Reinventing Real Estate, Part 1: Online and Empowered Consumers Are Taking Charge and Paying Less

For decades, the real estate world turned in a predictable manner. The roles of buyers, sellers and real estate professionals were fairly well defined and transactions followed a predictable path of yard signs, newspaper ads, open houses and miles of paperwork.

Recently, online and empowered consumers have changed the game. Real estate professionals now face issues similar to the ones that have transformed the retail, personal finance and travel planning industries. As technology advances and new business models evolve, the real estate industry has begun to transform itself from providing traditional, carefully controlled "agent-centric" transactions to new "consumer-centric" practices. The following is a look at some of the recent industry trends and how buyers, sellers and investors can expect to benefit. The "Five Ds" that are driving change in real estate are:

1. Disruption - Over the past 10 years, the Internet has matured into a powerful platform for delivering real estate information, forever changing the interaction between buyers, sellers and real estate professionals.

2. Displacement - The popularity and acceptance of self-service and consumer-direct business models is being felt by real estate professionals, who are striving to develop attractive new offerings for Web-savvy consumers.

3. Demanding consumers - You now have more real estate knowledge, tools and resources at your fingertips than ever before. More savvy consumers tend to be more independent and demanding.

4. Downward pressure - Traditional real estate commissions of 5-6 percent of a property's sales price are facing downward pressure.

5. Developing alternatives - The real estate industry is transforming itself to provide targeted services and exciting new options that add value for consumers.
Disruption

"We are going to see our industry go through dramatic transformation via the Internet and consolidation of agents and companies." - eRealty Times Columnist Dirk Zeller

Some industry observers have adopted Harvard Business School professor Clayton Christensen's term "disruptive technology" to explain recent developments in real estate. Though it's easy to point to the World Wide Web and advancing technology as the main changes in real estate, that's only part of what's shaking things up. Essentially, the real cause of disruption is not just technology, but technology-enabled real estate consumers.

Web-enabled consumers

According to the National Association of Realtors (NAR), more than 72 percent of homebuyers now begin their home search online. The popularity of online real estate ads surpassed newspaper property listings back in 2001, and the gap is widening. Less than one percent of buyers first learned about the home they purchased on the Internet in 1995, while in 2004, that number passed 20 percent.

According to a California Association of Realtors (CAR) survey, 97 percent of respondents said the Web helped them understand the buying process better and 100 percent said using the Web helped them understand home values better. Web-enabled homebuyers like you are taking a more active role in researching homes and neighborhoods. You also now spend less time with real estate professionals once you have completed your research. Internet homebuyers also used the Web effectively to filter out properties that did not interest them, visiting 6.1 homes on average versus 15.4 for traditional buyers.

Today, you can view photos and detailed information for hundreds of properties in the time it used to take to visit a single one. And the Web provides much more opportunity than simply moving print listings online. The growing availability of residential high-speed Internet connections has boosted the popularity of virtual tours and interactive maps, providing consumers with powerful and flexible visual search tools.

In addition to making home searches easier, automated valuation model (AVM) software is making a big impact in how properties are evaluated. AVMs, which generate valuation estimates by analyzing and comparing property information data, are becoming increasingly sophisticated and accurate. While not considered a substitute for human appraisals, AVMs are gaining popularity because they are inexpensive, easy to use and produce valuation estimates in minutes. Now AVMs, used extensively in electronic mortgage approval processing during the recent refinancing boom, are becoming available on real-estate Websites aimed at consumers. This is a significant development for independent sellers, who often find it challenging to price their properties correctly when selling on their own.

The MLS goes public

"In real estate, MLS data sits at the apex of the change, specifically the MLS information that is pushed to the Internet every minute of the day." - Bradley Inman, Publisher of Inman News

Once an exclusive tool for real estate professionals, the multiple listing service (MLS) has in recent years become a very public platform for real estate listings. The MLS is the nation's most comprehensive database of properties for sale - four out of five homes sold in the United States are listed on the MLS.
MLS properties are available to agents and brokers worldwide, and are now accessible via consumer Web sites such as Realtor.com, WSJ.com, Excite, Netscape, AOL and MSN. MLS listings also appear on local, regional and national brokerage Websites through Internet Data Exchange (IDX) agreements that allow participating Realtors to share listings and display them to consumers. Even though only licensed realtors can list property on the MLS, the system has begun to figure prominently for the $110 billion independent seller (for-sale-by-owner or FSBO) market. About 13 percent of real estate sales are now FSBO, conducted without a broker's assistance.

Type "flat fee MLS" into any major search engine, and you'll see dozens of real estate professionals willing to list your property in the MLS for a fee. If you are willing to pay a commission of 2-3 percent, you can attract the attention of thousands of agents who will show your property to prospective buyers. You can then reduce the cost of the sale to about half a traditional 5-6 percent sales commission, plus the cost of the MLS listing. If you find an independent buyer working without an agent, you could make a sale with no commission at all and pay only an MLS listing flat fee.
Displacement

Currently, about 2.4 million real estate licensees operate nationally, according to the Association of Real Estate License Law officials. The NAR has more than one million members, up from about 760,000 members five years ago. Many real estate professionals and industry observers expect a significant decline in this number because some tasks traditionally performed by agents and brokers can now be done more quickly and easily by Web-enabled consumers.

"Historically the fundamental driver of the real estate industry was the control of information. The real estate agent and the real estate office were the only sources of comprehensive information on which properties were for sale and those who might be interested in buying them. With this control revenues were practically guaranteed.

Moreover, because this exclusive control was akin to a monopoly by virtue of the multiple listing service (MLS) any firm of any size could serve the customer equally well. As a result, the number of real estate companies grew without regard to market efficiencies.

Simply put, the traditional model is too inflexible. Consumers are seriously questioning the value of a real estate agent. They frequently feel that many of the traditional tasks undertaken by the agents are now either no longer required or can be done by the consumer themselves."

- Swanepoel & Tuccillo, Real Estate Confronts Profitability

The quotes above, from a popular report on emerging real estate business models and dwindling profit margins, highlight a number of issues traditional real estate professionals are now facing. And if the real estate industry has grown historically without regard to market efficiencies, the issue has only been compounded since 2001, as new agents signed on in droves, lured by low interest rates and skyrocketing home prices in many areas. It's likely that the number of traditional real estate agents will decline, while new types of real estate jobs will be created to deliver value to Web-savvy customers.

NEXT in Part 2 of 2: - Demanding Consumers, Downward Pressure and Developing Alternatives

California Real Estate Agents

Consumer purchase power has increased despite inflation. Easy and hassle-free mortgage plans have helped numerous people pay for their own property rather than opt for rented property. This progressive consumer pattern has been a boon for the real estate trade. Services of real estate agents in California could be advantageous to clients when considering the purchase, sale, rental, or lease of a property.

Real estate agents are qualified specialists who are well versed with real estate trading. Agents have in depth knowledge regarding the property they deal with and are well versed with legalities involved in California real estate deals. Real estate agents may be able to satisfy customer queries related to property costs, appraisal, and motive of sale. They are well informed about property sizes, maintenance costs, and legal restrictions.

In order to select an appropriate California real estate agent, clients may approach any of the real estate firms or private brokers in the locality or online. Agents and clients may be able to discuss specific requirements, budgets, and other legalities at meetings or online. California real estate agents can provide information in relation to mortgage types for outright purchases. They may also recommend names of banks and financial institutions that may provide funds upon the presentation of their credentials.

California real estate agents work through a widespread system and may deal in property all over California or in a certain area within a particular city. They act as mediators for buyers, sellers, and rental agencies. Very often, clients do not meet until a property deal is settled upon. Real estate agents are often authorized to negotiate a deal if one party lives outside California. Real estate dealers prefer to hire agents as it helps in increasing the volume of sale. A number of California real estate businesses hire agents as salaried staff. Agents also receive additional payments for deals closed by them. These commissions are paid from service charges paid by clients.

Real Estate Agents and the Internet - How to Buy and Sell Real Estate Today

Then and Now

Ten years ago, a search for real estate would have started in the office of a local real estate agent or by just driving around town. At the agent's office, you would spend an afternoon flipping through pages of active property listings from the local Multiple Listing Service (MLS). After choosing properties of interest, you would spend many weeks touring each property until you found the right one. Finding market data to enable you to assess the asking price would take more time and a lot more driving, and you still might not be able to find all of the information you needed to get really comfortable with a fair market value.

Today, most property searches start on the Internet. A quick keyword search on Google by location will likely get you thousands of results. If you spot a property of interest on a real estate web site, you can typically view photos online and maybe even take a virtual tour. You can then check other Web sites, such as the local county assessor, to get an idea of the property's value, see what the current owner paid for the property, check the real estate taxes, get census data, school information, and even check out what shops are within walking distance-all without leaving your house!

While the resources on the Internet are convenient and helpful, using them properly can be a challenge because of the volume of information and the difficulty in verifying its accuracy. At the time of writing, a search of "Denver real estate" returned 2,670,000 Web sites. Even a neighborhood specific search for real estate can easily return thousands of Web sites. With so many resources online how does an investor effectively use them without getting bogged down or winding up with incomplete or bad information? Believe it or not, understanding how the business of real estate works offline makes it easier to understand online real estate information and strategies.

The Business of Real Estate

Real estate is typically bought and sold either through a licensed real estate agent or directly by the owner. The vast majority is bought and sold through real estate brokers. (We use "agent" and "broker" to refer to the same professional.) This is due to their real estate knowledge and experience and, at least historically, their exclusive access to a database of active properties for sale. Access to this database of property listings provided the most efficient way to search for properties.

The MLS (and CIE)

The database of residential, land, and smaller income producing properties (including some commercial properties) is commonly referred to as a multiple listing service (MLS). In most cases, only properties listed by member real estate agents can be added to an MLS. The primary purpose of an MLS is to enable the member real estate agents to make offers of compensation to other member agents if they find a buyer for a property.

This purposes did not include enabling the direct publishing of the MLS information to the public; times change. Today, most MLS information is directly accessible to the public over the Internet in many different forms.

