Ryan Galiotto

Archive for the ‘Real Estate’ Category

When you buy a home for the first time, it is easy to assume that all elements of it will last a long time. This actually is not true. Many are surprised to learn that the roof on most residential homes will never last as long as the home itself.

Why is there such a difference in the expected ages of a roof? Well, the obvious issues are the quality of the materials being used and installation, but the bigger issue has to do with Mother Nature. Simply put, she is plenty strong and must be respected.

A roofing system is incredibly durable. It can take the heat of the sun every day. It can take being drenched in water. It can freeze up for days on end under snow and ice in the winter. All this and it will still last for years and years. Amazing!

Given the beating a roof takes, it is not surprising that the type of roofing material used makes a huge difference. A slate rock roof is like putting tank armor on your home. It is going to last for at least 70 years, but it is going to cost you an arm and leg to buy and install.

On the other end of the range, we have the wood shingle roof. Depending on the type of shingle, you can expect it to last anywhere from 10 to 25 years. It is important to understand that these shingles basically come from left over wood pieces with all that implies.

An additional concern with wood shingles is obviously the fire issue. Wood and fire are a bad mix. If you must go with wood shingle roofing, make sure you get a fire retardant treated shingle set. It will not stop them from catching on fire, but will make it more difficult.

A happy middle point between the cost of slate and the fire risk of wood roofs is the tile roof. It is highly fire resistant and will not cost you an arm and leg to install. Most tile roofs will also last up to 45 years, which is a nice lifespan.

One really interesting new type of roofing you might want to check out is solar shingle roofing. These roofs come in rolls that are spread out in vertical columns down your roof. They are layered so that they look like flat shingles overlapping from top to bottom.

There are a couple of really cool things about these shingles. First, they are essentially solar panels. They will generate electricity for your home, which can do some major cutting to your utility bill. They also come in many colors, so they can match most homes.

Sooner or later, you are going to have to improve or replace the roof on your home. Instead of just automatically putting up the same type of roof, take some time to explore your options. You have plenty of choices.

Fixer’s and forclosure properties have always been the “jewels” that RE investors look for in order to make big profits. However if you dont do your home work before hand you may loose not only your investment but your profit as well.

A step by step approach is best in order to make a solid decision before commiting to the investment. Make a check list and use it. And dont forget to add these to your list.

Please Note: The following elements discussed are not listed in any particular order. Nor do they all hold the same value in relation to each other, but they must ALL be considered in their entirety. The property should meet at least one of the criteria, and should have no unjustifiable issues in any one single area.

I give you…THE LIST:

HOW MUCH AND WHY

Most investors focus on price first.

So the goal is to buy for cheaper then the current market value and sell within market value or above. so how come the seller is offering such a GREAT price. Is it to settle debt??? Is it due to divorce? Death in the family?

What problems does the property have if any? Old cracked and faulty plumbing? bad electric? If its a older craftsman style home those problems are very common. is the foundation in good order? Dont forget holding costs.

Holding costs are one of the biggest profit killers to investors. Taxes, mortgage, comissions to agents (both selling and buying) gas, electric…all theses things add up…and FAST.

A poor understanding of the current market value is another major deal killer. Remember market value is a educated guess at best. No one really knows untill the apprasial is complete.

Check out other property near the one your looking at investing in. what prices are they pulling in? Are they the same size? Lot size close to the one your looking at? Same style of structure?

PAY ATTENTON TO TERMS AND CONDITIONS

Price and location are important this is true. but dont forget about the financing.

In fact, used wisely, an investor can pay full price and use this positioning to negotiate lower interest rates or a smaller down payment. Over time, the rental cash flow will be in the black because of the terms agreed upon by the buyer and seller, combined with gradual rent increases and price appreciation.

RESEARCH THE LOCAL MARKET

Good investors get in the habit of understanding the lay of the land. What is the local community like? where are the closest fire/police/EMS services? How good are the local schools? Dont rule out these questions. Make sure to look in to the last houses sold in the area as well as any selling trends you can find.

LOCATION IS NO TO BE OVER LOOKED

Location is usually seen as the most critical component of finding a good deal next to price. In reality, this matters much more if you?re looking in terms of finding a long-term residence than it does for a quick sale. It’s more critical to focus on the potential profit margins than the area it’s located in. If the ugly home by the dump is more profitable than the fashionable condo downtown, then it’s a better deal, aesthetics aside.

