Real Estate Zone

PM Realty Seals the Deal on Area Transactions

2008-03-23T08:16:00.000-07:00

Kurt Cherry, senior vice president of PM Realty Group in Grand Prairie, recently represented the company in four separate leases.

For one, Industrial Buckets USA Inc., which sells and refurbishes heavy earth moving equipment, has purchased 2.5 acres at the southwest quadrant of North Loop 820 and Atlee Parkway in Fort Worth for an undisclosed amount. Aaron Stalberger and Chris Haller of Patterson & Associates Commercial Real Estate in Fort Worth negotiated the deal between Industrial Buckets and 820 Mark IV, which was represented by Steve McKeever.

Affordability Will Further Enhance Texas Population Boom!

2008-03-23T07:27:00.000-07:00

As real estate markets around the country continue to tank and while other markets remain excessively expensive for the average median income/household, Texas will continue to dominate as an affordable alternative particularly in the Dallas - Fort Worth real estate.

Full Story

Price of House Renovations Going Up

2008-03-21T23:51:00.000-07:00

Many families are choosing to stay put - renovating, remodeling, even adding on to their homes instead of buying a new one. But the costs to do that are way up, especially for materials.

Full Story

Have ideas for your own renovation with these beautifully remodeled homes and premier Texas properties.

Post Investment Group, LLC Acquires 2,469 Unit Multi-Family Complex in Houston, Texas

2008-03-18T05:24:00.000-07:00

Post Investment Group, LLC, a Los Angeles based real estate investment company,
today announced its
acquisition of the 2,469 unit Broadway Square Apartments in the city of Houston, Texas.
Post is not disclosing the total deal capitalization,
though it is considerably below market comparables.

Full Story

For a wide range of homes for sale in Pearland, Missouri City and Houston;
go to Fort Bend County Homebuilders

Gauging Value In Real Estate As Prices Slide

2008-03-14T06:25:00.000-07:00

"Home-price declines can last for years. The Greater Boston Association of Realtors says that prices there began falling in 1988 and didn't return to those levels until 1992. Houston's oil-bust downturn of the 1980s lasted a similar amount of time.

But even in this brutal landscape, cities such as Seattle; Austin Texas; and Wichita, Kan., are still seeing price increases. And even in hard-hit cities, certain neighborhoods are holding up better than others." - The Wall Street Journal

Full Article

If in search of an Austin home for sale, go to Austin mls listings.

Commercial Real Estate Transactions - Texas

2008-03-11T22:12:00.000-07:00

Sales

Centric Capital Partners, a newly formed real estate investment company, has purchased five fast- food properties and a billboard on about 5 acres of land at the northeast corner of North Central Expressway and Forest Lane. Newt Walker of Newt Walker Co. negotiated the sale.

Fabriclean Dry Cleaning Co. has purchased a 98,000-square-foot office and warehouse building at 8301 Ambassador Row in Dallas. Jim Hazard with Henry S. Miller Commercial arranged the sale with David Duwe and Jason Moser with Stream Realty Partners LP.

Leases

Maverick Stainless has leased 44,000 square feet of office and warehouse space at 4525 Production Drive near Harry Hines Boulevard in Dallas. Robert Todd of City Realty Group negotiated the lease with David Duwe and Jason Moser of Stream Realty Partners LP.

Waste Track Services LLC has leased 22,362 square feet of office and warehouse space at 710 107th St. in Arlington. Dan Lawson of Proterra Properties negotiated the lease with Michael Stanzel of NAI Robert Lynn Co.

Gem Pak has leased 19,200 square feet of warehouse space at 2800 E. Plano Parkway in Plano. Steve Thelen and Rob Kingsbury of Staubach Co. negotiated the lease with Sarah Seeche of Prologis.

Corvel Healthcare has expanded and relocated its office into 15,600 square feet in the Colonnade office complex at 15301 Dallas Parkway in Addison. Greg Langston and Brian Whittington of CresaPartners arranged the lease with Scottie Breau of CarrAmerica.

EMI Technology Phoenix leased 12,657 square feet of industrial space at 1380 Presidential Drive in Richardson. Nathan Denton and Adam Strittmatter at Lee & Associates negotiated the lease with Parke Miller of Holt Lunsford Commercial.

Regal Hardwoods has leased 12,526 square feet of industrial space at 1520 Luna Road in Carrollton. Trey Fricke and Mark Graybill of Lee & Associates negotiated the lease with Nathan Denton, also of Lee & Associates.

Full Article

Real Estate News Sources

2008-01-18T10:55:00.000-08:00

Find out about the latest real estate related news from the following sources:

Real Estate Journal - Real estate news

Realtors: Home sales to rebound in 2nd half of 2008

2008-01-10T20:13:00.000-08:00

1:53 PM CST on Tuesday, January 8, 2008
Associated Press - Dallas News.com

WASHINGTON – A trade group for real estate agents predicted Tuesday that the pace of U.S. home sales will pick up significantly in the second half of 2008, bringing total sales for the year marginally higher than in 2007.

The monthly forecast from the National Association of Realtors, calls for U.S. existing home sales to increase 0.7 percent this year to 5.7 million, up from a projected 5.66 million last year. Final results for U.S. home sales in 2007 are expected to be down 12.7 percent from 6.48 million in 2006, the Realtors group said.
Full Story

Dallas Real Estate

HomeGain's New Real Estate Study Reports 578 Percent Return From 'Cleaning and De-cluttering' A Home For Sale

2008-01-08T21:50:00.000-08:00

Emeryville, CA (PRWEB) January 7, 2008 -- According to a national survey of 2,000 real estate agents conducted by HomeGain, the home improvement that has the highest return on investment (ROI) is cleaning and de-cluttering. Results showed that, on a national average, homeowners who spend a couple hundred dollars on cleaning and de-cluttering a home for sale could yield a 578 percent ROI, which may be incremental home value of $2,000. The highest ROI was reported in the West region with an 837 percent return. Full Story.