Commercial property listings are also displayed online but aggregated commercial property information is more elusive. Larger MLSs often operate a commercial information exchange (CIE). A CIE is similar to an MLS but the agents adding the listings to the database are not required to offer any specific type of compensation to the other members. Compensation is negotiated outside the CIE.

In most cases, for-sale-by-owner properties cannot be directly added to an MLS and CIE, which are typically maintained by REALTOR associations. The lack of a managed centralized database can make these properties more difficult to locate. Traditionally, these properties are found by driving around or looking for ads in the local newspaper's real estate listings. A more efficient way to locate for-sale-by-owner properties is to search for a for-sale-by-owner Web site in the geographic area.

What is a REALTOR? Sometimes the terms real estate agent and REALTOR are used interchangeably; however, they are not the same. A REALTOR is a licensed real estate agent who is also a member of the NATIONAL ASSOCIATION OF REALTORS. REALTORS are required to comply with a strict code of ethics and conduct.

MLS and CIE property listing information was historically only available in hard copy, and as we mentioned, only directly available to real estate agents members of an MLS or CIE. About ten years ago, this valuable property information started to trickle out to the Internet. This trickle is now a flood!

One reason is that most of the 1 million or so REALTORS have Web sites, and most of those Web sites have varying amounts of the local MLS or CIE property information displayed on them. Another reason is that there are many non-real estate agent Web sites that also offer real estate information, including, for-sale-by-owner sites, foreclosure sites, regional and international listing sites, County assessor sites, and valuation and market information sites. The flood of real estate information to the Internet definitely makes the information more accessible but also more confusing and subject to misunderstanding and misuse.

Real Estate Agents

Despite the flood of real estate information on the Internet, most properties are still sold directly through real estate agents listing properties in the local MLS or CIE. However, those property listings do not stay local anymore. By its nature, the Internet is a global marketplace and local MLS and CIE listings are normally disseminated for display on many different Web sites. For example, many go to the NATIONAL ASSOCIATION OF REALTORS Web site, http://www.realtor.com, and to the local real estate agent's Web site. In addition, the listing may be displayed on the Web site of a local newspaper. In essence, the Internet is just another form of marketing offered by today's real estate agent, but it has a much broader reach than the old print advertising.

In addition to Internet marketing, listing agents may also help the seller establish a price, hold open houses, keep the seller informed of interested buyers and offers, negotiate the contract and help with closing. When an agent provides all of these services it is referred to as being a full service listing arrangement. While full service listing arrangements are the most common type of listing arrangement, they are not the only option anymore.

Changes in the technology behind the real estate business have caused many agents to change the way they do business. In large part, this is due to the instant access most consumers now have to property listings and other real estate information. In addition, the Internet and other technologies have automated much of the marketing and initial searching process for real estate. For example, consumers can view properties online and make inquires via email. Brokers can use automated programs to send listings to consumers that match their property criteria. So, some agents now limit the services they offer and change their fees accordingly. An agent may offer to advertise the property in the MLS but only provide limited additional services. In the future, some real estate agents may offer services in more of an ala carte fashion.

Because of the volume of real estate information on the Internet, when people hire a real estate agent today they should look at the particular services offered by the agent and the depth of their experience and knowledge in the relevant property sector. It is no longer just about access to property listing information. Buyers and sellers historically found agents by referrals from friends and family. The Internet now provides ways to directly find qualified agents or to research the biography of an agent referred to you offline. One such site, AgentWorld.com, is quickly becoming the LinkedIn or Facebook for real estate agents. On this site an agent can personalize their profile, start a blog, post photos and videos and even create a link to their web site for free. Once unique content is added to their profile page the search engines notice!

Some have argued that the Internet makes REALTORS and the MLS less relevant. We believe this will be false in the long run. It may change the role of the agent but will make knowledgeable, qualified, and professional REALTORS more relevant than ever. In fact, the number of real estate agents has risen significantly in recent years. No wonder, the Internet has made local real estate a global business. Besides, Internet or not, the simple fact remains that the purchase of real property is the largest single purchase most people make in their life (or, for many investors, the largest multiple purchases over a lifetime) and they want expert help. As for the MLS, it remains the most reliable source of real estate listing and sold information available and continues to enable efficient marketing of properties. So, what is the function of all the online real estate information?

Online real estate information is a great research tool for buyers and sellers and a marketing tool for sellers. When used properly, buyers can save time by quickly researching properties and, ultimately, make better investment decisions. Sellers can efficiently research the market and make informed decisions about hiring an agent and marketing their properties online. The next step is to know where to look online for some of the best resources.
Internet Strategies

In the sections that follow, we provide strategies and tips on how to use the Internet to locate properties for sale and research information relevant to your decision to purchase the property. There are many real estate Web sites from which to choose and although we do not mean to endorse any particular Web site, we have found the ones listed here to be good resources in most cases or to be so popular that they need mention. One way to test a Web site's accuracy is to search for information about a property you already own.

Finding Real Estate for Sale

Despite the widely available access to real estate listings, many believe that MLS databases continue to offer the most complete and accurate source of real estate information. Most MLSs now distribute content to other Web sites (primarily operated by real estate agents). An excellent starting point for MLS originated content is the national NAR Web site, realtor.com, which is also the most popular web site for searching real estate listings. Virtually all local and regional MLSs have an agreement with realtor.com to display much of their active listing inventory.

Some local and regional MLS systems also have a publicly accessible Web site. However, to get complete information you will most likely still need to find a qualified local REALTOR. Many local real estate agents will also provide their customers (via email) new listings that are input into the MLS that match their predefined criteria. This can be very helpful to a busy buyer.

There are also many Web sites that display both real estate agent listed and for-sale-by-owner properties. Some of the more popular Web sites include zillow.com and trulia.com. These sites offer other services too. For example, zillow.com is best known for its instantaneous property valuation function and trulia.com for providing historical information. Another source of properties for sale is the state, regional, and local Web sites associated with brokerage companies; for example, remax.com or prudential.com. Search engines like yahoo.com and classified advertising sites like craigslist.com also have a large number of active real estate listings.

One key difference between these sites is how much information you can access anonymously. For example, at trulia.com you can shop anonymously up to a point but then you will need to click through to the agent's Web site for more information. Many new real estate search engines allow you to sift through listings without having to fill out a form. The best strategy is to browse a few of the sites listed above to find geographic areas or price ranges that are interesting. Once you get serious about a property, then that is the time to find a qualified REALTOR of your choice to conduct a complete search in the local MLS.

It also never hurts to search the old-fashioned way by driving through the neighborhoods that interest you. There is no substitute for physically, not virtually, walking the block when you are making a serious investment decision. In this sense, real estate is still a very local business and standing in front of the property can lead to a much different decision than viewing a Web page printout.

Valuing Real Estate

As we mentioned, one of the most popular real estate tools is zillow.com's instant property valuation. Just type in an address and in and you get a property value. It even charts the price ups and downs, and shows the last date sold (including price) and the property taxes. There are other sites that provide similar tools such as housevalues.com and homegain.com. Unfortunately, many people use these estimated values alone to justify sales prices, offers and counteroffers. However, these are only rough estimates based on a formula that incorporates the local county sales information. These estimates can swing wildly over a short period of time and do not appear to always track actual market changes, which are normally more gradual. In addition, these estimates do not automatically take into account property remodels or renovations or other property specific or local changes. This is not to say these sites are not useful. In fact, they are great starting points and can provide a good ball-park value in many cases.

When it comes to getting a more accurate value for a particular property, there are other strategies that are more trustworthy. One is to go directly to your county's Web site. More often than not the county assessor's area of the Web site provides sales and tax information for all properties in the county. If you want to research a particular property or compare sales prices of comparable properties, the local assessor's sites are really helpful. When you visit a county's Web site you are getting information straight from the source. Most counties today publish property information on their Web sites. Many times you cannot only see the price a previous owner paid, but the assessed value, property taxes, and maps. Some county assessors are now adding a market and property valuation tools too.

Given the importance of valuation to investing, we are also going to remind you of the two most important (non-Internet) valuation methods: real estate agents and appraisers. Working with a local REALTOR is an accurate and efficient way to get value information for a property. While one of the primary purposes of the MLS is to market the active property listings of its members, the system also collects sales information for those listings. REALTOR members can pull this sales information and produce comparable market analyses (sometimes called CMAs) that provide an excellent snapshot of a particular property's value for the market in a particular area.

Finally, the most accurate way to value a property is by having a certified appraiser produce an appraisal. An appraiser will typically review both the sold information in the MLS system as well as county information and then analyze the information to produce a valuation for the property based on one or more approved methods of valuation. These methods of valuation can include a comparison of similar properties adjusted for differences between the properties, determine the cost to replace the property, or, with an income producing property, determine a value based on the income generated from the property.

The Neighborhood

There are many ways the Internet can help you get the scoop on a particular neighborhood. For example, census data can be found at census.gov. You can also check out the neighborhood scoop at sites like outside.in or review local blogs. A blog is a Web site where people discuss topics by posting and responding to messages. Start by looking at placeblogger.com and kcnn.org/citymediasites.com for a directory of blogs. Trulia.com has a "Heat Map" that shows how hot or cold each neighborhood is based on prices, sales, or popularity among the sites users.

Schools

When it comes to selling residential property or rental properties that cater to families, the quality of the area school district makes a huge difference. There are many Web sites devoted to school information. Check out greatschools.net or schoolmatters.com. Most local school districts also have their own Web site. These sites contain a variety of information about the public schools and the school district, including its district demographics, test scores, and parent reviews.

Finding the Right Real Estate Agent

A recent addition to the Internet boom in real estate information is Web sites that let real estate agents market their expertise and local knowledge by displaying their professional profiles and socially networking with blogs. You can search to find an agent with a particular expertise, geographic area of specialization, or an agent offering specific services. The web site AgentWorld.com lets users quickly and easily find an agent with the right expertise using keyword searches and clean and simple agent profiles. AgentWorld.com also enables agents to post personalized blogs, photos and videos to help consumers find the best agent for their needs. Plus, many agent profiles include a direct link to the agent's web site where you will likely find the local MLS listings.