FIX AND FLIP AND FORCLOSURES

A familiar area ripe for investment picking is distressed properties or fixer-uppers. Of course these are the houses that need repairs to some degree. And the investor?s job is to discount the costs of these repairs enough so that the profit is still suitable.

With small repairs such as painting, minor landscape, and basic flooring, profits may be available but not really worth the risk. More significant profits are found with extremely distressed properties. Plumbing is corroded, the roof needs replacing, and the interior needs to be gutted and remodeled, but the seller is asking 50% of the market value and you can repair it for much less. Always factor in the amount of work that you are looking at?once you have a rough idea of the cost of the expense?add on another 5% as a buffer.

Understand the ZONE

Sooo you want to add a third bedroom and second bathroom huh?? Is it zoned for that? worst thing in the world to have happen is to find out you could have made a pretty penny profit IF you had know what the land was zoned for. ALWAYS ASK.

Understand that a single use zoned proerty is always cheaper then a multi use.

Classic zoning “no-no’s” are garages converted to bedrooms. Non-permitted granny flats and detached garages.

Are relocating because of your job or thinking about retiring? Orlando, Florida might be perfect place to relocate for retire and you might be wondering what kind of homes are available. Well, the options are abundant in Orlando, Florida real estate market, you have many types of properties available to choose from.

Orlando Fl Condominium are one of the highest property type that people choose and purchase because of the convenience related to condominiums. Although you might need some repairs or renovation majority of these homes are in very good conditions or are new constructions. First, you want to do some research online to track down a good deal. Websites like Realtor.com provide database of available properties or you can check many websites that give information on Orlando Fl Condominium. Do to building boom of the early 2000, the opportunity to purchase new luxury condominiums is abundant.

Developers have bought lots of empty lands in the 2000’s to develop home and Orlando Fl Condominium. They bought these to build and sell it to individual buyers and investors, which they were plenty during the building booms, but now many are available at deep discounts.

The other option available is renting. You should be able to find plenty of available apartments, condos, town homes, and single family homes in Orlando, Florida. You should contact real estate professional in your are when you are looking to purchase new condos in Orlando or to purchase luxury condo in Orlando.

So make sure you do lots of research and compare the prices to get the best condominium available and you will a satisfied investor and homeowner. Homes in Florida will appreciate when the overall US Real Estate market rebounds and the cycle is upward. Florida does attract large number of people relocating because of its excellent weather and overall good living. Make sure your ready to take lot of sun, living in Orlando is like having vacation 365 days. Many foreigners are also attracted to this are, do to the higher buying power of foreign currency, you should expect lot of foreign investor looking at condos.

The subsoil or ground surrounding basement walls are usually the source of moisture inside basements. The reason for this is because the condition outside your home is unpredictable such as weather conditions and drainage leaks. When excessive moisture sets in, there is a high probability of damage to your basement. In building or remodeling your basement, it is very important to apply the right basement waterproofing product. Otherwise, your basement walls and floors will end up in bad shape in the long run and sooner than you expected.

Water-Free - Waterproofing ensures that your home basement is safe from leaks in foundations walls, soil moisture seepage, and not to mention condensation from other water deposits. Of the many different types of products in the market, it can be a challenge to find the right stuff. It’s important to know what to look for in a basement waterproofing product.

1. Use the safest and most economical. There are a lot of these products that you can find specialized by house construction companies. However economical doesn’t necessarily mean cheap. The best and most sound option is to prioritize safety over cost.

2. Use non-hazardous types. This is very logical. These products are often chemicals and solutions. If you are not being careful, you might be buying a basement waterproofing product that can cause more damage than good - including health. Check the label and make sure you’re not buying the one that is corrosive or requires extremely careful application.

3. Choose the non-flammable. Again, it’s mentioned that most these products are made of chemicals and solutions. You wouldn’t want to use a basement waterproofing product that is not safe to use. Especially in a basement where accessibility is challenged, emergency situations should be anticipated and safety must be on top of your priority list.

4. Get a product that effectively gets rid of mold, mildew, and bacteria caused by moisture. If moisture is left unattended, it not only causes your bad odor in your basement but health concerns too. Sure, a lot of them would say they’re the most effective. If you’re doubtful, ask a friend or a contractor. Your investment in a high quality waterproofing product must not be compromised. Look for the best in the market. You will find that it’s worth every penny.

