-the-board budget cut he is proposing with planners for 2009. If there is any state that can weather a recession, Utah will be one to look to for ideas.

About The Author

Offering the highest quality of service and competitive intelligence, NAI Utah (http://naiutah.com/) is a leader in Utah investment property. The author, Art Gib is a freelance writer.

By Peter Vekselman

Real estate investing is something that has caught the attention of many people over the last 10 years. People have started to think that it is something that they want to do. Shows on television that show people who are flipping houses and investing in real estate have managed to become incredibly popular. This is one of the major reasons that real estate investing has gained in popularity. Unfortunately, there are a lot of people who have gone into real estate investing without the proper knowledge. There are a lot of different things that people simply do not realize when they get into the entire process. If you know of all of the different myths of real estate investing, you can know what you may or may not be getting into.

Investing is Easy

When people see all of the real estate investment television shows, they tend to think that it is something that is incredibly easy. They think that real estate investing requires no previous experience, and requires little effort. They think that luck is a big part of the situation, and feel as if they can handle the situation on their own. Unfortunately, investing requires a lot of planning and work to even be slightly profitable; something that many getting into the market fail to realize.

The Cost is Low

A lot of people who think about getting into real estate investing will believe the myth surrounding cost. They think that there is little cost in real estate investing, because you are going from home to home, only paying for specific parts of the mortgage. They fail to think of the down payment for the mortgage. They fail to think about the cost of fixing up and adding to the house in order to make a profit. These are all costs that can be incredibly high; not the low cost that many expect when getting into real estate investing.

Every House is Profitable

When people see the different real estate investing shows on television, they tend to think that they are going to wind up just like those they see on TV. They think that everyone who invests in a home makes a large profit. Some homes will make large profits. Others homes will make small profit, while others will only manage to break even. Some homes even lose money. Knowing the reality of the market can help you to be prepared for the different homes that may not be as successful or profitable.

A lot of people manage to get sucked into real estate investing without fully understanding the gravity of the situation. If you are someone who is considered real estate investing, talking to a professional is easily the best way to ensure that you can be as successful and profitable as possible. By doing so, you can know that no matter the myths of real estate investing, you will be set to succeed.

About The Author

Peter Vekselman has been successfully investing in real estate since 1996. He has completed over 1000 real estate deals, owned a construction company, been a private lender, and owned a property management company. To learn more about Peter please visit http://www.coachingbypeter.com.

By john mce

Divorce is a common reason that endowment policy holders look into getting a return on their investment. Many people tend to surrender their endowments rather than considering selling them on. During the stress of going through a divorce, plus emotional and financial upheaval that goes along with that, most people don”t want the hassle of having to find the highest bidder, and will simply surrender their endowment policy to the company who sold it to them.

However, policy holders could receive up to 25-35% more cash for their policy by selling it to a third party. Depending on the size of the endowment, a thirty percent chunk could represent a huge difference to those divorcees.

What types of Endowments can be sold?
Normally, buyers will only be interested in with-profits policies, as they can allow these policies to mature over time and gain value. Endowment policies which are unit-linked or ”unitised” cannot be attributed a long term value because of their nature.

The Life company who sold you the endowment can effect its resale value, as does the length of time the policy has been under operation and the surrender value offered by the life company. Typically, with-profits endowments which have been in force for at least seven years, with a surrender value of at least one thousand five hundred pounds can be sold on to a third party for more than the surrender value offered by the life company.

How does it work?
In order to sell your endowment policy, you need to provide; the name of the life company, the type of policy, policy number, start and maturity dates, the current surrender value and your personal contact details.

Some companies will provide a quote for your endowment policy within hours, and many offer to chase up the life company for certain pieces of information on your behalf. It makes no difference whether the endowment policy is linked to a mortgage; whether the policy is worth more than the outstanding loan, or if the loan is being repaid in other ways it does not prohibit you from selling your policy.

