Referrals are great for any business so why not use them in your real estate investing business Word of mouth can generate great, steady income if it spreads to the right people. So how do you start using referrals in your real estate business
In real estate investing, they are called bird dogs. Bird dogs are people you have working for you who go out and find deals and bring them to you. You can choose to pay them per lead they bring you, or per deal.
If you pay them per lead, $5-$10 for each is a typical amount and if you pay them per deal, $1,000-$1,500 per deal is typical. You want to pay a fee high enough to keep the bird dogs working for you and coming back with more and more deals which mean more profit for you.
How and where to do you find bird dogs You can put an ad in your local newspaper or on Craigslist. Your local REIA (Real Estate Investors Association) meetings are another great place to find bird dogs.
At most REIA meetings, there is a networking table where you are allowed to place flyers and advertisements. Simply make a flyer stating you are looking for people to bring you deals and that you pay referral fees.
Once you find your bird dogs, you will want to provide them with training. You will want to clearly explain to them what you arelooking for and what you are not looking for.
If you really want to systemize your bird dog system, create a training manual outlining your process and what types of properties they should bring you. You may even want to include photos of houses that meet your criteria and houses that don’t. Like the saying goes, a picture is worth a thousand words.
It is helpful to provide your bird dogs with tools as well. You may purchase them magnetic vehicle signs or t-shirts that say I Buy Houses. That way, when your bird dogs are around town, they can attract homeowners with houses for sale. At that point, the bird dog takes the homeowner’s information and passes it along to you.
When bird dog finds you a deal, you will do your research on the property and contact the seller. You are responsible for turning that lead into a deal.
Be careful of real estate laws. Some states do not allow individuals without a real estate license to receive referral fees for real estate. If this is a problem where you live, you will want to structure the payment in a different way that is not referral based.
Remember, just like your real estate investing business, your bird dog referral system needs to be consistently advertised. It is like a business within a business. You will need to continuously spread the word that you are looking for people to bring you deals so you can keep those deals coming.
With the Internet becoming accepted as buyers’ destination in real estate, the discount Realtor is thrust in the front line. The question is, is this really a good thing for consumers
How Is a Buyer Agent Commission Amount Determined
Let’s start with the question of who decides how much a buyer’s agent is received. Is the buyer’s agent recompense determined by the amount presented in the MLS Listing Absolutely not. Many people think it is, but the buyer agent commission is definitely not settled on by the amount a seller is willing to put on toward a buyer’s agent commission.
Basing on the Buyer’s Representation Agreement, in Texas that is, it is a decision settled by the buyer and the hired agent. Practically saying that the buyer pays his agent his compensation. It is the Buyer Rep Agreement that instructs the buyer agent’s compensation amount, not the MLS Listing.
The buyer assents to the 3% pay for our services as agreed upon on the Buyer Rep Agreement. We will receive that amount for our services regardless of the amount offered in the MLS listing, and this is explained to each buyer we work with. The fee amount is first asked for from the seller usually a done-in deal but if the seller gives less than 3% through the MLS Listing, the buyer is obligated to pay the discrepancy if not go for a another home. On the flip side, if the seller is offering a buyer agent bonus, or more than 3%, we rebate that to the buyer so that our motivations and advice can never be attributed to a commission amount.
So far so good with only one MLS listing out of 30 closed deals where a seller offered a 2.5% commission for the buyer’s agent. The seller on that listing offered 2.5% commission. We updated the offer to include the 0.5% difference in paragraph 12 of the sales contract, where the seller pays for in some of the buyer’s closing cost to which the seller acceded. If the seller had not acceded the buyer was ready to take on another home. So in this case, the seller gave the other 0.5% commission to the buyer, who in turned paid us the 0.5% gap at closing. Our buyer was not out of pocket for the difference and the seller didn’t actually save anything by offering a lower commission.
Do Realtors Avoid Listings That Pay Less Than 3%
I find silly the claim that agents will shun of the discount brokers’ listing by consumer groups and others. I don’t see how they can. When a buyer signs up with us, or any other Austin Realtor, we have the capability to assemble an Internet search portal that notifies the buyer via email each day of new listings that match that buyer’s criteria. Every buyer gets this same service from us but cannot say percentages other agents in Austin carry out the same, but it is a priceless tool for us and our buyers as part and parcel of the MLS System with no added cost.
Search portals do not recognize the commission amounts tendered on particular catalog. Buyers will see ALL listings that fit their aptness. For those who say that Realtors avoid or blacklist listings that pay less than 3%, that’s pure crap. The MLS technology inhibits a way for us to filter out those listings or hide them from the buyer.
The buyer sees all listings that are on hand and matching their criteria, and they often call us right away when an interesting one pops up new in the system, and we will show buyers any and all listings that they believe to be good candidate properties.
This is all for now but part 2 of How Discount Realtors Work needs to be looked into.
Buying a home in one of the Waleska golf course communities provides you with the possibility of some great luxury homes. This area that is about an hour north of Atlanta is rapidly becoming one of the top Georgia mountain communities. With beautiful lakes, many golf courses, and large homes, now is the time to look at these communities as a place for you to build or buy.
