Purchasing reo property

Considering the purchase of Foreclosure property?

Here are some steps to follow to help you achieve your goal.

The market is being bombarded weekly with new Foreclosures in every area in the USA. How can you find them? Simple, call a few real estate agents in your area and ask them to send you daily listings that meet your criteria, don’t be vague, be as detailed as possible and within a realistic price range. In other words if you qualify for a $100,000 loan don’t focus on $ 1,000,000 homes, odds are you will never get an offer accepted and if you did we are talking about hundreds of offers. That takes time and energy and you will probably end up losing your agent.

Once you start receiving the list contact the different agents and see who gives you the best serves. I recommend that you stick to one agent, why? Because you will need a lot of hand holding and you are looking for an advocate, someone that will go the extra mile. Every property you like, you will need Market Reports CMA’s, information, etc. In addition you will need to be looking at property weekly with your agent. It is important for both of you to see eye to eye. Remember you are looking for the diamond in the rough and believe me they are out there you just have to look.

The most pressing piece that many folks ignore is that you have to, no way around it make offers every week. The more offers the better; your agent will guide you with the right wording to avoid having to commit to all accepted offers. The bottom line is that if you don’t make offer it’s impossible to make a deal.

Your broker will help you put together a well packaged offer. Make sure you provide the pre-qualified letter, proof of funds, etc. The better you look on paper the easier it will be. If you can close in 10 days, put it in the contract. Every detail helps the bank decide in your favor.

Good luck!

Hiring the right property manager for your rental income property

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I'm often asked what to look for when picking a property manager. Its a great question, and I’ll try to cover a few important points. Although they can sometimes be expensive, they can also save you from many headaches that go along with being a landlord. I’m going to ask more questions then I’ll answer, but these are questions you’ll want to keep in mind when interviewing managers.

1 - Cost: Managers generally charge a monthly fee to watch and maintain your property. Those fees can range from as low as 5% or so, to upwards of 20%. Obviously, you should look for a company that charges less and provides more services.

2 - Communication: For me, communication with a manager is of the utmost importance. I need someone who uses email, and is responsive to both the telephone and email. If I don’t get a response back in a timely manner, it is time to walk. In addition, you need someone who can deal with you and your idiosynchricies. Some of us are needier then others. You want to let companies know up front where you stand, and make sure they’re willing to be flexible for you.

3 - Termination of your Agreement: In the event that your “relationship” does not work out, you want to know up front what exactly it will take to terminate your agreement. Is there a charge for breaking your contract? Penalties?

4 - Repairs and Maintenance: Does the company have their own maintenance crew, or do they contract out to a handyman? How much do they bill out at? Can they handle all kinds of repairs? What happens if they can’t do something? Do they have other contractors that they work with?

In addition, you probably want to have a maximum that the company can spend without contacting you. Generally, I will allow my managers to do what they need to as long as it is for something under $100. I must confirm any expenses over that.

If you are a bit more of a control person, you can also request invoices/reciepts for expenses.

5 - Monthly Statements: Does the company send out monthly or quarterly statements. I wouldn’t deal with anyone that does not provide monthly income/expense statements.

6 - Evictions: How does the company handle evictions? What are the costs to evict?

7 - Yard Work: How much do they bill yard work out at? Landscaping? Do they handle snow removal? Mow lawns? How much does each cost?

8 - Reserves: What kind of reserve does the company require? The reserves are used in case anything comes up. Most managers will require a certain amount.

9 - Accounting: When will the manager mail your check to you? Beginning of the month? State laws usually dictate accounting rules for managers, but you wo want to know all of this up front. Tenant Deposits: How do they handle deposits? Are they comingled, or simply put together with all other income for your account?

10 - Vacancies: I’ve actually interviewed companies that will charge you 1/2 a month’s rent to fill vacancies in your property. I quickly ended my interview with these people. There is no reason to pay this fee, since many managers don’t need to charge it. You will need to fill your vacancies, so you will need some advertising done . . .

11 - Advertising: Where do they advertise properties? Are for rent signs put on the property’s lawn? Do they advertise in the paper? Online? There are quite a few effective places to advertise properties for free, online. Do they use these? In addition, you want your property advertised effectively. Do they have the basic HTML skills to add images to their for rent ads online? This makes a huge difference, trust me.

12 - Section 8: Do they have experience dealing with section 8 properties / tenants? Do they know what is entailed with such properties?

I also like to know how many properties they manage, how many managers work at the company, what specific areas they focus on, how long they have been in the business, and other questions about their experience. This should be a good start to get you going.

If there is anything else you want to know about finding a property manager, visit the Rental Property Questions & Landlording Issues Discussion Thread at BiggerPockets. com Real Estate Investing Community - biggerpockets. com

Property in costa rica where second homes are a good investment

If you’re thinking of buying a second home, then you should consider buying property in Costa Rica - as prices are currently still inexpensive, but are rising rapidly.

By buying property in Costa Rica, you’ll be able to take advantage of a real estate boom that’s set to continue for many years to come.

Let’s look at why buying a property in Costa Rica is such a good investment:

Property Prices in Costa Rica are rising

Investors that purchased a $30,000 property 15 years ago, now find that their property is worth as much as $750,000.

Another example of the Costa Rica property boom is the Marriot Corporation, which built the Los Suenos Resort, pre selling fifty condominiums of 2000 square feet for $250,000.

The following year, Marriot sold another fifty at $350,000. This year’s upper end units are being sold for as much as $450,000 to $850,000!

