PDI Blog

Risk Event

2011-10-07T11:20:00.001-04:00

The Professional Development Institute is presenting a Risk Event Friday, November 4, 2011, at the Gaithersburg Holiday Inn, 2 Montgomery Village Avenue, from 8:30 a.m. to 6:00 p.m. followed by a cocktail hour. The program will be a series of three credit Continuing Education classes designed to assist you in minimizing exposure arising from various types of risk.

The classes will be taught by Robert L. Pettis, Jr., Licensed Maryland Professional Engineer and an Associate Broker with over 26 years of award winning residential sales experience in Montgomery and Fairfax Counties, and the District of Columbia. Licensees will learn current state disclosure of material facts, latent defects and property condition, and RESPA, HOA and Condo Association requirements. Recent agency disclosure guidance from the Maryland Real Estate Commission and other sources of potential risk encountered in your everyday business will be addressed.

Friday, November 4, 2011

Classes, 8:30am to 6:00pm
Cocktail Hour for All Attendees, 6:00pm to 7:00pm

Get 9 Hours of MD CE Credit:
MREC-Agency-Residential 8:45am-11:30am 3.0 Hrs MD (elective through 12/31/2011, mandatory thereafter)
Material and Confidential Facts 12:15pm-3:00pm 3.0 Hrs MD (leg. required)
Maryland Residential Property Disclosure/Disclaimer Statement;
REO's and Risk Reduction 3:15pm-6:00pm 3.0 Hrs MD (elective)

$109.00 for All Three Classes, or $40 per Class if paid by November 2nd
$50 per Class thereafter.

Gaithersburg Holiday Inn
2 Montgomery Village Avenue
Gaithersburg, Maryland 20879

Important: New FTC rule creates new requirements for Realtors®

2011-09-23T12:36:00.000-04:00

MRIS to Deliver Real Time System Alerts to Customers

2011-09-13T11:52:00.001-04:00

BUCKS; Home Sellers in Denial

2011-09-06T12:30:00.001-04:00

Online Real Estate License in Louisiana

2011-06-17T11:33:00.003-04:00

Louisiana Real Estate License Online

How to get your real estate license online in Louisiana

It’s easy to get you real estate license online in Louisiana. There are several reputable companies that are offering programs online. Real estate in Louisiana seems to continue to stay strong. Markets are good from Monroe to New Orleans. A career in real estate can be very rewarding. Many real estate professionals enjoy high standards or living and helping members of their local community. If you already know that a career in real estate is for you than continue to read to find out about earning your real estate license online.

Step 1. The most important decision in this process is determining which school you are going to study with. There are many scams in the real estate world so we advise our readers to do lots of research and find the schools that are established and that have a strong reputation for producing successful agents. We recommend The Professional Development Institute. They have been helping real estate professionals succeed since 1998 and they have a very prestigious name. To see their online programs visit http://www.pditraining.net/DistanceEd/RealEstate.cfm#RE

Step 2. Once you are enrolled in a program do your best to set goals for yourself. To keep yourself on track we suggest you sign up for the Louisiana real estate exam. This will give you a date to work towards. Another suggestion is to set aside a block of time every day or every week that is devoted to your real estate course. This makes it easier for you to stay focused and stay on track.

Step 3. While you are in the course make sure to start networking. Get involved in the community and let people know that you are soon going to be a real estate professional. Networking groups or other professional groups are a good place to start making connections in the community. This is a great way to jumpstart your career.

Step 4. Develop a strong relationship with your school. Often, the school you studying with can be your best source for any continuing education requirements you may need in the future. Work hard to form a relationship with the school. Make an effort to personally speak with people at the organization you choose. If you have the option of connecting with the professor one-on-one then go ahead and take advantage of the chance to leave a lasting impression.

Having a strong reputation in the community is critical to you success. That is way we urge you to choose the right school. Some schools carry a reputation and their students graduate with instant credibility. The Professional Development Institute is known for their prestige and their costs are very similar to other programs. If you would like to study with them you can find out more about them on their website at http://www.pditraining.net

A career in real estate can be very rewarding. If you have decided to work towards that career be ready for hard work and a lot of fun. We wish you the best of luck on your new journey!

Washington DC Real Estate

2011-06-14T11:12:00.000-04:00

Washington DC Real Estate

Washington DC is full of incredible places to live. The city is split into four quadrants: Northwest, Northeast, Southeast and Southwest. The quadrants sprawl out from the Capital building. If you are considering making a move into the district then we urge you to read on to find out which part of the district is right for you.

Northwest

Northwest DC is a wonderful place to live. The quadrant is full of some of the most popular and well known neighborhoods in the district.

Georgetown

Georgetown is a very famous part of DC. The area is full of beautiful homes, shops and restaurants. The neighborhood is very close to the water and the beauty is consistently enjoyed by many tourists and locals.

Adams Morgan

Adams Morgan is a great place to live. The neighborhood is very fun and full of things to do. There are several outstanding restaurants in the area and many great shops to enjoy. The neighborhood is within close walking distance to many other great parts of Northwest and two different metro stops. Meriden Park is located just off of 16th St. near Adams Morgan and is a great place to enjoy the warm weather.

U-Street

U-Street is known for their great restaurants and nightlife. The area is covered with fun little businesses. One of the most famous stops on U-Street is Ben’s Chili Bowl.

Columbia Heights

Living in Columbia Heights has many great benefits. The area has many big box stores, like Target and Best Buy. Columbia Heights is also one of the metro stops, so by living here you will have access to many places in and around DC.

DuPont Circle

DuPont Circle is a very desirable place to live. The area attracts some of the cities best restaurants and nightlife venues. Many businesses choose to open up shop in this part of the district because of its constant traffic and presence of people.

Chinatown

Chinatown is known as a place that always has lots going on. The area is home to Verizon Stadium, which is where the Capitals play hockey and the Wizards play basketball. This neighborhood also has a bowling ally and a movie theatre.

Rock Creek Park is also primarily situated in the Northwest quadrant of Washington DC.

Rock Creek Park is an incredible component of DC. The massive park spreads throughout the district and offers residents a great place to fish, jog, hike or cross country ski. The park is surprisingly remote and primitive.

Northeast

University Heights

University Heights is conveniently located near the red line Northeast DC. The neighborhood is right next to The Catholic University of America.

Southeast

DC Armory

DC Armory is a neat part of Southeast. Residents enjoy easy access to the stadium where DC United plays soccer.

Eastern Market

Eastern Market is a very famous part of DC. On Sunday one of the best open markets is held here. Many vendors distribute beautiful art and wonderful foods. Living in this area is full of many benefits. It’s a beautiful real estate market and full things to see and do.

Southwest

Buzzard Point

Buzzard Point is an area of Southwest that is very near the water. This area is semi industrial, but desirable to some!

For more information regarding qualified real estate professionals visit http://pditraining.net

MD Real Property Search

2011-06-07T08:48:00.000-04:00

Maryland is a place that is full of beautiful real estate. The state has a great combination of metropolitan regions and remote regions. If you are in the market for real estate in Maryland look hard because there are many treasures to be found here.

This article features many different areas in Maryland. We will give you the quick information about several different regions in the state. With this information you will be able to narrow down your search.

Choosing the right area for you?

First off, you will need to know a few things:

1. What is your budget?

2. What area are you interested in?

**If you are interested in finding a place that is near a metropolitan area then consider these cities:

1. Baltimore, Maryland

There are several very charming neighborhoods in Baltimore, Maryland, like Fells Point and Fallstaff that we urge you to take a look at. The city sits on the water and there is a wonderful boardwalk with shops and restaurants to visit.

2. Silver Spring, Maryland

Silver Spring, Maryland is located just outside of Washington D.C. The city is home to many great companies and can provide a less expensive place to live for the DC commuter.

**If you are interested in finding real estate in an area that’s not quite as busy, but still has a fairly large local population then you might consider the following cities:

1. Frederick, Maryland

Frederick, Maryland is a nice sized town located near two major highways. It provides great access to both Baltimore and Washington D.C., but remains smaller and more private.

2. Gaithersburg, Maryland

Gaithersburg, Maryland continues to provide outstanding places for employment. It is also a wonderful commuting town to both Baltimore and Washington D.C.

3. Annapolis, Maryland

Annapolis, Maryland, home of the Navel Academy, is a true treasure. The town is majestic and fun. There are many beautiful places to live near the water and downtown area. The downtown area has many cute stores and fun restaurants which litter the waterfront. If you are looking for a great place to live then you have found it in Annapolis, Maryland.

4. Hagerstown, Maryland

Hagerstown, Maryland is located in the northern part of the state. It is fairly far for the commuter, but very close to some wonderful nature in both Western Maryland and Southern Pennsylvania

**To find some of the beautiful remote properties in Maryland take a look at these cities:

1. Midland, Maryland

Midland, Maryland is located in the Northwest part of the state. It is a small town surrounded by beauty. The town is near Big Run State Park and seems to have a strong local community.

2. Eldersburg, Maryland

Eldersburg, Maryland residents enjoy the beauty of being near Liberty Lake and Piney Run Park. The city is also near Baltimore, so this could be an ideal spot for the commuter seeking some distance from the city.

3. Leonardtown, Maryland

Leonardtown, Maryland is nicely situated on the Southeastern part of the state. The town is just between Breton Bay and St. Marys River State Park. It’s a unique and beautiful part of the US.

These are some of the many treasures in Maryland. For a more complete list, we recommend you talk to a real estate expert. They can answer you specific answers regarding any of these regions and towns. Visit http://www.PDITraining.net for more information regarding MD Real Property searches.

Thank you for reading. Have a wonderful day!

Online Marketing for Real Estate Professionals

2011-05-16T09:13:00.000-04:00

Online marketing is critical to any businesses or entities success. Knowing the tricks and tips to promoting yourself online can be the difference between succeeding and failing. In this article we will talk about some of the most useful marketing tips and tricks available.

We will focus on marketing a real estate professional in this article, although the information can applied to most any field. The first thing you want to do is lay out a marketing plan. You want to know what elements of this plan are going to take place on your own website (on-page optimization) and what elements are going to take place beyond your website (off-page optimization). The trick here is to build a strong bridge between those two worlds. For example, you may have a blog with blogger, so having a feed on your site that displays your blog could be a great way of creating a bridge there.

When assessing improvements with you on-page optimization, it is important to recognize what you are capable of and what is beyond you. The main elements I will discuss with on-page optimization relate to your page titles and Meta tags. It is critical to create descriptive page titles for each page on your website. You also want to generate Meta keywords and a Meta description for each page on you site. You want to make sure that each page is slightly different, but, of course, related. Your Meta descriptions should be short 150 character sentences that describe what your page is about. Use your keywords in the description, but make sure it’s not too dense. You Meta keywords should be short clusters of words separated by a comma. I’d say four to six per page should do the trick. Use words that incorporate your real estate area or market here. There are many great keyword tools online which are free to use. Do some research and find words that are heavily searched with low competition. Again, do research that pertains to the real estate market you are in. Those are the words you want to target. Make sure the words relate to you content though otherwise the end result will not be what you had hoped.

Now let’s talk about off-page optimization. It’s important to establish yourself using social media content. I’d suggest creating a facebook page, twitter handle and blog. You can also get more advanced by incorporating review sites like yelp. Use a social media platform like hootsuite to monitor all your posts. Each week load it up with valuable content and continuously post to your accounts. Do what you can, on-page, to drive people to your social media accounts. Talk about real estate through your profiles, but also give it a personal component.

