Important Property Investment Secrets

Image via Wikipedia

---

There are times in your life when you have the opportunity of getting really good advice that has the potential of changing your life and to give you the encouragement to achieve your dreams. I recommend that you investigate the full potential of investing in property and perhaps if you are serious about changing your financial future then you may consider taking some really good advice from the experts. Once you have received all the necessary information, then you can make an educated decision about whether this is for you and if so, avoid making all the most common property investing mistakes that could lose you a fair bit of money in the process and not have the need to say if only I had have taken some advice.

---

Six Property Terminologies Every Investor Should Know

---

By Elly Graham

---

Important Property Investment Secrets
I am aware there are a lot of real estate investors who say that they will go it alone with their property investing and that they know how it is done, but these people tend to make many if not all of the most common property investing mistakes, which has the potential to lead them to either financial ruin, or else they may be totally oblivious to the money they are losing along the way, through ignorance. Do you want to retire early and have a fun and exciting life with lots of investment properties in your portfolio? Just imagine what it would be like for you if at the end of your property journey you have loads of cash to live a life of freedom with no money worries. Let's investigate and consider the following real estate investing strategies.

STRATEGY 1: MAKE A PLAN

The first thing that is very important is that you need a plan. In other words have a big dream, know where you are going and start mapping out where you want to be. It is so important to have a goal to work towards, therefore:

1. Set goals
2. Develop a plan for achieving those goals
3. Remain focused and take action on implementing your plan.

With clearly defined goals you can easily devise a plan and with an end result in mind you can easily work towards your dream. This dream must be your dream and not someone else's this will ensure you stay focused and motivated at all times even when things may not be going quite as planned. However in order to turn your dreams into reality consistent action is required. And a plan will enable you to do so and can be achieved by following these steps:

1. Set your property goals and write them down.
2. Set a time-frame for your goals.
3. Identify the things you need to do to achieve your goals and put these into little bite size pieces.
4. Take immediate action and remember to review your plan on a regular basis to make sure you are on track.

STRATEGY 2 - GET A MENTOR

It would be a good idea not to ask family and friends unless they are expert property investors. I would recommend that when it comes to financial decisions and investment planning you need a proper coach. Just think about all the famous sports stars and millionaire identities and you will realise one important thing about them and that is, one of the reasons these people are mega-rich and successful is because they all have a mentor or coach. They fully understand that seeking the personal guidance of those who are experts in their field to assist them in getting to the next level. A mentor is accessible to you either in person or through books and you can be in contact with them either by email and phone calls or else you can follow them around by attending their seminars or talks.
Mentors use their experience and knowledge to guide and motivate you towards the goals you set yourself and generally they are happy to do so encouraging you to reach for the stars and often assist you to get out of your comfort zone and move you to the next level of success. They are happy to support you every step you take on your journey to the top! In order to find a mentor you need to start by keeping your eyes and ears open to identify the best people from whom you can learn professionally. Funny thing, when you seek you will find. No point in saying who will mentor me and why would they anyway? Simply be on the lookout and ask lot of questions. Find a mentor that has a good reputation and who has a proven track record a real estate investor and has built long term wealth, obviously, someone you look up to and is successful in the field.

STRATEGY 3 - FIND A REALLY GOOD PROPERTY INVESTING NETWORK

Align yourself with a property investing network or group consisting of experienced people and professionals. Here are some simple measures you might want to take to help you easily identify a good Network.

1. Find out what the network, are they ethical do they share your core values.
2. Check and ensure those professionals in the network are all registered in their field of expertise.
3. Speak with other property investors to find out the reputation of the property network and get the network to provide you with testimonies from past clients.
4. Make sure to conduct your research into any information the network provides you.

These measures will go a long way in protecting you and help you identify the best advice and support that you can find.

Image via Wikipedia

STRATEGY 4 - DO NOT LISTEN TO NEGATIVE FRIENDS AND FAMILY

Although friends and family may have your best intentions at heart the advice they give is not always the best for achieving your personal goals and realising your dreams. Therefore you would be well advised to:

1. Remember your personal and financial position will be quite different from others therefore you may want to consider this when someone gives you advice based on their own financial position.
2. Think twice about taking advice from someone who has made bad financial decisions.
3. Be aware of the area of expertise your advice giver has and see how that relates to the advice they are giving.
4. Only ever take advice from people who have already achieved the goals that you are aiming for as these are the people with the experience to help you navigate any obstacles you will face.
5. Refer back to your investment plan and be sure to keep on track.
6. Find yourself an experienced property investor to act as your guide and mentor and keep abreast of the current property market.

