Realtor Leads: Can They Really Help You To Make Money?

Do you know anything about the realtor leads? Do you have some ideas about what they do and their many services that you can acquire from them? Do you also know about their specific functions and as to why they do exist? If you don’t know any sort of things about the sad matter then reading the entire content of this blog post article would definitely be a helpful sort of way for you to know some things about it. For your great information, there are actually several and various sorts of alternatives on how you can possibly be able to find the most efficient and or formidable type of realtors today.

One of the most effectual ways on how you can possibly seek-out for the most formidable and or efficient sort of leads is through the utilization of the email leads, phone verified leads, internet leads and so many more types of leads.

How can you specifically and efficiently check-out if you have been able to find and use a formidable sort of realtor leads? How can you specifically be able to know if what you have chosen is high in quality and or profitability and not just a certain senseless data that had already been used and tested by several individuals to be such of an inefficient sort of lead?
To let you know, you can surely be able to get the best type of leads through simply using the internet as the main passage of getting what you need and want about the said type of matter and this is according onto the experiences of certain brokers.

You should know that there are already many brokers today who had been very successful through the great help of the real estate broker leads that they have got out from the internet.

In fact, aside from that of the successful independent brokers today, there are also certain broker firms and companies that had also been successful through simply using the realtor leads that they had acquired out from that of the usage of the internet. You should know that relying onto the internet in getting reliable broker leads is such of an efficient sort of approach and this is because of the matter that there are already numerous numbers of brokers who have been triumphant in each and every time that they had conducted a particular sort of broker transactions such as that of selling, buying and commercializing and or endorsing certain kinds of properties.

Through simply depending onto the internet, you can definitely make your search for the best types of realtor leads a certain kind of success. You should know that there are several and various real estate broker companies and firms that had been successful in all of their attempts to meet their expectations upon selling, buying, endorsing and or commercializing particular kinds of real estate properties such as that of the homes or houses, condominium units, apartment homes, commercial buildings and a lot more.

Despite of the fact that you really can be able to seek-out for the best sorts of realtor leads via internet these days, there are certain sorts of considerations that you greatly need to have in hand and this is because of the fact that all things have its own advantages and disadvantages.

If you have some plans to start doing a real estate business, you greatly need to start purchasing efficient sorts of realtor leads coming only from those that are formidable and professional real estate brokers.

You should know that the there are certain problems that you can possibly encounter most especially if you have chosen a low-quality type of broker lead. You also need to know that there are certain mortgage and or real estate broker firms and individuals that are just greatly efficient by its name but not really by its deeds, services and actions.

This kind of matter is just like that of buying a wrong kind of medicine for a certain sort of illness and or ailment. However, if you are just able to look out for the most efficient and recession-proof kinds of realtor leads then you can definitely say that succeeding in the said kind of business would just be like that of eating a piece of cake.

Moreover, can you really entrust your confidential real estate business schemes and or plans onto your chosen broker personnel and or firm?
Well, trusting a certain sort of broker firm and or individual is greatly a helpful way for you to seek for an efficient kind of realtor leads and this is because of the matter that they can really provide the best sorts of ideas, tips, advices and suggestions on how you can possibly meet your real estate business goals and or targets.

On the other hand, you greatly need to ensure that your chosen broker really has what it takes to be considered as a reliable source of accurate and efficient types of realtor leads. Because if you will not do this kind of thing then it is very certain that you will just waste your time, money and effort upon searching for the aforementioned kind of matter.

You should specifically know that not the entire realtor leads that you can seek-out over the cyber world are efficient enough to help you in meeting your real estate business dreams. There are just a few that are really efficient and the rest are just pure scam. Therefore, you really should be very careful in choosing the kind of lead that you want to use in your real estate business. In this sort of way, you can be sure that you are investing your finance, time and effort in the right kind of way. Lastly, you should make it sure that you have selected a legitimate kind of broker firm so that you can assure to yourself that you are in good hands.

Local Retail Real Estate Market Ranks Among The Nation’s Best

With 2010 halfway over, San Diego County’s retail real estate market holds opportunities as well as pitfalls for potential investors, though experts say the region is faring better than most as shoppers keep their spending in check amid employment worries.

