Trying to sell your property quickly for reasonable market value? Set your property up for quick sale using DC Fawcett Real Estate ideas! Get your house ready to sell for more profit now!
If you are into real estate business and selling the property for first time then you may wonder how to do it for more profit and get the most of your home. You can ensure a speedy sale of your property with the help of few hacks and techniques from the desk of DC Fawcett who is a renowned real estate expert.
How can you sell your house faster even in an unfavorable real estate market?
Real estate market has its ups and downs always. You can’t find a favorable situation all the time to sell your house or property faster and for higher market value price. Here are few points to remember while selling your house or property,
Price your house reasonably. This is very important because the overpriced house might get rejected soon after you announce its price. Refer to online multiple listing websites and search for the properties which are out for sale. Compare the prices of your neighborhood properties and fix the right price.
Appearance of your property assures the speed sale. If you are selling the house for first time then make sure you have done the basic moderations, repairs and renovation works so that your house looks better when you show it up to a buyer.
At the same time, calculate the acquisition cost and resale value of your house. Your resale value should exceed the purchase value and renovation cost. Manage your renovation expenses accordingly.
Do a thorough research on surroundings and know whether any major construction or big projects are planned near your property. This could act as an added advantage and you can convince the buyers with these points and sell your property fast.
Do a necessary renovation, repairs and maintenance for your property so that important flaws of your house are corrected. Do not invest a huge money in fancy moderations or renovation like modular kitchen, gardens etc. since you may or may not get that investment back while selling the property. Do necessary repairs and renovation works which requires very low investments.
Your property and you should be available at any time to show up. Buyers may contact you at any time and you should be flexible with timings. Allow them to discuss the advantages and disadvantages of house by leaving them alone for sometime.
You can list your house in all the major online multiple listing websites so that you get multiple responses from the buyers. Use social media to advertise your sale through which you get more responses nowadays. You can add some nice photos of your house which grabs the attention of the buyer fast.
What should you not do while selling your property
Leave the emotion aside while selling your home and view the deal from financial perspective so that you can negotiate with the buyer confidently.
Try to sell your home by yourself without hiring any agent. Any realtor might charge you 5-10% of brokerage commission on total house sale value.
Do not invest a huge money for renovation or repairs since it may or may not return while selling your property
Do not leave your personal things and remove your properties before showing the home to buyer.
DC Fawcett is a real estate entrepreneur come trainer, helping all real estate fervents to achieve their goals by means of his seminar and camps. In addition, he also teaches how to develop a real estate business and produce different income streams.
REIT ( Real Estate Investment Trust ) is an organization or a company which either owns or finances income-generating real estate. Investors get all types of regular income streams, diversification, and long-term capital appreciation from the REIT. These companies pay the taxable income to the shareholders by way of dividend, for which the shareholders have to pay the tax on dividend income. DC Fawcett suggests the investors to choose the right REIT.
REIT’s are known as total return investments. They provide high dividends and potential for moderate, long-term capital appreciations. They offer
High Dividend Yield
The dividend yield in a REIT is significantly higher than other equities.
Income and long-term growth
REIT provides long term returns apart from the returns from other stocks and bonds
Publicly traded REIT shares can be readily converted into cash as the trading is done in major stock exchanges.
How to choose REIT’s and their financial benefits
An individual might invest in a REIT that is listed on the stock-exchange. They also go to REIT mutual fund or exchange-traded fund. Profitable investment Investors also have the capacity to invest in public non-listed non REITs and private non REITs.
REIT stocks and shares are publicly priced in stock exchange- listed REIT’s like other companies. To assess the investment value of REIT shares, certain aspects are taken into consideration.
- Anticipated Growth in EPS(Earning per share)
- Anticipated total return from stock that is estimated from the price change and the dividend yield.
- Current dividend yields of bonds, utility stocks and other high-income investments.
- Percentage of dividend payout ratios.
- Management quality and corporate structure
REIT’s financial benefits
What is the benefit you get into investing in REIT
The market rewards the companies that consistently pay the dividend and has a growth in earning-per-share ratio and stock valuation metric. You need to make sure that
- The company has the ability to increase its earnings unfailingly.
- REIT management teams are able to reinvest the cash flow quickly and effectively while simultaneously developing other strategies to create new revenue opportunities.
- Strong operating characteristics that uses the strategies for succeeding in competitive markets like effective corporate governance procedures, conservative leverage, acceptable accounting practices and strong tenant relationships.
Earning measurements and ability to pay dividends
You need to compare the amount of dividend for the previous and the current quarter and assess how much the company growth has improved in REIT earnings, which are generated by higher revenues, lower costs, and new business opportunities.
REIT role play in retirement savings
REIT’s are the main aspect when it comes to an investment portfolio and retirement savings. The REIT’s should pay at least 90% of their taxable income to the shareholders by means of dividend, making them a strong income-generating investment.
In the last decade, investors, who has been investing in commercial real estate has switched on to REIT because of its attractive offers.
Shops, commercial buildings, industries, retail, wholesale, warehouses, hotels and educational institutions come under the commercial property. You can either buy the property directly or indirectly by investing in property companies, developers, house builders or even in funds. However, as a beginner, it might be a daunting task id you don’t have enough funds or have a bad credit. DC Fawcett suggests the best ways for the starters to invest in commercial real estate.
Best Way of investing in commercial real estate investment for beginners
There are so many factors to consider before you think about starting to invest in commercial real estate. One of the main factors is budget and location. Prices for commercial building or complex vary according to the location and area. One of the ways is to ask a professional real estate agent about investing in commercial property. If you are looking to invest in commercial real estate as a beginner, following are the ways.Real estate rating.
Learn what the insiders know
To be a professional in this trade, you need to think as a professional and take tips from the people who are experienced. You need to know that commercial property is different from the residential property. Even to avail the loan, you make at least 30% down-payment to the commercial property lenders.
Map out an action plan
The top real estate professionals are able to make out whether the deal is good enough. They make use of exit strategy, i.e. they know what deals they should accept and what not.
Get familiar with key commercial real estate metrics – It consists of:
NOI (Net Operating Income)
– The commercial property’s NOI is calculated by evaluating the property’s first year’s gross operating income and deducting the operating expenses for the first year
Cap rates – Real estate cap or capitalization is used to calculate the net present value of income generating assets.
Cash-on-cash – Most of the commercial real estate investors rely on financing to purchase properties abide to cash-on-cash strategy in order to compare first-year performance on commercial properties. This approach takes that the investor does not pay 100% cash for the property on one go and won’t keep all the NOI if they have other commitments like paying the mortgage loans. To uncover cash-on-cash, you need to calculate the amount required and stick to your budget
Look for motivated sellers
Like any other business, the customers’ drives real estate too. You need to find the sellers, who are ready and eager to sell below the market value. Nothing happens or matters in real estate till you find a motivated seller.
Study the neighborhood
To evaluate the commercial property, you need to study the neighborhood, where it is located in by going to their houses, talking to other neighborhood houses, and looking for the vacancies.
Apart from finding and evaluating commercial properties, getting a great price and communication, you need to build a good relationship and rapport with the homeowners.