Talant Vacuum Sweeping Real Estate

2007-12-30T22:04:00.001-08:00

Article by Blanche Evans at Realty Times. com

Capital Gains Tax Law Changed for Home Sellers

2007-12-30T22:02:00.000-08:00

Capital Gains Tax Law Changed for Home Sellers

Tips for Home-Builder Satisfaction

2006-09-28T13:58:00.000-07:00

If you're buying a new home you might not have a say over who your builder is. But JD Power has some great tips for working with builders to ensure your satisfaction.

The keys to satisfaction with your new home include:

quality of workmanship
design of the home
price of the home

If your real estate search has you looking at new construction or not-yet-completed homes, you need to have open communication with the builder to make sure your needs are met and that you're happy with everything that is being done. It's going to be your house, after all, so you might as well get a say in how it is completed.

According to the customer satisfaction survey, homeowners had the most problems with landscaping, kitchen design and electrical or heating and air conditioning systems.

JD Power has surveyed home buyers in 35 markets for 10 years now to determine which builders people are most satisfied with. Interestingly, it's the high-volume, national builders who seem to consistently have satisfied customers.

That doesn't mean you shouldn't go with a local builder to build your new home, but it does mean you shouldn't rule out the big building companies because they aren't local.

Whether you're looking for a new home builder or a real estate agent to help you buy your new home, we can help.

Real Estate Slate has all the real estate resources you need to make your dream of owning a new home a reality.

Incentives Abound for Home Buyers

2006-07-26T06:31:00.000-07:00

Home builders are getting pretty nervous about the state of real estate in most parts of America, but that means great deals are everywhere for people looking to buy a new home.

Builders of new construction and sellers of existing homes are pulling out all the stops to get buyers interested in their properties. From no closing costs to cash back at signing, free plasma televisions and swimming pools, many sellers across the nation are getting creative when it comes to making deals, and they're more receptive to bargaining than ever before.

Real Estate agents are getting in on the act, too. One Florida company is giving people who do business with them a share of the commission on any home bought or sold. A California builder is advertising no closing costs and no payments for three months, while other builders are tacking on incentives that can save a home buyer thousands.

Why this sudden change in the real estate market? Sales have gone down, and the number of homes sitting on the market has increased 39 percent this June over last June. Rising interest rates (they're more than a point higher than last year) have also kept people skittish about buying.

If you're looking to buy a new home, get in touch with a knowledgeable real estate agent. Tell him or her exactly what you are looking for and give a range of prices you would be willing to pay. Negotiation is very possible right now, so if you don't like the price on a home you love, let your real estate agent know; maybe a deal can be reached.

Despite the higher interest rates, now is a great time to buy, so if you're looking for a new home, even if you're a first-time home buyer, contact a realtor today!

Real Estate Investing

2006-06-12T11:42:00.000-07:00

With all the changes in the real estate market lately, some people are worried about trying to buy or sell a home. Buyers are worried about rising interest rates and sellers are worried they might not be able to get the price they want for their home, even though they might get a deal on the next one they buy.

In reality all real estate purchases are an investment, and no matter how the whole market is doing, if you have the means it is always a good idea to invest in real estate. Buying a home for yourself helps you build equity, gives you a sense of pride in ownership, even saves you on your taxes. And in growing parts of the United States right now, you can get some really good deals on real estate.

If you're talking about real estate investing as a financial strategy, you're looking at the housing market for different reasons than if you are buying a house to live in. You might find great bargains right now as people trying to sell their homes are cutting prices, but you also might not be able to flip a house as quickly as you've been able to do in the past.

Real estate investing depends very much on the local market, so there is no way to make generalizations about the whole country that will be relevant to everyone. So that's rule number one of real estate investing: know your local market. If you don't know what's going on where you are, you won't be able to make shrewd investment decisions.

Rule number two for real estate investing: check out the local inventory. An experienced real estate agent can tell you about local market conditions, how many homes are currently on the market in your area and how quickly (or slowly) they are selling.

Armed with this information, rule number three: prepare to deal. If the market has already slowed in your area, you'll probably be able to pick up some good real estate deals. Sellers are motivated to sell property that has been on the market for a long time, and you can find good deals out there.

But, finally, the last rule of real estate investing: be patient. If the market is soft where you are, don't expect to be able to buy a house for a steal and flip it next month for a huge profit. It's just not going to happen. When you look at or buy a property, you need to think long-term. What do you want to do with this property? How can you increase its value even more while you're waiting for the market to heat back up? Would you be willing to live in this house or use it as a rental property until you see that you can sell for a profit?

Real estate investing, like any other kind of investing, involves both short-term and long-term planning. There's always risk, too, so be sure to speak with a qualified real estate agent and/or financial planner before buying real estate as an investment.

Is a Home Equity Loan Right for You?

2006-03-15T11:12:00.000-08:00

The biggest thing in real estate right how seems to be home equity loans, and home equity lines of credit. These loans allow you to borrow on the equity in your home so that you can make home improvements and increase your home's value.

If you aren't familiar with home equity loans, here are the basics:

The equity in your home is determined by subtracting the amount you owe on your home loan from what the house is worth. It's not strictly what you have paid on your loan, because the value of your home likely has changed since your mortgage papers were drawn up.
In a home equity loan, you home is used as collateral, which means that you agree to pay the amount of the loan and if you don't, the company you got your loan from can take your house away.
A home equity loan is a second mortgage that gives you cash based on the equity in your home, which you can use for home improvements, to send a child to college, consolidate debt or do anything else you want.
A home equity loan gives you a lump-sum payment based on the equity in your home. Like your first mortgage, it is to be paid off in a fixed amount of time. Home equity loans are often paid off in 15 years, but the term can be as short as five or a long as 30 years.
On the other hand, a home equity line of credit allows you to borrow up to a certain amount of money over the life of the loan. You don't get all the money at once. Like a credit card, you can make charges as you need, and as you pay off the principal you can borrow that amount again. So if your home equity line of credit is $20,000 and you borrow $10,000, you have $10,000 left that you can borrow. But if you pay $4,000 on the principal from the first loan, you can then borrow up to $14,000 the next time you need it. Typically you can draw money from a line of credit for five to 10 years and then must repay it in the five to 10 years after that.

