Top 5 Reasons To Sell Your House To A Real Estate Investor

You are probably wondering why you would want to sell your house to a real estate investor instead of listing your house with a realtor or selling it yourself. There are many very good reasons that you should consider selling to a real estate investor. I will share with you some different options that you probably have never even thought of before, or knew that you could do. I am going to give you the top 5 reasons why you should consider selling your house to a real estate investor.

1) A real estate investor will buy your house from you no matter what condition your houses are in. What this means to you is that you will not have to make any costly repairs to your house. Now if you listed your house with a realtor they are going to want you to make all the necessary repairs to your house before they will list it. The other reason is that most lenders in today’s market will not lend money to buyers that are buying a house that needs major repairs. Now second of all, if you try to sell your house yourself you will still need to possibly change your flooring and repaint your walls. Most buyers in today’s market will not want to move into a home and start making repairs. Therefore you will have a limited number of buyers that might show interest in your house but, they will want to get your house at a large discount.

2) Real estate investors will buy your house for all cash “as-is”, or they can give you up to full market value for your house if you are a little flexible on your terms. A real estate investor will work with you to find out all of your goals for selling your house. Then they will do their best to meet or exceed all of your goals for selling your home. They are professional home buyers helping people solve their real estate problems. They have a lot of experience buying houses from people just like you in all different types of situations. Just to name some of the situations they can help you with are: if your house is just not selling in today’s market, inherited homes, distressed property, vacant homes, probate houses, behind on payments, divorce, house liens and judgments, rental property, expired realtor listing, bankruptcy or if you are just facing foreclosure. No matter what the condition, area, or situation you have with your house a real estate investor can give you many viable options to sell your house fast.

3) If you sell your house to a real estate investor they can close on your house fast usually in 10 days or less. You will be able to get cash in your hand quickly without any of the hassles of selling your house the traditional way. Real estate investors are professionals with lots of experience in helping homeowners walk through the process of selling their house fast. The reason they are able to close quickly on your home is that they work with a large network of buyers that have cash and are ready to buy houses in your area fast. This is not like a traditional buyer that you will get from selling your house yourself or from a realtor. These types of buyers will take at least 30-60 days to close and that would be only if they make it through the loan process.

4) Real estate investors don’t want to list your house they want to buy your house fast. When you sell your house to a real estate investor they will market your house to their buyers at hyper speed. By this I mean if you sold your house yourself you would probably put a sign in front of your house, put an ad in the newspaper or you might even list your house on the MLS for a flat fee. These things are good but at best you will probably only get a small amount of people coming to look at your house but, most of them will be tire kickers. In today’s market there are more houses for sale then there are people to buy them all. The same goes if you were to list your house with a realtor; they will put a sign in your yard, list it on the MLS and wait for people to call. Most realtors don’t continually market your property through other avenues past that. A real estate investor will market your property immediately after you agree on price and terms. They will market your house with all available advertising to get your house sold fast Plus they have a huge list of buyers who are currently buying houses and have the cash to do it fast. Therefore selling to a real estate investor is your best option if you want to sell your house fast in today’s market.

5) When you sell your house to a real estate investor you will not have to pay anything out of your pocket. In fact they work hard for you and with you to get your house sold with no cost to you and very fast. The reason they can do this is that they actually get a fee from the buyer they sell the property to therefore eliminating any costs at all to you the seller. Not to mention real estate investors will give you a net offer on your house. What this means to you is that you will receive that net offer at closing. Now if you sold your house the traditional way buy yourself or through realtor you will only net at closing on average of 80-85% of the listing price of your home. The reason this is true is that you realtor will take their 6% commissions, then you will have to pay losing costs of 2-3%, then the buyer will want a discount of at least 5% in today’s market. After all of those discounts the buyer will have a property inspection of your house done and the inspector will come back with a big list of possible problems which the buyer will want a discount on. This is usually another 3-5% off. most sellers do not realize that this is actually the amount of money that they will net at closing, after they have waited 4-8 months through this whole process to sell their home the traditional way.

As you have probably realized by now there’s a lot more benefits to selling your house to a real estate investor verses selling your house the traditional way of for sale by owner or with realtor. Is your time and money really worth all the hassles and aggravation of selling your house the traditional way? If you sell your house to a real estate investor you will have a fast, friendly, hassle free sale of your house

Real Estate Caveat: Don’t Market – Time!

While there may be certain periods of time, when one, might find a better opportunity, than another, in terms of buying or selling real estate, it is rarely a good idea, to try to apply the principles of market – timing, to this endeavor. There are so many factors, which might impact pricing, some more obvious and/ or predictable, while others more dependent on less predictable current events, etc. While human nature, is such, we all like to find a bargain, the actual fact, is, doing this, has certain risks and uncertainties, and other factors, involved. With that in mind, this article will attempt to briefly examine, consider, review, and discuss, some reasons, market – timing, is challenging, and often unwise.