5. Get products that have liquid rubber coating properties. Some companies offer this innovative and unique type of basement waterproofing product. This is usually applied on floors and wall intersection joints. It has strong adhesive properties and penetrates down into the surface to provide a tight seal off the entry of moisture.

There are other waterproofing products in the market that are equally effective. Check out your local hardware. If not, try to do a little bit of research in the internet. You should take time to get this done right. Labels on a basement waterproofing product will usually claim that they’re the best. But all of them claim to do the same thing. Take note of the items listed above and consult people too. There should be a product that best meet your expectations.

The effects of rescue efforts instrumented through the various regulatory bodies have evidently kicked in. In the past year since last July (2007), “about 1.7 homeowners have completed loan workouts that have allowed them to stay in their homes” (US Treasury Secretary Henry Paulson, July 2008, Reuters). The Housing Rescue Bill (July 2008) will now lend further recovery to a housing market reeling into its second year.

Riding on the momentum, American homeowners faced with foreclosure would do well to capitalize on the various options that have been put in place to help ease their mortgage woes. It?s easy to understand how people could jump into real-estate during the housing boom and it?s such a shame that these same folks would be swallowed up by foreclosure at this point now that the odds are actually in their favor.

Examples of how to stop foreclosure include refinancing, forbearance, loan modification, additional loan and even write-off to help affected homeowners stay in their homes. Where retaining the home is not tenable or desirable, the foreclosure can still be averted through deed-in-lieu, pre-foreclosure or short sale in order to protect the owner’s credit score while avoiding the costs and penalties of formal foreclosure proceedings.

With the right information and knowledge, the task of stopping foreclosure is not as daunting as it’s made out to be. Take well-thought out but expeditious action. The most successful approach can be generically outlined as follows: -Study the true financial situation -Evaluate all possibilities and options -Steer clear of scams -Get professional or certified help -Stay positive and persevere

Lenders and government are certain to be willing to work hand in hand with affected homeowners to help stop foreclosure these days as they are actually in the bind too insofar as the bigger picture of the overall housing crisis is concerned. With foreclosure, houses turn from asset to burden for lenders overnight, their surplus weigh down on the economy and even dampen property value in the neighborhood.

How to stop foreclosure has become a common topic, be it at online forums, radio talk shows, public discussions, office chat and just about any form of everyday conversation. There?s also no shortage of information and services to turn to. Government agencies, banks and lenders, lawyers and attorneys, investors and brokers are all increasingly coming onto the scene. Books, guides and all kinds of other materials have been written on the subject. Scams and cons have not failed to get in the mix either, so watch out!

The real estate industry is becoming one of the fastest growing business in today’s market. Have you ever thought of becoming a Real Estate guru? If yes, then there are many ways to make profits in the Real Estate business. You can find many tactics which you can use to succeed in this niche.

To develop your skills about Real Estate business you can participate in some Real Estate seminars or courses, which are available on the internet. These types of courses and webinars are the best way to develop your skills about Real Estate business. In this article we are going to discuss how to become a successful Real Estate guru.

In order to succeed in Real Estate business you have to learn all the tactics associated with it. If you regularly participate in some seminars, you can get the idea on how you can become successful in this field. So let’s discuss some of benefits of Real Estate Seminars…

The great thing about using real estate courses and real estate seminars to learn more about homes for sale is that you can study at your own pace. These courses and seminars are designed to be paced according to the individual’s comfort level when it comes to learning, not an educational facilities pace. Once you get into the actual career of real estate, you can be your own boss!

By taking up a career in this industry, you will be able to learn many exciting things when it comes to business relationships, networking, and basic professionalism. Real estate courses and real estate seminars can teach you how to be the most effective agent in the industry in your community, as well as other communities that you elect to work in.

If you elect to pursue the real estate business, you will learn the importance of client relationships and social networking for your business. This can be really important when it comes to getting smart deals on property, and linking property types to prospects that are in the market for that type of purchase. In the end, you may find that the networking and client skills that you end up possessing are what truly keeps you on top of your financial prosperity.

Real estate seminars is a wonderful way to learn how to recognize property types, methods of using those property types, and how to maximize your earnings when it comes to selling those property types.

So with the help of Real Estate seminars and courses you are guaranteed to gain much knowledge about this niche. This will also help you to update yourself to the latest happenings in this industry, because this is one of the competitive business in today’s market.

