Pop Quiz Commercial Real Estate Investing

Pop Quiz Commercial Real Estate Investing
By [http://ezinearticles.com/?expert=R._Kymn_Harp]R. Kymn Harp

I read once that if you took all the real estate lawyers in Illinois and laid them end to end along the equator - it would be a good idea to leave them there. That's what I read. What do you suppose that means?

I have written before about the need to exercise due diligence when purchasing commercial real estate. The need to investigate, before Closing, every significant aspect of the property you are acquiring. The importance of evaluating each commercial real estate transaction with a mindset that once the Closing occurs, there is no going back. The Seller has your money and is gone. If post-Closing problems arise, Seller's contract representations and warranties will, at best, mean expensive litigation. CAVEAT EMPTOR! "Let the buyer beware!"

Paying extra attention at the beginning of a commercial real estate transaction to "get it right" can save tens of thousands of dollars when the deal goes bad. It's like the old Fram® oil filter slogan during the 1970's: "You can pay me now - or pay me later". In commercial real estate, however, "later" may be too late.

Buying commercial real estate is NOT like buying a home. It is not. It is not. It is NOT.

In Illinois, and many other states, virtually every residential real estate closing requires a lawyer for the buyer and a lawyer for the seller. This is probably smart. It is good consumer protection.

The "problem" this causes, however, is that every lawyer handling residential real estate transactions considers himself or herself a "real estate lawyer", capable of handling any real estate transaction that may arise.

We learned in law school that there are only two kinds of property: real estate and personal property. Therefore - we intuit - if we are competent to handle a residential real estate closing, we must be competent to handle a commercial real estate closing. They are each "real estate", right?

ANSWER: Yes, they are each real estate. No, they are not the same.

The legal issues and risks in a commercial real estate transaction are remarkably different from the legal issues and risks in a residential real estate transaction. Most are not even remotely similar. Attorneys concentrating their practice handling residential real estate closings do not face the same issues as attorneys concentrating their practice in commercial real estate.

It is a matter of experience. You either know the issues and risks inherent in commercial real estate transactions - and know how to deal with them - or you don't.

A key point to remember is that the myriad consumer protection laws that protect residential home buyers have no application to - and provide no protection for - buyers of commercial real estate.

Competent commercial real estate practice requires focused and concentrated investigation of all issues material to the transaction by someone who knows what they are looking for. In short, it requires the exercise of "due diligence".

I admit - the exercise of due diligence is not cheap, but the failure to exercise due diligence can create a financial disaster for the commercial real estate investor. Don't be "penny wise and pound foolish".

If you are buying a home, hire an attorney who regularly represents home buyers. If you are buying commercial real estate, hire an attorney who regularly represents commercial real estate buyers.

Years ago I stopped handling residential real estate transactions. As an active commercial real estate attorney, even I hire residential real estate counsel for my own home purchases. I do that because residential real estate practice is fundamentally different from commercial real estate.

Maybe I do "harp" on the need for competent counsel experienced in commercial real estate transactions. I genuinely believe it. I believe it is essential. I believe if you are going to invest in commercial real estate, you must apply your critical thinking skills and be smart.

POP QUIZ: Here's is a simple test of YOUR critical thinking skills:

Please read the following Scenarios and answer the questions TRUE or FALSE:

Scenario No. 1: It's Valentine's Day. You are in hot pursuit of the love of your life. A few weeks ago, she confided in you that all she ever dreamed of for Valentine's Day was that her lover would show up at her door, dressed in a white tuxedo with tails and a top hat, and present her with a beautiful bouquet of flowers. You've rented the tuxedo, but now you are concerned about how much money you are spending.

TRUE OR FALSE: Since flowers are pretty much all the same, it is OK for you to skip the roses and show up with a bouquet of fresh yellow dandelions.

Scenario No. 2: For several years you eyesight deteriorated to the point where you can barely see your alarm clock. You are now considering corrective eye surgery so you won't need glasses. Your sister-in-law had corrective eye surgery and has had spectacular results. She recommends her eye surgeon, but mentions the cost is about $5,700 for both eyes and that the surgery is not covered by insurance. A few years ago, you had surgery to correct your hemorrhoids and it cost you only eight hundred bucks.

TRUE OR FALSE: Since surgeons all went to medical school and are all medical doctors, you are being frugal and wise by asking the surgeon who performed your hemorrhoid surgery to perform your corrective eye surgery.

Scenario No. 3: Several years ago, when you first got married, you asked a former classmate who is a lawyer to represent you in the purchase of your townhome. The cost was only $375. A year later, you started a family and decided you needed a Will. The same attorney prepared Wills for you and your wife for a total cost of $700. You started your own business and your attorney friend formed a corporation for you and charged you only $600 plus the cost of the corporate minute book. Years later, when your son was arrested for misdemeanor reckless driving, your attorney friend handled the criminal case and got your son off with supervision for only $1,500.

Your business has been successful and you have built a pretty sizable nest egg, but you are tired of working for every dime and want to try investing in real estate. You have your eye on a strip shopping center. It includes a grocery store, bank, hardware store, dry cleaners (on a month to month tenancy), a couple of fast food restaurants, a gift shop, dental office, bowling alley (with a lease about to expire), and wraps behind a gas station/mini-mart on the corner. The purchase price is $8,000,000, but the net operating income looks pretty good. You figure if you turn the bowling alley into a full service restaurant/banquet facility, and convert the dry cleaners into a 24-hour coin laundry, the net operating income will increase and the shopping center will turn into a spectacular investment. You plan to pull together much of your life savings and put down $2,000,000 to buy this strip shopping center, borrowing the balance of $6,000,000. You remember that your lawyer friend handled the purchase of your home several years ago, so you know he handles real estate.