Maps and Other Tools

The Internet has made mapping and locating properties much easier. To get an aerial view or satellite image of a property or neighborhood, go to maps.live.com or maps.google.com or visit walkscore.com to see how walk-able a particular property is. These sites can give you an idea of the neighborhood characteristics and the types of entertainment, restaurants, and other facilities that are within walking distance of the property. Maps.Live.com provides a view at an angle so you can see the sides of houses and Maps.Google even gives you a 360 degree street-level view for certain neighborhoods. If you have not tried one of these satellite map Web sites, you really should if only for amusement.

Final Thoughts on Internet Strategies

The Internet is a very effective research and marketing tool for real estate investors but is not a replacement for a knowledgeable experienced real estate professional. The Internet can save you time and money by enabling quick and easy property research and marketing options. Sites like AgentWorld.com also help you efficiently find a REALTOR who fits your buying or selling needs.

Always remember, when it comes to Internet strategies for real estate: More knowledge is better. You need to use the Internet to build your knowledge base on a target property or to find a real estate agent with expertise you need. However, the big caution here is that the Internet should not replace human judgment and perspective, expert advice or physical due diligence-keys to successful investing.

How to Select a Real Estate Agent

The purchase of a home, for the vast majority of individuals, is the single biggest financial decision made in their lives. Clearly, then, it becomes evident that the selection of a real estate agent is a serious consideration which should not be taken lightly. But what factors should be considered in the selection of a real estate agent?

Reputation

Not all real estate agents are the same. Some real estate agents have a reputation for being difficult to work with. For example, an agent that is pushy, argumentative, unprofessional, is late for appointments, or misses deadlines can frustrate the buying process. A real estate agent should have a reputation for getting along well with all parties to a transaction, buyers and sellers included. An agent that takes a lawyer-like approach of zealous advocacy for one side in a real estate transaction cause the other side to walk away from the deal. Communication and "people" skills are important, as well as diplomacy and tact in the event a difficult situation should arise. And clearly, honesty is tantamount.

Communication skills involve more than just communicating information - in fact, the primary test of effective communication skills is the ability to listen. An agent should listen to your needs, consider them, and then use that information to guide you to the neighborhood and home that is perfect for you.

Ascertaing the reputation of a real estate agent requires some detective work. It is wise to ask for references, on both sides of the transaction. Ask about problems that occurred during the process, and how they were handled. Talking to both buyers and sellers about their experience in dealing with a particular agent can provide insight as to how you can expect your real estate experience to unfold.

Geographical Area of Expertise

It is important as well to ensure you are dealing with a real estate agent who is a "local specialist". Many states technically allow licensed real estate agents to participate in real estate transactions anywhere within the state. However, a local specialist will be familiar with local selling practices. For instance, property transfer taxes vary by locale, as do the party responsible for paying them. In some locations, there may be different customs for the division of city and county property transfer taxes. You want to be sure that you are dealing with an agent familiar in local custom so as to avoid paying unnecessary fees.

One idea is to canvass the neighborhoods in which you are considering buying. If you see lots of yard signs for a particular agent in those neighborhoods, it is a good bet that the agent is a local specialist.

A local specialist will also be able to provide you information on schools, recreation, churches and synagogues, shopping and entertainment options in the area.

How to Select a Real Estate Agent

Word of mouth is usually the best and most reliable source of information regarding any particular real estate agent. This type of information is reliable in that it has not been "spun" by the agent and the source of the information has no particular motivation one way or the other, except to relate his or her experiences.

Be sure to interview more than one agent. Prior to conducting an agent interview, make a list of items that are important to you. These items might include proximity to freeways or commuter rail lines, style of home, age of home, proximity to schools, local tax rates, or any other number of items which may or may not be "deal breakers" in your mind. Additionally, you may be interested to find out whether or not the real estate agent has support staff which will assist in the handling of various aspects of transactions. Additionally, making a list of these priorities will assist your agent in finding the perfect home for your family.

Ask the real estate agent you are considering for referrals to other real estate agents for you to interview. An agent that is secure in his or her quality of service and reputation will have no hesitation to provide you with the names of competing agents for you to consider. An agent that provides this information to you is likely an agent with whom you would want to do business.

Other factors to consider are whether or not real estate is the agent's full time career, the number of years of experience the real estate agent has, and any real estate designations possessed by the agent.

About the Author:

Catherine Nguyen was born and raised in Dallas, Texas and is a licensed real estate agent. Ms. Nguyen specializes in Dallas real estate and has a career with Renowned Realty Group - Dallas/Ft. Worth RE/MAX.

Real Estate Software

Earlier, the purchase of real estate was looked upon as acquiring property for residential or commercial use. However, over the years this theory has changed. Today, the real estate market is a booming and profitable industry. It deals with the purchase, sale and lease of property in a much broader context. For an individual, this involves looking for a real estate agent who can help find an appropriate property and a bank that can fund the purchase. For a real estate agent, listing and updating information is difficult if done manually. Therefore, real estate software is used to make the entire process easier.

Real estate software provides automatic updates and reminders. Routine listings allow an agent to maintain accurate reports on all deals. This software helps maintain property lenders' and mortgage brokers' listings. An agent can successfully update changes on available real estate. Properties are categorized according to size and affordability.

Various types of real estate software cater to real estate marketing, sales and follow-up. Real estate software also incorporates presentation applications that allow real estate agents to match properties according to potential customer needs.

Some real estate software offers a complete office and administrative package that simplifies real estate management. It can also record important scheduled meetings and reminders for the successful closing of sales. These self-sufficient and easy-to-use software packages are also available with virtual tour creators. In simple terms, clients can view a potential property through computer videos.

Real estate software separates rental or sale property listings. This information can be easily accessed and updated, depending on inputs by agents. This software is an effective medium for publishing property details online, over a secured network. Real estate software eliminates the need to hire technical personnel to update and manage real estate data. Local real estate agents can gain popularity through online and offline marketing venues made available by real estate software.

Commercial Real Estate - Big Profits

Real estate has always been known as the safest of investments.

In fact, real estate investment completed after proper research into and evaluation of the property (to determine actual and future value), can lead to tremendous profit.
This is one reason many people choose real estate investment as their full time job.

Discussions about real estate tend to focus on residential real estate; commercial real estate, except to seasoned investors, typically seems to take a back seat.
However, commercial real estate is also a great option for investing in real estate.

Commercial real estate includes a large variety of property types.
To a majority of people, commercial real estate is only office complexes or factories or industrial units.
However, that is not all of commercial real estate. There is far more to commercial real estate.
Strip malls, health care centers, retail units and warehouse are all good examples of commercial real estate as is vacant land.
Even residential properties like apartments (or any property that consists of more than four residential units) are considered commercial real estate. In fact, such commercial real estate is very much in demand.

So, is commercial real estate really profitable?
Absolutely, in fact if it were not profitable I would not be writing about commercial real estate at all!!
However, with commercial real estate recognizing the opportunity is a bit more difficult when compared to residential real estate.
But commercial real estate profits can be huge (in fact, much bigger than you might realize from a residential real estate transaction of the same size).

There are many reasons to delve into commercial real estate investment.
For example you might purchase to resell after a certain appreciation level has occurred or to generate a substantial income by leasing the property out to retailers or other business types or both.

In fact, commercial real estate development is treated as a preliminary
indicator of the impending growth of the residential real estate market.
Therefore, once you recognize the probability of significant commercial growth within a region (whatever the reason i.e. municipal tax concessions), you should begin to evaluate the potential for appreciation in commercial real estate prices and implement your investment strategy quickly.

Regarding commercial real estate investment strategies it is important that you identify and set investment goals (i.e. immediate income through rental vs later investment income through resale) and that you know what you can afford and how you will effect the purchase.

It would be wise to determine your goals then meet with your banker (or financier(s)) prior to viewing and selecting your commercial real estate.

Also remain open minded and understand that should the right (perfect)
opportunity present itself, your investment strategy might need to be revisited and altered, sometimes considerably.
For example: If you find that commercial real estate, (i.e. land) is available in big chunks which are too expensive for you to buy alone but represents tremendous opportunity, you could look at forming a small investor group (i.e. with friends or family) and buy it together (then split the profits later).

Or in another case (i.e. when a retail boom is expected in a region), though your commercial real estate investment strategy was devised around purchasing vacant land, you might find it more profitable to buy a property such as a strip mall or small plaza that you can lease to retailers or a property that you can convert into a warehouse for the purpose of renting to small businesses.

So in a nutshell, commercial real estate presents a veritable plethora of
investing opportunities, you just need to recognize them and go for it.

About the Author:
Dave Jarvis is a licensed Real Estate Broker in Florida and is Broker and Owner of Realty Concepts, Inc. a Southwest Florida Real Estate Corporation.
If you are interested in Southwest Florida Properties see his website at [http://www.rciflorida.com]

For additional Real Estate information go to: [http://www.realestateseekerusa.com]
For Real Estate Financing information see : [http://www.mortgageseekerusa.com]

Real Estate Leads For Realtors

Because real estate prices have dropped quite a bit, the potential commissions that real estate agents and brokers could earn have also dropped. But the drop in commissions can be more than offset by the amount of properties that can be sold. And getting quality real estate leads is one of the keys to making this a reality for real estate professionals. This is because there are so many more properties on the market now than there were before the bubble burst.

The rise in the number of homeowners who are underwater on their mortgages has increased so much that a very large number of them have decided that they cannot afford to stay in their homes. They would rather sell their home and buy a comparable home for a much lower price, and take the loss so that they can improve their cash flow situation by having a lower mortgage payment each month. And since there is no shortage of properties to buy, these people had no problem finding a suitable home for a good price.

