Buying a rental property could be more challenging than a buying a home for yourself as here you not just want a lovely accommodation but also profits! Your chosen property should attract long term tenants and must command rent that helps you pay for the taxes, maintenance, mortgage and still make some profit. Searching smartly is the key to find a profitable rental property and here we offer some tips to help you make a wise investment decision.
Search, Search and Search
Believe in the fact that there are always nice locations and properties that are really worth the investment so do not give up till you have found a property that meets your criterion. Hiring property consultants is good but do not rely entirely on them. Do search on your own so you know the property market well. Do not succumb to the pressure of your property consultant or get carried away with their glib talks as they are always in a hurry to get the deal fixed. Use your own judgement when making a decision. Continue reading
Whether it is about love or buying property, first look definitely plays a crucial look. So if you are intending to sell your property, merely placing a ‘For Sale’ board is not going to get you the attention you crave for. You ought to make your property drool worthy not just to make it attractive but also to make it so charming that the buyers also feel compelled to pay your asking price! Well, here are some time tested tips to make your property so much more compelling for the buyers.
As the first look matters most, the exteriors have to be the most charming
Take a deep look at the facade and the front garden of your property. Don’t view it from the eyes of the owner, chances are you might find it flawless. Instead, look at it critically from the buyers perspective. Take a note of things that warrant changes and repair. Is the paint peeling off, how the fence look, your front gate and door and how is the garden kept? Do your best to ensure your property casts a fantastic impression at the first look. Mow the lawn, trim the shrubs, get new pots, get the walls painted or get a new door installed; invest wisely but not extravagantly to make your property look elegant and attractive. Continue reading
Real estate has always been attractive to investor. However, there are many who would like to invest in real estate who either lack knowledge or don’t have sufficient funds. If you are one such individual, you should seriously consider forming a partnership. In fact, if you have sound knowledge about the local real estate market, getting into a partnership with someone who can fund you will help establish a win-win relationship.
What to Look for in a Partner?
Many people have got themselves burned by choosing the wrong partner. Don’t get taken in by a person just because he has the means to fund your investment. You should do your due diligence. The things you should be certain about are the following: Continue reading
Making renovations is one of the most fun and satisfying experience for home owners. Notwithstanding the steep cost of improvements, home owners enjoy going for renovations as it helps to make their dwelling more interesting and comfortable for their family. However, home owners planning to sell their home in near future should keep in mind that the renovations should also be appreciable for prospective buyers as only then they would be able to get better value for their property. Renovations that suit you but make the property less appealing for the buyers will not help you recover the cost of renovations.
Discussed below are some home improvement mistakes that are better avoided if you intend to raise your property’s worth. Continue reading
Regardless of what endeavour you undertake, you always want to succeed. However, the harsh reality is people do fail in spite of the hard work they put in. Some of the reasons for failure are negligence, silly mistakes and being complacent.
Failure is quite common to real estate investors and sometimes it can be so severe that these investors can get bankrupt. But why do real estate investors fail? What are the mistakes that they make? Here are the five major reasons:
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1. Too Many Risks
It all starts with risks which is inherent in investment. But when the risk gets so high that you have to pull out equity or refinance other properties, it means you are heading to bankruptcy. Continue reading
Selling a home is unlike selling any other asset that you’ve ever put on market for re-sale. It involves huge emotions and costs at the same time. Yet, one needs to be prudent in pricing the property as it is the biggest factor that closes a deal. An undervalued property raises suspicions and an overpriced property becomes unaffordable, so you need to give much attention to appropriateness of the pricing. Here we list simple rules that need to be followed like commandments in order to prohibit oneself from making mistakes.