In its recently released second-quarter market report, the commercial brokerage and research firm Marcus & Millichap noted that high barriers to entry, especially in the county’s mature communities, will restrict retail construction and “stabilize property fundamentals” throughout much of the San Diego metro area this year.

Alvin Mansour, a senior vice president of investments and a director of Marcus & Millichap’s National Retail Group in San Diego, said by phone that the local region continues to rank among the “top five or 10” U.S. markets for the overall health of its retail climate.

That’s because retail generally was not overbuilt in most of the county’s prime markets in the run-up to the recession, partly because of limited space available for new projects.

“It’s tougher to get things built, and land isn’t that affordable in some places,” Mansour said.

An exception is the northern part of the county. Marcus & Millichap’s report said local retail real estate weakness has been “concentrated in overbuilt areas in the northern suburbs,” particularly Vista, Oceanside and Escondido.

“While fundamentals in those areas will likely remain soft in the coming quarters as new business formation lags, tight vacancy rates will persist in most core retail submarkets, limiting metrowide rent declines,” the report said.

Overall, it said, store closings have slowed down considerably from what was being seen through much of 2009, and Mansour noted that many, if not most, of the prime spaces vacated by national retailers have since been reoccupied.

More Space to Fill

After 260,000 square feet of retail space came on-line last year, the research firm projects that 420,000 square feet will be completed in 2010, increasing local stock by 0.4 percent. In the past 10 years, annual deliveries of new space averaged nearly 1 million square feet.

The new supply is expected to drive up the county’s overall retail vacancy rate by year’s end to 6.1 percent. The metro area’s vacancy rate was 5.7 percent at the end of the first quarter.

The report predicts that operators will decrease rents in 2010 to retain tenants. Asking rents are forecast to contract 1.4 percent to $27.21 per square foot, as effective rents — with negotiated discounts and incentives factored in — dip 2.4 percent to $23.84 per square foot.

Consumer spending nationwide is slowly recovering, but some retail property owners face distress in paying off loans tied to construction and acquisitions. That has sent real estate investment trusts and other private investors into the market shopping for bargains.

“Money has been sitting on the sidelines the past three years, and as an investor you’re not going to make money if it stays there,” said Pete Bethea, an executive director of Cushman & Wakefield Retail Advisors in San Diego.

Fewer Bargains

Bethea, who focuses on several Southwestern markets for the brokerage firm, said coastal retail markets are generally in better shape than inland communities. But that also means that places such as San Diego and Los Angeles have fewer bargain-priced properties available for purchase than others, including the Inland Empire, Phoenix and Las Vegas.

In the coming year, Bethea said, shopping centers likely will continue to trickle onto the market as lenders decide to sell off assets tied to distressed loans. That’s currently not happening with great frequency among San Diego County retail properties, though some center operators are facing a cash crunch because they’re not generating the rents they expected when the properties were being developed.

Some local centers depend on smaller businesses rather national tenants to fill spaces, and those smaller firms face financial challenges of their own, Bethea added.

Matt Romney, a senior vice president with San Diego-based Excel, aka Excel Trust Inc., said the retail-focused real estate investment trust is scouting long-term for potential acquisitions in San Diego County. For now, however, its portfolio remains concentrated outside of California.

Since its April initial public offering of stock, which raised $193 million, the REIT has purchased 15 properties spanning Southwest, Southeast, Northeast and Midwestern states. Romney said Excel will likely purchase more properties with the IPO proceeds, with other purchases likely later this year or in early 2011.

Romney said most of the company’s purchases have been off-market transactions, meaning they are not listed for sale. Leads on potential acquisitions come through contacts cultivated by the firm in the past 30 years, within the financial and retail communities.

Excel seeks out well-located centers, with good customer demographics and tenant mixes, and he said a mix of factors is motivating sellers in the current market.

“In some cases there’s distress and the owner is having issues with payments to their lender, but other times the owner might just be unsure about the future and wants to sell,” Romney said.

Waiting for Employment Boost

He noted that many center owners and buyers around the country are waiting for consistent employment gains, to help boost consumer spending and fuel a larger economic recovery.

Marcus & Millichap’s midyear optimism about the San Diego County market is fueled in part by moderate improvements in the local economy, with an expected increase of 1 percent in employer payrolls this year — an addition of around 12,500 workers.