And another result of the rise in available properties is that more and more people are becoming first-time homeowners. Since prices on homes are falling, more and more people are able to afford a home for the same amount they are currently paying in rent. So the logical choice for these people is to buy a house rather than continuing to rent.

These factors all lead to one thing - a higher need for real estate agents to help the buying and selling of all of these properties. Therefore, even though prices have fallen, the quantity of available properties, buyers, and sellers has raised which more than makes up for the lower prices in terms of how much a given real estate agent could make in the current real estate market. And as we all know, the more clients a real estate agent has, the more properties they'll sell and the more money they'll make.

The problem comes in when a real estate agent has already gone through their current client list. The best way for them to get more clients is to somehow obtain more real estate leads. Not only do they need more leads, they need high quality leads if they are going to be successful in converting a high number of them into clients who actually follow through on buying and/or selling one or more properties.

So how can you get more real estate leads? There are of course many different ways. These include buying them from an agency that offers them, advertising, subscribing to lead generation websites, developing and keeping current your own real estate website that draws potential

clients to it, and best of all by getting them through your own network. There are undoubtedly other ways of generating real estate leads as well, but these are the most common methods - all of which have proven to work to a certain degree.

One of the easiest ways to get real estate leads is by purchasing them. There are companies whose sole purpose is to find people who want to buy or sell a property. They then sell this information to people who are willing to pay for it. So if you are a real estate agent looking for real estate leads and either don't have the time to find your own, or simply don't want to, then this may be a good option for you.

There are two different major ways to do this. You can purchase the real estate leads from a company as a set of data that you will get in the form of a list or spreadsheet. Then you will need to start sifting through them and using the data available to qualify and categorize them yourself. And after that, it's time to start making calls to find out they are valid leads or not.

The other way of purchasing real estate leads is by subscribing to a real estate lead generator website that will send you much smaller lists of leads on a regular basis. This can be nice because the information is likely to be much more current than buying a single very large list of leads. But this also means that there are fewer to work with so it doesn't give you as much freedom in terms of choosing who to contact first.

Purchasing real estate leads or subscribing to a lead generation website can also be expensive. This can be a very bad thing since the whole intent of buying leads is to find clients, sell properties, and make commissions, if the leads that you buy don't turn into commissions. In that case, not only did you not sell any properties (or many properties), but you wasted money on worthless information, and you wasted time contacting worthless leads when you could have been working on finding good real estate leads instead.

Another way to generate real estate leads is by advertising. If you are a real estate agent, broker, or business person, advertising your services may be a good way to generate real estate leads. This type of lead generation is great because rather than you doing the work to find people who want to buy or sell a property, the tables are turned and they come looking for you instead.

In addition to having people try to find you instead of you trying to find them, there is another benefit to advertising to generate real estate leads. The people who are trying to find you are already definitely interested in buying or selling a property. This means that you don't have to worry about whether they are going to turn out to be qualified leads or not, because they definitely will be.

A similar way to generate real estate leads by advertising which can be even more effective than simply advertising on a billboard or in the paper is by setting up your own real estate website. Websites are surprisingly inexpensive to have hosted, and having one developed for you doesn't have to be expensive either. And if you learn the basics of website development, you'll be able to maintain it by yourself after it's been set up so that you can always keep it current.

The reasons to keep your website current cannot be understated. First, you have to keep it updated with the properties you are trying to sell so that the people who visit your website will have something to look at - and since this list of properties will be changing frequently as your client list grows and changes, you'll need to change your website often to incorporate the new properties and eliminate the ones that are no longer available.

A second reason for keeping your website updated on a regular basis your page rank will grow higher. Search engines use a number of factors to determine how relevant they are to certain keywords, and where to display them in a list of search results. And one of the biggest things that moves a website toward the top of the list is it's page rank, which is greatly affected by how active and how current the website is. So the more often you update your website, the higher its page rank will be, the higher it'll show up in search results related to real estate keywords, and the more visitors you'll get to your site.

Once you get visitors to your site, you'll be getting the exposure you want to potential clients for free. They can stay on your site for as long as they want to and look at as few or as many properties as they want to. And you don't have to do anything in order to help them. In fact there could be thousands of people all on your website at the same time. That is something that you would not likely ever have the opportunity to do in person. This phenomenon is what is known as leverage, and leverage is what can turn a small business into a fortune 500 business in short order when managed correctly.

The best way to do real estate lead generation also happens to be one of the most difficult - at least in the beginning. The method of finding leads is by building a very large network, and using it. This is one of the best ways to get leads because it is one of the most surprisingly effective ways. But unfortunately, it's also one of the more difficult ways to start, and takes a while to yield significant results.

The first thing you'll need to do is to start building your network. And it's not that you just need to start building it, you need to intentionally focus on building your network each end every day, no matter where you are or who you're talking to. This is because for most people, networking does not come naturally.

If you are like most people, you are probably somewhat shy and don't make it a point to intentionally meet and talk to new people on a regular basis. But if you want to build a network, you'll have to do exactly that. This is something that can come as a challenge to say the least, both emotionally and technically, but it is well worth the effort in the long run.

It can be emotionally difficult because a large part of building a large network is dealing with rejection. And if you want to build a large network quickly, you'll have to deal with a lot of rejection each and every day. Too many people, being rejected is taken personally and it ends up wearing them down so that they eventually give up before they gain the benefits that building a large network provides. But if you can learn how to not take rejection personally, you'll succeed where so many others have given up and failed as a result.

And networking to generate real estate leads can be done almost anywhere. When you need to put some gas in your car, park on the other side of the pump from someone who's already there and try to strike up a conversation where you'll be able to tell them that you're in the real estate business and can help them or anyone else they know who may be looking to buy or sell. And if you're really serious about it, you may want to only get $10 or some other small amount of gas at a time so that you'll need to go to the gas station more often and have more opportunities to network.

You can also build your network by meeting new people at any other place. You could talk to someone at the grocery store, library, church, waiting in line at the bank, or anywhere you are around other people for more than a few minutes at a time and starting a conversation wouldn't be too awkward. It can be done anywhere, with just about anyone, at almost any time. And the more dedicated you are to it, the faster you'll be able to grow your network and the better off you'll be in the long run.

Some of the best ways to network are by talking to the people you already know. These are people who are already in your network, and you can use them to help you grow your network even larger. The most obvious way is to simply ask them if they are interested in buying or selling a property in the near future, and to keep you in mind if they are.

But another way to help you grow your network is to ask them who they know that may be interested in buying or selling a property. You are basically asking them for real estate leads using different words. You could ask them for the names and numbers of people who they know who may be interested in buying or selling a property, or you could ask them to give your contact information to the people they have in mind when you ask them that question.

It's a great idea to have business cards with your contact information made up when you're networking. That way you won't have to rely on people's memories which are definitely not the most reliable things when compared to something they can simply read from a card. Cards on the other hand make it so that the person you are giving your contact information to doesn't have to rely on their memory, and it puts forth a more professional image as well which can only benefit you.

Real estate values have taken a dive and one of the results has led to there being many, many more properties on the market now compared to before the economy took a dive in 2008. This means that even though the prices are lower, the higher quantity of properties on the market make it possible to buy and sell more of them and make more money in commissions as a result which will more than make up for the decreased individual property values.

I order to sell more properties you must have more clients. And to get more clients, you need to have more real estate leads. These real estate leads can be generated in a variety of different ways, all of which can be useful to real estate professionals. Having reliable leads will definitely result in more clients, more sales, and more money made in commissions. Purchasing them, advertising for them, or getting them from your network is all great ways go get leads that all have their own strengths and weaknesses. Pick the one that will work best for you, and you'll be on your way to making more money through real estate in less time that you think.

Find Real Estate Notes

The Internet is an ideal place to look for real estate notes. Lots of websites offer information on real estate notes for sale. These websites contain relevant information such as the value, dates and contact numbers. Websites often provide long lists of real estate notes offered for sale. Those advertisers charge you a small fee for their services. The greatest advantage of an online search is that you can compare prices and assess the viability of several real estate notes. You can also aim for high discount rates.

Lots of real estate note brokers are out there. They can advise you on where to find real estate notes and how to purchase them profitably. Real estate note brokers are able to tell you about the odds of purchasing. If you hunt for real estate notes on your own, you will have to handle the paperwork associated with the deal. Real estate note brokers can do the paperwork for you and help you observe all legal formalities. As all real estate dealings can invite legal complications, it is highly advisable to seek the help of an agent or broker. You will have to pay a small fee for the services of real estate note brokers.

Real estate notes are also often advertised in newspapers and real estate journals.

Another way to find real estate notes is through family, friends and well-wishers. Yet another method is to keep track of the real estate business in your area. Through this, you can get an idea of the real estate notes that exist in your area.

Real Estate, Real Property and Leased Land; Definitions, Discussion and Explanations

Delaware, and the rest of the original British Colonies, has some land that is leased rather than owned by the residents of that land. Much of it is not evident to the casual observer.

The land on Lewes Beach is leased, not owned by the home owners. The land of Lewes Beach is owned by the Town of Lewes. The lands of Rehoboth by the Sea and Dewey Beach include leased land too. Most of the leases on that land will NOT be renewed but will return to the owners and the homes on top of that land will be removed by the home owners at their expense. Much of the land in Riverdale, on Indian River Bay, adjacent to Oak Orchard is leased as well. In Riverdale the leased land is owned by Chief Clark of the Nanticoke Indians.

We have about half the inhabitants of Sussex County living on leased land; most of that leased land is found in what people call mobile home parks or communities. However, in those communities there are seldom any homes that are truly mobile and there are even two story stick built homes on some of the leased lands in those communities. Condominiums and town houses are sometimes found on leased land as well. Some folks find all this rather difficult to understand.

We Realtors and Attorneys use the term fee simple to describe land that is being sold as real property; that is real estate. We used the term leased land or leasehold interest to describe land that is not transferring as real estate.

This rather lengthy text is regarding Leased Land, Real Estate, Private Property, Chattels, Mobile Homes, Homes on Leased Land and a legal dissertation to define, describe and determine the differences.