Another important element to off-page optimization are links. Creating backlinks, or one way links from another site to your own are invaluable. Search engines pride themselves are returning credible results. Backlinks are a tool that show credibility. The more people that point their visitors to your site as a source the more credible your site must be. Using article directories or link directories can be very beneficial. Make sure to not abuse the web or websites and only perform “white hat” SEO. You can cause serious damage to your site if you engage in spamming.

Fire Sale! When More Come In, Than go out.

2008-10-28T13:33:00.002-04:00

Great News! For those of use who have been waiting for the banks to live in the real world, it's starting to happen. As I have been predicting for the last year in my foreclosure seminars and newsletters- when more foreclosed properties come in than go out (sold in foreclosure auctions) - Prices will fall dramatically. "Foreclosures, Falling Prices Sprur Pr. William Home Sales," headlined the front page Washington Post article, Friday Oct. 17. It was the second article in a month highlighting what the newspaper referred to as the "greatest home buying spree the region has ever seen." This is the fire sale phenomena we had discussed in my foreclosure seminars. One of the buyers quoted in the article must have been reading my mail. He said, "Bargain-hunting investors are the best hope for stabilizing foreclosure-ravaged neighborhoods."

Sales in September had increased by 253 percent over September '07 - mainly because lenders dropped the price on the REO stock by an average of $130,000. Banks in northern Virginia choking on a glut of empty foreclosed properties dropped prices and sold 1116 single family detached houses - 118 homes were sold for less than $100,000. One Price Williams agent said to the newspaper reporter, "It's ridiculously busy. People are looking for amazing deals, and i'm writing offers as fast as I can." At this point, the impact is mostly Prince William, but the article did make reference that Fairfax County is starting to move in the same direction. Detached single family house sales in Fairfax County were up 71 percent after the median price dropped 24 percent. This is just a harbinger of things to come. In sourthern California, September year to year house sales were the best in 20 years according to the Investor's Business Daily. Quoting the financial newspaper, "More than half (69%) were bank repossessed homes...priced 33 percent lower.

Watch the next 6 to 8 months and get ready for a new real estate heyday in REO's. With marked activity on both coasts it soon will become nationwide. Keep an eye on the Maryland suburban counties, especially Prince George's and Montgomery (less zip codes for Bethesda-Chevy Chase and Potomac). They have the highest number of foreclosures in the state. Were it not for Maryland legislating an extended foreclosure event time frame (from 15 to 135 days), I believe Prince George's County would have set the first fire sale environment. Licensing, Labor and Regulation, Secretary Perez, warned that foreclsoures are expected to rise in the near future as this was only a "de facto moratorium." Mortgage resets for Prince George's County were expected to average around a 1000 per month from August to December.

Why has the fire sale scenario taken so long when the government's Resolution Trust Corporation (RTC) successfully cleared the real estate shelved of excess stock during the Savings and Loan Crisis and brought the market back to equilibrium? I believe there was extensive lobbying against it by the financial services industry. Lenders overvalued property and underestimated losses, and then complicated the issue further by clicing and dicing mortgage into complication derivatives. No one really seems to know how much money is tied up in toxic financial paper. Although, the federal government seems to be getting a "tip of the iceberg" idea as AIG, the insurance giant that insured many of the default swaps based on mortgage-back securities, has already used up much of its $123 Billion rescue package and is looking for more money from the government's lifeline, while the FDIC says a bigger mortgage fix is necessary for the banks. My guess is that wiser heads in some of the banks are starting to see that even the U.S. Treasury has limited patience. If I were a betting man, I'd say fire sales will fill the void.

Now ask yourself, are you ready to handle buyer representation? Yes, there is a fifference. Since I am not one to turn down accolades, let me shre with you the feedback from some of my former Virginia students. Considering, I've only been teaching mainly in Maryland and the District, the Virginia students in my continuing education and "Principles" classes have been limited - maybe a dozen or so after several years. Eleven of my former students contacted me to thank me for focusing them in the right direction on successful REO negotiations in the Prince William County housing frezy. Their claim to fame - they picked the right clients and prepared properly, beating out other agents who were not versed in distressed properties. Particularly, their investors beat out first-time home buyers; their home buyers - with some hammer and nail savvy - stole properties that needed some fix-up and TLC at bargain basement prices; and were able to compute true market value, including interested party contributions, and calculate market rents plus the required surplus - for the PITI on the rental accommodations. If you're interest in brushing up for the next round of cut-rate REOs, stay tuned to my schedule of 6 hour, hands-on mentoring classes on buying and selling foreclosures and buyer representation from PDI.

Mizzer Foreclosure Newsletter

2008-09-15T15:10:00.001-04:00

One more step closer to a 2008 Resolution Trust Corporation (S&L bailout) with Fannie and Freddie in conservatorship, the FDIC dipping deep in their pockets because of troubled banks while another Bear Stearns is on the horizon with Lehman Brothers Barely treading water. Interesting! But wasn't it just several weeks ago when financial industry forecasters were saying the crisis was leveling off? It seems it's always calm before the storm. Lehman's CEO was on CNBC claiming, "No Problem" while David Einhorn, a hedge fund manager, was being quoted in the financial newspapers saying, "They just raised $6 billion of capital they didn't need, to replace losses they said they didn't have." Okay. Here's the skinny!

If you've been listening to the optimists, the bad news is the 2nd quarter report has new construction starts down by 1/3, building permits off 40 percent, and foreclosures up 50 percent. The conservative prognostication, by independent financial analysts is that there might be some light at the end of the tunnel by late 2009 to 2010. But speculation is based on prices falling lower. With the exception of isolated pockets, housing prices are still about 55percent above 1999 price levels, and sales numbers are up mostly because housing price numbers are down. What do I mean by isolated pockets? In Montgomery County, some zip codes are up by $300,000 in price, while some zip codes are priced down by $300,000. This not the norm.

The good news is that lenders are selling more REOs. At this point, however, most of the activity is in quality and lender to lender. But prices being quoted in the financials are 25 cents on the dollar, so when they finally are forced to give it up to us common folk, there still will be a lot of wiggle room- especially if the federal government gets into the act. And the smart money is betting it will. Bill Seidman, former head of the RTC, in a TV interview expressed as much. With housing inventories in the second quarter at 4.6 million, coupled with an 11.2 month back up, and the federal government projecting hundreds of billions of taxpayer dollars to pay off corporate risk, it only seems plausible in an election year that one of our candidates will figure out it's time to become more transparent and fess up on non-producing loans, securitized or not. A member of the Japanese cabinet, in recent discussions with U.S. Treasury officials, blamed a lack of transparency for prolonging their housing crisis.

Now here's a gem for agents licensed in Maryland. Thomas Perez, secretary of labor, licensing, and regulation claims foreclosure events down 20 percent. But he also warned the number was a result of the state's recent moratorium that extended the foreclosure process to 150 days. This isn't a by; it's a hold on a minute. With this in mind, let's crunch some numbers and make some money. The highest number of foreclosures in state still comes from Prince George's County. The highest number of subprime resets in 2008 were projected for Prince George's County in August, September, October and November. Come January, the Hybrid loans (the most toxic with resets and negative amortization) are scheduled to reset. They have all been given an extension under the new law. So you have time to get into the driver's seat.

What else is happening? Since Fannie and Freddie have been forced into conservatorship, the 30 year fixed rate loans have dropped from 6.4 to 5.7 percent. There are other impending events as well. FHA Jumbo loan amounts are coming down in numbers after 2008, and down payments are rising. The $7,500 new tax credit for first-time home buyers closes out by the spring of 2009. There are some doors that will not be open. If you wait. You have been given an extension with the government foreclosure moratorium and a reason to close now as the federal government programs are set to expire. Pre-foreclosure sales should increase, a certain number of buyers should be ready to buy now and take advantage of the government goodies about to expire. How do you sell/buy now?

The kids are back in school. Vacations are over. The fall buyer's season is here. Inventories remain swollen and prices are coming down. Sellers are paying closing costs and throwing in other incentives. And the northern part of the county is offering one of the best lucrative fringe areas in the region. the combination of the Fort Meade base consolidation promising 29,000+ new jobs, and the $3 billion Konterra project along I-95 Laurel sporting 2200 acres of residential and business park, sounds like a buyer's agent dream. Check out our 6 hour hands-on, mentoring foreclosure seminar. We focus on buyer representation, determining true market in a marketplace of overvalued appraisals, how to find foreclsoures ahead of the pack, negotiating 50 cents on the dollar REOs and outreaching investment groups.

Housing Relief Bill and what it means to you as an agent

2008-08-05T10:46:00.006-04:00

Buyer agents take heart. Your time is just around the corner. Now that the Housing Relief Bill (initially known as the "Credit Suisse Plan") has been passed by congress, certain lenders - who had their lobbyists working overtime on the bill - should be ready to negotiate. Some Prince William County lenders already dropped their REO prices by $130,000 to the median sales price and got rid of almost 25% of their housing inventory stock. The bill authorizes a 3 year program that permits the FHA to insure up to $300 billion in new mortgages for distressed property owners. Only primary residences are eligible and lenders must voluntarily agree to forgive a portion of their outstanding debt so that the new load equals no more than 90 percent of the property's current market value established by a certified appraiser. (After years of pressured overvalued home loan valuations and interested party contributions, I wonder what that value will be) Better get your estimates of market value down pat if you intend to negotiate successfully.

The program also offers $15 billion in tax breaks - up to $7500 per family - for first-time home buyers (or at least a buyer who has not owned a home in the last 3 years). Sorry, no investors need apply. The money must be repaid with interest to the government within 15 years. The FHA maximum loan limit for a single family house has been raised from $362,790 to $417,000. And Fannie and Freddie's limits have been raised to $625,000 - in high prices areas to $729,750. Both Government Services Enterprises (GSEs) will be able to borrow from the Federal Reserve or sell stock to the Central Bank, and they have doubled the fees they pay lenders for negotiating with delinquent borrowers. It permits states to issue an additional $11 billion in tax-exempt bonds to refinance risky high-cost mortgages to first-time home buyers; and finance the construction of affordable housing, it raises the federal debt limit from $9.8 trillion to $10.6 trillion, and creates a new affordable Housing Trust Fund.

Critics claim the billl does more for lenders than borrowers giving lenders a chance to cherry-pick the best loans for themselves while turning the worst over to the FHA. The current Secretary of HUD admits that taxpayer's could easily end up absorbing "preventable and foreseeable" costs unless insurance premiums are raised to cover riskier costs and more safeguards are put into place. However, the bill did cover a FHA pet peeve. The agency had claimed statistics following the practice of sellers donating housing down payments to non-profits, who in turn gave them to the seller's designated buyers for a fee, demonstrated a higher number of delinquencies than when buyers put up their own deposits and pushed to have the practice outlawed in the new bill. But just as soon as a seller funded down payment assistance appeared to be on its way out, new legislation has been introduced to bring it back.

Other critics claim it is wishful thinking with the government making promises in the taxpayer's name, but does nothing to force lenders to stip using accounting gimmicks to keep non-producing loans off their balance sheets. Chief economist for MoodysEconomics.com notes, "It may staunch some of the downturn, but it is going to have a modest positive effect." Still others claim that it will add more junk fees to mortgage costs. My own feeling is that something is better than nothing. With foreclosures hitting 8500 a day in July and many economists claiming that we're still in the 2nd or 3rd inning in a housing comeback anything that motivates lenders to loosen the REO stalemate is progress.

