Platinum Land Kings Real Estate – A day at the office
Join Kevin Kelly in a day at the office as we review recent bought and sold properties and Kevin’s opinions about the properties.
No commentsNevada Housing Recovery Task Force
Kevin Kelly and Steve Hawks talk with Claudia Turcaz about her newly formed task force and how they plan to help Nevada’s economy.
Claudia Turcaz
Nevada Housing Recovery Task Force
702-528-2422
Buyers Market 2011 Las Vegas
Kevin Kelly and Steve Hawks talk about how Las Vegas is a buyers market and heres why…
1 commentBofA unit ordered to halt foreclosures
A Pahrump woman, fed up with foreclosures, alleges Bank of America’s foreclosure unit ReconTrust Co. is operating without a Nevada State Business license. On January 20th, Nye County Judge Robert Lane stops ReconTrust Co. foreclosing on “any real or personal property situated in the State of Nevada.
Read The Las Vegas Review Journal article
Great Start in 2011: Trustee Sale Property Report
January has started off with much more daily activity and larger discounts on properties at the trustee sale than we saw in the 3rd and 4th quarter of 2010. It also appears there is a flattening out of the marketplace from the depreciating slide that has lasted for years. Some analyst predict that we are at the bottom, with that we also have seen an increase in buy and hold purchases. The cash flows are substantial, and some of the funds we have seen waiting on the sidelines for years now seem to be getting aggressive with that type of product. While no one can truly predict the marketplace tomorrow, many of the properties going back to the bank and being purchased by investors today will cash flow and or are good properties to flip for a substantial profit. Below is a snapshot of some properties and opportunities just passed, let’s hope this last long enough for everyone to take advantage of it. Please call the office for further information.
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Mobile Command Center At The Trustee Sale
The best real estate profits are made at the Trustee Sale. Watch Kevin Kelly and Steve Hawks walk you through a day in the Mobile Command Center at the Las Vegas Trustee Sale. Click Read More to View.
The Secret to a Profitable Foreclosure Investment
Foreclosures can be an excellent opportunity for you to invest in property, especially if you are low in funds or are looking for investment property at a discounted price. While foreclosures are a great investment, not all foreclosures are created equal. It is important, as an investor, to understand the process and what to look for when searching for Las Vegas foreclosures as investment property.
The Secret to a Profitable Foreclosure Investment – Be Prepared
You do not want to jump in and buy a foreclosure property. There are many different factors involved in buying a Las Vegas foreclosure property, which means there are different problems that could arise during the process. If you are prepared, this process could go much smoother. Here are some tips to consider before looking for foreclosure investment property:
- Work with an Experienced Real Estate Agent – While there are many qualified real estate agents, it is important to work with a real estate agent that is familiar with the foreclosure process. In order to profit from the best foreclosure deals, you and your real estate agent should know the process of researching foreclosure properties, submitting bids, and talking with the banks.
- Know the Numbers – Before you start making bids, find out what non-foreclosure homes are being sold for. This will give you more of an idea of what is a good deal and how low or high you should be bidding.
- Get your Finances in Order – Banks tend to favor cash deals over financing deals. However, it is possible to purchase a foreclosure investment property with financing. With foreclosures, you must already have been approved and have a letter from your lender stating this. If you intend on paying with cash, you must have verification of funds.
Different Approaches for Buying Foreclosure Property
There are three different ways to go about purchasing foreclosure property. The approach you take will depend on what stage of the foreclosure process the investment property is in at the time. There are three basic ways to buy foreclosure property. These are:
- Buying Pre-foreclosures – This is when you buy from the property owner who is delinquent on payments before it goes to the auction.
- Buying Foreclosures at Auctions – This is when the property has gone through the foreclosure process and is being released for sale at the auction.
- Buying REOs or Repos – If no one buys the property during the auction stage, then the lender becomes the owner of the property. These are called REOs or Repos.
As with any investment property, there is always risk involved. Buying a foreclosure as a REO or Repo is the least risky way to buy a foreclosure because you know where the lender is in cases of problems. However, the lender does not have to provide a disclosure.
Reduce your Risks by Being Prepared
If you purchase a Las Vegas pre-foreclosure from a homeowner, that person could disappear. You are not protected in the event that the owner lies about the condition of the house or the area. There could be liens on the house or huge utility bills that become the new owner’s responsibility. There could be another person on the title that did not sign. There are many different things that could go wrong.
When you purchase a foreclosure property at the auction, there is not much protection at all. This is the riskiest way to purchase property. It is a quick process, but you do not have any protection as to the process or the home. You generally only see the front of the home. There are not any inspections, so you have no idea if the house even operates. The people may not even be out of the home, yet. You are responsible for evicting the tenants, which could be a nightmare. They could decide to vandalize the property or steal what they can.