Waleska golf course communities are in the foothills on the edge of the Smoky Mountains and provide you with some wonderfully scenic property. Many new homes in the Georgia lake communities are going up as individual homes, luxury homes, subdivisions, and more. Many communities are now going up around the various golf courses in the area. There are about 20 of them in the county – some are 18-hole, and a few 9-hole golf courses.
Waleska golf course communities provide you with a wide range of some of the top places to live in Cherokee County. Some of the homes around the numerous golf courses are also in the Cherokee County gated communities. Homes can range anywhere between $139,000 all the way up into the millions of dollars. Some of them are on waterfront properties of the various natural and man-made lakes, as well as along the Etowah River.
When looking for the Waleska golf course communities, you have a wide selection of places to look at. This will include golf communities like Lake Arrowhead, Hawk’s Ridge, Eagle Watch, Bridgemill, Bradshaw Farms, Echelon, Towne Lake Hills, and The Fairways. The two most expensive golf course communities are the Echelon and Hawk’s Ridge, which have homes ranging in the several million-dollars. These communities are near five different cities – Alpharetta, Ballground, Canton, Waleska, and Woodstock, and all of them are not that far from Atlanta.
Another scenic way to buy or build is to purchase property that overlooks some of the bodies of water in the county. Supplying you with endless beauty, you can work with the new homebuilders of Cherokee County, and live on some of the overlooks. Laws to keep the regions in a more natural state now protect some of the areas – and so the beauty is sure to remain.
Nearly all of these golf course communities have a number of activities available. These typically include golf, tennis, and a swimming pool. Some of these Waleska golf course communities also have horseback riding, since there is a number of stables in the area, and some of the country clubs offer golf and tennis lessons, and most will conduct some kinds of fitness classes.
One more advantage of living in a Cherokee County golf course community is the proximity to Atlanta. This puts you within easy driving distance of just about any type of entertainment or sports activity you could want. Atlanta has centers for some of the major players in sports, and some of their teams are very well known. You also have an international airport nearby, and schools and colleges are in the County. Perhaps even most important is the possibility of getting a job in the Atlanta area.
Purchasing your home in one of the Waleska golf course communities means that you may need to be in constant contact with a Realtor, since they know when homes become available. A Realtor can also tell you when there is a new community being opened – or planned, so you can have one of the early opportunities to pick the new location of your property, as they become available. New home builders in Cherokee County will be glad to talk with you about building your new home.
If you are looking for a good break in real estate investment, then you cannot do better than starting with Tampa. All you need is some knowledge, information and training about realty and you are ready to go, even if your first time seems as clueless as clueless can be. It is not going to be difficult for you to find motivated sellers on the Tampa real estate scene. You will be surprised at how easy it is to roll in the big bucks and large checks. You just need a storehouse of information, tips, secrets, advice, methods and strategies that will help you with realty investing.
Start off by getting yourself educated. Enroll in a university or take up a course on real estate investing. There are dozens of books available on real estate investments. You can even check out websites and the Internet for information on realty. Websites offer tips, strategies and testimonials of investors who have been successful in the realty field.
Getting a mentor is the best way to start. You need a guide before you can start off on your own. Self train by attending seminars and presentations on real estate. Sign up for realty investing forums; this is a great way to interact and communicate with people who are successful in this field. Learn through your mistakes, as experience is good, but do not make costly mistakes. You need to be well prepared in any field to venture into it. Do not jump blindly into it. You need to be smart but not stupid in realty and remember that taking risks is fine, but not uncalculated risks. Understand all these things before you enter the Tampa realty investing scene.
Everyone wants to earn profit and this is one of the main perks of the real estate investment field. realty investing in Tampa can earn you big bucks. There are those who have made millions in the realty biz; try to emulate them. The way they became successful and rich was by educating themselves in their field and by understanding the market. Treat the realty scene like a business. And every business has a plan. Business plans need to focus on marketing, advertising, education and strategies.
Once you have educated yourself in the best way possible, you can take your first steps into the Tampa real estate investment scene. Focus on the particular investment you want to get into to be successful. You can hire a realty agent who can help you with your investing needs. You can pay the estate agent a percentage on the sales you make. This is a reimbursement for helping you find properties and making the sales. Hire an agent who has the expertise and experience you require to make your venture a success. Your agent can also be your guide on the Tampa real estate investing scene. So before you start out, make sure that you are primed and geared up for success.
Most home buyers purchase homes with an eye on the future. Tomorrow is an unknown entity and we should be prepared for every contingency. Many of us choose to concentrate on today and ignore the future for the time being. Such an attitude to life may ease the worries on our mind in the present moment. However, it leaves us unprepared for the problems that the future might bring. It is important to find a middle path that will prepare us for the uncertainties of tomorrow while also easing our daily worries. As a result, many people invest in real estate so that their tomorrows may be taken care of.
I do not need to emphasize that a house is a good investment to make. Housing prices have been on the rise for a long time now. This rise has not been a local phenomenon. People all over the world have been witnessing rising real estate prices. This is what makes home buying a safe investment. Thus, not only are the returns high, but there is also a great deal of security involved in making such an investment. In addition to both these advantages, there is a third one which pertains to personal finance. A home owner is able to access a wide range of loans that would not be available to people who do not own property.