STRATEGY 5 - DO YOUR HOMEWORK

You are taking the right step in reading articles such as this one, we are in the age where timely, accurate information is a highly prized and sought after but remember that information is always changing. To be confident in all your investment decisions you need to have instant access to relevant, up-to-date information obtained from reliable sources. Keep in mind also that you will always find what you are looking for therefore look for positive things about the property investment market don't look for negative because there are always people out there with negative input and negative experiences. As with most things, information gathering and analysis is a time-consuming process. It also requires a certain level of expertise to be able to sift through all available information to find which is relevant to your requirements. In an age where we are constantly bombarded by information from all angles, this activity can become overwhelming and coupled with our everyday responsibilities such as family, jobs and social activities the tendency is to drop the ball. Therefore to learn from the experiences of others it would be recommended to:

1. Always investigate every opportunity before investing.
2. Ensure you have every detail of the investment thoroughly explained.
3. Ensure you understand your legal documents and that they are accurate.
4. Once you have secured your properties then continue to conduct your due diligence remembering that your investment is your responsibility and only yours so you will then not point the finger at others if things go wrong.

STRATEGY 6 - ENSURE YOUR REAL ESTATE INVESTING STRATEGY IS DONE FROM THE HEAD AND NOT THE HEART.

In other words, investing has nothing to do with emotions and everything to do with financial returns. For instance it does not matter if you prefer to live in a quiet country lane or in an older house away from railway stations, big malls and entertainment. You are not going to live in it - it is an investment and you have to look at it from that point of view. Good idea for instance to purchase your property when everyone else is selling and sell when everyone is buying! Remember: it's all about your return on investment - let the figures and supportive information do the talking and not your personal preferences. Therefore:

1. Obtain and assess relevant information.
2. Refer to your investment plan.
3. Never lose sight of the reason you are investing, to make money - preferably loads!!

If you have read Robert Kiyosaki's bestselling book 'Rich Dad, Poor Dad' you will understand that profit is made at the time of buying and realised at the point of selling! The housing market can go up as well as down and when the market is on a downward trend you need not worry so long as you hold on to your property for the long term. Do not do what the majority of people do which is sell.

1. Adopt the purchasing at below the 10% below market value mindset whenever possible.
2. Look into wholesale real estate investing, e.g., direct from the developer.
3. Sharpen up your negotiating skills. Read Donald Trumps' bestseller 'The Art of The Deal', get good assistance with finding the ideal property and close the deal.
4. Do not sell; remember this is a long-term investment; use your current property as equity to purchase the next property, or else if you sell only do so to purchase another property or appreciating asset.

Right - you are now one step away from being well ahead of the pack. Final Word: Follow these strategies, the earlier in life the better and one day you too will have your name listed above with the mega rich and very successful real estate investors and have for yourself long-term wealth. You will find the above strategies a very good start to see you safely on your way to success so take your newly obtained knowledge and have the edge on others: 'Knowledge is power but only when combined with action!' Start today, right now and take the necessary actions required, go on it isn't as hard as you think it is.
Author Elly Graham is a mentor who provides free information, she has a mentor too, Jim Downs, Author Appreciating Assets. Elly provides support and guidance on personal development and personal empowerment for people looking into property investment advice

---

Article Source: http://EzineArticles.com/?expert=Elly_Graham http://EzineArticles.com/?Important-Property-Investment-Secrets&id=6785060

---

Related articles

• The Pluses and Minuses of Investing that You Should Look out for (pro2sell.com)
• U.S. is top 2012 property investment pick (thehimalayantimes.com)
• U.S. Remains Top 2012 Property Investment Pick, Survey Finds (huffingtonpost.com)
• A Beginner's Guide to Investing: How to Grow Your Money the Smart and Easy Way (pro2sell.com)
• The Annual Get Smart with Property 2 Day Workshop (chanandnaylor.wordpress.com)

Image by cycomer via Flickr

Smart Guide to Investment Property

---

Source: www.moneymanager.com.au

---

Buying a small apartment to rent out can be a good way to accumulate funds so you can eventually buy your own place, in an area where you want to live.
What you'll learn in this step: Sensible investments in property residential or non-residential have many benefits, including capital growth.
Property has been a popular route to wealth for many Australians for many years.
Buying their own home is often the first investment many people make; purchasing another property may well be the second even before shares and other assets.
But your first investment in property neednt be your home.
Indeed, buying a small apartment to rent out can be a good way to accumulate funds so you can eventually buy your own place, in an area where you want to live.
Increasing numbers of young Australians are choosing this route, buying in one suburb while renting in a more desirable and expensive area or living at home for a while longer.
Still others are diversifying into non-residential property via property trusts and syndicates.
Sensible investments in property have many attractions.
Property can be less volatile than shares though not always and it tends to be regarded as a safe haven when other assets are declining in value.
It has the potential to generate capital growth (an increase in the value of your asset) as well as rental income.
Then theres the tax advantages associated with negative gearing (more about that later).
However, as with any investment, there are no guarantees.
Property prices go down, as well as up, and sometimes tenants are hard to find especially good ones who pay on time and take care of your investment.
Investors need to have a keen awareness of the interest rate environment how higher rates might affect their expected net return and the market for their property should they wish to sell.
They also need to make sure the return or yield from their property stands up against the return they might have achieved had they invested in shares, for example.
Of course, you dont have to make a direct investment in property.
Pooling your funds with other investors in managed funds with a property focus, listed property trusts or property syndicates provides exposure to a broader range of property including commercial, industrial and retail as well as residential often with a smaller investment required.
Many financial advisers would argue that too many Australians let direct investment in residential property dominate their portfolios.
In theory and this is far from reality for most people property should account for perhaps 10 per cent of an investment portfolio.

