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Apache is functioning normally

Below is a list of acceptable VA energy efficient improvements according to the VA Loan Handbook. Qualified applicants can roll the cost of the improvements into your new loan up to a maximum amount of $6000.

<span data-sheets-value="{"1":2,"2":""" Check your VA home buying eligibility. Start here (May 7th, 2023)

VA acceptable energy efficiency improvements are:

  • Solar heating systems, including solar systems for heating water for domestic use
  • Solar heating and cooling systems
  • Caulking and weather-stripping
  • Furnace efficiency modifications limited to replacement burners, boilers, or furnaces designed to reduce the firing rate or to achieve a reduction in the amount of fuel consumed as a result of increased combustion efficiency, devices for modifying flue openings which will increase the efficiency of the heating system, and electrical or mechanical furnace ignition systems which replace standing gas pilot lights.
  • Clock thermostats
  • New or additional ceiling, attic, wall, and floor insulation
  • Water heater insulation
  • Storm windows and/or doors, including thermal windows and/or doors
  • Heat pumps
  • Vapor barriers

You can increase your loan amount up to $6000 for energy efficiency improvements. You will need to provide the following additional documentation to have the cost of these improvements rolled into your loan amount:

If improvements total $0 – $3000

  • A copy of a contractor bid or quote itemizing the improvements and the cost. The quote must list the model number or name of the items to be installed and the bid must be signed and dated by both the contractor and the borrowers.
  • A manufacturer brochure or flyer for each of the item(s) you are installing. The brochure or flyer must state the item’s model number or name. The model number/name must match up with the model number/name listed on your bid/quote.

If improvements total $3000 – $6000

  • A copy of a contractor bid or quote itemizing the improvements and the cost. The quote must list the model number or name of the items to be installed and the bid must be signed and dated by both the contractor and the borrowers.
  • A manufacturer brochure or flyer for each of the item(s) you are installing. The brochure or flyer must state the item’s model number or name. The model number/name must match up with the model number/name listed on your bid/quote.
  • An energy audit performed by your utility company or another 3rd party. The energy audit needs to show what your current monthly average utility cost are for the last year.

Upon closing, the funds added to your loan amount for the energy efficient improvements will be held in an escrow account until your improvements are completed. Upon completion of the improvements, an inspection is done to verify completion and the funds will then be released.

<span data-sheets-value="{"1":2,"2":""" Check your VA mortgage rates. Start here (May 7th, 2023)

Source: militaryvaloan.com

Apache is functioning normally

Last Updated on March 29, 2023 by Mark Ferguson

I fix up a lot of houses whether they are my personal house, my rental properties or my fix and flips. When I repair a house I don’t mean I do the work myself; I have a contractor do it for me. The most difficult part about fixing up a home is finding a great contractor and estimating how much the repairs will be. Estimating the costs to repair a house is not easy to do, but this article will give an idea of what repairs will cost. Repair costs will vary based on the quality of products used, how much labor costs are in your area and the contractor you use.

Update on 2021 repair prices!

I wrote this article before Covid hit the world. You might assume that Covid would decrease the prices of repairs but the opposite has happened. Repair costs have skyrocketed. Many manufacturing companies that produced materials shut down or reduced production while at the same time people were staying home and completing remodeling projects! The price of lumber, insulation, windows, doors, etc has gone much higher.

I am hoping that the market corrects itself soon but you can take most of the prices I list here and add 20 to 40 percent thanks to the increase in costs.

Why buy something that needs work?

Almost all the houses I buy need work and some need a lot of work. I would love to buy houses that are in great condition, but I want to buy houses that are a great deal. To get a great deal you usually have to buy houses that need some type of repairs, because there are fewer buyers who will buy those homes. When a house needs a lot of repairs, most buyers may not be able to get a loan on that house. The fewer buyers for a house the better deal you can get. It also takes cash to make repairs on a house, which further reduces the number of people who can buy houses that need work. Many people don’t want to hassle with making repairs or finding a contractor to make the repairs, which further reduces the buyers for homes that need work.