Endowment policies are generally bought by large institutional investors who hold the policies into the maturity date to maximise the return on their investments. After the policy is sold you have no obligation to pay premiums.

Once an offer has been made for your policy, it needs to be signed before any procedure begins. Then another form needs to be completed along with some additional information and documentations. There are no costs for the admin of the sale, and the process should take about the same amount of time as it would have to surrender the policy.

About The Author

John Mce writes on behalf of AAP. Find out all you need to know about endowment surrender, selling endowments and cashing in policies from the UK largest buyer, AAP.

http://www.aap.co.uk/

By Nestor Santtia

The main goal of a green home is to lessen environmental impacts while creating a healthier and more comfortable home. This is accomplished through several means, but generally focuses on increased energy efficiency, smart water use, use of healthier sustainable materials, and careful site selection to minimize impacts to the natural environment. Let”s review the most common factors in green building and construction.

Energy Efficiency – a green home certainly takes advantage of every possible way to become more energy efficient. From the appliances, to the heating and cooling systems, a green home is designed to be more efficient and less costly to operate–from the ground up.

Water Conservation – a green home will have low-flow shower heads, efficient toilets, and often tankless water heaters. Modern improvements have made these fixtures better so that you can”t even tell the difference (except in the cost to operate, which is lower!)

Air Quality – this is one of the most important factors of a green home. According to EPA studies, indoor air quality can be 3-4 times more toxic than outdoor air! A green home will be properly sealed and ventilated so that the indoor air is cleaner, and thus the green home is a healthier home, especially for children or those suffering from allergies.

Effective Mechanical Systems – A green home will take advantage of modern systems such as heating/cooling, electrical, and even plumbing, to make sure that the most energy efficient and cost effective models are being used.

Good Insulation – proper insulation is important to reduce the loss of heating and cooling. This is also one of the best possible ways to lower energy bills.
Better Building Materials = Less Toxins. One of the ways to make a green home a healthier home is to use materials that have less toxins to start with. A green home will use low emission materials such as no-VOC paint to reduce any toxic fumes or odors into the air. Additionally the home will feature reclaimed, recycled and other environmentally-friendly building materials.

Eco-Friendly Lighting And Appliances – Energy Star rated appliances and lighting fixtures will prove to be far more energy efficient and less costly to operate than older, less efficient models.

Eco-Friendly Landscaping – outdoor considerations in the green home include thoughtful landscaping that minimizes water usage. Less lawn space and more use of xeriscaping, native, drought-tolerant planting, more trees, and drip-irrigation or reclaimed water are just some of the methods used in a green home.

In summary, everything in the green home is intended to improve efficiency, lower operational costs, and reduce any potential negative impacts either to the human inhabitants, or to the environment. Green homes are healthier homes, all around.

About The Author

I”m Nestor Santtia, an experienced General Contractor, Certified Green Building Technical Professional, and proud member of the U.S. Green Building Council. I”m confident in helping you with home energy deficiencies and poor performance. Learn more on my website at http://www.ecorealtor101.ning.com

By Karl Hopkins

In October a buy to let investor was sent to prison for failing to comply with new fire safety regulations. Mehmat Parlak was sentenced to four months imprisonment and his company, Watchacre properties limited, was fined 21,000 pounds following conviction for serious breaches of the Regulatory Reform (fire safety) Order 2005.

The prosecution followed a fatal fire at a Tottenham rental flat some 13 months previously.

Last month another landlord was fined 2,800 pounds by Woolwich Magistrates after admitting 17 offences relating to a three storey house in Blackheath. The court heard that lapses, included failure to fit fire doors and failure to ensure fire alarms were working, had put more than a dozen tenants at risk.

Local councillor O”Mara, cabinet member for neighbourhood services, said landlords ”have a legal and moral duty to ensure their tenants are not put at risk, and the law gives local councils powers to take landlords to court where we consider they are not fulfilling their duties”.

