3 SIMPLE TIPS TO FIND GREAT REAL ESTATE DEALS ANYWHERE

In a hot market like the one US is experiencing now, it’s hard to find great deals. Everything is overpriced; median real estate prices are up 160% since 1990, whereas incomes are up 90%, according to seekingalpha.com. Yet, there are great deals up for the taking and this applies with foreign properties also. However, you don’t want a property that will eventually turn out to be a money sinkhole. What should you look for while on the search for your next profitable real estate investment.

1.     Less Risky.

All real estate investments are risky. However some investments are more riskier. There are so many things that can go wrong with development of real estate, land, Tenant-in-Common (TIC) investments, private real estate funds and fixer uppers. These investments are high risk. You may not see a dime of the money you invest again. Before you put money down, it is necessary to do considerable due diligence, analyze, test, review reports etc., to avoid making risky real estate decisions.

2.     Fair cash-on-cash return.

Your stocks, bonds and other financial assets generate a rate of return of between 4% to 6%. Real estate shouldn’t be an exception. It is necessary to shoot for deals that give a fair cash-on –cash rate of return. This means that you need to buy cash flow positive properties and always pro-forma your deals. Check how pro-forma works in real estate investments

3.     Doesn’t take too much of your time.

If you have to travel every week to check out the status of your investment property, then it’s not worth the effort, money and time. These type of properties require considerable time and energy investment before they become smart investments: vacation rentals, low quality properties in bad areas, college rentals etc.

Here are four basic hints you also can use to find great real estate deals, regardless of whether you're searching for an investment property, a property for your business or just a home for your family.

1. Be the first. . . Or the last one.

In real estate, often the old adage is true: The early bird gets the worm.

Often, it is not the highest bid for a property that is accepted, it is simply the first. So, if you are looking to find great real estate deals, be quick about it! Obtain prior approval from a bank so you can jump to any property immediately, and let your real estate agent set you up with automatic email alerts notifying you of any new property coming to the market. So, do not delay - check it out quickly, and make an offer the same day if possible.

On the contrary, another way to find great deals is to look for properties that have been in the market for a long time. Such homeowners are often much more willing to sell for a discount because they are tired of clinging to that property. Many times, they have been making two mortgage payments for months (or years) and will entertain almost any offer.

2. Approach absentee owners in private.

Some of the best kinds of deals can be got from absentee owners, which simply means someone who owns a property but does not live there. They may be landlords (who hate their tenants) or homeowners who inherited their homes and simply do not know what to do with them. You can find these deals in a number of ways, such as:

Drive around, look for vacant homes, and use public records online to track the owner

Buying a list of public records using an aggregate list site such as ListSource.com

Calling mom-and-pop owners who are listing "for rent" properties on Properbuz. Let them know that you are not interested in renting, but would like to talk to them about the purchase.

3. Take a look at a large number of deals.

Finally, recognize that finding discounted prices is basically a "numbers game." You may have to kiss a great deal of frogs to get the prince!

Whether you want to buy an investment property, buy a home for yourself or buy real estate for another reason, keep in mind: You make your cash when you buy. If you wish to have immediate equity on your investment, which can help you build prosperity in the foreseeable future, or save in case there is an economical turndown, you must find great real estate deals.

The most important aspect of agent-client relationship is communication. A house seller or buyer can find it stressful dealing with an agent or buyer who is not a good communicator. An agent that stays in constant contact with clients and answers their questions proves his or her proactivity.

Yes you need to let buyers and sellers know where they stand quickly so they can move on to another property or potential buyer. Real estate is time sensitive. Buyers and sellers need the right information and need it fast. Hence, one of the qualities of a good agent is the ability to give the right information to the right kind of buyer at the right time. What an experienced agent might deem insignificant information might be important information to clients who are new to the real estate game. Putting the right information in front of clients communicate that you're an agent who puts clients first.

It's the responsibility of a good agent to sort out what clients need to know and provide this information. Hence it's important that an agent has a well updated website complete with valuable information. You don't really need to pressure your clients with too much information. Just the right information will do. Here are five content types that real estate buyers and sellers find valuable.