There are many companies online and off offering these loans based on your home equity. Which type of loan is right for you depends on the amount of equity in your home, how much money you need and what you will be using the money for.

These loans can be a great way for people to improve their homes and increase their value. While the real estate market is softening up in many areas of the country, more and more homeowners are opting to stay in their current homes longer and get home equity loans that will allow them to make improvements so they can charge even more when they sell their home later.

The Federal Trade Commission warns that while there are many legitimate sources for home equity loans and lines of credit, there are many things homeowners should watch out for:

Don't sign up for a loan with payments that you know are too large for you to pay. You're putting your house on the line. If a mortgage broker tries to get you to report more income than you make so that you can get a larger loan, walk away.
Don't sign papers that are blank or that you aren't allowed to read before signing. This is a scam commonly perpetrated by construction companies. Someone will come to your door and give you a quote for some home improvement. When you say you can't afford it, they say they can get you financing. After the construction starts, they'll have you sign a bunch of papers, which later you find out are for a home equity loan with bad terms.
Don't deed your house to anyone.
Don't accept a loan with extras such as insurance that you don't want or need.

For more information, visit the FTC's home equity scams page.

Real Estate History Repeating?

2006-03-06T10:21:00.000-08:00

An interesting story in the New York Times sheds some interesting historical light on the current real estate situation, whether there is such a thing as a real estate bubble and if that bubble is going to (or already has) burst.

It talks about the period between the summer 1989 and 1990, when the number of homes on the market rose 10 percent. This led to a huge drop in prices and great deals for those who were willing to wait out buyers until they would accept lower offers.

The article notes that in many parts of the country, buyers are betting on history repeating itself as the real estate bubble looks primed to burst, and are refusing to pay the asking price for many homes (particularly in cities on the coasts) because they're sure prices will fall if they can just hang on long enough. But sellers are counting on increased interest when the weather warms up (since spring and summer are peak times for home buying and selling) and often aren't budging on prices.

This article takes us back to the idea of when is a good time or a bad time to buy. Local markets vary widely, and nationally, even as more homes are on the market and fewer homes are selling, prices still seem to be going up in many places, though more slowly than they were last year.

What does this mean for you? Is the real estate bubble burst? If you're looking to buy a new house, if local conditions are such that there is a lot of inventory, you might want to wait a couple of months if you can to see if prices drop. If you want to sell your home, now is a good time to do so. The weather is warming up, which makes people eager for a change, and interest rates are still really good so it's a good time to buy even with higher prices.

The decision to buy or sell your home is very individual and shouldn't necessarily be based on what the market as a whole is doing. If you must relocate for a job or simply need a bigger or smaller house than the one you are living in, it doesn't make much difference to you what the market is doing. Those are the times when a qualified real estate agent can really help you by getting you the best house for your money, no matter what the market conditions are.

When is the Right Time to Buy?

2006-02-28T12:51:00.000-08:00

When you're thinking about buying a new home or selling your old home, everyone you tell the news to will want to offer you advice.

"Don't sell now, it's a buyer's market."
"It'll be tough to buy now, it's a seller's market."
"If you wait six months the prices will drop."
"If you wait a year, interest rates will be through the roof."
"The market is soft, it's a great time to buy."

The one thing all these statements have in common is they usually don't come from someone who knows anything about what is really going on in the real estate business in your area.

They probably also have good intentions. They might have read a story in their local newspaper talking about national trends or seen a story on the news that oversimplified the real estate market situation. It's never as simple as any of these statements make it sound.

Local Real Estate News

For one thing, real estate is a very local commodity. You know this if you live in west Texas and have ever toyed with the idea of moving to New York City. Real estate simply costs more in the big city than it does in the country, so it makes sense that other local factors would contribute to the local real estate market.

The availability of housing in your area, for one thing, makes a huge difference. If lots of people are buying and not a lot of people are selling, it will be harder to buy the perfect house but easier to sell a great house. Likewise, if there's lots of new construction and people aren't buying, it may make sense to wait a while and see if the price drops due to lack of demand.

The labor situation in your local area can also make a difference when it comes to home prices. If the local economy is good, people will be willing and able to pay more for housing, regardless of what the economy in the rest of the country is doing.

So how can you find out what the local real estate market condition is? You could ask a Realtor for the low down, or you could find out online by visiting a site like Realty Times.

This is a site real estate agents use to share information about local market conditions. Visit their Market Conditions Reports page to find information about your community.

Not every town and community in the country is listed, of course, and they aren't all updated very regularly (it's up to real estate agents to send in reports) but most seem to be updated at least once a month.

These reports share numbers such as:

How many homes have sold in the past month?
How many plots of land have been sold to developers?
How many homes are now on the market in various price ranges?
How long have those homes been on the market?

Exact information will vary depending on the person writing the report, but these summaries can give you some good information about what's going on in your area. They even have a handy little bar chart that shows you if it's a buyer's market or a seller's market, so you'll be able to settle that argument once and for all.

Thinking about Flipping?

2006-02-14T13:34:00.000-08:00

A huge trend in real estate right now is the idea of flipping a house; that is, buying a home, fixing it up and turning around and selling it quickly for a profit. This concept has been popularized by some home improvement television shows that make it look easy to pick up a house that needs a little bit of work, fix it up in a flash and resell the home for a huge profit.

The first thing you should know if you want to flip a house for profit is that nothing is as easy as it looks on television. The show Flip This House, for example, condenses a process that can take months into a one-hour show, with commercials.

Also, the people portrayed in shows where they fix and flip a house are professionals; they have flipped homes numerous times and have contractors who work for them (maybe even people in their own families) and can do the work quickly.