One of my former students, who made the trip from his home in Florida to take my foreclosure class, called me yesterday and said that he found 500 homes in north Miami sitting vacant - all REOs. In my next class, we will cover not only how to estimate true market value, but also how to price a cosmetic rehab and several unique ways to utilize the new housing relief bnill to benefit the first-time home buyer. Many licensees have complained that a weekday 6 hour foreclosure mentoring class presents some time scheduling challenges, so we are moving to a Saturday class. The next mentoring seminar will be held on August 23rd, 2008 from 9:00am-3:00pm at 11501 Georgia Avenue, Suite 312, Wheaton, Maryland 20902. To enroll contact PDI at 301-949-1771 or visit our website.

Mizzer Foreclosure Newsletter

2008-07-18T11:00:00.010-04:00

For those agents who were not licensed during the Savings & Loan crisis of the late 1980s, welcome to a Buyer's Market - too many houses and not enough qualified buyers willing to pay yesterday's price in today's declining market. Indeed, it is a very confusing place to try and make a living selling real estate. Market value can be a fleeting concept when held hostage to falling prices and a glutted marketplace where the bottom-line is ultimately determined by incentives and Interested Party Contributions (IPCs).

Still, it presents wide opportunities to create wealth buying real estate. The "Mortgage Meltdown" closely resembles the Savings and Loan Crisis - a weak economy, cheap and easy insider undervalued loans, overvalued properties, and defaulting financial institutions. As Yoggi Berra, MVP philosopher for the Champion 1950s New York Yankees once said, "It's Deja Vu all over again. "

Let me read a few lines from Profiting from the Bank and Savings & Loan Crisis. "It's the fire sale of the century! As banks and savings and loans have failed, our government has been left with over $400 Billion (later turned out to be over $500 Billion) assets that it now has to sell. Fast! And with more banks teetering on failure, there's more to come. Cut rate prices have been characterized as more in the realm of a steal than a good buy and a blowout of the bottom of the market.

You want to know why lender's aren't receptive to "short sales" or auction "minimum bids." There seem to be a number of reasons, but more and more smart money analysts are coming to the conclusion the major issue is that lenders believed the government will bail them out. And after the Bear Stearns bailout, the blank check for the Fannie & Freddie overload, and the IndyMac takeover by the Federal Deposit Insurance Company (FDIC), I'm inclined to agree. There are too many harbingers of change, to totally rule it out. The Washington Post editorial page recently referred to Federal Reserve Chairman, Ben Bernanke as "Bail Out Ben." Yet, I don't necessarily believe this is a bad idea for the real estate business. In negotiating with the government's selling arm for the savings and loans fiasco - the Resolution Trust Corporation, both as an agent and investor, I made deals as low as 50 cents-on-the-dollar.

Interestingly, the problem with what we now call the "Morgage Meltdown" has roots in the Savings and Loan Crisis. After the "cirisis property" sale, a financial innovation was created to insulate lenders from sharp interest rate spikes by spreading the risk amoung many investors. Wall Street called it securitization. So to a large degree, the current housing market problems are a product of a change brought about to avoid the problems of the late 1980s savings and loan debacle. These securitized vehicles mixed the good, the bad, and the ugly mortgages and were sold as a low risk product. But by the 4th quarter of 2006 , the so-called "chickens came home to roost" and foreclosure signs started to grow like weeds in a garden. Recently on CNBC, Robert Shiller, co-author of the Case-Shiller housing report, projected a housing downside into 2009-10. The Harvard economist professor who predicted the high tech bubble claimed the worst was far from over in housing. Further, a June report by the Metropolitan Counsel of Governments claimed the Washington region foreclosure rate grew six-fold surpassing most urban areas in the nation. And Mortgage Banker's Association claimed defaults broke all existing records.

The role of Federal Reserve in this crisis is still evolving. The "Fed" regulates the flow of money and interest rates in the marketplace. It determines the discount rate for it's member banks, the federal funds rate the banks charge each other, and the prime rate which is used as a base for consumer borrowers. But there is another power the "Fed" wields in the marketplace which should be of particular attention to anyone interested in "steals and deals" from distressed properties. The Federal Reserve requires that each member bank keep a certain amount of assets on hand as reserve funds. In effect, it limits the amount of money that a member bank can use to make loans. This requirement protects customers and allows the "Fed" to control the flow of cash in the marketplace by defining liquidity.

The current question before the "Fed" is how long a period of time must pass before a securitized, non-producing loan goes from asset to liability and is charged against the reserve requirements? The current question before you is are you ready to move on a "fire sale" market when the government steps in? Do you understand the foreclosure process? Have you analyzed areas and neighborhoods? Is your money in place? Have ytou upgraded your credit scores? Do you have investors waiting in the wings? Can you do your own appraisals? Do you know the secrets of an experienced buyer's agent? Can you determine "True Market Value" in an overpriced marketplace? Do you know how to avoid the most costly mistakes? Can you do a title search? These questions and more are answered in the foreclosure mentoring seminar.

Author: Tony Mizzer has 40 years real estate experience as broker, educator, investor, regulator, writer and foreclosure and real estate investment specialist. he also teaches several investment, foreclosure, tax free exchange courses and others at PDI.

10 Costliest Landlord Mistakes

2008-06-30T15:17:00.002-04:00

By: Manuel Enrique Lopez

Classic business philosophy teaches that a great part of survival and subsequent success lies in an operation's ability to reduce mistakes. The cost or repairing the mistakes is inversely proportional to the amount of profit potential of the operation. In other words..."Mistakes Kill the Profit Margin!!!!!"

As landlord's, we don't want to do damage to the precious profit margin we fought so hard to nurture. A landlord's profit margin struggles every day to survive, grow and flourish in a sea of predators, competitors and government regulators. Below are the top 10 threats to your thriving profit margin.

1-Poor Screening

The costliest mistake is accepting a new tenant without properly screening. An undesirable tenant will often have poor rental and financial histories. Landlords should review previous landlord relations, credit reports, courthouse records and income. It is probable that if they have not met their obligations with previous landlords, then chances are that they will repeat their behavior with new landlords. Many landlords have faced horrific situations where tenants have stopped paying rent while employing legal maneuvering to avoid eviction. Others have faced tenants who moved in and initiated criminal activity, which adversely affected other tenants and neighbors. Either of these scenarios translates into expensive ordeals where the measures of rectifying the situation can threaten the financial stability of the landlord.

A thorough screening also involves verifying that the person who is applying is the same person that submits credit/criminal info for screening. A picture I.D. should be cross-referenced with the application. Landlords must make sure that there are no omissions, inaccuracies or inconsistency in the actual application. Due diligence will certainly save landlords much money and stress.

2-Lease Preparation

Having a poorly prepared lease is very costly because it is the document that legally binds the landlord to the tenant. It is the rules of the relationship that dictate conflict resolution, financial responsibility and terms of execution. With out a professionally prepared lease the landlord stands to forfeit many of the rights afforded to the owners of the property. Landlords need to employ leases that are designed to protect them and their property and not the other way around. Many generic leases do not take into account the values of the landlord. Therefore, a custom lease would assure the landlord that their interests are protected.
Many times landlords receive requests for agreements after the lease has been signed. Landlords will use their best judgment when deciding to agree to a proposal but must never neglect to put the agreement on paper. A verbal agreement is always vulnerable to a false interpretation by the tenant.

3-Rent Collections

Landlords must always enforce the terms of rent payment as it is written in the lease including late payments and fees. If not enforced, the landlord runs the risk of creating a dangerous precedent that will certainly cost the landlord dearly. If a tenant fails to pay rent for two weeks, then legal notices and actions must be initiated as soon as the law allows. Landlords should not accept partial payments. The courts interpret receiving partial payments from tenants as an acceptance of terms by the landlord. The eviction process is subsequently terminated for that rental period while landlord's costs increase.
If a tenant has had a poor history of paying rent on time, a landlord should consider not renewing the lease. Being late consistently is a sign of financial trouble and future uncertainty for the landlord. Poor payment habits can be a precursor to bankruptcy or evictions.

4-Law and Regulation Ignorance

Many landlords get into rental business with out learning the rules of the game. To get a perspective of the folly of not knowing the rule, Imagine trying to play basketball with out knowledge of the rules. You would become paralyzed from the constant rule infractions. It would be impossible to win. Translated to the rental business: Knowledge of the Laws and regulations can make the difference between a profitable venture and a loser.
Landlords must familiarize themselves with the states' Landlord/Tenant Act. Every state has different laws, therefore due diligence must be taken by landlords to educate themselves. Landlords must also take the initiative to draw upon with the experiences of other landlords. Many landlord advocacy groups exist in most communities and the Internet.
Finally, it encouraged for landlords to develop a relationship with a real estate attorney that specializes in the rental industry. Having a knowledgeable supporter on your side can relieve a lot of uncertainty. A landlord must never wait to the last minute to develop a relationship with an attorney because the requirement of immediate response will prove to be costly.

5-Poor Response to Service Requests-

The number one reason that tenants do not renew their leases is poor response and execution for service requests from the landlord. Tenants expect a constant inspection, repair, and preservation of the general conditions of their rental home. This also includes a timely repair or replacement of parts for appliances. Everything has to be in working order and problems must be addressed quickly and courteously. Everything has to be in working order and problems must be addressed quickly and courteously. To facilitate an efficient delivery of maintenance requests, the property manager's best method of receiving these requests is actually answering the telephone. When the manager is too busy to actually answer the phone or the request comes at an odd hour, many properties utilize apartment call centers. This resource allows properties to always have a human responding to the needs of their tenants. The apartment call centers are industry specific and have a direct, open communication with the maintenance and property management. Maintenance requests should be supported by a shared calendar that documents the request cycle: creation, delivery, execution, completion and follow-up. Maintenance requests, if implemented properly, should be a team effort that will lessen and distribute workload through the property staff.

6-Not Employing Good Customer Service

Running a rental business is just like any other business in the sense with respect to employing good customer service. Many landlords forget that they would not be in business if it weren't for the customer. Practicing good customer service not only reduces tenant turnover, it also is one of the primary forms of marketing. Word of mouth advertising is the time tested, most effective way to promote any business. In the long run, a positive approach to communicating with your tenants will reflect in the profitability and value of a property. On the other hand, poor customer service will take a toll on the general conditions of the property. Tenants will not respect the property by not cleaning up after themselves or not following the property's rules and regulations. Therefore, poor customer service may result in high turnover, high vacancies, higher operational costs and lower profits.

7-Not paying taxes

Many landlords do not have their rental income as their primary source of income and neglect to report their income to the government. Others fail to pay property taxes because they don't reside in the property. Failing to declare income and ignoring property taxes can cause very expensive recovery efforts. The government will assess taxes, add fees, add penalties and assign interest. Other costs will come from attorney fees, added accountant charges and personal time. In extreme cases, landlords may get their property confiscated.

8-Not waiting for the funds to clear

In a rush to fill the occupancy, many landlords make the mistake of allowing the tenants to move in before the funds are cleared. The scenario of tenants moving into a property too soon has caused numerous headaches for landlords having to initiate eviction procedures without ever collecting any rent or deposit. Always ask for money orders and certified checks or simply wait for the funds to clear the bank.