TRUE OR FALSE: Commercial real estate is the same as residential real estate [Hey, its all dirt, isn't it (?)], so you are being a shrewd businessman by hiring your lawyer friend who will charge much less than a lawyer who handles shopping center purchases several time a year. [What is this "due diligence" stuff anyway?]

ANSWERS:

If you answered "TRUE" for any of the foregoing Scenarios

STOP!

The Quiz is over.

Please find a quite place to reflect upon your life and consider whether the decisions you make consistently give you the results you desire.

If, on the other hand, you understand that the answer to each of the foregoing questions is FALSE, I am available to help you in Scenario No. 3.

For Scenario No. 2, you should follow your sister-in-law's suggestion and contact her eye surgeon, or some other eye surgeon with equal skill.

For Scenario No. 1, you are on your own. [But, if you answered TRUE for Scenario No. 1, you may be FOREVER on you own.]

Investing in commercial real estate can be profitable and rewarding - but it requires good critical thinking skills and competent counsel.

You have a have a brain. It is strongly recommended that you use it.

R. Kymn Harp is a seasoned attorney based in Chicago, Illinois with 30 years experience representing commercial real estate investors, lenders and developers. He is a frequent speaker at continuing education seminars, and is a widely published author on commercial and industrial real estate topics including due diligence, entitlements, commercial real estate financing, and Brownfield development and financing.

R. Kymn Harp can be contacted at:

Robbins, Salomon & Patt, Ltd

25 E. Washington Street Suite 100

Chicago, IL 60602

Dir. Ph: 312-456-0378

Email: [mailto:rkharp@rsplaw.com]rkharp@rsplaw.com

For more information go to: http://www.realestate-law.com

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How a Foreign National Can Buy Real Estate in America

How a Foreign National Can Buy Real Estate in America
By [http://ezinearticles.com/?expert=Maria_Gudelis]Maria Gudelis

Opportunities for real estate investment for foreigners is wide and varied in the United States. It doesn't matter where you're from and what currency you'd be using to purchase a property, you have a property waiting for you.

There are generally three kinds of real estate investment available to foreigners. These investments include the commercial estate investment and residential property investment. Residential properties are further classified into single family properties, apartments or condominiums and recreational properties. Regardless of what kind of real estate you are interested in, there are all sorts of tax ramifications, financing options and legal requirements that you have to deal with.

Why Should You Invest in the U.S. Real Estate Market?

You've probably heard of the increasing number of foreign real estate investments in the United States. This is not surprising. With the troubles that the real estate investment market is facing in the United States, greater opportunities in real estate investment were opened to foreign investors.

With the dollar's value in its all time low, foreign investors are finding real estate bargains all over the United States. There are no shortages of deals in this market. More and more distressed properties are being sold everywhere and foreigners are pouring in millions buying these foreclosed or distressed properties. The United States real estate has become a fairly attractive long-term investment for foreign investors.

In November of 2006, the National Association of Realtors released a report entitled "Foreign Investments in U.S Real Estate: Current Trends and Historical Perspective". The report showed that there has been a steady increase in foreign real estate investment in the United States. This is especially after the euro and the loonie became stronger in the face of the continuous devaluation of the US dollar. Prime bargains were opened to foreigners. Many foreigners have now looked into the possibility of retiring or settling in the United States.

If you're a foreigner, you would find a lot of reasons why you should invest in the United States real estate market. Aside from the fact that the floating exchange rate has given you a lot of leverage over the bargaining table, the financial market is a pretty good reason why you should invest in the US real estate.

The financial market in the United States in relation to the real estate market is quite liberal and the restrictions against foreign investors are pretty reasonable. This is ideal for foreign companies that are seeking to invest in the real estate market in the United States in order to avoid tariff restrictions and are considering setting up an office or a company in the United States.

Furthermore, despite the devaluation of the US dollar and the wide foreclosures of a lot of property, the real estate market remains to be stable, though slightly shaky, due to foreign investors' capital appreciation. Domestic real estate buyers may not necessarily share the same opinion, but the market has remained to be strong for foreign real estate buyers. This may be largely credited to the fact that there is minimal risk for them.

Why are Foreign Real Estate Investments Safe and Profitable?

There are a lot of investments you can make, but the safest you can make right now is investing your money in real properties. This is another good reason aside from the fact that you can make a pretty nifty profit, if you like, particularly now with the widespread property foreclosures and seemingly continuous US dollar devaluation. This is especially true if you are going to use the euro or the loonie when making your investment.

But why is US real estate investment safe for foreigners?

It is undeniable that stock investments are not a safe avenue at this point. The recession has not only affected the US economy; the same recession has greatly affected worldwide stock investments. Stocks values are dropping. It is also a fact that even without the current economic situation, stock values fluctuates.

On the other hand, real estate investments are pretty stable if you would compare it to stock investments - or even bond or mutual fund investments. With real estate investment, you'd be putting your money in an investment that would grow in value as years go by.

What are the Benefits of Foreign Real Estate Investment?

US state government supports foreign investments and along this line has formulated various tax breaks to encourage foreign investment on real estate. Many of these tax breaks are not available in many countries. In fact, most countries would frown at foreigners owning real properties within their territory.

