Archive for the ‘Uncategorized’ category

Banks Selling Real Estate – A Real Bad Idea

November 23rd, 2022

Is it my imagination, or did I hear somebody out there complaining about real estate commissions?

Anyone who complains about real estate commissions now, is not going to be thrilled if banks have their way and are allowed to sell real estate, something that the American Bankers Association (ABA) has been tried to do by lobbying, pressuring Congress – and paying millions of dollars in the process by way of special contributions – for the past seven years. And it does not matter if banks are not allowed to share commissions. All banks simply need to do, once they are permitted to step into real estate, is to buy brokerage firms and they can share all the commissions in the world without ever once breaking the law. They do not even need real estate licences.

In fact, since we are on the subject of commissions sharing, let’s do a little numbers crunching to find out the ‘commissions’ banks are charging consumers today. They do not call them ‘commissions’ – they call them ‘interest charges’, but fact of the matter is that a fee computed on a percentage basis in payment for a service is a commission. So therefore, the user’s fee charged by a bank to a borrower on a percent basis for the use of a certain sum of capital is nothing other than … a commission.

Banks base mortgage rates on a variety of indexes. Among the most common indexes are the rates on one-, three-, or five-year Treasury securities. Another common index is the national or regional average cost of funds to savings and loan associations. A few lenders use their own cost of funds as an index, which gives them more control than using other indexes. To determine the interest rate on a mortgage, bankers add to the index rate a few percentage points, cumulatively referred to as the ‘margin’. The amount of margin may differ from one lender to another, but it is usually constant over the life of the loan. The formula therefore, is: Index Rate + Margin = Mortgage Interest Rate. Most banks use a 2 percent margin minimum. When they offer ‘special packages’ to consumers, they typically apply a 3 percent margin, and then offer a 1 percent ‘special’ discount or rebate.

Tips For Buying and Selling Real Estate For Profit

April 13th, 2022

Real estate investing is a great money-making venture. People can earn a lot of money from it whether they choose to sell or rent out a property. Sure real estate investing is not for the faint hearted and definitely not for the fearful. However, it is a great way to make a fortune and ultimately retire with a lot of money.

As a real estate investor for more than a decade, I had my fair share of ups and downs as well as triumphs and failures. Who hasn’t? One thing is certain though, and that is, entering the real estate business is truly worth it and is something that I will never regret. Real estate investing is a lucrative career where you can earn a lot of money in various ways. Thus, here are some tips for buying and selling real estate so you too can make profits the same way that I have.

· Choose location over looks when buying a property. One common mistake of most investors is when they decide to forego a shabby property in a superb location in favor of one that looks good in a remote area. You can always make an ugly property look good while you can’t do anything about a property in a bad location. Bear in mind that it’s easier to market real estate in a prime neighborhood than one that’s situated in an inconvenient location.

· Hold on to your property when the market is low. Instead of selling the house and lose money, just hold on to your property when houses are selling cheap. You can still earn continuous rental income from it and still have a tangible piece of property than you can sell at some point in the future.

· Offer more benefits to your real estate agent. When a property has been sitting in the market for too long, try increasing the sales commission of your agent instead of lowering the price of the property. You’ll be surprised at how this can get your property sold quickly in the market. You can also offer your agent a free trip to the Bahamas if he sells one particular piece of property. Think creatively on how you can entice your agent to make a sale.

· Buy low and sell high. For you to be able to do this, you need to search for below-market investment opportunities. These may not always be out in the open so you really need to do your research with this one. Find motivated sellers or people who need to sell their houses badly in exchange for fast cash. A homeowner who needs to relocate to a different state is one motivated seller, as well as a homeowner who’s having a divorce. Death in the family, job relocation, and a huge debt burden are some factors that bring about motivated sellers.

· Do house flipping. Buy a house, renovate it, and then sell it for profits. Many real estate investors are into house flipping as roughly $25,000 can be earned with one house flipping project. However, time is of the essence with this type of buying and selling in real estate. A property that is being fixed for too long no longer becomes profitable as well as one that isn’t sold quickly once the renovations are done.

The art of buying and selling real estate may not be easy but hard work pays off once the profits come in. Use the above tips to help your career as a real estate investor and start earning money. Let the strategies I use help you make a fortune and truly become successful in the buying and selling of properties.

Business Success Using Marketing Research

March 29th, 2022

Launching your product? Want to know what the market is all about now? What does the data say about the current market status? Is it a good time for your product to be launched? Will the audiences perceive your product? How different it is from other products? These questions might arise in your mind always. For that there is a solution which is called Market Research.

What is Market Research?

It is the process of assessing the market for the launch of new products with conducting a thorough research directly with the consumer. This lets the company to identify its target market and gather statistics and data from the opinions gathered from consumers regarding the product. Market Research are mostly done by the companies itself or through third parties who are experienced in the market research field. A lot of marketing strategies can be used for market research such as surveys, product testing and directly approaching the consumer groups for their opinions regarding the product.

Now the question is What is the need for Market Research?

The purpose of doing market research is to assess the market related to the product or service to gather results how the consumers will react to the product. The companies may try to find out what the consumer likes and what not and where does their product stand between these and how to make it better so that the consumer perceives it. They can remodel the product according to that and bring about changes to the actual product so that it fares successfully in the market after its launch.

How is market research done?

Market Research requires a lot of strategies and plans to be implemented to bring out fair amount of results for the company. The companies develops variety of steps with proper planning. It gathers information regarding the market and the company must analyze the data that has been collected to look after the relevant data that can be used later on to bring modifications to the product.

What is the use of Market Research results?

The company which is planning to launch its new product must conduct the market research to find out consumers views and also data regarding the product. These data helps the companies bring changes to the new products. If the company thinks that any alterations is required to bring to the product which may result in bringing success to the product right before or after the launch. To catch the consumers eyes the companies use this data and statistics to make sure the product is worth showing interest for and the consumers will be in benefit.