Real Estate Blog
Powerful Real Estate Valuation Methods
Real estate is an art. From finding your listings to closing a deal, everything needs to have an artistic touch to it. When it comes to property valuation, things can get tricky. Before looking at ways to access value of an investment one must keep in mind that all the available methods have been tried and tested and their use is subjective to people and people only. A real estate investment property is like a money machine. It revolves around three main parts- income, expense and financing. Keeping all these in mind, let’s look into the different methods that we can use to determine right value for a property. A real estate investment property is like a money machine. It has three main parts: income, expenses, and finanacing. The value of that money machine is determined by how these three parts interact. So, doesn’t it seem logical that the most effective method of valuing a rental property would take into consideration all three parts? With that in mind, let’s look at five valuation methods used in the marketplace and discuss the pros and cons of each.
Passive Real Estate Investing– Part 2
The passive real estate investing is a hands-off approach to investing. A benefit of this type of investing is that you don’t have to be an expert manager. You can participate even if you are new to the field of real estate investing.
The only thing required from a passive real estate investor is capital. The idea behind it is to allow knowledgeable people use your money for investment purposes.
What is Real Estate Investing
For many individuals, real estate investing is an alien concept. This is true even for people with experience in stocks and bonds, mainly because real estate is an alternative asset, as opposed to stocks and bonds that are categorized as standard assets. Real estate, as a result, can be difficult to access and afford. Fortunately, things are starting to look up.
Real Estate Investing Should Not Be Avoided
Unfamiliarity with real estate investing should not prevent any one from taking advantage of said opportunity. It can be a very lucrative and sustainable way of generating revenue, and can supplement one’s portfolio due to a number of benefits unique to real estate, such as:
5 Mistakes a New Home Owner Should Avoid
A new home owner is in a fragile situation because a house is a big life-altering investment. In most people’s cases, buying a new home is the biggest investment they will ever make in their entire life. But the process is so challenging due to inherent lack of information. Add the fact that there are individuals who seek to take advantage of misinformed buyers.
Buying a Home? Here are Some Important Things to Go Over
Buying a home, at first glance, seems like a pretty daunting undertaking. There are a lot of things you need to consider when its time to get your own place. Just to give you a glimpse of how challenging it is, American economists studied mortgage interest rates during the time the housing recovery process started. In 2015, many people predicted that mortgage would go up by 5%. However, interest rates stayed below 4%. Going by this example, a low-interest rate has helped prospective buyers stay in the housing market. In fact, there were some who shifted from renting properties to owning them, concerned about whether the future had an increase in rates for them. Nonetheless, the interest rate should not be the only aspect you gauge when buying a home.
Appraisal Inspection: Doing it the right way!
Starting out at anything for the first time can be nervous. You find yourself in a place where you are not exactly sure what to do. Same is the case with the appraiser profession. One ends up asking their self, how should I go about this? Should I first get help from a mentor? What can I do to not miss a single detail and get the job done perfectly? Perfection is only acquired over time. With time you gel in well and manage things differently, form a work routine and come to know of your strengths and weaknesses. We are here to tell you what you need to do as a beginner when you go on your first appraisal.
Five Different Types of Commercial Real Estate
Are you planning to invest in the commercial real estate? Well, whether it is your next step or your future plan, it is important to know that commercial real estate is a large market. It can be broken into sub-sectors and therefore offers you a variety of investment options. Commercial real estate investment is expensive and risky, but can be very profitable. To be successful in this investment, you need to place your money in the option that makes the most sense of your individual financial goals. The more you know about the investments beforehand, the better your chances of succeeding as a commercial property investor.
Top Five Warning Signs of a Bad Real Estate Agent
While a savvy real estate agent can help you sell your property efficiently, not all agents are created equal. Getting the right real estate agent for your property can make a huge difference in the outcome. With the market flooded with real estate agents, determining who to trust with your business can be challenging. There are many mistakes home sellers make when choosing an agent to sell their property which can easily be avoided. Choosing the wrong agent can result in a lower selling price and unnecessary frustrations to the seller. It is possible that only after you’ve hired an agent to help you buy or sell a home, you start realizing that you hired a wrong agent. There are many signs of a dud real estate agent you should watch out for to avoid frustrations in your property investment.
Scoring Repeat Business through Organic Referrals
Almost every profession has changed, thanks to the introduction of technology. But at the same time many real estate professionals are getting repeated sales through organic referrals. The real market, i.e. the market that is still not dependent on online sales, is still giving business to people solely on organic referrals.
In this world of online marketing, there are many people who still depend upon generating organic sales.
We talked to an experience real estate agent Alex Glaser. According to him, he still gets 50 to 60% of his sales through organic references. “Last year,” said Glaser, “I sold 107 homes.” The amazing service he provides is how he knows he’ll keep getting referrals in the future.
Here are some tips that can help you land repeated sales through organic referrals:
Landlords: How to Get Your Tenants to Pay Rent On Time
Many people invest in property with the goal of making profits in the long run. However, some landlords do not receive a stable cash flow from their rental properties because some tenants always default on rent. Dealing with late rental payments can be frustrating for landlords. As a landlord, you may be depending on the rent to help settle property expenses, mortgage payments, or personal supplemental income. This could cause a legal battle to collect rent owed by the tenant and a drawn-out eviction process that may be expensive. To be successful as a landlord, you should not only know how to handle late payments but also learn how to get your tenant s to pay their rent on time. So what can you do if your tenants aren’t paying promptly?