Archive for the ‘real estate’ Category
Real Estate – Private Property Rights
June 17th, 2010 | 
Author: A call to action… Now is the time to act and for you to join the fight to protect and to keep private property rights that you use and enjoy. Well meaning individuals are campaigning to remove many of these fundamental rights that most Americans take for granted.
Every property enjoys a “bundle of rights”. Real estate agents and brokers work to market and transfer both the property and the property’s “bundle of rights”. These are the rights people have in real estate they own – also called “private property rights”.
There are two primary philosophies in America today regarding land ownership and real estate ownership. The first philosophy calls for and advocates the government owning the maximum amount of real estate, including land. People in this camp do not trust home owner’s and private property owners to manage their real estate responsibly. The opposing group, those who support people owning their own home or own land, see the rights people hold in private property as the core to living in a free society.
Well meaning socialists have advocated the public’s ownership of everything from your home, to land, means of production, capital, credit, to health care. This has been true since the start of recorded history. Socialism attempts throughout the history of the World, including those happening today, have all had the same result; failure. Evidence of this is seen in history books and in places like Cuba.
The United States was founded on the principal of every American having the opportunity and benefit of owning real estate and private property rights. “It’s all on your shoulders to push yourself as hard as you can. And that dictates how successful you will be,” according to The Code of the West; Alive and Well on Wyoming Trailer. It is essential for capitalism to flourish that you have the right to manage, control, and own your own home, farm, ranch, land, and your own business. The quality and standard of living we enjoy today, we owe mostly to our ability to own our own homes, our own real estate and our own land.
If you no longer had the right to own your own home, to own your own lot or your own land, what would America look like?
Private property rights are being attacked now more than ever by agencies of the federal government and by laws with deceptive labels. The Conservation and Reinvestment Act, for example, if passed allows the removal of private property rights; placing these instead with federal bureaucrats. The Grizzly Bear Overlay (GBO), if approved, may affect large amounts of land. Swaths of real estate in Idaho and elsewhere if approved, could suddenly become subject to the strict rules of the GBO. The GBO would restrict what people can do with real estate. If your rights in your real estate were lost as a result of an overlay – but not lost to property across the street from you, how would that effect demand and the value of your property? The Environmental Protection Act has a pretty name but in reality, the act transfers the management decisions you have in your home or property over to the the federal government. There are many laws and acts that have the same effect, such as, wet lands laws, endangered species acts, national monuments being proclaimed, and others that have consequences and limit the the rights an owner or renter has in their home and land.
Posted in 
Tags: 
Make Money in Real Estate
You need to be able to identify all of these aspects could be influencing your profit. You will find four major parts of creating funds in real estate: cash flow, appreciation, loan reduction and tax advantages. You should realize how do the four aspects work together to produce a rate of return.
Residential investment property isn’t merely making you a nice gain when it appreciates. And it isn’t necessarily loosing funds when it depreciates.
Know the economics inside your area.
You might have to look beyond the basic growth with the location you’re investing in to the overall health of the city, state and country. For example, if interest rates are rising, you need to realize that borrowers are getting restricted from the industry.
The half a dozen components of economics you are required to recognize are: mortgage interest rates, affordability indices, supply and demand, demographic information, commercial property and the job market.
Many potential investors take classes in both macro and micro economics. Macro will help the investor understand the big forces that impact this industry, for instance recessions, national interest rates, war and demographics. Micro will appear at individual sectors and focus on the local market, for example local disasters, nearby recessions, unemployment rates, supply and demand, new housing starts, housing for sale and kinds of vacancies.
There is a great deal that you should know prior to you jump into being trying to make money in this industry. Yes, if you’re just getting and fixing up and selling one house, you’ve the potential to make funds. But if you expect to do this as an investment, you should obtain the required education. Otherwise, you’re gambling with your money.
Buying Commercial Real Estate
It is well known that the American housing market is currently suffering. However, in spite of this, not all property markets are in decline. While the commercial real estate market has seen a slowing down, it has stayed healthy overall and now is as good a time as ever to be investing in commercial real estate. But what is commercial real estate for and what should you look for when considering the investment for your business or organization?
