Posted by Lisa Treu on Monday, October 14, 2019 at 12:00 PMBy Lisa Treu / October 14, 2019Comment
Top 3 Real Estate Myths
Understanding Real Estate
It seems you can’t find a headline with the term “housing affordability” without the word “crisis” attached to it. That’s because some only consider the fact that residential real estate prices have continued to appreciate. However, we must realize it’s not just the price of a home that matters, but the price relative to a purchaser’s buying power.
Homes, in most cases, are purchased with a mortgage. The current mortgage rate is a major component of the affordability equation. Mortgage rates have fallen by over a full percentage point since December 2018. Another major piece of the affordability equation is a buyer’s income. The median family income has risen by 3.5% over the last year....
Posted by Lisa Treu on Monday, October 7, 2019 at 12:00 PMBy Lisa Treu / October 7, 2019Comment
Building Wealth with Real Estate
Real Estate is one of the fastest and most secure ways to build wealth. 83% of wealth comes from real estate equity at retirement. There has been a lot of focus on real estate appreciation over the last couple of years. Today, expert projections still forecast continued growth, just at a slower pace. One of the often-overlooked benefits of rising home prices is the positive impact they have on home equity. Let’s break down three ways this is a win for homeowners.
#1 - Real Estate Move-Up Opportunity
The opportunity in the market is the move-up buyer. With the rise in prices, homeowners naturally experience an increase in home equity. Many homeowners...
Posted by Lisa Treu on Monday, September 23, 2019 at 12:00 PMBy Lisa Treu / September 23, 2019Comment
What HGTV Won't Tell You
Real Estate and Reality Shows
If you're like most of the US, you have been watching reality shows causing us to dream of a fixer upper. It is so easy to fall in love with designing homes with shows like “Property Brothers,” “Fixer Upper,” and “Love It or List It,” all in one sitting from the comfort of our couches.
When you’re in the middle of your real estate-themed TV show marathon, you might start to think everything you see on the screen must be how it works in real life. However, you may need a reality check.
Reality TV Show Myths vs. Real Life:
Myth #1: Buyers look at 3 homes and decide to purchase one of them.
Posted by Lisa Treu on Friday, March 29, 2019 at 12:00 PMBy Lisa Treu / March 29, 2019Comment
10 Tips to Save Money on your Insurance Costs
Insurance is a vital part of property investment. This is considered to be a big part of it which is somehow overlooked by some investors.It is important that you are investing with proper insurance. However, you want to make sure that the amount you pay in insurance costs will not lead to financial hardship. Whether you already own a home or you're still looking for a home, it's important to know the insurance costs .
Here are some helpful tips on how you can save money on your insurance costs:
Posted by Lisa Treu on Saturday, March 16, 2019 at 9:00 AMBy Lisa Treu / March 16, 2019Comment
Real Estate Advice You Should Ignore
Buying or selling your home is a big decision. It’s natural to have questions, but how can you tell if the information and advice you receive is accurate to your situation? Not only can you find bad information online but it might come from unexpected sources, like your friends, your family and even your agent.
Here are a few of the costly real estate advice that you should ignore each and every time.
1. You’ll save money if you don’t work with an agent – Both buyers and sellers fall into this trap, but bottom line, a good agent will save both parties money through their market knowledge and negotiation skills.
2. Determining your price by online estimates – Online home value estimates, such as Zillow’s Zestimates,...
Posted by Lisa Treu on Friday, January 18, 2019 at 12:00 PMBy Lisa Treu / January 18, 2019Comment
A recent study by the National Association of Home Builders (NAHB) show that a $1,000 increase in the cost of a median-priced newly built home, pushes 127,560 buyers out of the market. This means that the increasing prices are impacting affordability and the ability for potential buyers to purchase a home.
So, what does this mean? This study illustrated how even a relatively small increase in price or interest rate can dramatically impact housing affordability, according to NAHB Chariman Randy Noel. Housing affordability is currently a serious problem in communities across the country including South and Central Florida. On top of rising prices, the concern over interest rates is on the...
Posted by Lisa Treu on Friday, January 4, 2019 at 8:00 AMBy Lisa Treu / January 4, 2019Comment
What is a 1031 Exchange?
One of the most common real estate investment transactions is the 1031 Exchange. Simply put, a 1031 Exchange (also called a “like-kind” exchange) is the swap of one investment asset for another which defers capital gains taxes on profits.
A like-kind asset refers to selling one class of investment for a similar type of asset. For example, an investor currently holds several multi-family properties, such as duplexes, and wishes to sell them all in order to purchase a larger multi-family property, such as an apartment complex. This would qualify as a like-kind exchange.
There are specific IRS rules which must be carefully adhered...
Posted by Lisa Treu on Monday, December 3, 2018 at 5:00 PMBy Lisa Treu / December 3, 2018Comment
If you are new to real estate investing, there is a lot to learn. Unlike investing in the stock market or mutual funds, the success of a real estate investment largely depends on you; what property you purchase and how you manage the property once you own it. Real estate is a large capital investment, so before you write that first offer, it’s helpful to learn as much as you can. These 4 basic tips will give you some direction as you learn about investment opportunities.
Location, Location, Location – One of the most important aspects of a successful real estate investment is the location. The right neighborhood, street or community can make thousands of dollars of difference.
Posted by Lisa Treu on Tuesday, November 6, 2018 at 9:00 AMBy Lisa Treu / November 6, 2018Comment
Florida's 2018 Profile International Real Estate Update
What is the international real estate market doing in 2018? South Florida is such a popular place for buyers from all over the world and the global impact is felt when there are changes. International buyers accounted for 19% of all real estate transactions in Florida based upon dollar volume. This number is down from 21% last year. International buyers state that increased prices, lack of inventory and changes in the exchange rate are a few reasons that they have decided not to purchase a Florida home.
What areas are the most popular for international buyers in Florida? South Florida (Miami, Ft Lauderdale, West Palm Beach) received 54% of all international transactions. Is that a shock? Not really as we have...
Posted by Lisa Treu on Friday, August 17, 2018 at 9:00 AMBy Lisa Treu / August 17, 2018Comment
Who Is Buying Real Estate?
Five countries accounted for nearly half (49 percent) of the dollar volume of purchases by foreign buyers are China, Canada, India, Mexico and the United Kingdom. For the sixth consecutive year, China exceeded all other countries in dollar volume of purchases, buying an estimated $30.4 billion worth of residential property, though that's a decrease of 4 percent from last year.
However, rising home prices and low inventory led to a decline in foreign home purchases in the United States. According to an annual survey from the National Association of Realtors® (NAR), total international sales totaled $121 billion during April 2017 to March 2018, a 21 percent decline from the previous 12-month period. Lawrence Yun, NAR chief economist says "Inventory shortages continue to drive up prices, and sustained job creation...