Buying real estate is about more than just finding a place to call home. Investing in real estate has become increasingly popular over the last 50 years and has become a common investment vehicle.
Although the real estate market has plenty of opportunities for making big gains, buying and owning real estate is a lot more complicated than investing in stocks and bonds. In this article, we'll go beyond buying a home and introduce you to real estate as an investment. PART 3 of 5: Real Estate Trading This is the wild side of real estate investment. Like the day traders who are leagues away from a buy-and-hold investor, the real estate traders are an entirely different breed from the buy-and-rent landlords. Real estate traders buy properties with the intention of holding them for a short period of time, often no more than three to four months, whereupon they hope to sell them for a profit. This technique is also called flipping properties and is based on buying properties that are either significantly undervalued or are in a very hot market. Pure property flippers will not put any money into a house for improvements; the investment has to have the intrinsic value to turn a profit without alteration or they won't consider it. Flipping in this manner is a short-term cash investment. If a property flipper gets caught in a situation where he or she can't unload a property, it can be devastating because these investors generally don't keep enough ready cash to pay the mortgage on a property for the long term. This can lead to continued losses for a real estate trader who is unable to offload the property in a bad market. A second class of property flipper also exists. These investors make their money by buying reasonably priced properties and adding value by renovating them. This can be a longer-term investment depending on the extent of the improvements. The limiting feature of this investment is that it is time intensive and often only allows investors to take on one property at a time. SOURCE: http://www.investopedia.com/articles/pf/06/realestateinvest.asp
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From all of us at 919 Realty, we thank you so much for all you do. 919 Realty and Homeside are teaming up to offer this amazing grant program to first time home buyers and hometown heroes (Police, Firefighters, Educators, Veterans, Healthcare Workers). The program flyer is below.
This grant program is amazing, offering up to $7,500 in free money to assist in closing cost, and even paying down your principal in some cases. Imagine stepping into a home you have equity in before even living in it! For more information on this incredible program, click the button below. Buying real estate is about more than just finding a place to call home. Investing in real estate has become increasingly popular over the last 50 years and has become a common investment vehicle.
Although the real estate market has plenty of opportunities for making big gains, buying and owning real estate is a lot more complicated than investing in stocks and bonds. In this article, we'll go beyond buying a home and introduce you to real estate as an investment. PART 2 of 5: Real Estate Investment Groups Real estate investment groups are sort of like small mutual funds for rental properties. If you want to own a rental property, but don't want the hassle of being a landlord, a real estate investment group may be the solution for you. A company will buy or build a set of apartment blocks or condos and then allow investors to buy them through the company, thus joining the group. A single investor can own one or multiple units of self-contained living space, but the company operating the investment group collectively manages all the units, taking care of maintenance, advertising vacant units and interviewing tenants. In exchange for this management, the company takes a percentage of the monthly rent. There are several versions of investment groups, but in the standard version, the lease is in the investor's name and all of the units pool a portion of the rent to guard against occasional vacancies, meaning that you will receive enough to pay the mortgage even if your unit is empty. The quality of an investment group depends entirely on the company offering it. In theory, it is a safe way to get into real estate investment, but groups are vulnerable to the same fees that haunt the mutual fund industry. Once again, research is the key. SOURCE: http://www.investopedia.com/articles/pf/06/realestateinvest.asp Finding the best mortgage for your situation is the key to being a successful homeowner. It could mean the difference between being able to afford your mortgage payments and finding yourself underwater or foreclosed. We will be able to explain each financing option to you and help you find a great lender. Call us. We can help. 919realty.com
Buying real estate is about more than just finding a place to call home. Investing in real estate has become increasingly popular over the last 50 years and has become a common investment vehicle.
Although the real estate market has plenty of opportunities for making big gains, buying and owning real estate is a lot more complicated than investing in stocks and bonds. In this article, we'll go beyond buying a home and introduce you to real estate as an investment. PART 1 of 5: Basic Rental Properties This is an investment as old as the practice of land ownership. A person will buy a property and rent it out to a tenant. The owner, the landlord, is responsible for paying the mortgage, taxes and costs of maintaining the property. Ideally, the landlord charges enough rent to cover all of the aforementioned costs. A landlord may also charge more in order to produce a monthly profit, but the most common strategy is to be patient and only charge enough rent to cover expenses until the mortgage has been paid, at which time the majority of the rent becomes profit. Furthermore, the property may also have appreciated in value over the course of the mortgage, leaving the landlord with a more valuable asset. According to the U.S. Census Bureau, real estate has consistently increased in value from 1940 to 2006, then proceeded to dip and rebound from 2008 to 2010 and has been increasing overall. There are, of course, blemishes on the face of what seems like an ideal investment. You can end up with a bad tenant who damages the property or, worse still, end up having no tenant at all. This leaves you with a negative monthly cash flow, meaning that you might have to scramble to cover your mortgage payments. There is also the matter of finding the right property. You will want to pick an area where vacancy rates are low and choose a place that people will want to rent. Perhaps the biggest difference between a rental property and other investments is the amount of time and work you have to devote to maintaining your investment. When you buy a stock, it simply sits in your brokerage account and, hopefully, increases in value. If you invest in a rental property, there are many responsibilities that come along with being a landlord. When the furnace stops working in the middle of the night, it's you who gets the phone call. If you don't mind handyman work, this may not bother you; otherwise, a professional property manager would be glad to take the problem off your hands, for a price, of course. SOURCE: http://www.investopedia.com/articles/pf/06/realestateinvest.asp Has your newest addition made your current living situation a little cozier? If so, let's have a chat. We can explore every option available to you and come up with a strategy. Who knows, you may be more prepared than you think.
