Whether you are looking for real estate for sale or trying to sell property yourself, knowing about the real estate agency you are dealing with is crucial. Anyone who can pass the real estate exam can become an agent, so as you can imagine, the quality varies greatly. Some real estate agencies are known for negotiating a fair deal, giving honest information, and using ethical business practices. Whether you are buying real estate for commercial purposes, for investment, or just for a place to live, it is always an extremely difficult and important decision who to go with. That is why it pays to know all you can about real estate agencies going into the deal.
It is amazing how few people bother to research a real estate agency before they look at a piece of commercial property. Most people trust their own instincts in figuring out whether or not a property is worth it. Generally, they do a little bit of research about the market, take a good look around the property, ask some questions, and then make a bid or go on their way. In reality, this is just not enough information! Without a real estate appraisal, it is difficult to know how much a particular piece of property is worth. Even an honest real estate agency will try to play up the value of a property and downplay its faults. It is up to you to know what you are getting into. Sometimes, it is impossible to do that without a real estate agent.
When I was selling my house, I initially wanted to go with the numbers. I wanted to find a real estate agency that could get me the most money for my property – not a bad way to go about making my decision. I talked to a friend before I picked out a real estate agent, however, and he told me that I wasn't thinking about it in the right way. Getting a good return from a real estate agency is important, but I hadn't factored in things like commission. The best real estate agents make a killing, charging a huge commission. Sometimes, it really make sense to go with second-best. The commission they take is so much less that you might end up with more money for your house in the long run. If you are a seller, after all, you want the real estate agency that you hired to get you as much money as possible. Money that you have to pay in commission is money that you don't get.
Thursday, 22 January 2009
Options to Buy
Have you ever stopped to reflect what type of parent you are? I find it hard not to think about this often. Parenting is such a huge responsibility, yet we really do not have any formal training on what to do. There were times when my sons were growing up when I would second guess my decisions. The one thing that I did differently than my parents did was if I made a mistake I admitted it and apologized for it. So many parents will not acknowledge if they make a mistake. I think it is good to let your children discover that everyone makes mistakes and that the best thing to do when it happens is to correct the mistake and move on.
One thing that my husband and I have agreed on is not to meddle in our children’s married life. Both of our sons are now married and are looking at different property. My one son found a house that is for rent with the option to buy. The rental rate is reasonable. I was happy that he was looking at doing this. The house that they are looking at is older. It has been remodeled and updated, however whenever you are dealing with an older home you never know what can go wrong. My thought was that by renting with the option to buy they would know for sure whether this was the right house for them. They would also get a feel for the neighborhood as well as the commute to work. After looking at other properties they settled on the option to buy home. They signed a six month lease. The deal was directly with the owner of the property. The owner had relocated to Arizona for the winter and was going move into a condominium for the summer months here. He would like to sell the house, however as long as he is getting the rental income he will wait for the six months. He told my son and his wife that if they decided to buy the house they could consider the rent money they will pay in the six months as a down payment. In other words he would have the amount of the rent off the asking price of the house.
Our other son thought this was such a great set up that he is looking for a home to rent that has the option to buy. He said he had done this with rental furniture when he was living in his apartment when he first was finished with college. He was glad he had done this because he rented leather furniture with the option to buy. After having the furniture for a period of time he decided that the furniture was not comfortable, so he took it back and rented a different set. He thought it would be great to be able to try out a house before making such a huge investment.
One thing that my husband and I have agreed on is not to meddle in our children’s married life. Both of our sons are now married and are looking at different property. My one son found a house that is for rent with the option to buy. The rental rate is reasonable. I was happy that he was looking at doing this. The house that they are looking at is older. It has been remodeled and updated, however whenever you are dealing with an older home you never know what can go wrong. My thought was that by renting with the option to buy they would know for sure whether this was the right house for them. They would also get a feel for the neighborhood as well as the commute to work. After looking at other properties they settled on the option to buy home. They signed a six month lease. The deal was directly with the owner of the property. The owner had relocated to Arizona for the winter and was going move into a condominium for the summer months here. He would like to sell the house, however as long as he is getting the rental income he will wait for the six months. He told my son and his wife that if they decided to buy the house they could consider the rent money they will pay in the six months as a down payment. In other words he would have the amount of the rent off the asking price of the house.
Our other son thought this was such a great set up that he is looking for a home to rent that has the option to buy. He said he had done this with rental furniture when he was living in his apartment when he first was finished with college. He was glad he had done this because he rented leather furniture with the option to buy. After having the furniture for a period of time he decided that the furniture was not comfortable, so he took it back and rented a different set. He thought it would be great to be able to try out a house before making such a huge investment.
