How To Do Your Own Comps For Potential Flips

Real estate investors looking to flip or wholesale properties need “additional” local comps to guide them toward a decision as to whether to purchase each property they consider. Real estate agents are typically only concerned with pricing properties which are “ready to go”, or close to it. However, a flipper or wholesaler is not going to purchase a property for anywhere near the current market value.  

 

Here is an example. Suppose there is a single-family home on a block with neighboring homes selling in the $200,000 range. This property, however, needs a lot of renovation and/or repair, which the current owner is not willing or able to finance. As a real estate investor, you need much more than the comps showing the value of good condition neighboring homes.  

 

 

 

While considering, or upon making a conditional offer, you need to be able to inspect the subject property. This is whether you do so yourself and/or hire a home inspector. Your goal is to determine the cost of bringing the property up to market value. There are costs to consider, ranging from fixtures (roof, furnace, electrical work) to labor (deep cleaning, painting, etc.) to renovation. You also need to consider the profit margin you expect to justify your purchase and the time and expense to bring to market value. 

 

Before doing repairs and/or upgrades to the property for resale, you need to consider roughly $15,000 for commissions and closing costs. You also plan to come out with between $20,000 and $25,000 profit when all is said and done. If you acquire the property for $140,000, it leaves you with a maximum of $20,000 to $25,000 to spend on the rehab. 

 

The $140,000 amount is based on being roughly 70% of market value. However, an investor needs to know if offering $140,000 or less is viable. Most real estate agents base the buyer comps on the $200,000 market value even though an investor will not offer anywhere close.  

 

This is one of the reasons why PropertyChoiceDirect.com offers analytic software which provides local comps based on investor criteria. You can search most neighborhoods and see recently sold nearby properties which were purchased by investors. In addition, you can then compare against “market value” comps to get a much clearer picture on your potential investment.  

 

You can do all of this whether working with a real estate agent or not, and there are no restrictions whatsoever as to which agent you can work with. The software accesses current and updated data and is available month to month with no contract required. Newer investors can access the video training along with regularly scheduled live webinars as part of their membership. 

 

Real estate agents and brokers can also utilize this software for helping their investor clients to acquire more properties. Details at PropertyChoiceDirect.com .

How To Find Investment Properties While Working With Your Agent of Choice

As a real estate investor, especially for one to four units (including single family), it is helpful to understand the role that a real estate agent plays in helping you. Typically, the role is much different from the home buyers they serve. Although in both situations the buyer wants the lowest possible price, the criteria differs for an investor.   

 

Someone buying a home for themselves or their family to live in relies on a real estate agent to meet their needs. Considerations include price, but may also include a school district, proximity to work, transportation, and/or shopping, and specific amenities. On the other hand, a real estate investor might not be limited to a specific neighborhood or be as concerned about the current condition of the property.  

 

Some real estate agents and brokerages attempt to serve investors by offering a list of local investment properties. In many instances, the agent(s) doing so understand how to compile such lists because they are investors themselves. This means that he, she, or they get first crack at potential investment properties within the area(s) they serve.  

 

 

Consequently, the investors they “serve” receive lists of properties which they (agent) have, in effect, already rejected for themselves. In addition, there are some real estate brokers selling software which is designed to analyze potential investment deals. Worse yet, some brokers require investors, already paying to utilize the software, to then engage their brokerage to complete any of the transactions they have “analyzed”. In other words, they expect investors to pay to analyze lists of already rejected investment properties, and when they find one to purchase, then pay that same brokerage a commission on the purchase transaction.  

 

Software to help real estate investors identify and analyze investment property opportunities in local areas and around the country is extremely helpful. However, it is even more beneficial for real estate investing when not affiliated with a specific agent or brokerage in any way. As a result, users can work with any agent or broker they choose, even if only to handle the negotiations and subsequent purchase. At the same time, they get a wider range of properties and more thorough investment data to consider. The cost is often less per month than some local providers and brokerages charge while including their financial and geographic restrictions. 

 

In addition, users have access to scheduled updated training along with hours of training videos. 

 

Details are available at http://PropertyChoiceDirect.com  

Why Real Estate Professionals Need Market Research

“How did he/she know that?” If you have ever missed out on a property or real estate opportunity because you simply didn’t know about it soon enough, you know the significance of Market Research.

 

The right information transforms in to the right opportunity. You could be a real estate agent that doesn’t know you just outsold your farm area’s top producer last month. You could be an investor who didn’t know that a property you turned down had additional zoning options. You could have lost out on a bid because you didn’t include enough information.

 

If you work for a company which provides “market research”, it means that others in the same office also gain access to the same information. However, what helps your company may not always help YOU.

