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Posts Tagged ‘Real Estate Sales’

Real Estate Investment

January 3rd, 2010 Blog Writer No comments

It seems that everybody and everything has been influenced by the recession in the world economy. And Costa Rica is not an exception. Real estate sales of single family houses for expats, and condominiums have decreased significantly and many tropical homes located in some areas along the Pacific coast are being sold at steep discounts.

Why was real estate there so popular in the firsts place?
This small Latin American country gained a crazy popularity because of its picturesque coastal landscape, wonderful diverse flora and fauna and tropical beaches. Actually, though it is a very small country and can be compared to West Virginia, about one of every five animal species and plant on earth can be found in it.

Moreover, with Pacific and Atlantic oceans bordering, there is well-known Costa Rica fishing, surfing, sunsets and diving.

Many tourists come to Costa Rica with pleasure to spend their vacations at one of the most famous places in Latin America. The greater part of visitors is from Canada and America, but there are lots of European tourists as well. This caused a significant rise in values of Costa Rica real estate over the last decade.

Besides, Costa Rica was one of the first among the countries who realized the significance of environmental development. That attracted many tourists. Constructions of single family houses, condo and subdivisions catering to expats have changed considerably lately along the Gold Coast. Prices on lands have been also increased.

Moreover, many Canadians, Americans and Europeans consider this place as one of the best to be chosen to spend their retirement period. The country has magnificent sandy and sunny beaches, great climate, beautiful mountains, stable democracy, perfect medical facilities and low crime rate.

What parts of Costa Rica have been considered the most popular for investor or buyers of Costa Rica real estate?
The central and north parts of the Pacific coast with favourable climate and many attractions have gained a great popularity among the Costa Rica tourists. The necessity for the increasing arrival of tourists and expat community has caused a significant rise in value of houses there. Restaurants, hotels, resorts and bars have been greatly developed. That influenced property value.

San Jose has also been one of the most popular places as there are many shops, malls and of course because of a wonderful weather.

What are the future prospects?
Despite the current economic situation in the West, a considerable turn around in Costa Rica real estate is observed.

There are actually two reasons for this. The first one is that in Comparison to North America and Europe real estate values, especially on tropical and sunny coastlines are not yet out of this world, just a part of the cost elsewhere.
And the second reason is that the place attracts many foreign investors and countries.

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Real Estate Marketing

December 21st, 2009 Blog Writer No comments

After the recent downfall in the sphere of real estate, the situation seems to be improving, the real estate sales are increasing and even the prices on property are growing in some areas. It all looks good, but there are still some facts to be analyzed and some doubts to be removed. Some people predict that the crisis in the sphere of real estate is over while others still call upon to be careful about any proceedings with real estate.

Real estate market got a tremendous support from the government. Due to its financial subsidies it became possible to avoid the increasing number of foreclosures, declines of home prices and bank failures. But the question remains: what will happen when the supports are removed? Will the situation remain stable in the real estate market? Will if function well on its own without the constant governmental supervision?

Due to the mortgage program of Federal Reserve the mortgage rates have not increased. The Fed committed to buy mortgage-backed security which helped to control the rates and keep them low though artificially. As soon as this program ends the rates will definitely go up about 5% or even more. On the one hand, this will attract mortgage investors. However, on the other hand, this might lead to the decrease in the number of home sales which is an undesirable consequence which should be prevented.

Different ways to avoid the drop in the sales rate were considered. There are various effective means to stimulate the home sales. One of them is home buyer tax credit. As it is quite doubtful whether the federal program increased the demand for real estate, and whether it will still hold after the program is over, the tax credit in its turn creates an artificial demand which helps the market to stay afloat.

Subsidized loan modifications have successfully helped to prevent the increasing number of foreclosures. However, a number of these loans are re-defaulting and this causes the foreclosure process and real estate market to recover even longer. After this program is over, the banks will reveal their inventory of homes which will lead to the decrease of real estate property prices. There is still time to find ways to give back the real estate market its stability.

Real estate is a big and important sector of economy. However, this sphere still has to recover from the recent housing slump. We all hope that it has finally hit the bottom, and now there is no other way but up. However, nobody can tell for sure just yet. There are positive prospects that due to all governmental support the confidence of consumers and investors will recover shortly. But what happens without all those governmental subsidies still remains a question.

