Daily Archives: February 4, 2010

You Can Become a Real Estate Entrepreneur Through a Real Estate Grant

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real estate96 You Can Become a Real Estate Entrepreneur Through a Real Estate Grant


Grants are generally given by the government to non-profit businesses or those who are looking to help improve the economy with whatever services they have to offer. However, the Real Estate Apprenticeship Grant is one of the grants that are actually allowed for those looking for a profit. If you are looking into getting into the world of real estate then you should look into getting this real estate grant.

The Real Estate Apprenticeship Grant program involves giving training and help to those who are interesting in getting into the real estate world. Grants that total a million dollars in worth are given out every six months. With the assistance that these real estate grants give to people they will be able to get the training and education that they need in order to get into the world of real estate and be more successful in it.

A real estate grant like this can greatly help you out with getting the money that you are looking for. Depending on the type of real estate grant you will be getting as a finalist for a real estate grant you can get about seven thousand dollars worth in assistance that include various different items. Your licensing fee will be compensated, for instance. You will also get a provision to attend classes from RealtyU School for a year. You will also receive online access to real estate mentoring services.

With a real estate grant you will also be provided with Transaction Manager. This is a software program that stores information on each transaction that you make and calculates all of the due dates that you will need to have for your business and all of its transactions. This can help to make your business more effective and organized.

You will receive free counseling from McLean International Counseling with your real estate grant. This will help you out with finding the business system technology that you need for your business.

There are various other things that you will also get with your real estate grant. A marketing startup package will be provided to help you with your marketing goals for your business. You’ll receive various real estate books and demographic information books on various markets. Express Copy will give you free printing services, and you can get a mortgage calculator too. You’ll also get a membership to the Real Estate Cyberspace Society and a subscription to Broker Agent News and National Real Estate Magazine.

In order to get your real estate grant you must be a graduate of a pre-licensing course at a real estate school that is accredited. You should have taken the class during the application season for the real estate grant. If you have passed examination you can be eligible for a real estate grant if you have passed a license test within those six months for grant awarding.

You can apply for a real estate grant today online at realestateapprentice.com/apply.cfm. This application will assess your skills and motives to be a real estate entrepreneur. Remember to bring proof of eligibility, and don’t forget that you will be interviewed if you are a finalist for a real estate grant. Also, a real estate grant is not tax-free and cannot be given to those who work for financial institutions, title companies or insurance companies as a full-time employee.



What is Real Estate Investment Trust

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real estate88 What is Real Estate Investment Trust


Investing in income property can be a great way to increase your capital. But for many people, investing in real estate, especially commercial and industrial real estate is just out of reach from the financial point of view. But what if you could join forces with other small investors and large investments in commercial real estate in the group? With Real Estate Investment Trust, you can do it!

REIT means Real Estate Investment Trust, and is sometimes referred to as "real estate holdings." Real estate investment trust is a companie that owns and manages a portfolio of real estate and mortgages. Anyone can buy shares of the REIT. Real estate investment trust offers the benefits of real estate without the headaches or expense of the landlord. Said another way the investor has the benefits of real estate ownership with no management role in the toilets and tenants.

Real Estate Investment Trust of certain types offers great benefits of liquidity and diversity. In contrast to the actual ownership of real estate, these measures can be quickly and easily sold. And because you invest in a portfolio of real estate, rather than one building, it comes with less financial risk.

Real Estate Investment Trust was created in the sixties when Congress decided that small investors should also be able to invest in large-scale, income-generating properties. It was found to be the best way to make it a model of investment in other sectors – the purchase of shares.

The company must distribute at least ninety percent of their taxable income to shareholders each year as a Real Estate Investment Trust. Most Real Estate Investment Trust pays out one hundred percent of their taxable income in dividend distributions. To maintain its status as a pass-through entity, Real Estate Investment Trust dividends are paid to shareholders annually.

From 1880 to the 1930′s, a similar provision in place, which allows investors to avoid double taxation – paying taxes as private and business – were convinced, because they do not pay income tax if the income is distributed to beneficiaries. It was abolished in the nineteen thirties, when the passive investments are taxed at the corporate level, as well as part of the profit tax. Real estate investment trust supporters were not able to change the law to overturn the decision within thirty years. Due to high demand for real estate funds, President Eisenhower signed the nineteen sixty Real Estate Investment Trust as a REIT tax pass-through entities.