Near term, its report said, buyer demand will remain strongest for single-tenant assets with national-credit tenants, priced between $1 million and $2 million. A “deeper, more competitive” investor pool persists for these properties.

Fewer buyers will pursue single-tenant assets priced above $2 million or those leased to regional or local tenants.

Investment strategies differ for multi-tenant assets, “where many buyers have sought to secure discounted properties with upside revenue potential ahead of a market recovery.” Those buyers are targeting assets with high vacancy rates or significant deferred maintenance, the report said.

Making Real Estate Money-Brief Assessment of Pre-Foreclosure Real Estate Buying Strategies

In this current economic condition, the demand for a creative real estate investor who knows and understands the different strategies and options available to distressed homeowners is at an all-time high. While this next decade will bring more economic hardship to more Americans than any other time in our nation's history, it will also provide more millionaire opportunities for those investors who are able to invest in the knowledge and take action.

Here is a brief summary of the myriad purchase strategies most successful real estate investors employ to distinguish our purchase process from that of realtors.

Wholesale (30%+ Equity)

A wholesale purchase is loosely defined as a property that can be purchased at greater than 30% discount to after-repaired value (ARV). Properties in this category generally require extensive rehabilitation in order to present them to retail buyers via the Multiple Listing Service (MLS). The typical seller does not have the time, money, or inclination to take on an extensive rehabilitation project. Consequently, investors add a significant amount of value by purchasing the property at wholesale cost and engaging the services of a contractor to present the property for sale at a later date. Television programs like, "Flip This House" glamorize this process and make it seem rather easy. The truth of the matter is that transaction and carrying costs need to be carefully accounted for. Care should also be taken to engage competent contractors that have a vested interest in pleasing their clients because they will earn return business if they do so. A wholesale purchase allows investors to engage competent professionals and relieves homeowners of the financial and time burden of having to keep property that is a burden on them.

Fix and Flip

Buying a property well below market value, making repairs, and selling conventionally to an end buyer is generally known as a fix and flip strategy and is one of the most common ways real estate investors begin their career. The goal of a general fix and flip is to put as little time and capital investment as possible into the property and resell as quickly as possible at the low end of the market. For many handymen and tradesman, this strategy is the next logical progression of their careers.

However, this transition is not quite as simple and glamorous as TV shows may indicate, and a good portion of reason for the success and failure of a fix and flip is not shown on TV. Therefore, the purpose of the fix and flip chapter will not be to provide advice on how to purchase the lowest priced lumber or negotiate paint gallon prices, rather the goal will be to identify your team and skill sets and determine how to find and analyze successful fix and flip opportunities, and the financial aspects of running a fix and flip company.

Short Sale (-10 - Equity)

A short sale is a purchase strategy where a professional investor engages the seller's lender to discount their lien on the property in order to get it to sell. There is generally some form of financial hardship that accompanies a successful short sale, like medical problems, death of a family member without life insurance, job loss, etc. Whatever the underlying cause, a homeowner generally needs to be able to demonstrate a hardship to the lender in order for them to agree to a short sale.

In order for lenders to justify discounting their notes a property generally needs to be "upside down," or have a negative equity position. Short sales are particularly successful when there is a 2nd mortgage on the property that is likely to be wiped off the books entirely via a foreclosure sale.

The main benefits to a short sale versus a foreclosure to a homeowner is less long term damage to credit score and opportunity to negotiate for the satisfaction of the loan (no deficiency judgment). Also inform sellers of their rights under The Debt Forgiveness Act of 2007, so that they are not sent a 1099 by the government for debt that is forgiven.

Subject-to (0% - 30% Equity)

Subject-to purchases generally involve a considerable amount of paperwork and are often misunderstood by sellers and many investors. The simplest way to think of a subject-to purchase is to recall the time when notes were fully assumable. Legislation was later passed to discourage or virtually eliminate assumptions so the modern day assumption analog is to purchase properties subject-to. The deed for a property and the financing for a property are two completely separate documents. Purchasing a property subject-to simply means that you take ownership by taking the deed subject-to the existing financing remaining in place. The distinction between a formal assumption and a subject-to purchase is that the lender for the property does not have to "sign off" on the transaction.

