Archive for the ‘General’ Category

« Older Entries

Bulk REO Investing Profit Strategies 101

Tuesday, May 11th, 2010

Bulk REO Real Estate Investing

The weakness of the U.S. economy has given rise to the largest epidemic of foreclosures in American history. However, opportunistic real estate investment professionals are turning the recession into great profits with a bit of creativity.

The real estate investing strategy du jour is called ‘Bulk REO Investing‘ and is a real monster.

Let’s take a moment to analyze the basics of this incredibly lucrative business.

Understanding the notion of Bulk REO’s requires understanding of the foreclosure process.

As a borrower becomes increasingly behind in his mortgage, the lender regularly calls and writes the borrower with default warnings and threats. The formal process of foreclosure begins at the lender’s discretion. From that time through public auction is called ‘preforeclosure’.

To complete the foreclosure process, the property is auction to the public. The lender regains ownership of the property if there are no buyers at auction. This property is then considered to be ‘Real Estate Owned’ by the lender, also known as an ‘REO’ property.

Lenders usually try to unload their REO properties at close to retail price by listing their REO’s with a real estate broker. However, REO properties are now frequently sold for far less than their ‘book value’. This happens because the buyer of the REO is required to purchase multiple REO’s in a single transaction.

These REO packages represent the potential to acquire huge amounts of equity for savvy real estate investors. One of the best ways to take advantage of Bulk REO Investing opportunities is to partner with a well-regarded source of funding. Some sources of funding for these transactions are: personal funds, hard money lenders, commercial lenders and non-conventional sources such as private investors and hedge funds. Additionally, one man is becoming very well known in the field of bulk REO investing, and his name is Salvatore Buscemi of Dandrew Partners, a hedge fund in New York.

Tags: , , , ,
Posted in General | No Comments »

Real Estate Investing In The Age Of Government Intervention

Tuesday, May 11th, 2010

Bulk REO Investing

Real Estate Investing is a tough business right now. While the business of buying and holding real estate as a long term investment remains a legitimate and viable strategy for wealth building, profit is no longer guaranteed as it once appeared to be.

With that in mind, the astute real estate investor will consider some specific real estate investment concepts to complement the “tried and true” strategy of long-term buy-and-hold investment houses:

* Virtual Real Estate Investing – the term “virtual real estate investing” has multiple meanings, including the use of the internet to buy and sell property, and the purchase and development of internet websites as a means of generating revenue. With an objective analysis, one can see the conceptual similarity between physical real estate and internet properties including entire websites and even individual pages controlled on larger sites like Facebook, Squidoo and Google Knol. Increasingly, real estate investors are seeing the clear opportunity presented by developing web “properties” into revenue generating assets much like physical rental properties. This trend is on the rise and will continue for the foreseeable future.

* Bulk REO – the prevalence of foreclosures in our economy has put mortgage lenders into a difficult position. With large pools of foreclosed properties on their books, it is no longer efficient for these lenders to sell their foreclosed properties one-by-one through real estate brokers. As such, mortgage lenders are increasingly opting to sell their foreclosures in “packages” to well-funded investors, at steeply discounted prices. Bulk REO investing is a rapidly emerging trend and will continue to be a significant tool for real estate acquisition and disposition until such time as the current foreclosure crisis abates and the foreclosure rate regresses to more normal historical levels.

It’s a different world in the real estate investment business. It would be very, very simple to think that the foreclosure crisis has caused the door of opportunity to be slammed entirely shut. Yet that’s simply not the case. When one observes the state of the real estate market, it is undeniable that fundamentals matter more than ever. For example, the selection of the local real estate market is of greater importance than ever, considering the huge disparity that exists among the thousands of real estate markets across the United States. Additionally, the role of regulatory compliance is greater than ever given the activist nature of the current presidential administration.

Without a doubt, there are very major challenges in today’s real estate investing market. But with some persistence, determination and creativity, there is still plenty of opportunity.

Tags: , , ,
Posted in General | No Comments »

Getting a Valuation For ones Property

Monday, April 19th, 2010

House Valuation. If you are a household owner inside UK then there are a number of explanations why you could want to get your property valued. You may perhaps be arranging to advertise your own home, be searching to remortgage or you may possibly merely be curious to discover just how much your property is benefit. Whichever the reason you’ll find a lots of means that you just can find out the worth your home.