New Homes
The housing market in most of the country is struggling right now. Interest rates have climbed, leaving some homeowners in a very uncomfortable situation. It isn’t the best time to be relying on the economy to make things a bit easier for you. So, if you’re in the markets for new homes, it may or may not be the best time to make some changes. Whether the new homes that you’re looking at are exactly that – brand new homes, or if you’re looking for a fixer-upper, but still a new home in your opinion – the market isn’t too stable right now.
Mortgages are being turned down more and more as the banks struggle to regain their own stability in today’s world. If you’re asking to finance a mansion, you may want to make sure that all of your ducks are in a tight row in order to even get the attention of a bank. Brand new homes can be a wonderful investment. But, they can also be a terrible purchase and cause a lot of problems. Believe it or not, depending on what kind of new homes you’re considering, the old saying is true – they don’t make them like they used to. Most new homes are not built with the same structure and intensity that has kept our older homes standing for many years. A lot of the builders nowadays are using less expensive materials and yet, still charging customers for the expensive materials. Houses are not built to last as long as they once had been. The prices for a lot of new homes are just outrageously high. Builders are trying to cram as many houses as possible into smaller areas. The end results mean that each homeowner has a very small lot and yard. Perhaps that’s what you want – to not have to mow or take care of a yard. However, many people do want a yard and finding new homes on larger lots can take quite a bit of research.
Of course, buying a new home means that you get to decorate and choose some of the options as your new home is being built. Keep in mind though that some of the options may cause your quoted price to go up a few dollars and suddenly you’ll be borrowing even more money than what was budgeted and planed.
A lot of houses on the market may not be brand new but they are still more solid than some of the older houses. Plus, buying an older home doesn’t mean that you can’t have a new home. It just means that it’ll be a new home to you, not to the rest of the world.
Mortgages are being turned down more and more as the banks struggle to regain their own stability in today’s world. If you’re asking to finance a mansion, you may want to make sure that all of your ducks are in a tight row in order to even get the attention of a bank. Brand new homes can be a wonderful investment. But, they can also be a terrible purchase and cause a lot of problems. Believe it or not, depending on what kind of new homes you’re considering, the old saying is true – they don’t make them like they used to. Most new homes are not built with the same structure and intensity that has kept our older homes standing for many years. A lot of the builders nowadays are using less expensive materials and yet, still charging customers for the expensive materials. Houses are not built to last as long as they once had been. The prices for a lot of new homes are just outrageously high. Builders are trying to cram as many houses as possible into smaller areas. The end results mean that each homeowner has a very small lot and yard. Perhaps that’s what you want – to not have to mow or take care of a yard. However, many people do want a yard and finding new homes on larger lots can take quite a bit of research.
Of course, buying a new home means that you get to decorate and choose some of the options as your new home is being built. Keep in mind though that some of the options may cause your quoted price to go up a few dollars and suddenly you’ll be borrowing even more money than what was budgeted and planed.
A lot of houses on the market may not be brand new but they are still more solid than some of the older houses. Plus, buying an older home doesn’t mean that you can’t have a new home. It just means that it’ll be a new home to you, not to the rest of the world.
Buying a Rental Property
There are a few ways you can make money without having to put a lot of time into something each day. That doesn’t mean you don’t have to work on your project, but there are some that can be done up and then left to run on their own, at least for a little while. One way to do this is to be a landlord, though things do seem to pop up all of the time. If you go about buying rental property that you can turn over and rent out, you can enjoy income each month with little work after your initial period of restoration.
Buying rental property can be tricky, but you can usually find the right thing if you look around. Many buy more than one, but when you are just starting out, one might be all that you can handle. For the best investment, you want to find something in a decent neighborhood that might need some work. You will get a good price when you go about buying rental property this way, but you can put a little work and money into it and turn it into a great piece of property. That means you can command a higher rent and get a return on your investment.
Buying good rental property does mean doing your research. You can’t always tell what a neighborhood is like just by driving through during the day. You have to go back a few times at different times of the day to see what is going on. There may be problems at night that are not apparent during the day. If you are looking around for buying rental property, and you notice a great house at a very low price, you have to wonder why that is. There may be a lot of crime, even though the neighborhood look would suggest otherwise, or even a very troublesome neighbor that has left the house unsold.
If you are new to buying rental property, you should also know that you should always have someone look over the house for you no matter what you think of it. There could be problems with the foundation or other key areas that mean the house will be more of an investment than you first thought. Though realtors are generally very honest about what is really wrong with a house, you should always get your own person to look over anything you are considering when you are buying rental property.
Buying rental property can be tricky, but you can usually find the right thing if you look around. Many buy more than one, but when you are just starting out, one might be all that you can handle. For the best investment, you want to find something in a decent neighborhood that might need some work. You will get a good price when you go about buying rental property this way, but you can put a little work and money into it and turn it into a great piece of property. That means you can command a higher rent and get a return on your investment.