While this can be frustrating and a nightmare to the “unprepared” investor, these risks could be minimized if you and your real estate agent are prepared to ask the questions and verify the answers are correct before purchasing the property.
Consider purchasing foreclosures that have already gone back to the lender, rather than during an auction. Las Vegas foreclosure investing can be a profitable investment; however, it is extremely important that you and your real estate agent are completely prepared.
Should you add Rental Property to your Real Estate Investing Portfolio?
Rental property is an excellent investment for those looking for a long-term cash flow. Rental property has become even more popular as the lending criteria for purchasing homes has become stricter. When you purchase Las Vegas real estate as a rental investment, then you ultimately become a landlord. You will interview tenants to rent out the property you have purchased. You are responsible for taxes and maintenance of the property.
In the beginning, you may not have much of a profit. Remember, you will have expenses to pay as the owner of the home. The rent you charge your tenants should cover all of your expenses. It is possible to turn a monthly profit right away; however, if you charge too much rent, you may not get any tenants. The goal is to charge enough to cover the mortgage, taxes, and any maintenance issues that could arise in the beginning. Once the mortgage is paid off, then all of the money going to the mortgage will be your profit.
There are a variety of types of residential properties that you can invest in for rental purposes. These include single family homes, multi-family homes, apartment buildings, and condominiums. You can also include commercial rental property in your portfolio. These would include retail and office space, warehouses, and mini-storages.
In order to purchase a successful rental investment property, you must pay close attention to the locale. You want to find an area where vacancy rates are low and where people will want to live or where there are a large number of people searching for rental property. An example of this is near a college where college students would be looking for rental property near their college.
There is some risk in this type of investment property. You could end up with no tenant or a “bad” tenant. A bad tenant could be one that does not pay his/her rent on time or damages the property. Be sure to do a full background check on anyone you allow into your investment property.
To avoid the “no” tenant risk try to charge a fair price and handle situations that will arise in a timely manner. A vacant rental property can be detrimental to your success. When no one is renting your property, you are still responsible for the expenses. This puts you in the negative, which is not a desirable place to be.
Once you find good tenants, keep them happy. Be respectful to their needs and try to be as understanding as you can in times of struggle. More than likely over the time of a person’s life, there will be times of financial struggle. Try to work with a tenant instead of kicking them out the first time they are late on rent. If they have always been on time in the past and are good tenants, it is much better to work with them than it is to have to find all new tenants that might not be as good.
Be patient, and you will create a residual income that will support you for years to come.
Five Types of Real Estate Investing
Five Types of Real Estate Investing
Real estate investing can be an interesting career. There are many different avenues you can take when it comes to Las Vegas real estate investing. Which avenue you take will depend on your level of experience and your risk lenience. Take some time to decide which road you want to take before you purchase an investment property. Once you decide on the type of real estate you want to invest in, do even more research.
Rental Property
Rental property can be very profitable over time. This is where your patience will pay off in the long run. Buying a rental property turns you into a landlord. You are responsible for paying the mortgage, taxes, and any costs related to maintaining the property. However, these costs should be covered in the monthly rent you charge a tenant.
Rental property includes residential and commercial. Residential includes single family homes, townhomes, condos, and duplexes). Commercial is generally office or retail space.
Real Estate Investment Groups
These are for those of you who want to own rental property but do not want the hassles of being a landlord. A real estate investment group is comprised of companies that will buy or build a set of apartment blocks or condos. They then allow investors to buy them through their company, which means joining the group.
As an investor, you can own one or multiple units; however, the company operating the investment manages all of the units as a whole. They take care of the maintenance, interviewing of tenants, and advertising for your vacant unit. The real estate investment group makes money by charging a percentage of the monthly rent to you. You then get the rest without worrying about the tenant or the maintenance of the unit.
Real Estate Investment Trusts (REITs)
REITs are created when a corporation (or trust) uses investors’ money to purchase and operate income properties. They are bought and sold on major exchanges like stock. Corporations have to pay out 90% of its taxable profits. They do this in the form of dividends in order to keep their status as a REIT.
Why are REITs considered to be a popular investment? REITs avoid paying corporate income tax. A regular company would be taxed on its profits and then would have to determine whether or not to distribute its after-tax profits as dividends. These funds are made up of multiple properties and are managed by a fund manager. Properties can be residential, commercial, or a mixture of both.
Property Flipping
This type of investment property is a short term process. You would purchase an investment property, fix it up, and “flip” it in a short time.
Foreclosure Property
Foreclosures are very popular. You would purchase a foreclosure property at a discounted price and sell it for a profit. These are perfect for the new investor with limited funds.
These are only a few of the many different types of real estate investing. While investing in Las Vegas real estate can be a profitable transaction, it can also be a risky one. Make sure you are completely familiar with the type of real estate you decide to