As an individual trying to figure out how to flip a house, it will probably take you a lot longer and cost you more money than it does on those television shows. Still, there are some things you can do to flip a house for profit:

Check your finances. Flipping a house is not something that just anyone can do. You'll have to have some money to put down on the mortgage before you can invest in real estate. After you have flipped a few houses (if you intend to do this as a long-term way to make money) it will be easier to come up with that cash, but your first mortgage might require $45,000 to $75,000 down, which isn't small change for most people.
Remember taxes. Selling a home you don't live in means that your profits will be subjected to capital gains taxes, which will eat up half of your profits. Think about that before you buy.
Renovating sense. Assuming you haven't purchased a complete fixer-upper, be mindful of where in the home you can improve things that will give you the best return when you fix and flip the house. The kitchen, bathroom and flooring tend to make the most difference when you flip a house. Put in new fixtures, new appliances and good looking flooring and you'll be well on your way.
Homes to stay away from. Don't expect to flip a house for profit if it has major problems like a leaky basement, foundation problems or other woes. These problems are so expensive to fix, you won't make your money back.

The bottom line is, it is possible to flip a house for a profit but it takes some cash, some good financial planning and some know-how. You need to know which homes will benefit from little fixes that will bring you big cash back. All this takes practice and experience, but if you really want to see how house flipping is done, see if you can find someone in your area who does it and grill them for information.

Choosing a Real Estate Agent

2006-02-08T07:25:00.000-08:00

Whether you are looking to buy or sell a home, choosing a real estate agent is an important first step. When you find a real estate agent you know you can work with, it will save you time and frustration, and maybe even a little money, too.

Here are some things to keep in mind that will make finding a real estate agent easier for you:

Choose an agent with experience. Sure everyone had to start somewhere, but agents with more experience tend to know better how to handle any potential problems that might arise in trying to buy or sell your home.
Choose an agent who is successful. If there is a particular neighborhood you know you want to buy in, drive around and see who seems to be selling the homes in that area. If you want to sell your home, keep an eye out when neighbors sell their homes. Which homes are selling quickly and who is the agent involved? Someone who has had success in an area once is likely to do so again.
Choose an agent you like. Especially if you are looking to buy a new home, you'll be spending a lot of time with your real estate agent. You need to pick someone who has a compatible personality, someone you won't want to strangle every time you have to get in the car with them. If you know that you are impatient or will make snap judgments about homes, tell the prospective agent that up front. If he or she doesn't seem comfortable with that, pick someone else.
Ask your friends for recommendations. If you know anyone who has bought or sold a house recently, ask them about their experience. They may be able to recommend someone great, or tell you someone you should avoid.

When you have narrowed down the list of prospective agents to work with, you will want to go visit each one in his or her office and ask a few questions that will help you find a real estate agent who you want to work with:

Are you licensed? Is the license up to date?
Do you work as an agent full-time or part-time?
What kind of continuing education do you take part in? Are you Internet savvy?
Will you show me comparable home sales in my neighborhood? (This is important if you're selling your home)
What is your commission structure?
How do you plan to market my house? (Get it in writing)

Once you have the answers to these questions and have chatted with the agents, you'll probably find that choosing a real estate agent is not that hard. Go with your gut, with the person who you think will work hardest for you and whose personality you like. And good luck buying or selling your home!

How Much Home Can You Afford?

2006-02-02T13:34:00.000-08:00

A big question when people start looking for a home, especially when they are first-time home buyers, is: How much home can I afford?

The question really has to do with how much mortgage you can afford, and how much house that will ultimately be able to buy you. And it's important to have an idea of how much you can afford to spend on a mortgage payment before you start to look for a house, because you don't want to spend time looking at homes that are outside of your means.

A banker or mortgage broker can help you figure out exactly how much money you can afford to spend on your new home. You can even get pre-qualified for a loan up to a certain amount even before you start looking for your new home. This is a great home buying tip because you will have a clear idea of how much the bank is willing to give you to spend and you can determine how much your monthly payment would be if you got a mortgage that large.

There are also online mortgage calculators that can help you determine how much home you can afford. These worksheets take into account your annual income, the down payment you would be likely to make, the interest rate and length of the loan, estimated homeowners insurance and taxes, regular monthly expenses like car payments and other debt.

This type of form can give you a good idea of what an affordable mortgage payment and home price would be for you. Then you can tell your real estate agent what range your home value needs to fall under.

The average family spends 30 to 40 percent of its total income on housing and related expenses, so that is another way to measure how much home you can afford. In many parts of the country, however, the cost of housing as a percentage of income is very high if you want to live in a nice house, so it's not always an accurate measurement.

If you really want to know how large of a house payment you can afford, save all your bills for one month. Add up all your regular expenses, from the cable bill to the car payment. Add your insurance bill and your last property tax bill. Multiply the regular bills by 12 and the quarterly bills by four. Don't include your current housing payments.

Once you've added this all up, subtract it from your annual household income. The money you have left should pay for your housing, food, entertainment, emergencies and other expenses. Plus you should put some into savings each month. This method will give you a clear idea of where your money is going and how much you could comfortably give to a new home payment.

Real Estate Wish List

2006-01-27T12:54:00.000-08:00

When a couple is shopping for a new home together, a lot of conflict can arise. That's because choosing a new home is a stressful event, a life-changing event that costs a lot of money and literally alters the way of life in a family.

Both people in a relationship (or all the people involved in choosing a house, if there are older children helping with the house hunting) have different priorities concerning what they want in a new house. While your real estate agent can help you determine if your desires are realistic based on the amount you want to pay for a house, he or she can't help you decide what is most important for you.

If you are considering buying a new home in the near future, you should sit down with whoever else is going to be involved in buying your new home and make a list of priorities for your new home. Some of the things you might want to talk about are:

How many bedrooms?
How many bathrooms?
Do you know how much square footage you would like?
How big of a garage?
Anything special inside, like a large kitchen, an office, a den with a door, hardwood floors, etc.?
How big of a yard?
In town or out of town?
Which school district or zip code would you like to live in?
Do you want a new home, an older home, or something in between?
Are there particular neighborhoods or areas of town you want to live in?
Do you want to live close to your office? Your church? Your favorite stores?
Do you want to live near the Interstate? On a public transportation route?
What would you like your new home to look like--brick, wood, stucco, etc.?
Do you want trees in your yard?
What else is a priority for you?
How much can you pay?