The simplest solution to acquire an idea in the likely marketing price tag of one’s property would be to look at it with other homes which have been sold just lately inside same place. Appear for comparable sized components in your street or with your town which might be listed for sale and come across what cost there’re being advertised at. While prices will vary a particular volume based on elements like the age in the property and how well it may be maintained you should be capable to attain a reasonable estimate of just how much you would get for your property if you ever decided to offer it.

House Prices Sold. For an estimate of simply how much your property is most likely to get really worth inside the long term a good strategy should be to glimpse at current industry trends. If property charges are increasing by for instance 5% each year then you possibly can calculate how much the importance of your home is probable to increase above the subsequent few several years. Though hunting at market developments can be helpful you ought to don’t forget that trends are likely to alter and thus any estimate may eventually prove to become inaccurate.

In the UK there are several websites that could produce you with an determined importance of the property on the internet for cost-free making use of a selection of property current market data. These internet sites require you to enter specific facts about your property these kinds of as its postcode, the year or so it was designed as well as the quantity of bedrooms. Even though these websites is usually beneficial there’re unable to account for components like the condition from the property and so the determined worthy of of the house may possibly be set too high or too low.

Value My House. If you’re setting up to market your home then it truly is advisable to have your property valued professionally. Within the UK professional property valuations are carried out by competent chartered surveyors who generally do the job for or are related with estate agency firms. Most people requiring a property valuation will use estate products. Using estate agents is beneficial to get a amount of causes. Estate suppliers are experienced in valuing components, have neighborhood know-how and in numerous situations offer their services for free.

Tags: , ,
Posted in General | No Comments »

Bulk REO Investing Profit Strategies 101

Tuesday, April 13th, 2010

The weakness of the U.S. economy has given rise to the largest epidemic of foreclosures in American history. However, opportunistic real estate investment professionals are turning the recession into great profits with a bit of creativity.

The real estate investing strategy du jour is called ‘Bulk REO Investing‘ and is a real monster.

Let’s take a moment to analyze the basics of this incredibly lucrative business.

Understanding the notion of Bulk REO’s requires understanding of the foreclosure process.

As a borrower becomes increasingly behind in his mortgage, the lender regularly calls and writes the borrower with default warnings and threats. The formal process of foreclosure begins at the lender’s discretion. From that time through public auction is called ‘preforeclosure’.

To complete the foreclosure process, the property is auction to the public. The lender regains ownership of the property if there are no buyers at auction. This property is then considered to be ‘Real Estate Owned’ by the lender, also known as an ‘REO’ property.

Lenders usually try to unload their REO properties at close to retail price by listing their REO’s with a real estate broker. However, REO properties are now frequently sold for far less than their ‘book value’. This happens because the buyer of the REO is required to purchase multiple REO’s in a single transaction.

These REO packages represent the potential to acquire huge amounts of equity for savvy real estate investors. One of the best ways to take advantage of Bulk REO Investing opportunities is to partner with a well-regarded source of funding. Some sources of funding for these transactions are: personal funds, hard money lenders, commercial lenders and non-conventional sources such as private investors and hedge funds. Additionally, one man is becoming very well known in the field of bulk REO investing, and his name is Salvatore Buscemi of Dandrew Partners, a hedge fund in New York.

Tags: , , , ,
Posted in General | No Comments »

Real Estate Investing in 2009 And Beyond

Tuesday, April 13th, 2010

When you think of virtual real estate investing, a number of things may come to mind. You likely mentally leap to real estate investing as real estate portfolios and real estate retirement plans, and then you may expand to thinking of short sales, hard money lenders, bulk reo investing or virtual real estate investing. You probably also wonder how these things play out in real estate investors life in the current economy.