To find out more, click the button below. This week we explore knock offs. Who doesn't love a good knock off, right? I sure do! Well, while everyone is familiar with all the regulars - Ronex watches, Abble iPods, Mike shoes - here are some really creative counterfeit products that are as subtle as a punch in the face. DISCLAIMER: 919 Realty does not condone the production, merchandising, and sale of counterfeit items. Enjoy! Dona's grandfather was a Dentist by trade, but an engineer at heart. He was the type of guy that, if he didn't have the tool he needed, he would simply make it. His home in Chapel Hill (which he built with his wife) was full of little hacks and inventions he created to make life easier. He was creating home hacks before it even had a name.
This article is full of those ingenious little tricks that you can easily do at home. Check them out by clicking the link below. Also, if you have any hacks that you created or were passed down by your family, feel free to share them here. Enjoy! WE'RE BACK! Yes, Epic Fail Wednesday returns in - you guessed it - epic fashion. This week we are celebrating those brave souls out there that provide us with so much entertainment simply with a piece of paper, some tape, a sharpie, and a ton of creativity. DISCLAIMER: 919 Realty does not condone the modification or defacing of public property. That said, we had a few good laughs looking through some of these. We hope you do as well. Enjoy! It's almost that dreaded time of the year. April 15. You know it and I know it. Tax Day is almost upon us. Uncle Sam wants his money, and he's coming to collect. If you're a homeowner, one of the reasons you made the decision to buy was so that Uncle Sam would let you keep a little more of your scratch. If that wasn't one of the reasons, then SURPRISE! Wo doesn't love a good surprise?
Yes, being a homeowner does help you take some deductions that will allow you to keep more of your hard earned money. Now, I know there are some of you who are so prepared that you finished doing your 2015 taxes in 2013. This post is definitely not for you. For the rest of us homeowners, however, check out this helpful article to make sure you didn't miss any of these last minute deductions. I bet there are a lot of you out there like us. After we closed on our home, and before moving in, there were some things we said we were going to fix or take care of down the road. And guess what? After about a year and a half, nothing has been done. If you don't know anyone like that, then it might be you.
It's been said that the easiest way to eat an elephant is one bite at a time. Not exactly sure why anyone would want to eat elephant, but there's a lot of truth in that statement. Tackle a small project here and there and, before you know it, you'll have some momentum that could springboard you into other larger projects. At least, that's how I like to look at things. If you're interested in seeing what damage you can do to your 'to do' list, click on the link below for a cool article with some great ideas. Enjoy!
Is it coincidence that we launched a day before Wednesday? Maybe, maybe not. But the fact remains, Epic Fail Wednesday returns! We even have a hashtag. #efw. We'll have to come up with cool things to use it on. For now, however, feast your eyes and enjoy some of the ridiculousness that is out in our world. This week's theme is real estate fails. I mean, if we can't laugh at each other, well, we're in trouble. Enjoy! I'm sorry, can I see that mortgage calculator again?
Well, here we are! Our new company is off and running. The name might be new, but the faces are familiar. We've been a part of the Triangle real estate community for over a decade now, and we have built up quite an incredible network of friends, vendors, providers...you name it.
Even though we've been around for a while, the decision to start from scratch is never easy. Lots to be done, lots to create, lots of systems to put in place, etc. etc. One thing I can tell you, however, is that it is so much fun! We are really excited about where this will take us, and know that whatever happens, we have a huge support group in place. Now, about the logo... Listen, there's not much to it. I mean, we're in real estate. What else are we going to have? Cars? Fruit? No, we help people buy and sell homes, so there's not much groundbreaking analysis going on in there. However, I will mention that there is some significance to it.
"The care that you deserve." I think this is significant because that is our founder's signature. This is what Dona is known for, what differentiates her from the rest and makes her unique. She cares. She cares like crazy. She goes above and beyond. Many times, she takes care of things that aren't even her responsibility. Why? because she realizes that she is your advocate. You're not going to know everything about a real estate transaction. There are many moving parts, and it's impossible for someone who isn't exposed to this on a daily basis to know that. Think of her less as a real estate agent and more as a real estate Sherpa. Her social work background definitely comes in handy. Anyway, that's my $.02. This will be a special company that will stand for special things. More to follow on that, but know that it is coming. Bye for now, Joaquin |
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