real estate

A Quick History of Homes

Learn About Cash Home Buyers

Some of you have come across advertisements that say they are selling homes for fast cash even for ugly homes. For those who do not understand what this is, there is a niche in real estate known as wholesaling. It is a great business opportunity for newbies in real estate as they offer massive exit strategies in the business. There are many who claim it is the best investment option in real estate. They recommend it as a good way to start your investment career in real estate. It is uncertain if their claims are legit. The buying of homes with cash is what wholesaling in real estate involves. Most of the homes are usually damaged and the sellers are highly motivated. The sellers of the homes could be going through trying times in their lives that they seek to sell their homes fast for cash.

These homes get sold below the market value and the sellers get quick cash. The buyer of such homes can opt to keep the house so that they rent it or they can remodel the home then get a buyer for it. The buyers also consider offering the seller an amount from which they can make substantial profit from. The risks that sellers had to undergo get compensated by the big return on investment they get.

In the wholesaling business, there is a third party in the sellers and cash buyers’ relationship known as an intermediary. Newbies in real estate investors can benefit from wholesalers. Real estate is a big market offering different avenues that an investor can choose to invest. Despite this fact, a new investor may find it being tough to get an investment option. The business opportunities that are available in real estate are getting forclosures with the intent to rent, wholesaling, leasing options flipping real estate contracts, fixing and flipping property or becoming a real estate broker. The abilities, resource, and personal goals of a newbie in real estate investment will determine which investment option they will choose. There are some reasonable reasons why investing in wholesaling are a great idea.

A big number of people has misguided ideas about wholesaling in real estate. People with misguided thoughts about wholesaling in real estate make it seem like an investment option that will bring quick cash. These misguided ideas cause newbies in real estate investment to have uninformed expectations and they are not aware of the important strategies needed to make prosper in wholesaling. According to the established people in real estate, wholesaling will make you wealthy if some guidelines are followed to the latter.

The Beginners Guide To Sales (What You Need To Know To Get Started)

Why Sell Your DC Home to a Real Estate Investor?

If you’re thinking of selling your Washington, DC home, you can either have it listed on the MLS with a real estate agent or sell it straight to a real estate investor. The two have their own advantages and disadvantages, but the second option does provide some pretty attractive benefits.

Below are five great reasons to explore investors who pay cash for houses in Washington DC:

1. You get your money instantly.

If you’re selling your house fast in Washington DC because you need instant cash, then real estate investors are your best bet. There are even those who can get you your money within 24 hours.

2. You need not spend money to repair or renovate your property.

Some people stop short of selling their homes simply because they know there are costly repairs to be done. Besides, repairs or renovation requires time. And since they have no professional knowledge or training for this type of job, they may needlessly lose thousands of dollars. They can always hire contractors, but this will only boost their costs. Most certainly, selling the house for cash as is is the far wiser choice. Local cash home buyers in Washington DC will gladly tour your home and buy it, irrespective of its current condition.

3. Transactions close quick!

Typically, it would take months to close a real estate transaction, even after the buyer and seller have agreed on a price. Just picture out the whole process, from appraisals to inspections to securing financial approval and all the rest. With real estate investors, there is no need for any of these. If all you want is to sell your house fast in DC, then this is the way to go.

4. There is no need to pay commissions to an agent.

Real estate agents usually charge around 6% in commission and fees. Selling to a real estate investor, that would be unnecessary. If your house requires repairs, it will probably be sold to investors for the same price anyway. In such a case, the realtor fees become almost useless.

5. There are no mortgage complications to stress over.

Finally, conventional home sales can take from months to years, and sometimes, they fall through at the last minute. This usually happens when the buyer has to qualify for a conventional mortgage and ends up rejected. Considering that lenders have become a lot stricter in their guidelines for mortgage approvals, this can really be a problem. Because cash investors pay from their own pockets, you don’t have to worry that they will back out any minute.

The Best Advice About Tips I’ve Ever Written

Finding New Office Space in London.

