November 19th, 2010
Hello and Welcome to Xima’s Webinar Training Archive for November 19th, 2010. Here are some of the questions our subscribers asked in today’s training. Please watch the video to see the answer to all these questions and more:
- Q: Can we run this example 3657 Dunes Rd PALM BEACH. When the property start showing it shows a 69 K on the picture ,but the Listing price it is tttally diferent, Where that 69K coming from ?
- Q: Can we run this example 3657 Dunes Rd PALM BEACH
- Q: How often does the Xima information get updated: for example “preforeclosures” – new lis pendis filings, properties that are no longer in preforeclosure — that were either worked out in a loan mod, sold, or were actually foreclosed on, etc. ?
- Q: In this market is it more advantageous for a real estate investor to work the short sales with owners in pre-foreclosure OR work with owners directly in preforeclosure that have a good margin of equity?
- Q: How is the Xima Value calculated? It seems to be very close to the Zillow Values. Do you guys both have the same value calculation methods?
- Q: What is the general range of accurate mortgage information and loan amounts on the Xima searches – primarily preforeclosure equity searches?
- Q: How often does Xima information get updated regarding all types of comps? Whether they be comps from active listings, recent solds, or the distressed surrounding properties in pre-foreclosure, that have been foreclosed on?, etc.
- Q: how do we put our listing selected from xima to our website that is not working properly
- Q: when you are looking at mortgages can you identify non institutional lender, ie. private lenders who hold the note ?
| : How can i find the mailing or contact information for the property owner |
| Filed Under: ReiFax Trainings Archive Tagged with Comps, Diferent, Foreclosure, Google, Hello, Institutional Lender, Lis, Loan Amounts, Mortgage, Mortgages, Palm Beach, Preforeclosure, Private Lenders, Property Owner, Real Estate Investor, Solds, Subscribers, Webinar, Xima |
We are real estate investors and work extensively in the pre-foreclosure market. Many times sellers are financed 100% or close to it and there is no deal to be had so we try to negotiate with their lender to do a short sale or short payoff. As part of the process the lender needs a BPO to determine fair market value.
What is a BPO? A Broker’s Price Opinion is a market value assessment usually performed by a licensed real estate agent or broker. These are most often done on properties that are in foreclosure. A lot of times when the property is not sold before or at auction, the BPO that did the opinion will get to list the property. Sometimes it can be a full time appraiser looking for extra work that may do the BPO. Because of the fact the agent may eventually get a listing they tend to sometimes give a high appraisal.
Now realize that market value generally assumes a home in great shape needing no repairs. 90% of retail buyers will not buy a home that needs any repairs. Many lenders will not finance a home that needs wood replaced or roofing done.
What is a Drive By? A drive by consists of a BPO going to the house and stopping in front, taking a picture of the outside and driving off. They never get out of the vehicle, never to see the inside or any damage or repairs needed on the property. Comparable sales, past appraisals and tax records will be used to determine the value of the home without taking needed repairs into account. A lot of houses have good curb appeal, once you step thru the front door it’s a different story. We have had the BPO agent miss the fact that a tarp was on the roof to stop the rain from coming in the house because the holes in the roof were on the back of the house and the agent never stepped out of their vehicle.
How can I get an accurate BPO Appraisal? Be there early. Bring pictures and the list of repairs from your first visit. Develop rapport and become best friends with the appraiser. Do your homework on the neighborhood. Look for true comps. Example: If you are looking at a stucco home and the rest of the neighborhood is brick. You can’t find true comps. For future reference if you are in a mid to high humidity area, get a moisture test on the stucco and bring the results with you.
How can I keep from being a victim? Arrive 45-60 minutes before appt. Do not allow the home owner to greet the BPO instead of you. Stay where you can see the road. If you see a vehicle pull up and stop, jump out and holler politely,” Would you like to see the inside of the home”? To make the experience better for yourself and the BPO offer help. Tell them what you have found. Don’t take it personally if they don’t want help from you. Do your homework. Don’t let the homeowner show them around as they will try to point out nice things. Your job is to point out the flaws of the house and drive the appraisal down. Make sure the lender knows you are the point of contact for the BPO agent and to contact you to set up the appointment for the BPO. The pictures that you took on the first visit need to be printed out; if digital take them to a kiosk that makes prints. Have 3 copies made. Put two to a piece of paper, go with colorful construction paper, yellow is a happy color, go to your local office supply store and get printable file folder labels. In detail tell what’s wrong in the picture. Give the BPO agent 1 copy. Let them know what you have found wrong with the house or yard. Give them a repair list. Any true comparable sales you have found within a 5 mile radius will also help. Always pick the lowest comps. You will document a lot more problem area’s with the house than the BPO will see. This will be the difference of making 30k or 5k on a house.
Aug
17Curb Appeal is Key to Real Estate Investing
Posted By: Ramon Rivas on August 17, 2010 at 11:51 pmIf you are interested in real estate investing for handsome profits, you need to consider the curb appeal of any property you wish to rent or sell. A big part of the real estate game is buyer and tenant psychology. One thing that researchers have found about tenants and home buyers alike is that emotional response accounts for a great deal of investor success. In other words, the investors who can appeal to a tenant or buyer’s emotions — and make the tenant or buyer imagine themselves in the property — has the greatest chances of success. Curb appeal means improving the first impression that your property makes. Studies have shown that when the first impression of a property is positive, it is easier to convince a tenant or buyer to invest.
