July 22nd, 2010
Real estate listings are an easy and very accessible way of finding out what is available on the market. Such listings include the square footage of a home, how many bedrooms, the number of bathrooms, and often the asking price. Real estate listings can be obtained at a local real estate office or in the local newspaper. Today, the internet makes obtaining listings for property that is not in your immediate area just as accessible to individuals.
On the flip side, real estate listings are a great marketing tool for anyone trying to sell a home. Generally, the more information the seller provides in the listing, the more likely potential buyers will further inquire about the home.
Real estate classifieds are ads by home owners or real estate agents that list various homes on the market. These classifieds consist of new homes, basic homes for sale, and foreclosures.
If you are interested in a particular real estate listing, it is important that you take some time to research the owner and/or realtor before committing to purchasing anything. This is especially true if you are considering the purchase of a home that is in another state. Real estate laws vary greatly from one state to another.
Investigating individual realtors and their agencies is a fairly easy task, though it may be a bit time consuming. You can ask for information on homes that have recently sold. You can then talk with a few buyers and sellers. If you live in a small area, word of mouth will help you find all you need to know about a particular real estate provider. You can also check with the better business bureau to see if any claims have been filed.
Investigating a private seller is much more difficult. It is suggested that you read all documents very carefully. It is further recommended that you get all agreements in writing, no matter how small the detail may seem.
Real estate listings offer a variety of homes for sale as well as a marketing tool for sellers. Buying and selling real estate can be an exciting process, but it is an endeavor that requires common sense and paying attention to details.
Tags: Buyers And Sellers, Foreclosures, Individual Realtors
Posted in Real Estate Listings | No Comments »
July 20th, 2010
One of the more unusual but sometimes profitable real estate investments is buying parking spaces. In every large city, including Chicago, there is always a need for parking and demand outpaces supply. Even with public transportation readily available in large cities, the high gas prices and the growing trend of green living and conservation, Americans still love their automobiles. Parking spaces are always going to be needed, and there are investors who are banking on it.
In Chicago, Mayor Daley is proposing lowering the number of unpaid parking tickets from three to two before you get booted. Right now it costs $60 to get a booted car back, along with paying all tickets owed. A booted car will be towed after 24 hours, so you could have an additional towing fee of about $150 plus storage costs. It could add up to several hundred dollars in a few days. Records show that there were almost 59,000 autos booted in Chicago last year (2007), so there obviously is a need for parking that isn’t being met.
So how much does a deeded parking space cost? It depends on where you are located. In New York, it’s possible to pay more than $175,000 for a prime parking spot. In Chicago, deeded parking spaces run anywhere from $20,000 to $65,000 or more in some of the trendy new construction high-rises or downtown locations. High profile developments like the Chicago Spire listed here http://www.bestchicagocondos.com/pre-construction-condos/chicago-spire.html usually allow for parking for all of its future residents for a fee in addition to the condo price. Some buyers will opt for a second space if one is available and others may decide not to purchase one at all. In many smaller Chicago real estate developments, no parking is offered with the condos.
According to Parkingsearch, the value of parking spaces has increased by quite a bit over the past few years. Their research finds that in Chicago the average parking space sold for $28,000. By 2006 that increased to $30,000 and last year in 2007 it was about $33,000. With a fixed rate loan of 6 percent there is definitely a profit to be made. It may be a bit if a challenge to find a bank to loan you the money, but it is certainly doable. You monthly payment should be in the range of $200 and the going rate for renting a parking space in prime spots can be as much as $300 to $500.
You need to keep in mind that you’ll have a few fees associated with owning a parking space. It isn’t all profit. While you won’t have much upkeep on the spot, you will probably have to pay a maintenance fee to the building or condo association. A deed must be obtained, liability insurance is a good idea and yearly taxes must be paid.
When looking for a good parking space investment, factors such as the garage being heated, secure entrances and what level or floor the spot is located on if it is a multi-level garage all come into play. Also whether or not there is an elevator can increase the value. You should also do your research and see how well the units in the building have sold. Buying a parking space in a building that is only half sold or rented won’t be a good investment.
Some real estate agents may be able to help you find available parking spaces and many developers are turning to auction houses to liquidate condo inventory, including parking spaces at a deep discount. Around 27 spaces at Millennium Center were auctioned off this past spring, and 10 of those were sold absolute. The suggested opening bid for those spaces was $10,000 to $12,000 and they had been priced at $49,000 to $65,000 each.
Parking spaces as investments may have never occurred to you, but the next time you get a parking ticket or find your car booted, it may sound like a fantastic idea.
Tags: Estate Developments, Real Estate Investments, Storage Costs
Posted in Buying Real Estate | No Comments »
July 16th, 2010
The Spanish Property Market
When it comes to investing in property in Europe, Spain has been on the top of the list for nearly thirty years. A significant number of foreign nationals have spent a great deal of money on property located in Spain during this time period.
As time moves forward into the 21st century, the Spanish real estate market has not been as hot as it was some five years ago. Nonetheless, the returns that most investors have realized through real estate holdings and investments in Spain have remained high. In addition, the market itself has remained fairly stable overall.
Population: 40.4m
Currency: Euro
Capital: Madrid
Country dialling code: 0034
Flag of SpainFlag of the European Union
Investment Property in Spain
As referenced previously, a significant number of buyers from different countries around the world have invested rather heavily in real estate in Spain. Since the restoration of the monarchy in Spain, the gates have been opened to heavy foreign investment in property ownership by overseas buyers. (During the reign of General Franco in Spain, foreign investment in real estate was restricted. The regime of Franco enacted fairly stringent laws that limited foreign investment in real estate.