The biggest change in property in Costa Rica during the past decade is that prices have dramatically increased as Costa Rica has attracted more foreign buyers - and prices have doubled, or tripled, from 10 years ago.

Property in Costa Rica is Inexpensive

Despite these huge property price rises, Costa Rican real estate is still cheap compared to countries such as the US. A lovely three bedroom property can be purchased for as little as $60,000, and prices for beachfront properties cost up to 75% less than in US states such as Florida and Arizona.

Property prices in Costa Rica will continue to increase in value over the coming years, but there’s another way to ensure that your properties value exceeds what is already an excellent average growth rate - and here we need to look at location:

The Importance of Location

When buying property in Costa Rica, you need to look at the infrastructure - which can improve an area’s value.

Here are examples of three infrastructure changes that will increase property prices in adjacent areas:

A New Freeway: Scheduled to be completed shortly, which will link the largest metropolitan cities to the Pacific Coast, thereby generating an increased flow of traffic and fueling buying interest in adjacent areas.

A New Marina: The largest marina in Costa Rica, is due to be completed soon in the Town of Quepos.

A New Airport: A new international airport is planned for the town of Orotina in the near future.

When buying property in Costa Rica, being in ahead of the crowd - before an important part of the infrastructure is completed, will enable perceptive buyers to take advantage of price rises after the infrastructure is completed.

If you’re buying property in Costa Rica, (or anywhere else for that matter) then you need to consider location before buying.

Buying Property is Easy

Where else in the world can foreigners come to a country which has a stable democracy, no military, a government that encourages investors with no restrictions, and where foreigners are entitled to the same ownership rights as Costa Rican citizens?

Throw in low costs and no capital gains tax, and its no wonder foreign buyers are looking at Costa Rica. Buying property is Costa Rica is easy - and that’s one of the major attractions.

A Demand Driven Market

Buying property in Costa Rica will continue to be a sound investment, as foreign buyers look for an affordable place to live with a great lifestyle.

Costa Rica is beautiful, and has a great climate with no weather extremes, a low cost of living, no serious crime and an infrastructure that is on par with many industrialized nations.

Buying property in Costa Rica offers a slice of paradise at a cost anyone can afford - and as more buyers invest, prices will rise.

Big Rewards for Savvy Investors!

We’re still at the start of a boom in property prices in Costa Rica, and now’s an ideal time to get in on the action. Buying property in Costa Rica is a solid investment, which looks set to reward savvy investors with great capital gains in the near future.

Buying property in Costa Rica can change your financial future, and if you’re thinking of investing in property, there is no better market to get involved in.

Can a foreigner own property in thailand

Retirement in Thailand is the dream of many foreigners and mine too. I plan to settle down there in about two years and have been checking out the rules for acquiring property in the land of smiles.

The easiest solution for a foreigner (farang) is to buy a condominium. There is a percentage requirement as to the total number of farang and Thais in the condo complex.

Foreign land ownership is forbidden in Thailand. So, the best that a farang can do is to lease the land and own the house. The lease is good for 30 years and beyond that is anyone’s guess. Some web sites say you can get an additional 30 years and other sites say that there is no guarantee.

Another option is to incorporate yourself as some sort of company and lease the property back to yourself as an individual. This is in the gray area of Thai law and one that I wouldn’t use. I have friends that have done this and so far it is Ok but I worry about the future.

Lastly is something called a usufruct. Googling this will probably give you more information and a better explanation than I can provide. All I know is that is the option that a lawyer recommended to me and I will pursue further on my next trip to Thailand. He claims it is similar to a lease but has some better advantages. He will have to convince me.

Regardless, it will be the lease or the usufruct. Either one should allow me to have a place in Thailand until the day I die or whatever happens to the property after that I really don’t care about.

There is one final solution that I highly DON’T recommend. You can place the property in your Thai wife or girlfriend’s name. She will then own the property outright. There is a minor technicality that she has to prove that she provided all the funds for the real estate – but that is an easy lie to cover. The problem with this solution is that since she is the owner, she can do whatever she wants with the property. You could take a two week vacation and come back and find that your house has been sold and your honey is gone. This is definitely not advised.

Check with your lawyer and find the way to purchase/lease property for your retirement. While you have your lawyer’s ear, check on pre-nuptial agreements and an enforceable will. Don’t conduct any transaction of this nature without the advice of a lawyer.

Staging your las vegas home for a sale

Putting your Las Vegas home on the market is one thing, but adequately preparing it for buyers is a whole different matter. Home staging is the term used by real estate professionals to help prepare your house so that it will look its absolute best. Realtors will tell you that buyers usually make a decision about a home within the first ten seconds of their visit. Therefore, a wonderful first impression is imperative if you are to sell your home quickly. Should you stage your Las Vegas home? If so, what exactly is involved with home staging?

Although your real estate agent or broker is knowledgeable and skilled on how to market your Las Vegas home, they may not be particularly adept at interior design. That is where a home staging professional comes in. If you use one, they will work toward helping you eliminate clutter, rearrange furniture, and improve your home’s curb appeal. This may involve moving a painting from one wall to another, removing a bulky chair out of a crowded room, trimming the front yard shrubbery, etc. In some cases a Las Vegas home staging professional may recommend that you bring in additional furniture, but you must realize that there is an extra cost involved if you choose that option.

Your real estate agent should be able to refer a home staging professional to you. Most Las Vegas home staging professionals will offer a free written estimate of their recommendations and services. Ask for references from the home staging professional and call them to verify their work.

If you choose a professional who truly excels at home staging, you could recoup the costs of this service through a higher selling price.