Buying good rental property does mean doing your research. You can’t always tell what a neighborhood is like just by driving through during the day. You have to go back a few times at different times of the day to see what is going on. There may be problems at night that are not apparent during the day. If you are looking around for buying rental property, and you notice a great house at a very low price, you have to wonder why that is. There may be a lot of crime, even though the neighborhood look would suggest otherwise, or even a very troublesome neighbor that has left the house unsold.
If you are new to buying rental property, you should also know that you should always have someone look over the house for you no matter what you think of it. There could be problems with the foundation or other key areas that mean the house will be more of an investment than you first thought. Though realtors are generally very honest about what is really wrong with a house, you should always get your own person to look over anything you are considering when you are buying rental property.
Buying a House
Unless you have more money than you know what to do with, for most people, the decision to buy a house is probably one of the biggest decisions you will ever make. It isn’t like buying a pair of shoes, or committing to a year’s gym membership – to buy a house means many years of payments.
I rented a nice apartment for several years before I decided that I should buy a house instead of spending my money on rent. That way, I’d be investing in something instead of having nothing to show for it. Little did I know how much my decision was going to change my life. My first challenge that I had to take on, was finding a house that I was interested in. I looked on my own, without any luck. Finally, I recruited a reputable real estate agent to help me buy a house. After several months of open houses and showings, I found one that I would be happy with. They accepted my offer immediately and I got an amazing deal on my new home. That was the easy part. I had no idea that choosing to buy a house would require so many details, signatures, paperwork and agony. I felt like I was signing my entire life away. After a while, I stopped looking at what I was signing, so I may have ended up signing my life away – who knows.
So, after I managed to buy a house and make it through all of the details and actually moved in, I discovered the joys of being a homeowner. Gone were the days of calling my landlord whenever something went wrong. If my toilet overflowed, I was on my own. If my roof leaked, I was on my own. Of course, having to fix everything myself meant taking on new expenses as well. I hadn’t thought about that when I decided to buy a house.
The decision to buy a house, no matter how old or new the house is, could end up cutting into your budget like crazy. Home repairs, taxes, and maintenance all become your responsibility. Plus, if you end up not liking the neighborhood or your home, you can’t just pack up and leave. You’re stuck there. Don’t get me wrong, I’m certainly not discouraging anyone to buy a house. I simply think that entirely too many people buy a house without thinking about everything that goes along with the new investment. So many things need to be taken into consideration before you signed any forms. If you think you can’t afford to buy a house, it probably isn’t a good idea to pursue it. But, if you can budget the expenses and willing to accept all of the responsibilities that come along with it – go for it!
I rented a nice apartment for several years before I decided that I should buy a house instead of spending my money on rent. That way, I’d be investing in something instead of having nothing to show for it. Little did I know how much my decision was going to change my life. My first challenge that I had to take on, was finding a house that I was interested in. I looked on my own, without any luck. Finally, I recruited a reputable real estate agent to help me buy a house. After several months of open houses and showings, I found one that I would be happy with. They accepted my offer immediately and I got an amazing deal on my new home. That was the easy part. I had no idea that choosing to buy a house would require so many details, signatures, paperwork and agony. I felt like I was signing my entire life away. After a while, I stopped looking at what I was signing, so I may have ended up signing my life away – who knows.
So, after I managed to buy a house and make it through all of the details and actually moved in, I discovered the joys of being a homeowner. Gone were the days of calling my landlord whenever something went wrong. If my toilet overflowed, I was on my own. If my roof leaked, I was on my own. Of course, having to fix everything myself meant taking on new expenses as well. I hadn’t thought about that when I decided to buy a house.
The decision to buy a house, no matter how old or new the house is, could end up cutting into your budget like crazy. Home repairs, taxes, and maintenance all become your responsibility. Plus, if you end up not liking the neighborhood or your home, you can’t just pack up and leave. You’re stuck there. Don’t get me wrong, I’m certainly not discouraging anyone to buy a house. I simply think that entirely too many people buy a house without thinking about everything that goes along with the new investment. So many things need to be taken into consideration before you signed any forms. If you think you can’t afford to buy a house, it probably isn’t a good idea to pursue it. But, if you can budget the expenses and willing to accept all of the responsibilities that come along with it – go for it!
Big Houses
There's nothing like growing up in a small, three-bedroom ranch house to make you crave big houses. Ever since I can remember, I was fascinated by the idea of one day owning a big house. I loved anything with mansions on a hill, castles, forts, or Châteaus. My parents seemed to feel the same way. On weekends, we would drive through the expensive, ritzy neighborhoods on the edge of town. My parents said it was because they were more scenic, but I knew in my heart that we were there to look at the big nice houses. My parents were great parents, but they never had a lot of money. They always felt a little bit insecure about this, even though they could provide for us. I was grateful for everything that they did for me, but I did share their dreams. One day, I wanted to own a big nice house too.