Even if you buy a house that is in great shape it will need work at some point. The fixtures may become outdated, the interior or exterior may need paint and things eventually break.

Below is a video on a house we flipped and how much it cost to fix up:

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How much does it cost to paint?

When I fix up a house I always paint the house and replace the floor coverings, unless those items were just done. The cost to paint a house has increased a lot in the last few years because the cost of paint has increased and labor has increased as well. My costs to paint the interior of a house are about $1.50 to $2.00 a square foot. For a 1,500 square foot house, it costs about $2,200 to paint the interior. That includes painting the trim white and the walls a different color like beige or gray.

The exterior of a house costs more to paint because the paint is more expensive, more prep work is needed and the weather has to be nice. Painting the exterior of a house can run $3.00 a square foot or more depending on the complexity and condition of the house. If a home has peeling paint it will cost much more to scrape and prepare the surface for new paint. If a house has lead-based paint, the costs can be much more due to the preparation and clean up work needed to dispose of the old paint. Your contractor or painter must be certified to remove lead-based paint or they can face huge fines from the government.

How much does flooring cost?

When I replace the flooring I almost always use carpet for the living areas and vinyl or tile for the kitchens and bathrooms. If a house has hardwood I will re-finish the hardwood, but I don’t add or replace hardwood because of the cost. It will cost three times as much as carpet to install hardwood floors. For me to replace the carpet in a 1,500 square foot house it will cost about $3,000 to $3,500 installed. Vinyl or tile will cost another $500 to $1,000 for the kitchen and baths. These costs are for middle of the road materials that look nice and will last, but do not cost a fortune.

If a house already has hardwood I will do my best to re-finish it, because refinishing is cheaper than installing new carpet. I also like the look of hardwood floors and buyers love them. I can re-finish a 1,500 square foot house that is mostly hardwood for about $2,000.

We will also use laminate or vinyl plank flooring now that the quality has improved and it lasts if installed correctly.

How much are light fixtures?

Another great update to a house is replacing the light and plumbing fixtures. A house with brand new lights, door handles, and faucets that all match, can transform a home. I like to use antique bronze, but we have also used brushed nickel. Light fixtures are as cheap as 2 for $20 for a basic bedroom and bathroom lights. A nice chandelier can be bought for under $150 as well as a nice ceiling fan. Door handles are $20 or less depending on the style and faucets run from $35 to $150. For an entire house, you can replace the lights, door handles and faucets for about $1,200 installed.

How much are appliances?

Another way to make a house look great is by adding new appliances. We put stainless steel appliances in our houses; I can get a stove for $500 to $600, a dishwasher for $300 and microwave for $250. I usually do not buy a fridge for my flips and for my rentals I may buy used appliances off Craigslist. Appliances make a huge difference in the look of a kitchen even if the cabinets are dated.

How much are cosmetic repairs?

If you do all the work mentioned above and the rest of your home is in decent shape, it will make a huge difference in the look and feel. I almost always do all the repairs I discussed on every fix and flip. With my rentals, I usually do most of those repairs, but if a house is in decent condition I can get away with less. Here are the total costs for a cosmetic upgrade on a 1,500 square foot house:

New interior paint: $2,200

New floor coverings: $4,500

New fixtures: $1,200

New appliances: $1,300

Total cost: $9,200

When you fix up a home it almost always costs more than you think so be prepared to spend more than what you calculate. It is very rare that I ever spend less than $10,000 on any house that I fix up because there are usually many little things that need to be repaired as well. Drywall holes, outlet covers, landscaping, and many more things will increase the costs. It is also rare that I do not have more major repairs to complete.

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How much are major repairs?

The repairs on my flips and rentals vary from basic cosmetics to a massive remodel. Here are other common repairs we make on houses and the cost.