Knowing which house to buy is a complicated decision, in which many factors must be thought upon in order to make the best decision for one’s family. Lakeside homes come into play by giving families an even more difficult choice: are lakeside homes worth the price?

Even if lakeside homes weren’t in such demand, there would still be high costs associated with them since there is often a certain amount of scenery being added to the landscape. Often times the lake isn’t even naturally formed- real estate companies form them to make for more valuable property. And lucky for the buyers, the expense is passed onto them.

The first benefit most will notice about a lakeside home is that the view is simply amazing. Lake homes carry a certain sense of homely life in the summer, where the beautiful glimmer of the lake supplements the summer sky and green summer grass. This scenery comes at a cost, however, as real estate brokers know that a more detailed scenery is going to mean thousands in markup price because of the demand.

Entertainment is never a problem when one lives by the lake- yet another benefit of choosing a lakeside home over less appealing town houses. Lake homes allow the home owners to swim, enjoy water sports, ice skate during colder seasons in some locations, and overall provide the perfect setting for picnics and family reunions. The entertainment value is almost worth the extended price tag alone.

While it isn’t always the most politically correct way to add up the benefits of a lakeside community, most will agree that the fact that there are more wealthy neighbors brings the fact that there is less crime on average. This has been proven in areas where inner-city life has more crime, which correlates to the data that a lesser per capita income promotes crime of certain nature.

Home owners that are trying to get lakeside property should be warned that the process isn’t going to be very cost effective. Even the less gracious lakeside homes will have steep price tags associated them. And if near busy locations, the price can easily double or triple the cost than what the cost would be in a rural area. This is the main reason why lakeside homes are primarily composed of the wealthy or those with good credit scores.

Closing Comments

If you are interested in obtaining a lakeside home, you may wish to consult a real estate broker or look at the local classifieds. Often times there are many listings online as well- and in which case the best solution is to browse several listing websites to get the best results in the less amount of time.

Going on vacation is something almost every family does at some point during the year. Maybe it is for an anniversary, summer vacation or a three day weekend. Here in Oregon the possibilities are endless. You can choose to stay at Sunriver, Bend, Timberline Lodge, Portland or as many people love, the beach. The Oregon beaches have spectacular, unpopulated beaches and many hotels to choose from. However as a smart consumer it is always good to shop around and get the best bang for your buck.

First you need to decide what criteria you will base your decision on. Maybe your hotel must be a beach front, have a continental breakfast, economical or simply a quiet place to rest your head. Unfortunately what you want and what are can get are two different things.

Waking up in the morning to a parking lot is no ones idea of “ocean view”. You came to see the beach and enjoy it, this is after all your vacation. After researching hotels in Lincoln City, a popular vacation spot, most beach fronts’ range in prince from $80.00 to $200.00 a night before taxes and other fees, varying on the weekend. Typically the search ends here, it is expensive unless you don’t want a beach view.

If you decide to keep looking you will find most hotels that are not ocean view still range in prices from $50.00 to $100.00 but they try to lure you with the always allusive continental breakfast. Typically the continental breakfast is simply coffee, orange juice and some sort of pastry such as a donut. I don’t know about you but this is hardly anything I would write home about.

A vacation should be a time to catch up on rest, relax and not feel rushed. Most hotels and guarantee a beach view and a donut for breakfast but what they can not assure you of is peace and quiet. Anytime there are over 200 rooms that are occupied you know there will be noise. Guests can be loud simply by taking the elevator up or getting a soda, you hear doors slamming and talking all night long. You can always count on house keeping showing up usually around ten and the front desk calling to be sure you check out by eleven. You simply can not relax when you have to worry about deadlines and noise at night.

Vacation homes are a unique fun way to enjoy your vacation. A vacation rental home provides many things a hotel can not. You are able to prepare all of your own meals, and save some money by not eating out, and you have options other than a donut. You know your sleep will not be disturbed from other guests, house keeping will not beat down your door early in the morning and you may come and go as you please. You are able to spend quality time with your family and have more meaningful candid moments together. You can enjoy ocean views and relax feeling no pressure to go anywhere or do anything quickly. Best of all, if you have a large group or others who want to tag along, a vacation home can be very inexpensive if you split the cost.

