Updated: Friday, October 09, 2015
Use Corporate Sales Strategies to Sell Your Home
Competition is keen in the corporate world. Just think of Apple VS Samsung or The Gap VS J Crew. McDonalds, Burger King and Wendys. How do they make their phones, clothes, and burgers stand apart from each other? The answer is that they follow a strategy and you can do the same thing to sell your home.
Lets start with Apple and Samsung. Apple distinguished its products by going white when other hardware producers had black or metallic casings. Samsung imitated the success of Apple products by copying their interfaces, then took the inside lane by creating a bigger viewing screen. So what does that have to do with selling a home? Here are three ways you can use world->
Paint it white. One reason Apple products are so hot is the cool factor. Their products are streamlined, minimalistic and great-looking. Thats the same thing you should strive to do when selling your home. Like Apple did away with the hard drive, get rid of anything you dont absolutely need for a clean, uncluttered look. Paint your home a single color like white so your buyers can see the bones of the house.
Make it unique. Theres a reason you cant shop anywhere else to get the fit you want. The great retailers like J Crew tell a story by creating their own branded clothes and accessories around a theme. You can do the same thing. Make your home stand out from the neighbors with a feature they dont have like a treehouse or a koi pond. Greet visitors with a tableau -- a porch swing decorated with fresh pillows and a tabletop with a tray of lemonades.
Add value. Recognize that competition is stiff, so you have to do something to make your home a little more attractive to buyers. While you cant supersize your home like a McDonalds burger and fries, you can offer more for the money like a meal deal -- a burger, soft drink and fries for less than they would cost separately. Offer touring bikes for the next family to enjoy around the neighborhood. Throw in the first year of HOA fees in exchange for a full-price offer.
You want your home to be memorable and inviting. Let the big corporations show you how its done.
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Investment Property ROI: Why Going Beyond Your Network of Friends is Critical
The recovering residential housing market continues to offer lucrative investment opportunities for first time and experienced investors looking to fix and flip a house. However, a new challenge is emerging out of the recovery: a shrinking tolerance for mistakes. The single largest mistake beginner real estate investors make today is trying to do it all themselves or >
Sometimes a friend may have a knack for what color to refinish the hardwood floors, or who to use for repairing a roof, but ra>
Assessing an Ever-Changing Market
Property values in many regions of the country have recovered and fewer distressed properties are making it to the market so the market is less forgiving. Those who were investing in the downturn learned their lesson and what mistakes not to repeat when the margins were far wider than they are today. Investors who are now counting their fix and flip successes in the double digits resoundingly say an investor must be able to make an accurate assessment of the propertys value and calculate a realistic cost for the rehabilitation -- and execute to achieve the desired margin. When it comes to investing, working with the right vendor partners -- from appraisers to contractors to suppliers -- was the hardest lesson learned.
Theres no easy way; investors have to be ready to work and understand and mitigate risks across the investment lifecycle. They also need to know that their insulated network of family and friends may be free or ready to do a project at a discount -- but they may not be the best people to turn to. Many investors think the more work they can do themselves the more ROI theyll see. Evaluating new vendors takes time -- but it can be time well spent if it makes an investment much more profitable by avoiding lost time and revenue from the mistakes less experienced investors and their friends are likely to make.
Third party experts can provide immediate pay-off by utilizing proven best practices and proper planning which can go a long way towards avoiding big mistakes. Appraisers can help determine as-is and after repair values and a general contractor can ensure you are receiving a proper assessment of rehab costs. Investors can use this information to determine whether the property has the potential to achieve the returns they are seeking before buying.
Once it is determined that the end product can achieve the desired ROI, a knowledgeable and >
General Contractors: The Key to Achieving ROI
The single greatest lesson successful real estate investors have learned is how to hire one of the most important vendors: the general contractor. To do this, an investor must look outside their network to evaluate contractors and find the right fit. The investors cousin who is handy with a hammer may not be the right choice. Hiring an experienced, professional contractor at the outset ensures their experience in the market is going to help improve the bottom line when it comes time to sell or rent the property.
Choosing a contractor begins with a background check to identify if they have had a recent bankruptcy or foreclosure events, any fraudulent or criminal activity on record, and is financially solvent and capable of seeing your project through completion. The investor should ask for a minimum of 5 references and call each and every one of them. Let me repeat: yes, 5, and yes, call everyone one of them. Keep in mind that the references supplied by vendors are almost always likely to be positive, so as you narrow the list, be sure to go see some of their work in person.