  • Kitchens: It is not as expensive as you might think to replace a kitchen. I can replace a basic kitchen including cabinets, countertops and sink for $2,500 in materials or less. After adding the labor you can replace a kitchen for well under $5,000.
  • Baths: Baths can be gut jobs or a simple vanity replacement. For a full gut job, I can usually get the job done for less than $3,000. To replace a vanity, toilet and bath surround it can be done for less than $1,000.
  • Roof: I have a great roofer who will replace the roof on a 1,500 square foot house for around $6,000.
  • Electrical: Electric repairs can vary a great deal based on what needs to be done. Minor repairs can be a couple of hundred dollars or major rewiring jobs can be $5,000. It is important to get any electrical concerns checked out to see how serious they are.
  • Plumbing: Plumbing is similar to electrical. A minor job can be very cheap, but to re-plumb, a house can cost $5,000 or more.
  • Sewer: Sewer lines can be very expensive to replace. Luckily I have never had to replace one, but to replace a line can be $3,000 to $10,000.
  • Foundation: Most foundation repairs are not fun to deal with. There are many issues from settling, water leakage, grading issues or structural problems. If you have water problems in the basement or crawl space it could be a major foundation issue that is $10,000 or more or a simple grading issue that some dirt work will fix.
  • Windows: We end up replacing a lot of windows because we buy older houses all the time. For basic vinyl windows, I am usually charged about $300 a window by my contractors for material and install.
  • Doors: We also replace a lot of interior doors. Six-panel white doors make a home look very nice. Doors are usually $100 to $150 per door installed.
  • Stucco and siding: I rarely replace the siding on a home, but I have on occasion.  I am putting brand new stucco on a fix and flip that is costing about $8,500 for a 1,250 square foot house. Replacing wood siding is cheaper, but you then have to paint the wood siding. You can still re-side and paint a house for less than stucco in most cases.
  • Drywall/Sheetrock: With old houses, I see a lot of plaster and bad drywall. Brand new drywall makes an old house look so much better than uneven crumbling plaster. On a recent flip, a drywall specialist charged about $3,000 to do the walls and ceilings in three rooms that totaled about 500 square feet.
  • Furnace/hot water heater: I had a brand new forced air furnace system installed for about $5,000 this year. To replace just the furnace is about $2,500 and a hot water heater about $800.

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How much do I spend when I repair a house?

On my most recent fix and flip that is about to be put up for sale, I spent about $18,000 on the remodel. That included interior and exterior paint, new carpet, new doors, new trim, some electrical work, some new drywall, trash out, landscaping work and many little fixes. On a flip that is about to have the work started, I will spend over $50,000 on the repairs. That house needs new plumbing, new electric, new paint everywhere, siding work, new windows, new doors, new drywall, new baths, new kitchen, new floors, new fixtures, new trim and more.

Where do I buy materials to fix up my houses?

I shop at Home Depot for most materials including fixtures, doors, windows, door handles, kitchens, baths, and all the little stuff. I have a pro account with Home Depot, which gets me huge discounts on the materials we buy for flips and rentals.

Conclusion

Repairing a house does not cost $50,000 or $100,000 for basic cosmetic repairs. I see kitchen remodels on television that cost $50,000 and I can’t believe my eyes and ears! Even if you use high-end materials like granite counters and custom cabinets you should not spend $50,000 on a kitchen unless it is in a million-dollar home. Repairs can add up quickly on remodels and I always expect about $5,000 more in costs that I plan to spend due to unknowns. Find a great contractor, make sure that contractor does their work and shop around for the best prices to keep your costs down. Remember these costs are what I pay to fix up homes in my area. If you live in an expensive town, your costs may be significantly higher.

My book Fix and Flip Your Way to Financial Freedom, goes over exactly how I flip houses! It covers how to find deals, finance properties, what repairs to make, and how to market finished flips! It is available as a paperback and ebook on Amazon.

Build a Rental Property Empire

Categories Fix and Flips

Source: investfourmore.com

Apache is functioning normally

Last Updated on March 29, 2023 by Mark Ferguson

When buying a house, buyers are given a certain amount of time to complete a home inspection. Most people complete some type of inspection when purchasing a home, but is a home inspection always necessary? I have been a Realtor since 2001 and I am also a real estate investor. In my opinion, 95 percent of house buyers should always get a home inspection. There are a few cases when a home inspection is not needed and some cases when not getting a home inspection will actually give you a better chance at getting a great deal on a house. I have not asked for a home inspection for over a year on my own investments.