There is a lot to learn about real estate investing. To get the most out of real estate investing education, be familiar with basic information ahead of time. No matter whether you are interested in short sales, bulk reo sales, virtual real estate or just enhancing your knowledge as a real estate investor, knowing some real estate investing basics will help you succeed. Check out these three real estate investing tenets that many experts do not fully know:

1. Real estate investing education always yields positive. In any real estate deal, there will be thousands of dollars in potential wealth. The knowledge of how to get that wealth is the key to your success. Learning as much as possible about real estate will increase your odds of success whenever you do a real estate deal. Small investments yield big results when you invest in learning and then implement what you learn.

2. You can succeed in real estate investing regardless of the state of the economy. Lots of people believe that real estate success is only possible in a booming economy. In reality, poor economies are great for real estate investors. You can often buy properties at deep discounts. You might also find deals that simply would not exist in a booming economy. Poor economies can turn based on active real estate investing. When an economy is less than thriving, short sales, bulk reo sales and virtual real estate can prosper. You will have the option of saving yourself and possibly others from serious financial difficulties if you know about these types of deals.

3. You will not need lots of money to be a successful real estate investor. You can make a success of real estate investing no matter how much or little money you have. There are a lot of deals that you can do with other people’s money. Private lenders will let you use their money if they know that you are a good investment. A good investment will know as much as they can about real estate investing. Then you will represent a good investment to other people who have money for real estate investing but do not know how to use it.

Real estate investing is a good way to generate a great deal of wealth. You can create income regardless of the economy. Using knowledge of real estate investing, short sales, bulk reo sales and virtual real estate you will be able to create success for yourself. Knowing the basics of real estate investing will help you succeed as a real estate investor. Knowing some real estate investing basics (beyond what older gurus like Robert Allen teach) and applying them will help you succeed as a real estate investor.

Great real estate investing resources are available at RealEstate.BryanEllis.com.

Tags: , , ,
Posted in General | No Comments »

Real Estate Investing Tips & Techniques

Tuesday, March 30th, 2010

It is likely that you think of a number of things when you hear the words virtual real estate investing. Depending on how familiar you are with real estate investing already, you might think of hard money lenders or real estate portfolios and real estate retirement plans, or you might focus on short sales, bulk reo investing and virtual real estate investing. You may also consider what roles these things play in your life as a real estate investor in different economies.

You can learn a lot about real estate investing. The best way to optimize your real estate investing education is to know the basics ahead of time. Whether you are interested in short sales, bulk reo sales, virtual real estate or just improving your abilities as a real estate investor, you need to know some real estate investing basics in order to succeed. Check out these three real estate investing tenets that many experts do not fully know:

1. You will always end up with a positive yield when you invest in real estate investing education. In any real estate deal, there will be thousands of dollars in potential wealth. Understanding how to get that wealth will be the key to your success. Learning about real estate increases your chances of success when you do a real estate deal. Small investments yield big results when you invest in learning and then implement what you learn.

2. Any economy allows for success in real estate investing. Many people are under the misconception that success is possible in real estate only when the economy is good. In reality, a bad economic situation is not bad for real estate investors. You can often buy properties at deep discounts. You might also find deals that simply would not exist in a booming economy. Real estate investing may also turn the tide for a poor economy. Short sales, bulk reo sales and virtual real estate all thrive when the economy is less than thriving. You can save yourself and others from major financial woes if you know how to do these deals.

3. A lot of money is not vital to your success as a real estate investor. You can succeed in the real estate investing arena no matter how much money you are working with. There are many deals that will let you use other people’s money to do them. If you look like a good investment a private lender may let you use their money. A good investment will know as much as they can about real estate investing. This will help you represent yourself as a good investment to private lenders who do not know how to make money in real estate investing.

A good deal of wealth can be generated with real estate investing. You can create an income in any economy. You can create your own success using your knowledge of short sales, real estate investing, bulk reo sales and virtual real estate. Knowing the basics of real estate investing will help you succeed as a real estate investor. Knowing some real estate investing basics (beyond what older gurus like Robert Allen teach) and applying them will help you succeed as a real estate investor.

Great real estate investing resources are available at RealEstate.BryanEllis.com.

Tags: , , ,
Posted in General | No Comments »

Real Estate Investing Tools & Tips

Thursday, March 18th, 2010

It is likely that you think of a number of things when you hear the words virtual real estate investing. You likely mentally leap to real estate investing as real estate portfolios and real estate retirement plans, and then you may expand to thinking of short sales, hard money lenders, bulk reo investing or virtual real estate investing. Likely you also wonder how these things will factor into your life as a real estate investor in the current economy.