Considerations for Choosing Commercial Real Estate
Commercial real estate is property that is defined specially for business use. As opposed to personal or residential property, it is not made to be used for living quarters or other small scale endeavors. Instead, it focuses on housing a business or company. If you are considering starting a new business or if you are planning on expanding your current business, you may want to consider investing in commercial property. The following considerations can help you make the important decision of which property to invest in for the benefit of your organization.
- What is your first impression of the location?
- Does the neighborhood fit your business type?
- What is the competition and support like near the property?
- What is the hiring pool like surrounding the property?
- What is the condition of the building and the property grounds?
- What is the predicted upkeep needs for the property and the building?
Each of these important considerations can help professionals make the best decision possible when making the choice to invest in commercial properties.
Real Estate Possession Types
Property possession is not simply just ownership. There are many different types of possession but the they all fall under a couple of categories: freehold, statuatory, lease, and equitable. Understanding these types of real estate possession will help you not only understand whether a property can be purchased with clear title but will also give insight into ownership.
- Freehold is common ownership by an individual.
- Statuatory is possession by a husband and wife or community property.
- Leasehold is renting a house or apartment for terms.
- Equitable refers to liens.
The two most common types of possession is freehold (home ownership) and statuatory (husband and wife). Equitable possession does not mean ownership. This means that there is a lien on the property or a easement right. A lien is a debt that has not been paid and there for the debt is attached to the title and will be claimed when the house is sold. An easement is just a right to use land for a purpose. This could be using the land to access a street.
These real estate possession types are vital in understanding the industry. Here are a couple of ways to remember these terms.
- Freehold means an individual is free to hold the property.
- Statuatory can be easily remembered by thinking of the statue of liberty because the statue of liberty is a sign of freedom for everyone. Statuatory possession is the right and freedom of a married couple and an implied equal interest in the property.
Equitable could be remembered by saying it is equitable to have a road going through a property to a grocery store.
Leasehold can be remembered by saying a lease is to hold and long as my term to hold allows me to hold lease.
I hope that with this article you have a firm understanding of the 4 types of real estate possession and how you can remember the terms. These types of possession are vital an understanding the industry as a whole.
Real Estate Bargains
There are seven basic sources for real estate bargains. Each has both advantages and disadvantages. But the savvy buyer can often find the ideal bargain in one of these areas.
One of the best sources of real estate bargains is the property in “pre-foreclosure”. The owner realizes there’s a critical problem and may be willing to cut a deal to try to protect their credit. Some investors specialize in this type of property, taking over payments and then leasing the property back to the former owner. Disadvantages of this method include difficulties in identifying pre-foreclosure properties. Also, leasing back to the occupant may not be cost-effective-especially if he’s already determined he can’t afford to live there.
A popular option is foreclosure or reo (real-estate-owned by a bank or finance company) property. This can represent a significant opportunity, but properties are often in disrepair. And at least one metropolitan U.S. area requires foreclosure buyers to invest at least $1000 in improvements for every month the property sat empty-which could represent a significant investment before you ever see a return.
Tax sales are another common source of real estate bargains. However, a homeowner who can’t afford the property taxes probably couldn’t afford necessary maintenance either, and the property may be in a critical state of disrepair. Most areas allow up to two years for the owner to redeem the property, so once again, your return will be delayed.
One current trend is the short sale-where the buyer acquires the property for less than the seller owed on it. This is common in areas where property values have suffered a serious decline or where major layoffs have occurred. These are decided on a case-by-case basis, and require lender approval. It may take months to close a short sale.
Many real estate investors find their bread and butter in the form of “motivated sellers”. These are often cases where a temporary hardship requires a quick sale. Accident, illness, or divorce are common causes, and sellers may offer favorable terms to close quickly.
Another traditional real estate bargain is the handyman special. These are often rental properties that have been trashed by a tenant and the landlord just wants to get rid of the hassle. They can be a great opportunity-cleaning and painting can provide “instant equity”. Be careful of properties that are being tagged for code violations or condemnation-they may not permit do-it-yourself repairs and may turn into a bureaucratic nightmare.
Finally, estate sales can also be a bargain. You will probably need to be prepared with financing or cash, as heirs are seldom willing to offer creative financing