How To Accumulate Cash To Invest In Real Estate
by Jack Sternberg
Plenty of fancy words have been written about real estate investment strategies. But I want to cut to the chase in this article. No matter how fancy the language is, investment strategies boil down to two objectives: Buying real estate to accumulate cash. Buying real estate to build equity and wealth. real estate agent
Which strategy to choose depends entirely on you "your needs, your personality, and so forth. Frankly, either choice is fine as long as you choose one early in your career, commit to it over the long term and do everything you legally can to make it successful. real estate agent
In this article, I'll look at the cash accumulation strategies and the pros and cons of each. I'll treat the build equity and wealth strategy in another article. The Cash Accumulation Strategy Let's assume you're relatively new to the real estate market and need methods for pursuing a cash accumulation strategy. real estate agent
Below are several methods you can try: Bird dogging. In simple terms, you find good properties for investors and charge them a finder's fee for doing so. This is strictly a cash strategy. real estate agent
Advantages: It doesn't require any cash on your part or previous knowledge. It's also the fastest way to earn cash. In addition, it's a great way to learn the ropesof the local real estate market. real estate agent
Disadvantages: The money you earn per transaction is the least in the market. It also takes considerable time and effort to locate suitable properties. Flipping. Flipping is the art of buying property, waiting for the right moment, and then selling it for a quick profit. In basic terms, you're controlling the property with a binding purchase contract. This strategy is most effective in areas where the demand for housing is so high that there's a limited supply, causing prices to rapidly rise. real estate agent
Advantages: With this method, you'll get negotiation leverage and good profit potential. Also, it can be a good life if you enjoy an entrepreneurial life style and a lot of freedom. real estate agent
Disadvantages: Volume can be low, depending on market conditions so your income can fluctuate. Although flipping is entirely legal, it received bad press due to con artists making a quick buck by duping customers. So, you may need a thick skin in terms of other people's opinions of you. Another disadvantage occurs when too many speculators get into the market. When that happens, prices drop quickly, and you end up stuck with the property and no immediate profit. Another possible downside is that interest rates can rise, thus dampening the demand for housing. A final disadvantage is hidden property problems. If you don't pursue careful due diligence, you can end up with expensive repair costs that eat up your profits or even cause a loss. Buy and sell as-is. This method is simple: buy a property, leave it as-is, and then put it back on the market but at a higher price. real estate agent
Advantage: When done right, you'll find that the profit margin is even higher than with the flipping method. real estate agent
Disadvantages: This method takes time and, due to that fact, volume may be low. Buy, improve, sell. With this method, you purchase a property, make cost-effective improvements, and then sell it at a higher price. real estate agent
Advantage: Margins are even better with this rehabbingmethod than with the previous methods. real estate agent
Disadvantages: With this method, you have a much bigger investment time and money than the previous methods. real estate agent
Saturday, April 18, 2009
Selling Montreal Real Estate: 3 Easy Tips for Home Staging
Selling Montreal Real Estate: 3 Easy Tips for Home Staging
by Eric Giguere
Before you put your home on the Montreal real estate market, it's important to make sure that it shows at its best. Home staging is a great way to enhance the look of your home and gives it a better chance of selling quickly and for the price you want.
Home staging in the Montreal real estate market is a growing trend. Home stating has one goal in mind and that is to make sure the house looks like showroom quality. Home staging has statistically sold homes faster and for more money, so why not do a little staging of your own.
The point of home staging is to give the home a neutral look that will appeal to the most buyers. Before you hire a professional home stager, you may want to look at what you can do yourself to increase the value of you home.
The 3 Ds of Home Staging
1. De-clutter: Over the years of living in the same house, everyone has the tendency to collect material things which are usually end up in the basement or the garage or the attic. Clutter is deadly to selling a house and can seriously reduce the selling price. Take a quick inventory of your rooms and evaluate what you could remove to make more room. When showing the house ensure that nothing is on the floors, especially clothes, and that the kitchen counters are free of most things except for accent items. You can refer to a "Stager" specialist for how to and professional advice.
2. De-personalize: Your personal touches make a home out of your house, but they may also scare some buyers off. Remove anything that is of personal, religious or sexual nature. If you like family photos and have them pinned up on the walls, take them down and replace them with neutral artworks. If you value religion and have symbols and artifacts around the house remove those during the visits as the potential buyers may not be of the same faith. If you have artwork that is of a more adult nature, remove them also because it may offend some potential buyers. The benefits will greatly outweigh the cost.
3. Deep Clean: It's spring cleaning time. A deep clean is the best way to really make your house stand out. It's also one of the oldest trick in the sales book. The first thing used cars salesmen do when they get a new used car on the lot is to deep clean it and make it shine. Clean and dust everything that you don't normally clean. Windows inside and out, doors, windows and door tracts, light fixtures, top of cabinetry, behind and under couches, furniture and appliances, walls and ceilings, and anywhere else you don't clean on a regular basis.
Before every showing: DUST and WINDEX
If you are selling a home in Montreal, you want to make sure that it is in the best condition possible to get the most profit possible. You should do this even if you choose to list with an agent since a good agent would tell you to do the same. Actually, if you choose to invite agents into your home, you should do these simple tips before they come visit. That way they will get a good first impression about your house and make the experience that much more pleasant.
by Eric Giguere
Before you put your home on the Montreal real estate market, it's important to make sure that it shows at its best. Home staging is a great way to enhance the look of your home and gives it a better chance of selling quickly and for the price you want.
Home staging in the Montreal real estate market is a growing trend. Home stating has one goal in mind and that is to make sure the house looks like showroom quality. Home staging has statistically sold homes faster and for more money, so why not do a little staging of your own.
The point of home staging is to give the home a neutral look that will appeal to the most buyers. Before you hire a professional home stager, you may want to look at what you can do yourself to increase the value of you home.
The 3 Ds of Home Staging
1. De-clutter: Over the years of living in the same house, everyone has the tendency to collect material things which are usually end up in the basement or the garage or the attic. Clutter is deadly to selling a house and can seriously reduce the selling price. Take a quick inventory of your rooms and evaluate what you could remove to make more room. When showing the house ensure that nothing is on the floors, especially clothes, and that the kitchen counters are free of most things except for accent items. You can refer to a "Stager" specialist for how to and professional advice.
2. De-personalize: Your personal touches make a home out of your house, but they may also scare some buyers off. Remove anything that is of personal, religious or sexual nature. If you like family photos and have them pinned up on the walls, take them down and replace them with neutral artworks. If you value religion and have symbols and artifacts around the house remove those during the visits as the potential buyers may not be of the same faith. If you have artwork that is of a more adult nature, remove them also because it may offend some potential buyers. The benefits will greatly outweigh the cost.
3. Deep Clean: It's spring cleaning time. A deep clean is the best way to really make your house stand out. It's also one of the oldest trick in the sales book. The first thing used cars salesmen do when they get a new used car on the lot is to deep clean it and make it shine. Clean and dust everything that you don't normally clean. Windows inside and out, doors, windows and door tracts, light fixtures, top of cabinetry, behind and under couches, furniture and appliances, walls and ceilings, and anywhere else you don't clean on a regular basis.
Before every showing: DUST and WINDEX
If you are selling a home in Montreal, you want to make sure that it is in the best condition possible to get the most profit possible. You should do this even if you choose to list with an agent since a good agent would tell you to do the same. Actually, if you choose to invite agents into your home, you should do these simple tips before they come visit. That way they will get a good first impression about your house and make the experience that much more pleasant.
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