Real Estate Investor Series: Part 3 of 6!

6 ways to make a profit in real estate investment

Many homeowners get into real estate investing by buying a home and using this home as a rental when they upgrade to a larger home. Called "serial purchasers", they continue to buy (and hold onto) additional properties.

Other investors prefer to find a quicker path to real estate investment success through one of the following ways.

Buy and Flip
Flipping means selling the property you just bought for a higher price as soon (or in some cases before) you take title on the property. While flipping allows you to make money fast in a hot market (or on a property you purchased well below market value), you may need to pay capital gains (talk to your tax advisor).

Buy and Scrape
Scraping is tearing down an existing home and building a new home. To capitalize on this idea look for areas where home prices are rising, vacant lots are few, and there's an inventory of older homes. While there are many permits you need to obtain, scraping can be a very lucrative process.

Buy and Split
Just as you can buy one lot and split into two, you can also buy one house and subdivide into two homes right down the middle, or buy a larger house and develop each floor into several condominiums. Another variation is to buy a house with a large lot, subdivide the lot, rent out the house, and sell off the land.

Smart real estate investors look at existing properties with new uses in mind (and they check into all building and zoning regulations). We can help you by identifying potential rental properties in the Richmond area. Please call or email with any questions you have.

Warm regards,

2008 Top Ten Places For Business and Careers!

This year, Raleigh, N.C. is number one for the second year in a row due in part, to its strong job growth. For the third straight year, the Southeast is home to half of the top ten, however there is new blood near the top with Lexington, Atlanta and Richmond joining the ranks and Spokane and Fort Collins also jumping ahead. Rounding out the top ten is Knoxville, Tenn. where business costs are 14% below the national average.

Also, the Forbes ranking may have you rethinking Iowa as just "the corn state". Des Moines, ranked fourth, with its sports arena, art center and heated 3 mile sky-walk, now boasts an unemployment rate of 3.4% and business costs that are 10% below the national average.

2008 Top Ten Places For Business and Careers

1. Raleigh, North Carolina (#1, 2007)
2. Boise, Idaho (#3, 2007)
3. Fort Collins, Colorado (#28, 2007)
4. Des Moines, Iowa (#4, 2007)
5. Lexington, Kentucky ( #30, 2007)
6. Atlanta, Georgia (#25, 2007)
7. Richmond, Virginia (#14, 2007)
8. Olympia, Washington (#10, 2007)
9. Spokane, Washington (#20, 2007)
10. Knoxville, Tennessee (#5, 2007)

Five Local High Schools Make Newsweek List Of Top 1300 In U.S.

Five local high schools have made Newsweek magazine's list of the top 1300 public high schools in America.

205 - James River High School - Midlothian.
457 - Midlothian High School - Midlothian.
893 - Clover Hill High School - Midlothian.
937 - Atlee High School - Mechanicsville.
1022 - Monacan High School - Richmond.

Full Story . . .

FREE Foreclosure Listings in Richmond, Virginia - REO listings in Richmond!

Did you know that the majority of foreclosure listings are on your local MLS?? There are many websites that charge to you get foreclosure lists from them when this information is out there for free!! That's right...I said it...for free!! You can contact your local friendly agent (hint hint) who can set you up on automatic emails, you will receive listings that fit your criteria....See homes as they come on the market!!! Buying a foreclosure has its challenges, so it's always good to have an agent who is familiar with the process....If you have questions or, want to receive automatic emails. Check my web site htt://www.RichmondVAHomes4Sale.com and call me, Mohamed 804-243-0605!

Homes for sale in Richmond, Homes for Sale in Chesterfield, Homes for Sale in Henrico, Homes for Sale in Glen Allen, Homes for sale in Mechanicsville, Homes for sale in Hanover, Homes for Sale in Midlothian, Homes for sale in Goochland, Homes For Sale in New Kent, Homes For Sale In Powhatan, Foreclosure listings in Richmond

Richmond Virginia - REO Property!

This is a deal you don't want to miss!
$99,900 ~ Bank Owned Property ~ House for Sale - This is a deal!



Location: Richmond Virginia
This is a deal cannot beat! $99,900
2 bedroom Brick cape good for investors or handyman, 1596 sq ft and lot size is .18 acre. Built in 1940.

Tips for Buying a Fixer-Upper!

Buying a "fixer-upper" can be a great way to earn sweat equity, but it also can turn into nightmare, end up costing you later on.
What are the rules to follow to find the right property to fix up or flip? Buy a house at least 30% below market value, so that you have profit left over after spending the money to fix it. Location is still very important- no matter how you fix up the interior, you still can't change the location. Go for the more popular 3-4 bedroom home, more buyers are looking for this size. Take your time to find the right property to flip and call me when you're ready to start looking for one!