Foreign real estate investment in the United States is open to everyone. As long as you can afford to buy the property or at least comply with the mortgage requirements and payments, you can secure for yourself a pretty good property in the United States. Again, with the current economic situation of the United States, this is the perfect chance for you to make an investment.

Another great benefit that you can take advantage of is the availability of mortgage financing. Lenders have opened their doors to foreign investors who are looking into purchasing a property. So, you don't have to actually deplete your bank account. You can actually secure a mortgage loan and gradually pay it off.

I'm Canadian, What Are My Financing Options?

There is a steady increasing rate of Canadian real estate investors in the United States; and accordingly, the government has made certain that they have attractive financing options available to them.

If you're Canadian - or if you're a foreigner - you'd find a lot of reasons why you should buy a piece of real property in the United States. For Canadians, the parity of the currencies or the apparent devaluation of the US dollar is a pretty good reason itself. But how do you finance your purchase?

There are various financing options available to you depending on which state you are in. In Arizona, for instance, you'd get favorable financing terms if you are purchasing a property for recreational purposes, that is, you do not derive any income or benefit from your purchase or ownership. You will be required, however, to sign up a disclosure agreement and give a 30% down payment for your loan. To qualify though for a loan, you may be required to show availability of liquid reserves for a period of three to six months. You may also be required to present a minimum of 3-month bank statement.

If you are purchasing a property for investment, you'd probably meet stricter terms. Requirements may be more stringent. For instance, you could be required to give a down payment of more than 30% and you may be required to show one year worth of liquidity reserves.

Regardless of your reasons, if you feel like you can fulfill the requirements of a financing loan, you can then proceed to actually applying for a mortgage loan. Also, keeping yourself updated with the financing terms flux may be a wise idea.

Understanding the Tax Ramifications of Real Estate Investment

The first foreigner to have ever bought a real estate property in the United States was Peter Minuit. This opened the doors to foreign real estate investors. After a couple of centuries later, foreign real estate investment has grown into huge proportions, accounting for billion-of-dollar worth of industry.

The low risk attached to US real estate market, the availability of countless properties, and the steady market liquidity attract foreign investors in droves. The initial snag, however, is the process of understanding the legal ramifications of foreign real estate investment.

What you have to understand is that foreign investment in the United States can take a lot of forms. A foreigner has various options. He can acquire direct interest. He can acquire an interest in the real estate through a partnership, a corporation, or a limited liability company. The latter is the typical structure used by foreign investors.

Limited partnership or Limited Liability Company offers financial protection or indirect asset protection, especially in cases of bankruptcy, law suits and taxes. Foreign investors are generally taxed on the property as if they hold the property in direct interest.

Ideally, you should secure the services of a real estate accountant to help you out with the tax ramifications, but it would help if you, at least, know the basics before you actually talk to an accountant.

There are tax consequences that you have to deal with when you buy a real estate in the United States. You would need an Individual Taxpayer Identification Number which you will use with all your tax transactions. Your investment in real estates can be treated as a portfolio investment and will be accounted for as an investment income which can either be fixed or a periodic income. This is typically taxed at 30% on gross revenues. This tax though does not apply though to all foreign investors. Tax rates would vary depending on the tax personality the foreign investor opted for. For instance, a corporation would be taxed differently.

Other things that you should take note of are availability and requirements of tax refunds and state tax laws on real estate properties as they may differ from federal laws, among other things.

By knowing all these things, you may save yourself from a lot of hassles when you finally approach a real estate accountant. You'd be in same wavelength when you finally get down to talking business. It is, however, very important that you secure the services of an accountant. You'd have an easier time dealing with the taxes ramifications. You'd also have assistance ensuring that you comply with all the accounting aspect of your investment. This is especially true if you are purchasing a real property for investment purposes.

Do You Need to Secure the Service of a Real Estate Lawyer?

If you are considering buying a property in the United States, you need to secure the services of a real estate attorney - someone who could help you with the legal issues concerning your purchase. It is tempting to forego securing the service of a lawyer to save money, but this could cost you a lot of money in the long run. Make sure that you have an experienced and trustworthy lawyer to help you out. Make sure that you have thoroughly checked out his credentials, profile, history of successful cases handled by him, and other factors that would influence your decision. You could check online and look for a lawyer working within the state where you are considering purchasing a property.

Functions of a Real Estate Lawyer

There is no actual distinctive function for a lawyer in a real estate case. However, you would really need the assistance of a lawyer for various tasks. A real estate lawyer would review the sales contract for you. He would also check on the title and other documents relating to the property. A lawyer would also review your mortgage contract and make the necessary adjustments or corrections. You could also get him to review with you the legal and tax issues concerning the purchase. A real estate attorney could also make the necessary adjustments relating to various expenses and costs involved in the purchase. He would assess your eligibility for tax refunds and draft the documents and statements relating to this.

Putting it simply, a real estate lawyer will be your watchdog. He would guide you through the whole process of purchasing a real estate in the United States in order to make sure that you will be legally protected. You will have a capable and trustworthy liaison to help you out with the contract. He will also face legal disputes if any arise.

Tips on How to Invest in Real Estate Successfully

Now, if you've fully bought into the idea of real estate investing in the United States, you might just want to know how to go about investing in real estate successfully. If you want to be successful in this venture, the first thing that you have to avoid is overanalyzing. Of course, it is a good idea to carefully think through your actions but it is a bad idea to overanalyze your investment to nonexistence. You might lose a great opportunity.

Before you purchase the property though, it might be wise to check the property value. If it sits well with you and you can reasonably afford the property, go ahead and make the purchase.