Once you have determined the answers to these questions, you should also take the time to rank the priority order of your selections. That's a great home buying tip: Know what you want, but know what you'd be willing to sacrifice. Maybe you wouldn't mind living five miles farther away from work if you could get just the floorplan you wanted, for instance.

Home buying is sometimes about compromise, so it's important to know what the deal-breakers on your list are.

Once you have figured out this list of priorities, you might want to devise a home buying checklist that you can use either to start looking for homes on your own or with the help of a real estate agent.

A home buying checklist will make it easy for you to take notes at each home visit and to compare them quickly when trying to make a decision. It also helps solidify what you want in buying a new home. That makes it easier because you can tell your Realtor "we want a 2,000 square-foot, four bedroom house on the east side of town with a big yard, a great kitchen and hardwood floors," instead of just saying "show us what you've got."

Devising a home buying checklist is especially important for buying your first home. Since you've never owned a home before, you might not have given a lot of thought to how you would actually use a house. Do you plan to do a lot of entertaining? Have lots of houseguests? Is a big yard more important than a big living room?

If you don't have an idea of what you want when buying a new home, your home buying experience will likely take a lot longer and be more frustrating. So take the time now to figure out what you want in your new home. Your real estate agent will thank you, and it will make the home buying process much easier for all involved.

Why it Pays to Use a Real Estate Agent

2006-01-25T13:12:00.000-08:00

Many people, when they get ready to sell their homes, think that they can do as well as a real estate agent by themselves. They assume that there's really not that much skill involved in selling a home and they might as well save themselves the commission that a real estate agent would charge.

Only about 10 percent of FSBO (for sale by owner) homes are successfully sold. This can be true for a variety of reasons, but it is much more difficult to sell a FSBO house than it is to sell the same house with a Realtor.

When people try to sell their homes themselves, they usually put up a sign, run an advertisement in the paper, maybe post a picture and some information on a FSBO listing website, maybe host an open house or two.

When a real estate agent tries to sell your home, you get a sign, an ad in the paper and an open house, but you also get connections to other Realtors who have clients looking to buy homes.

Real estate agents usually have broker opens, which is like an open house but only other agents are invited. This gives the real estate agents a chance to look at the house and see if it meets the needs of any of their clients.

Listing your home with a real estate agent also gives you the power of the Multiple Listing Service, or MLS. When you look in the newspaper or on real estate sites online, you'll often see an MLS number associated with a home.

This code allows real estate agents and others with access to the MLS system to find out a lot of information about a house, including square footage, the size of the lot, when the home was built, how many rooms there are and much more. This information helps real estate agents guide their buyers to the right homes for them.

Your real estate agent can also be a big help in setting up your open house, showing the house to potential buyers and buying bigger ads than you might run yourself. All of this can save you time and get you a better price for your home in the long run.

The decision to go with a FSBO listing or to sell your home with the help of a Realtor is a personal issue, but real estate agents can be a big help and make your sale more successful.

How Home Improvements Affect Home Value

2006-01-19T14:09:00.000-08:00

If you're looking to sell your home some time in the near future, you might wonder if you should do home improvements and if the money you spend on home improvements will affect the asking price for your home.

Figuring out how much the cost of a home improvement will raise your home value is not an exact science. It's universally true, however, that you will not immediately get back 100 percent of an investment in home improvement. For example if you spend $10,000 on new siding for your home, that will not increase your home value by $10,000.

Trying to estimate your home value after improvements is a tricky business. Kitchen and bathroom improvements tend to have the highest percentage return, garnering around an 80 percent return on investment.

The average home improvement will give you around a 75 percent return when you calculate your home value.

If you're thinking about doing home improvements to increase the value of your home before you sell it, you should, first of all, have realistic expectations about how much those changes will increase the value of your home.

After that, you need to understand that major home improvements often don't pay off in the short term. It takes about two years for the overall value of your home to increase enough to completely pay for a big improvement.

If you want to sell your home quickly, focus on cheaper projects that will make an immediate difference in both the look of the home and the home's value. For instance, make improvements on things that you haven't maintained well. Give the home a new paint job, upgrade the landscaping or replace a damaged floor. These things will make a big difference in the amount you can ask for your home.

When contemplating home improvements, whether with a mind to selling your home or just for your own enjoyment, consider whether the improvements will make your home much larger or fancier than other homes on your street. You should try to keep your home within the range of other homes in your neighborhood or part of town. Otherwise it can be harder to sell, even if those improvements would normally increase the value of your home.

If you are thinking about selling your home, by all means make minor improvements that will make your home look better and more attractive to buyers. And if you aren't looking to sell soon, make all the improvements you want with the knowledge that it might take a while to translate those improvements into increased home value.

And if you even have questions about how to determine the value of your home, consult a qualified Realtor in your area.

Home Owner Tax Relief

2006-01-11T12:52:00.000-08:00

There are many reasons home ownership is valuable, but at this time of year, as we all start thinking about filing our income taxes, it is good to be reminded of the tax deductions for home owners.

There are a variety of tax breaks for home owners that you can take advantage of on your 1040 form. To deduct housing-related costs from your taxes, you will have to itemize your deduction instead of taking the standard deduction. This means more work on your part, but ultimately the tax benefit is worth it.

Here are some of the items you can deduct if you own your home:

Homeowner's insurance premiums.
Fire insurance premiums.
FHA or mortgage insurance premiums.
Money applied to reduce the principal of the mortgage.
State or county real estate/property taxes (pro-rated if you did not live in the house all year).
Sales tax paid on the home.
Interest paid on your mortgage (for homes valued up to $1 million, or $500,000 for an individual).
Points. Many mortgages contain points, also called loan origination fees, loan discounts or discount points, which are a way to lower your interest rate on the loan. You may not be able to deduct the full amount paid for the points in the year you paid it, so check with the IRS or your accountant for more information.

If you are a lower-income person looking to buy a home, ask about the mortgage interest credit. If you qualify and receive a mortgage credit certificate from your state or local government before you get your mortgage, you will be able to deduct a portion of your mortgage interest payment as well.

