Investment Property « AllPropertyManagement.com

Archive for the ‘Investment Property’ Category

Commercial Properties Struggle With Foreclosure, Too

February 16th, 2011

A lot of people think that homes are the only things that are foreclosed on, but that’s simply not true. A lot of commercial properties are lost that way, too, because people can no longer pay for them. It may be that they had a commercial property for their business and the business closed, or it could also be that they rented out the building to tenants, and those tenants went out of business. Either way, it can become very difficult to pay for a commercial space if there isn’t any income being generated in it.

It’s frustrating for the person who bought the building, and it’s frustrating for the lender who extended the money for the building. Both will generally lose in a foreclosure situation. The up side to that issue is that it’s a great time for buyers to purchase commercial buildings. If they have the money and/or can get the financing, they can buy properties for a fraction of what they would have needed to pay at the height of the property bubble. Most people thought the pricing bubble only affected houses, but that wasn’t necessarily true. All property went up in value, and the vast majority of it came crashing back down, making it a true buyers market – but only for buyers with good credit and decent down payments.

If you’re looking for a good commercial property, now may be the right time for you to find something great. Check around in your area and see what you can locate, because the odds are good that you’ll be able to negotiate much more now than you would have been able to even a few months ago. The longer a property has been on the market, and/or the closer it is to going into foreclosure, the better chance you’ll have of getting it for a price you’re really happy with.

New Housing Starts Are Up – Or Are They?

December 29th, 2010

photo credit: Lauren Manning

There’s so much conflicting information on the news lately, and a lot of it has to do with housing numbers. You’ll hear that they’re up, and then you’ll hear that they’re down. You can’t seem to get a straight answer from anyone, and it can be very confusing. The key is to know where the numbers are coming from, and how that relates to where you’re looking for a home – or looking to sell a home. If you know that there are problems in your area and the housing numbers are steadily dropping, it might be better not to sell. Just hold on, if possible, and wait for things to improve.

For buyers, though, that can be one of the best times to get things moving and to start purchasing property – either to live in or to buy and rent out or resell at a later date. Some parts of the country are doing much better with housing starts and other housing numbers than others are. That’s important to pay close attention to, because there are areas of the country where deals are much better than others are. If you watch for them, you can still make money in the real estate market, instead of getting burned.

If you want to purchase a brand new house, or have one built for you, now is the time. You’ll need a good down payment and a high credit score if you want to finance, though, because there are fewer opportunities to borrow money today. Lenders are more careful with what they’ll allow people to borrow, because there have been so many bankruptcies, foreclosures, and late payments over the last couple of years since the housing market collapsed. Whether new housing starts in your area are up or down, now is still a good time to buy for those who are able to.

Can Flipping Houses Still be Profitable?

December 25th, 2010

photo credit: Casey Serin

In a tight economy, there are still people who invest in real estate. Some of them just have a lot of money that they can spend, but others must borrow money and get loans. This latter group represents the majority of people who invest, but many people who want to get involved are hesitant now. Will they still be able to get loans? Can they actually make any money doing that anymore? If you have those kinds of questions, you should know that it can still be profitable to flip houses – but there are some caveats.

First, it’s important to note that people who want to fix up and flip houses can’t really expect to get the kind of profit they were seeing when housing was booming. The prices were greatly inflated then, and they’ve come down quite a lot since that time. You can still make a profit, but don’t expect to get rich. Some people still do quite well, but if you’re just getting into it you may struggle and have a harder time. Working with someone who’s been doing it for a while can be a much better choice, so you can learn all you need to know.

With interest rates under five percent, borrowing money to buy a house, fix it up, and flip it isn’t too painful. Where you may run into trouble is getting the house sold again. Of course, many investors are still buying houses and fixing them up, only to rent them out. When the housing market recovers – and it will – then they’ll sell the house instead of renting it. Until that time, the rental income pays the mortgage that they have on the house, and they can continue to buy more houses to fix up and rent for a while, until they sell them for a good profit later.