If you are considering the property for a quick flip, make sure that the property is in perfect condition and in good area. This is to ensure that you could double or actually triple your return of investment. If you can inspect the property yourself, do so. If not, a good and trustworthy agent can help you with this task.

Another important thing to remember when you're buying real estate is good financing. You should take your time to carefully consider all your financing options. Foreign investors can email in their queries to various lending institutions. It is a good idea to make sure that you've had their terms and rates on paper because they tend to change these terms and charge you with a lot of junk. Your real estate agent can help you with reviewing the escrow charges.

The bottom line, however, is that it is very important that you do your homework before you actually buy a real property. Investing in real properties in the United States can be profitable especially during these times. In fact, it may be the wisest and most perfect investment you can make right now.

Maria Gudelis has been a real estate investor and entrepreneur for over 10 years. She has investigated or bought properties all over the world including Mexico, Ecuador, Canada and the U.S.A. Past co-founder of the Southern California 'Forum for Women Entrepreneurs', her passion is to help other entrepreneurs leverage technology and real estate to be successful in their businesses. Her website is at http://www.maria-gudelis.com

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Successful Real Estate Investing

Successful Real Estate Investing
By [http://ezinearticles.com/?expert=Joe_Love]Joe Love

One of the best roads to wealth in America has always been the acclimation and development of good, solid, income-producing real estate. Real estate ownership is one of the best ways to achieve financial independence for the average person. But in order to be a successful real estate investor, you are must become above-average in your knowledge and understanding of how the real estate market works.

There are five basic requirements that you must follow to succeed in real estate.

1. Write out clear and specific goals that have time lines on them. Set a goal for the exact type of property you are looking for. Do want a single family property? A duplex? A four-unit property. You must be specific. Set a goal for getting the money you’ll need to purchase the property. Always make sure your goal has a time line for when you will acquire the property. Will it be six months or a year? Set goals for the amount of real estate you intend to purchase in the next three, five, and ten years. The very act of writing out set goals for yourself in real estate will make it much more likely that you’ll have the success you are aiming for.

2. Write out a detailed plan of action, listing everything you are going to do, organized by priority. The combination of goals plus detailed plans will give you a blueprint for real estate accumulation that you can begin to follow on a day to day basis.

3. Make a plan to learn every detail of the real estate business. Because the potential rewards are so high in real estate, they will go to those who have done their homework and paid their dues. It’s very important for you to become an expert at real estate before you begin investing your time and savings in real estate acquisition.

4. Be prepared to back your plans with hard work, sacrifice, and persistence. Going into real estate is very much like starting a business. There is a tremendous amount that you have to learn and you can only learn by experience. There will be ups and downs, successes and failures, and you must be willing to persist patiently throughout, knowing that you will be successful in the end.

5. If you are really serious about building something lasting and worthwhile in real estate, resolve to get into real estate for the long term, for a minimum of ten to twenty years. Real estate investment is not something that you jump into and out of. It is something that you step into very carefully, and should be prepared to hold onto for a long time.

Many people who purchase real estate, hold it for a long time and then sell it just before it starts to rise rapidly in value. They become impatient when they hear about other people making quick or easy money by flipping real estate properties.

The definition of investment real estate in its simplest term is: “Real estate is its future earning power.” Let me put this another way: “Real estate is nothing more and nothing less than its future earning power, its value at some future date.” In other words, the value of any piece of real estate is determined by the income that can be generated by that property when it is at its highest and best use, from today and on into the indefinite future.

An important question that you should always ask when you are considering any real estate investment is, “When and how will income or wealth be generated on or by this piece of property, and in what amount?” The correct answer to that question tells you how much the property is worth today and how much it is likely to be worth in the future.

Even though interest rates are at all time lows and property values are increasing at record levels, there are still foreclosures happening at record levels today, because of so many people losing their jobs. Having said this as a warning, there are many things that you can learn and do, starting with very little money, to begin building your financial independence in real estate.

If you do not have much money but have lots of time, and you sincerely desire to enter into the real estate field, the simplest way for you to start is to buy homes that need work and fix them up, thereby increasing their value. This is where many successful real estate investors and entrepreneurs begin their careers.

Here are six basic steps you need to follow if you are going to buy properties and fix them up.

1. Do your market research thoroughly and look at houses until you find one that is under priced relative to the neighborhood, because it is run down and needs a lot of work. A house that is under priced is one that is selling for 20% or more below what similar houses are selling for in the same area, based on the cost or sales price per square foot. For you, this type of home could be what is called a “Sleeper.” It can be more valuable than it appears on the outside.

2. Purchase the house at the lowest possible cash down-payment and get the seller to carry back a second mortgage or deed of trust for the property. Your ideal purchase of investment real estate is always to get the very best price and terms. Price and terms are often more important than any other single factor. If you can get a low enough price and generous terms you can make almost any property into a successful investment.

3. Move into the house and begin working on it on the weekends to renovate and refurbish it, doing all or most of the work yourself. Many husbands and wives have launched themselves toward financial independence by working as a team to buy and fix up houses, approaching this as a family project.

4. When you have fixed up the house and yard so that it is attractive again, you can then do one of three things. You can sell the house for more than you paid and take the profit from the sale and buy another house to renovate. You can rent out the house at a rate that covers your mortgage payment and hopefully gives you extra cash flow. Or you can rent out the renovated house and then refinance the property, often for as much as you paid for it, based on the higher earning power of the property when you rented it.

5. You can then repeat this process with another house, again doing the renovations yourself until you have fixed it up and you are ready to sell, rent, or refinance the second house as well.