 

You need facts and data to help toward your next sale, transaction, or goal. One important fact is that there are only so many hours in the day. Not enough to be able to gather and promote the important elements which could be the key toward your next success.

 

There is a big difference between “shared research” and your very own “market research”. That difference impacts your bottom line.

 

 

 

For example, research is crucial for a law firm of any size. There is a lot more than the facts relating to the case an attorney needs to win. They need to find and pull specific information from other cases which went in the direction he/she hopes to accomplish. They need to find and pull facts and theories which support the argument they need to present. Additional research may include digging up facts about the other party and elements of the legal action which could be used to cast a negative light on the opposition.

 

Chances are the opposing side anticipates the “common” data and will be ready to defend and argue.

 

Think about this for real estate. If your offer, your comps, or your proposal contains the same data as your competitors, your presentation is much less likely to stand out.

 

In every instance, if you can bring unique and helpful market research to the table, you stand to gain because of it. Just like with law firms, you don’t have to do it all yourself.

 

FIRST IN performs market research, whether on long term retainer or for a short-term project, to make you or your business be the shining star!

 

One agent in a small community, which earlier had us sort their database, needed more single family homes for buyers. Market research uncovered a multi-family listing which sat untouched for six months but was also zoned for single-family.

 

An email to only to his local investors produced a buyer. That buyer quickly tore down and built an upscale single family home, from which the sale brought the investor roughly $100,000 profit eight months later. That agent gained two commissions within one year from the same parcel from this opportunity which would not have happened without our services.

 

Another agent was able to point out how a competitor failing to update their website cost a seller thousands of dollars and what she does to prevent those mistakes for her client.

 

Chances are you don’t have time to explore ways you can beat your competitors, but knowing those “ways” would increase your income by thousands of dollars. Hiring FIRSTIN to monitor your competition while creating advantages for you or your company allows you to do just that.

 

How do your competitors acquire their leads? Why does their process differ from yours? What distinct advantages can you bring to the table?

 

Whether you hire us for ongoing “behind the scenes” research and monitoring, or for a live virtual session to provide and receive immediate and direct input and strategies, it’s easy to add a new member to your success team!

How Landlords Can Pre-Lease Apartments - and Keep Them Leased In Advance

You have the floor plans and/or blueprints for a 20 or more unit multi-family property. It is weeks (maybe months) before construction or renovation begins. Your goal is to have every available unit leased before your “ready” or delivery date.

 

Perhaps you own and operate large apartment buildings and want to keep every unit under lease. Even if fully rented now, leases expire and some valued tenants will relocate, creating future vacancies.

 

Either way, currently you are not able to do advance showings of available units in order to get them all leased. However, having a leasing office or model apartment costs you for the space, the staff, and maintenance every month it is needed. Paying commissions to a broker may get the job done, but results in thousands of dollars out of your pocket. As tenants come and go, those thousands in tenant acquisition costs continue to add up.

 

FIRST IN Real Estate Marketing has a complete solution for apartment building owners (and leasing managers). This solution reduces or eliminates the need for the aforementioned ongoing costs.

 

It starts with our “Custom Interactive Virtual Staging”. The tech team starts with your floor plans and/or blueprints. There is no need for the property to exist, or to visit the property site. Created to scale, the tech team showcases the specifics of each room or area of the property. You could have selected rooms be done, such as bedrooms, bathrooms, and kitchen. You could do a “before and after” to showcase a renovation. You can show “Behind the Walls” to feature integration of HVAC, Solar Panels, or retrofitting. If your units offer a spectacular view, it can also be shown as part of the created “tour”.

 

The strength is that a potential tenant can literally do a lot more using this feature than if they were standing inside the actual property!

 

Custom Interactive Virtual Staging can be used to impress:

 

+ Investors, Potential Partners

+ Contractors, Installers

+ Potential Tenants

 

Perhaps the most popular of the amenities is our ability to add Selection Panels for the viewing experience. One example is a Paint Panel which allows potential tenants to experience specific rooms while able to choose among a panel of wall colors. They would see how certain colors would match their furniture.

 

Other examples are Selection Panels for flooring choices, fixtures, and/or furniture styles. These are custom designed to help potential tenants envision themselves and their possessions being in your property.

 

Meanwhile, contractors and installers can use this to determine how and where to handle the job they are assigned.

 

Once prepared to meet your specifications, the next step is to implement your method(s) to showcase your property. Your choices of methods include:

 

+ Online tours

+ In-person presentations

+ Virtual Reality goggles

 

Online Tours allow potential tenants to do a 360 tour at any time, and (if you choose) be able to apply while still visiting your website. This amazing technology allows for family members in different locations to login and “tour” simultaneously!