People starting business always look for a spacious office that is affordable. Considering provisions outlined for the choice of a good office space is an essential aspect in London. Geographic location of your office is one aspect critical for any new rent office. The effects of the business location to its operation should be highly factored. A proprietor must see to that the transport network around his business is reliable for all customers. Many companies and people in London rely on railway and road transport. Also consider the nearness to facilities providing food services and entertainment.

The technology used in building the office is a factor that should be factored. This is because office is the first thing a new client will view your business. Different designs have varying impressions. Its required that the person well understand the new private office location. The surroundings of London are known to differ greatly. A good landlord usually will inform the person about relevant information of the neighborhood.

The assets available or required for the startup of the business should be a priority too. If the assets are more valuable then this will raise the importance of looking for a more secure office to avoid loss of property. Depending on how regularly the asset retrieved to be used or required by a client or another partner access to the store must be guaranteed. The entrepreneur should also take the necessary requirements of the shared office if the business has a lot of night time activities. For example, when the entrepreneur is venturing in a twenty-four-hour business guest rooms and security, is a primary concern. Conference rooms will require in case meetings will be held in the business.

If the business wishes to start offering services onsite, or do a direct trading then license should be acquired from the London local authorities. Interactive licenses are necessary that make you aware in case there is any change you are updated. London websites provide the information to companies. It should be made clear to the proprietor if the costs on parking space, water, and internet connection is to be paid separately or has been combined with the quoted amount. The service charges has to be considered because service utility providers in London charge highly.

The the proprietor must make sure that another company is providing a complimentary product. This will ensure that your services are fast selling. Consulting neighboring businesses is an essential step too. One obtains crucial information about how businesses located in the building perform. This will also open new opportunities for doing business. Knowledge of other capital sources contributes positively to the firm when the sales go down.

Quotes: her latest blog

The Next Real Estate Collapse

As daily commutes go, I have nothing to complain about when I point my car toward Sovereign HQ each morning. The traffic congestion on Interstate 95, South Florida’s main artery, is horrendous. So I take the scenic route, the coastal beach road known as A1A.

The views of the Atlantic Ocean are nice. But more recently, I enjoy the drive for a different reason. It’s a ringside seat to the extravagance of the now-deflating luxury housing bubble I warned about three months ago. Recent data point more ominously to a serious problem in this sector.

Each day, my drive on A1A takes me past what is the single most expensive new home for sale in the United States: Le Palais Royal, under construction for the last five years.

Situated on 4.4 acres of beachfront, the “spec mansion” features the Atlantic Ocean as its backyard. The front yard is a nearly 500-foot deep-water expanse of the Intracoastal Waterway – perfect for even the largest private super yacht.

The mansion’s soaring front gates, accented in 22-karat gold leaf, make it sort of hard to miss as you drive by. Just beyond the gates is a 60,000 square foot home with 11 bedrooms, 17 bathrooms, an 18-seat IMAX home theater (with its 50-foot-wide screen), and a 30-car subterranean garage. The building plans call for a second phase on the vacant beachfront lot next door. That’s where the ice-skating rink, go-cart track, bowling alley and private nightclub are supposed to go.

And it can all be yours for just $159 million.

But the tide of money fueling the purchase of luxury homes, big or small, is receding as we speak.

Luxury Homes: The Next Real Estate Collapse?

Largely ignored in the holiday rush was the news that luxury home prices fell 2.2% during the third quarter – the first such decline in nearly four years.

According to the Redfin real estate brokerage, wealthy clients are stepping back out of fear from stock market volatility, and are worrying about tying up too much of their wealth in non-liquid assets, especially if another real estate collapse appears.

The decline is even more notable because luxury homes serve as something of a bellwether for the rest of the “non-lux” real estate market (which still rose just under 4% for the same period).

The original housing-bubble stocks of a decade ago might offer a clue on the timing. Shares of Toll Brothers (NYSE: TOL), the nation’s largest builder of luxury homes, peaked in July of 2005 before starting their precipitous decline. But the stock prices of builders focused on the low- and mid-priced ends of the market stayed strong – at least at first. For instance, the shares of Lennar Brothers (NYSE: LEN), one of the biggest homebuilders in the country, didn’t crack until April of 2006.

Interestingly, Toll Brothers’ shares today are down nearly 25% from their post-recovery highs (to the lowest price in 13 months), while Lennar shares are just starting to break down.