Take the instance of a home owner who starts feeling the pinch when his daughter sets out to get a college degree. Higher education is costly, and paying the fees out of one’s pocket may not be the answer for most middle class families. Thus, many have to turn to various kinds of personal loans in order to pay the tuition fees. Education loans are readily available in the loan markets. However, these are not the only options. A home owner who is still paying of the mortgage on his home can apply for home equity loans. These loans are determined by the equity amount of the house, and the rates for such loans are considerably lower than the rates for unsecured loans.
One can also go with the home refinance option. This would simply mean switching from a more expensive mortgage to a relatively cheaper one. Home owners who are shelling out too much in terms of interest payments would do well to keep an eye on the markets and pounce on a cheaper mortgage when interest rates drop. The savings that one gathers could go a long way in paying those high tuition fees.
The foreclosed home buying market is tight. And for good reason. Many people have learned that they can buy properties for a fraction of their value if they buy foreclosure or foreclosed properties. In order to help people find such properties and further their own business, many companies have started offering a free home foreclosure listing to potential buyers. But these free guides are not always worth the hassle.
One reason why this type of foreclosure listing may not be worth the trouble is that finding distressed and foreclosed properties in your area is not that difficult to do. Foreclosure listings are public record and can be accessed by everyone at the local courthouse. You can also contact local lending institutions in your area to find out what properties they have foreclosed upon. You can do all of this for no charge.
Granted, finding foreclosed properties on your own can take hours of research. This may make a free home foreclosure listing look like an easier alternative. But even with a free listing, you will have to browse through the countless national listings to find listings in your area. The listings might not even be up to date or accurate when you find them because many listings are generated through huge databases.
Buying foreclosure properties has also become very competitive with many potential buyers vying for the same property. A foreclosure listing that is available to everybody may not give you the competitive edge you need to find the investment opportunity or home of your dreams. In most cases, you can learn of a property quicker and in more detail if you perform the work yourself.
With that said, not all listings are a waste of your time. There are some reputable ones out there. You just need to know how to find them.
The first thing to look at in a free home foreclosure listing are the dates that the properties were listed. Since many foreclosures sell within days of being listed, an outdated list is not going to do you any good. Make sure that the dates are current and the listings fresh and unsold.
You should also be wary of offers from broad sources that promise to give you free listings in exchange for signing up for their free newsletter. In many cases, these types of foreclosure listings are only offered as a way to build lists of subscribers’ personal information that will eventually be sold to marketers. Most of the time the information that they give you in return is generic and useless.
Once you get a listing, do not be afraid to put it to the test. If the properties are not local, if they are not current, or if they do not contain accurate information, do not use the list. The chances of finding and purchasing an ideal foreclosed property with an outdated, unspecific free home foreclosure listing are very slim.
Real estate in Florida can be considered a very good alternative as far as holidays or retirement investment is concerned. If you are also planning to purchase real estate in Florida then you can consider properties in Costa Rica, since this is what most of the American investors are doing. When it comes to cost, realty in Florida is 70% to 80% higher in price than Costa Rica. Costa Rican realty is not only cheaper, but has other advantages associated with it that cannot be found in Florida realty.
From the investment point of view
Costa Rican properties are less expensive than real estate in Florida for similar properties. Due to an increase in the average price in the last few years by 300%, it is getting better. As compared to Florida realty, the potential capital growth opportunities offered in Costa Rica are far better. There are many realty investors who have made their investment double in a few years with Costa Rican property. In terms of growth rate, Costa Rica realty poses a strong contender for the properties in Florida. When you buy a property in Costa Rica your investment is secure because you get the same rights as the Costa Rican residents. You also get various tax incentives along with the rights.
Buying a Costa Rican property for retiring and living
American investors, who want to avoid the increase in inflation, crime and fast pace of life, prefer properties in Costa Rica. This is because houses in Costa Rica are cheaper and so are the expenses of living; it is 70% less as compared to the US. Many investors who were more than willing to purchase property in Florida are changing their decision and moving to Costa Rica. People, who are retiring, prefer Costa Rica real estate because it is one of the most relaxed and beautiful places to live in and they get more for their investment.
Several advantages related to investment and living is associated with Costa Rican real estate. If you combine these two factors, purchasing a holiday home here can be a very good deal. Your decision of buying Costa Rica realty is backed by the following advantages
Real estate can be bought as an asset and later used in whichever way you want.
With 300% as the growth rate on property value in last ten years, this form of investment is certainly better than mutual funds.
One of the major advantages is that you can either use it for holidaying or relaxing or, you can rent it and enjoy the soaring demand for rentals.
Such an investment will provide you an appreciating asset in your hands along with extra rental income so that you can make full use of it.
According to statistics, the rise in Florida real estate is nothing when compared to the cost and rise of property market in Costa Rica. You will get a good house amidst great scenic beauty in Costa Rica at an affordable cost, something that every investor looks for.