Selling a property subject-to generally benefits sellers financially. Transaction and holding costs eat through any notional equity that sellers will be left with when they sell. Realtors conveniently avoid discussing this with sellers when they arrive at their house to get a listing agreement signed. Our goal as investors is to give you the same amount of money you would get if you marketed, listed, and sold the house with a realtor. The primary value that we add is giving you this same amount of equity and completing the transaction in 5-7 days instead of the months of work and worry that are created using the traditional sales process.

A subject-to purchase is typically used when there is good financing on a property relative to the current market interest rates or the possibility of executing a load modification to make the financing favorable. Properties are typically purchased at less than a 20% discount to after-repair value (ARV), which equates to around the same net sale proceeds using the traditional realtor process. If loans are delinquent or small repairs are needed the investor will pick up the tab along with the minor transaction costs for title insurance and escrow fees.

Contract Assignment (-5% - 10% Equity)

A Contract Assignment (CA) purchase strategy is generally used for properties where the debt is relatively high as compared with the market value of the property. Properties that have between 10% and -10% equity generally fit into this category. This purchase strategy is similar to subject-to described above in many respects. The distinction is that the original seller agrees to take the financial burden of making mortgage payments going forward instead of the investor agreeing to do so. Financial gains from the transaction are also borne by the seller. The investor shows the seller how to execute this type of transaction and assigns the contract to a new buyer.

The primary source of value for the seller in this type of transaction is that it opens the buyer pool up significantly. Instead of having to market the property to a cash buyer that has a sufficient down payment and credit rating to purchase with third party financing the seller can finance the transaction with the help of an investor professional. Sellers are also relieved of having to bring cash to closings to fund transaction and holding costs implicit to the traditional sales process

The more you learn about creative ways to buy and sell properties, the more opportunities you will have for wealth. As Sophocles once said, "Wisdom outweighs any wealth." There has never been, nor will there ever be, a better time in America to take action in real estate!

Tom Bukacek is a real estate investor specializing in pre NODs in Austin, TX, and Phoenix, AZ, and is working on his first book, tentatively titled 'The Real Estate Millionaire Blueprint', due out later this summer. Tom is also the Marketing Director for the Entrepreneurs Incubator, a company dedicated to providing real estate investors with turn key marketing solutions and processes. Visithttp://www.entrepreneurs-incubator.com for more information. Article Source: http://EzineArticles.com/?expert=Tom_Bukacek

Making Real Estate Money-The Difference Between Cash and Equity

People spend cash on real estate for a variety of reasons. Probably the most common reason for spending any cash at all is that the bank making a new mortgage on the property requires a cash down payment or it won't approve the mortgage. 

Some people make the biggest cash down payment they can to keep their monthly mortgage payments lower. Others try to pay with as much cash as possible because they don't want to pay interest on borrowed money. And some folks, especially those who remember the Great Depression, prefer to own their property free and clear of any debt. 

However, what most cash-paying real estate buyers don't realize is this: Equity in real estate and cash are not the same thing. There is a fundamental difference between the two. While cash goes into the equity market at full value, equity comes back out into the cash market at a discount. Equity is not a liquid commodity and does not move very quickly. Cash is absolutely liquid. It is important to understand this difference. 

To illustrate this dynamic difference, let's assume we have $100,000 in cash to buy a piece of property. We find a well-priced home for that amount. We pay cash for it, close escrow and it's ours free and clear. Now, can we break off a piece of the roof and buy groceries with it? Can we take the front door and use it to pay our doctor bill? The answer is "no" because cash is not the same as equity. 

We've converted our cash from the cash marketplace, at full value, into $100,000 worth of equity in the real estate market. Soon after the purchase, however, a financial emergency arises. Having no other cash in reserve, we must convert our equity back into cash immediately. We have to sell the property today. 

To convert our equity into immediate cash, we need a buyer for the property right now. Finding a buyer willing to pay full cash value for the equity might reasonably take 60 days to six months. Add to that another 30 to 60 days to close the transaction and, when we total it up, it's going to take a long time. And that's if everything goes smoothly. 

But we need immediate cash not maybe in six months. To get immediate cash, there are two options available to us. First, if we structure the offer attractively enough, someone will buy our property today. The most obvious way to do that is to reduce the price to an amount that no serious buyer could refuse. 