---

Concepts:  investment, Smart Guide, loans, buying, funds, shares, font, savings, FINANCE, assets, Australians, property trusts, syndicates, rent, portfolios.

---

Image by nancyarora2020 via Flickr

Real Estate Investors Discover Forex to be a Better Deal During Bubble

---

By Scott Shubert

---

Every day we read more news about the real estate "bubble" and how prices are leveling off or even dropping around the country. Naturally this news makes many real estate investors more cautious about buying. Flippers are no longer able to rely on rapid appreciation in order to make their profits. Investors who buy and hold or lease option properties are wondering if their deals will earn any profit in the next 2 to 3 years and many wonder how long they will have to hold a property to realize any profit. Many investors have discovered that they may be stuck with a property they cannot sell for a profit and cannot rent with a positive or break even cash flow now that real estate is just not selling the way it was in the recent boom cycle. Some investors are considering other alternatives and either holding off on further buying or getting out of the business altogether until there are signals that the market has reached the bottom of its current correction.

Accelerated Wealth Through Forex Trading

While it is currently uncertain as to whether real estate prices will see any rise over the next few years some investors have chosen to postpone any further buying activity and look at other alternatives. One of these alternatives that has become quite appealing to some is Forex trading. Investors who have been taught the power of leverage through "no money down" buying strategies quickly understand the power of leverage in the Forex market. Forex trading is one of the few businesses in which one can start with a relatively small amount of capital and within a short period of time begin multiplying that capital into a larger and larger numbers. Some traders who have mastered this business have taken accounts from $1000 to over a million in one year. Not only would that be extremely difficult to achieve in real estate, in most cases the equity that is achieved in real estate is not necessarily liquid.

No "Down" or "Bear" Market in Forex

"Forex" is short for Foreign Exchange or the currency market. Because currencies are traded in pairs such as the Euro vs. the U.S. Dollar traders are never stuck with a downward trending market. If the Euro's value is falling relative to the U.S. Dollar the dollar is rising relative to the Euro and vice versa. A trader may buy or sell the currency pair at any time and profit is earned by trading in the direction of the movement whether it be up or down. If a Forex trader believes the Euro vs. the U.S. Dollar pair will rise she will enter a trade position of buying the pair. In this case Euros are being bought and dollars are being sold. If the trader believes the pair will fall he will simply enter a trade position of selling the pair. For trading purposes it makes no difference whether the pair is rising or falling. Buying and selling are both executed the same with the click of a button and profits can be seen immediately as the pair moves in the direction of your trade.

100% Liquid Market

The Forex market is the largest market in the world and it is driven by banks and institutions as well as managed funds and individual investors. A currency represents and entire nation's economy and it is not possible to manipulate the value of a currency the way it sometimes happens in the stock market. Because banks throughout the world always have an exchange rate for currencies there is never a time when a Forex trade is not totally liquid. A Forex trader does not need to wait for a broker to locate a buyer because a trade is always immediately closed with the click of a mouse. Transactions are settled in cash that appears in the trading account immediately when the trade is closed.

What is the Risk?

Often we may hear that trading Forex is risky business. There are risks and expenses involved in any business. One of the benefits of starting a Forex trading business is that a trader can open a demo account and trade while learning the business without ever risking any real money. Only when the ability to trade profitably consistently over time has been demonstrated should a live account be opened. One of the most important aspects of learning to trade is using proper money management and risk management. Successful traders know how to identify trading opportunities and they know exactly how much to risk on a given trade. Win to loss ratios and risk to reward ratios are a part of trading just like knowing what products to stock are an important part of the retail business. If you hear of people who lost their trading capital while learning to trade you can be assured that they did not 1. learn to trade before opening a live account and 2. use proper money management and risk management.

How to Learn More about the Forex Trading Business

There are many sources of information on Forex trading available all over the internet. Unfortunately, very little of it is really effective in helping people to master the business of trading. Most of the information available is connected either directly or indirectly with the Forex Broker industry. And as many traders have discovered, the methods being promoted are often designed to benefit the brokers more than the trader. Is there any way to bypass the process of trial and error and really save time on the learning curve that is required in Forex trading? Entrepreneurs who have been successful in other businesses know the answer to this question.

Find people who are already successful in the business of what you intend to do and do what they do. Mentors and mastermind groups provide the key to the fastest route to success. Just be aware that many "mentors" and training companies are connected with the broker industry as Introducing Brokers and they have a vested interest in teaching trading strategies that may not be in your best interest. For more information you may want to discuss the credibility of training programs with other traders in a trading discussion forum or at a trading club in your local area.

