Destroy The Greatest Real Estate Myth And Youll Come Out Better Off!

Weve all heard it said, The most important thing in real estate is LOCATION, LOCATION, LOCATION! For years real estate agents have been peddling that line. To that I reply, RUBBISH, RUBBISH, RUBBISH!
Weve all heard it said, The most important thing in real estate is LOCATION, LOCATION, LOCATION! For years real estate agents have been peddling that line. As many will say, its the reason why real estate does or does not sell.

To that I reply, RUBBISH, RUBBISH, RUBBISH!

Sure, location is important, but to elevate it to the status of the most important reason is in my opinion, unjustified.

In truth, there are 4 key factors that determine whether or not real estate sells. They are:

– PRICE

– CONDITION

– MARKETING

– LOCATION

Youll notice I put location last on the list. Now dont get me wrong, location is important, but to say it is the most important factor in any real estate sale is just not true! Let me explain…

Of the four, location is perhaps the least important because of one often overlooked point, which is Location cannot be changed by anyone in the real estate negotiation process. Just think about that for a moment. Location cannot be changed by anyone in the negotiation process. So, unless you can put your house on wheels, it will stay where it is, meaning you (and your potential buyer) must accept the location as a fixed negotiating point.

Now, there are possibly a few exceptions. For example, it is not uncommon to move a house on the back of a truck from one location to another. In fact, I once watched as a multi-level hotel was lifted and moved on rails from one side of a busy city street to the other. It wasnt a small building, so I couldnt believe what I was seeing!

Also, without physically moving a property, it is possible in some circumstances to have a property rezoned by the local authorities. It does depend on your laws relating to where you live. However, I have seen properties triple in value when they were rezoned from rural to commercial. But, as I say, the laws are different from country to country.

Anyway, unless you can alter the location or status of the location, you must generally accept the location as being fixed. Which brings us to the other three points price, condition and marketing. All three are variables that you can control. Here’s what I mean:

1. You can raise the condition of your property to meet your asking price. Or…

2. You can lower your price to meet the condition of your property. And then…

3. You can run a powerful marketing campaign that makes your property stand out from every other property in town.

Do you see what I mean? You can change the price, change the condition and change the marketing… but the location of your property remains static.

So, to say that LOCATION, LOCATION, LOCATION is the number one reason why a property does or does not sell is just a real estate myth. The truth is; price, condition and marketing rate as more important factors in the real estate negotiating process.

Noel Peebles, Market Leaders ebooks.

Noel Peebles is author of the best-selling ebook “Home Selling Secrets Revealed.” For details http://www.forsalebyownerguide.com

NOTE: The following information must be included if you reprint this article:

*********************************************

Ex Real Estate Agent reveals the quick and easy secrets to selling your own home without an agent and avoid paying $5,971$8,329$12,963 or more in real estate commissions! http://www.forsalebyownerguide.com

*********************************************

About the Author

Noel Peebles has a wealth of experience including brand marketing with a major advertising agency, and as Director and Strategy Advisor with an internationally aligned marketing communications company. His skills include television and radio production, news-media and catalogue advertising, direct response marketing, research, media negotiation, sponsorship development, and public relations and franchise marketing consultancy.

Noel is results driven and has built a reputation as a clear, thorough, strategic thinker.

Over the years Noel has bought, developed and sold several businesses including fifteen years of “hands on” experience directing his own “highly successful” retail businesses.

He now runs his own direct marketing company supplying marketing solutions for small businesses. Noel also operates a public self-storage complex best described as a turn-key operation.

And, he’s travelled extensively to over forty countries.

Naples and Southwest Florida Real Estate Is Hot!

Naples and Southwest Florida Real Estate Is Hot!

by: Scott Berry

There has never been a better time to Invest in Naples and Southwest Florida Real Estate!

Collier County is ranked number one, and Lee County ranked number two in the entire State of Florida in Existing home (re-sales) sales ending February 2004. Collier County saw a 28% gain and Lee County had an 18% gain in sales of existing homes from February 2003 to February 2004.

New home sales put Lee County number one in the United States for the 4th quarter in a row and Collier County number five. These figures are based on the number of new home permits issued per thousand people.

We are seeing incredible appreciation figures, and rental rates are at an all time high. If you purchase a home in Southwest Florida, you should realize an unparalleled appreciation, and the figures indicate that, if you choose to rent your property out when you are not here, you should easily find a tenant.

The Median sales price for the same period saw Collier County with a 42% increase ($273,100 to $389,000) and Lee County with a 31% gain ($130,500 to $170,000). Once again, these value increases show that real estate in Southwest Florida out paced most other forms of investment.

For Updated Sales, Investment, or Equity Growth figures, please contact The Berry Realty Group or visit our website at http://www.napleselite.com

Grab Your Big Real Estate Gains and Run? Part One

>

If you bought a home two or three years ago you are a financial genius. In many areas real estate values have blasted up, up and away and left you sitting pretty.

If you have resisted the temptation of easy money home equity loans, chances are that you’re sitting on a big, fat profit. Perhaps it has crossed your mind that the big run up in prices is nearing a peak and values could come tumbling down. If that were to happen your big, fat profit would become very skinny in a hurry. That kind of financial weight loss you just don’t need.

This article is not meant to promote the idea that we’ve all experienced the effects of a real estate bubble and that inevitably that bubble must burst. That could be the case, but honestly, who really knows? But if a reversal is ahead, what can you do to avoid watching the value of your home plunge and your equity profit vanish?

Across the country, in the real estate markets that have been the hottest, some homeowners are selling and temporarily moving into apartments. They feel that they are selling at the peak of the real estate cycle and it could be years before they ever have a chance to sell for as much profit as they can get now. They just could not tolerate doing nothing and then watch a major decline in their net worth.

Their thinking is that over the next 24 months or so, interest rates will go up. If interest rates go up one or two percent many people will be priced out of the home buying market. That means less demand for homes and less demand means lower prices. That and other factors could result in falling home values. They want to pull their big profit out now, bank it and wait for prices to fall.

As real estate prices move to the lower end of the cycle, these sellers will then buy another home. In a way this will allow them to have their cake and eat it too. One of their choices will be to buy a home equivalent to the one they sold, but at a lower price. In this case they can allocate the remaining portion of their profit to other investments.

Another option will be to use all of the cash they received from the sale of their original home to buy a more expensive house.

Still another choice would be to sell and take their money to another area where real estate prices have not skyrocketed and buy a much nicer home. Family and employment obligations prevent most people from doing that.

What could go wrong with any of these plans? Home prices could just continue to climb. Then these sellers would be left sitting on the side lines, unable to even afford the house they just sold. Even if home prices just stayed flat without declining, they would still be stuck. The cost of an equivalent home, plus buying expenses would exceed the profit they earned from the sale of their original home.

The other challenge to their plan is what to do with that big, fat profit once they had it hand? Can they find a safe investment that could earn more than real estate? Due to the effect of inflation the buying power of the cash would diminish every day if they just sat on it.

Finally, you can do as most home owners certainly will. Nothing! That’s fine as long as you have not refinanced all of your equity out of the property. Then if values drop you will be “up side down”. That means you will owe more on your mortgage than the home is worth. That thought may scare some home owners into selling just to get out even.

Now that you’ve come to the end of part one of this article you are ready for the perfect solution to this potential situation, right? You certainly are an optimist. Sorry, not enough room here for solutions.

About the Author

Part Two of this article can be found at author Mark Walters’ Web site http://www.cashflowinstitute.com/grabprofit.htm