And if you move in order to start a new job (or usually within a year of starting work) and your new job location is at least 50 miles farther away from your old home than your old job was (so if you lived 10 miles away from your old office you must live 60 miles away from your new office before the move) and you work in the new location for at least 39 weeks of the year after you move, you can deduct moving expenses.

If you are self-employed, you can deduct moving expenses if you work from home full-time for 78 weeks in the first two years after you move. If your new employer paid your moving expenses, remember that you may have to declare that on your income tax return.

Tax issues can be very confusing, but there are so many great tax deductions for home owners that you'll really want to take time to get the most out of your move.

For help deciphering the tax breaks for home owners, check out the forms on this IRS page for more information. Scroll down to "First time home owner."

Is it Time for Buying a New Home?

2006-01-05T12:50:00.000-08:00

If home buying is on your list of New Year's resolutions, you're probably wondering if this is a good time to buy or not. It's understandable that you would be nervous about buying a new home, especially if you are buying your first home.

You might hear all the news about the "real estate bubble" and how it's bursting, though just as many experts will tell you there's no such thing as a bubble at all. It's impossible to predict whether home prices and values are going to go up or down in a particular region, let alone across the country as a whole.

Whatever the economy is doing, home buying boils down to a very personal decision. You have to want to buy a home and know that you will be happy living in the same place and maintaining your home for at least a few years, if not longer. Beyond that, credit history, income and cash flow are the main things that separate home buyers from renters.

Credit History

If you have bad credit, buying a new home will be more difficult. If you look like a problem borrower, banks won't be very willing to give you a large loan that you might not be able to repay. So one of the first steps to buying a home should be to get your financial house in order.

Cut down on credit card spending and pay more than the minimums on your credit cards for as long as you can before applying for a home loan. This will help improve your credit score.

Other things you can do to improve your credit score include:

Get a copy of your credit report and correct any blatant errors such as late payment scars that aren't accurate. There are three main companies that produce credit reports: Equifax, Experian and TransUnion. You should request a report from each company at least once a year, and expect changing mistakes to take at least one to three months.
Pay your bills on time. Seems simple enough, but it's true that recent late payments affect your credit score more than older late payments. So even if you've been a haphazard bill payer in the past, shape up now and your credit score should improve.
Pay off debt instead of shuffling it between credit cards. It's good to show that you are actually paying off debt, and it's ideal if your total debt is less than 25 percent of your credit limit on all your cards. If you're nowhere near that right now, pay all you can as soon as you can. Don't close accounts only to open new ones and transfer the debt.
Don't close credit cards, even if you're not using them, if you're planning to apply for a loan. Banks look at your account balance to credit limit ratio, like we talked about above. If you close accounts, you'll lower the amount of available credit you have and thus increase your ratio of debt to available credit. Wait to close those seldom-used accounts until you've already gotten the loan.
Don't open new accounts when you're planning to apply for a loan. It seems like if you open new accounts you'll have more available credit relative to your debt, but this strategy could backfire if you get new cards very soon before applying for a loan. That's because you don't have a track record of paying your bills on time, so getting new cards can temporarily lower your credit score. Also, the average age of your accounts is a factor in your score, so getting a new account will lower that number.

Income and Cash Flow

It's pretty obvious how income can affect your home buying ability. If you're living paycheck to paycheck as it is, you don't have money for a down payment, closing costs or a higher monthly payment, so you won't be able to buy a house.

You might not have much control over income and cash flow, but it's important, if you're thinking about buying a new home, to free up as much money as you can. Start saving all the money you can right now. Home buying involves a lot of expenses at the beginning; there's really no way to save too much.

Here are a few quick ideas from the government guide 66 Ways to Save Money. They might seem small, but little things can add up quickly:

Consider dropping some extras from your phone service. If you don't call long distance very often, for instance, get rid of the service and buy a pre-loaded phone card instead. Or consider dropping the land line and just using your cell phone for all calls. This could save you hundreds of dollars, depending on how many frills you knock off.
Compare rates and find the lowest cost auto insurer you can. Consider raising your deductible for collision repair, which could save you hundreds (as long as you don't cause an accident).
Choose a free checking account.
Shop at lower-priced grocery stores and stay away from the convenience store. You're paying for convenience with the highest prices out there. Make a list and stick to it, buying only things you need. Check out the per-unit price, which is often listed on the shelf tags in front of products, to buy the cheapest brand. And don't forget coupons, especially for items you buy frequently.

Once you get your credit, income and cash flow in order, if you want to buy a home, any time will be the right time to buy. And don't forget to contact an experienced local Realtor for all the home buying help you need.

Real Estate Website MLS Search

2006-01-03T08:01:00.000-08:00

5 Reasons NOT to Require Visitor Sign-In

By Jennifer Ryan

The MLS Search (or IDX Solution) is a popular tool for many real estate websites today. If you want to compete in the web marketing arena, it is helpful to include the MLS Search tool on your site. The question is, should you require visitor registration? Prior to allowing visitors to search the MLS on your site, should you require them to fill out a form and obtain a user name and password? We believe the answer to this question is "No." Visitors to your real estate website should not be required to register with your site before using the MLS search tool you provide. Here's why:

1. MLS data easily obtained elsewhere. Visitors can leave your site and within one or two clicks be inside an MLS search tool without bothering to fill out your forms and obtain a user name and password. With information readily at their fingertips, web users are less likely to be held hostage to having to give their information prior to using a tool. If you won't give them the information, your competitors will. Requiring someone to fill out a form before allowing them to view data is an old-school practice that better relates in teh print world where data is not so readily available.

2. "Giving-to-get" principle. Your website visitors are self-centered information seekers. They could care less about you, your business or how they can help you. In offering no-strings-attached MLS data on your website, you are in effect being "congruent" with your site visitor and giving them what they want for free. Your smart (albeit self-seeking) visitors will appreciate your generosity and reward you with a phone call or by filling out your form of their own accord. It's the concept of offering a free gift for trying a product. The goal is to get the visitor on your site, get them used to your site, and provide enough good information and useful tools that they want to come back and helping you to establish rapport and build trust (the foundation for any sales relationship). Next time you're on the web and looking for answers, think about your feelings for those sites that hand-it-over to you absolutely free. Would you go out of your way to do business with that site if possible? Most people would appreciate the gesture and try to repay the favor to the website that helped them the most while requiring the least from them.