Bedrooms – What Buyers Look For When Shopping for a Home

September 20th, 2010

photo credit: Juan ValldeRuten.

When people are in the market for a house, they are not going to settle on just anything. Some people want more or less in a house, but most importantly they want their perfect house. Most people have bought a house or gone house shopping at some time in their lives, and you know it is not an easy decision. You will be living in the house you buy for at least a couple of years. Bedrooms are very important rooms in everyone’s home. This is the room you go to relax in and it must be perfect.

The first thing people look for in a bedroom is the size. Many people like to have a good sized room so they can fit all of their previous furniture or more in there. Most people want a nice big bed along with a TV, dresser, etc to fit in the room without it being too closed in. The closet is very important too! Who doesn’t want plenty of room to put at of their clothes and shoes in? Walk-in closets are great, especially for someone with a large wardrobe.

The extra features in the bedroom are important as well. Some people like to have carpeting, others like hard wood flooring, but that is really a personal preference. Having a bathroom within the bedroom if it is a master bedroom is something everyone looks for. It is just much nicer to have your own personal bathroom, rather than sharing it with your kids or someone else. Just like people want spacious bedrooms, many like to have bigger bathrooms. Lots of people want a bathroom that is sleek, clean, and updated. Having two sinks and a tub is a great feature.

Many people want to wake up in the morning and look out their bedroom window to see a beautiful view. Everyone has different tastes in what they think is a nice view. Some love to see a great big mountain, others just like a nice landscaped backyard. But, whether you are in the city, or out in the country, just make sure your window is not outside of a busy or noisy street.

What to look for when buying a new home as an entrepreneur

September 17th, 2010

photo credit: taberandrew

When you are in the market to purchase a new home, and you work from home, there are a few key things to consider while on tours of potential residences. Sometimes less is more, however you need to make sure you have all the necessities.
First, the size of your home needs to be that which will comfortably contain all family members and with room for guests. Another concern should be ample bathroom and storage space. When working from home there is sometimes extra merchandises that need a place to sit.
Another key point is the cost of the home. If the price is out of your range, then it’s not an option. Most do not want to carry the extra burden of a mortgage they may have trouble paying at some point. After you’ve confirmed your rates and final price, also measure the costs of maintenance, taxes and such.
Additionally, the neighborhood is very important, especially if you have children. Take a walk or drive around to see where the schools, parks and stores are. Also take note of the police and fire stations. You could also stop at a couple houses on the block of the home you are considering and ask them how long they have lived there and their thoughts on the community.
After you’ve narrowed it down to a few homes that fit the above criteria, now comes the time to critique the individual rooms. The room(s) for your home office should be of a size to fit your desk, chair, filing cabinets, and any additional boxes or important parts to your craft. Also confirm that there are enough electrical outlets and spots for cables to run for internet and/or phone lines. Whether is it a personal choice or for lack of electrical outlets, a room with big windows and sunlight streaming in for most of the day could also be an appealing option. But make sure to get the right blinds or curtains for your liking so that you can have the privacy and comfort of adjusting the view.
Finally, it’s mostly about personal choice. If you and your family are content with the home, then it’s a good place to start.

Updating Your Kitchen Before Selling Your Home

September 1st, 2010

photo credit: fooferkitten

If you are about to sell your home, there are probably a number of things you are currently working on; paper work, packing, and so on. But included in all the busyness of getting ready to sell your home, consider updating your kitchen. The kitchen is truly the heart of the home. Updating your kitchen could increase your resale value and give perspective buyers more of an incentive to choose your home among all others. There are a number of things that you can do to update your kitchen before selling it and it doesn?t have to cost you an extravagant amount of money either.