9-Not conducting a detailed premove-in inspection

Neglecting to have the tenants complete a premove-in inspection can result in damages to a property that cannot be documented by the landlord. Payment for rent must not be accepted until this inspection is completed.

10-Not keeping a professional landlord/tenant relationship

Landlords must always uphold a professional relationship with tenants to avoid the pitfalls of not employing the codes of conduct that are based on the stipulations outlined in the lease. The professional relationship is based on the landlord realizing profits from the rental business. Changing the nature of the business relationship threatens the ability for the landlord to collect rent.

Article Source: http://www.articlerampage.com

For more profit generating tips for rental property go to www.landlordprofits.com For Tenant Screening go to landlord-tenantscreening.com

Proposed Building in Dubai--Rotates and 100% "Green"

2008-06-25T15:32:00.005-04:00

A video detailing the newest building project in Dubai:

How tax payers are using their rebate checks

2008-06-04T09:40:00.001-04:00

Evaluating Return on Real Estate

2008-05-21T11:42:00.001-04:00

10 Websites to find great deals, rebates, or freebies

2008-05-16T11:44:00.003-04:00

Image via Wikipedia
10 places online where you can find great deals, rebates, or freebies:

1. Bargainist.com
2. CouponNinja.com
3. slickdeals.net
4. dealcatcher.com
5. dealhack.com
6. dealnews.com
7. heyitsfree.net
8. bensbargains.net
9. totallyfreestuff.com
10.freeafterrebate.info

Announcement: How to List, Sell, and Invest in Foreclosures

2008-05-13T10:27:00.002-04:00

On May 31, 2008 we will be presenting a special 6-hour mentoring seminar for those of you interested in How to List, Sell, and Invest in Foreclosures. The seminar will run from 9:00am until 4:00pm at 2730 University Blvd, Suite 618, Wheaton, Maryland 20902.

This seminar will show you how to turn short sales, lender auctions and REO negotiations into successful flips, rehabs, restorations, and rental accommodations. Learn hands-on, insider secrets that lenders don’t want you to know and how to avoid costly mistakes that make or break a deal. Enroll today and learn the tricks of the trade from an experienced investor and foreclosure coach who has successfully invested in both up and down markets.

For more information, or to enroll visit our website.

Real Estate Prices Still Rising in Some States

2008-05-07T10:43:00.002-04:00

According to a feature published at CNNMoney today, there are still some housing markets that continue to see price increases. They just published a list of 10 areas where home prices on average are higher than they were a year ago. The full list follows.

1. McAllen, Texas
2. Rochester, New York
3. Birmingham, Alabama
4. Syracuse, New York
5. Buffalo/Niagra Falls, New York
6. New Orleans, Louisiana
7. Scranton, Pennsylvania
8. Grand Rapids, Michigan
9. Baton Rouge, Louisiana
10. El Paso, Texas

To learn more you can visit the CNNMoney feature yourself. Also, just so you know we are now offering online continuing education classes in many of these states. You can view the full list of states where we offer classes by visiting our website.

Another Fed Rate Cut?

2008-04-29T10:58:00.001-04:00

Announcing: May 15, 2008 Networking Event

2008-04-24T15:42:00.005-04:00

We wanted to let everyone know that on May 15, 2008 there will be a Realtors Networking Event put on by the Real Estate Networking Association. This event is a terrific opportunity to market your listings, and meet other professionals in the industry. There will also be a drawing for a 3 day 2 night getaway.

Event Details:

Location:
Hilton Washington, DC / Silver Spring
8727 Colesville Road
Silver Spring, MD 20910

When:
Thursday, May 15 from 5pm to 8pm

For more information or to RSVP view the printable flyer.

Going green doesn't have to be expensive

2008-04-23T10:54:00.005-04:00

Going green has become quite popular as of late and contrary to what many people think it doesn't have to be expensive. By doing some simple things in your home you can dramatically reduce your consumption of energy and water and as a result save some money.

Here are some quick, simple and inexpensive ideas to get you started:

Install Low-flow shower heads and Aerators.
Lower the temperature setting on your hotwater heater.
Install a ceiling fan instead of running your A/C during the summer months.
Get an ENERGY STAR programmable thermostat installed.
Change fixed light switches to dimmer switches.
Insulate your water heater.

Fortune 500 List Released

2008-04-21T09:05:00.006-04:00

Image via WikipediaFortune Magazine just released its Fortune 500 list which is a list of the 500 largest companies in America based on revenues. Despite the downturn in the Real Estate industry and the credit crunch, a few real estate firms made the list this year. However several more made an expanded list which includes the largest 1,000 companies in America.

Here is a list of real estate firms that are part of the expanded list of largest companies based on 2007 revenues:

1. ProLogis
2. CB Richard Ellis Group
3. Realogy
4. Host Hotels & Resorts
5. Simon Property Group
6. Vornado Realty Trust
7. General Growth Properties
8. Jones Lang LaSalle
9. Equity Residential
10. AIMCO

For the full list of companies in the Fortune 500 visit Fortune.

5 Links: 5 great articles from the Tim Ferriss blog

2008-04-16T09:58:00.003-04:00

1. How to get George Bush or the CEO of Google on the phone.
2. The Not-To-Do-List: 9 Habits to stop now.
3. Relax Like A Pro: 5 Steps to hacking your sleep.
4. How to do the impossible.
5. How to "winter" like old money.

Risks Faced By Real Estate Investors In A Buyers Market

2008-04-11T14:18:00.001-04:00

By Dick Weiss

From one end of the United States to the other real estate property values are falling. In some areas, like Arizona, Florida, Nevada, Michigan and California, they are in free fall.

Foreclosures are at an all time high, flooding the market with homes for sale. Many of these homes are currently worth less than what is owed on them. The only way these sellers can move their property is through a short sale.

A short sale means that the seller is asking the lender to accept less than what is owed on the property as payment in full. There are so many properties currently being submitted for short sales that lenders and service

Those properties that have been foreclosed and repossessed by the lenders are being placed for sale in the form of REO (real estate owned) properties. The number of properties in this category is increasing at a rapid rate and swelling already large inventories of homes.

The result of all this is the strongest buyer's market we have ever seen in this country. The inventories of property for sale are at an all time high.

While this is dismal news for people that have to sell it is welcome news for those interested in purchasing homes. The opportunity to buy at very favorable price and terms has never been better. For a real estate investor it is the opportunity of a lifetime.

These opportunities are not without risks. The greatest risk in the current market is your ability to exit your investment. There is no doubt that you should be able to source a real estate property at a good price but what are you going to do with it once you have it. It is possible to buy 15 properties a year at great prices and still end up broke and in bankruptcy.

This is all part of building a solid business plan up front. Each property that you purchase needs to be evaluated on its own merits. You need to plan an exit strategy before you buy. This exit strategy needs to be carefully planned out and implemented. In a buyer's market this practice becomes a necessity.

There are numerous exit strategies available to a real estate investor. Some of these are buy and hold, rehabbing, flipping and wholesaling. All are viable options depending on the property and all have different associated risks and rewards.

The safest method is wholesaling. This is the practice of putting a property under contract and usually selling the contract for an assignment fee to an investor that will rehab, buy and hold or flip the property themselves. This low risk also results in low rewards. Margins in this type of investing are small and as a consequence if you wish to make good money you must do volume.

One of the results of the mortgage crisis is that with declining property values, equity in those properties has also declined. The lax financing requirements also allowed many people to refinance their homes and pull equity out. Because of these two situations it is often difficult to find good wholesale deals in many parts of the country.

Exit strategy number two is to rehab and sell the property. This is also becoming more difficult as access to new mortgages is becoming more difficult for homebuyers. Investors are discovering that it easy to purchase homes that require repairs but selling those homes is becoming very difficult. When purchasing a home that will require a rehab the investor must account for additional holding time in order to sell the property. This translates to a lower purchase price for the original seller.

Buying and holding property has always been a popular way to build wealth through real estate. This market will reward investors that use buy and hold as a main strategy with some terrific returns. The one caveat with buying and holding property is that you need to make sure that the cash flow is sufficient to maintain the property and your business. Many investors have gone to the poor house owning lots of real estate. Remember that you can't eat equity.

The last exit strategy is flipping. This is what you see on TV. Well not quite what you see on TV. In the real world flipping is getting more difficult unless you are selling to a cash buyer. The banks are scrutinizing each deal much more carefully and most want some amount of seasoning. Usually 6 months but sometimes as much as 12 months are required. There are ways around this problem but it does create some barriers, especially with first time homebuyers.

A savvy investor can make serious money in this market by being prudent and observant. Various areas around the country are undergoing different levels of hardship. Some of the areas that did not undergo rapid appreciation have more stable real estate markets.

Investors are moving around the country like never before seeking good markets in which to invest. By being prudent they are able to make acquisitions that will reward them greatly over time. Newer investors need to be much more cautious in making their acquisitions. Seasoned investors will have a much better handle on such thing as repair costs and carrying costs.

Often, newer investors will underestimate these items and come to regret it later on when these costs eat into their profits. Newer investors should make sure that they are receiving good information from any courses that they are taking. Much of what worked two years ago is not working so well in today's market.

If you are purchasing a property to resell you must purchase it at a price that will let you create the nicest and best home in its price range. If your property is priced well under market and shows better than others it will sell in any market. Just be aware of your completion and be prepared to make a deal with a buyer. In a buyers market the buyer is king and they call the shots.

If you want to get more information and stay current on real estate investing you can learn more at http://www.shortclosures.com

Dick Weiss has been in the real estate business for over 30 years and has a successful investing business in Stuart, Florida. He publishes a Free Newsletter at http://www.whoisdickweiss.com and has a foreclosure blog at http://www.shortclosures.com

Please send any questions or comments about this article to Dick at top5percent@bellsouth.net

Article Source: http://EzineArticles.com/?expert=Dick_Weiss

5 Links: Business leaders share, free television, architecture and more

2008-04-09T09:02:00.002-04:00

1. Interesting website where business leaders share their past challenges and how they overcame them.
2. Free television programing from your computer.
3. Contemporary architecture.
4. Desktop wallpapers.
5. Health myths and the real truth.

Report: Pending Home Sales Slump

2008-04-08T14:13:00.005-04:00

According to a report released this morning about pending home sales, the housing picture turned a bit bleaker than it already was. The NAR (National Association of Realtors) reported that February Pending Home Sales dropped 21.4% when compared to February of last year.

So what does this all really mean for you and the housing market? According to NAR chief economist Lawrence Yun in an interview with cnn.com, it means that the housing market is "not out of the woods".

Upcoming housing reports:

Existing Home Sales March 2008 due to be released on April 22nd.
Next Pending Home Sales Index will be released May 7.