3. Forms make people think (a bad thing on the web). One of the main principles of sound web usability is outlined in the book Don't Make Me Think by Steve Krug. This popular book has become the de facto standard for web design usability principles that few in the web development community would reject. The premise of Krug's findings from high-dollar usability studies with Fortune 500 company websites is that people don't want to think. The websites that are most effective are the ones that get the user in-and-out without requiring much "thought" on the part of the end-user. The easier the process on your website the better. The goal for any good website should be giving relevant, fresh information in the fastest, most efficient way possible. Forms make people think...a very bad thing on the web.

Questions people will stop and ask themselves:

1. Why are they making me fill out this form?
2. What is this form for?
3. Whose website is this?
4. What else will I have to do after I fill out this form?
5. Is this website trustworthy?
6. Am I wasting my time?
7. What will take less time: filling out this form or doing another Google search?
8. Do I want to give this person my personal information?
9. Isn't this information available faster somewhere else?
10. What if they start spamming me?
11. Are they going to call me and harass me?
12. Maybe I shouldn't fill this out, I'm not buying for another few months.
13. What is a password?
14. What should my user name be?
15. Why did they send me an e-mail confirmation?

The questions above may seem like good questions, and they may be for any other medium--except the web. On the web, the site that wins the most kudos is the one that gets out of the way and offers information in the fastest and least intrusive manner possible. Once you've satisfied the needs of the information-hungry visitor, their bellies are full and they are much more receptive to the marketing data you want to parlay on your own behalf.

4. Sales is a numbers game, no matter how you slice it. The reason you may consider having a sign-up requirement for usage of your MLS Search feature may be because you fear people will come onto your website, get what they want and leave. This will be the case no matter what you do. Sales, marketing and web marketing are all about numbers.The more people you reach, the more sales you will make. The chances of you reaching more people are greater if you offer your MLS search feature with no strings attached.

5. Requiring a sign-up prior to using your real estate website tools blocks some people from coming in. The goal of MLS Search on your website is to compel people to come in and use your tools. If someone does not want to sign up to use the search tool, they may leave. You will never get the opportunity to know these people. How many people (competitors included) would do searches on your website and come back to your site again and again to get information? The name recognition alone you'll gain from having an open, free useful tool on your site is worth the risk you take by making it available.

If you are still not convinced that offering the MLS search for free on your website with no strings attached, we suggest testing it for a given time both ways. You will be surprised at the increased number of leads you can generate just by being more generous and trusting with data.

Jennifer Ryan
http://www.The-Marketing-Shop.com/
Real Estate Web Site Design & Promotion
214-680-6177

Read our Web Design Philosophy Here
More Web Design Articles by Jennifer Ryan

Additional Web Usability Resources

Usability 101: Jakob Neilsen UseIt.com
Information Foraging by Jakob Neilsen : Why Google makes people leave your site faster
Web Pages that Suck
Biggest Web Design Mistakes of 2004
Searching for Answers on the Web: What do people want?
Deceivingly Strong Information Scent Costs Sales-UseIt.com
Authentic Behavior in User Testing - UseIt.com
Top 10 Guidelines for Home Page Design -UseIt.com
Trust or Bust: Communicating Trust in Web Design - UseIt.com

Real Estate Markets Heating Up Reports Real Estate Add

2005-12-29T07:21:00.000-08:00

Copyright © 2005 Mike Colpitts
Real Estate Add
http://RealEstateAdd.com

There are still hot real estate markets in America, according to the latest survey of real estate markets in Real Estate Add.com. The website offers real estate market information on all 50
States.

Despite increasing interest rates, there are some real estate markets scattered all over the United States which remain hot. Salt Lake City, Utah is a buyers haven. There are also other local real estate markets that are undiscovered by many that have some of the best appreciation to come in future years.

Columbia, South Carolina is turning into a buyers paradise with one of the most affordable housing markets in the country. The average price of a single family home is just under $130,000, turning Columbia into a retirement haven.

The state of Texas may provide the next big boom market in the nation. The U.S. Census Bureau says 46% of the nation's population will live in Texas, California and Florida by 2030. All three states are gaining in population. Despite the series of hurricanes to hit Florida over the last two years, 1,100 people a day are moving to the sunshine state, according to state officials.

There are tens of thousands of real estate sites on the web. But nothing like Real Estate Add, which recently changed its name from America's Real Estate Digest. All 50 U.S. States real estate markets are profiled on the website http://RealEstateAdd.com. It's an information driven resource for consumers.

I'm Mike Colpitts and I started Real Estate Add.com a few months ago. As a real estate agent since 1989 I've seen a need for an information driven resource like Real Estate Add on the web. I started it as a service to consumers.

Spokane, Washington is another example of a local real estate market that is hot. Spokane hasn't seen this much real estate activity since 1992 as more and more Californians and others flock to the Pacific north-west.

Every time I'd work with a real estate client whether it was in California, where I started selling real estate, Washington State or now in Florida where I make my home clients would ask me what
the real estate market was like somewhere else in the Nation.

I didn't live where they were referring to but I always made it my business to know what other markets were like. The resources were bleak with the exception of an occasional report from the
mass media or the annual report from the National Association of Realtors. So I decided to start Real Estate Add on the internet to give consumers the information they want in today's information driven society.

There are residential and commercial real estate markets where investors will make a killing and there are markets where you better sell today before it's too late tomorrow unless you're going to hold on for the long haul. In Real Estate Add find out about local real estate markets all over the Nation.

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Mike Colpitts is a former professional journalist who has been selling real estate since 1989. Visit http://RealEstateAdd.com

Residential Real Estate - How to Attract More New Clients

2005-12-29T07:06:00.000-08:00

Copyright © 2005 Alan Rigg
80/20 Sales Performance
http://www.8020salesperformance.com

Doesn't it seem like everyone you know has a friend, relative, or acquaintance that is a realtor? How could anyone, especially someone new to the industry, possibly achieve success when faced
with this much competition?