6. As you increase your assets, your cash flow, and your experience, you move up to buying and fixing duplexes and eventually apartment buildings.

There are two main advantages to buying properties and then fixing them up yourself: First, you can do it while you keep your full-time job, continuing to generate cash flow from your job for repairs and renovation. Second, you can start small, with little or no money, little or no risk, and expand your activities as you gain more knowledge and experience.

Making money in anything, especially real estate, is hard work and requires persistence. Everyone with a property for sale wants to get as much of your money for it as he or she possibly can. Your job is to see that they don’t. So, if you are willing to do your homework and take your time, you can make prudent and profitable real estate purchases and sales.

You make your money when you buy real estate, not when you sell. You make your profit in real estate by buying right, by buying the right property at the right price and at the right terms. When you sell, you simply realize the profit that you made at the time of the purchase. Another important rule for investing in real estate is this: don’t become emotional about a property that you are purchasing for investment. Always look at the property from the viewpoint of a critical purchaser.

Purchasing real estate of any kind requires careful thought and analysis. Just remember that you are buying the long-term future earning power of a piece of property. You are purchasing the property as an asset and nothing more. Always remember, real estate is only an asset if it puts money into your pocket.

These rules are all food for thought if your are planning to become a real estate investor. These are some basics that you need to know to get started in the field of real estate. Read books and attend seminars on a regular basis in the field of real estate. Go out and look at properties every week that are for sale, even if you are not ready to buy. By doing this you will be gaining valuable experience. Nothing can take the place of knowledge and experience, especially in the field of real estate.

Millions of men and women have become financially independent by investing in real estate, and with the proper knowledge and experience, there is no reason why you cannot do it as well.

Copyright© 2005 by Joe Love & JLM & Associates, Inc. All rights reserved worldwide.

Joe Love draws on his 25 years of experience helping both individuals and companies build their businesses, increase profits, and achieve total success. He is the founder and CEO of JLM & Associates, a consulting and training organization, specializing in personal and business development. Through his seminars and lectures, Joe Love addresses thousands of men and women each year, including the executives and staffs of many of America’s largest corporations, on the subjects of leadership, self-esteem, goals, achievement, and success psychology.

Reach Joe at: [mailto:joe@jlmandassociates.com]joe@jlmandassociates.com

Read more articles and newsletters at: http://www.jlmandassociates.com

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Selling a Home in a Buyers Market - Real Estate Agents Tips

Selling a Home in a Buyers Market - Real Estate Agents Tips
By [http://ezinearticles.com/?expert=GA_Anderson]GA Anderson

Today's real estate market, a buyer's market is very different from the seller's market of three to four years ago. Today: property values are depressed, there are less available buyers due to restricted credit access, there is an abundance of properties on the market, and listing prices are showing drastic cuts. So how do you increase your chances for getting a fair value when selling your home? You need a plan of action that addresses that all-important buyer's first impression. The picture a buyer gets when they see your property for the first time can make or break a deal.

It is the small things that influence a buyer's first impression of your home or property. It is all the little details that form the picture a buyer sees when they first get out of the car. It's your property's "curb appeal". For someone buying a home, that first impression will be a factor in every consideration of the deal. It can be the deciding factor in a buyer's mind when considering the desirability of your property versus another property for sale in the same price range. Enhancing your property's curb appeal can be an important step in creating a good first impression. Cosmetic details, like a freshly painted front door, and clean sidewalk, can help your potential buyer decide to consider buying your home instead of buying a house down the street, or they can make them get back in the car to look somewhere else..

Evaluating your property's curb appeal should be the first step in your plan of action. Look at your property from a buyer's point of view, as if you are seeing it for the first time. What is your home's curb appeal?

Is the lawn and landscape well maintained, or do you need to cut the grass and put down some new mulch? Is the lawn décor and furniture neatly arranged, or is it hap hazard and disorganized? Is the sidewalk or walk-way clean? Are the flowers and shrubs neat and trimmed? What about your roofline, is a gangly antenna the first thing you see? What about your side yard and outbuildings, is the trash can and junk around the garage the first thing you see? Does your front entrance need painting or sprucing up, is it cluttered with décor items that a buyer might not find appealing?

Grab a pad and pencil and walk around your neighborhood. Look at the homes from the curb, make notes about houses with things you find appealing, and also note those houses that don't look so good. What didn't you like, what looked bad from the curb, what affected your first impression? Now take those notes and stand in front of your home. Look at it honestly, as if you were a buyer seeing it for the first time. What is your first impression?

You will probably see things you had not noticed before, like the weathered and faded mulch in the flower beds. Little things that you had taken for granted or assumed weren't important. Now you can make a list of the things to do to improve a buyer's first impression. There may be a semi-major project or two, but more likely you will end up with a to-do list of smaller tasks that will only take a little time and effort, not a lot of money. You can use this list to improve your property's curb appeal so that when a buyer steps out of the car their first thought will be; "This looks nice". That first impression could help get you an offer, or perhaps even seal the deal.

G.A. Anderson is a freelance article author specializing in topic-specific requests. You can see the complete version of this article at: [http://hubpages.com/_anderson/hub/selling-a-home-buyers-market]Selling a Home in a Buyers Market. To see more G.A. Anderson articles, visit his [http://hubpages.com/_anderson/profile/Appletreedeals]HubPages articles.

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HOME :: Real-Estate / Marketing How to Work Real Estate Internet Leads Without Going Crazy

So you've finally figured out a way to generate real estate leads through the internet?