A recent Realtor Magazine article helps sort out the rules of Fixer-upper.

Mohamed Mekhimar , Realtor®, Accredited Buyers Representative , RE/MAX Commonwealth, mekhimar@remax.net, (804) 243-0605 Cell, (804) 288-5000 Office, (804) 288-8989 Fax, http://www.richmondvahomes4sale.com/, Licensed in the Commonwealth of Virginia

The first quarter - Richmond events

January
Art After Hours - Be a part of one of the coolest ways to visit the Virginia Museum of Fine Arts. Enjoy weekly live music and poetry readings while enjoying beer and wine on Thursday evenings in January and February. The fun continues from March through December with Third Thursdays, the museum's monthly cultural event.

Kids Carniball - Bring the kids to sample international food and music while celebrating culture and traditions from other countries at the Children's Museum of Richmond. Featured countries change each year, with 2005's event celebrating China and 2006 focusing on Greece.

February
Maymont Flower and Garden Show - Start planning your spring planting with landscape exhibits, lectures and a marketplace of fresh items and ideas at this garden lover's paradise.

March
CAA Men's Basketball Championship - It's only the beginning of March Madness when the Colonial Athletic Association schools battle it out for the division title and a spot in the field of 65. Be sure to cheer on the Richmond Region's own Virginia Commonwealth University Rams.

Church Hill Irish Festival - Irish musicians, bagpipers, dancers and more descend on the Region's Church Hill neighborhood for this annual weekend-after-St.-Patrick's-Day event.

Ashland Variety Show - Randolph-Macon College hosts this bi-annual musical variety show with singers and dancers of all ages.


For additional local real estate information, information about me and my services, to request home listings by E-Mail, to request a market analysis on your current home, or to tour the MLS Listings please visit my web sites at http://www.RichmondVAHomes4Sale.com or http://www.e-richmondhomes.com/.

Richmond Virginia Real Estate - If the price of your home is too high!

If the price of your home is too high, several things could happen:
Limits buyers . Potential buyers may not view your home, because it would be out of their buying range.
Limits showings . Other salespeople may be less reluctant to view your home.
Used as leverage . Other realtors may use this home to sell against homes that are better priced.
Extended stay on the market . When a home is on the market too long, it may be perceived as defective. Buyers may wonder, "what's wrong," or "why hasn't this sold?"
Lower price . An overpriced home, still on the market beyond the average selling time, could lead a lower selling price. To sell it, you will have to reduce the price, sometimes, several times. In the end, you'll probably get less than if it had been properly priced at the start.
Wasted time and energy . A bank appraisal is most often required to finance a home.
Realtors have known it for years - Well-kept homes, properly priced in the beginning always get you the fast sale for the best price! And that's why you need a professional to assist you in the selling of your home.

CONTACT ME for assistance with RICHMOND REAL ESTATE
Mohamed Mekhimar , Realtor®, Accredited Buyers Representative , RE/MAX Commonwealth, mekhimar@remax.net, (804) 243-0605 Cell, (804) 288-5000 Office, (804) 288-8989 Fax, http://www.richmondvahomes4sale.com/, Licensed in the Commonwealth of Virginia

Christmas Events in Richmond

• Richmond, Virginia Christmas Events Christmas Parade - Richmond VA Saturday December 1, 2006, 10:00 AM


• Mechanicsville Christmas Parade. Sunday, December 2, 2007 at 3:00pm.


• Prince George Christmas Parade - December 1, 2007 Line up 2pm - Parade 3pm


• Colonial Heights Christmas Parade - December 4, 2007 Line up at 6pm rolls at 7pm


• Dinwiddie Christmas Parade - December 8, 2007 at 2pm


• Chester Christmas Parade - December 9, 2007 Lineup at 1pm rolls at 2pm


• Charles City Christmas Parade - December 15, 2007 at 10am


• Powhatan Christmas Parade - December 15, 2007 at 3pm

10 Things to Take the Trauma Out of Homebuying!

1. Find a real estate agent that’s simpatico. Homebuying is not only a big financial commitment, but also an emotional one. It’s critical that the agent you chose is both skilled and a good fit with your personality.

2. Remember, there’s no “right” time to buy, any more than there’s a right time to sell. If you find a home now, don’t try to second-guess the interest rates or the housing market by waiting. Changes don’t usually occur fast enough to make that much difference in price, and a good home won’t stay on the market long.

3. Don’t ask for too many opinions. It’s natural to want reassurance for such a big decision, but too many ideas will make it much harder to make a decision.

4. Accept that no house is ever perfect. Focus in on the things that are most important to you and let the minor ones go.