How does a home inspection work when buying a house?

When buying a home, most buyers are given a chance to get an inspection done on the house before they buy the home. In most states, it is typical for the inspection to occur right after the home goes under contract. Buyers are given a specific amount of time to either inspect the house themselves, have a friend inspect it, a contractor or a professional home inspector check out the home.

Buyers should be allowed to check out everything in a home including the major systems, utilities, and minor cosmetic issues. In some cases like with HUD homes or some REO sellers, the utilities cannot all be turned on. If the pipes on a HUD home do not hold pressure when HUD inspects a house, the buyer will not be allowed to turn on the water for inspections or appraisals (will discuss HUD rules later in the article). In some cases, houses that are in really bad shape may not have the electric or gas turned on if it is not safe to do so. The buyers are usually responsible for ordering and paying for the home inspection and it gives them a chance to ensure the house is in satisfactory condition before they buy the home.

I also made a video on this subject below:

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How much does a home inspection cost?

The cost of a home inspection can vary greatly. Smaller houses are cheaper to inspect and larger houses are more expensive. Costs vary depending on the region of the country you are in and living costs. Different inspectors have different rates as well.

For a rental property, I would buy that is about 2,000 square feet total I can get an inspection done for about $300. On my personal house which is close to 6,000 square feet, the inspection was $600 and the inspector did not even get a chance to look at everything in the home (after 5 hours). I am able to get slightly lower rates because I am a Realtor and there is a chance I might send business to inspectors. As a regular buyer expect to pay a little more than I do.

Besides using an inspector you can also use a contractor to look at home for you. I would be cautious when using contractors because they might tend to underestimate the seriousness of some repairs. If they convince you not to buy a home and they know you will use them to fix it up, they just cost themselves a job. I had a local roofing contractor look at a flip for me last year where there were major structural problems in the roof. He said it looked like an easy fix and not to worry about it. After he got started on the job, the easy fix turned into almost a complete rebuild of the roof!

What happens to the earnest money if a contract is canceled due to a home inspection?

When you write a contract to buy a home or your real estate agent writes a contract for you, you usually include earnest money. A typical amount for earnest money is one percent of the purchase price, but it can vary depending on your location and the seller. The earnest money is a good faith deposit showing the buyer is serious about buying the home. However, that does not mean the earnest money is nonrefundable if the buyer backs out.

Most contracts are written so that the buyer can cancel the contract and get their earnest money back if certain things happen. If a buyer has an inspection contingency written into the contract, they have a certain amount of time to complete an inspection. If the buyers cancel their contract because of the inspection and they notify the seller before their inspection contingency expires, they will receive their earnest money back most of the time (HUD is an exception I will go into more detail later).

If a buyer is not able to get a loan, there is a title problem or another contingency allows the buyers to cancel (title, appraisal, survey, etc.), they can cancel the contract and get their earnest money back as well. You just have to make sure the seller is notified before the dates on the contract expire for those contingencies. It is actually pretty rare that a buyer will lose their earnest money unless their agent misses a date or the buyers decide to cancel the contract very late in the process after their contingencies have passed.

Does a contract automatically get canceled after a failed home inspection?

If you find major problems after a home inspection you do not automatically lose the house. There are many options for the seller and buyer to save the deal. The outcome will depend on how serious the problems are with the house and how motivated the sellers and buyers are. The buyer can ask the seller to renegotiate the contract terms or to cancel the contract. Here are a few ways home inspection issues can be resolved.

  • Buyer agrees to purchase the home as-is. In some case,s the buyer will decide to proceed with the purchase of a home, even if there are major problems. In some case,s the buyer will have no choice because the seller will not make repairs or change the contract (HUD).
  • Seller agrees to make repairs to a home. Many times a seller will agree to make repairs to a house after an inspection is done. The seller may agree to make all the repairs the buyer asks for or negotiate to make some of the repairs.
  • Seller agrees to lower the price or renegotiate other terms. The buyer may ask the seller to lower the price, or the seller may offer to lower the price after the buyer requests repairs to be made. The seller can also agree to lower the price and make some repairs.