The company must comply with all other requirements to qualify as a real estate investment trust and to win passage of a person. They should:

1. Be structured as corporation, business trust, or similar association

2. Be managed by a board of directors or trustees

3. Offer fully transferable stock shares

4. Have at least one hundred shareholders

5. Pay dividends of at least ninety percent of the REIT’s taxable income

6. Have no more than fifty percent of its shares held by five or fewer individuals during the last half of each taxable year

7. Hold at least seventy five percent of total investment assets in real estate

8. Have no more than twenty percent of its assets consist of stocks in taxable real estate investment trust subsidiaries

9. Derive at least seventy five percent of gross income from rents or mortgage interest

At least ninety five percent of a real estate investment trust gross income must come from financial investments (in other words, it must pass the ninety five-percent income test). These include rents, dividends, interest and capital gains. In addition, at least seventy five percent of its income must come from certain real estate sources (the seventy five percent income test), including rents from real property, gains from the sale or other disposition of real property, and income and gain derived from foreclosure of property.

This article was written by Robert Shumake, CEO of Inheritance Capital Group, LLC and founder of http://reitbuyer.com/ an online service for people who wish to invest in real estate without the headaches and liability exposure that go with being a landlord. Visit Robert’s website to learn more about Real Estate Investment Trust.



Top Real Estate Agents

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real estate77 Top Real Estate Agents


The Real Estate sector has grown immensely over the past few years. With the revenues ranging from twelve million dollars it stands at an estimated growth rate of thirty percent. Further to elaborate the Real Estate sector stands at the second position in the Indian Economy today. With such huge figures and promising sector the Real Estate sector today invites and attracts many of the professionals who either hold expertise in the Real Estate sector or the young professional who would seek an opportunity to grow in the Real Estate sector. Like every other sector the Real estate sector today attracts many professionals as it promises high growth rate and prominent figures. Hence we find various key players in the Real Estate market today. To recall some of the key players are Real Estate Agents, Real Estate Brokers, property Brokers, Real Estate Consultants, Property Agents, Property Consultants, Real estate Retail, Property Retails, Property Experts, Real Estate Experts and among all those professionals that specialize in the property sector and help in the growth and strengthening of the Real Estate sector. Among all, the one key player that plays the most important role and also maintains the regular updates in the field of Real Estate sector are the Real Estate Agents.

Finding these agents today at every nook and corner of the road to satisfy the increasing demand of the property in the market, these Real Estate Agents are an essential part of the Real Estate sector. The key role as discussed in the previous paragraph of these Real Estate agents are to help the clients in any investments that are planned or are made in the property sector. It is ole their responsibility while they accept the client that they ensure the smooth and easy transaction of property either while purchasing or while selling of the property in the due course of time. Being a part of the Real Estate sector the Real Estate agents are like the basic units of the Real Estate sector like the cell to the living identity. The Real Estate industry offers many services to the clients and so does these Real Estate Agents. The Real Estate agent may tie up with various aligned industries like Architecture, Manufacturers, Builders, Interior Designer and other who can help the property to be customized in order to create a demand and also increase the churn of the property. They would serve from the sale purchase to the agreements and also customization of the property for the client. To conclude one can say that the Real Estate Agents are a bless to not only the Real Estate Sector but also to the clients, with their expertise they help both to gain profits with the self motive to run their lives and earn break and butter. To keep in mind, as suggested always it is an important part for the client to gain certain expertise from the news, articles and various other sources available to them in order to make the transaction error free and smooth in the course of time.
 



The Residential Real Estate Buying Process in Austin Texas

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real estate54 The Residential Real Estate Buying Process in Austin Texas


Decide to Buy

The first step in buying a house is to try and understand what you hope to achieve. When you begin to think about buying a new house, there are many questions you should ask yourself such as: Why do I want to move? How soon do I want to move? How long do I plan on living in the home? For some people renting or putting off buying makes sense. Expect to commit to your home for 3-5 years if you want to avoid losing money on the home.

Needs Analysis

Once you decided that home ownership is right for you will want to decide a few things: What are the most important features to you in a house? How much do you want to invest in your home? Initially? Every month? Do you have lifestyle changes coming, such as adding a baby, having kids move out, or retiring? What part of town do you want to live in? What school district do you want your kids to go to school in? Once your goals are clearly defined you have your target.

Get Pre-Qualified

An important part of the home buying process is to be qualified for a loan. You should get a “pre-qualification” letter before you start actively looking for a house. Most lenders can provide this over the phone or with a simple 1-page questionnaire. This typically takes 20 minutes. Some data you should have ready is your and your spouse’s name, address, phone numbers, social security numbers, and past two years of employment, residential, bank, asset and debt information. If possible, you should try to get pre-approved for a loan which is a more serious level of commitment from a lender than a pre-qualification. To receive a loan pre-approval, all employment and credit is verified. This will mean that you are approved for a loan, subject to a final credit check and an appraisal of the subject property.

Make sure to inquire about all loans costs (origination fees, discount points, etc) and find out about closing costs. Closing costs are the fees for services, taxes or special interest charges that surround the purchase of a home. They include up front loan points, title insurance, escrow or closing day charges, document fees, prepaid interest and property taxes. Studies show that the closing costs, which can average 2 to 3 percent of a total home purchase price, are often more costly than many buyers expect. Unless, these charges are rolled into the loan, they must be paid when the home is closed. Finally, make sure your lender provides a Good Faith Estimate according to the Truth in Lending Act (Regulation Z). This allows you to “compare apples to apples” between different lenders.