Whether you decide to completely redo your kitchen or give it a few minor touch ups, updating your kitchen can truly give your house an edge in a buyer?s market. To start updating your kitchen you can start with doing simple things like painting. A new coat of paint can give your kitchen a fresh and clean look. You could even paint your old cabinets and give them brand new look instead of replacing them completely. Another inexpensive way to update your kitchen is to try some new accessorize. For instance, on your freshly paint cabinets, add new handles or try replacing the light cover switch. You could also change the light fixtures in your kitchen. Adding new lighting can really brighten up your kitchen and reveal some hidden jewels. The best lighting is sun lighting, adding new window treatments can really warm up the room. Fixing your flooring would also be a great idea. Be sure to fix any dents, stains or scratches on your kitchen floors. If you cannot afford to replace your floor completely, consider having them professionally cleaned to give them a new shine. Covering your current floors with hardwood laminate flooring is an easy and less expensive alternative.

Remember the overall goal of updating your home is to make a profit. Be sure to do your research about what buyers in your area prefer in a kitchen, and be sure to shop area for prices on all your updating needs.

Tips for Staging a Living Room When Selling Your House

August 27th, 2010

photo credit: back_garage

In today’s real estate market, it is extremely important to make sure that your house is one of the best looking houses on the market. We all know that most home buyers are more interested in the look of your property than anything else. When looking for a home, emotions run high and one must realize this when staging your living room in order to sell your house. One thing that never ceases to amaze me is how many people leave the living room as is and do not attempt in any fashion to make its appeal to potential home buyers. This is one of the biggest mistakes you can make when trying to sell your home. One must take into consideration what a potential home buyer has in their mind when they walk in through the front door. They want a house that they are looking at to be as close to their dream home as possible. As far as I know, there is no one who imagines a dirty or messy living room in their dream home. Always make sure that your living room is in impeccable condition before showing it to a potential buyer. Make sure to clean up any toys on the floor if you have young children, as well as any other toys from your pet dog or cat. This is especially important because if a potential buyer sees a bunch of junk laying on your floor, they will question whether or not you took good care of the house, which may lead them to inspect your house even further, where they might actually find examples of deferred maintenance or other costly repairs. To sum it all up, there is one thing to remember when staging your living room in order to sell your house: make it cleaner and livelier than it usually is. Doing so will save you lots of heartache when a potential buyer decides to not buy your home because of all the squeaky dog toys laying on the floor.

Tips for Staging a Bathroom When Selling Your House

August 24th, 2010

photo credit: tandemracer

Bathrooms are among the most expensive rooms to remodel so most bargain minded buyers (and what buyer isn?t bargain minded in these financial times?) are looking for a bathroom that?s good to go as is. Here are five tips that will help your bathroom to achieve the desired effect:

Shampoo and disposable razors? Get rid of them. Nothing has a higher ?Ick? factor than evidence of another person?s personal hygiene rituals — unless you?re related to them or dating them. Presumably this is not the case of anyone who?s interested in buying your home. Toss all personal care products. Pack those threadbare towels Aunt Lucy gave you as a wedding present and invest in a few new fluffy ones. Make your bathroom look like an adjunct to a hotel suite.

?? Metal fixtures must shine like silver. Over the years, particularly if you have hard water, scales and grime build up on your showerheads, taps and hoses. Use an old toothbrush to get the gunk off ? and if they?re ungunkable, head over to your favorite home supplies store and invest in new fixtures. Lime-A-Way works magic on calcium deposits.

?? Tile and grout must sparkle. Are your tiles in good condition? Then scrub them down until their surfaces gleam like cloisonn?. If your grout?s in good condition, a little bleach and another old toothbrush will work wonders on any discoloring (make sure to wear gloves.) Home supplies stores also sell special grout pens. If the grout has cracked and fallen out in chunks, it?s worth it to hire a mason to regrout.

?? Scrub away the mold. Nothing is more disgusting than a whiff of mildew, but this is something that a spritz of Febreze won?t fix. Almost every bathroom ? even the most well ventilated ? has mold hiding somewhere. Track it to the source and annihilate it. Is your extractor fan broken? Fix it. Is there a leak under the sink? Time to call the plumber. Damp bathmats, ancient mops, suspicious shower curtains ? dump them all. Air your bathroom thoroughly.