Depending upon the stability of the real estate market, that could mean discounting the price by as much as 35 to 50 percent. That's 50 to 65 cents on the dollar! Now, would you take your dollar bills to the bank and trade them in for the same number of fifty-cent pieces? Would you trade in 1,000 dollar bills for $650? Most likely, you would not. Yet, that's the price we have to pay to convert our equity into cash right now. 

Our other option is to refinance the property. We can refinance and get some of our cash out that way. Here again, the full $100,000 equity will not be converted into the same amount of cash. 

If you have excellent credit, you may be able to borrow as much as $80,000 against the property. If you have less than excellent credit, or poor credit, you won't get a mortgage for anywhere near $80,000. If your credit is really bad, banks won't loan you a dime on your property. 

In both instances, we are faced with the same problem. Everyone agrees the equity in the property is worth $100,000. To convert it to cash, though, we must discount that equity. 

Now that you understand the difference between cash and equity, you should always think twice before you exchange very much of your liquid cash for real estate equity. Knowledgeable investors use a variety of creative methods to overcome this dilemma. 

Making Real Estate Money-No Money Down

Why You MUST Learn to Buy with No Money Down by David Finkel

It surprises many beginning real estate investors when I recommend  they get started investing without using their own money. They  find it hard to believe that sometimes having money can be  detrimental to learning to be the best real estate investor you can  be. It's just that I've seen money used as a crutch to make marginal  deals go through. I know I've been guilty of getting lazy and  throwing money into a deal where a little more imagination and  prudent negotiation would have served me better. With an open  mind and the right education, no money can be a force to push  you to be a faster, more creative, and more skilled investor. You'd be surprised how fast you can pour your liquid cash reserves  into real estate. I've watched traditional investors pour over  $1 million into several deals in a matter of months, then have  to wait until those properties sold before they could free up  enough of their money to go out and buy more properties. You'll never regret learning to buy with no money. It will make  you a much more savvy investor for those times you do decide  to use your own money or conventional financing. Money is never the issue when buying a property Many investors think that money (or lack of money) is what stops them from closing a deal. This MYTH is one of the most  limiting things that holds some investors back. Understand that money is NEVER an issue—IF the deal is right. Say the following words to yourself over and over: "If the deal is right, I will find the money!" If there is a deal there you can and will find the funding. The key is that the deal MUST be right. That means for a cash deal  (usually the kind where investors think they haven't got the  cash to do the deal) that you need the right price. This means a price at MOST 70% of the conservative "as is" value  LESS any needed repairs. This means you have to go in at 29.95% to leave yourself room to negotiate if you need to. This kills many  deals. That's okay. The ones you want will work out. And you will find a way to fund them. How do I get the money to fund the deals? Okay, so you've got yourself a signed contract on a great cash deal.  Now you need to find the funding. Again, the key is that the deal is  conservatively very profitable and will make you money even if you  made a few mistakes. Here are several sources you can use to make that deal a go: Use the seller's existing financing for part of the purchase price. Buying "subject to" you only have to fund the money for the  seller's equity! Get a cash buyer at 90% of value and do a simultaneous close  or flip your deal to the buyer for a cash assignment fee Sell your contract to another investor, again for a cash assign- ment fee. Borrow the money from a private party lender at an interest rate  3% to 5% higher than a bank CD and secured by a first mortgage Borrow the money from a hard money lender Tap into a home equity or other line of credit Refinance another property to get your down payment and borrow  the balance from a lender Bring in money partners to fund the deal. (They get depreciation and you control deal. They secure themselves with a first mortgage for the amount they have in, or if they finance it, they can lock in a second mortgage to protect themselves. You agree they get their entire principal back PLUS 15% before you split any profits from the resale of the property. You split profit 25% to 50% to them, the rest you.) I think you get the idea here… The key is that if the deal is right, you WILL find the money. Never lose sight of that. The only two reasons why this wouldn't be the case are fear and ignorance. About the author... David Finkel is an ex-Olympic level athlete turned real estate millionaire and one of the leading investing experts in the nation. He is a Wall Street Journal and Business Week best-selling author of over 40 business and investing books and courses, including the wildly successful, Real Estate Fast-Track and The Maui Millionaires. His website,  www.MauiMillionaires.com, is a popular site for investors and entrepreneurs on the web and has dozens of free wealth tools and ebooks.