California Dreamin’?

Chinese buyers have been key players in the run-up of America’s luxury home prices. And their influence is felt most strongly in California and the San Francisco Bay area, the hottest of America’s real estate markets this go-round.

Not coincidentally, it appears Chinese buyers may now be pulling back there as well, possibly ushering in the next real estate collapse. Home sales in California fell 20.5% in November – more than twice the monthly average (it’s traditionally a weak month prior to the end of year holidays). October’s home sales also fell a little over 5%, while dropping 1.5% in September.

For now, the real estate community appears to be dismissing the collapse of sales as the result of changes in new loan disclosure rules by the Consumer Financial Protection Bureau, and what is usually a softer seasonal period for home sales anyway.

I don’t blame them. As a media consultant once told me back in my reporting days, “Never let too many facts get in the way of a good story.”

But the “Chinese buyers” real estate gravy train is grinding to a halt fast. Last summer’s 40% decline in the Shanghai Composite Index should have been the first clue. The second was the relentlessly positive “it’s just temporary” narrative spun by so many brokers and property developers who don’t want the ride to end. The third clue may be upon us here at the start of 2016 as the Shanghai index lurches lower yet again.

So what’s it all mean to you?

As Jeff Opdyke has warned, don’t get comfortable with the Federal Reserve’s spin on things. As Chinese buyers retreat from American real estate, it kicks out yet another leg of support for the U.S. economy.

Your Big Why and Planning the Future

A while back at an event I got the opportunity to sit across from a couple of brand new investors. As I usually do, I asked them what they were investing in; they admitted that they were newbies and weren’t really sure where to begin. We discussed their level of knowledge and expertise, and I found the conversation drifting away from real estate and more into the lifestyle design arenas. I started asking them about their “Big Why” – why were they wanting to leave their corporate jobs, what they wanted to do with their time, and what would make them happy.

We started putting a dollar value to that lifestyle and level of comfort. I saw their eyes get a bit wide as the reality of what they were up against hit them. I quickly reassured them that real estate was a great choice to attain the lifestyle they envisioned if they were willing to work hard and put in the hours, but how? We didn’t get into too much detail on the spot, but we talked about breaking those big goals down into time frames and smaller milestones. We discussed assigning how many and what type of deals could get them to those milestones, as well as what were they comfortable doing and how their personalities would help them to achieve their goal. They made notes on what types of marketing and how many offers they would have to make each month, week, and day in order to acquire the number of properties to hit their goals.

We then went back to their “Big Why” and discussed if it was really big enough. By that, I meant to talk to them about whether their choice to pursue real estate would be big enough to get them up and out of bed every day? Big enough to push them to tackle that daily task list? Big enough to hit those smaller goals knowing that as each milestone is hit that they are that much closer to the lifestyle and freedom they want? They made some more notes, and I think they had some talking points to consider as they pursue their real estate vision.

So what is your “Big Why”? Why are you a real estate investor? Is it big enough to get you out of bed each morning with a smile on your face, ready to face the day? Is it big enough to motivate you after 3 months of busting your butt without finding the right deal? This isn’t something you can come up with overnight if you haven’t spent any time on it already, so let your mind wander. Dream big! Dream really big and write it down. Look at it every day and see yourself living that lifestyle. Then break down how you will get there. Get really specific, all the way down to daily tasks. Now you’ve put goals and milestones on paper and you have created a map showing you how to get to that big dream and lifestyle you desire.

To be honest, this isn’t easy. The dreaming part of this puzzle may be easier than identifying the “Why”, especially when you analyze and determine if your “Why” is a solid vision to which you can remain dedicated. Nevertheless, I promise, if you work hard to identify the “Why”, develop your vision, and stay focused, you will be set up to achieve the vision you set for yourself.

How to Value a Freehold Property

There are no yardsticks to measure the value of a freehold property. This is because evaluating a freehold is not an accurate science. However, you can follow certain guidelines on what you need to take into consideration when valuing a freehold, which is produced by the advisory services that give free advice to leaseholders. You must also take these three factors into consideration:

1. The current value of the property

2. The annual ground rent

3. The number of years currently left on the lease

Also, evaluate the expected percentage increase in property value that results from extending the leases of different lengths, along with forecasted long term interest rates and inflation rates.