These cases come as no surprise to most fire safety professionals. Fire legislation has undergone dramatic changes over the past decade which have led to confusion about the requirements, the enforcement process and the safety standards applying to different types of premises.

Although compliance with the legislation has been improving within the residential sector, progress has been slow. The tragic incident from which the first prosecution cited above resulted should serve as a timely reminder of both the need for compliance and the potential consequences of doing nothing.

The most significant change made by the Regulatory Reform Order, which came into force on 1 October 2006, applies to multi-occupied residential properties (purpose built flats, conversions and the like). And it was for a breach of this regulation that the recent prosecution was brought.

Fire statistics for the United Kingdom, published by the department for Communities and Local Government (DCLG) show that in 2006 there were 363 deaths from fire in dwellings, of which 111 were within multiple occupancy buildings. In addition there were a total of 11,200 non-fatal injuries recorded. Statistically, most fires involving casualties occur at night.

One only has to consider some of the hazards associated with this type of occupancy to understand why the potential for death, or serious injury is so high. Such hazards can include:

* presence of sources of ignition, such as cooking appliances, smoking materials, electrical equipment, heaters, and candles;
* high levels of readily available combustible materials, such as furniture, curtains, carpets;
* storage, or build up of waste materials within escape routes;
* potential lack of appropriate fire detection and warning arrangements;
* inadequate, or unsuitable escape facilities;
* vulnerable occupants.

A fire risk assessment is a systematic identification of all fire related hazards within a premises and is designed to analyse how those hazards may adversely affect the building and its occupants. It should identify the level of risk that those hazards may present, and also identify suitable control measures for any significant risks.

A ”responsible person” is the person who has ”control” of the premises and it is he or she who is required to appoint one, (or more) ”competent persons” to undertake a suitable and sufficient assessment of all the risks within the areas over which they have control.

The ”responsible person” for multi-occupied residential premises is normally the landlord (or appointed property manager) and the areas that he or she has control over will normally be limited to the common areas of the building. In some cases the freehold is owned by the leaseholders for the building through a jointly owned company. In such instances the ”responsible person” would be a director or directors of the company.

A ”Competent person” is deemed competent, this person must have an appropriate level of knowledge and experience of the legislation, fire safety standards to be applied and the principles of risk assessment.

This person must be able to make appropriate judgements about fire risk and recommend suitable measures to eliminate or manage these risks. In most cases the competent person will be a fire safety professional. In some cases this expertise may be available ”in-house”.

About The Author

This a much more information on UK buy to let investment can be found at http://www.residentiallandlord.co.uk.

By Kevin Curtis

Living in the city is a great way to put some spice in your life. Many people relocate from rural and suburban areas to Minneapolis to enjoy the people and activities that can only be found in a bustling urban area. For this reason, Minneapolis real estate is a hot commodity.

Do you live in a town that shuts down at 10 pm? Ever wish you had more entertainment options? Living in Minneapolis will expand your options tremendously. Musical theater, comedy shows, live bands and late night cocktails are all right outside your door when you own Minneapolis real estate.

For single people, living in Minneapolis opens up a new world of dating opportunities. There are many more people to meet and a great variety of places to explore. Dinner and a movie options are much more diverse when you live downtown. Instead of pasta and the latest blockbuster, you are able to get East Indian curry and a catch a Chaplin film festival when you move to the city.

From coffee houses to book stores to church on Sunday, it is easy to find people to date in the city. Club events are offered every night of the week. Minneapolis nightlife caters to every taste imaginable; whether you like rap, top 40, electronic dance music or even country, you will find it here. If the bar scene is not your thing, try meeting people in the supermarket. You are sure to find that special someone when you are surrounded by over 370,000 people.

Another great thing about living downtown is the ability to network. Coworkers, neighbors and friends are all likely to know single people that you are compatible with, and they are often happy to do the matchmaking for you. Even if you do not find the perfect mate on your first blind date, you will likely gain a new friend when you let the people you know set you up with a date.