Announcing a new class location in Frederick

2008-04-04T09:01:00.006-04:00

Image from Wikipedia

In order to be more convenient to our students in or near Frederick Maryland, we have added a great new class location. The new location is:

Frederick Residence Inn by Marriott

5230 Westview Drive

Frederick, Maryland 21703

Our upcoming classes at the new Frederick Location:

Maryland Code of Ethics, Flipping and Predatory Lending. April 14, 2008, 8:30am-11:30am. (3-hour DC elective, MD Ethics Requirement). ENROLL

Maryland Fair Housing. April 14, 2008, 11:45am-1:15pm. (1.5-hour DC elective, MD Fair Housing Requirement). ENROLL

Maryland Legislative Issues Affecting Real Estate and Their Relationship to the MAR and Regional Sales Contracts and Addenda. April 14, 2008, 1:45pm-4:45pm. (3-hour DC elective, MD Elective, MD Legislative Requirement). ENROLL

Agency/Agency Law Update. April 14, 2008, 4:45pm-6:15pm. (1.5-hour DC elective, MD elective). ENROLL

Renters also being hurt by housing market

2008-04-01T10:56:00.003-04:00

New property tax disclosure requirements

2008-03-28T08:48:00.003-04:00

This is a reminder to Realtors with listings in Montgomery County Maryland about the new requirement to post property tax information prominently on advertising. The new law takes effect on April 1st, 2008 and requires that agents/sellers include property tax information on:

All printed sales material available on site or at an open house
Any information about a specific property for sale which is available on the internet or on a website
Any written material specifying the amount of tax the seller currently pays or recently paid

The new law does not extend to the following, as long as property tax being paid by the seller or recently paid by the seller is not discussed:

a newspaper or magazine classified “liner” advertisement or a “group display” advertisement in which the advertisement for a specific house is less than 16 square inches;
one or more introductory screen listings for a specific property on the internet, which may contain the asking price, as long as the disclosure required by §40-12C appears on the internet listing in any later or linked screen which provides further financial details about the property;
“for sale” signs posted at or near a property; or
radio or television advertisements

Another item to take note of is the fact that the following areas are exempt from the new regulations: Rockville, Barnesville, Kensington, and Poolesville.

If you are looking for a specific tax record you can find it by visiting the Montgomery County property tax calculator at the county website.

To learn more about this and other legislative issues remember that you can take one of our Maryland Legislative classes. View our full schedule of classes by visiting our website.

5 Links: Business links for your areas of interest

2008-03-25T14:26:00.002-04:00

1. SEC filings in a blog format
2. Housingwire - The name says it all
3. Business Net
4. If you are looking for good business reading
5. Business how-to

Communities in once hot real estate markets now losing population

2008-03-21T15:59:00.001-04:00

NCAA Tournament kicks-off today

2008-03-20T15:17:00.002-04:00

The NCAA basketball tournament officially kicks off today with 64 teams vying for college basketball's championship. Since it seems that many people have this on their minds, we thought we would list several resources for the college basketball enthusiasts out there.

1. Watch the games on your computer with live streams from CBS.
2. Printable brackets in a PDF format to follow tournament action from CHN.
3. NCAA Tournament discussion boards from allballers.com
4. Watch the games for free on your computer via IPTV service provider Joost.
5. KeepandShare.com presents free tournament schedules from now through the end of the tournament on April 7th, 2008.

Tax rebate checks: They're coming soon

2008-03-19T08:59:00.003-04:00

The tax rebate checks that President Bush approved as part of an economic stimulus package are on the way. Preliminary numbers from the IRS indicate that 130 million checks will be sent out to tax payers on May 2nd which is less than 6 weeks away.

All indications are that there has been some confusion about the exact size of those checks. In the financial world nobody likes surprises and in response to our surprise-free preferences, the IRS has put together a calculator on their website that will assist you in estimating your tax rebate check amount.

To view the calculator and give it a test run you can click on this link to the IRS website.

5 Links: Interesting reading concerning our financial markets

2008-03-17T12:51:00.002-04:00

There is some really interesting reading available currently concerning the financial markets and the crisis that the federal reserve is attempting to avert by aggressively cutting interest rates. Here are 5 that caught our eye:

1. Interview with Economist Paul Krugman on the mortgage crisis
2. Investment Banks have been bailed-out before: The History
3. What does Alan Greenspan say about all the doom and gloom?
4. Buy signals are being ignored on wall street--What does that mean for the economy?
5. Inside the Bear Stearns Rescue

This could make you an audit target come tax time

2008-03-14T15:13:00.003-04:00

We came across an article at cnn.com that outlined some of the items on tax returns that could cause the Internal Revenue Service to conduct an audit. This is right on time as the tax filing deadline is now 1 month away.

According to the article you could get flagged for:

1. Making more than $100,000/ year.
2. Reporting expenses that exceed reasonable amounts.
3. Submitting illegible forms.
4. Reporting donations to charity that exceed 10% of your income.
5. Utilizing a home office (this might be of particular interest to real estate professionals who work from home).

To get more details straight from CNN you can view the article for yourself.

Gasoline Prices at Near Record Levels

2008-03-12T08:58:00.005-04:00

Thanks to Flickr user richardmasoner for this picture

AAA on Tuesday reported that the national price of gasoline had once again increased to near record levels. This follows a prolonged period of rising crude oil prices which have touched intraday records above $109 per barrel.

Although the inflation adjusted record price of gasoline has not yet been reached, all news seems to indicate that we will be challenging the record during the summer months.

The report released on Tuesday puts the average gas prices of gasoline at $3.22 per gallon with prices exceeding that level in major metropolitan areas.

Since gasoline prices appear to be on the way up, we thought we'd share a website designed to allow you to find the least expensive gas in your area.

People will try to sell you anything - The Hawaii Chair

2008-03-11T08:39:00.005-04:00

It is really incredible that this is an actual product:

5 Links: Secure your Identity, Price Drops, iPhone Ringer and more

2008-03-10T09:08:00.005-04:00

1. Protect yourself from Identity Theft
2. Monitor price drops to your favorite items and stores online
3. An interesting iPhone trick perfect for the office
4. Network more effectively
5. Retire Rich

Sometimes a distraction is good -- Here's one for Golfers

2008-03-06T14:33:00.004-05:00

5 Links: Marketing through a recession, Real Estate Podcast, Networking and more

2008-03-03T14:29:00.000-05:00

1. You can still effectively market your business despite recession
2. Rental Real Estate Podcast
3. Corporate Oppression
4. Michael Corleone Guide to Business
5. Stop networking and do this instead

Lunar Eclipse

2008-02-21T10:08:00.002-05:00

In case you missed last nights Lunar Eclipse, here's a time lapsed video from YouTube:

And then there was inflation...

2008-02-20T13:28:00.001-05:00

Qualified Appraisers - 7 Things To Look For

2008-02-18T15:56:00.000-05:00

By Hisham Labanieh

Real Estate agents and loan consultants will often go through countless appraisers trying to find an appraiser whom they can depend on and use on a regular basis. One may ask why is it so difficult to find a reliable appraiser? There are likely to be many answers, but perhaps one major reason is that with the real estate boom of the late 90's and early 2000's many new appraisers came onto the market. Those appraisers often lacked the proper training, experience, and work ethic. This article serves as a guide in finding the right appraiser, one whom you can forge a long-term working relationship with.

Here are the 7 things to look for in an appraiser:

1) Is the appraiser licensed in the state where the appraisal(s) will take place? You will be surprised to learn how many appraisers work without having the proper license/certification. Banks will always reject appraisals performed by unlicensed appraisers.

2) Ask the appraiser about his background. Has his license ever been suspended? Has he been placed on probation? Is his license currently active or has it expired? These are all very important questions to ask and one must not be shy about asking those questions.

3) Are appraisal reports completed by a licensed appraiser or some staff member who merely does data entry and has no appraisal knowledge? Just as it is important for the appraiser to make a personal inspection of the property, it is even more important that the appraiser is the person responsible for completing the report.

4) What is the turnaround period for appraisal reports? A turnaround for appraisal reports is the amount of time it takes the appraiser to prepare the report from the time of inspection. A turnaround period of greater than 3 days is considered too long, especially given the current market situation. A turnaround period of 3 days is acceptable, however, a turnaround of 24-48 hours is ideal.

5) How much does the appraiser charge for his services? Appraisal fees should be no more than $350 for Single Family Residence or Condominium units. Some appraisers will try to get away with charging as much as $400, however, by paying more it does not necessarily translate into getting a better product. Appraisal reports are completed according to strict USPAP guidelines, therefore, all appraisal reports are created in the same format and using the same information. It's just that some companies will try to get away with charging you more. Truly innovative companies will take advantage of today's technology and can offer you a more superior product at a better and more competitive price.

6) Does the appraiser take advantage of today's technology? Online ordering helps shave valuable time and innovative websites allow clients to order online, track orders, and even print reports directly from the website. Today's technology has made the appraisal process completely digital, from placing orders online to taking digital pictures during the inspection process, to the completion and publication of the appraisal reports.

7) How credible and reliable are statements made by the appraiser? This is the hardest part in deciding whether or not you will be able to trust the appraiser with your work, however, your first instinct is always the best. What I have learned is that truly reliable and credible appraisers will always stand by their work. Look for companies that offer you guaranteed results and will always stand by promises made to you. Companies who offer you a money back guarantee if reports are not completed in a timely manner are a great way to go. Their work is usually consistent and are likely to go the extra mile to keep you happy.

Hisham Labanieh is a California licensed appraiser and owner of First Choice Appraisals, a leading real estate appraisal company in Southern California. He contributes to his blog regularly at The First Choice Blog. He has worked in the real estate industry for many years and has an extensive background both in real estate appraisals as well as financing.

Article Source: http://EzineArticles.com/?expert=Hisham_Labanieh

5 Links: Be an informed citizen, Lower your property tax, Frugal Home and more

2008-02-13T10:34:00.004-05:00

1. Be an informed citizen
2. How to lower your property tax
3. Run a frugal home
4. Small Business Web Resource List
5. Election 2008 Blog

More help on the way on the foreclosure front?

2008-02-12T10:21:00.000-05:00

There are talks that a new proposal could be introduced today that will aim to slow the wave of foreclosures widely expected this year. The proposal is expected to entail a temporary suspension of foreclosure proceedings which the Bush administration believes could have a positive effect on the housing market.

Once a foreclosure procedure is suspended the plan would rely on lender participation in helping the borrower renegotiate the terms of their loans. Project Lifeline, as it is being called, is seen as an extension of the Hope Now plan introduced in 2007 which froze the interest rates on adjustable rate mortgages. That plan has reportedly helped 869,000 borrowers hold on to their homes.

Congratulations Howard, Loudon, Fairfax -- Highest Median Income Earners

2008-02-11T11:19:00.000-05:00

In a report recently released using 2006 census numbers, three Washington D.C. area counties (Fairfax, Loudon, and Howard) topped the list for having the highest median incomes in the country. Median incomes in the three counties ranged from $92,260 to $100,318.

So what happened with Montgomery County, Maryland--a mainstay on the top counties list? It is still on the list as well and occupies the 8th spot on the list with a median income of slightly more than $87,000.

The full list:

1. Fairfax County, Va.: $100,318
2. Loudoun County, Va.: $99,371
3. Howard County, Md.: $94,260
4. Hunterdon Country, N.J.: $93,297
5. Douglas County, Colo.: $92,125
6. Somerset County, N.J.: $91,688
7. Morris County, N.J.: $89,587
8. Montgomery County, Md.: $87,624
9. Arlington County, Va.: $87,350
10.Nassau County, N.Y.: $85,994

Man offers online tips on how to save your home

2008-02-07T15:36:00.000-05:00

5 Links: Fighting Ad Blindness, Blogs Defined, Rubix Cube Solution and more

2008-02-06T09:27:00.000-05:00

1. Advertisements that fight ad blindness
2. Blogs Defined
3. Rubix Cube how-to guide
4. Make your own girl scout cookies - Tagalongs
5. Health Insurance Secrets

How Does A Fed Cut Affect Home Mortgage Rates?