Take help from an expert valuer rather than trying to work out a figure all by yourself, to present before the freeholder. An expert valuer will be able to give you the best advice, which will enable you to make a practical offer.

You will find expert valuers online. They will help you with the entire process of negotiation and buying the freehold.

For the benefit of the freehold, most surveyors add a little extra to a property’s value. This is done after comparing it with similar property with the same number of years on the lease but no freehold.

First, approach your freeholder informally, before you serve him with a first notice. This document should include your preliminary offer for the freehold, which starts off the legal process of buying it.

A word of caution. Never produce an initial notice without obtaining an expert valuation. If you make the wrong evaluation in the initial notice you won’t be able to take back the offer. After the initial notice, wait for the freeholder to reply to it with a counter notice by a date that you have given. The freeholder must be sanctioned at least two months from the date the initial notice is served.

If the freeholder is not sending his counter notice within this period, the leaseholders can take matters into their hands. They can apply for a vesting order at a court. It is now up to the court to move the freehold to the leaseholders. So freeholder’s should respond on time to the initial notice for their own benefit.

Buying a share of freehold will make little profit if you already have had a decent length lease. You would still have to give the same authorized costs as someone with a short hire, but would lead to a drop in the value of the property.

Different Developments You Can Get From The Top Real Estate Companies

For people searching for an excellent real estate investment, the only logical option you’ve got is to invest in luxury properties. Such structures will offer the right balance of elegant design, exclusivity, highly coveted addresses, sophisticated amenities, and sophisticated branding that those with a taste of the good like are sure to cherish and love. In order to meet the preferences and demands of their high-end market, luxury real estate developers are now offering a wide range of properties that are sure to address various investment considerations.

Kinds Of Properties That Reliable Property Firms Offer

Hotel Suites – When the experience of high-quality hospitality appeals to your sensibilities, your best option would be luxury hotel and hotel residences. It comes with well-loved features like sky lobbies with very stunning views. These features will include sophisticated spas, rooftop infinity swimming pools, and private screening rooms. The promise that these luxury hotel residences offer is fashionable living. Apart from that, you can also choose to let these properties earn an incredible rental income for you in case you are in another part of the globe.

Vacation villas, mansions, and homes – Some rich investors want to make a home out of a quiet pocket of space in the middle of the busy city. These developments will offer mansions, homes or villas that can act as your main residence. No matter what setup you choose, the experience of luxury you get to enjoy remains the same. You and your family can prosper in an exclusive community with its own beautiful tropical rainforest, very spacious areas for different outdoor recreation like sparkling water features and cycling, and a well-designed road network system and master plan. These properties will also boast of different kinds of environment-friendly technologies for harmony with nature.

Luxury apartments and condominiums – In a thriving and dynamic city, it is no doubt that the rich wants to be in the center of it all. They want to be nearby high-end dining and shopping establishments, the central business district, recreational centers, and the top destinations of tourists. For these people, a great piece of luxury property situated in a prime location would be the thing they need. Be aware that some of these residential properties might face golf courses that can provide them with excellent views of the lush greenery from their apartments. Apart from that, the towers housing these apartments can have their very own retail establishments. Thus, residents can have everything that they need without the need to venture out of the community. Most importantly, residents will have year-round accessibility to superlative amenities.

Four Strategies to Buy Rentals With No Down Payment

This tends to be a pretty controversial subject, and for good reason. When I was getting started in the business, I was young and broke and had no credit to speak of. I was not qualified to borrow money, yet I figured out how to buy properties, and I bought a lot of them. It was not long before I became a full time real estate investor, and on paper, I was a millionaire long before my 30th birthday. I accomplished this with a lot of hard work, education and tolerance to take the risk.

With all this said, just because you don’t need money to buy houses, does not mean you should have no money. I am a big, big believer in this. You see, although I was a millionaire at a young age, I basically lost it all when the market shifted. I was too aggressive with my growth, and did not establish an appropriate amount of reserves. After starting over, I structured things differently and am in a good position to not only survive a down turn, but to thrive in it. In this article, I will briefly walk through 4 ways to buy rentals with nothing out of pocket, but want you to understand that this does not mean you should own rentals with no reserves.