Congratulations, you're rich!

Except for one tiny little thing, of course: actually closing your leads and generating sales.

Without a solid system, the only thing you'll be generating is a lot of work and heartache. In fact, I would say it's better to avoid online leads all together unless you're willing to invest the time upfront to set up proper systems.

What exactly do I mean by a system? A proper lead follow up system consists of three parts:

1. Customer Service/ Follow Up at Internet Speed

Everything is faster on the internet. Think of the last time you shopped for anything online. Were you willing to wait even half an hour for an answer from an online store, or did you just move on until you found the answer immediately?

Online customer service is an entire article in itself, but here are the basics:


Make it easy for them to contact you - post your phone # prominently and use an online form - just posting your email address is worthless.
Respond within 5 minutes - after 30 minutes you may as well not even bother.
ALWAYS provide something of value in every phone call/ email/ tweet/ note on rock thrown through their window, etc. This could be market news, useful links, answers, etc.
2. Use a CRM System (even if it's just an excel sheet).

37 signals, a hugely successful software company has a great saying: make half a product, not a half a**ed product. The same goes with leads: it's better to work half your leads well, than try to work all your leads and do a half-a**ed job of it.

To do it right, you'll need to track your leads. For no frills, make an excel sheet with their info, how/ why the found you, and what you've sent them so far. Don't forget the most critical part: prioritize your leads (I can't argue with the time-tested "A, B, C" system, but feel free to get creative if you need a little flair in your CRM).

My personal favorite for real estate CRM is Highrise, by the aforementioned 37 signals (just Google "highrise, they're #1). It's free up to 250 contacts, it's drop dead simple to use, and it plays nicely with your email.

3. Give The People What They Want.

Ask yourself why they contacted you in the first place: what do they want? Figure that out, then create or find those resources and put them all in a folder called "resources" on your computer. For example: buyer's guides, market statistical reports, recent neighborhood sales, advice articles about picking lenders, etc.

That way, every time you email a lead you can either attach something useful, or link to it in your email. It also gives you a great reason to call them, so you can ask permission before sending them an attachment.

In all honesty, there is simply no way to get the same success rates from online leads as you do from referrals and personal connections - that's simply the nature of the beast. Done properly, though, you can generate a solid amount of business without letting online lead follow up take over your life.

Now if you'll excuse me, I have to go research the pet weight restriction of a condo building for a random lead who just called... hey, I never said it was easy!

Michael is an active real estate broker, and has both a California state salesperson's license and a California state broker's license. Michael is also the founder of My Single Property Websites. You can also read more marketing tips on Michael's real estate marketing blog.
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Different Kinds of Student Loan Options

How good is your credit history? Have you wanted to apply for a student loan, but felt your credit history would prevent you from being accepted?

While standard loan companies are more than willing to hand out loans to people with good credit, those who fall short of the mark are left without approval. The good news is, there are some student loans available that do not take your current credit history into consideration.

The Stafford Loan which is from the U.S. Department of Education does not review a person's credit history for consideration when approving the loan. This is in large part because these loans are given to students who fall in the young age category where they have not yet had a chance to develop any type of credit history.

The Perkins loan as well, does not take into consideration any credit history. It is a federal loan for those who are generally in dire financial need. A PLUS loan is an option if you have bad student loan credit. So even in the event of your having defaulted on a prior student loan you can still get financing through a PLUS loan.

This loan is actually taken out by your parents on your behalf. Therefore you would still be able to benefit from financial aid. If you are someone who has a negative credit rating, but would very much like to enroll in school then checking into the federally funded loan programs would be the way for you.

If you have defaulted on a student loan, the good news is that if you begin to make payments even though you can't repay the entire loan, you can still become eligible again to apply for more student aid. In the long run, if you can obtain a personal loan for a degree which will earn you a sizeable income upon completion, this may be something you might consider also.

John has been writing articles online for nearly 4 years now. Not only does this author specialize in a variety of subjects, but you can also check out his latest website on Water Filter Cartridges which reviews and lists the best Whole House Filter.Article Source: http;//www.Real Estate Nad.blogsport.com

HOME :: Real-Estate / Building-a-Home Connect to the Future Through Your Home

A home that you build today may become obsolete tomorrow. The lifestyle choices and technological options of tomorrow may ill fit even the most modern home of today. But does it mean that all homes are fated to become obsolete with time? Definitely not. You can future-proof your home by making prudent choices regarding infrastructure and interiors, thereby protecting your financial investment in the house and also helping your personal future.

If you want to future-proof your home, be prepared to invest time in thoughtful planning. How you are planning to use the home in future becomes the most crucial factor in deciding how to go about future proofing it. So, a vision of where and what you will be in future and what role the house will play then has a lot to do with planning for future proofing. Location is also important, maybe your house is located near a school, hospital or other utilities. Even if you are not interested in the benefits at the moment, you may begin to appreciate them in the future or perhaps the next buyer will.

Future proofing is prudent especially when you are buying a new home. simply because of the inherent opportunity and flexibility that you have when it comes to deciding the location, infrastructure, and other features of the house.

Ask yourself the following questions when you decide to future proof your house.

Is there a chance that you might want to start a home office and start working from home?

Are you planning to start or raise a family?

How long do you plan to stay in the house and how will you ensure that as you grow, the house also grows with you?

Are you likely to prefer any particular utility or service in the future, perhaps a nearby hospital for an elderly couple or a school for children?

Experts advise that it is a good move to invest in an extra room in the floor plan, so there is always the flexibility in future to move into the additional space when the need arises.