---

Scott Shubert is the founder of www.TradingMasterMind.com , a community of traders who share insights and results to contribute to the success of the entire community.

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

http://EzineArticles.com/?Real-Estate-Investors-Discover-Forex-to-be-a-Better-Deal-During-Bubble&id=368079

---

Related articles by Zemanta

• Fallout from the Crash: Carry Trade and the AUD (wallstreetpit.com)
• Best 2010 Investment Opportunities (slideshare.net)
• "Shrinking money supply and collapsing housing market" and related posts (economicpopulist.org)
• Young real estate entrepreneurs link US and Iraq (seattletimes.nwsource.com)
• Young Real Estate Entrepreneurs Link US and Iraq (abcnews.go.com)
• Do You Want To Make Money Than Pro Forex Robot For You. (wealthyways4you.com)
• Pro Forex Robot Is Designed For Newbie (wealthyways4you.com)
• Decipher the Code of Forex Trading by Adjusting the Frequency of Your Charts (prweb.com)

Image via Wikipedia

Investment Property Jargon Explained - CAP Rates

---

By Ian F. Campbell

---

If you are looking to buy some investment property you are sure to meet a barrage of jargon, from R.O.I. to A.P.R., to capitalization rates to net operating income.

Finding your way round the accountant-speak is essential if you are going to plan your property purchase thoroughly.

Doing a little research could make a big difference to the rental income you can achieve or the capital gain you can expect, two important factors for any investment property.

Of course, you could pay a financial adviser, lawyer or notary to do all the work for you, but it's actually not that complicated and this short investment property glossary series should help as a reference guide.

In each part we look at a different piece of investment property jargon. In this, the first in the series, we look at CAP or Capitalization Rates.

CAP or Capitalization Rates

CAP or Capitalization Rates are a way of calculating how fast an investment property will pay for itself. The higher it is, the quicker you make your money back.

The first step is to work out the sales price, if you have bought the property already you can just use the total price you paid for the investment property including closing costs and other fees.

If you haven't bought it yet, use the asking price and add your expected costs.

The next step is to calculate the property's Net Operating Income (N.O.I.). Take the monthly rent that you hope to charge and times it by 12 months, to work out the annual rental income.

Next, work out the monthly operating expenses per month and also multiply them by to find the yearly cost. Then, simply subtract the operating expenses from the rent total to find the Net Operating Income or N.O.I.

When listing expenses be sure to include everything, including maintenance, reserve fund, trusts fees (if applicable), association fees, reserve fund, management, property taxes, insurance, etc.

Finally, all you need to do is take the N.O.I., divide it by the investment property price and multiply by 100 to turn it into a percentage.

Let's take an example: if you think you can rent your property for $3,000 per month, then your annual income would be 12 x $3,000 = $36,000.

Then, if your expenses are $600 per month, that would be $7,200 per year and your N.O.I. would be $36,000 - $7,200 = $28,800.

Divide 28,800 by the purchase price, say $300,000, multiply it by 100 and you find your CAP rate is 9.6%.

This CAP rate is essential for comparing the profitability for your choices of investment property.

Article by Ian F. Campbell at Investment Properties Mexico, experts in Mexico real estate.

---

Visit their website to find out more about the what Mexico can offer you in terms of investment property.

---

Article Source: http://EzineArticles.com/?expert=Ian_F._Campbell

http://EzineArticles.com/?Investment-Property-Jargon-Explained---CAP-Rates&id=4076855

---

Related articles by Zemanta

• UPDATED: Apple iPad To Cost $899 In Australia? | Gizmodo Australia (think-act-do.blogspot.com)
• Hotel Alden Acquired by NY Investment Firm (eon.businesswire.com)
• Morgan Stanley property fund faces record loss (telegraph.co.uk)
• Simon Property boosts offer for General Growth (sfgate.com)
• Commerical Payments International News - March 1st 2010 (pindebit.blogspot.com)

SiteMap For Freedom Steps With Property Investing

Home Page
Begin Real Estate Investing the Easy Way
Discover how easy it is to begin real estate investing and build wealth with property. An experienced property investor shares his knowledge and experiences with you.

---

How To Start
Your Real Estate Investment Guide
Use this real estate investment guide to help you get your first investment property and then move on to set yourself free with real estate investing.

---

Finance
Real Estate Investment Financing, 7 Tips To Help With Getting The Best Result.
Real Estate Investment Financing - These 7 tips can enthusiastic and hopeful applicant in to an long term client of any financial institution.

Statement Of Financial Position - facilitate your property finance application
Statement Of Financial Position - give your self the best chance for a real estate investment loan by having a list of your assets and liabilities.

Refinancing Real Estate Investment, Your First Step To Freedom
By refinancing real estate investment, you gain access to money that is lying dormant and put it to use.