1. Are you selling one house, and buying another?: If you are, as many do, when you sell the first home at a higher price, the new home, will also cost more. Therefore, how might market – timing make a difference?

2. Mortgage interest rates: So many factors affect interest rates, and the effect of rising interest rates, generally raises the rate one pays monthly, for mortgage expenses. Every increase in rate, means someone may not qualify for the same amount of loan, and will pay, more, every month, for every dollar borrowed.

3. All real estate is local: Market conditions change from region to region, and, in some cases, from neighborhood, to neighborhood (even when nearby). The adage, All real estate is local, explains, how conditions vary, depending on location, and since factors, such as supply and demand, pricing, schools, safety, conditions, etc, should also show you, why it is not only challenging, but often, ill – advised, to proceed, that way!

4. World and domestic changes/ conditions: When events in Washington concern financial markets, we sometimes witness increases in interest rates, real estate value, etc, which go beyond, logic, but are often based on emotional factors. In addition, unrest in areas, in the rest of the world, trade wars, and restrictions, etc, have an often – unanticipated result!

5. Supply and demand: The economic law of Supply and Demand, states, when supply is high, or demand is low, prices drop, and when they are the opposite, we witness rising prices. What causes certain changes in market inventory, and when this might change (often, somewhat, suddenly, and not expected), makes market – timing, considerably challenging!

A simple rule should be, to know your needs, goals, priorities, reasons, and personal finances, consider mortgage rates, etc, and, if you find the right house, for you, at a fair price (based on local market), try to buy it. Will you have the discipline to do, what’s best for you?

Tips on Making a Successful Investment in Luxury Real Estate

The real estate market always seems to be growing. Even after this ever-burgeoning factor, a typical real estate investor terms the prices of property attractive. In the midst of it, there are many investors who book losses in immovables due to their lack of comprehension about a certain aspect related to the realty market.

If you are looking for investment options in luxury real estate, dig into the following tips on making successful investment –

Analyze the plus points of location – In making your investment fruitful, the location of the property matters a lot. You must not invest in a plot or building just because it is available at low rates. The price of the asset could be low because of a number of factors, which you should analyze well before making the purchase. If expecting some handsome returns, you should judge all the aspects allied to the location. You should invest in a property that is situated at a well-connected, easy-to reside location. Buying property at a location, that has a decent connectivity from the main hubs of the urban and suburban area will be a profitable deal.

View from a long-term perspective – Real estate is an asset that proves to be lucrative if invested and kept well-maintained for a long period. You cannot become rich in just a blink. You need to wait and watch, and the value of your freehold mushrooms. Here is a secret tip: wait for at least one year, before you resell your asset.

Delve into the meaning of leasing – Many a people choose to give their property on lease. If you too are thinking over this, ask the buyer to deposit at least 20 percent of the amount. It will fall in your favor. In case the buyer defaults due to some crisis, they will lose their deposit.

Don’t go too far beyond your state – Avoid making real estate transactions in cities and states that are too far away from you. Choose a place that you can drive to every often. It would be wise to buy real estate in your environs.

Consult a certified, experienced realtor – If you want to hunt down a safe to invest location, it would be prudent to canvass with an expert real estate agent in your town. Most importantly, the agent should have a decent understanding about the site and city where you are looking to buy a unit. They will make you understand the risks and gains associated with your desired whereabouts.

In addition to the afore-discussed points, having a good knowledge about the property is of a high importance. Your real estate agent will help you know the details of your proposition.

Registering Real Estate In Israel – Tabu, Minhal

Registering Real Estate in Israel

In Israel, the right and legal action of purchasing Real Estate is through the Land Registry Department included under the Ministry of Justice, or as often referred in Israel “The Tabu”. The Israeli Tabu is the body in charge of registering any Real Estate action into the Bureau’s official books. There are three different and separate books: the Rights Book, the Joint House Book and the Deeds book. The assets recorded in the first book are regulated by the Torrens system. Most property in Israel is recorded in this book. The assets in the second book are assets that contain two or more separate real estate units. Lastly, the third book records assets that are not regulated by the Torrens system and are not listed as multiple units.

Only by proper registration, one makes his legal action (selling, buying, parceling etc.) lawful in Israel in accordance with the stipulation in Section Number 7 of the Israeli Real Estate law of 1969. It is important to submit the registration in the same regional bureau of the location of the property or properties. If the action has not resulted in registration in one of the nine bureaus spread throughout Israel, it will be considered as a binding commitment. In Israel, the registration is legally binding, and the property will legally switch hands only when the registration has been completed. Registering in the Israeli Tabu official books secures the legal rights of the landowner and increases the value of the property. Registration also allows for the rapid transfer of property rights to the new owners, saves money and time, and is an essential condition of the transfer of ownership of property in Israel.