Residential Real Estate in Spain – Single Family Properties
Over the course of the past decade, many foreign nationals have spent vast amounts of money on single family residences in Spain. Primarily these foreign nationals are buying the residences for use as second homes, for use on holidays to Spain. (Spain has been a popular end destination for European travellers for years.)
In many parts of Spain, the single family residential market is what some people would term a “buyer’s market.” In other words, people interested in buying residential, single family homes in Spain — including foreign nationals — have a significant number of housing choices available to them (in major cities and in rural communities alike).
While the residential property market in major cities in Spain have found brisk sales for years, the rural areas in the country have also been experiencing an upswing in the property market in recent times also. Many people, including foreign nationals, are finding the ownership of homes in rural environments to be pleasing, appealing and cost effective. Generally, these people are buying in smaller communities in order to escape the hustle and bustle of the Spanish urban scene.
Residential Real Estate in Spain – Apartments
In large cities, such as the Spanish capital of Madrid and the coastal resort towns, the apartment market has been booming for the past fifteen to twenty years. A significant number of people have turned to apartment ownership when it comes to the buying of property and real estate in Spain.
Overseas buyers have expanded into the apartment ownership market with a vengeance over the past decade. Some industry experts in Spain estimate that as many as twenty percent of all apartment purchases in Spain during this time period have involved foreign nationals buying apartments in Spain.
Foreign nationals tend to be making the purchase of apartments in Spain for three primary reasons. First, these foreign citizens are buying apartments for retirement. Many people have been flocking to Spain from different European countries (and from some other nations around the world) for retirement because of its milder climate.
Second, with the creation of the European Union, and with Spain being a leading economic region in the EU, many people are finding it imperative for them to present themselves in Spain for a part of each year. As a result, these men and women are buying apartments to serve as second residences in Spain.
Finally, people are snatching up apartments in Spain in record numbers to provide them with a second home to be utilized for holiday or vacation purposes. Apartment ownership is proving to be a convenient, practical and economic means through which a person or a family can own a second residence that can be used for a holiday retreat and for similar situations not only today but well into the future.
Holiday Property in Spain
As referenced, many people are buying property in Spain for vacation and holiday purposes. (This includes both apartments and single family residences in different parts of the country.)
In many instances, foreign nationals are buying real estate in Spain that they can utilize for their own travel and holiday purposes during part of the year and which they can rent to other individuals seeking a vacation spot at other times during the course of a given year. Thus, these men and women are buying property in Spain for a dual purpose: holiday travel and income generation.
The tax and related laws in Spain make this kind of dual property ownership a profitable enterprise for most overseas buyers. Indeed, it is expected that more and more foreign nationals will invest in vacation real estate for this dual purpose well into the coming decade. They suggest that the growth of the European Union will spur on this type of real estate investment in Spain and in some other countries that comprise the EU at this time.
Specific steps to buying real estate property in Spain
At the present time, there are no significant restrictions to a foreign national purchasing and owning real estate in Spain. Indeed, foreign nationals are able to purchase and invest in nearly any type of property to be found for sale within that country — commercial, residential or other types of investment real estate.
When it comes to making the purchase of property in Spain, many experts maintain that a person is well served is he or she takes the time (and spends the money) to hire a lawyer to assist in managing and overseeing the legal affairs associated with the successful purchase of real estate in Spain.
Once a person identifies a piece of real estate that he or she is interested in purchasing, the first step in the purchase process (after an oral offer to purchase has been made by the buyer and accepted by the seller) is the creation of a preliminary or initial contract for sale. In Spain, it is highly recommended that a person makes absolutely certain that the ownership of the property and any encumbrances on the property are clearly identified before this agreement is signed.
In most instances, a preliminary contract is a fairly substantial and a firm legal agreement. Along with the agreement itself, a buyer will need to put down a deposit of at least 10% of the total purchase price. Under the real estate laws of Spain, the buyer has a more significant burden than is found in some other countries to ensure that the title to the real estate has a title that can be conveyed to the buyer at the conclusion of the sale (clean title). Thus, there are instances in which a title proves to be imperfect, in which the ultimate transfer of ownership cannot occur, and in which the buyer may lose out on the deposit he or she paid because they simply did not carry out the correct checks at the outset.
Many people who have experience in dealing with the buying and selling of property in Spain suggest that foreign nationals should retain the assistance of a capable lawyer at this juncture. While Spanish real estate laws are not particular confusing or difficult to understand, a person seeking to buy a property in Spain bears a greater due diligence responsibility early on in the real estate buying and selling process than do buyers in some other nations.
During the period following the signing of the preliminary or initial contract, the buyer has the opportunity to obtain financing and a mortgage loan to consummate the sale and actually purchase the real estate.
Again, as referenced earlier, the buyer of real estate in Spain has a bit of a stiffer burden to make certain that the title to real estate
in Spain is clear before he or she makes a purchase. Additionally, a buyer bears a greater burden than buyers do in other countries when it comes to making certain that there are no mortgages or liens from other lenders on a particular piece of property. While in most other countries the world over, the burden for “clearing title” generally rests nearly exclusively with the seller, such is not the absolute case in Spain.
Unlike in some other countries the world over, the laws governing the buying and selling real estate in Spain generally are uniform across the country. There really are no regional or local differences. (There are some local differences when it comes to matters relating to municipal taxes.)
The final task in the sales process is the payment by the buyer of the amount due and owing under the terms of the initial contract and the conveyance of the deed and possession of the property from the buyer to the seller. Property Abroad always recommends using a Solicitor or Lawyer.
Tags: General Franco, Investing In Property, Spanish Real Estate
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