The buyers can ask the seller to repair whatever they want or lower the price to whatever they want, but the seller does not have to agree to anything. If the seller and buyer cannot come to an agreement on what to fix or how much to renegotiate, then the contract will fail.

Why would a buyer not want a home inspection?

In most circumstances, it makes sense to get an inspection done. Most homebuyers do not have the expertise to know what problems they may encounter when buying a house. A professional contractor or inspector can discover what problems a house has and how serious they are. A home inspection also gives a buyer the chance to ask for repairs or renegotiate the contract. I recommend almost all buyers get a home inspection done.

Having said that, I have not gotten an inspection or asked for an inspection contingency in a contract on the last ten houses I have bought. When you waive your inspection contingency it makes your offer much more attractive to the seller and gives you a better chance to get your offer accepted. This is a great tactic to use in a very competitive market when there are few deals to be had. It is also a great tactic to use in a multiple offer situation.

Do not waive a home inspection if you are not very experienced in buying homes, knowing what repairs are possible to come up and how much they will cost!

Why do I feel comfortable buying houses without an inspection?

I have been a Realtor since 2001, I have more than 20 rental properties and have flipped over 180 houses. I have a lot of experience with repairs on properties and what to look for. I have repaired an entire flip myself back a few years ago, which did not go as planned, but sure taught me a lot! There are many things that can cause a lot of problems on houses and you have to know what to look out for.

  • Foundations
  • Roofs
  • Plumbing
  • Electrical
  • HVAC (heating and cooling)
  • Mold
  • asbestos
  • Siding
  • Wood rot

These are just some of the things you must be aware of and know what to look for if there is a serious problem. These issues do not include cosmetic items or things you can see are wrong like:

  • Kitchens
  • Baths
  • Fixtures
  • Paint
  • Carpet
  • Doors
  • Windows

Not only do you have to be able to see when there is a problem, but you also have to know how much it will cost to repair these items if there is a problem. When I buy flips or rental properties I am buying them at a huge discount. When I make my cost estimates for repairs on a home, I always budget in extra money for things I may miss or discover during the rehab. I never assume a house only needs the work I can see, which is another reason I feel comfortable buying houses without an inspection.

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Why are HUD inspections different from traditional sale inspections?

HUD homes and some REO sales have many different guidelines than traditional sales. HUD homes are government-owned foreclosures and you can find much more information on them here. For owner-occupants, HUD allows the buyer a 15 day inspection period. The buyer must pay for the utilities to be turned on for the inspection and in some cases, HUD will not allow the water to be turned on. HUD has all of their homes pre-inspected and they do a pressure test on the plumbing system. If the plumbing system does not hold water, HUD will not allow the water to be turned on for the inspection or appraisal.

The inspection HUD does before they list a home provides some information to a buyer, but many times the utilities are not on when that inspection is done. I would never rely on the HUD inspection only; I would get my own inspection on HUD homes as well (if I were a normal buyer). HUD publishes the findings of that inspection (it is called the PCR) on hudhomestore.com under addendums. This is important to know because if HUD lists something that needs to be repaired on the PCR the buyer cannot use that as a reason to get their earnest money back. If the buyer of a HUD home finds an inspection problem and they want to cancel it has to be a new problem that HUD did not find.

HUD will also not make any repairs or lower the price based on the inspection and investors are treated differently than owner-occupants. An investor will not get their earnest money back due to inspection problems period on a HUD home.

Is it safe to waive an inspection if a home is pre-inspected?

HUD homes have an inspection done before they are listed. I have already talked about why you should not trust a HUD inspection and you should have your own done. Some traditional listings will advertise they are pre-inspected. I think it is a good sign that a home is pre-inspected, but again it is best to get your own inspection done. Inspections are relatively cheap compared to the cost of the problems they might find. Even if a house is pre-inspected I would have your own inspection done to confirm nothing was missed.

