Always remember, though that you are not required to carry out an official house examination until after committing yourself to the initial sales agreement, therefore it is probably best to know as much as possible regarding the shape of the house through an genuine talk with the seller and perhaps doing your own inspection at which you can actually check for fundamental structural problems.

Almost all sellers are amenable to letting you check the property before you sign any sort of contract, and this will give you some sort of leveraging influence when you are bargaining the closing value. The book by Barron entitled ‘Smart Consumer’s Guide to Home Buying’ really encourages all potential homebuyers to make a list where they can note every issue as well as areas of concern immediately. The books’ authors explain that, “If you are thinking about buying a house that will need renovation or upgrading, the more value will be derived from your mini-inspection.”

Think about developing an inspection list for a home examination report to help you do a good checking of the home and note down the overall look of the said house. The following are a handful of the essential areas for you to check:

Know about the age of the house – you will want to know exactly how long since the home was built, what types of renovations took place on the home site, as well as ask for any engineering and architectural plans on hand.

Check the foundation for possible problems – be on the lookout for significant chips on the walls and floors or perhaps noticeable water piping problems around the house and also in the cellar. Ask regarding flooding issues or weather-related problems which have resulted in problems, big or small, on the home in previous seasons.

Examine the details of the house, especially the interior, for damages and other potential problems – you’ll want to ensure that all doors are functioning properly and also that all the walls are flat and free of cracks. Make a note of any visible cracks or deterioration and make sure you also take pictures of any issues that easily stand out. You will have to examine potential problems of molds and odors and make sure water pipes are kept clean and functioning properly.

Check out the exterior for potential problems and other damages – do all of the windows and doors have sufficient insulation? Are they well-maintained and properly functioning? Make sure all the windows, doors and sidings do not have chips nor any noticeable damages.

Check heaters and air conditioning equipment – ask with regards to the average heating and cooling costs over a year, and also ask how long the systems have been around. In some cases, you may need to spend money on a new heat and air conditioning systems.

Along with the actual examination report, you could consider taking pictures and also videos with a digital camera so you can look at the actual inspection in more detail later on. The extra coverage and footage may give you with a better position throughout the negotiation process with the owner.

Alexandria P. Anderson is a licensed Minnesota Realtor that helps people to find and purchase Plymouth Townhomes as well as Plymouth Lofts in the Twin Cities of Minnesota.

categories: real estate,real estate investments,real estate investing,real estate – investment,real estate – buying/selling,real estate-housing,finance and investing,finance and investment,finance and investing,finance – investment,home buying,investing,investments

OK…Hey Doc..what do you mean “Tool Box”. Okay…let me explain it ad tell you the 3 important areas that make it up.

1)In your head tool box: This is all about how your thinking process works when it comes to investing, and more importantly how open minded you are about investing information. Are you willing to think outside the box in order to look at investment opportunities or must the investment fall within a cookie cutter method you having? In your head means you need to read books, articles, partake in discussions, and basically interact with that big grey hunk of goo that is in your skull.

Simply put..it is the mental list you use when you start thinking about investing. the “what’s, where’s and how much’s”.

THINK ABOUT THIS: Every book store has some vast collection of books on real estate investing. You should take the time to add them to your reference library at home. Why? Because if some guru writes a book on RE investing that sits on the national booksellers ten best for 35 weeks…what do you think the chances are some one you will deal with has read that book? If you know what factors some one uses to make a decision…you have a better chance of influencing WHAT THEY DECIDE.

2)Your on-line tool box: Most investors use the web daily. Its a great information source, but most investors also have tunnel vision when they are on the web. we get stuck using a few websites that we think are the best at that will cover all our needs. WRONG answer. This causes a type of blindness I call “INFO INPUT SHUT DOWN”.

The answer is very easy it’s called the opt in newsletter/update. Here is how it works.

Just go to the free email server of your choice…create a new email address that you will use to collect email updates/newsletters from various websites. then go thru them at your leasure.

Now dont be to hasty and unsubscribe after the first email. More often then hot the newsletter/updates dont deliver the “meaty info” in the begining…more often then not it comes as a series of newsletters. Look for Investment clubs that offer news letters as well as blog sites, news sites, etc. Any reference sits you can find I recommend bookmarking.

To me most pop up ad based newsletters are a waste of time. I prefer to find the newsletters that are written by people who ACTUALLY invest. I prefer to get reviews of SEVERAL porducts/methods or tools that some one else actually uses. Those to me are the gems that I try to subscribe too.

The most inportant sites to me are the ones that make the investing game easier. sites that offer me something for free or VERY little cost out of my pocket. Some websites have tools that you just cant wait to try out. (I will admit I have a few sites I visit daily just to play around on and try out the tools they offer) When you find them you will know it…once agian bookmark them.