Terminology is important when discussing Real Estate, i.e. real property.

Black’s Law Dictionary is the recognized, definitive source for legal definitions under our American Law; which is derived from English Law

PROPERTY: In the strict legal sense, an aggregate of rights which are guaranteed and protected by government. BL6, p. 1216.

PERSONALTY: Personal property; movable property; chattels; property that is not attached to real estate. BL6, p. 1144

PROPERTY: (personal property) - In broad and general sense, everything that is the subject of ownership, not coming under the denomination of real estate. A right or interest less than a freehold in realty, or any right or interest which one has in things movable. BL6, p. 1217

Therefore personal property, is that which can be easily removed from the real estate, and is not real estate. Personal property includes crops, trees, shrubs, trailers, sheds, cars, mobile homes, manufactured homes that have a Department of Motor Vehicle title instead of a deed, and the contents of a home or building. In a home or business the personal property includes drapes, lighting fixtures, rugs (not installed carpeting) free-standing cabinets and cupboards, furniture, and all the contents of closets, drawers and buildings. Buildings without a foundation, that is sheds that are just supported by blocks are chattel property, that is personal property, and not part of the real estate. Such chattel includes dog houses and particularly the little storage buildings that are so common outside of homes today.

LANDS: In the most general sense, comprehends any ground, soil or earth whatsoever... Black's Law dictionary 6th Ed. (BL6), p.877

PRIVATE PROPERTY: As protected from being taken for public uses, is such property as belongs absolutely to an individual, and of which he has the exclusive right of disposition. Property of a specific, fixed and tangible nature, capable of being in possession and transmitted to another, such as houses, lands, and chattels. BL6, p. 1217. Private property is land, houses, and chattels. Private property is protected from being taken for public uses. Private property is owned absolutely.

REAL ESTATE synonymous with real property" and p.1218 REAL PROPERTY ... A general term for lands, tenements, hereditaments (those things which are hereditary); which on the death of the owner intestate, passes to his heir." BL6, p1263

ESTATE: The degree, quantity, nature and extent of interest which a person has in REAL and PERSONAL property. An ESTATE in lands, tenements, and hereditaments signifies such interest as the tenant has therein. BL6, p.547 The definitions here all refer to: real estate = real property = estate = lands, tenements, and hereditaments. At first, one might think that ‘real property' is the proper term for 'all lands'. But it doesn't state the manner of ownership as clearly as the definition of estate. We just had a huge instance of this when the thousands of leased land lots under the homes of several thousand people, in Angola, Pots Nets, and Long Neck areas owned by the Robert Tunnel family was inherited by the children.

IN OUR AREA THERE ARE NUMEROUS LEASED LAND PROPERTIES AND THOSE PROPERTIES ARE THE REAL ESTATE OF THE OWNER OF THE LAND – NOT THE OWNER OF THE HOME WHICH IS UPON THAT LAND. If you examine the definition for ESTATE it refers to an interest in the same articles defined in real property and real estate.

What is this LAND and WHO owns it and HOW is it owned? Land can be private property OR estate, i.e. real estate. Estate is an interest in “real property" by a person or a tenant. Private property is owned absolutely by an individual.

INTEREST: More particularly it means a right to have the advantage of accruing from anything; any right in the nature of property, but less than title. - BL6, p.812. By this definition it's clear that INTEREST cannot be TITLE, since it is less than title. Interest may be a property right to land, but it's not a right to absolute ownership of land. Those who live on leased land, thus, have only an interest in the land; and that interest is a lease-hold interest. Is there a definition of property that says it's land held in absolute ownership, as does private property's definition? We can delve into this more.

ABSOLUTE TITLE - As applied to title to land, an exclusive title, or at least a title which excludes all others not compatible with it. An absolute title to land cannot exist at the same time in different persons or in different governments. BL6, p.1485

PRIVATE PROPERTY - ... is such property as belongs absolutely to an individual, and of which he has the exclusive right of disposition. BL6, p.1217

OWN - To have a good legal title; to hold as property; to have a legal or rightful title to; to have; to possess. BL6, p. 1105. To "own" is to have title. An interest is LESS THAN TITLE.

ESTATE: The degree, quantity, nature and extent of interest which a person has in real and personal property. An estate in lands, tenements, and hereditaments signifies such interest as the tenant has therein. - - BL6, p.547 From these definitions, it's plain that we can't absolutely "own" real estate. We can only have a qualified ownership of qualified and described ownership of Real Estate. Thus, we need that Deed Description to describe it and qualify it. That ownership is also qualified by various government rights, decrees and laws, from antiquity, such as rights against trespass. That ownership is qualified by taxation, zoning, rights of way, and a myriad of other entailments. We need, therefore, a title search to determine those entailments, some of which are invisible.

Therefore there is NOT as much difference in the rights and privileges of ownership and interest as one is led to believe. I have no problem with those who live on leased land instead of owning the land. Usually they are paying far less than it would cost them to own the same property. However, they don’t often get any appreciation of the land; the landlord gets the appreciation in real value, while the resident can appreciate the lifestyle for less cost per month or year.

However, since an interest in leased land is not automatically transferable and is NOT Real Estate and since the chattel property upon it, the mobile home is personal property, without a deed but instead has a title – Realtors are not by law supposed to be involved in the sale of such – but we are. We are supposed to only be selling real property. It gets all cloudy and foggy doesn’t it. That is why there are people and companies who sell mobile homes on leased land who are not realtors and don’t need to be. In fact, although no one will discuss it, Realtors are not supposed to sell mobile homes on leased land. We don’t need to engage in that battle any more than I just did by describing it.

OWNERSHIP: The complete dominion, title, or proprietary, including right in a thing or claim... Ownership of property is either absolute or qualified. The ownership of property is absolute when a single person has dominion over it, and may use it or dispose of it according to his pleasure, subject only to general laws. The ownership is qualified when it is shared with one or more persons, when the time of enjoyment is deferred or limited, or when the use is restricted. - BL6, p. 1106 Such sharing is common with husband and wife, partners, families and corporations, etc.

DOMINION - Generally accepted definition of "dominion" is perfect control in right of ownership. The word implies both title and possession and appears to require a complete retention of control over disposition. - - -BL6, p. 486 I think you'd agree that zoning, building codes, home owners association covenants, condominium documents of use and business licensing is a restriction on the use of land (if it's Real Estate). And there is obviously the fact that failure to pay property taxes on real estate will result in loss of said property. That's definitely not absolute ownership. But private property is defined as ABSOLUTE OWNERSHIP, not qualified (interest).

PROPERTY (tangible) - All property that is touchable and has real existence (physical) whether it is real or personal. - - BL6, p. 1218 In summation, it takes a good attorney, and one well versed and experienced in real estate to understand the complex definitions, rights, liabilities, and privileges of real estate ownership. I have been buying and selling real estate for myself and assisting others in the buying and selling of real estate for thirty years. I have taught courses on real estate and real estate law. And, I would NOT consider purchasing a property, or purchasing property on leased land without the professional and paid assistance of an attorney who is a real estate specialist in the exact county in which the property is located. Other attorneys from other areas are not valid choices at all.

Copyright © 2001 - 2005 by www.JodyHudson.com>

Real Estate Investing Guide-Learn About Real Estate Investing

Real estate investment is a great opportunity to earn profits and generate a cash flow. There is a slight difference between real estate investment and other types of investment. Real estate investment can be categorized as a long-term investment or short-term investment. Good real estate investor has ability to invest in real estate at right time.

Real estate investment requires proper knowledge and concentration to invest in good piece of land. Sometimes heavy investment gives wrong results in the future and sometimes with a small investment you can earn more. Investors should be alert at the time of investment in real estate.

If you're going to rent your property you should have sufficient knowledge about tenant problems and requirements of tenants. You should be aware of all financial as well as legal requirements for your real estate. Investment goals are the primary factor for real estate investment. Decide your investment goals like what you want to do with your real estate.

Real estate market offers different types of strategies to invest in real estate. You should choose the best strategy as per your needs. Efficient real estate investors are able to make their fortunes in real estate business. People who invest in this business can live comfortably. They don't have any tension about their survival. They can earn more and more profits with single right time real estate investment

Investment in real estate requires great commercial skills and knowledge like other businesses. Real estate business needs additional risk because sometimes you're at risk in this business. Thats why a person with a great will power can easily handle this business. Forecasting in real estate investing can spoil your future so don't overestimate your investment.

Real Estate Agent And Real Estate Broker - Two Sides To The Same Coin

A real estate agent is often confused as a real estate broker, although both differ with their work profiles!

Earlier both of them were seen as a salesperson who deals with real estate market. They were involved with selling properties and hence these terms transposed. But now finesse has crawled in with progressing times. Services have augmented and so have people associated with them.

Though there is no perfect demarcation between them, still there are some disparities that allow them distinct designations. The entire role of a real estate agent has evolved from a salesperson whose occupation primarily was to sell properties. Now a real estate agent is a key person whilst dealing with property. He not only aids the trader in selling the property rather he also assists the buyer in various property matters. He is reminiscent of a manual to be consulted whenever one is planning to buy or sell their property.

A real estate agent and a real estate broker are essentially a pedestal rather an interactive media via which the entire transaction process takes place. In some places, a real estate agent is acknowledged differently as compared to a real estate broker. They are the licensed professionals working in the same field but their functional areas differ to a certain extent.

Talking about a real estate agent, he is basically a fresher who steps into the world of property transactions immediately after completing his academic studies or his training for being a real estate salesperson. This training consists of a course varying from forty to ninety hours and then undertaking an exam, passing in which would entitle him for a license of a real estate person or a real estate agent. But he certainly cannot work alone, he needs further supervision of a real estate broker and hence one must be allied with him for his work.

A real estate broker is an experienced real estate agent. The only distinction between a real estate agent and a real estate broker is the experience in form of years spent as a real estate agent.

It can be said that a real estate agent on maturity becomes a real estate broker. For this transition to occur he needs to appear in broker's state exam and on qualifying that exam he gets a license for real estate broker. A real estate broker may work in partnership with other brokers to form business alliances or he may undertake some real estate agents to work under him.