A loft can be converted into a kids play area. A basement can be converted into a recreational room or a workout studio. An extra room can always serve as a home theatre or even as a library.

Look Forward

Today's families are spending more time together in their homes. The requirements are also different than how it used to be. A home needs to be well wired and should have good communication capability including home entertainment options. Entertainment and technology are two most important things a modern home owner looks for. They are better if pre-installed in a new home, once the family moves in it may be difficult to make the required modifications. Homeowners need to think this through before they settle on the features that they opt for in new homes.

A well planned and structured wiring system can provide for present and future plug and play access points for various facilities like phone, multimedia, computer networking, internet and even security camera systems.

Future proofing a home guarantees the long life and adaptability of your home. Ensure that the building material and the design of the home are long lasting and has a timeless appeal. Plan for future storage space requirement and ventilation. The right interior options go a long way in preserving the life and value of a home for years to come.

Par Development is the popular new home builder in Illinois and Wisconsin. We know the Chicago and surrounding areas better than anyone else, and we have some great offers on Illinois vist www. Real Estate Nad.blogsport.com

A Word About Apartment and Commercial Real Estate Seminars

A Word About Apartment and Commercial Real Estate Seminars
By [http://ezinearticles.com/?expert=Darin_Garman]Darin Garman

There are a lot of real estate seminars out there. Being offered day after day. Even in the mail, you probably get a pitch at least once a week or once every two weeks for a real estate seminar that you can attend in your area or maybe even a product that you can buy - like some CD's. So, should you go to these seminars? Should you take advantage of the "next" huge investment opportunity that you have a chance to get involved in? Yes and No.

I have always recommended getting as much knowledge as possible. That is one of the reasons why you are even reading this article. And you will usually always walk away with at least one idea or strategy that you can use. But, don't necessarily get sucked into buying the next big thing. In other words, don't fall for the "grass is greener" syndrome and buy the $5,000 seminar or the $4,000 home study "get rich by Tuesday" course. Think it through first, the question to ask yourself is, "Am I Really Going To Put My Time And Effort Into This?"

If the answer is Yes, by all means move forward but, if the answer is no or I don't know, then, move along. It human nature for us to see something else and think that is the way to go, drop what we are currently doing and jump 100% into the next great opportunity. Don't fall for it. Nothing is ever as easy as it seems and if you jump on every great real estate investing opportunity that comes up, well, you will never acquire any real wealth.

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Attention Real Estate Brokers - It's Time to Get Green

Attention Real Estate Brokers - It's Time to Get Green
By [http://ezinearticles.com/?expert=Kelly_J._Kim]Kelly J. Kim

In the process of attaining your Broker's license, gain the knowledge you need to assist clients looking to improve on the energy efficiency of their homes.

With green building issues becoming increasingly important to buyers and sellers as well as businesses, the National Association of Realtors (NAR) now offers a Green Designation to help its members meet this growing demand. Real estate professionals who have earned this designation are prepared to provide valuable aide to their clients in the search for environmentally-friendly properties and work to incorporate green principles into their own practice.

The NAR's Green Designation indicates knowledge of industry rating programs and standards, such as Leadership in Energy and Environmental Design (LEED) certification, ENERGY STAR qualifications, and the Home Energy Rating System (HERS) index.

During recent testimony before the Housing and Community Opportunity Subcommittee of the House Financial Services Committee, the NAR expressed support for the approach and overarching goals behind the Green Resources for Energy Efficient Neighborhoods (GREEN) Act, H.R. 2336.

In addition to creating incentives to promote energy efficient building, rehabilitation and upgrades, the bill also provides a loan fund for states to put into action renewable energy projects and would encourage a number of U.S. Department of Housing and Urban Development demonstration and pilot programs to provide best practices for promoting energy efficiency.

"We know that many of today's consumers want homes and communities that are sensitive to the larger environment, and we are pleased that the GREEN Act would offer resources and incentives to help them improve the efficiency of their homes," said David Wluka, a member of NAR's Global Climate Change Presidential Advisory Group. "The consumer education efforts funded by this legislation would also increase public awareness of the availability of energy efficient mortgages and encourage movement toward green housing."

Knowledge of our nation's green initiatives and how they pertain to your buyers and sellers will provide your real estate career with a vital competitive edge. Enhance your broker license education with a green real estate training course. Choose a convenient, online program and obtain the green housing knowledge you need in your free time.

Kelly J. Kim is marketing specialist of [http://www.training4green.com]Solar Training for real estate careers. Allied's career training in today's emerging green technologies prepares you to realize new and exciting career opportunities. Learn about solar energy and green building -- [http://www.training4green.com/solar.asp]online solar business training and renewable energy courses will prepare you start an environmentally-friendly career.

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Green Real Estate - What Homes Qualify and Which Don't

Green Real Estate - What Homes Qualify and Which Don't
By [http://ezinearticles.com/?expert=Mark_Gavalda]Mark Gavalda

There is an uprising trend in the number of green homes. Perhaps the much insisted eco-friendly solution have finally caught up with real estate as people are now adopting to using renewable energy sources and materials without residual toxins inside their homes. But if you are a newly celebrated eco-friendly folk and you are on your way to buying your new eco-friendly home, there are a few things that you need to look out for.

The first thing to look for is the type of flooring. Hardwood floors are important in not only maintaining the aesthetics of the house, but in house warming as it conserves heat especially in the cold seasons of winter. It eliminates the need for carpets which are usually prone to dust.