2008-02-05T10:03:00.000-05:00

By Kristin Abouelata - Home Loans

You hear about “Fed Rate Cuts” all the time. How does it really
affect your mortgage rate, or does it?

You hear quite a bit lately that “the Fed is cutting the
interest rate.” Maybe you’ve been considering a refinance, and
you’re waiting to move forward till the Fed takes action again.
But be smart about waiting and watching. A Fed cut doesn’t
directly affect long term rates (for instance a 30 year fixed
mortgage), but it does impact long term mortgage rates. The
problem is the impact might not have the result you’ve been
waiting for.

Who is the Fed? Well, it’s really the Federal Reserve. And when
the Fed cuts rates, it usually cuts the Fed Funds Rate, which is
the rate banks lend each other money. However, when the Fed
lowers the Fed Funds Rate, Prime Rate, the rate banks give their
best customers, usually drops as well. Ok, that’s great. But
what does that really mean to the average person on the street?
It means that anything that has an interest rate tied to Prime
is directly affected by the Feds’ rate cut. Typically, these are
short term loans. For instance: a credit card or a Home Equity
Line of Credit (HELOC). In general, these rates decline when
the Fed lowers rates. On the flip side, a Fed rate cut means
your savings will perhaps not yield as much interest and your CD
(certificate of deposit) won’t be at such a great rate. So, it’s
not all good.

Why aren’t mortgages directly affected? Because mortgage rates
are typically longer term rates and are influenced by buyers and
sellers in the bond market. Daily movements in the bond market
cause mortgage rates to change. That’s why you might get a quote
from a loan officer on Tuesday, and on Wednesday, your quoted
interest rate has increased .125%. The Fed lowers rates to help
stimulate the economy. Ultimately a healthy economy is good for
the real estate market. Jesse Lehn, Senior Vice President for
Mortgage Investors Group, believes, “…a liquid real estate
market is beneficial for the mortgage market and that keeps
rates competitive.” So, when the Fed lowers rates, indirectly it
can help mortgage rates, but there is no direct correlation.

Another misconception is that mortgage rate changes occur in
direct relation to when a Fed rate cut happens. In actuality,
most mortgage rate changes, positive or negative, occur
regardless of whether the Fed is actually meeting. That’s
because the mortgage market anticipates what the Fed is going to
do.

A good loan officer should have their finger on the pulse of
the market, but again it’s a gamble. Remember to have a target
interest rate in mind if you want to lock a loan but are
watching the market. Trying to lock an interest rate on the day
the mortgage rates have reached their lowest point in a year is
like trying to get a royal flush in poker. It happens, but it’s
not a realistic goal. It just means you were lucky. Just stick
to your home financing goals and consider the big picture, and
you’ll be fine.

About the Author: Let My Experience Work For You! Email your
home loan financing questions to Kristin Abouelata, Home Loan
Specialist, at question@kristinmortgage.com or call direct:
(865) 567-0113 Toll Free: 1-800-489-8910. For more information
visit her website at www.kristinmortgage.com
http://www.kristinmortgage.com Home Loans Plain Talk.

Source: http://www.isnare.com

Permanent Link:
http://www.isnare.com/?aid=221125&ca=Real+Estate

Superbowl TV ads are coming--Get a sneak peak

2008-01-31T14:39:00.000-05:00

Since this Sunday is Superbowl Sunday, we thought we would just let you know of a great website for anyone interested in seeing Superbowl ads from the last 10 years. At the website you can view ads from as far back as 1998 and they include the average price-tag of a 30-second ad each year.

Here is a preview of a Pepsi commercial that will run during this years Superbowl:

Just a little tid-bit: The average cost of a 30-second advertisement during this years Superbowl between the undefeated New England Patriots and the New York Giants: $2.7 Million dollars.

A quote to live by in Business--but especially the Real Estate Business

2008-01-30T12:34:00.000-05:00

This is a quote from Dick Parsons, Chairman and CEO of Time Warner mentioned in a paper titled "The Best Advice I Ever Got":

"The best business advice I ever received was from Steve Ross, who used to run this company. Steve was a friend. It was 1991 or 1992, and I was on the Time Warner board. I was going to be coming over to the company from the banking industry, and we were talking about how to get things done. Steve said to me, 'Dick, always remember this is a small business and a long life. You are going to see all these guys come around and around again, so how you treat them on each individual transaction is going to make an impression in the long haul. When you do deals, leave a little something to make everyone happy instead of trying to grab every nickle off the table."

This is great advice for us involved in the real estate business, and it is advice that is easy to forget when we are facing tough times as we are today. It serves us as a small reminder that every deal we do should be viewed as a long-term investment that will pay us dividends for years to come and not a one time occurrence.

5 Links: Buffett, Gift Cards, Glowing Transportation and more

2008-01-29T08:58:00.000-05:00

1. Keeping track of Warren Buffett--#2 on Forbes rich list
2. Credit card brand gift card buyers and recipients beware
3. Glow in the dark transportation
4. Bike in a box
5. How long did it take you to buy that?

Staging - Does it really make a Difference when selling your Home?

2008-01-28T09:44:00.000-05:00

People who are really into watching the various shows on the Home and Garden Network are probably familiar with the concept of flipping and selling a house. Various entrepreneurs will buy a house for as low as possible, make some adjustments, and then sell it for a profit; usually before the first mortgage payment comes due.

There are several different steps taken when the house is flipped, but one of the most important is showing the renovated home to potential customers. Often this step includes importing rented furniture to the house, to give it an ambiguous "lived in" look. This is known as staging, and it’s one of the hottest trends among home sellers today.

The reason why staging is always included as far as these entrepreneurial endeavours are concerned is fairly simple: staging works. In this article, we will take a look at why staging works, but first let’s take a look at how it can make a difference in selling your home.

Where staging makes a difference in the sale

When it comes right down to it, there are only two really important factors in selling your home. Selling your home as quickly as possible Selling your home for the highest possible amount

And it looks as though staging is a major factor in accomplishing both of these goals. What is it about a staged house for sale that makes it so appealing to buyers?

Reasons why staging works

To understand why staging works, you have to realize how very important visuals are in the human mind when it comes to selling a product. Just think about those ridiculously high priced meals you see at really nice restaurants, made by professional chefs. They are not filling, and nine times out of ten they really don’t beat a nice steak for taste. The difference is in the presentation; if it looks like a work of art, people are willing to pay artsy prices for it.

The same holds true for most marketing endeavours. Just look at our cultural obsession with beauty; people love their visuals, and real estate is no different.

A staged home takes advantage of this basic marketing principle by showing off the home in its most ideal state. Potential buyers can imagine themselves living in the home, but they do not have to strip away the visual clutter of another family’s life in order to do so. By using basic furniture and other touches, even down to flowers, a staged home gives off strong visual signals that buyers can’t seem to resist.

The result is a home that sells much faster than one that is not staged, and most of the time at asking price to boot. So staging your home is definitely a good move towards your real estate goals!

Article Source: http://www.ArticleBiz.com

Foreclosures Rising In Commercial Real Estate Market

2008-01-24T11:26:00.000-05:00

By Tony Seruga, Yolanda Seruga And Yolanda Bishop

Today’s economy has been difficult on many. People are losing
their homes in large part due to the interest only loans that
banks were praising just a short time ago. What many don’t
realize is that homes are not the only properties being lost to
the struggling economy; commercial properties are also being
lost and these are prime opportunities for investment. Savvy
investors can often pick up these properties for big discounts
and resell them for immediate profits.

Costs are going up. For the owners of commercial properties,
those costs are affecting every aspect of their business.
Insurance costs are high, material for repairs to properties is
costly, and hiring others to do necessary maintenance is
expensive. All of these are factors that can lead to an owner of
a commercial property losing that property to the bank. Taxes
are another factor. Taxes increase often and the commercial
properties in an area are often asked to pay a large portion of
that tax increase. This can also lead to an owner falling behind
in their payments and not being able to catch up; this results
in the property being listed for foreclosure. For some, it is
the only way to pay their debts and be able to start all over
again.

The struggling economy is playing a large part in this struggle
for commercial properties. This means that until the economy
improves which looks pretty unlikely at least in the next two
years or so this string of foreclosures will not improve. The
amount of people losing their properties to rising costs may
actually increase until the economy turns around.

Little known small businesses will likely be the first to go.
If the name of the company has not been well established and
their product is not well appreciated, they may not last very
long. A small business that deals in a product or service that
is required by many will probably have better luck. However,
these businesses will still be vulnerable due to the fact that
they will not be dealing with large profits. Their profit margin
is smaller and depends entirely on their client base. If their
clients stop coming to them for any number of reasons it won’t
take long for them to lose their footing and eventually their
property.

Mid-sized businesses will be next. These business which are
larger and deal with profits on a larger scale will be able to
last a bit longer. They may not be wholly dependent upon their
client base. Their profit margin may be large enough to sustain
them for a while even if they lose clients. Yet, they will not
be able to sustain this for large period of time. If they cannot
raise their client base back through promotion or discounted
goods or services, they will eventually lose their footing as
well. They will not do so as quickly as a small business with a
small client base, but they will lose their property too.

It will take much longer for larger businesses with a
reputation in the community and large profits to lose their
property to economic issues. They will have the loyalty of their
clients or customers even while raising their prices to an
extent. They will be able to maintain their business for quite
some time even while losing economically. However, these
properties too can be lost to poor accounting methods or tax
related issues. It doesn’t happen as often, yet it does happen
and an investor would be able to jump on this opportunity and
invest in the property for resale or as a rental or lease. The
investor would see a large return on their investment quickly.

Many commercial property owners will try to save their
properties by filing bankruptcy. For some this will work and for
others it will buy them additional time but they’ll end up
losing the property anyway. When something like an airline files
for bankruptcy protection they are protecting what their planes
and properties, yet they have to make drastic cutbacks in order
to pay their debts and turn their situation around. This is the
same thing with commercial property owners. Many will file for
bankruptcy and make drastic cuts and save their property. Others
will not have cuts big enough to make and therefore will not be
able to save the property. This is when their properties will
fall into foreclosure and be available to investors.

Some property owners will choose to sell their properties
rather than ruin their credit through the bankruptcy and
foreclosure process. Since they will need to sell rather
quickly, they will often offer the property below the actual
value. As an investor this is another great opportunity to buy
the property and resell it at its actual value. This will afford
you a nice profit with very little investment.

Many investors don’t know where to find information about
commercial properties that are in foreclosure. Many believe that
this is information that you have to pay a service for. This
cannot be further from the truth. Any time a property is in
foreclosure that information is freely available through the
county building of the county in which they reside. They will go
to auction just like the residential properties that are in the
county. As an investor it’s wise to research this monthly and go
to the auction to pick up the property; often at a much
discounted rate.

Many investors lose out of these opportunities because they
don’t know how to find these properties. If you are vigilant and
pour over the properties for sale, you will be able to find them
and bid them correctly at auction. This will result in you
maximizing your profits. Your investments will bring you large
returns through the efforts of doing a little homework and
finding these little known investment opportunities.

About the Author: Tony Seruga, Yolanda Seruga and Yolanda
Bishop of http://www.maverickrei.com specialize in commercial
and investment real estate. As of May, 2006, they and their
partners are managing over $600 million dollars worth of new
projects.