Both real estate agent and real estate broker share the same field of work but the major difference lies in their working experience, where a real estate broker is better experienced than a real estate agent.

Real Estate Flipping - Is Flipping Real Estate the Smartest Way to Get Started in Real Estate?

Real Estate Flipping - Is Flipping Real Estate the smartest way to get started in real estate investing?

"Flip This House", "Flip That House", "Property Ladder",... and on and on...

Over the past couple years you and I have been hammered on TV with real estate flipping shows that depict these people making outrageous profits flipping homes and making it look easier than heck.

So, is this flipping stuff real? Well... it sure is. There are countless people out there making a darn good living flipping homes. But... the tv shows on flipping are darn deceiving when it comes to the "reality" of real estate flipping.

Is flipping real estate the best way to get starting in real estate investing? I'll let you decide for yourself. However, in my opinion, for most people, especially in today's down markets (not all markets are down... there are actually some doing really well), real estate flipping is not the best way to get started in real estate investing.

Here's why:

First, let's clarify two kinds of flipping.

1. The Fix and Flip - Where you buy real estate, rehab it, and sell it to a retail buyer. The kind that is on the TV shows.
2. The Wholesale Flip - Where you buy real estate (or get it under contract), find a wholesale buyer, and flip the contract. The kind that is less glorious... but has a ton of money in it... with a heck of a lot less risk.

To me, the Fix and Flip method is not for most newbie's... even though that is the kind of real estate investing you see on TV all of the time.

Why?

• You need a good understanding of rehab costs
• You need to have good funding... either from a private lender or a bank (private lender is preferable)
• You need to be able to float the carrying costs if you can't sell the property quickly
• If you don't calculate your costs just right... there may not be a whole lot of room for error... and room for error means greater risk on you!
• The market is in a downturn... so there are less retail buyers out there for middle income houses... which is what most people start out flipping

There are many people out there making a very good living flipping... but most of them started several years ago... and have many flips under their belts.

They already have systems down, have marketing channels for getting buyers, have solid lending sources, etc. Not to say that new real estate investors cannot do all of the above... YOU CAN!

But, there are better ways to get started in real estate investing that allow you to get in with little or no risk or money, and will allow you to learn the Fix and Flip business before you ever take a huge money commitment to do so.

What's the single best way (in my opinion) to get started in real estate flipping to minimize your risk and shorten your learning curve... all the while making nice money in the process? Well... obviously option #2 from above: The Wholesale Flip - or in other words... wholesaling real estate, flipping houses for quick cash, flipping contracts, etc.

When you wholesale real estate you do everything a flipper would normally do... except actually repair the property and sell it to a retail buyer. But, you don't have the risk or time commitment that a fix and flipper has.

Basically, you as a wholesale real estate flipper (or wholesaler for short), find properties that need work that you can purchase at a large discount and flip them for a fee to a rehabber who will do the work.

Your job is to find the properties, analyze the numbers to determine the repairs needed, create an offer that enables both you and the rehabber that you will sell to to make a profit, and sell the contract to a rehabber who will actually make the repairs.

Often times real estate investors will make between $2,000 and $20,000 on a wholesale deal. So, for a low to no risk way to get started in real estate... there are huge profits to be had.

Another reason for starting out doing wholesale real estate deals is that you learn the ropes of what it takes to be a rehabber. After analyzing several deals and talking to rehabbers to find out what they look for... you will have a good grasp on what a good deal is, how to accurately estimate repair costs, who the rehabbers use as contractors, etc.

So, you actually make money while you are getting a hands on education on real estate flipping and rehabbing.

Anyhow, I didn't start out to write this article to scare you from the fix and flip mindset. There is good money in it...

My motivation to write this article is to help guide new real estate investors away from the glorified version of rehabbing that is plastered all over TV... and point you toward what I believe to be the best way to get started in real estate investing.

I have something to confess...I may be a bit of a hypocrite... but I didn't start with wholesaling. I actually started with buying income properties. But, with today's markets... wholesaling real estate is the way to go to get your feet wet and make some serious money in the process.

There is much more to real estate flipping and wholesaling real estate than the TV "reality shows" show. One of the best ways to learn the ropes is to learn from someone who does it everyday and makes a solid living doing it.

1. Go to your local REI club and hook up with an experienced mentor
2. Go out on your own and try to hack it yourself with no instruction (not advised)
3. Invest in a quality, step by step multimedia course that walks you through A - Z on the exact blueprint that successful wholesalers and real estate flippers use.

If you want to go the route I took, the wholesaling course that I actually still use today is shown below.

The real estate wholesaling and real estate flipping course that I think is by far better than any other out there is below. They always way over deliver and they are the only "gurus" out there that I can truly say are trustworthy and good people. I've bought a ton of courses, and the Wholesaling for Quick Cash (link below) is the only one I'd recommend.

The Wholesaling Course I Recommend - Most Actionable one I've seen

So, whatever you do to get started in real estate investing, just do it. Taking the wrong action is better than taking no action at all.

Good luck... and Cheers!

Real Estate Investment Loan - Invest Through Low Cost Funds

Investment in real estate is turning into a huge profit generating business. Real estate business though requires lot of thinking and commercial wisdom for earning a sizeable profit. The loan aspect is crucial to generating continuous business for the investor. Keeping this purpose in consideration, lenders have designed especially real estate investment loan that makes investment in real estate a lot more attractive for even first timer.

Taking a real estate investment loan means you are utilizing the finance for investing in a commercial property. So before you settle for making real estate investment loan deal, make sure that you have carefully selected the property from the loan availing point of view. Note that lenders prefer a sound income generating property for considering real estate investment loan. Lenders wish to ascertain that the property is a good profit prospect. This assures in turn the lender of safe and timely return of the loan. Though real estate investment loan is a secured loan still lender would like to escape the costly repossession route and prefer instead the safe payback of the loan.

Real estate investment loan is a secured loan. Lenders secure the loan against the very property the borrower intends to make investment in. deal papers of the property are taken in possession by the lender for securing the loan and are return to the borrower on complete pay off of the loan. This is one reason the borrowed amount under real estate investment loan depends on the type of property. If the lender values the real estate more as possible income generator or is already giving good income, greater loan can be pocketed. Usually real estate investment loan is offered in the range of £100000 to £3000000.

For the convenient pay off real estate investment loan, lenders give you larger duration. They can offer you repayment duration of 10 to 30 years. The investor can wisely spread the loan in larger repayment duration for reduction in monthly outgo towards installments. A lot of portion of the loan is thus saved for other utilizations. Real estate investment loan is a lower interest rate loan because it is fully secured and risks for the lender are remote.

Since there are negligible risks involved, lenders do not think twice in considering real estate investment loan for bad credit people. In case of payment default, lender can still recover the loaned amount by selling the property of the borrower.

There are some requirements from the lenders of real estate investment loan providers. Lenders may ask for the property documents to ensure the intended investment is for genuine purpose. Lenders may demand tax records of the property the borrower intends to invest the loan in. so keep such and documents ready.

Investors can search for real estate investment loan providers on internet. Number of the loan providers have showcased real estate investment loan in their websites. Study them for each aspect and compare interest rates and terms-conditions. After settling for a suitable lender, apply online to him for faster approval of the loan.

Investment in real estate is a hurdle free experience when the investor opts for real estate investment loan. Make the loan deal after careful comparison of various loan packages on offer. Also ensure for timely repayment of the loan installment for avoiding debts.

Scottsdale Real Estate Schools

Phoenix has been experiencing a rapidly growing real estate market and the prices of properties here have soared in recent months. Investors are flocking to Phoenix to view listings, shortlist properties, negotiate prices and buy condos and luxury waterfront property. Golfers want to retire in Phoenix. Baby boomers are booking properties for spending their retirement days. This flurry of activity has motivated a number of people to seek careers as real estate brokers and agents. They are granted their licenses to work in the profession from various real estate schools.

One of the leading real estate schools in Phoenix, Scottsdale Real Estate School offers real estate courses online and on CD-ROM. It's never been so convenient to pass your real estate exams and achieve a license. The real estate courses offered include: real estate license, sales associate and broker?s pre-license, post license continuing education, and prep courses for students to prepare for real estate exams and state exams. They offer fully accredited real estate courses that meet the license qualification and continuing education requirements for real estate professionals in Phoenix. These courses can be done from anywhere around the world. Scottsdale Real Estate School is open 24 hours a day, 7 days a week. They believe in serving the student around the clock to better meet their needs.

Scottsdale Real Estate School has introduced the most convenient way available to fulfill the professional license educational requirement. Their CD-ROM and online real estate classes allows the aspirant to begin courses at any time. Upon passing the online exams, they receive a certificate of completion and full course credits. Additionally they offer a new and exciting way to obtain the required real estate education credits. They noticed that many students simply don't have the time or desire to attend a class. For them, an online training course has been created.

There are a few criterions that need to be fulfilled before applying for a real estate broker license. It is required for the applicant to be at least 18 years of age when applying for a real estate license. Additionally he may not have had a real estate license denied within one year, or revoked within two years immediately before applying. Scottsdale Real Estate School helps the applicants with the license procedure and makes it as easy as it can be.

Commercial Real Estate Brokers

Remember that buying or selling commercial real estate is significantly different from buying residential real estate. That is why you need the help of licensed commercial real estate brokers to get the best deals.

What commercial real estate brokers can do for you

Licensed commercial real estate brokers are trained to assist you to market your commercial real estate property to the right audience. Your retail, office, industrial or multi-family property will receive publicity that will attract only the best buyers and investors.

Most commercial real estate brokers make use of multiple listing service and extensive multimedia networks to make sure that your property reaches interested buyers. When you leave everything in the hands of commercial real estate brokers, your property will find it is way to newspapers and relevant Internet sites in no time.