REAL ESTATE CONTENT TYPES THAT WORK

When correctly done, real estate content marketing can be a game changer for your real estate business. You have the chance to attract thousands of new leads through well-researched, helpful content. This is why effective real estate bloggers put a lot of plan and effort into creating the right content for their real estate website. Here are some of the real estate content types you should be posting for your real estate business.

1. Market Reports. Writing a recap of real estate activity in your community for the month shows you as a knowledgeable real estate agent in the community. Buyers and sellers want to be informed about the real estate market in their area of residence. Even if they aren't going to take action immediately, when you post fact-based market reports, they know whom to approach for questions. Also, Google ranks market reports high. Since few realtors are posting them, your posts have less competition.

2. Local Community Information. A local community guide includes details about a neighborhood such as detailed information about the local real estate market, local economy, housing and population, local school information, parks and restaurants and attractions. This type of content is important because it increases your real estate website's SEO value and helps the area residents see that you have strong knowledge of the community.

3. Home buyer and seller tips. Both buyers and sellers have a lot of questions on their minds about real estate. Providing helpful information on your site can be timely and help you gain more leads. However, when covering the questions, your visitors would find it much more helpful if you cover the topic in 'extreme' detail and they'll love you for it.

Cold calling for sale by owners or door knocking is old school. A much better way of gaining trust and new leads is through helpful content.  When you consistently post content that real estate buyers and sellers love, you'll start reaping the benefits of real estate content marketing.

In the book Cross-cultural Business Negotiations by Donald W Hendon, there is this story about a US sales professional with years of negotiating prowess in the US, pulling down walls due to his aggressive negotiation skills. He was asked to negotiate a business deal in Japan and he failed because the same aggressive skills that brought home the bacon in the US was considered a sign of weakness and insincerity in Japan. So negotiating on foreign soil presents a little more challenge.

But whatever the reason for negotiating or the country in which you are negotiating, the important thing is looking beyond the surface and understanding the motivations of the other party. This might be hard to do when you have barriers like cultural, socio-economic, political and religious differences. But you can break through those walls and infer the motivations of the other party; study weak points, analyze your strong point and get a win-win result. Here are property negotiation tips to achieve these whether on home or foreign soil.

1.     Be respectful.

Being respectful and courteous tells the other party you’re calm and might signify you have the strong ground. This would make the negotiations an enjoyable ground for you. Moreover, everyone likes respectful people. Likability can work in your favor. But going in all firing with an aggressive attitude and you could be sending the wrong signals.

2.     Do not be afraid to ask for what you want.

Successful negotiators are assertive and challenge everything - they know everything is negotiable. Being assertive means asking for what you want and refusing to accept NO for an answer. (Check the difference between assertiveness and aggressiveness). However practicing being assertive will take care of your interests while maintaining respect for the interests of others. When you put your own interests in front of others and with a lack of respect, then you are negotiating aggressively.

3.      Listen.

The most popular word in the English language (or any other language for that matter) is "I". Therefore, it stands to reason that most people love to hear themselves speak. Communication is imperative in any negotiation. Negotiators are looking for that point that will unite the two sides and create a platform for a result. Good negotiators ask questions and then listen. The other party will tell you everything you need to know - all you have to do is listen. Follow rule 90/10 - listen 90% of the time, speak 10% of the time. Make a lot of open questions sit back, relax and listen and you will be amazed at what you hear.

4.     Be Prepared.

It’s not a good strategy when you have to sit down at the negotiating table and think "I wish I'd known that" or "If I just found out before leaving the office. Know whatever there is about the house, the neighborhood and the state before getting to the negotiating table.

5.     Always be willing to walk.

Never negotiate without options. If you rely too much on the positive outcome of a negotiation, you lose your ability to say NO. When you say to yourself: "I will walk if I cannot secure a negotiation that is satisfactory," the other side perceives that you mean business. Their resolution will force them to make concessions.

Doing your homework is vital to successful negotiation. You cannot make accurate decisions without understanding both sides of the process. The more information you have about the people you are trading with, the stronger your negotiating power.