Loan to Value Ratio - learn what it is and how it affects you
Loan to value ratio (LVR) is a ratio that the banks and financial institutions use to assess the level of debt that a certain asset should have. The LVR for property is higher than the LVR that banks

Lenders Mortgage Insurance - use it to increase your investing power
Lenders mortgage insurance is a great tool in the arsenal of any potential investor. It will help you to borrow more when purchasing property, improving your return on equity.

Line Of Credit, The Sophisticated Way To Finance Your Real Estate Investments
A Line Of Credit will give you the freedom and flexibility to repidly move towards your property investing goals.

Use Your Home Equity To Finance Your Real Estate Investments
Your home equity will enable you to begin investing in property, and then it can make you wealthy. Read on to see how.

Other Finance
Property Investment Finance
Real estate investment finance puts power in your hands. It's an opportunity to vastly multiply your return on investment and be way more creative in your wealth building.

---

Property Selection
Use these Property Selection Tips to Help You Find Long Term Success
Investment Property Selection is vital to your ongoing success. Use these tips to help you find the easiest to manage and most profitable properties.

---

Business Plan
Use this business Plan to Keep you Focused and Moving Forward
Here is a simple business plan to guide you as you build your property portfolio and wealth through investment property.

Real Estate Investing Primer
Real Estate Investing Primer - Investing in real estate does not have to be complilcated. Here are some easy strategies to begin investing in property. property investing is not a get ricH scheme.

---

Why Property
Why Property Investing - Compelling Reasons to Invest in Property
Why property investing as a vehicle for creating your financial freedom? Here are three good reasons to invest in property, plus several others you may not have thought of.

Financial Freedom Can Be Yours With Real Estate Investment Property
You can have financial freedom, sooner than you think. Here is a picture of how to do it.

---

Flipping Property
Flipping Real Estate - Follow these 7 Simple Steps to Making Money
Flipping real estate - This outline shows two ways to do it and outlines 7 simple steps to follow

Make Money Flipping Property - Discover the real way to make money property.
Make money flipping property - This articles outlines 10 principles you need to be aware of if you want to flip real estate.

Flipping Real Estate Contracts To Build Your Capital Base
Flipping Real Estate Contracts is a low cost way for beginner investors to accumulate capital.

Tips For Flipping - 7 Simple tips for flipping real estate.
7 Tips For Flipping Houses that will help find and analyze the right property to flip and avoid the mishaps.

Calculate profits flipping real estate by understanding your costs.
Calculate Profits Flipping - This article outlines how to calculate your profits for any particular flip or contract assignment by understanding the costs involved in making a deal.

Risks Flipping Property - Be aware of the risks involved in flipping real estate
Risks Flipping Property - There are risks involved in flipping real estate, be aware of what can happen and you will avoid setbacks. This article gives a typical example of what can happen.

Real Estate Bubble Aftermath -, Disregard talk of a terrible aftermath....
Real Estate Bubble Aftermath - The end of the real estate bubble has been talked up by a number of sources, but who really benifits and should you pay any attention.

Wholesale Real Estate Investing - Skyrocket your net worth $20,000 to $100,000..
Wholesale Real Estate Investing - discover how you can find and acquire large chunks of equity for cents in the dollar and skyrocket your net worth by $20,000 to $100,000 on every real estate deal ...

---

Software
Real estate investment software package s - Help with property investing
Real estate investment software package s can be divided into 2 groups. Those that help you before you buy and those that help you after you purchase a property.

Real Estate Analysis - How to Construct an APOD and Nail Your Next Investment
A must-read if you are working with or want to work with rental property. Learn what you need to know about an APOD, how to use it to evaluate the property's first-year performance, and how to constru

---

---

Legal Stuff
Site Disclaimer
Disclaimer for freedom-steps-with-property-investing.com

Privacy Policy Statement
Privacy Policy Statement for

Return from the Site Map To the Home Page Freedom Steps With Property Investing

11 Things You Want in Real Estate Investment Software

Image via Wikipedia

Real Estate Investment Software

11 Things You Want in Real Estate Investment Software

By James Kobzeff

---

Real estate investment software is one of the best tools real estate investors and professionals can use to analyze and evaluate multifamily property.

Here's why.

Good real estate investment software provides the forms, makes the computations, and creates the reports required for a real estate analysis. Any user (experienced or not) can create professional-quality rental property reports for a myriad of reasons, such as decision-making, or as property presentations to buyers, sellers, colleagues, partners, or to lenders. All within minutes.

Moreover, real estate investing is all about the numbers. Therefore, real estate investors who are considering real estate investment opportunities look for and make their investment decisions based upon the bottom line. So real estate investment software becomes an essential tool for real estate analysis because it provides quick and concise cash flow, rate of return, and property valuation numbers.

Though most real estate analysts prefer to buy real estate investment software, it should be pointed out, though, that you do have other options.

You can, for instance, scratch out the numbers with a pad and pencil, or perhaps make a hasty rule-of-thumb calculation off the top of your head. But it should be obvious that these approaches, although maybe useful in limited cases, do not provide the best solution. They clearly do not provide the deep property analysis required to make a smart investment decision, nor do they include the data likely to sway the opinion of any other person, entity, or institution like a partner or lender.