What to look for in commercial real estate brokers

More often than not, experience differentiates a good commercial real estate broker from a mediocre one. Choose brokers that have at least 5 years experience successfully selling commercial real estate properties. Such experienced professionals can bring a lot to the table - market intuition, thorough knowledge in research and development of real estate pitches and marketing ideas. Good commercial real estate brokers will not only help you sell your commercial real estate property, they will help you maximize the value of your asset before the sale, so that you can increase profit.

You should look for commercial real estate brokers who are available to assist you anytime, 24 hours a day, seven days a week. Some brokerage companies have very efficient web-based project management technologies that let you access your project whenever you want. Some also have round-the-clock phone support.

Pros and Cons of Taking an Online Real Estate Course

Are you interested in making money through real estate investments? If you are, you may have heard of online real estate courses before. Have you? If so, you may be interested in taking one. The only question is should you? When it comes to taking an online real estate course, there are a number of pros and cons to doing so; pros and cons which may impact your course taking decision.

Perhaps, the biggest pro or plus side to taking an online real estate course is the information that you will walk away with. Although real estate investments are a great way to make money, it isn't for everyone. By taking an online real estate course, particularly one that has a focus on investment properties, you should be able to learn the ins and outs of making money with real estate properties. In addition to outlining exactly what real estate investing is, an online real estate course should also give you plenty of tips; tips that may help you get rich.

Another pro or plus side to taking an online real estate course, especially one with a focus on real estate investing, is that it is easy to do so. Since the real estate investment business can be considered a tricky one, you may not want to put all of your eggs in one basket. This means that if you are currently working, you may continue to do so or keep on searching for other ways to make money, while still taking a real estate course. This is where the internet can offer you assistance. Many online real estate courses allow participants, like you, to work at their own pace, whenever they have time to do so. Essentially, this means that whether you would like to learn about real estate investing in steps or all at once, you should be able to do with an online real estate course.

Another pro or plus side to taking an online real estate course, especially one that has a focus on real estate investing, is the choices that you will have. There are a number of online learning centers that offer real estate investing courses for you to take. When choosing an online real estate course, you are advised to thoroughly examine all of the course information given to you. Examine the points or topics that will be discussed, as they may give you insight into whether or not a particular an online real estate course can offer you assistance.

Although there are a number of pros or plus sides to taking online real estate courses that teach you about real estate investing, there are also a number of cons or downsides as well. One of those cons is the cost. Real estate investment courses can sometimes be considered high priced. With that in mind, however, you are advised to remember that there are a number of online real estate courses for you to choose from. So, even if you are on a budget, you should still be able to find at least one affordably priced real estate course that could offer you assistance.

The above mentioned online real estate course pros and cons are just a few of the many that exist. To determine whether or not you can benefit from taking an online real estate course, you will want to make your own in-depth list and compare your findings.

Eight Tips For Launching Your Real Estate Investing Career

Eight Tips for Getting Started in Real Estate Investing

Introduction

This article is just the basics for getting started in real estate investing. This is not a how to article but an article that gives you some information about things to do to get started. Everything in this article is tools that can be applied to helping anyone get started in real estate investing. I am going to give you my eight keys to getting started. Nothing is right or wrong but reflects the point of view of the author. Laws and legal practices vary from state to state, and laws can change over time. The author does not vouch for the legality of his opinions, nor is there any intent to supply legal advice. The author strongly encourages the reader to consult with professionals and an attorney prior to entering in any real estate transaction or contract. The author is not a writer but he is a real estate investor. There will be grammar mistakes and errors, so don't be too critical of the grammar but focus your energy on what is being said. With that said prepare yourself to think a little differently and expand your mind. Let's get started on an amazing adventure.

The Eight Tips are as follows

1. Desire
2. Goal Setting
3. Learning What To Do
4. Attending a Real Estate Investing Seminar
5. The Billings Montana Market
6. Finding a Mentor
7. Your Real Estate Team
8. Just Do IT

1. Desire

Before we get in to the bolts and nails of real estate investing in I want to talk to you about desire. If you are going to be successful at anything in life including real estate investing you have to have the desire to do it. Desire is defined as longing or craving, as for something that brings satisfaction or enjoyment. Desire stresses the strength of feeling and often implies strong intention or aim. In real estate investing if you don't have a desire to learn and grow as a human being and really get satisfaction out of it, then real estate investing is going to be hard to do. When I go out and look at a property it brings me a lot of enjoyment. Every aspect brings me joy from talking to home owners, figuring out how I can make a deal work, to buying the house and to finding a good homeowner or tenant for the house. Real estate investing may not be for everyone but real estate investing can offer anyone the financial freedom we all crave for. If you do not have the desire for real estate investing that is ok, it can still help you to live your dreams and help you to get where you want to go in the future.

Why is real estate investing an amazing avenue for anyone to live out all of their dreams? Let me ask you a few questions. Do you have enough money to do anything you want? Do you have everything you want? No debt? A nice house? Great Marriage? The freedom to do anything regardless of how much it costs and the time it takes? If you have all of these things then you are one of the few people in America who does. Most people may be working fifty hours a week and making just enough to pay their bills. In today's day and age most people are living pay check to pay check never really knowing if they will make enough to pay the bills that just keep piling up. If you cannot keep up with your monthly bills how are you going to plan for retirement or send your kids to college or have time to enjoy life. The answer to all of these questions is becoming financially free. Now it's not going to be easy everyone will have to get off the couch and out of their comfort zone. Real estate is proven to be one of the fastest ways to get your out of the rat race of the nine to five and begin living the life you deserve to live. Everyone wants something different out of their life. Some dream of traveling the world, spending more time with family, volunteering, golfing, laying on a beach, giving back to the community, or anything that will make them happy. There are thousands of things that make people happy.

Making it in real estate takes a person who has a strong desire to change their lives for the better and think big. Anyone can become a great real estate investor. It is going to take a lot of work and can be a struggle at times but in the end it will be the most amazing feeling ever. The people that make it in real estate investing all have a few things in common. First they run their real estate investing business like any other business out there. Second they get out there and network with anyone and everyone. Some people might be like me and have a hard time talking to other people. If you are that is ok, anyone can learn how to become a people person, it just takes hard daily work. You have to push yourself past your comfort zone. The third thing is that you cannot be afraid to fail. Everyone has failed at something but the most successful people out their learn from their failures. The fourth thing is that you have to put a good team together. I will go into putting a team together in a later chapter. The concept of putting a team together is so that when you don't know something you have team members that know what to do and can help you with questions. The can also make sure that you are not working yourself to death. You do not want to be the person doing everything in your business. Doing everything is a receipt for failure. You have to put together good people who you can trust and rely on. The fifth thing is that you need a mentor. Sixth and final is the desire to do it. No one can become successful at something if they don't want to do it and don't get satisfaction out of what they are doing.

2. Setting Goals

Having goals is one of the most important aspects of achieving what you want in life. You don't want to just have your goals up in your head you want to write them down and past what you have wrote on the wall somewhere or in the bathroom mirror. You want to review your goals daily and read them out loud to yourself. This way you remind yourself everyday why you are building your business.

How should you start to write down you goals? First off you should think big, and by big I mean HUGE. If your goals are too small you will easily achieve them and have nothing else to look forward too. You should start off by asking yourself the question if I had all the money and time in the world what would I do, what would I buy, how would I spend my time, and how would I spend my energy. Are you starting to write these down? Well you should be. Think about what you want, spending time with family, traveling the world, the best cars, a castle, owning a small country, running for president, having the biggest real estate investing business in your area or in the country. Whatever your dreams and what you want out of your life, write it down. Some of my goals are becoming free, traveling the world, having a Ferrari, having 10 vacation homes all over the world. Right now I am just trying to get you out of your comfort zone of thinking and let your imagination run.

There are several ways to set goals. I have learned a lot of ways you can set you goals and there is no right or wrong way. The best ways that I have found to set your goals is to break them up into two categories. First your short term goals. This should be goals from a month out to around a year. The second is your long term goals these goals are you think big goals and what you see for your future.

For year one I like to first make a list of what I want to achieve this year and I will give you an example of how to do that. For year one you want to be very specific first you want to list what you want your income to be at the end of the year, next how much cash in the bank you want (this is money in your checking account, not assets). Next you want to list how much you are going to give. Giving is a very important, this can be giving to charity, giving of gifts to friends and family, giving to your school or anything you can dream of. As long as what you give brings joy to others who need it more than you. Next list what bad habits you have that you want to eliminate. Weather is be quitting smoking, spending too much on junk, drinking too much, working too much, not spending enough time with family, too much TV, not exercising and many more. We all have bad habits that need to be changed in order for use to grow as human beings. Under each of these bad habits list out some steps that you can take in order to quit them. If you bad habit is being lazy and not exercising enough what can you do to change that. Well you can get a gym membership or a home work out program. Commit yourself you following through with a plan to work out 3-5 days a week. For you to change these bad habits you have to be totally committed and follow through with a detailed plan you set for yourself. After you have your plans in place you should start listing several things you want to achieve or do in the next year. This can be start a successful business, spend time with family, travel to 2-5 places and so on. Now under each of these you should also write a detailed plan on what you need and what you need to do in order to achieve these goals. Finally you should take all of this information you have a write on page on what you see your life being over the next year. Doing this is a great exercise to really see what you want out of life.

Goals Year One

This is what I am going To Do This Year
Income: $500,000
Cash: $100,000
Give: $20,000

Bad Habits that will be changes:

Over Sleeping 1. Go to bed at 11 p.m. 2. Use a timer and set it for 8 hours 3. Set the timer on the other side of the room

Buying things that you don't need: 1. Going out shopping less 2. If you have the urge to buy something think to yourself is thing item going to help me to achieve my goals of becoming financially free? 3. Tell friends what you are doing, so they can help to stop you.

What I want to Achieve:

Start a successful Real Estate Investing Business: (you should write a detailed step by step plan of everything you need in order to achieve your goal)

Travel: Where do I want to visit? 1. Gators football game (what I need to do it, money, etc)

And last your own page about what you want to achieve using words like I will and only positive words.