Source: http://www.isnare.com

Permanent Link:
http://www.isnare.com/?aid=173013&ca=Real+Estate

5 Links: Tired or not, we all have a story, working for productivity, and more

2008-01-23T11:16:00.000-05:00

1. How tired are you?
2. We all have a story to tell
3. How to be more productive
4. 20 Tips for success
5. Who says you need a gym to get a workout

Happy 2008

2007-12-31T12:11:00.000-05:00

Due Diligence on Foreclosed Properties

2007-12-26T15:33:00.000-05:00

By: Mark Jones

There are a vast number of investment opportunities in foreclosed properties. The recent crumble of the mortgage industry stands as evidence of just how many people have had their homes foreclosed in recent years.

As a buyer, this is a great time to purchase foreclosed properties that will give you a tremendous return on your investment. Many investors are quite savvy with the numbers end of the real estate investment market. However, they often lack the ability to perform due diligence on the properties that they are considering buying.

Due diligence is simple the process of investigating a potential investment to see what it is really worth. Performing due diligence on a house then, is simply the process of inspecting it to see what its true value is. There are several aspects to performing due diligence on a property, and many investors only do one or the other.

The first is the title search. Generally, you will have to hire a title search abstractor to perform the title search for you. After this is completed, you will need to know how to analyze and process the information. A title search will provide a historical timeline of the property that you are considering. You will be able to determined who owned it, for how long, and what they did there. This is a great way to identify potential problems that could one day negatively affect the value of the property. If there was a toxic waste dump on the site fifty years ago, then you may want to reconsider. On that note, you should always perform a check for records of any environmental contamination. A title search will help begin this process, but you should ask your local municipal clerk about the best way to access record on contamination reports. These should all be public record and available to you if you are willing to put in the time and effort to dig them up.

Another part of due diligence is to research the properties in the surrounding areas. The sale price of real estate is public record, so take the time to find out what other properties in the neighborhood have sold for. This will help you estimate current market value for the property that you are interested in. While it doesn’t happen often, sometimes the beginning auction price that is set by the bank in foreclosure is actually higher than the estimated value of the property itself. The bank does this in an effort to reclaim the amount owed to them. You can’t just assume that you are getting a great deal because a property is foreclosed. You need to perform the due diligence and compare three comps in the same area to ensure that you will be able to recover your investment when you decide to sell. Having completed researching the paper trail on your property, you are now ready to take a close look at the physical property itself.

This is the part of due diligence that investors are either very good at, or miss completely. There are many subtle features of a house that can make a big difference in its resale value on the open market. Inspecting for structural roof damage involves much more that just looking up at the roof and identifying a few shingles that need to be replaced. Either you, or the inspector that you hire, needs to get up onto the roof and see if there a soft spots. You also need to get into the attic and inspect the roof deck from the underside. If you see areas where water has run down the rafters then you’ll need to be very certain that there isn’t dry rot somewhere in the deck. This can be costly to repair and can take a big bite out of your re-sale profits. If you do suspect that there is dry rot, then you should also have the house checked for mold contaminations before you bid at auction. If you are hoping to buy a foreclosure and then turn it around quickly, then you should probably stay away from homes with structural problems. Again, take the time to perform the proper due diligence to avoid getting stuck with costly repairs.

Another area that should be carefully inspected in your due diligence is the foundation of the home. Sinking or cracked foundations require careful inspection to determine the severity of the problem and if you aren’t comfortable identifying it, then hire a consultant. Sometimes a crack is just a crack; while other times it can a be a billboard advertising a house that is ready to fall. Foundation repairs can be very costly and if you don’t account for them in your investment plan that can chew up, not only your profit, but also the principle amount of your investment. In other words, make sure you go down into the basement, no matter how dark and dank, and carefully check the foundation.

www.homesearch4investors.com is an easy to use website that offers homes that are currently in pre-foreclosure, foreclosure or for sale by owner. Find great property deals in all 50 states instantly.

Article Source: http://www.ArticleBiz.com

What are the Benefits of doing a Short Sale?

2007-12-26T14:12:00.000-05:00

By D.c. Fawcett

Let’s first cover what the definition of a short sale is.

A Short Sale is when the lender agrees to accept less than what’s owed on a mortgage that is secured by real estate.

Benefits to the Seller of the property
The seller wins by avoiding foreclosure by selling their home before the foreclosure auction even if they owe more than its worth. If they were to sell the house the traditional way with a realtor without a short sale, typically they would have to bring tens of thousands of dollars to the closing to sell their own home. This is not an option for them because they are in foreclosure and don’t have any money. Sometimes they are able to get some moving money out of the deal where they would get nothing if they lost the home back to the bank.

Benefits to the Lender
The lender wins because they are getting some of their bad debt paid off. You see, when a lender has delinquent loans on their books, it affects how much money they can lend out in new loans because they are regulated by the FDIC. So the more bad loans they can get rid of, the more good loans they can then go ahead and acquire.
Also by taking a home to auction, the lender will lose 35-50 thousand dollars.

So it’s a huge cost savings to them to do a short sale before the auction occurs.

Benefits to you the Investor
The investor wins because we get to make a great profit on home, most of the time in the area of 25-200 thousand dollars, that we have invested little money in, have not had to own our credit at risk and we haven’t had to rehab the property.
Most of the time we are able to get these properties at 60 cents on the dollar and they are in great condition. I have acquired homes through short sales in bad condition for as low as 28 cents on the dollar. That means I was able to acquire a home for 28 cents on the dollar by doing a short sale with the lender.

The information of how a short sale benefits everyone:
It benefits Realtors because in today’s market Realtors are getting tons of listings with no equity and they can turn these dead leads into strong commission checks that they wouldn’t get without knowing how to help their sellers out with a short sale.

It benefits real estate investors because they are getting a lot of leads now from sellers that owe more than their house is worth. The only option for them is to do a short sale.

And the short sale business for investors is awesome in this market because you don’t have to make payments on the house, make repairs to the home, put your credit on the line to do the deal and you make a huge profit just for structuring the whole deal. The best part is you can control large luxury style homes which generating exponentially more profit than starter homes without any risk.

To get the Best Foreclosure Investing Tips and Strategies for today’s market for FREE , click this link right now Real estate foreclosure investing, Real estate foreclosure, Dedicated to Multiplying Your Income,

Article Source: http://www.ArticleBiz.com

5 Links: Beautiful libraries, Calendars, Procrastination and more

2007-12-18T14:18:00.000-05:00

1. Beautiful Libraries
2. Minicalendar
3. Your network is probably the most important thing to your success
4. Procrastination: why we do. How to overcome the habit.
5. Jobvite - The new way to implement HR?

Giveaway: New Laptop Computer

2007-12-14T15:36:00.000-05:00

We want to let you know about a great new giveaway that our partners over at Ed2Go are putting on. It is the 2007th Student Laptop Giveaway.

Here's how it works:

The 2007th student to be confirmed as a verified (paid) enrollment each month from December 2007 through March 2008 in any ed2go course will receive a new laptop computer for a total of four laptop winners. Plus, the winning student will also receive three free ed2go Vista or Office 2007 courses of their choice. All you need to do is visit ed2go for a chance to win.

Four Tips to Help You Accurately Price Your Home in Today’s Market

2007-12-14T14:48:00.000-05:00

An unrealistic asking price may impede the sale of your home. But undermining your profit margin is also unwise. Pricing your home accurately – especially in the middle of an entrenched buyer’s market – is always a bit challenging. But if you’re trying to sell a house or condo these days, intelligent pricing is critical. Those who are off the mark by a slight amount may wind up off target completely in terms of attracting a qualified and interested buyer, and those who price their home unreasonably high may be shooting themselves in the proverbial foot.

Here are four tips for figuring out how to price your property, without “leaving money on the table” by selling yourself short:

Know Your Primary Motive for Selling

Understanding why you want to sell is the first step, and the most important. If you are selling to capture capital gains, for example, your strategy regarding pricing will be much different that if you are selling to move to a new job in another city. Those selling to avoid imminent financial problems, for instance, may need to price their house lower – and sacrifice some of the proceeds – in order to inspire a faster sale. If you don’t need to sell by a particular deadline, you can afford to price your house at the high end of the spectrum and “fish” for a while for an interested buyer. After a couple of weeks you can adjust your price lower if you aren’t attracting enough interest.

Find Out What Buyers are Paying for Houses like Yours

To find out what buyers are paying for comparable houses, have a Realtor print out a market report that shows recent sales data for nearby homes with similar amenities and square footage. Compare the asking prices to the actual sales prices, to find out if other sellers have been pricing their houses too high. Accurate pricing usually reflects a gap of no more than 10 percent between what is asked and the final price. Study the "time on the market” data, to see how long it takes houses to sell. If they are selling faster than average, it may be because they are priced below average. If they stay on the market longer than normal, it may indicate that they are overpriced or need repairs that are not discounted from the price.

Price it Objectively

When housing prices are falling steadily it is easy for sellers to cling to a false sense of what their properties are really worth. That’s fine if you are just testing the waters, but it can be counterproductive if you intend to sell within a reasonable amount of time. Take the average price per square foot you gathered from your data analysis and multiply it by the number of square feet in your home to find out what the market’s average valuation for your house happens to be. Add value for extraordinary features like a new kitchen, a garage apartment, or an oversized lot. Subtract for such things as needed repairs or peeling paint, less bathrooms than other comparable homes, or heating and air conditioning systems that will soon need to be replaced.

Be Decisive

Decide ahead of time what constitutes a reasonable offer to purchase. Knowing what your bottom line final price is will help you make quick, clear decisions under pressure. Establish a price range that you consider acceptable, and if you aren’t getting results, be prepared to lower your price at strategic intervals of time. A good way to plan ahead for price adjustments is to create benchmark dates on a calendar. If you reach a benchmark and have not gotten the results you expected, be decisive and businesslike – not emotional – about changing your price. Be ready to recognize if the time is not right for you to reach your goals. Trying to sell when you aren’t convinced you’re ready to can be frustrating and will likely cost you more money in the long run. It may be better to wait for the market to rebound, perhaps leasing your home or taking out a home equity loan to tide you over in the meantime.

Another important thing to keep in mind regarding pricing is that buyers and Realtors search the MLS database using specific price parameters. If you aren’t within their search range they won’t even know your house is on the market. For example, if you hope to attract buyers who are shopping for homes within the $250,000 - $300,000 range but your home is priced at $315,000, you may be pricing yourself out of your target market. Similarly, if you are asking $300,000 for your home you may be connecting with a whole pool of buyers that wouldn’t find you if you were priced at $301,000, because they are only searching up to the round number price of $300,000.

About the Author: To save time, money, and effort when buying or selling real estate, visit http://www.GayRealEstate.com and http://www.GayMortgageLoans.com. Or call toll free 1-888-420-MOVE (6683). They are dedicated to superior service to the GLBT community.

Steps to Improve your Credit Score

2007-12-14T10:48:00.000-05:00

Steps to Dig out of Debt

2007-12-14T10:34:00.001-05:00

5 Links: Abstract stairs, Tip from Trump, visual puzzle and more

2007-12-07T15:05:00.001-05:00

1. See-to-Believe Staircases
2. Tip from "The Donald"
3. How many circles can you see
4. An english lesson
5. ABCs of writing good ads

Proposed Legislation: Property Taxes

2007-12-03T14:41:00.001-05:00

Montgomery County Maryland's County Council is on the verge of voting over whether listings and their print advertising, contracts, and other electronic representations of a property for sale should include after-purchase property tax information. Some of you might have read an article in the Washington Post earlier this year detailing how property taxes jump when a property is transfered from one owner to another. This proposal is an effort to make sure that buyers aren't misled by any information presented to them.