Families also enjoy the variety offered by city life. Metropolitan parks are a great perk of owning Minneapolis real estate. Museums and concerts are a fun family activity that exposes kids to fine art. Shopping options are much more diverse for the whole family.

Because of the thrill of the city, single people and families alike are interested in making the transition from rural and suburban life to city living. Buying Minneapolis real estate is an outstanding way to put yourself right in the heart of the action. Dining, shopping, nightlife and entertainment will all be right outside your front door.

If you want to learn more about buying a condo or house in the city, a Minneapolis real estate agent can answer all your questions about the Twin Cities. They can recommend the perfect neighborhood to suit your tastes and lifestyle. Consider them your personal expert on all things related to living in Minneapolis.

If you like fast paced living, Minneapolis is the perfect city for you. The city is vibrant, and so are its people. You will never have another dull moment when you move to downtown Minneapolis.

About The Author

Kevin Curtis is a licensed agent with RE/MAX Advantage Plus. He is The Minnesota Real Estate Team”s 2007 Agent of the Year. The #1 RE/MAX Team in Minnesota for 2006, 2007 & 2008. Visit him on the web at “http://www.minnesotapropertiesonline.com”

By Ki Gray

There is a plan in the works to lower the rate on 30-year home mortgages to 4.5 percent, a number not seen in decades for home loans. The plan by the Treasury Department to help the hurting housing industry would be accomplished through purchasing mortgage-backed securities from Fannie Mae and Freddie Mac. For those with good credit and some money for a down payment, it is a great time to buy a house.

The downside to this plan is that it does little to help those who are struggling to pay their existing mortgage. While Federal Reserve chairman Ben Bernanke gave new warnings last week about how the growing number of foreclosures is adversely affecting the economy, there seems to be little agreement on how to help.

The Treasury Department plan could only be available to people buying houses, not to those who want to refinance. Thus someone moving in next door could pay considerably less in mortgage payments each month than the person who has owned his house and struggled to keep up the payments at a higher interest rate. It doesn”t seem fair and it only addresses half of the housing market problems.

According to the Associated Press, the man in charge of the $700 billion bailout, Neel Kashkari, told a congressional panel last Thursday that the user was reviewing the 4.5 percent mortgage plan. What remains unclear at this point is if the Treasury Department”s proposal would end up applying only to new mortgages or to refinanced loans, as well.

Some economist seemed to believe that a government lending plan that applies only to new loans would not do enough to help the overall economy. But those in the home building, real estate and other related home industries seemed to welcome the proposal. Lawrence Yun, chief economist at the National Association of Realtors, said by spurring new buyers the housing market and the economy would be stabilized.

If the Treasury Department does end up using some of the bailout funds to offer help to current mortgage owners, it may or may not be a good idea to refinance. According to Bankrate, good reasons to refinance include getting a lower interest rate, shortening the term of the mortgage to build equity faster, lowering monthly payments or switching from an adjustable rate to a fixed-rate mortgage.

However, homeowners need to consider the cost of refinancing before rushing to the bank. Since getting a new loan can cost around 2-3 percent of the total loan amount, it is important to weigh the cost against the benefits. For instance, if a homeowner plans to be in the house for years to come, refinancing is probably a good idea. But if the outlook for owning a home is less than 3 years, refinancing may not be worth it.

And then of course, there are those really hurting who owe more than their house is worth. This is where the bailout gets very tricky. It seems the logistics of helping those truly facing foreclosure is difficult at best and a losing proposition for lenders at worst. While there are no easy solutions to the current financial crises, at least there are some silver linings. The hope is that a spree of new home buying could help the housing market and eventually stabilize home prices.

About The Author

Ki helps buyers interested in Austin real estate http://www.escapesomewhere.com his website has a free search of the Austin MLS http://www.escapesomewhere.com/realestate_searchthemls.html along with updates on his Austin real estate blog http://www.escapesomewhere.com/austinblog/