3) Physical tools. tools we would use in the field. this can be anything from a lap top to a great flashlight for crawling under a house. (I know a ton of investors who get “EYES ON” when it comes to real estate. One of them keeps a jumpsuit in his trunk just incase he needs to dive under a house to check the foundation…by the way…the man is a millionaire several times over and is a very young 64 years old.) These are the tools we need when we need them..I am a huge fan of “dont fail me tools”. Flash lights, a good go by list, circut tester, actualy mortgage calculator…etc.

So there it is..the outline to your toolbox. Build one…update it often..and USE IT DAILY.

Doc Schmyz has invested all over the US and Canada. He built a free website shares Real estate investing information for all over the US. Find real estate information by state

Related Blogs

• Related Blogs on real estate investing
• Real Estate Investing Tips For Today's Market | Investing Blog
• Real Estate Investing 101 | Investing Blog
• Real Estate Investing Strategies For Today's Market | Investing Blog
• Clubs

The biggest advantage you have on marketing your property online is you can add all the detail you want. You can mention the reasons that originally sold you on your own purchase as well as a full explanation of why you have done any and maybe all upgrades. You can also list the valuable points of interest with in the area…how close is the local elementary school??? Is there a major chain supermarket within walking distance?

Use your own photographs to showcase your property. Make them as appealing as possible and choose the best time of day and the best weather conditions to best promote the property. Cast a critical eye over the photos before finally making your choice. First impressions count and these pictures are your biggest asset in marketing your property.

Don’t discount the use of online video as well. The human animal is much more attracted to watching “moving pictures” then looking at even the best professional photographs. it comes from our hard wiring when we use to sit around a campfire and watch the flames. It is not hard to get your video online most sites have small tutorials to help you with getting your media online. For that matter if you have a teenager in the family..ask them…most kids these days are far more computer savvy then most adults.

Placing your own property online is far easier then most people think…the hardest part is conveying the quality of the property and the passion you had while you owned it.

Doc Schmyz has worked with investors all over the US and Mexico. His free website shares Real estate investing information for all over the US. Find real estate information by state

categories: forclosures,investments,real estate investing,real estate investor,real estate,real estate – advertising,real estate – buyingselling,finance,retirement,wealth,investing

1) The market has had slumps before…and money was still made.

2) Not every deal will fall into a cookie cutter format.

3) Not every tactic or idea works in the same in every part of the country. ALWAYS check local laws pertaining to real estate transactions.

The above being said let’s move on.

So the market has taken a big drop this doesn’t mean that you, as a real estate investor/professional, are out of luck. It only means you need to add new tricks and tools to your tool box. (Be warned I use “tool box” a lot.)

Finding Deals and Marketing property

Besides the normal channels of real estate agents and brokers (still the best way to find good investments in my opinion) you have a vast amount or resources at your fingertip with the Internet.

You can join website communities for investors, follow blogs, get in on group discussion etc. You can even start your own website for investors and network. All of these things can lead to new and interesting deals.

Several of my investments have come to me via a web community of some sort. I also have gotten countless tips from other investors on investments and financing issues. Do not over look the value of belonging to an “investor community website.”

I honestly feel that in the upcoming years the majority of investing will shift to being web related. Not just in finding investment projects but in doing the research for them as well as the funding process and the majority of the marketing/exit strategy as well.

Finding financing

Everyday we are hearing about how the current market and credit crunch is making getting loans harder for everyone. This is currently a fact. No way around it. The loan process has changed. So what options are left?? The answer is several.

Lease options. Assumable loans. Seller financing.

The above mentioned will become the big trends in the next couple of years. I am waiting to see the lenders change the loan guidelines in the next few months to “re introduce” the assumable loan. We are already seeing a HUGE trend in short sales. (This was a practice that was used only in limited capacity in the last 10 years by most lenders now it seems like every other distressed listing is a short sale in some cities.)

Do not let the current market conditions scare you in to sitting this investment period out. To the contrary use it to inspire you. Take the time to do the research on finance options look into building a LLC perhaps. Find out about buying real estate with your IRA. Etc, etc.

Read investment the strategies of the big names in investing. Use the time to educate yourself and above all be creative.

Don’t run for the hills when you should be shopping in the valleys.

Doc Schmyz has worked with investors all over the US and Mexico. His free website shares Real estate investing information for all over the US. Find real estate information by state

categories: real estate investing,real estate investments,real estate investors,real estate investor,real estate,real estate – advertising,real estate – buyingselling,real estate – consultancy real estate – finance,real estate – insurance,real estate – investment

A cautious and methodical approach is best in this decision making process. Keeping that in mind, here are some critical area’s that must be considered when looking at real estate bargains for investing purposes.

Nothing on this list is really more important than anything else. Its just here to get you to think about what exactly you need to look for. While you may have an investment that excels in one area…it cant be problem heavy in another.

I give you…THE LIST:

HOW MUCH AND WHY

Most investors focus on price first.

They search for properties they think are selling below market value. This makes sense buy low and sell high right?? However think about the reasons behind the sales price? What is their motivation? Are they relocating or in financial duress? The 3 D’s come in to play here most of the time. (Death Divorce, Debt)

Are there problems with the property that will cost a small fortune to fix? Out dated plumbing??? Poor electrical wiring? In older houses these problems are VERY common. Dont forget to consider holding costs.