When I started to look at big luxury houses, however, I was a little bit dismayed. At the time, I was working a good job. My income was in the high five figure rang, but even so I knew I would never be able to afford any of the really big houses that I saw. Real estate cost too much money. Property rates were high in the area I was currently living in, and even small houses were pretty expensive. Maybe I would be able to afford a fixer upper one day, but I would never be able to live in the type of luxury that I had envisioned.
One day, however, I came to realize that it would be possible to buy a bigger house. The key was to look for unconventional opportunities. Most people who are buying real estate simply look at the market, but there are other places where you can acquire big houses. For example, when banks foreclose on houses or when the government repossesses homes involved in criminal activities, they often sell them off at below market rates. You have to be willing to do a little fix up work most of the time, but it is well worth it. You can end up with a great home at a very affordable price if you know where to look for it. After going to a few of these auctions, I started to bid myself. Soon, I was living in one of the really big houses on the outside of town!
When I started to look at big luxury houses, however, I was a little bit dismayed. At the time, I was working a good job. My income was in the high five figure rang, but even so I knew I would never be able to afford any of the really big houses that I saw. Real estate cost too much money. Property rates were high in the area I was currently living in, and even small houses were pretty expensive. Maybe I would be able to afford a fixer upper one day, but I would never be able to live in the type of luxury that I had envisioned.
One day, however, I came to realize that it would be possible to buy a bigger house. The key was to look for unconventional opportunities. Most people who are buying real estate simply look at the market, but there are other places where you can acquire big houses. For example, when banks foreclose on houses or when the government repossesses homes involved in criminal activities, they often sell them off at below market rates. You have to be willing to do a little fix up work most of the time, but it is well worth it. You can end up with a great home at a very affordable price if you know where to look for it. After going to a few of these auctions, I started to bid myself. Soon, I was living in one of the really big houses on the outside of town!
Thursday, 15 January 2009
No matter what the market is like, you are usually at somewhat of a disadvantage if you are a tenant. It is better in some areas than in others, but no matter where you are, you are the one with more to lose. You are the one who pays money every month and gets no equity. You are the one who has to live in squalor if there is a leak or other serious problem that the landlord refuses to fix. You are the one who can end up homeless if things do not work out with your lease.
This is why it would be so nice to have a site with apartment reviews online for people to look at. Unfortunately, all of my apartment ratings review efforts have failed. As a tenants rights organizer in the San Francisco Bay area, I know a lot about how the Internet has changed things for tenants and for landlords. You can now find apartments to rent quicker than ever before, making things much easier for both landlords and tenants. You can post feedback about a housing situation, telling anyone who sees it whether or not an apartment was good. The problem is, however, that no one will see it.
The big problem is that, although there are places where you can leave apartment reviews (at least in theory) no one is going to see them. You see, almost no one uses these sites, and few people are aware that they even exist. Just having the information out there on the Internet is not going to do anything for anyone. The important thing is for people to know where to look at apartment review articles.
The only way to successfully publicize apartment reviews is to do it for a specific area. The site has to be made for one community, and word has to be spread in the community. Not only do people need to know where to go for apartment reviews, but the knowledge has to be widespread enough that it will make a difference. Only if a significant proportion of the population is willing to review apartments does the site become useful. Otherwise, it might as well not even exist. Until it is popular enough that any particular room for rent you are looking at is likely to be up on the site, why would you bother? Getting it to that point, however, is difficult.
This is why it would be so nice to have a site with apartment reviews online for people to look at. Unfortunately, all of my apartment ratings review efforts have failed. As a tenants rights organizer in the San Francisco Bay area, I know a lot about how the Internet has changed things for tenants and for landlords. You can now find apartments to rent quicker than ever before, making things much easier for both landlords and tenants. You can post feedback about a housing situation, telling anyone who sees it whether or not an apartment was good. The problem is, however, that no one will see it.
The big problem is that, although there are places where you can leave apartment reviews (at least in theory) no one is going to see them. You see, almost no one uses these sites, and few people are aware that they even exist. Just having the information out there on the Internet is not going to do anything for anyone. The important thing is for people to know where to look at apartment review articles.
The only way to successfully publicize apartment reviews is to do it for a specific area. The site has to be made for one community, and word has to be spread in the community. Not only do people need to know where to go for apartment reviews, but the knowledge has to be widespread enough that it will make a difference. Only if a significant proportion of the population is willing to review apartments does the site become useful. Otherwise, it might as well not even exist. Until it is popular enough that any particular room for rent you are looking at is likely to be up on the site, why would you bother? Getting it to that point, however, is difficult.
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