Making Real Estate Money-Terry Vaughan's 60-Second Real Estate Course

Perhaps you have heard other real estate "gurus" talk about 25, 50, or even 100 different ways to buy real estate for no money down. In reality, there are only four possible ways to buy real estate--with or without any money down. I'll try to simplify the "nothing down" philosophy once and for all.

I'll use simple numbers to explain the "60-Second Real Estate Course." The real estate market in your area may have a lesser or greater value, but that's not important. What is important is the concept, not the dollar amount. You can apply these concepts to any property, regardless of the price.

First, let's define "equity." Equity is the market value of a property, minus the amount of liens or encumbrances. The most common encumbrance is a loan secured by the property. This loan is called either a "mortgage" or a "trust deed," depending on the state where you live. (Some states have both.)

There can be more than one loan secured by the property. The first loan made is called the "first" mortgage or trust deed, the second loan is called the "second," and so on. Other liens or encumbrances might be unpaid property taxes, a mechanic's lien or even an unpaid small claims judgment.

Let's imagine you are negotiating the purchase of a house for $100,000. There's a $60,000 loan (mortgage) against the property. When you subtract the $60,000 loan from the $100,000 purchase price, what remains is the seller's equity: $40,000. This is properly referred to as the seller's "equitable interest."

The bank that made the loan owns the balance of the property. Since the bank has an interest in the property--the $60,000 loan--the seller, in essence, has become a partner with the bank.

All that ever happens in any real estate transaction is, the buyer and the seller find a way to give the seller their equitable interest, so the seller can go away happy.There are only four ways to do this.

Pieces 

One way sellers can receive their equitable interest is in "pieces." I say pieces because I don't want you to think strictly in terms of cash. You can think of the equity as owned in pieces or payments.

If the sellers receive their equity in pieces, and the bank continues to receive its equity in pieces, or payments, the sale can take place. Everyone with an equitable interest in the property is satisfied. Pieces go to the sellers for their equity, and pieces go to the bank, until the equitable interest is fully transferred.

Lump sum 

The second way the sellers can receive their equity is in the form of a "lump sum." This could be a purchase for all cash, or the buyers could obtain a new mortgage and make a cash down payment for the balance of the purchase price.

This is often referred to as a "cash-to-loan" transaction. The bank is paid off when the new loan is made, and the sellers receive a "lump sum" of cash for their portion of the equity.

Different form 

The third way the sellers can receive their equity is in a "different form." The equity can be paid with almost anything that has a perception of value the sellers consider equal to their equity. Instead of cash, they may agree to take a condo in Hawaii, or perhaps a motor home, or maybe some IBM stock. The possibilities are limitless.

A combination of pieces, lump sum, and different form

The fourth and final way the sellers can receive their equity is through a combination of the other three--pieces, lump sum, and different form.

Perhaps the buyer assumes the $60,000 loan. The bank is satisfied because it continues to receive its monthly pieces. To the sellers, the buyer offers $10,000 cash, a motor home and a $20,000 note at 10% interest, due in five years.

You can use any combination that the buyer and sellers perceive as an equitable exchange. The possibilities are limited only by the imagination and the negotiating skills of those involved.

I developed the "60-Second Real Estate Course" to help eliminate confusion when a deal starts getting complicated. Whenever this happens (and it still does on occasion), I say to myself, "There are only four ways to put this deal together. Which will work best for both our purposes?"

To do that, I must identify the seller's needs; I must uncover the seller's perception of value. If it's in alignment with mine, we have the potential to put together a deal. All I have to do then is convince the seller that what I have to offer is a fair value in exchange for the property. Remember, there are only four ways to do it. 

Making Real Estate Money-Hud Real Estate Foreclosure

Investing in HUD real estate foreclosure can be a lucrative business, but you need to know how to take advantage of this program, to make a profit. There are substantial profits to be made on repossessed houses. However you need to be knowledgeable and time your buying and selling right to take advantage of these properties.

Initially you will not be able to buy these types of properties for monetary gain. This is because these programs are specifically designed to help needy families afford to buy a home and investors are barred from buying these repossessed houses. Only when they have not been sold for a certain length of time can investors and agents buy these properties.