Home Search

After you’ve found a house that you like, fits your needs, and has potential, you’ll need to prepare an offer. Determine whether or not the house is priced fairly by doing a thorough Comparative Market Analysis. Then review the seller’s disclosure and make appropriate adjustments and write your initial offer. Offers should include an earnest money check (made out to a title company), and an option money check (made out to the seller).

Some of the words in the previous paragraph may not be familiar to you. Let’s look at them:



Option Money – a check made out to the seller in exchange for the unrestricted right to terminate the agreement for a specified number of days. This is not found in many states.



Earnest Money – a check made out to a Title Company as a show of “good faith” that you are seriously intending to buy the house. The amount is usually around 1% of the home’s value.


Escrow Account – a special account administered by the Title Company that holds your earnest money until closing.



Title Company – a company that verifies the validity of a title and offers insurance to protect against problems with any liens on a property or clouds on a title. This company also conducts the closing.



Closing – the actual process of transferring the title of a house from the seller to the buyer (including assigning any liens to lenders for mortgages).



Inspection and Repairs

To protect your best interests, have structural and systems inspections done by qualified inspectors of your choice. Your lender will typically also require a termite and wood destroying insect (WDI) inspection. The inspection is a great opportunity to ask questions about your prospective home and learn important information about where everything is and how it works.

When the inspection reports come in, you will need to decide if the home is acceptable “as is”. If you require repairs to be made, then you will have to negotiate with the seller. At that point, you make a counter offer to the seller requesting either that the repairs be done before closing or extra money to be given to you at closing to cover repairs. The seller can either negotiate these points with us or decide to not continue to negotiate. If the seller rejects the offer and you do not want to buy the home as is, the contract falls through, the seller would be free to accept another offer, and your earnest money would be returned to you. If you come to terms an amendment to the contract will be made and we will waive our option to terminate. Then you will contact your lender to request an appraisal and start planning your move. A day before closing or on the same day, it is recommended that you walk through the house to make sure that everything is in order. This protects you from closing on a home that has been damaged in the move out process or that has been taken possession of by another party.

Closing

The exciting day is finally here! You will review the settlement statement (HUD-1) so that you can clear up any questions before closing. Possession of the home generally happens the same day that papers are signed, but sometimes a snag in the funding of the loan will cause a delay in possesion. For this reason it’s best to allow an extra day (or more if we are closing on a Friday or day before a holiday) before you need to be able to move in.

After closing you should file a change of address. File an official change of address form at you local post office or online in the advance so that your mail delivery will not be interrupted. Many corporations, such as credit card companies and magazine subscriptions, take 1 or 2 months to process a change of address.

Congrats! You are now a proud homeowner!



Real Estate Investing: Flipping Properties

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real estate64 Real Estate Investing: Flipping Properties


A lot of people these days are preaching about the buying and holding method of gaining wealth with real estate. There indeed may come a time in your life or business when you’ll want to hang on to a piece of property, although you’ll only be interested in keeping certain types of property. If you’re just starting out, flipping a house may be an ideal way to get started.

Basically, there are three ways that you can flip a house, although each one has its own terms, motivation, and type of property. The first method is known as retailing. What this means, is that you buy a house in bad shape, do the repairs to fix it up, then turn around and sell it. There are a variety of houses in need of repairs out there, and several ways that you can quickly flip a house to net profit. All you need to know are the techniques that will get you the most money in the least amount of time.

The second way you can flip a house is though wholesaling. Wholesaling involves finding a home for sale then flipping it to an investor for a fast, yet small profit. To do this, you’ll need to know the real estate investors in your area, the types of homes that flip the best, and how to fund your property so you can flip it to them. If you live in a big area or a city, you’ll find that using the wholesaling method of flipping houses is actually easier to accomplish.
The third way to flip a house is by assigning the purchase. Using this method, you’ll commit to buy the house. Instead of closing the deal yourself, you’ll assign it to a real estate investor – of course for a small fee. The investor will take the contract over and close the purchase themselves – flipping the house. This can be very profitable, especially if you invest in the right home. You don’t need to have your contract worded any special way to be legal, although you will need to determine the assignment fee.

If you’re looking to break into the real estate market and make big bucks, you’ll need to learn all about flipping houses. Flipping houses is very profitable, especially once you have learned the basics. The first and third methods are the best, although they will both take quite a bit of work on your part. Restoring homes isn’t easy, and you’ll need to have a team qualified to handle any repairs. Assigning the purchase may be difficult when you first start out, although it will get easier with time. If you stay at it and do your best to make a profit – you’ll be an expert at flipping homes in no time at all.