?? Stage your bathroom. A fluffy white robe hanging artfully on the door of the shower. A few scented candles on a bamboo tray. A colorful new rug next to the bathtub. Make your bathroom look like a spa!

Tips for Staging a Bedroom When Selling your House

August 18th, 2010

photo credit: JAGwired

The bedrooms are a home’s most personal location and when selling it, would have the biggest influence on how perspective buyers would view your house. Here are a few tips when staging the bedroom for the selling market.

Is This The Bedroom?

When selling, each room’s feature must be easily identifiable. In bedrooms, the bed must be the central point of the room. If the initial items you view are the filing cabinet, exercise bicycle, television or computer you will give out the wrong message to the potential buyers. Rearrange the rooms so that the dressing tables, wardrobes, bed, and bedside tables are the primary focal points within the room.

Clear, Tidy and Clean

Clear the floor, even underneath the bed, of all clothing, shoes and all other items such as magazines piles, exercise items, dog bed, and forgotten projects. As with all the home’s rooms, you will be selling space, so you need to maximize it.

Bedlinen that is Fresh

Purchase a set of new, fresh bedlinen, a few new, plump pillows and a beautiful throw. The goal is to make the bed desirable and inviting. Depending on the type of the property, you can seduce buyers with Bygone Elegance, Country Cottage Cosiness, or Euro Hotel Chic. Fresh bedlinen will smell new and appear inviting.

Fresh and Clean

Once you have decluttered, edited, redecorated and rearranged the room, it is time to clean, and clean some more. As with bathrooms, the bedroom is a personal location where you undress. Do not present the bedroom as an untidy place. All washing that is dirty must be put into the washing basket – keep in mind that it smells and will not add anything to the rooms freshness. Clear windows to maximize light. Clean up lamp shades and replace them if they look damaged or tired. Steam clean the carpets and decide if they need replacing.

Pets and Smoke

Make sure to deodorize any pet smells. Also, if you smoked in the room, be sure to clean the walls or anything that has traces of the smell of smoke left behind.

Tips for Staging a Kitchen When Selling a House

August 13th, 2010

photo credit: Schilling 2

Here are some of the design experts’ top tips for staging a kitchen when selling a house needs to be done as soon as possible.

Cleaning your kitchen is the single most important part of staging this room when you are preparing to sell your home.

Everything must be spotless including the floors, walls, ceiling, counters and ceiling. Get rid of those cob webs, dust, grease and grime so potential buyers can be impressed and more inclined to make an offer.

Make sure your appliances are sparkling clean. Clean the oven, fridge, microwave and dishwasher. If the stove burners are still less than stellar in appearance buy some inexpensive covers and use them.

A little lemon juice in a cup of water is all you need to add to a garbage disposal to knock out lingering odors. You can also use some baking soda to get this job done.

Get rid of clutter from the walls and counter surfaces. You want your kitchen to welcome guests and you want to have a room where they can imagine the possibilities instead of being locked into your personal decorating style.

Stow all countertop appliances in an out of the way location.

Repair any missing hardware on cabinet doors and drawers.

Make sure the kitchen is bright which means replacing light bulbs and removing dark curtains from the windows to let the sun shine in. Be sure that you clean all of the kitchen windows inside and outside.

Take any pet dishes and move them to the garage or to another location where they will not distract your potential buyers.

Address any broken tile, cracked walls or other minor problems by making the necessary repairs. This is the cheapest upgrade for a kitchen staging that anyone can do.

Have some freshly baked cookies ready to pop into the oven to create an irresistible aroma of home baked goodness in your kitchen.

A big bowl of fresh fruit can be placed on the bar or counter to add color and beauty to your kitchen staging area.

If you take the time to stage your kitchen correctly you will be surprised at how easy it is to generate real interest in your house when you are ready to sell.