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Show Off The Sizzle Not The Steak In Real Estate Sales

November 13th, 2009 Blog Writer No comments

How many times have you been with a real estate professional on a house tour that went something like this: “Here’s the bathroom… here’s the toilet… here’s the kitchen… here’s the refrigerator”… and so on?

As luxury real estate Buyers become more and more savvy–often purchasing multiple properties in a lifetime–the time spent with a luxury real estate professional has taken on a different role. No longer does a realtor need to show off the basics. These items are either self explanatory to well experienced Buyers, or often they have been well viewed through virtual tours and internet listing displays.

What a successful real estate agent should now demonstrate is what makes your home “Sizzle”? How is your house different than other homes? What is the emotional tie to the home? Why should a buyer purchase this house? Why should your buyer purchase a house in a gated community such as Montreux?

Good agents must learn to tell a story. For example, instead of pointing out the obvious “here’s the kitchen”, the agent can paint a picture of using that fabulous gourmet kitchen for an intimate dinner party. “There is plenty of room for your family and close friends to share a bottle of wine around these comfortable bar stools and expansive granite bar, while the family chef works his/her magic on the very best range. What an ideal space for everyone to be together in this great room layout! You know everyone follows the smell of good cooking.”

This story telling idea works best when you know some details about the Buyers… what some of their “triggers” and preferences are. If they hate to cook, skip painting a picture about the highlights of the SubZero Refrigerator. Instead focus on the homes proximity to some of the areas best restaurants. If they have children, discuss how the bonus room would be the ideal place for game nights and sleep-over’s. And, for the couple with no kids, that same bonus room has the perfect windows for an exercise room, providing views and ventilation! Good real estate brokers such as Dickson Realty, should train their real estate agents these techniques for selling homes.

Don’t Be a Helicopter

In order for the Buyer to truly feel an emotional connection to a home, do not hover over them throughout the house. Paint the picture, see if there is interest in the home, and then get out of the way! There is nothing worse than following a prospective Buyer from room to room, hovering at each step.

After the Buyers have seen the home, give them some space. Offer to step out onto the patio, while they take a seat in the family room and enjoy the view. If they are captivated by the back yard landscaping, offer them a spot on one of the patio chairs with the excuse of checking your voicemail inside. This will give them a chance to discuss the pros and cons of the house, and most importantly, the opportunity to envision themselves living in the home. Of course, this picture does not include even their most beloved Montreux real estate agent!

Another reason to give your Buyers a little space is that most people will not feel comfortable taking about the negative parts of the home with their real estate agent standing right there. Also, keep in mind that maybe your buyers cannot afford the house, but don’t want to discuss finances with their real estate agent within earshot.

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Everything Real Estate Doesn’t Want You Know – Who Control Over Deal Anyway?

September 24th, 2009 Blog Writer No comments

The Real Estate Scam. Okay home buyers and sellers, It’s that time of year again! Time to think about doing what people always do, year after year, in the same predictable way as always. What is that you ask?

Home sellers will call real estate agents to come out to their house to sell them on signing a long-term listing contract with a 50/50 chance of getting hooked up with an under-performing, part time quasi-lazy sales agent who sells real estate (maybe) to “augment their income”. That’s right, home sellers all over America will be duped into dumb deals with fast talking agents who will simply throw their listing into the MLS (multiple listing service) and hope another agent gets lucky and sells it for them. The same old stuff, year after year…

And home buyers too… they will call real estate companies to “inquire about homes” and end up spilling their financial guts out to some para professional, part time real estate sales person (who typically “legally” represents sellers and not buyers) and from there it goes downhill in favor of the agent. That’s right! The agent will have you sign enormous amounts of disclosures and other documents in the process of finding all they need to know about your financial wherewithal to buy a home, information that should really be kept confidential until the (right strategic time for the buyer), not the agent. Nope, that’s not how the real estate people play home buyers. They send them to “friendly” loan officers to get pre-qualified for a home loan and by the time you go out to look at houses, the agents know way more than they should about you, your numbers and your buying strategies. The result? You will pay several more thousands of dollars then you should… money you should have, could have and would have kept in your pocket if you only knew how to play the game. But you don’t and they do and you lose, whether you realize it or not, every time.

And you can forget about the crooked little buyer broker too… that’s a scam if I ever saw one and fodder for a future article. I will say this about buyer reps: how can a real estate agent sign a listing contract to represent the “best interests” of a home seller and a buyer rep agreement to represent “the best interest” of a buyer at the same time? They can’t unless the buyer rep does not represent sellers whatsoever. Even then, it’s a little shaky for the buyers.