You can also use Excel and develop your own spreadsheet. The problem here is time. It takes countless hours to embed the computations properly, and to format the forms and reports, even if you're familiar with Excel. If you're not familiar with Excel, then triple the time.

Before you pursue those options, though, be mindful that successful real estate professionals do not waste time or effort reinventing the wheel. They prefer to invest in real estate software so they can spend their time generating moneymaking deals.

But I digress. So let's get back on topic and look at what you should expect in good real estate investment software.

1. Easy to learn and use

You want simply to enter the values and have the software do the rest. You never want to look and wonder, "What do I do next?" To check, examine the website. Remember that the same company praising their software publishes the website. If the website is not well organized and informative, or if its lack-luster and confusing, the software might not be what you want.

2. Unlimited units

You want the ability to analyze one unit or a thousand units, or even more units if necessary.

3. Loan amortization

You want ample control over the financing assumptions. For example, you want the ability to enter multiple loans, the flexibility to enter the loan either as a loan assumption or as a new loan, and then have it computed as either a fixed or interest-only rate.

4. Crucial rates of return

You want the real estate investment software to calculate cash flow returns and loan ratios such as cap rate, gross rent multiplier, cash on cash, operating expense ratio, net operating income, debt coverage ratio, loan-to-value ratio, break-even ratio, and profitability index.

5. Tax shelter computations

You want the ability to determine cash flow after tax as well as your tax benefit or loss. To do this, the real estate investment software must include computations for tax shelter elements such as cost recovery and mortgage interest.

6. Time value of money

You want the software to create computations involving the time value of money such as internal rate of return and net present value. Why? Because you will discover that in real estate investing, the timing of cash receipts can be as important as the amount.

7. Concise, top-quality reports

You want printable reports that are easy to read and have eye-catching appeal. Remember, you might be trying to influence the opinion of a buyer, seller, colleague, or lender regarding this property, and they might have to make their decision based on the reports even before seeing the property.

8. Upgradeable versions

You want the ability to "upgrade" from a less-than-platinum-grade-version to a platinum-grade-version without having to re-purchase the platinum-grade version at full retail price.

9. Technical support

You want to have open access to tech support in the event of a question or problem. Preferably, email and telephone support . Exercise caution if the company or developer appears overly allusive--there is nothing more frustrating than encountering a problem and then not being able to talk to the software developer about it.

10. Affordability

You should be able to find very good real estate investment software on the web for about $300. Which is very affordable given the fact that you will be able to start working with income-producing property immediately.

11. Customer satisfaction

You should examine the names, professions, and titles of customers who have submitted a testimonial. If you can relate, then you may have a winner.

There are other things you want real estate investment software to provide such as seamless printing, picture function, branding and name-rider integration, email capability, help file, Windows compatibility, and so on. The point is not to be hasty. Spend time on each website looking around to be sure you get the essentials and perhaps a little extra at the best price possible.

---

About the Author

James Kobzeff developed ProAPOD to make real estate investment software easy and affordable for real estate professionals and investors. Discover how you can create cash flow analysis and rate of return presentations in minutes! Go to => http://www.proapod.com

---

Article Source: http://EzineArticles.com/?expert=James_Kobzeff
http://EzineArticles.com/?11-Things-You-Want-in-Real-Estate-Investment-Software&id=1590882

---

Image by Casey Serin via Flickr

A Simple Real Estate Investing Primer

---

Adem Hamidovic

---

In this real estate investing primer I hape to give you a simple view into the basic principles that underlie investing in real estate.

There are a great many books and web sites devoted to real estate investing out there, but most of them concentrate on one specific area of investing. It's often hard to find a general description of real estate investing, one that lists the various real estate investing strategies and how to get started. That's what this article will set out to do.

Before beginning, you must understand that real estate investing is not a get rich quick scheme. Real estate investing can, and will, make you wealthy, but it certainly won't happen overnight and it will require work. As you perfect your technique and gain experience, the amount of work needed to gain a lot of money will reduce, but it will take effort and persistance to make it there.

If you're completely new to real estate investing then the only sort of investing strategy you're likely aware of is rental properties.

Landlording has been around since there have been houses and people to rent them to, and it will continue to be a wealth builder. In fact, most of the 'no money down' real estate strategies you hear about still include rentals as part of their plan. Still, there are other ways to make money from real estate investing out there.

The next most 'traditional' method is to buy a fixer-upper, fix it up, and then sell it for a profit. This is commonly referred to as 'rehabbing' and is a very good way to make a lot of money in a relatively short period of time. Most rehabbers won't even look at a property unless they can make at least $20,000 of profit, and this is usually within 3-4 months time. Rehabbers tend to be experienced investors with available money, or have partners who help provide any extra cash required.