How to find HUD real estate foreclosure properties:
You can find these by using special lists of repossessed properties. You can find them through real estate agents, registered with this agency, or online at websites that are registered with this agency. With the advent of the Internet it has become much easier to find these properties and take advantage of the huge savings you will be able to get. However it does take a little time to find these properties on your own, so it is often a good idea to find an agent who can handle this for you.

Investing in HUD foreclosure real estate:
Initially these repossessed properties are not available to real estate agents and investors. However after a certain length of time, if they are not sold, the houses will be available to investors. You need to keep up to date lists to catch the properties as soon as they come on the market. You can then resell the houses for a substantial profit.

As you can see there are obvious gains to be made from these HUD real estate foreclosures. However you have to be quick as there is a lot of competition. One of the best ways to get fully updated lists is to subscribe to a newsletter that supplies daily ones. Some sites will update their site daily; these are usually membership sites but are worth it. Explore all avenues to get ahead of your competition in this competitive field.

How to make a profit with HUD real estate foreclosure properties:
The real way to make a substantial profit with these types of houses is to buy those properties that are in need of repair. Understand the actual market value of the property before you buy. All you need to do is to calculate what you paid for the house, plus any repair costs and subtract it from the market value. This will be your profit. You can start with properties that need minor repairs at first and when you have saved up some money go on to the ones that need more repair and investment. This is because you will be investing in the house plus repairs before selling and making your money back.

Plan carefully and do your math, by this means you will be able to make a good profit investing in foreclosed HUD real estate.

Sal Vannutini is the author of ” The 8 Power Profit Secrets To Making More Money With Less Risk In Real Estate, ” a free strategy report for investors. Get your complimentary

copy at www.FastFixerUpperProfits.com today.

Making Real Estate Money-Borrowing From Equity

Investing Mistake: Borrowing from Equity

A HUGE mistake that a lot of real estate investors make, whether they’re beginning or seasoned investors is they borrow money from the equity in their properties to pay the bills, and think that that money is profit. Well, listen up friends because I’m the guy to tell you and burst your bubble right now that that money is NOT profit. Borrowed money is not income.

If you’re robbing Peter to pay Paul, then you better fix what’s broken before this problem gets worse. Borrowed money is not your money. Profits only come from the sale.

Friends, this is a dangerous trap that a lot of people fall into because they think that they can pull a big chunk of money out and use that money as income and cash flow for their business, but it doesn’t work that way. You have to be smart about it. You can’t expect to grow your business with refinanced properties. It doesn’t work that way.

Now, don’t get me wrong. I’m not against refinancing a property and pulling money out of it, if the property can support you doing that. One of the first couple of deals I did when I got started was actually a property where I did a refinance on it, and I did pull out some cash. But I obviously did not stupidly spend that money on stuff that wasn’t going to give me a return.

That money was for business purposes only, and I used that money to reinvest back into some of my education and some of my other investments, and that money has grown substantially since then.

I have not done anything like that since that one occasion, but I thought I needed to tell you that because I’m not against refinancing a property to pull money out, but the property has to be able to sustain what you’re doing.

All I’m saying, and the message I want to convey to you in this post is, just don’t get into the habit of borrowing money from the equity in your properties on a continual basis because borrowed money is exactly what is says: borrowed money. It’s not your money.

Don’t consider that money as profit for your business. Simply strive to run your business on the profit, which comes from the sale of your properties.

As I’m talking about property sales, here’s another tip:  when you are selling properties, make sure you attract attention to your properties and market them to death.  If your marketing isn’t annoying at least a few people then your marketing isn’t doing what it’s suppose to do which is get attention.  A perfect example is the media, just watch the news and see how many horrid reports you will see about all the bad stuff going on - robberies, murders, and scandals.  Unfortunately, the entire negative stories garner the most attention.  Don’t get me wrong, your marketing shouldn’t endanger anyone, but you need to get attention and you will get negative feedback.

Just recently, I got calls about some ugly yellow signs in the yard of one of our properties.  The person really thought the signs looked junky.  Well, those signs accomplished exactly what I wanted them to accomplish.  It made people look at the property.  Don’t be afraid to stand out with your marketing, even if it’s uglier than most.  You need to capture the attention and then sell the house!