You will need to know a lot about real estate investing. To get the most out of real estate investing education, be familiar with basic information ahead of time. You will get the most out of anything to do with short sales, bulk reo sales, virtual real estate and just improving real estate investor abilities by knowing some real estate investing basics. Here are three real estate investing basics that even some experts do not really know:

1. You will always get a positive yield with real estate investing education. Every real estate deal has the potential to create thousands of dollars in potential wealth. The knowledge of how to get that wealth is the key to your success. Learning about real estate increases your odds of success when you do a real estate deal. A small investment in your education can yield big results when you implement your learning.

2. You can succeed in real estate investing in any economy. Many people are under the misconception that success is possible in real estate only when the economy is good. Actually a poor economy is not a bad economy for real estate investors. Likely you will be able to find properties at deep discounts. You could also locate deals that would not exist in a booming economy. Real estate investing may also turn the tide for a poor economy. Short sales, bulk reo sales and virtual real estate all can thrive when the economy is not. Knowing how to do these deals can create wealth for you and save others from major financial difficulties.

3. You will not need lots of money to be a successful real estate investor. You can be a success in real estate investing no matter how much money you have on your own. Many types of deals enable you to use other people’s money to do them. Private lenders will let you use their money if they know that you are a good investment. A person who is a solid investment knows as much as possible about real estate investing. This will help you show people that you are a good investment if they have the money to help you with real estate investing but they do not know how to use it.

Real estate investing is a great way to generate wealth. You will have the ability to create income in any economy. Using a knowledge base of real estate investing, short sales, bulk reo sales and virtual real estate you will be able to make success for yourself. Knowing the basics of real estate investing will help you succeed as a real estate investor. Knowing some real estate investing basics (beyond what older gurus like Robert Allen teach) and applying them will help you succeed as a real estate investor.

Great real estate investing resources are available at RealEstate.BryanEllis.com.

Tags: , , ,
Posted in General | No Comments »

Real Estate Investing Tips For Today’s Market

Thursday, March 18th, 2010

It is likely that you think of a number of things when you hear the words virtual real estate investing. You may think of real estate investing as real estate portfolios and real estate retirement plans and hard money lenders, or you might focus on short sales, bulk reo investing and virtual real estate investing. You probably also wonder how these things play out in real estate investors life in the current economy.

You can learn a lot about real estate investing. Getting the most out of real estate investing education involves being familiar with basic RE info. No matter whether you are interested in short sales, bulk reo sales, virtual real estate or just enhancing your knowledge as a real estate investor, knowing some real estate investing basics will help you succeed. Check out these three real estate investing tenets that many experts do not fully know:

1. Real estate investing education always yields positive. In any real estate deal, there will be thousands of dollars in potential wealth. Getting the wealth is the key to your success. Knowing more about real estate betters your odds of success when you do a real estate deal. Small investments yield big results when you invest in learning and then implement what you learn.

2. You can succeed in real estate investing regardless of the state of the economy. Many people think that you can only succeed in real estate when the economy is booming. Actually a poor economy is not a bad economy for real estate investors. You frequently can get properties at deep discounts. Also, you might find deals that simply could not exist in a booming economy. Poor economies can turn based on active real estate investing. Short sales, bulk reo sales and virtual real estate all thrive when the economy is less than thriving. You can save yourself and others from major financial woes if you know how to do these deals.

3. You do not need to have a great deal of money if you want to be a successful real estate investor. You can make a success of real estate investing no matter how much or little money you have. There are lots of types of deals that you can perform with the money of other people. If you look like a good investment a private lender may let you use their money. A good investment will know as much as they can about real estate investing. This will help you show people that you are a good investment if they have the money to help you with real estate investing but they do not know how to use it.

Real estate investing is a great way to generate wealth. You can create income regardless of the economy. Using knowledge of real estate investing, short sales, bulk reo sales and virtual real estate you will be able to create success for yourself. Knowing the basics of real estate investing will help you succeed as a real estate investor. Knowing some real estate investing basics (beyond what older gurus like Robert Allen teach) and applying them will help you succeed as a real estate investor.