But if you're just starting out you likely won't have access to large amounts of money. One way to get involved in this area of real estate investing without needing any money at all is to 'flip' houses to these rehabbers. What this entails is you going out and finding these fixer-uppers, noting all the work required to fix the place up. You then place a low offer in to the owner, taking into account the fix up price and some built in profit. Once you have the house under contract you then flip it to a rehabber for a small fee. This can result in several thousand dollars for you, without you having to spend a dime. 'Flipping' properties can be a great way to start your real estate investing career.

Another 'no money down' technique that's popular on the late night infomercials is called 'lease optioning'. This is basically a rent to own strategy that allows you to control a property without ever taking ownership of it. It's a slightly more complicated strategy that warrents its own article, but it does allow you to make money in several different ways, each without ever having to spend any of your own money. If you're not put off by longer term investments then lease options are definately worth more research.

There are other strategies that involve foreclosures and getting the home owner to sign the deed over to you, but for now I'd suggest learning more about flipping and lease options as entry-level real estate investing strategies.

How do you find properties that would make good real estate investments? Again, an entire article can be devoted to that, but there are basically two ways: you go looking for them, or you get them to come to you. The first way involves reading the newspaper classifieds and scanning the Multiple Listing Service (MLS). This is where having a great real estate agent is a must - they can get you more details on homes than you can view on the mls website, and can often let you know of great deals before they even become available to the general public.

Having home owners contact you means setting up an advertising campaign. This can involve placing ads in the newspaper, placing bandit signs at strategic locations around town, starting a direct mail campaign, etc. There are many ways to let people know that there's a new real estate investor in town, and it would be in your best interest to try each of them to see which ones work best for you.

Whether you decide to go looking for deals, have them come to you, or both, they key is to be persistant. Real estate investing is a numbers game - most of the time you won't be able to make the deal work, but every time you do it translates into thousands of dollars for you. The more owners you talk to, the more deals you'll be able to do, the more money you'll make.

I hope this article gives you a bit of an idea of what the world of real estate investing is like. There's a lot to learn out there, and all of it is very interesting. Find the area that interests you the most, then get out there and start talking to home owners. Don't be discouraged if you're getting turned down a lot - just remember that when it does pay off, it will pay off big!

---

Adem Hamidovic is a part time real estate investor and operator of www.ProfitPiggy.com, a website devoted to new and experienced real estate investors alike. - admin@profitpiggy.com

---

Return from
Real Estate Investing Primer

TO
Freedom Steps With Property Investing

---

Related articles by Zemanta

• Winnipeg real estate sales set record (cbc.ca)
• Reporting Roundup: See Market Run. Run Market Run. (seattlebubble.com)
• House Flipping Makes a Comeback (online.wsj.com)
• MLS rebellion has mellowed with age (thestar.com)

The Real Estate Bubble Aftermath

Image via Wikipedia

The Real Estate Bubble Aftermath

---

The End Of The Real Estate Bubble - What Does It Mean To You

Jeanette Joy Fisher

Last spring, I was invited to go to Philadelphia and participate in a "real estate bubble" discussion on Ch 8's "Money Matters Today".

Television reporters, newspapers, and media hype love scaring you to grab your attention. On the TV show, I defended the real estate market.

What's behind all this bubble talk?

Before you give any substance to warnings about a "real estate bubble", look closely at the source.

Many stock brokers jump on the bandwagon of real estate doom to get investors back into the stock market. Also, many negative reports originate from mortgage lenders who want to keep the mortgage insurance rates high and keep the insurance premiums coming in for loans on houses that have appreciated.

So, What Happened To The Real Estate Bubble?

I can't speak for all real estate investors. If my family had been scared into discounting our investments, selling out, and not buying more property in 2005, we would have lost a million dollars.

We bought and held houses.

All of our property increased by 20% - 35% and the ones we fixed increased in value even more.

In particular, for one home we paid $120,000 and spent $10,000 in repairs - within the year it appraised for $325,000.

Who profits from the real estate bubble?

Besides media scaremongers, mortgage insurance providers, and stock brokers, real estate investors make even more money. What's that? How do real estate investors make money from the real estate bubble? They take advantage of desperate home sellers scared by the media.

In January 2006, we bought an investment property that the home seller, in the midst of a divorce, discounted for a quick sale. The $340,000 property appraised for fifty thousand more than the purchase price.

Now, we could quick sale the property for fast cash, but we're in for the long haul.

The property has great development potential.

So, we'll let the tenants pay for the mortgage and maybe tear the small house down in a few years. A half acre, one lot away from a future marina near new condos, has many possibilities.

Keep the bubble talk. People always need housing.

The more you hear about the pending burst, the more money real estate investors CAN make.

Copyright © 2006 Jeanette J. Fisher

---

About the author:  Jeanette J. Fisher

Jeanette offers a FREE "How to Start Real Estate Investing" teleseminar and a free ebook, "The Truth about Making Money Flipping Houses"

Visit www.doghousetodollhousefordollars.com

---

Related Pages

Flipping Real Estate | Make Money Flipping Property | Flipping the Contract | 7 Tips for Flipping Real Estate | Calculating Costs & Profits when Flipping Real Estate | The Risks Involved in Flipping Real Estate | Quick Cash Flipping Real Estate | The Real Estate Bubble Aftermath.