Do Your Homework
Putting the price tag and listing on the market in a hurry should be the last thing on the mind of a smart seller, so as to ensure that the property does not sit on the shelf for too long a time to be picked up. Get all your landscaping, up-gradations, research work, etc. done prior to listing the property on the market, as an unsold property that sits around for a long time arouses suspicions and loss of interest in the mind of the prospective buyer. Get a licensed inspector to evaluate your home systems; plumbing, heating, etc. to ensure they do not add to unforeseen costs once your house is listed and has footfalls. Continue reading
One of the biggest issues plaguing the economy these days is real estate investment. It is strange indeed but in spite of the great housing crash in America some time ago, people are still inclined to believe their homes are safe long-term investment solutions. It is even considered the best long-term investment.
Over long periods of time, housing prices begin waning. This is a fact and history is proof of it. The popular notion shared by people is that the value of their home will eventually outweigh the cost of inflation. This is not necessarily so. The idea that home prices will increase was perpetuated by the housing bubble of the 2000s.
Most Americans believed that owning a house was essential to fulfillment of the “Great American Dream”. Initially the interest rates were affordable and this was adequate reason to convince people that owning a home was the right thing to do. It didn’t happen overnight for sure. Sub prime mortgages (those mortgages given out to people who had below par credit rating) were being handed out left, right and center and accounted for 20% of the market share. Many late payments, defaults, and bank crashes later; well we all know what that led to. It left the whole world reeling.
This is the down low on the state of real estate investment today and why we ought to learn from history.
Expectations Vs Realities
Home for sale
A home is the largest investment for most people. Inflated expectations of this ‘largest investment’ say experts, lead down the path to financial disappointment. Sadly what consumers are blind to is that their home value is lesser than the mortgages owed. When the value of the home depreciates, funds from the sale of a home cannot even pay for their retirement anymore. Continue reading
This debate of whether a rent agreement is better than a lease is like whether ice-cream is better than soft drinks. If you look from the eyes of the tenant, a rent agreement could be better than a lease and vice-versa for a landlord. But before we delve deep in the argument, we should understand what is a rent agreement and what is a lease agreement.
A rent agreement is one where a tenant agrees to pay rent for a given period of time. Rent agreement is usually for a short period of time (mostly a 30 day period) and it could be either renewed or discontinued by either party. This agreement helps both the tenant and the landlord to enjoy freedom and flexibility. While the tenant can freely live anywhere for a month or more as desired, a landlord on the other hand is free to rent out to some other tenant or change some clause and raise the rent. In some cases, the agreement is automatically renewed while adjusting the rent. The notice period is set by the local laws of the state. Continue reading
Selling your home is a big decision and among the many things you will consider, make sure mold growth is one of them. This is because if the house you wish to sell has a problem of mold you are legally bound to inform the prospective buyer or the appraiser /real estate agent.
Mold has been known to cause many health issues so there are both health and legal issues to consider before selling a home with mold. As a seller you need to know the risks of selling a home with mold, the potential health hazards it could pose to those buying your home as well as the laws which offer some amount of protection to buyers.
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Mold is classified as a fungus and can be of any shape. It can look green, white gray or even black. Some molds can be seen while some are tough to spot as they are present in areas that are difficult to spot – for instance attics and basements. Mold can also grow between walls. Mold is usually present and can grow in damp and moist places around leaking pipes, roofs and windows. Mold spores can multiply even in tightly sealed buildings and in homes with improper ventilation. Continue reading
Buying a home is a great decision but not an easy one. A home is an investment and buyers consider a number of factors before zeroing in on a place they want to put their money in. Let us look at some of the buying trends.
Some of the key parameters people consider before taking a decision on buying a home are – apart from the budget, design and layout of the house, is the proximity of the house to the supermarket and healthcare services as well as basic amenities. These few considerations help prospective homebuyers from taking a decision. There is one other aspect which also plays a significant role in swinging home purchase decisions; it is the proximity to good schools in the neighborhood. This is a key factor which can not only influence a buyer’s decision but also impact its pricing markedly. And, this is a proven fact.
Impact of School on Real Estate Buying Trends
Analyses of realty statistics and consumer surveys have revealed a startling insight of consumer behavior in buying homes. Nearly 90% of buyers looking to buy homes show a preference to invest in homes that are closer to schools. This trend is evident among families with children who are yet to complete their education. Continue reading