What’s the result of this mess? Home sellers waste time and money, buyers spend to much money and the real estate agents earn big fats commission checks whenever they get around to having someone else sell a home for them.

There is so much home buyers and sellers don’t know that I had to write two books, one for buyers and one for sellers called “Everything A Real Estate Agent Doesn’t Want You To Know” to cover their bases effectively. There are so many problems lurking in the real estate system that it will simply blow you away… and it costs consumers billions of unnecessary dollars each year playing the game according to the stupid rules WRITTEN by “licensed sales agents”. Now, what’s wrong with that picture? I’ll tell you what is wrong with that picture…

CAVEAT EMPTOR or buyer beware. Whether you are a home seller or a home buyer you better know what you are doing because if you get screwed, well, that is your own fault. How could that be you ask? Because the NAR (national association of realtors) is one of the largest special interest groups in the nation and they have squeezed congress to write real estate laws in their favor. Which means, if you make a bad decision in a real estate deal, shame on you, that’s your bad, not theirs. You should have known how to play the game. That’s fair isn’t it? They have real estate licenses… but you are on your own…. That’s fair! Find more information about Real Estate Facts here.

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Do You Think You Wish To Vend Real Estate?

September 15th, 2009 Blog Writer No comments

You will find out that the business of buying and selling real estate can be quite money-making . The allurement of high commissions is certainly attractive, and leads aspiring real estate entrepreneurs to believe that it’s easy to make a lot of money in real estate. However, the reality of selling real estate is very different.

Many believe that the toughest part about a career in real estate is passing the real estate exam. I would have to respectfully disagree. I personally have found out that the only way to truly succeed in real estate is to eat, sleep, breathe and live real estate. As far as I am concerned, sacrificing your family, friends and personal interests is by far the hardest part about a career in real estate. In the grand scheme of things, I spent a slight amount of time pursuing a career in real estate. I found, after little more than a year, that I simply did not want to devote my entire existence to real estate sales and quickly redirected my efforts elsewhere. In case you are convinced that a career in real estate is your destiny, consider the following facts before you begin.

To begin, a real estate career requires a significant investment in money, as well as time. Regardless of your state of residence, the real estate commission will require you to pay fees to take the real estate exam. But, before you can even take the exam, you will be required to take a real estate course designed to prepare you for the exam and your career. After that assuming you pass the exam, you ought to pay a licensing fee for your state’s licensing authority to issue your license to you. Once you become licensed, you will usually be required by your hiring broker to join your local association of realtors. Depending on the agency you work for, you may have to pay licensee or agency fees. In order to get started marketing yourself as an agent, you need to have business cards and other marketing devices. Remember, too, that this is the Internet age; therefore, a computer is essential.

Furthermore, after all of the initial start-up costs, there are ongoing expenses like self-promotion marketing and fuel. Unlike other business enterprises, the amount of time, effort and money you give to your business does not directly correlate to income earned. Indeed, an agent can spend many weeks or months with a buyer showing property and working with lenders to qualify that buyer for a home loan. Sometimes the buyer will finally complete a transaction. Sometimes he will not. Likewise, agents regularly spend months showing their listed properties to prospective buyers and searching for other qualified and interested buyers. In the end, a sale may close or the seller may decide to terminate the listing and, perhaps, list again with another agent. So, a new agent must learn the very important lesson to never count on any commission until the transaction has completely closed. Don’t forget that often at the closing table things can and do go not right .

Lastly, one word of caution for would-be real estate agents – real estate litigation is on the rise. I know of several very good agents who became unaware defendants through no real fault of their own. Rather, dissatisfied or remorseful buyers elected to target their agents instead of admitting their own carelessness or haste in buying a questionable property. The pitiable fact is that lawsuits follow deep pockets. Real estate agents are generally considered to be well-off , though this is certainly not applicable to all agents. Yet, it suggests that they are becoming more frequent targets for both legitimate and frivolous legal actions.

To sum up, as with any career, there are rewards as well as drawbacks. Real estate agents are nearly always classified as independent contractors, which affords them greater autonomy and control over the direction of their business than ordinary employee-employer relationships. However, that single advantage is sufficient for many to offset the drawbacks of a trying real estate career.

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