How Shadowing Fellow Agents Can Jumpstart Your Real Estate Career

Real Estate Technology

Article | July 12, 2022

Search online for real estate investment strategies, and you’ll be overwhelmed with the information overload that hits you. Self-proclaimed experts, gurus, and never before heard of writers (because everyone has a book these days) keep posting hordes of stuff regarding where you should focus your efforts and what you should put your money into. Read a few of these sources, and you’ll see that most of the stuff is the same. It’s very unusual to find ideas that are starkly different online. Head to the store and buy books on investment strategies. Though definitely not to-the-point and instead highly detailed, once you finish reading, you will find yourself at the same spot you were before. Countless case studies, multiple options, a lot of theory, and no practical application! Don’t fret. My article today isn’t going to give you 10 more real estate investment strategies.

Real Estate Investment, Asset Management

Article | May 5, 2023

Considering a remodeling project? Before getting started, establish a list of return on investment (ROI) goals, because not all home improvements are created equal. Some add value to the home that can be recouped when selling, while others may be nice to have but are unlikely to raise the home's asking price. Anyone who wants to focus on home improvements that will pay for themselves when selling the home should know which projects to avoid. Read on to learn about three home improvement projects with a strong return on investment. Upgraded Landscaping For homeowners looking for a better price when they sell, it's hard to go wrong with landscaping. This is one of the few home improvements that typically yields a positive return when selling the home. On average, homeowners can recoup 150% of what they spend updating a home's landscaping. Since curb appeal is a huge factor in selling a home, choose improvements that can be seen from the road for the best return. Resodding or reseeding a lawn is a project that typically provides good returns. In an arid climate like Nevada, consider landscaping with native plants, xeriscaping, and other eco-friendly desert landscaping options to reduce water usage and maintenance requirements. Adding new trees to the landscaping can pay off now and at the time of sale. Trees provide shade and natural cooling, which can take a chunk out of power bills. When selling, trees add between $1,000 and $10,000 to the selling price of a home. Creating a Dazzling Entryway Continue the strong first impression by creating a welcoming space in the entryway of the home. Upgrading to manufactured stone veneer has a return on investment of around 96%. The improvement is relatively simple but makes the front door and the surrounding area more dramatic. Even small improvements can have a big impact. Upgrade to a metal door or one with small windows that let in additional light. Find upgraded house numbers that are visually appealing and easy to see. This often costs less than $100 but can improve the look and feel of the entry area and practically pay for itself when it's time to sell. Minor Kitchen Remodeling The kitchen is the heart of the home. This is the room that is one of the top choices for home improvement projects. However, contrary to what one might expect, huge kitchen overhauls don't always yield a high ROI. In fact, less costly improvements typically have a better payoff. Small projects that can dramatically improve a kitchen include: Repainting Refacing the cabinets and adding updated hardware Replacing countertops Upgrading to more energy-efficient appliances Choosing more energy-efficient appliances is an upgrade that can start repaying itself right away. Other improvements are likely to increase the price of the home when it sells. However, on average, kitchen remodeling projects only bring in 77% of their cost when it's time to sell. Because of this, homeowners should focus on upgrades that improve their quality of life and what they are likely to get back for their investment. Some common mistakes can reduce what a homeowner will get back from a kitchen remodeling project. Investing large amounts of money on items that will need to be replaced again in a few years is unlikely to provide a positive return. Choosing items that are too high-end can cause them to clash with the look and feel of the rest of the home, which could turn buyers off. Improve Daily Life and ROI With These Home Improvement Projects Most home improvement projects do not pay for themselves in full when selling the home. Rather, they are changes that make the home worth more to the owner now, that have the bonus of a price increase when you sell the home. The right home improvement project can make any house feel like a new construction home. Homeowners should look to areas that will give them the most mileage when picking updates for their homes. For instance, old kitchen cabinets can make the room feel dull and uninviting. Refacing with a bright new finish can make the kitchen feel like a brand-new room. Adding low-maintenance shrubs to the front yard adds visual interest that can be enjoyed right away. Projects that require special permits could raise questions during a home inspection and potentially reduce the home's value—but properly permitted additions may let homeowners list a home with an extra bedroom or bathroom. Choose the updates that will provide the most meaningful benefits, both now and at the time of sale. By making the home inviting and attractive, sellers are more likely to be able to name their dream price.

Real Estate Technology

Article | July 21, 2022

While many workers plan, at least according to recent surveys, to continue spending at least part of each week working from home, a shorter commute still seems to be holding increasing appeal. The National Association of Home Builders (NAHB ) says its first quarter Home Building Geography Index (HBGI) indicates not only a pandemic driven shift in construction to low density, low cost markets, but a rapid expansion in areas with the shortest commutes. Litic Murali, writing in NAHB's Eye on Housing blog, says workplaces are moving toward hybrid home/office work models which could affect 30 to 40 percent of the American workforce. This will give renters and buyers increased market power over their travel times and the ability to reduce both housing and transportation costs. The nationwide average commute is 26 minutes. Those counties in the bottom quintile (lowest 20 percent) have a commute time of 18 minutes or less while the commute in the highest quintile is 28 minutes. The data show that 36.2 percent of the U.S. population resides in the counties in that top slice. The HBGI indicates that the top two quintiles with the longest commutes together had 63.6 percent of single family building. However, growth was strongest in that bottom quintile with a four-quarter moving average annual growth of 22.2 percent.

Article | April 25, 2020

In short, in the case of real estate investment, the goal is to put money into work today and let it increase so you have more money in the future. The profits or “returns” you make on your real estate investments should be sufficient to cover the risk you take, the taxes you pay, and the cost of owning real estate investments such as utilities, regular maintenance, and insurance. Real estate investing can really be as conceptually simple as playing monopoly when you understand the basic factors of investment, finances, and risk. To win, you buy property, avoid bankruptcy, and generate rent so you can buy even more property. However, remember that “simple” does not mean “easy”. If you make a mistake, the consequences can range from minor inconveniences to major disasters. You may even find yourself abrupt or worse.