---

Related articles by Zemanta

• Stock Trading vs Real Estate (estateagentsonline.co.za)
• Letter Re: Buying a House in Australia? (survivalblog.com)
• Given the boom, then bust, in #realestate, what's the best way to think about my house: as an investment or just a place to live? (visionaryrealtynews.com)
• In real estate, nesting is the new flipping (money.cnn.com)
• Scarborough top spot for investors? (thestar.com)
• Wealthy Investors: Renewed Hunger for Real Estate (blogs.wsj.com)

Property Investment Finance

Your Express Elevator to Real Estate Investing Success

The way in which you obtain and use property investment finance can make a sizeable impact on the rate at which your property portfolio grows.

I'm sure you've heard it said before but it is absolutely true that

The golden rule in real estate investing is other people's money (OPM). This is the most important lesson you can learn!

Yes it's true, the golden rule in real estate investing is other people's money.

Use Other peoples Money

What this means is that whenever you are buying an investment property you should be aiming to pay as little as possible from out of your pocket, and obtain real estate investment finance for as much of the purchase price as you can. This is a vital factor in real estate investment property purchasing.

"I'd Rather not have any Debt"

"I have enough money, I'd rather pay cash."

OR
"I'd rather not have any debt."

This is not the way to build your property empire.

Even if you have $100,000 sitting in the bank right now, you could go and buy one real estate investment property but with the system that I am going to show you, you will be able to acquire multiple properties and reap the harvest of exponential capital gains and increasing rents for many years to come!

Gain Leverage by Using Real Estate Investment Finance

Return from Property Investment Finance To Real Estate Investment Financing Or To the Home Page Freedom Steps With Property Investing

Related articles by Zemanta

• Invest In The Hottest Real Estate Market In Decades! (dealerdan.blogspot.com)
• Time to rethink your ties to bonds (financialpost.com)
• Letter Re: Buying a House in Australia? (survivalblog.com)
• Wholesale Properties Available Now! (activerain.com)
• Foreclosures Down 3% In October From September (huffingtonpost.com)

Image via Wikipedia

Net Present Value - How to Use NPV to Evaluate the Price of a Property

---

By James Kobzeff

---

Net Present Value, is often used by a real estate investor to try to evaluate the price for a rental property with time value of money consideration has undoubtedly used .

Although it should not be used as the only factor to decide whether a real estate investment provides a good buying opportunity, Net Present Value does provide the investor with a quick and easy way to determine whether the price that will be paid for the property will yield the investor's desired rate of return (discount rate).

What is net present value?

NPV is the difference between the present value (PV) of all future cash flows produced by a rental property and the amount of cash investment (or, initial investment; i.e., down payment and closing costs) required to purchase the property. For example, let's assume that the real investor desires a 10% yield on all future cash flows, must invest $100,000 cash to purchase the rental property that might produce those cash flows, and wants to know whether the price he will pay achieves his desired yield. He would calculate NPV.

Here's how it works.

First, all future cash flows would be discounted back at 10% to determine the present value of those cash flows. Secondly, the $100,000 initial investment would be deducted from the PV. The difference between the two is the NPV. For example, if the present value winds up equaling $110,000, the $100,000 would be subtracted to determine a net present value of $10,000 ($110,000 - 100,000 = 10,000). Whereas, if the PV calculates at $90,000, the NPV would be -$10,000 ($90,000 - 100,000 = -10,000).

What does it mean?

Whenever the NPV is greater than zero, it means that the discounted value of the future cash flows is greater than the initial investment. In other words, you're getting a good deal and getting a rate of return that is actually higher than the discount rate you desire (in fact, you can pay $10,000 more for the property and still achieve a 10% yield). Likewise, any NPV less than zero means the opposite. You're getting a lower rate of return than you desire, and would have to pay $10,000 less for the property to get a 10% rate of return.

---

About the Author - James R Kobzeff

---

James is the developer of ProAPOD, a very affordable real estate investment software solution that includes computations for NPV. Discover how to create rental property analysis presentations with automatic calculations for net present value and other rates of return in minutes! Go to => http://www.proapod.com

---

Article Source: http://EzineArticles.com/?expert=James_Kobzeff
http://EzineArticles.com/?How-to-Use-Net-Present-Value-to-Evaluate-Property-rice&id=380974

---

Return from this page Net Present Value, using NPV to evaluate the price of a property. Back To the Real Estate Investment Software Page Or To the Home Page Freedom Steps With Property Investing

Related articles by Zemanta

• Moving Beyond Simple Payback (slideshare.net)
• Valuation (slideshare.net)
• Wealthy Women Heart Real Estate More Than Men (blogs.wsj.com)
• reBlog from Brightmark: Steps to Freedom (think-act-do.blogspot.com)
• Investors find solid foundation in apartments (financialpost.com)