5. Don’t try to be a killer negotiator. Negotiation is definitely a part of the real estate process, but trying to “win” by getting an extra-low price may lose you the home you love.

6. Remember your home doesn’t exist in a vacuum. Don’t get so caught up in the physical aspects of the house itself—room size, kitchen—that you forget such issues as amenities, noise level, etc., that have a big impact on what it’s like to live in your new home.

7. Don’t wait until you’ve found a home and made an offer to get approved for a mortgage, investigate insurance availability, and consider a schedule for moving. Presenting an offer contingent on a lot of unresolved issues will make your bid much less attractive to sellers.

8. Factor in maintenance and repair costs in your post-home buying budget. Even if you buy a new home, there will be some costs. Don’t leave yourself short and let your home deteriorate.

9. Accept that a little buyer’s remorse is inevitable and will probably pass. Buying a home, especially for the first time, is a big commitment, but it also yields big benefits.

10. Choose a home first because you love it; then think about appreciation. While U.S. homes have appreciated an average of 5.4 percent annually over from 1998 to 2002, a home’s most important role is as a comfortable, safe place to live.

Tips for Investors!

Here’s some advice for potential investors:

* Buy in a familiar neighborhood, near where you live, work or go to college.

* Research the area thoroughly, identifying potential properties and other business opportunities.

* Observe trends, costs, vacancies, and potential appreciation.

* Assess your own skills. If you have to hire out maintenance, costs will hit the bottom line.

* Start small. A single-family home or a duplex is a good beginning. Plan to hold it for at least three years.

* Avoid foreclosed properties. They are complicated to buy and they aren’t a guaranteed deal.

* Be pre-approved for financing. Most investment property loans require at least 10 percent down.

* Remember, dealing with people is key, so hold onto your sense of humor.

Source: Star-Tribune, Lynn Underwood (10/20/07)


CONTACT ME for assistance with RICHMOND REAL ESTATE

Mohamed Mekhimar
Realtor®, Accredited Buyers Representative
RE/MAX Commonwealth
mekhimar@remax.net
(804) 243-0605 Cell
(804) 288-5000 Office
(804) 288-8989 Fax
http://www.richmondvahomes4sale.com
Licensed in the Commonwealth of Virginia

By the way...if you know someone who is interested in buying or selling real estate in the Richmond Virginia area and surrounding counties, please call me with their name and phone number. Thank you!

I'm a purist, young upstart, undiscovered blogger, what about you?

Builders Sweeten the Deal With Incentives!

The latest survey taken by the National Association of Home Builders indicates that 56 percent of builders are now offering incentives, up from about 45 percent a year ago.

As home builders juice up their efforts to unload inventories, the most common incentives they're offering include paying two years of property taxes and insurance or several months of mortgage payments. Other popular incentives include basement and garage upgrades and the addition of pools. Plus, 15 to 20 percent off the purchase price is being given in many areas.

Builders generally try to avoid outright price markdowns, in part because it angers prior home buyers who don't want prices in their subdivisions forced down.

Getting a Good Deal Here are some tips for getting the best deals from builders:

• Buy a finished home: Builders want these off their books.
• Get a pre-approval letter: This shows a builder that the buyer has financing already in place.
• Close quickly: Wrap up a purchase within 30 days; builders want to sell before the next bank payment is due.
• Avoid contingencies: Don't make a purchase contingent on selling a home or finding financing.

Source: The Wall Street Journal, Jeff D. Opdyke (08/09/07)

City of Richmond public pools for last splash

There's one last chance for splash of the summer. Most outdoor public swimming pools will be closing after Monday !

NORTH SIDE
Battery Park Pool: 2917 Dupont Circle, (804) 646-0127
Calhoun Pool (indoor): 436 Calhoun St., (804) 780-4751
Hotchkiss Pool: 701 E. Brookland Park Blvd., (804) 646-3762

EAST END
Fairmount Pool: 2000 U St., (804) 646-3831
Powhatan Pool: 5051 Northampton St., (804) 646-3595
Woodville Pool: 2305 Fairfield Ave., (804) 646-3834

SOUTH SIDE
Swansboro Pool (indoor): 3160 Midlothian Turnpike, (804) 646-8088
Bellemeade Pool: 1800 Lynhaven Ave., (804) 646-8849
Blackwell Pool: 238 E. 14th St., (804) 646-8718

WEST END
Randolph Pool: 1401 Grayland Ave., (804) 646-1329
More places to take a flying leap

Other swimming facilities in the area that are open to the public:

Hadad's Lake: 7900 Osborne Turnpike, (804) 795-2659, http://www.hadadslake.com./ Open 10 a.m. to 8 p.m. through Monday; 10 a.m. to 7:30 p.m. Sept. 8, 9, 15 and 16. Admission is $12; free for children younger than 1.