Owner Finance: This could mean many things, but for the purposes of this article I am going to assume that the seller of the home is extremely motivated and is willing to basically sell the house just to get away from the mortgage payments. This is commonly referred to as a subject-to transaction because you, as the buyer, will take title subject-to any other liens that are in place. What this means is you get ownership of the house, but the seller is still on the hook for the loan. You as the buyer will agree to either pay off the loan or make payments on the loan on their behalf. If you don’t, the lender can foreclose and wipe you off of title.

The seller is taking a tremendous amount of risk with this type of transaction, so it is difficult to negotiate and they need to be extremely motivated. It works well for you because you don’t need down payments or to qualify for a loan. It works for them because they have someone else making the payments on their loan, which relieves them of the payment pressure, and potentially can improve their credit. As you become more experienced, this is a strategy you will want to look into. This allows you to purchase an unlimited number of cash flowing properties without ever needing to qualify or sign for a loan.

Lease Options: This is the strategy that really worked for me when I was just getting started. I like it a lot because it is easy to explain to the seller and it is not difficult to get them comfortable with it. They still need to be motivated to want to do this, but nothing like the subject-to transactions.

The way this works is you negotiate with a seller of a home to lease the property for a set period of time. I would typically negotiate 10 years on these, but it can be anything you are comfortable with. The rent amount will be set. From there you agree on a price to buy the property for sometime during the lease term. The price is typically locked in close to today’s value. You then sublease the property, hopefully for more than your rent payment, and wait for the value to increase. If the value does not increase, which has happened to me, you can either re-negotiate the deal or let the property go. You have no obligation to buy, so you are not taking the risk of market fluctuation. If and when the value does increase you have several options: You can sell your option, exercise your option and resell the house for your profit, or just exercise the option and keep the property in your portfolio.

Bridge Loans: The idea here is to find a property that needs a lot of work that will make a good rental. You need to negotiate a price were you can buy it, fix it, and roll in all closing costs, and still be at or below 70% of the after repaired value (ARV). This does not work well unless the property needs to be repaired. This is very different than the first two strategies discussed, and is commonly used with bank owned foreclosures. Although, anytime you can negotiate a great deal will work.

After you purchase the home, you want to get it repaired and get a tenant in place as quickly as possible. You then refinance the loan into your permanent rental property loan. There are some additional details for this to work that are beyond the scope of this article.

Partners: At the time the market was collapsing around me, there were tremendous buying opportunities everywhere. Using the Bridge loan strategy, I was able to pick up a handful of deals that I still have today. I did not qualify for loans, so I brought in a partner to sign on the debt for me, and I shared the deal with him 50/50. Neither one of us put money down, and the properties all cash flow, net of vacancies and maintenance, a minimum of $300 a month. There has also been a tremendous amount of appreciation over the years. The houses have more than doubled in value!

Tips In Making Building Creative Concepts

A lot of business owners wish to have a wonderful office. Of course, having such office can help them experience a better and comfortable work area. Not to mention, good offices can attract potential clients. However, in order to attain this, it is important for business owners to have good building creative concepts. But, there are numerous factors you need to consider to get the best results. Below are some of the things you need to consider.

Identify potential needs and problems

First and foremost, when making building creative concepts, it is imperative for individuals to identify potential need and problems. Knowing needs allow individuals to determine what things must be included in the designs. Not to mention, individuals can also create a better perspective on how buildings must be constructed. Apart from that, identifying problems before starting the project can help you reduce your expenses. Plus, reducing problems can also increase safety in your work area.

Create the right design

After identifying potential needs and problems, it is now time to create your design. Of course, when designing, you need to be cautious. This is essential to ensure that you will all have the features you need which can match your budget. In addition, it is also important to determine your space. This is another important factor when designing to ensure that you are creating a design that will allow you to make you building space more comfortable and appealing. Knowing these aspects will help you create the right designs you are looking for.