The windows have to be orientated towards the sun, so that much natural light as possible can get into the rooms. They should also be large and preferably double paned. When there is an adequate source of natural light, you cut back on the need of artificial lighting, and in the end, you save up some money in the electric bill.

The location you choose for your eco-friendly home is of the essence. It should be away from any source of pollution, and instead, be as deep in nature as it can be. If it's near the city where there are a lot of carbon emissions from vehicles, or near some factory, then it is inappropriate. Choose instead a place where there is an abundance of trees, and nature is in its fullest.

The design that the house has is essential too. The bigger a house is the more power hungry it's going to be. That's in respect to the amount of electrical power supply needed in running the systems, and in heating and cooling it depending on the environmental temperatures. If you don't need too much space, go for a medium sized house that will be easier to maintain.

As the housing crisis bottoms we'll have plenty of one in a lifetime [http://www.RealtySamurai.com]real estate investment opportunities. If you don't want to miss out on them, visit my [http://www.RealtySamurai.com]real estate blog today!

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If Real Estate Investment Is So Great, Why Doesn't Everyone Do It?

Oh, that's an easy one. I can answer that in one word. FEAR.

Real estate investment is a great way to change just about everything in your life, but it's one of those things where doing it for the FIRST time is the toughest. In fact, the second is exponentially easier!

It's fear folks, plain and simple! And why doesn't make much sense to me. Consider that:

- "Everyone knows that the surest path from low income to millionaire is through real estate." This appears to be a well-documented truism. I've seen a similar statement in some of the most prestigious financial resources on the planet.

- I rarely hear of someone losing it all from real estate. I might be living in la-la land, but for the most part I only hear of folks prospering from real estate investing. Sure, occasionally I hear of deal going bad or growing complicated, but not to the point of ruining folks.

- There are a lot of properties available. Folks are still divorcing, dying, or just not paying the bills and getting foreclosed on. Much of the foreclosure activity is not SEEN by the public, but most of it is available to the public.

- There are a lot of properties available at below market prices. That's been my experience anyway. Of course, I have folks right here in my area that tell me they can't find properties. I just smile and nod my head.

- Rental demand is strong and rents never go down!

So with all this common knowledge and raw opportunity out there, why isn't everyone investing in real estate?

Here's my theory.

* Real estate transactions are more involved than going to Wal-mart for a pair of undies, so that scares people. You have to learn a little bit. Mind you, this isn't a lot of learning, but it is apparently enough to keep some on the sidelines.

* The numbers are big. I've seen folks nearly CEASE UP mentally talking about large amounts of money. Merely talking about a $100,000 mortgage causes some people break out in a sweat.

* Horror stories. Everyone's heard about some scam, sink hole, meteor or something else on the fringes of believability that has happened somewhere at sometime. I mean, there is SOME risk involved.

* Fear of taking action! It's hard to do something you've never done, and harder to do something you've never done before in a subject matter on which you aren't an expert! People fear something, which makes facing that fear hard. What I'm referring to is what I call, "IT'S EASIER NOT TO."

So what does one do to face fear and make a change in their life,

Ah, that's just as easy as the last question. I can also answer that in one word…KNOWLEDGE.

Once properly armed with the knowledge they need, most folks can overcome their fears to the point of taking action.

So if you are contemplating taking your financial future into your own hands by investing in real estate, FOCUS on one thing for the next 3-6 months. Buy books or courses, got to real estate investing club meetings, visit websites and get on discussion groups. Let those things be your action steps for awhile. I suspect you'll be ready to dive into the market with the knowledge you'll gain.

I have a motto.

"Knowledge Always Precedes the Money."

California Real Estate

The process for purchasing a home in California is different from the procedures that are used in other states. Unlike the East Coast, attorneys are not used to complete the sale of real estate. Instead, an escrow is used. Once you have located a home you want to buy, you will begin hearing people talk about the escrow. In California, there are no closing meetings. It is not common for sellers and buyers to meet each other on a regular basis. If you want to buy a home in California, you will want to make sure you have a loan before you begin the process of looking for a home.

All real estate agents in California must be licensed to buy or sell real estate. Every agent you deal with should either have a Salespeople or Brokers license. Brokers are allowed to receive payment for the sale of a property, while salespersons must work under the broker. Multiple brokers are allowed to work together, and are called sales agents. Sales agents must answer to a Broker of Record, and this is the person who will supervise them. There are three agencies that will be found in California, and these are dual-agencies, buyer's agencies, and sub-agencies.

Before you decide to get a loan or broker, you will first want to find the right home in the best possible neighborhood. You will also want to consult an agent to find out what type of home is best for your income level. The agent will want to know what home you're interested in. You should always be ready to buy a home when you visit the agent. If you are truly ready, you will be given a better deal, because agents will often have to deal with people who are just "looking," and are not commited to making a purchase. Once the agent knows what type of home you want, they will begin driving you around to show you the different homes that are available.

The agent will not want to drive you around until after they've interviewed you. As the buyer, you will want to make sure the agent is experienced. When you deal with agents in California, they should put you in the loan qualification process as soon as possible. By getting approved for a loan, you will be placed in a powerful position where you can negotiate. Once you have found the home you want, you will want to make an offer to the agent. In California, the offer should always be made in writing. The paper that it should be written on is named the Deposit Receipt.

You will want to place all the information about your offer on the Deposit Receipt. The agent will help by providing you a list of homes that are much like the one you're interested in. When an offer is made, it is also customary to write a check which is about 3% of the offer that you are making for the home.