Cobblestone's Park: 13131 Overhill Lake Lane, Glen Allen, (804) 798-6819, http://www.cobblestonespark.com./ Open 10 a.m. to 5:30 p.m. through Labor Day. Admission is $12 for adults, $10 for children 2 to 10; free for younger than 2.

Pocahontas State Park: 10301 State Park Road, Chesterfield, (804) 796-4255, http://www.dcr.virginia.gov/state_parks Open 10 a.m. to 7 p.m. through Monday. Admission is $8 for adults, $7 for children, plus $4 per vehicle.

(Source: inRich.com)

Americans to Spend More than $232 Billion on Home Remodeling in 2007!

Americans will spend nearly $233 billion on home remodeling this year, according to the National Association of Home Builders’ (NAHB) 2007 industry forecast. That represents a 1.9 percent increase from the record $228 billion spent in 2006, according to estimates from the U.S. Census Bureau.

Driving the remodeling market are the size and characteristics of the housing stock. With an average age of 33 years and rising, older homes require more remodeling - both in terms of upgrading features to compete with new construction as well as maintaining their physical quality. Though remodeling is somewhat cyclical with new construction, homeowners cannot put off a major repair like a leaky roof as they can discretionary upgrades, and that stabilizes the industry during slower housing markets.
(Source: NAHB) Full Story . . .

Richmond the History and the Future!

The capital of Virginia, in the east-central part of the state on the James River north of Petersburg. Settled in the 17th century, it became the capital of Virginia in 1779 and was strategically important in the American Revolution and the Civil War, during which it was the capital of the Confederacy. The evacuation of Richmond by Confederate troops on April 3, 1865, led to Gen. Robert E. Lee's surrender to Gen. Ulysses S. Grant on April 9. Population: 194,000.
Metropolitan Area Population 2000: 1,096,957
(Source: answers.com) Full Story . . .

The Greater Richmond Region is a wonderful place to live, work and play!

The Greater Richmond Region is a wonderful place to live, work and play. While we all have our reasons as to why we call the Greater Richmond Region home, we want to make sure and spread the word about accolades that you may not be aware of. Each month a new list of accolades will be sent it out in an effort to help further celebrate all things great about the Greater Richmond Region.

*14TH BEST PLACE FOR BUSINESS AND CAREERS among the 200 largest metro areasForbes, April 5, 2007

* One of North America's TOP FIVE LARGE CITIES for BEST QUALITY OF LIFE, human resources, and development and investment promotionForeign Direct Investment (FDI) Magazine's "North American Cities of the Future 2007/08" competition, April/May 2007 issue

* A FIVE-STAR METRO AREA for knowledge workersExpansion Management, April 12, 2007

* One of the South's TOP TEN PLACES FOR THE CREATIVE CLASS Southern Business & Development, Winter 2007

>> Access the Competitive Analysis Report to learn how the Greater Richmond Region compares to cities like Nashville, TN and Jacksonville, FL.

(Source: Greater Richmond Chamber of Commerce)

Capital One Cutting 2,000 Jobs Amid Loan Losses!

Capital One Financial Corp., the largest independent U.S. credit card issuer, and the second-largest nongovernment employer in the Richmond area is cutting 2,000 jobs, or about 6 percent of its workforce, amid mounting loan losses and a slowdown in the mortgage industry.

(Source: inRich.com) Full Story!

Home sellers what is important to you in the sale of your home?

Please rank the following needs in order of importance to you in the sale of your home, 1 to 10 (1 = not important to 10 = important). e-mail me at mmekhimar@remax.net

* Home pricing.
* Net proceeds.
* Marketing and home promotion.
* Time on market.
* Security of your home.
* Communications, staying informed.
* Home enhancement advice.
* Broker’s credentials.
* Negotiation plan.
* Handling the details and paperwork.
* Convenience.
* Other

Buyer's Market? Seller's Market?

The market is an ever changing thing. From one month to the next it can change directions and feel. A Seller's market occurs when The number of buyers wanting homes exceeds the supply or number of homes on the market. In a Seller's market, the home Seller may have more negotiating leverage and obtain a higher selling price for your property., because there's always another Buyer in a Seller's market. A Buyer's market occurs when The supply of homes on the market exceeds demand. In a Buyer's market, Your home may take longer to sell, Less negotiating leverage in terms of selling price, there is more competition.

On the first of each month I will gather the numbers from the Central Virginia MLS for the prior month's activity. This helps me spot market trends and keep up with the local real estate market. I plan to post my market tracking here, so check back often or email me at mmekhimar@remax.net