Great real estate investing resources are available at RealEstate.BryanEllis.com.

Tags: , , ,
Posted in General | No Comments »

Multi Family Lenders

Wednesday, March 10th, 2010

Property investment has become an extremely popular way for folk to try and make cash.  Owning a loft or multi family housing unit could be a way to wealth, however , property investing needs lots of time, data and up-front capital. Apartment building financing, or multifamily property financing, is in a constant state of change.  As a result, multifamily finance providers must have in depth knowledge and awareness of available debt programs and be ready to quickly investigate financing options.

Most multi family or apartment loans have a thirty-year term with interest rates from 4.7% to 6.625% for loans up to $3 million.  I learned that the majority of the time these’smaller loans’ carry a little higher interest than loans exceeding $3 million and are termed as ‘recourse’ loans ; in other words, if you welch on the loan the lender may take ‘recourse’ by seizing your private assets.  Loans above $3 million are named as ‘non-recourse’, meaning private assets are defended in the event of a borrower default.  In addition, most banks offer basic options like fixed and adjustable rate loans.

There are two primary methods to pursue multi-family buildings that leave your valuable liquidity intact.  One is to secure seller aided financing to complement a loan, leaving you with little or even no money of your own in the deal.  The second is to use others’s money ( or OPM ) in place of your own cash.  Each has its advantages and drawbacks and my focus in this article is to help illustrate how your show of the upsides to a multi-family investment can help you attract funding.  The key to captivating funding is to recollect why you are making an investment in these properties in the first place.  Multi-family properties are ideally acquired at a discount, are located in areas where time and natural market conditions will increase their value, and produce cash flow.  This time tested advantage of multi-family property ownership is a massive and when securing funding for your deals.

I strongly recommend that you summarize your loan eventuality on one 8.5 X 11 inch bit of paper.  You could be tempted to write down a multi-page outline full of details, projections and analysis.  Do not.  The target of the first approach is to get a loan officer interested, nothing more.  A borrower who has a bank asking for information is in a much stronger position than a borrower who is sending information uninvited.  This strategy of approach will generate replies from interested lenders as-well-as denials from banks who can not help you.  Those that are interested will request additional information and if the deal fits with their standards they may issue a term sheet.  The key is to get them calling you, pique their interest first and then sell them the deal when you get them on the phonephone.  Before you know it you’ll be sat at the closing table.

Tags: , , ,
Posted in General | No Comments »

Is Your New Home at Risk of Flooding?

Thursday, February 18th, 2010

Seeing flood warnings on the news has started to become a regular occurrence. Cumbria has been the latest place in the UK to be hit by floods. With climate change affecting everyone at the moment, the amout of houses at risk of flooding is expected to rise.

Currently the Environment Agency estimates that one in six homes in the UK are at risk of flooding. With this number estimated to rise in the next couple of years, we could be seeing even more flood reports on the news.

One of the biggest problems people in areas at risk of flooding are facing is having to buy home insurance, especially if it’s holiday homes insurance. Because a common flood claim can cost insurers around £40,000, you should always consider insurance costs when buying a home. Fortunately, you can find a number of resources online that tell you if your home is at risk of flooding.

If you live or are looking to live in England or Wales, you can visit the Environment Agency’s website where you can find flood maps. If you are a Scottish resident, you can visit the Scottish Environment Protection Agency website for flood information.

If you do own a home or are planning to buy a home in a flood risk area, getting your insurance won’t be easy. You’ll normally find that as soon as your home has been flooded, your insurer will push up premiums or excesses. You could even be refused a renew if your house had been recently flooded.

With each flood claim costing insurers around £20,000 to £40,000, you should be prepared to see excesses of aup to £30,000. This is why when you’re buying property, you should always consider any insurance costs and add them to the price of the home. Getting second home insurance can end up being even worse. Due to you leaving the property empty for most of the year, you have to watch for exclusions and high excesses.

I guess you wouldn’t have any of this hassle if you were after home insurance in Spain.

Tags: , , , ,
Posted in General | No Comments »

« Older Entries