In my opinion the most common over looked profit drainer is underestimating the liquidation costs of holding and selling the property. Things to keep in mind and budget into your holding costs are: commission payments to real estate agents, closing costs, mortgage payments, taxes, plus repair and maintenance costs. Also electric and water.

Poor determination of true market value is another obstacle to the successful deal. Market value is essentially a subjective exercise where the true value is not known until someone buys the property.

YOU MUST ANALYZE similar properties in the area. Keep in mind that prices are set at the margins and may reflect the extremes of a particular housing market environment.

PAY ATTENTION TO TERMS AND CONDITIONS

While price and location are important; don’t discount other profit leveraging tools like the terms of the financing.

In some cases a full price purchase can allow you to leverage the terms to mean a lower interest rate or smaller down payment.

RESEARCH THE LOCAL MARKET

Good investors get in the habit of understanding the lay of the land. What is the local community like? Where are the closest fire/police/EMS services? How good are the local schools? Don’t rule out these questions. Make sure to look in to the last houses sold in the area as well as any selling trends you can find.

As the man said…it is all about location.

Most investors think location is the second most critical thing in the investment next to price. Truth be told…it is only critical if you are looking for a long term residence/renter scenario. If you can make a great profit on an ugly house in a less then great area. It may out shine the “perfect condo” by the beach.

FIX AND FLIP AND FORECLOSURES

In the case of a fix and flip and sometimes a foreclosure. It is the job of the investor to factor in the repair costs. A keen eye can save you lots of money in a very short time. (Not to mention a good understanding of home repair work)

Fixer properties are a treasure trove to a savvy investor. If you have a good eye for details and can spot maintance problems you can make a nice return on your investment. Things like a bad roof, poor plumbing or a bad foundation can be very costly to repair. Once you have an idea of what youre looking at for repair cost, do yourself a favor and add a little buffer say 5%…just to be safe.

Know what it is ZONED for.

Sooo you want to add a third bedroom and second bathroom huh?? Is it zoned for that? Worst thing in the world to have happen is to find out you could have made a pretty penny profit IF you had know what the land was zoned for. ALWAYS ASK.

These are often bargains because the price is based on current use. So the single unit residential is priced low while the double unit duplex could be sold higher or rented out. Harder to find as developers stay more aware of zoning allowances these days.

Watch out for “Owner conversions” where owners, aware of the zoning ordinance, have made changes without the oversight of the local building authority. Garages being converted to second units on a duplex lot are common examples.

Doc Schmyz has worked with investors all over the US. He owns a free website that shares Real estate investing information for all over the US. Find real estate information by state

categories: real estate investing,real estate investments,real estate investors,real estate investor,real estate,real estate – advertising,real estate – buyingselling,real estate – consultancy real estate – finance,real estate – insurance,real estate – investment

The author of “Tips and Traps When Buying a Home”, Robert Irwin, recommends using a checklist when searching for a lot as a first time home buyer to avoid missing any critical details. Here are some essential tips that you can use to help you find the right property to build on:

1. Map out the nearby towns and cities. If the property you are considering is located in a rural area, you would have to know how far away it is from the nearest town and city. This is an important factor to be aware of since you might have to commute from your future home to work. Take the time to find out what your travel time is and what access roads to take so to get to the places you might need to go to like schools or hospitals.

2. Review natural features. How many trees are in and around the lot? Do you have access to a lake? How far is it from your new home? Many first time homebuyers overlook these important details when they have found what looks to be like their ideal lot. However, building a house that is very close to a lake or a forest means you may need to deal with wildlife and flooding during certain times of the year.

3. Source of water. If you will build a home in an urban area, it will be easy for you to get a source of water. This may not be the case especial if you plan to buy a lot in the countryside. You may have to work with a private water company and find ways to bring water to your home.

4. Find out the soil quality. When you plan to build a new home, you have to know the quality of the soil you will be building on. This is an important factor as it will ensure that your new home is going to have a solid foundation. There are professionals you can hire to assess the soil quality of the lot if you do not know how to check it.

5. Review building options. If you are located near a national forest, a wildlife preserve or other major landmark, there may be restrictions on what you are allowed to build in the area, and how much you can renovate or remodel. Make sure you understand all of these restrictions (if any) so you’re not investing in something you might regret later.

Aside from assessing the physical features of the lot, you have to review the title in detail. Find out if it is a clear title and if there are no easements of any kind on the lot. Try to use these tips to help you find that ideal lot to build your dream home.

Alexandria P. Anderson is a MN Investment Property specialist. If you are a Minnesota First Time Homebuyer she can help you to find real estate that’s perfect for your needs. Get a free copy of “The Investors’ Rental Guide” at GreatInvestmentProperty dot com.

categories: real estate,real estate investments,real estate investing,real estate – investment,real estate – buying/selling,real estate-housing,finance and investing,finance and investment,finance and investing,finance – investment,home buying,investing,investments