Establish safety schemes

When making building creative concepts, individuals need to make sure that they can establish safety schemes. Of course, accidents may occur unexpectedly. It gets even worse if these accidents will harm your employees. So, make sure that you create safety schemes on your designs. With these schemes, you can reduce risks and prevent overhead expenses which can help improve your finances and profits.

Hire professionals

Lastly, in case that you do not have any ideas or skills in making building creative concepts, it is also best to hire professionals. Luckily, there are numerous professionals who can help you create wonderful building concepts. These experts can even step into another level by providing you with other services that can complement your needs. Plus, they can also help you ensure that their designs can complement your needs properly.

My First Open House Experience

I finally decided to write my first post. Why not? But what could I possible write about that is interesting and educational as well. I can write about the market, mortgage rules, down payments, etc

Or read the newspaper and write a well digested post.

So, here we go, I remember that day as if it was an hour ago! It has scarred me forever and ever. Every time a client asks me to run an open house, I sweat and swallow super hard. Even after having lots of successful “open houses”, this one still manages to make me run to the bathroom and grab the famous Pepto-Bismol.

So, long ago, when I became a licensed real estate agent, at the beginning of my time as a Realtor. The new challenges I was facing, a bit anxious but super excited at the same time. Knowing what I am made out of, a very hard working, honest, reliable, ethical individual couldn’t wait to run my very first open house!

Since I had no listing of my own and couldn’t just run an open house on my own house and tell anyone entering through the entrance: “thank you for coming, but this house is really not for sale! It is just for me to practice my new skills”

So I asked a few fellow agents in my office and at last, after 2 months of trying, one of our broker asked me to help him out!

I was so excited that I had a hard time falling asleep! I did a CMA, I looked up all the past, present sales in the area; looked up all the schools from public, private, catholic, French, etc in the neighborhood. I had so much info on the area that I felt like a walking Google!

I asked myself so many questions that people could come up with and I had the answer to every single one of them memorized!

The day of, I put on my super tailored suit, make sure nothing was stuck between my teeth, etc. I just wanted to run it as professionally as possible.

Anyhow, after opening the lock box to the unit, I realized that my suit had no pockets! And I didn’t take my purse with me, so the only secure place I could come up with storing the property’s key for 2 hours was my bra. No big deal, who would find out, after all, I showered and my bra was super clean and my suit just came out of the dry cleaners. I could use a bit of water and soap after and put it back in the lock box. Problem solved!

Open house was over at 4 pm, not too many people showed up but I had everything under control. I was extremely happy with the outcome. It was GREAT, except for the key stored in my bra and started to be a little uncomfortable.

So, I lock the property’s door, made sure it was actually locked, put back the key in the lock box, shuffle the combination, get in my car with a huge smile!

Contact the listing agent and thanked him for the opportunity and that everything was left in its perfect condition.

The next day, I had a fund raising event to attend. 5KM walk for a children’s hospital. So, on that Sunday, I am walking and thinking of yesterday’s open house. I am going to call those few individuals that came in. Asked them for feedbacks and take it from there. At exact same moment, my phone ran and it was the listing agent asking me where the key to the property is?!

He asked me to look in my pockets or purse, just in case, by mistake I forgot to put it back in the box. I told him that was not possible. And I had to tell him where I stored the house key for 2 hours the day before (super embarrassing!) and the silent after that.

I drove to the property just to see it for myself, and yes, sure enough, no key… I couldn’t believe my eyes! Being new to the business, new to this brokerage, my very first open house experience that I wanted it so badly and wanted to be “perfect” just got destroyed. No key, no house key a scheduled open house and we couldn’t get in.

The property had no showings after my open house. Key just gone, nowhere to be found, did not fall out of the box when I was putting it back. A total mind blowing experience.

It was obvious that it was stolen, by whom? No one knows. They’ve changed the lock right away and took all necessary security action, but… I felt terrible for the owners! There is nothing worse than feeling unsecured in your own home! Just the thought of knowing that some stranger might have the key to your property made me sick! I put myself in their shoes and I couldn’t fall asleep just thinking of it.

I can’t describe how I felt on that day and still do. Every single time I have to open a lock box and close it again, I get this weird feeling (even today). It just feels like time stops for a split second and it slows down.