For long term goals you don't need to be as specific right now, but you should list them and under them list a few steps or smaller goals that need to be achieved before you are able to achieve them. With the long term goals always think big. Another good exercise for long term goals is to make a collage of you goals. Put pictures of the house you want on it, places you want to travel, a picture of your family, a number of what income you want in or anything you can think of.

3. Learn

Knowledge builds confidence and destroys fear. If you are starting any kind of business you need to learn the ins and outs of that business. The best way I have found to learn about real estate investing is to read all about it. But once you know it you have to apply what you have learned. Learning and reading is just one step to take. There are thousands of books on the market about real estate investing and everyone has something you can learn from. You don't just want to read real estate investing books though. You also want to fill yourself with motivational and leadership books. Every successful person that I know if a reader and they all spend at least thirty minutes a day reading something that will teach them about improving their business or helping themselves to become a better person. Some of the best books that I would recommend reading are listed below.

1. Rich Dad Poor Dad by Robert Kiyosaki (read this first and also ready everything in the rick dad poor dad series, great books to start with and will expand you mind)
2. Be a Real Estate Millionaire by Dean Graziosi
3. Flip your way to financial freedom by Preston Ely (this is an E-Book)
4. Four hour work week by Timothy Ferriss
5. The Attractor Factor
6. Short Sale Pre-foreclosure Investing by Dwan Bent-twyford and Sharon Sestrepo
7. Keys to success, by Napoleon Hill
8. Think and Grow Rich by Napoleon Hill
9. How to win friends and influence people
10. Any Book by John C. Maxwell (he has tons of amazing leadership books)
11. Getting Started in Real Estate Day Trading by Larry Goins
12. The E Myth by Michael Gerber
13. How to be a quick turn real estate millionaire by Ron Legrand
14. The Power of Full Engagement
15. The It Factor
16. Anything by Anthony Robins

There are tons more you can read but these will give you a great start. You should also read books on negotiating, sales, motivation, and biographies on American business people.

I hope this list gives you the knowledge it has given me. If you learn and apply what you have learned from these books there is no reason that you should not become very successful.

4. Attend a Real Estate Investing Seminar

Attending a Real Estate Investing Seminar can be one of the best places to learn about real estate investing from some very well known experts. There are several seminars going on all over the country every weekend. If you live in a big city it will be very easy to find one. If you live in a town like Billings Montana you might need to travel a little ways to find one. Now most of the best meeting cost money to attend them. Some range from five hundred dollars for three days and some can be up to $20,000. There are a few that I would recommend. Than Merrill is a great speaker to go hear. I have learned a ton from him. You can find his company online by Google searching him. Also rich dad poor dad has seminars all over the country. I attended one of their seminars in Billings Montana for only $500 dollars and learned a ton from it. There is also Preston Ely, Larry Goins, and hundreds of speakers out there. If you find a great book that you really enjoyed, then just simple search for that person online and see if they are speaking somewhere or offer a seminar close to you.

Another reason I recommend going to a seminar is because they get you pumped up and motivated. I have not yet found anything else that just gets you feeling like you can do anything. When you get back from one of these seminars you will have tons of energy and knowledge. Every time I get back from one all I want to do is going out and do a deal or ten.

These seminars will also provide you with several opportunities to purchase amazing real estate investing tools, software or learning material at a fraction of the cost. Believe me when I tell you all of the low priced seminars try to sell you something. But a lot of times what they are trying to sell is some really good stuff.

Another reason to attend a seminar is to network with other investors and build relationships with them. You can meet other investors who you can partner with on a deal, sell a deal too, people who will provide you with deals and so on. You should have hundreds of business cards made up and try to give them all out. You never know how much one business card you hand out can make you.

5. Learn About the real estate market in your area

Most real estate investors start their career off my investing around where they live. This is why I do my real estate investing in Billings Montana. You can venture out when you have more experience. The reason behind this is because we feel more comfortable with the areas and know the areas better. It is also easier to get local real estate information that we need. Investing in your local market is also cheaper to start out, there is less travel costs, you can see what you are buying and it may give you a feeling a comfort.

First you have to decide which part of town is the best place to invest in. This can be determined by what kind of real estate investing you choose to do. I have not gone over the types of real estate investing but some include rehabbing (fixing up and selling), wholesaling (finding deals and selling them to other investors), buying to rent, and there are a few others. These are the real estate strategies that I use for the most part. When looking at the market you need to see where other investors are buying their houses. Most of the best deals will be found in low to middle class neighbors hoods. By low I don't mean drug infested war zones, what I mean is blue collar safe neighbor hoods that might have somewhat older houses and houses that are not on the higher end price side. Now you can find deals in the higher priced neighbor hoods but most will be in the low to middle income neighborhoods. When looking where others are buying ask local realtors, other investors or appraisers.

When talking with investors ask them several questions such as what neighborhoods they prefer, what type of houses they buy (3 bed 2 bath), and what they do (rehab, rent, wholesale). You should not look at other investors as competition but try and work with them.

There are different types of markets such as appreciating markets, flat markets, and deprecating markets. Appreciating markets are markets that there is no enough houses or a very high demand for houses which causes the price of houses to go up. The reason there is a high demand for housing can be because of job growth, a very appealing area, or several reason. Flat markets are markets that have no or very little growth. This means that there is not a lot of demand; buy just enough to fill every ones needs. Depreciating markets are where there is a lot more houses than people to fill those house. This causes house prices to start going down. This can be because of a large employer leaving the area, a natural disaster or just over building. There is an old saying buy in a bust and sell in a boom. In depreciating markets you can pick up several deals, while in appreciating the house prices are going to be much higher and harder to find great deals. The deal will still be out there you just have to know where to find them.

Learning your market is another key to becoming successful. Real estate Brokers and experts in your area can be the best source of information for you. Learn to use them to find out what kind of market you are in. If you are in Billings Montana we are in a pretty stable market. Billings Montana has not seen the ups and downs that other markets have experienced. I will have to say that I have been noticing a little bit of a downward trend but not much. Once the first time home buyer credit is over with we might see a little more decline. Every market can vary by neighborhood, so make sure you know you market well. I have seen the same houses just one mile apart selling for totally different prices.

6. Find a Mentor

Having a mentor to help you can be your biggest learning experience. Mentors can help you with any questions you may have, walk you step by step through the investing process, give you moral support, you learn from their proven system, and also network you with others in the business. Every successful real estate investor that I know says they owe a lot of their success to the mentors they have and had in their lives. I have had one of the best mentors around, my father. He is teaching me something new every day and pushing me to become successful.

When trying to find a mentor I would suggest network with the investors at your local real estate investors club meeting. There is a real estate investing club in Billings Montana that meets once a month. You can find information about real estate investing clubs in your area by searching for REA or real estate investors club then your area in Google. When you go to the meetings ask around who the biggest investors are. Then ask if you could get together with them sometime and discuss real estate investing. Ask them if they would consider working with you to get their career going. Offer your services as a bird dog. Bird dogs are people who go out find deals or leads about deals and give them to other investors. A bird dog gets from $500 to $3000 dollars depending on the deal. Make sure that you have a bird dog contract signed with the investors saying that if you find them and deal and they buy it that you get paid a certain amount of money. Being a bird dog helps you to build credibility with the investor and they are more likely to mentor you if you have something to offer them. If you would like to contact me with a question go to my web site Big Sky Property Solutions LLC.

7. Your Real Estate Team

Building an effective team can make your life as a real estate investor a lot easier. You are only one person and cannot do everything or be an expert in every aspect of real estate investing. Going at a project alone can become one of the most frustrating experiences you will ever encounter. Many people have become frustrated and quite real estate investing because they try and juggle too many things. Make sure that when putting a team together you provide everyone with win-win opportunities. When someone knows that working with you is going to make them money they will put you as a higher priority on their list. But you have to prove it to them that you are the real deal.
People to have on your real estate investing team include

o Real Estate Agents ( find the top agent for volume of sales in your area and other agents who work with real estate investors)
o Real Estate appraisers (find an appraiser that has done a few hundred jobs or more and make sure they carry errors and omissions insurance)
o Real estate contractors (good rehab crews that can get the job done in a timely manner, have 3-5 crews and on every deal get 3 estimates done. Ask for referrals from them and make sure they are licensed)
o Real estate attorneys (every investor needs an attorney, they can help to protect your assets, make sure you find one that works with investors)
o A property management company (can manage your properties and will give you leads on property they are managing that might come up for sale)
o Title companies (take care of the legal process and make sure there are no liens against the property you are buying, choose one that does hundreds of closings a year)
o Home inspectors(charge about $400 but will give you a great inspection and could save you thousands in the long run)
o And your Mentor

All of these people can help you in various aspects of real estate investing. You might find that there are a couple others that are keys to your business but this is just a list of a few.

8. Just Do it

There is no better phrase out there then JUST DO IT! Once you have learned all you can networked with investors in Billings and learned real estate investing strategies there is nothing left to do but get your feet wet. There is no better learning tool out there then doing a deal. Once you have completed that first deal you will know what to expect and find out that it is not as hard as you thought it would be. You will have learned what you did right and what was frustrating. Take that experience and ask yourself what would have made it run smoother. Apply that to your next deal. Then the next deal will be easier and it keeps getting easier as you go. I will say that every deal is different from the last but that what makes this business fun. You have to be creative and always keep on learning and growing with your business.

The average person never uses what they learn. Don't be average apply your knowledge. When going out and doing your first deal act like you have done 1000's of deals. The fastest way to change a habit is to act like it is true.

Five keys for success
1. Specialized Knowledge
2. Tools of a professional
3. Have the mindset of a winner
4. Mentors
5. Money and the knowledge of leveraging it (you don't have to have millions to invest in real estate, there are many strategies out there to use other people's money, or no money at all)

This is going to conclude this article about getting started in real estate investing. I hope this gave you some ideas about how you can get started. I didn't give you any strategies at this point but look for some in upcoming articles. These are simple steps you can use to get started. If you read this article thank you for listening.