 

In-person presentations allow you to showcase the property on any size monitor or screen at sales offices, conference rooms, conventions, or anywhere you have potential tenants.

 

Virtual Reality goggles can be utilized to let potential tenants to walk or ride through your unit(s) as if they are actually there by doing a 360 tour. They have the ability to change colors, flooring, and/or whatever you use Selection Panels for.

 

Once fully leased, this ongoing feature can be used to showcase for upcoming vacancies. (If a tenant is moving out at the end of March, you could let them experience the unit long before its April 15^th availability.)

 

If and when you operate other apartment buildings, chances are we can modify your Custom Interactive Virtual Staging for future use for a lower cost. Therefore, your cost to fill “new” vacancies will be even less.

 

All you need are floor plans and/or blueprints to request your free estimate. Our team will take it from there. You could be ready to pre-lease or lease using this custom program within 30 to 60 days!

 

Custom Interactive Virtual Staging 

 

 

 

 

This Great Idea Ames At All Communities

Let's see if we can get the students at Ames, Iowa to lead the way by example with this great idea for community engagement.

They have come up with themed gatherings for the entire community. Since I work with real estate brokers and brokerages around the country on marketing, I can't help but think this is an idea which should be "sponsored" by local brokerages in communities all over.

THIS is how you develop rapport with local homeowners of all ages and ethnic groups. I'm happy to help new marketing clients on this.

Here is the article with this fantastic idea:

https://bostonrealestatetimes.com/grand-88-acre-estate-minutes-from-spofford-lake-in-nh-heads-to-auction-on-oct-15/

Selling Houses On A $10 Budget

There are times when the marketing budget is limited while looking to sell a property. Sometimes it is more practical to spend on marketing instead of spending hundreds or thousands producing a professional video. After all, there are plenty of poorly shot videos which still get tons of views. This is where a Smart Phone Property Tour makes a big difference.

 

Sometimes a listed property will only have certain rooms or areas that will appeal to potential buyers. That could be another reason why it isn’t worth having a professional video shoot. Many agents spend hundreds or thousands of dollars on a video tour, and then lack the funds to generate views.

 

Many smart phones include video cameras with good to excellent quality. An agent can create his or her own video at a listed property. He or she can script and narrate it while walking through various rooms. Or, they can concentrate on the kitchen or rooms which are the best selling points. This can be done with or without editing or post production, such as music or tight edits.

 

If not satisfied with how it looks, a video can be done again until it looks “right”. Once it is completed, it can easily be available for viewing through both android and iPhones. By choosing a Smart Phone Property Tour, the video, regardless of length, can easily be seen by potential buyers.

 

There are no technical requirements beyond submitting your video with the order. A custom web link will be assigned. The direct link to the video can be based on the street address of the property, the name of the development, or the name of the listing agent.

 

Within a matter of hours, the property video can be promoted to potential buyers at little to no additional expense. The agent simply adds the link to existing web pages and social media feeds, as well as printed materials. In some circumstances, it can be placed on the For Sale sign at the property.

 

Obviously, whenever a potential buyer likes what they see on their phone, they can quickly and easily contact the agent. After all, he or she already has their phone in their hands! This one-step process enables hundreds of potential buyers to easily view the video and contact the agent.

 

Cost is only $10 per month per property, with no limit to the number of listings which can be submitted. Smart Phone Property Tours are available now.

 

http://EnhancedNetworkEquipment.com

 

Getting Your Video Tours On Potential Buyer Phones

Some agents spend a significant portion of their marketing budget for a listing to have a Matterport tour produced and ready to go as soon as possible. No matter how excellent the finished product is, the challenge becomes getting as many potential buyers as possible to see it. The new Smart Phone Property Tour feature comes to the rescue.

 

The agent’s web page may not have enough visitors to generate significant enough viewing. When placed on the company’s website, their tour often becomes one of many currently available. Social media promotion results tend to vary. In those situations, a potential buyer may easily be distracted by seeing other similar listings.

 

Meanwhile, chances are most home buyers have no idea what Matterport is or does. Some agents will not share a tour with their buying clients because they do not spend on them for their own sellers. Advertising of the listing needs to contain the important facts and amenities of the listing.

 

With a Smart Phone Property Tour to support a professional video tour, potential buyers can easily experience your listing. It becomes one easy step for them to have it on their phone for easy viewing. This is technology they can easily use, whether they have an android or iPhone.

 

There is absolutely nothing to change or add to your professional video tour. The result is that it becomes available to potential buyers everywhere they can use their phone.