The answer begins to appear when you consider the following questions:

How many licensed real estate agents have the TALENTS required for success in sales?
How many have been trained in EFFECTIVE SELLING TECHNIQUES?
How many know how to PROSPECT effectively?
How many know WHICH QUESTIONS TO ASK to determine the factors that are most important to each prospect's buying decision?
How many take their profession seriously and are WILLING TO PUT IN THE EFFORT AND HOURS that are required to build a successful business?
How many of them regularly SELL MULTIPLE HOUSES PER MONTH?

The 80/20 rule definitely applies to residential real estate. In fact, some statistics suggest the ratio is more like 90/10 (where 90% of home sales are made by just 10% of realtors), with the
vast majority of home sales by the top 1%!

So, how can a novice realtor attract clients? By building his or her CREDIBILITY and RELATIONSHIPS. Let's explore these two topics separately.

How to Build Credibility

Imagine you are a brand new realtor that has just passed the licensing exam. Why would someone turn to YOU to help them make what may be the largest investment of their lifetime? What makes
you stand out from other licensed real estate agents?

If you are new to the profession, you won't have success stories or testimonials to point to as answers to these questions. However, there are many things you can do to build your
credibility quickly. Here are a few examples:

You can perform in-depth research on a specific aspect of your local real estate market and write a "white paper" or "special report" to share with prospects. Examples of potential topics include "The Hottest Markets In (a specific area)", and "Resale Home Prices for the Past 12 Months In (a particular community)".
You can compile a "New Resident Resource List" that educates your prospects on local stores, service companies, fun activities, family-friendly restaurants, etc.
You can write articles and deliver free speeches or seminars that are based upon the results of your research.

There is tremendous power in AUTHORSHIP. If you can place useful information that has your name on it the hands of potential prospects, you will earn credibility.

How to Build Relationships

A good starting point is making sure everyone you know (friends, family, acquaintances, past business contacts, etc.) is aware that you have become a licensed real estate agent. It doesn't
matter where they live -- who knows when one of their friends or associates will decide to move into your target market? The best approach is a simple, "soft sell" message such as, "If you hear
of anyone that might be interested in buying or selling a house, please let them know that I would be delighted to help them."

When you are sure that everyone you know is aware of your new role, start pursuing NEW relationships. Don't limit yourself to contacts that may themselves become prospects. Also look for
opportunities to develop relationships with people that can REFER prospects to you. This includes:

Mortgage brokers
Bankers
Salespeople in non-competing sales roles (i.e., new home sales vs. resale)
Property managers
Corporate relocation managers

You can also pursue relationships with people that have large customer lists such as accountants, financial advisors, and insurance agents.

Focus on getting to know your potential prospects and referral sources as PEOPLE. What do they do for a living? What constitutes an opportunity for them? What are their issues and concerns? What
are their personal interests and passions?

If you constantly have your "radar" up, you never know when you will run across a resource that could be helpful to someone else. If you focus on helping other people accomplish their goals and
fulfill their needs and wants, you will be astonished by the number of referrals that come your way.

As you build your list of satisfied customers, you will be able to expand your sales success through referrals and testimonials. However, the strategies described in this article will always provide a boost to your opportunity pipeline!

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Sales performance expert Alan Rigg is the author of How to Beat the 80/20 Rule in Selling: Why Most Salespeople Don't Perform and What to Do About It. His company, 80/20 Sales Performance,
helps business owners, executives, and managers DOUBLE sales by implementing The Right Formula™ for building top-performing sales teams. For more information and more FREE sales and sales management tips, visit http://www.8020salesperformance.com.

What is the Value of Your Home?

2005-12-29T06:57:00.000-08:00

Determining your home’s value is more of an art than a science. Many factors are involved, and the value you and your real estate agent set for your home may not be what a buyer is willing to pay. Here are some things your real estate agent will consider when trying to put a number value on your home.

What is the location of your home? Where you are in the country determines how much you can sell your house for, as does if you are in a big city or out in the country.
What is the condition of your home? Homes in good condition understandably will fetch a better price.
What was the price of other homes that previously and recently sold in your neighborhood? Comparable homes that have sold recently in your area will give you a good idea of what the market will bear.
How does your home compare to the homes that sold and are for sale in your area in terms of square footage, amenities, condition, etc.? If your house is smaller, has a smaller back yard, is older or in worse shape than your comparable homes, you may not be able to ask as much money.
What are the current market conditions? If a lot of homes on the market that are going unsold for long periods, you may have to accept less money if you’re in a hurry to sell. If homes are getting snatched up quickly, you might be able to ask more.

A real estate agent can help you come up with a reasonable figure based on comparable home sales in your area, taking into consideration how your home differs from those homes and looking at what the market will bear at the particular time you are selling your house.

Even if you have a real estate agent, you might want to do some research yourself to see if you and your agent are on the same page. There are many places to look for comparable home sales statistics, such as Home Price Check and Home Gain.

These sites show you what other homes near you have sold for, and often include information like square footage, number of bedrooms and the year the home was built, so you have an easy way to compare the homes to yours.

Other home value ideas

Another way to check out the competition is to visit local open houses of homes that are similar to yours. This will give you a good idea of what other people are asking and how your home compares to others on the market. Or visit a real estate listing site like Realtor.com and search for homes in your zip code. Then you can see what other people are asking for homes in your area of the same size as yours.

This will help you determine the price per square foot that is common in your area. This figure is determined simply by dividing the square footage into the price of the house. So if you’re looking at homes of around 2,000 square feet and finding they are priced around $200,000, that tells you the price per square foot is around $100. This is another figure that can help you determine how much to ask for your house.

Ultimately the decision of how much to ask for your house must be approached logically. It’s hard to put a number on a place that holds so many happy memories, but if you want your house to sell quickly and you want to make as much as you can in the sale, you need to think long and hard about these factors, do your research and consult your agent to determine the best price for everyone involved.