Regardless of your price range, you should be able to find something within your budget and criteria for a vacation home. Some beach front vacation homes are around $100.00 per night and can range up to $250.00 a night. The benefits of a vacation home far out weigh those of a hotel, this much is clear. Paying a little extra money might be worth it if it means you will have more time and less pressure while spending time with the ones you love the most. Do your research and decide for yourself, but remember people don’t often say they went to a hotel and had a fabulous, relaxing time, but they do say that about a vacation home.

Blanket assessments are made in a community to re-assess the property tax. Little time is allowed for this approximation of value and inaccuracies often creep in. It’s not unusual that a multiplier factor is used to adjust property values.

Appraisal companies bid for the blanket reappraisal contract for a community. The low bid wins the contract. Ask yourself if the bid allocation was $35 per home, how much time could be spent on that appraisal? Consider the appraiser has to make a profit for his effort further reducing the time allotment to appraise. Often college kids or those with little appraisal experience are employed.

Errors frequently occur when blanket appraisers do their job. Furthermore, if the original assessment was in error, employing multipliers to roll over previous years assessments is invalid.

If the building and tax department cooperated, there would be no need for a blanket reappraisal. Building permits and final market values could be incorporated into the individual values of homes with the tax role. There would be no need for blanket reassessment duplicating already established values.

A tax assessor has little time to appraise a home and usually do not engage in that activity. Tax assessors are often politically appointed and are not trained and experienced real estate appraisers. Their usual method of deriving value is based on a cost basis instead of a market value approach. The market value approach is based on what an informed buyer would pay for the home, not what it cost to build it.

When contesting property taxes, only market appraisals count. When your home’s price is in alignment with the current selling price of comparable homes in the neighborhood, the values tend to be accurate. Selling prices are dynamic and change all the time.

A town expends a tremendous amount of money in the mass appraisal of homes. That cost is passed on directly in the local property tax causing extra tax rate increases. Much valuable time, effort and money is misspent by relying on blanket reassessment by communities. They may catch the occasional shed or deck built without a permit, but that hardly demands a reappraisal.

This spells out gigantic loopholes for homeowners. Doing a simple analysis of your home’s market value and seeing how it lines up with the appraised value can save thousands of dollars wasted on taxes.

In this current real estate crisis, many people are loosing their homes either because they can’t make the payments or are walking away because their house is worth less then the amount owed. It was reported by CNBC on July 24 that foreclosures now represent half of all the homes sold in the US. Although this is downright scary to a highly leveraged homeowner or speculator this is also an opportunity of a lifetime for anyone looking to buy real estate at these depressed prices.

Donald Trump is a great example of someone who was investing in real estate during a downturn in the market. Now look at him! “There are always opportunities”, he is quoted as saying. “When I first started out in Manhattan, everyone was saying what a terrible market it was”. He admits if he had listened to the nay Sayers he won’t be were he is today.

Many of the top real estate investors, including Mr. Trump, now feel that this is currently a good time to invest in real estate by purchasing pre-foreclosed or foreclosed properties.

The main reason is unlike foreclosures, a pre-foreclosure is made privately between the owner and buyer and therefore avoids the bank auction foreclosure process. This provides many advantages to the buyer including more time to inspect the inside of the house and a better chance to establish a mortgage with a bank.

When looking to purchase a pre-foreclosure you also need to pay closer attention to the macro aspects (I’ll cover micro aspects in a later article) of the property in order to limit your risk as much as possible. Some of these property macro aspects are:

- Try to find out how many other homes in the neighborhood are in pre-foreclosure or foreclosure. It’s best if the home you’re interested in is one of the only houses under financial strain. In order for properties to appreciate the number of foreclosures has to be minimal.

- Ask around to find out whether the rent rates in the neighborhood are going up or down. Buying in a neighborhood where demand for rental units is on the increase is important.

- What is the employment rate in the area? If declining then that may indicate that it’s not the right area in which to invest. Does the local economy appear to be stable?

- Check with the local government to see of any upcoming infrastructure projects that will be taking place within 2-3 years. Projects such as new shopping malls, highways, train/subways lines, building permits for new businesses being established, new parks near the property, etc.

- What are the demographics? If there is an extremely high level of seniors in town and only a small percentage living in nursing homes, guess what, it could cause a housing surplus within 10 years or so.

If you do your homework and find the majority of these answers to portray a positive community, then you should consider buying in that area. Buying pre-foreclosed homes at the right time in the right place can prove to be a very profitable venture.