When rehabbing a property the investor also needs to know they are hiring a renovator, not a builder. A novice investor should have someone running their project that has performed rehabs on similar properties. They want a contractor who knows the neighborhood. This is important as they will know the finishes that are consistent with the surrounding homes and wont recommend granite countertops when this would be the only house on the street with that expensive upgrade. Additionally, they should know the local climate enough to know there may be particular issues, such as mold. This may seem obvious, but investors moving from the Sun Belt to the Rust Belt -- following markets primed for fixing and flipping -- are not uncommon and unfortunately they are not aware of risks inherent in the new market as their knowledge doesnt always transfer seamlessly.
At the end of a project, when the property is sold, the lessons learned with a network of skilled vendors on the team will have prepared the investor for their next project -- not sitting back reviewing the laundry list of mistakes and who to hire to fix them. By hiring the right experts, from appraisers to contractors to suppliers, investors can find success and then share it with friends and family as they choose -- a much better outcome.
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|Thomas OSullivan is CEO of Residential Investor One, a national cooperative that connects residential real estate investorswith the resources, bargaining power and tools they can use to profitably run and scale their business.|4 Reasons To Buy A Condo... And 4 Reasons Not To
If youre buying your first place, moving to a city where high density is the deal, or perhaps moving down and looking for more of a lock-and-leave life>
Condo living is a commitment - to close quarters with your neighbors, to elevator rides to walk the dog if youre in a high rise, to muddled voice and footsteps from above if you dont have great insulation. Which might all be a worthy tradeoff for letting someone else handle the maintenance and being able to go from renter to owner. Want to see if condo living is for you? Read on.
4 reasons to buy a condo
1. Its less expensive than a house
One of the main draws of condo living is the affordability. Of course, thats >
"Obviously, the cost of a condo versus a house depends on the size of the home, the property values of the neighborhood and the cost of living in the area," said US News. "But typically, youll spend less on a condo, especially in higher-cost markets where condos can be the only alternative to high-priced, single-family homes," says Amy Tierce, a regional vice president with Wintrust Mortgage in Needham, Massachusetts."
2. Lower maintenance
If you dont want to have to water the flowers or mow the lawn, condo living can offer a distinct advantage. You generally wont have outdoor space to worry about unless you purchase a detached condo, and, in most cases, the Homeowners Association takes care of any exterior and common area maintenance, including any landscaping in the front of your place.
"For busy home owners, not having to actually deal with the upkeep and looks of their home can be a very good thing," said Street Directory. "You have the benefits of home ownership, without all the responsibilities that go along with owning property."
3. Its all yours
Yes, some condos can feel apartment-like. But itll feel much more like a home once youve put your personal spin on it. Your landlord may not have let you paint or change out fixtures, but in your own place, youre only limited by your imagination - and your budget.
4. For the amenities
You may be looking at luxury hotel-like condos that offer a fitness center, doorman, or valet or all of the above. Or perhaps youd prefer a large pool, sundeck, and clubhouse. Amenities that are standard in many condos offer buyers the opportunity to enjoy a taste of the resort life>
Emerald Coast Realty
4 reasons not to buy
1. Traditionally, condos appreciate more slowly than singe-family homes
Real estate buyers arent typically drawn to places that dont offer a great value. But condos may not compare to single-family homes when it comes to building equity.
"Condominiums often appreciate in value much slower than single-family homes," said Money Crashers. "This is because you dont own any land, which is the biggest driver for appreciation. Instead, you only own the living space. Theres a big difference."
2. Common walls
Have kids, dogs, a loud voice, or a late-night TV obsession? You may bug your neighbor to the point that its uncomfortable for you both to live there. Or, they may bug you If youre worried about common walls, do your research:
- Listen up - Ask your Realtor to schedule a visit during the dinner hour or on a weekend so you can get a good feel for the noise and activity level
- Ask around - The neighbors should be honest about the living conditions
- Inquire within - If its a newer community, you may be able to find out from the builder if the insulation is upgraded to your standards
3. You want a yard
You might be able to find a pocket of grass and a mini patio, but if youre looking for ample outdoor space, single-family is the way to go.
4. It might actually be more expensive
With a condo, you may have higher interest rates depending on your loan, plus monthly HOA fees that can be hundreds of dollars. And, US News warns to beware of condos that dont have their finances in order.
"Some condos are underfunded and therefore have no money in reserves to pay for capital improvements such as concrete and wood repair, painting or roofing," they said. That could create a situation where each of the owners is assessed to pay for the repairs.
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