The Details:

Bill: 24-07
Sponsor: Council member Phil Andrews
Month Proposal Introduced: September
Date & Time to vote: Tuesday December 4th, 1:30pm

Update: This bill has passed unanimously (8-0) and will go into effect beginning April 1st, 2008.

5 Links: Interior Design, Frugal Living, Monopoly and more

2007-11-28T12:05:00.000-05:00

1. Where to put your furniture
2.Taking frugal to a new extreme
3. Monopoly strategy for real life
4. How to be a genius
5. $1M dollar deposit

Quick Laughs

2007-11-19T14:13:00.000-05:00

An agent goes to the Broker/Owner and demands a bigger commission split.

Agent: "You gotta give me a better split. I have a lot of company's after me."

The Broker is shocked to here this and does not want to lost his agent to another broker.

Broker: "Really? What other companies?"

The agent responds "The Cable Company, the gas company, the electric company....."

Thanksgiving and Black Friday

2007-11-16T09:09:00.000-05:00

Thanksgiving is fast approaching and all of us here at The Professional Development Institute would like to take this opportunity to give you thanks for being loyal students through the years. We hope you have learned a lot and continue to learn a lot when you attend our courses. With Thanksgiving we also know that it means the beginning of the Holiday shopping season. Black Friday is the day after Thanksgiving and that means bargains galore. We wanted to help you out a bit by giving you a head start on finding this years best bargains--

For complete coverage of Black Friday sales you can visit this Black Friday website which includes scanned sales circulars, shows you a list of the very best discounts online and offline, store hours and much more.

Special Course Offerings in December

2007-11-15T09:32:00.000-05:00

Now announcing two special classes for the month of December:

The Benefits of Home Staging
How to Use Hi-Technology To Meet Your Buyers And Sellers Needs

In the first class you can learn from an expert how a staged home will appeal to a broader audience and get an edge over the competition. The Benefits of Home Staging is scheduled for December 4, 2007 from 9:00am-12:00pm. (Class Location: 11501 Georgia Avenue, RM 312, Wheaton, Maryland 20902 ; Instructor: Allegra Shann). Free Breakfast will be served compliments of Styled and Sold, plus a special introductory discount price of $20 for early enrollment! Attend this class and be automatically entered in a raffle to win a free-home staging consultation. Don't forget to also bring photos of your listing to class to get helpful home staging advice!

In the second class you will learn how technology can increase your business! Learn how to incorporate the latest High-technology techniques (WiFi, Bluetooth, GPS Satellite Systems, Text-Messaging, and more!) to help sell your home listing quickly while maximizing your profits. How To Use Hi-Technology To Meet Your Buyers And Sellers Needs is also scheduled for Dec. 4, 2007 from 12:45-3:45pm. (Class Location: 11501 Georgia Avenue, RM 312, Wheaton, Maryland 20902 ; Instructor: Prabhjit Singh). This class also has a special introductory price of $20 for early enrollment.

** Please note that both of these courses are non-credit courses.

Statistics on Predatory Lending

2007-11-14T11:32:00.000-05:00

We recently came across an article about avoiding predatory lending that is worth looking at. It was posted on the RealLiving blog and outlined some suggestions from the National Association of Realtors.

To start learning about how prevalent the problem you can read a paper posted at the American Bar Association website named: 'Predatory Lending: The New Face of Economic Injustice'.

The biggest thing that jumps out is the $9.1 Billion dollars per year that predatory lending costs borrowers. Presumably that number will balloon this year as the full impact of the sub prime mortgage meltdown is felt throughout the economy.

In order to make sure that you or your clients don't become victims, learn how to identify red flags associated with predatory lending. According to the City of Seattle's Office of Housing red flags can include excessive bank fees, balloon payment terms, pre-payment penalties, loans given based on home equity rather than income, and excessive interest rates.

In the event that you would like to learn more about predatory lending, The Professional Development Institute offers a number of courses on the topic.

5 Links: Property Search, Conferences and more

2007-11-14T10:38:00.000-05:00

1. View Craigslist Real Estate listings via Google Map
2. Directory of global real estate conferences
3. New York real estate news
4. How to market your business via Facebook
5. Find businesses that are recommended by your peers

What are the Maryland Real Estate CE Requirements for residential agents and brokers?

2007-11-08T12:50:00.000-05:00

We get this question quite often during the course of normal business and thought it might be a relevant topic for those of you in the business, or planning to come into the business.

For Residential Real Estate agents/brokers who have been licensed for under 10 years (The following requirement applies if your license expires between 10/02/2006 and 10/01/2008):

3.0 hours of MD legislative
1.5 hours of MD fair housing
3.0 hours of MD ethics
7.5 hours of electives
For Residential Real Estate agents/brokers who have been licensed for over 10 years (Again, the following requirement applies if your license expires between 10/02/2006 and 10/01/2008):

3.0 hours of MD legislative
1.5 hours of MD fair housing
3.0 hours of MD ethics
1.5 hours of electives

New courses starting November 13th

2007-11-08T10:47:00.000-05:00

Well blog readers, this is breaking news that you'll find here first: On November 13th, we will begin offering and taking enrollments for a brand new set of career development courses through our partnership with Ed2go. These 10 new courses will further expand our catalog of online courses already being offered.

The new courses will include:

Principles of Marketing
Medical Mathematics
Medical Information Management and Office Practice
Math for Business and Finance
Managerial Accounting
Introduction to Business
Introduction to Biology
English Composition
Introduction to Macroeconomics
Confidentiality of Health

To register for one of these new courses on or after November 13th visit our ed2go course catalog.

5 Links: Money, Prospects, Travel Savings and more

2007-11-08T09:29:00.000-05:00

Every week we will publish 5 links that we feel are worth looking at. For our first five:

1. Washington D.C. based Blog all about money
2. Find out who your prospects might be
3. Save money on your next trip
4. Get a discount on your cell phone bill
5. Get driving directions on the run

Realtor View...Buy First | Sell First

2007-11-05T15:56:00.000-05:00

According to a February 2006 article on RealEstateJournal.com:

"Usually no more than 10% [of home buyers] get caught sitting on two mortgages even when the cycle is turning," says Norm Miller, director of the Real Estate Center at the University of Cincinnati. "But when the market is starting to slow, you'll certainly see more people caught in that circumstance. It may have been 5% before, now it may be 10% but even more in hyperactive markets" like California and Florida.

This can be a very challenging situation for home sellers and Realtors alike. We were wondering whether you have seen it become a big problem now that the market downturn is well established? And even more importantly, how have you advised your clients handle the situation? Are there any other tips you can offer that were not mentioned in The Buy First/Sell First Dilemma post from yesterday?

The Buy First / Sell First Dilemma

2007-11-05T13:02:00.000-05:00

Author: Lane Hornung

Unfortunately, the smooth transition from selling one house and buying another involves more luck than science. Do you list your home and risk selling it before you have a new one to move into? Or, do you buy first, produce a costly down payment, and then nervously wait to sell your home; praying all the while that you won't get burdened with two mortgages.

Neither scenario paints a perfect picture, but there are measures you can take to help get you through this difficult situation.

Conditional offer: When buying first, a common strategy is to place a contingency clause in the offer; whereby stating the purchase is conditional upon the sale of your current property, within a specified time. Not fool proof, a conditional offer has some disadvantages. It runs the risk of being rejected by the seller for a more favorable unconditional offer. Also, your offer remains in place until the end of the period you specify, and if a better deal comes along in the interim, you have to wait until this offer expires before you can go for it.

Be prepared: As soon as you have the vaguest notion that you want to move, start getting ready. Begin cleaning out the closets, de-cluttering, and make a list of all the necessary repairs and start whittling away at it.

Enlist a realtor: Make an appointment with some real estate agents and find one that you feel comfortable working with. The agent will give you a good idea of the selling price you can realistically expect, so you can determine your buying range. Once that is decided, the two of you can begin looking for your dream home.

Get off the fence: Decide whether you will simultaneously list your home and shop for the new one. If so, you may risk buying the new place, and having to carry two mortgages because the existing home is not sold. Do you have the emotional and financial well being to deal with that situation? If so, begin working on a game plan to help minimize the risks and stress in this situation.

Call your happy bank manager: Contact the bank, explain your situation and explore your options regarding a bridge loan or home equity loan to help you finance a down payment for the new place.

Minimize delays: Is your home an easy sell, if not, determine what steps need to be taken to prevent selling delays. Are you listing it at a realistic price, or are there any unique features about your home or repairs needed that may inhibit a quick sale?

Selling first has its perks: If lending requirements demand that you sell first, this option does come with some benefits. At least when you sell your home first, you'll know exactly what price range you can buy into. During negotiations, you'll be in a stronger position to place an unconditional offer, which is much more likely to be accepted by the seller than an offer that has a contingency attached to it.

How do you get along with your mother-in-law?: Be prepared for the possibility of moving out of your house sooner than you'd like, and start looking into alternate housing arrangements. Explore the possibility of bunking in with a friend or relative, or research the availability of furnished, short term rentals. Acquaint yourself with the pricing for storage facilities in your area. Many moving companies will offer a storage arrangement as well.

A home transaction can be an overwhelming, stressful situation, but by having your home ready for sale and knowing your options, you'll be better prepared and feel more in control. You'll be glad you did when the unexpected happens; especially in the event that your dream listing suddenly appears and you are faced with the choice to buy first or sell first!

Article Source: http://www.articlesbase.com/real-estate-articles/the-buy-first-sell-first-dilemma-245793.html

Welcome to our Blog

2007-11-01T16:32:00.000-04:00

Welcome to The Professional Development Institute (PDI) blog. This is a new project that we have launched in order to better communicate with our students, pass along valuable information about special promotions at PDI and publish other useful and interesting information. You will also notice that we have a comment section under each article that we encourage you to use-- Tell us what you think, tell us about your experiences, agree, disagree and ask questions.

At some point we may introduce an instructor chat. These chat sessions will be online (they'll be schedule every so often and announced on this blog) and will give you the opportunity to ask our instructors questions related to their area of expertise.

We have included a Frequently Asked Questions section at the bottom of the column to the right which will address some questions that you might have about using our blog. If there is anything that we don't cover there, shoot us an email and we'll get back to you. Welcome and enjoy!

How do I buy advertising space on the PDI blog?

2007-09-01T09:37:00.000-04:00

If you are interested in purchasing advertising on The PDI Blog, email us the following information:

Company Name
Contact Person
Address
Telephone Number
Email Address

[Please make the email subject line "Advertising".]

Once we've received your inquiry, one of our staff members will contact you to discuss your campaign objectives and help you select an advertising solution that fits your needs.

How do I buy sponsored links?

2007-09-01T09:33:00.000-04:00

If you are interested in having your website listed in the Sponsored Links section of The PDI Blog, email us the following information:

Company Name
Contact Person
Mailing Address
Telephone Number
Email Address
Website Address

[Please make the email subject line "Sponsored Links".]

Once we've received your inquiry, one of our staff members will contact you to discuss your objectives and pricing options.