 

Each “tour” is assigned a custom easy to remember link, which can be selected by the listing agent. The custom link could contain the property address or street number, such as 7654 for 7654 Main Street. It could be the name of the development, such as "West Hills", or the name of the listing agent.

 

Creating an easy link for potential buyers makes it simple to pick up their phone and check out the tour. It will be just as easy for them when linked from social media or anywhere else. The agent is able to choose their custom link, subject to availability.

 

A Smart Phone Property Tour is available for only $10 per month per property.

 

http://EnhancedNetworkEquipment.com

 

Easy Creation of Interactive Virtual Staging

FIRST IN Interactive Virtual Staging process begins with our tech team creating the property (or selected portions) to scale. This is referred to as a “Virtual Environment”, which is designed to look and function exactly like the property it portrays.

 

This is created from floor plans, blueprints, or sketches, and is based on the square footage of the property and the various rooms or areas. Because each “Environment” is created from floor plans or drawings, there is no need to visit the property or property site. A subject property can have a Virtual Environment completed at any phase, ranging from before groundbreaking to existing for many years.

 

The creative process can include the entire property or only selected rooms or areas. For example, it is possible to feature the master bedroom and a 2^nd and 3^rd bedroom instead of an entire unit, or show one bathroom with a shower and another with a bathtub.

 

Residential properties offering a specific view, such as a waterfront or elevated city view, can submit specific photos of the view for the tech team to incorporate. This includes upper floors, with drone photos a possibility.

 

A FIRST INVirtual Environment can feature an entire interior (or selected rooms as indicated above). Exterior space and amenities can be included if desired. Most common exterior requests include showcasing landscaping, a pool, deck, and/or patio, and parking options. If a developer or builders wishes to show exterior design styles and allow for paint color choices, it can be included.

 

Specific square footage and layouts are important to the final presentation. Potential buyers or tenants experiencing the property Environment should be able to negotiate hallways, corners, and shelf heights as realistically as possible.

 

The process of creating a precise Virtual Environment from scratch takes our tech team several business days to complete, and is key part of the preparation process.

 

Residential developers, builders, or brokers, anywhere in the world can request a free no obligation estimate by providing the necessary information on qualifying properties. 

 

Once created, there are numerous ways that everyone from designers, installers, and contractors to potential buyers, tenants, lenders, and investors can "view" the exact property or selected rooms. These ways range from being at the property site or sales office to online from anywhere. 

 

Consequently, important decisions can easily be made prior to visiting the property site and/or prior to the property being built or completed.

 

http://AdvanceHomeBuying.com 

 

The Importance of Advance Interactive Virtual Staging During New Construction

Ultimately, the goal is to market each property to the end user, whether it is a potential buyer or tenant. It is this phase which is the most significant use of a finished InteractiveVirtual Staging Environment.

 

 

This is because the subject property does not need to be built or completed, since all that is needed are the plans. Its location can be anywhere in the world including multiple locations.

 

Perhaps the most significant feature of FIRST IN Interactive Virtual Staging is that a potential buyer or tenant can actually do more with it than if they were standing inside of the completed property. While at the property, they might not like how a wall color, flooring, fixtures, or the furniture style looks. You can show them photos of sample tiles, but a hand held sample does not do your property justice.

 

When using our Interactive Virtual Staging, they can experience the property under a variety of choices. Once they see how furniture similar to theirs would look, or with a preferred choice of color, their level of interest is certain to increase.

 

Potential buyers and tenants can experience this feature at the property. Better yet, they can also experience it from the comfort of their current home. They could be in your sales office or anywhere there is Wi-Fi. If using Virtual Reality goggles (or with a Play Station 5), they could “walk through” the property room by room and make choices.

 

A huge element to this feature is that our Interactive Virtual Staging can be available months before construction or renovation is completed. The original idea of this concept is to be able to have it sold (or rented) on the ready date.

 

There are many financial advantages for a builder/developer to have the property sold or rented before the ready date. The immediate financial savings include:

 

+ Maintenance costs

+ Security costs

+ Personnel (property manager, sales staff)

+ Utilities costs

+ Possible staging costs

+ Possible mortgage or construction loan interest costs

 

Before Interactive Virtual Staging was so readily available, it would take months and months to sell out a development. The monthly costs for several units, even for three months, often far exceed the cost of our Interactive Virtual Staging. Real estate agents and brokers had to wait those months before earning their commissions.

 

Meanwhile, having a new project sold or leased as soon as possible allows the builder/developer to more quickly move on to their next project. That could add millions of dollars more to their pockets more quickly!

 

This is why Interactive Virtual Staging is so effective. The savings and financial benefit outweighs the cost. Potential buyers and tenants gain more and better choices with more reasons to consider the property, even if they can see it.