Is it wise to use an inspection contingency as a negotiating tool?

If you find major problems with a house that you did not know about, it makes sense to ask for repairs to be done or the price to be reduced. Some buyers will make an offer with the intention of asking for a price reduction from the inspection results, no matter how the inspection turns out. I never do this and I find it to be dishonest and unethical. For investors who buy many houses, it can also hurt your chances to get a great deal.

I have seen a few deals fall apart because buyers tried to use this tactic and it made the sellers and real estate agents very unhappy. When investors buy a lot of homes they will make offers to the same agents over and over again. I am a HUD and REO listing broker and list many houses. If I see a buyer who always asks for ridiculous inspections items or price reductions I will let my seller know before they accept their offer. If a buyer or real estate agent gets a reputation for renegotiating every offer on inspections, it will make it harder for them to get offers accepted.

One reason I am able to get so many deals from the MLS, is other agents know I do not play games, I do not renegotiate and if I say I will close, I will close.

How to find a great home inspector

When you use a real estate agent they should have suggestions for inspectors in your area. There are also inspectors you can find online, but I would use the recommendation of a professional in the business. There are many home inspectors and in some states, they need no training or licenses to be a home inspector.

I would interview any inspector before you use them and make sure you are comfortable with their knowledge and services. Some inspectors will nitpick a house over minor issues and some inspectors will not be very thorough and could miss major issues.

I would interview any inspector before you use them, and make sure you are comfortable with their knowledge and services. Some inspectors will nitpick a house over minor issues and some inspectors will not be very thorough and could miss major issues. A good real estate agent can help you choose the right inspector, as well as help you go over the report.

Conclusion

Home inspections are very important for most buyers who are not buying a lot of houses. Even if you buy a lot of homes, you have to be very comfortable judging repair costs and what will need to be repaired if you are thinking of waiving your inspection. If you do waive your inspection, you can get out of a contract but may lose your earnest money in the process. My advice to most is to always get an inspection done.

Build a Rental Property Empire

Categories Real Estate

Source: investfourmore.com

Apache is functioning normally

My neighbor Leslie G. and her husband Doug decided to sell their house. Nestled at the end of a cul-de-sac in Murray, their coveted lot bordered a lush green common area that led to a creek. Nice. Leslie was also a master gardener and the home featured curved brick walkways, an outdoor fountain, and easy-to-care-for perennials. It had serious curb appeal. Based on an appraisal and neighborhood comps, they were hopeful they could get $400,000 for their home. But that was just their beginning point. By employing the following strategies, they ended up accepting an offer $35,000 higher and everyone was happy, including the buyer.

Seller strategies for a scorching market

Clean it and stage it. The G’s had a full life with kids, grandkids and worldwide travels. Their home was equally full. When I walked through the home prior to their listing going live, it was difficult to separate the G’s from their home because personal items were in every room and on every wall. It also reflected a specific style and had the wear and tear of most houses built in the 90’s. A stager spent an hour in the house telling Leslie what to do, then Leslie and Doug spent an entire week cleaning, painting and adding new decor items in select locations. The results were staggering. Cluttered surfaces were cleared. Windows sparkled and sunlight streamed in. An outdated master got a complete refresh with a new bedspread, towels, and rugs. Each room boasted one salient piece of artwork, other than that walls were bare and the wall holes filled in and painted. Fresh flowers and bright new pillows graced the deck and every inch of baseboard in the house was scrubbed to a bright white gleam.

The staged deck has half its normal furniture

Why it’s smart: By removing most of the furniture and all of the personal effects from the house and deck, your house will feel emotionally neutral and move-in-ready. Buyers don’t need to try to imagine the space without your things there, they can see it. And fewer pieces of furniture typically makes a space or room look much larger than its crowded counterpoint.  On Homie’s Provider Marketplace, you can find repairmen, stagers and cleaning teams to help you accomplish this quickly and easily.

Price at or above appraised value. Utah home prices are shooting up faster than bamboo, and desperate buyers are often willing to offer more than even 3-month old comps. Leslie and Doug decided to price their home above its appraised value, feeling that the appraisal did not adequately take the prime location into account.