There are many ways that you can increase the curb appeal of your properties without a great deal of time and money:
1) Clean. A very tidy appearance is paramount to good curb appeal. Therefore, be sure to scrub the sidewalk, flagstones, walkway, windows, and siding. Mow the lawn, rake the leaves, clear the snow, and do everything you can to create the neatest possible appearance. You can do much of this yourself, although you may want to hire professionals or at least rent a high-pressure cleaning system for taking care of the exterior tiles or brickwork of a home. If the sidewalk outside your rental property or home is crumbled and in poor shape, you can generally contact the municipality to fix the problem.
2) Choose great colors. The color of your property goes a long way towards asserting good appeal. In general, you want to consider the colors of the properties around your property. If you are selling a suburban home, for example, located in a lot surrounded by pastel colored homes, you do not want to paint your property a right color. It would stand out too much. The right color blends well with the properties on either side of it. Make sure that the colors are fresh by applying a new coat of paint. Don’t forget the colors around the property, either. A bright green lawn or even crisp white snow contrasted with the few pine trees create visual appeal as well. If you’re interested in real estate investing, learn which colors to select, or hire a professional to select the right colors for you.
3) Repair. It should go without saying that you should ensure that everything outside is in good working order and looks attractive. This means that any broken walkways, bare patches on the lawn, and rickety shutters should be fixed up at once. You’ll find more success in real estate investing if you are selling a property that people want to buy.
Aug
12Costa Rica: An Exciting Real Estate Investment Prospect
Posted By: Ramon Rivas on August 12, 2010 at 9:17 pmTo this end they are actively encouraging international real estate investors and those looking for a retirement or second home overseas to come to Costa Rica and explore its exciting and affordable property market.
The Costa Rican real estate market is one of the most exciting in Central and South America right now as a direct result of the Costa Rican government’s commitment to promoting the property sector. With the implementation of a series of tax breaks and investment incentives available to overseas real estate buyers the success of the Costa Rican property market is practically guaranteed.
For those looking purely for real estate investment opportunity, Costa Rica offers two main angles for property investors to explore: -
Firstly as the natural beauty of Costa Rica proves an irresistible draw for more and more travelers and those in search of the perfect getaway, so the demand for rental and hotel accommodation in Costa Rica is on the increase. The supply of quality accommodation in Costa Rica cannot meet current demand and this situation is likely to deteriorate as the popularity of the country increases. The government is well aware of this fact and is keen to attract those wishing to develop specifically for the tourism market.
Secondly Costa Rica is becoming increasingly popular with the soon to retire US baby boomers who are actively seeking an affordable and attractive location in which to retire. Because Costa Rica enjoys relatively low crime, is neutral, has a relatively high standard and low cost of living it is gaining a reputation among pre-retirees as a must-consider destination. There is therefore room for the development of real estate to suit this particular market or for the purchase and long term lease of real estate to this market. This particular group of people also represents a strong resale demand for those who buy now, improve property and intend to resell in the medium term to release gains accrued.
The real estate investment climate in Costa Rica is hot right now with the government working flat out to attract sustainable foreign direct investment – those interested in making a move should consider committing to the market sooner rather than later while it remains a buyer’s market and before opportunities for the strongest investment gains are eroded by increased levels of investor awareness and interest.
Due to the upcoming expansion of the state of Oklahoma, neighborhoods around the city of Tulsa had forecast the rise of their homes’ value.
In Scranton, Pennsylvania, houses are expected to rise in value due to the efforts of the mayor to improve its neighborhoods and convert vacant homes into much more saleable empty lots.
The exterior of the house also affects its asking price. In Alabama, where people take pride in their southern heritage, lawns are kept well-manicured and the houses are well-maintained. Prices are expected to steadily grow.
In Texas, builders still show their confidence in the market through the steady inventory of new homes, especially in Edinburg where land is quite inexpensive. However, prices are expected to be more or less the same due to the prevalence of low-paying jobs in the area.
Real estate agents in Florida are expressing confidence over the strength of the local economy and are expecting market stability as result of low interest rates.
In Nevada, however, prices are expected to drop due to rising inventory, with exception of houses near amenities like golf and spa.
California real estate is expected to maintain its tight inventory as population continues to grow.
The recent slump in house prices, however, have affected several states in the country. Due to several layoffs especially in the manufacturing industry, houses in the Midwest area are lowered in value and homes with price tags of more than a million may be discounted just to get it off the market.
If you are looking for value in your real estate investment, it might pay to determine first which localities are considered most ideal. According to a survey done by CNN, the town of Fort Collins in Colorado is chosen as the best town to live in, followed by Naperville, Illinois and Sugar Land, Texas where diverse communities abound. http://www.States-RealEstate.com provides essential resources for buyers, sellers, home owners, real estate professionals, real estate investors, or any one seeking to connect with the world of real estate.