After purchasing real estate, the actual purchase is for the usage of rights on the property. At the end of the registration process, the Israeli Tabu bureau issues the registrar a deed stating the period of the tenancy and the termination date, and any proprietary information regarding the asset (if it is capitalized, mortgaged, confiscated etc.). In addition, the deed on assets regulated by the Torrens system includes the precise location of the asset in Israel, specifying the division of block, parcel and sub-parcel. The deed becomes the de jure I.D. of the asset and it holds the same information as the Tabu. This information is considered highly credible and only in very rare and extreme situations may it be subverted. In this way, the Tabu system ensures to the greatest extent the property rights of the landowners.

In some cases in Israel, an individual may buy real estate and the construction has not yet been completed. For instance, a buyer of an apartment in a residential building that is still under construction cannot register his proprietary rights over the apartment since the apartment does not yet exist. The legal solution that the Israeli legislature has established to address this very common situation is to register a “cautionary note” in the Tabu in accordance with the stipulation in Section Number 26 of the Israeli Real Estate law. Therefore, when another potential buyer visits the Israeli Tabu to write a new cautionary note, he may discover that the asset has already been sold. The mortgage is also recorded as a cautionary note in order to alert others of potential bonds. For the same reason, cautionary notes may be recorded in the form of a third party agreement, third party rights, liens, demolition orders, and notes under Israeli Planning and Zoning laws. It should be noted that only a person who holds a written agreement granting the transfer of the rights by the holder of the proprietary rights is allowed to register a cautionary note.

Before buying a real property asset in Israel, the prospective buyer is strongly recommended to issue a Tabu deed at the start of negotiations to ensure that there are no particular complexities that can interfere with or prevent the deal from consummating. Even a seller of real property in Israel is strongly advised to issue a Tabu deed to ensure that the proprietary rights are listed in the seller’s name in a legal manner to avoid any interference that will obstruct the deal. It is highly recommended that any individual considering buying or selling real property in Israel consults with an experienced attorney who is familiar with Israeli law.

http://www.aharonilaw.com

Investing In Real Estate For Beginners: Apartment Complexes

Here is some advice for investing in real estate for beginners who are thinking about investing in apartment complexes. Many commercial property advisors with an opinion say that apartment complexes with over 150 units are the properties to buy, it’s not necessarily true. Multifamily units are indeed a solid investment. However, what you really want to invest in is where you can earn the most rent per unit. Often that is in multifamily complexes with less than 100 units.

When you are making a purchase bid for a large complex, you are often bidding against financial institutions with deep pockets. This creates two distinct disadvantages for you as a beginning investor.

First, most beginner commercial investors are forced to join a large consortium of other investors to get in on a multi-million dollar deal. This dilutes your ownership interest and the weight your opinion counts when issues arise such as when to sell.

Second, when you and your investors are bidding with the last dollars that you have to invest, the large institution can easily out bid you by several thousand more than you can raise. Going up against large institutional investors can be overwhelming.

There are many other reasons to invest in complexes with less than 125 units:

A. There is less upkeep and maintenance. You may be able to avoid the added expense of an on-site manager and full-time maintenance crew.

B. There are more medium-size complexes available at any given moment. That means less competition from other investors and more opportunity to find one with exceptional cash flow.

C. Cash on cash returns for medium complexes are frequently better than for large complexes as you are able to offer a wide variety of amenities and services.

D. You will not be dealing with a financial institution as the seller with a cumbersome sale policy. The seller will more likely be an individual or small partnership that can provide flexible sales terms if they choose.

E. They typically will require less equity to acquire. This means you can control the property as an individual or with a couple of partners. You thus own a higher percentage of the property and thus a bigger amount of the profits.

F. Often the less knowledgeable seller has avoided raising rents because they have become friendly with the tenants or they are afraid the vacancy rate will increase. By studying the local market rents and vacancy rates, you could find that you can immediately increase cash flow through rent increases.

There are some very good arguments to owning small apartment complexes in the 4 to 12 unit range. This can be a good start if you personally manage them and perform most of the maintenance. However, this size complex seldom generates enough income to leave a profit when a property management company is hired.

Investing for beginners can begin with small complexes and once the income is stabilized buy another. After a couple of years, you will have 3 or 4 small complexes located all over the city. This becomes a problem because now you have the equivalent number of units as a medium-sized complex but are still managing them yourself. You also have the added burden of having properties at multiple locations meaning you have to drive all over town to take care of maintenance and upkeep.

Medium-sized apartment complexes have long been the favored type of and classic value for commercial investing. Now is the ideal time to make this investment move. Vacancies are down and rents are up. Income can be very predictable.

Do the math and you will see that very small apartment buildings are more risky than medium but medium size complexes have advantages over the large complexes that we’ve already discussed.

If you own a small eight-unit complex, each unit represents 12.5% of the income stream. If you own a 80 unit complex, each unit represents 1.25% of the income stream. Still, an 80-unit complex is much easier to manage than a 175-unit complex.

Investing in real estate for beginners can be profitable, but you need to know what works best for you.