Appraisals can vary considerably

Why it’s smart: No two appraisals come in at exactly the same value, and sometimes the value can range considerably. In addition, in a market where the housing shortage is forcing prices up above appraised value, your buyers might have enough liquidity so that a below-sale-price appraisal is a none issue. If it does become an issue, you can discuss your options with your Homie attorney. Even if you split or pay the entire difference, you still end up earning top dollar on your home. If you set the price at appraised value, you open the negotiations to buyers who have less to put down, which might serve you well if your home entices first-time buyers. Homie gives sellers appraisal options, including but not limited to a Home Value report, desktop appraisal and more.

Give yourself time to consider multiple offers. The G’s listing specified that they would only accept offers with a seller acceptance deadline at least 72 hours after submission. A common practice of today’s home buyers is to “rush” sellers into accepting their offers before other interested buyers have a chance to tour the house and place an offer. Not surprisingly, the G’s received two offers within a week. They asked both potential buyers to come back with their “highest and best offer,” both of which were above listing price. They also continued to show the house, which ended up being a very good idea.

Building in a 72-hour window gives you time to get your highest and best offer

Why it’s smart: By requiring that offers have a 72-hour acceptance window, you build in time to receive multiple offers. This doesn’t mean buyers can’t make an offer with a shorter deadline, and if you get a “rushed” offer that makes you happy, by all means, accept it.  Still, a 72-hour clause sets the expectation for buyers that you know your house is going to sell and will likely have multiple offers. It also gives you time to ask interested parties to come back with their highest and best offer. They may choose not to make an additional offer, so check with your Homie attorney about the best way to phrase a highest-and-best-offer request. If they do come back with their best offer, check to see that their downpayment amount is large enough that the appraisal will not likely be a problem.

Avoid buyers making offers higher than they’re actually willing to pay. Leslie and Doug didn’t want to get weeks down the road with an offer and then have to renegotiate. When they received offers that were contingent upon a certain appraisal amount, they took care to make sure those buyers were not using high bidding prices to secure the home while planning on renegotiating if the appraisal came in below the sales price. Both buyers ended up backing out of their offers, and the G’s were free to consider other offers that met their requirements. A few days later, they received a third offer from a family they felt would be a great fit for both the house and the neighborhood. They ended up accepting this third offer, which was not contingent upon an appraisal amount.

If you’re concerned about the appraisal, consider buyers with enough liquidity to avoid shortfall issues

Why it’s smart: Buyers are doing their best to find an affordable house, however, in such a hot market it does happen that buyers offer more than the house appraises for. In considering multiple offers, ask your Homie attorney to help you structure your contract to protect yourself against a potential shortfall.

Only accept offers from pre-approved, not pre-qualified, buyers. An offer is only attractive if the buyer can actually close. It’s unfortunate, but many sellers have accepted the “highest offer” only to see the loan fall through and find themselves back on the market two or three weeks later. Today any buyer can get a pre-qualification letter just by entering a few fields into an online platform and allowing a hard pull on their credit, but at this point they have provided no actual income or debt documentation.

Ask your buyers to get pre-approved, so you don’t have to start over 3 weeks into the sale

Why it’s smart: When you ask your buyers to go the extra step from pre-qualification to pre-approval, you know, not only that they’re qualified to buy your home, but also that they can and have provided all the documentation required by the lender to get approved for the loan. And, while they haven’t yet gone through underwriting, which requires a specific contract on a specific house, they can get all the way to that point, which strengthens their offer considerably. Pre-approval status also shortens the amount of time needed prior to a financing and appraisal deadline, which can shorten your closing while also reducing your risk. You can ask interested buyers, even pre-qualified buyers, to get pre-approved at Homie Loans, putting yourself in the best possible position.

In a market like this, use Homie

Yes, it’s a seller’s market, but that doesn’t mean showing your house dirty or cluttered will get you your best price. It also means different strategies come into play when considering, countering and accepting offers. Homie provides seasoned real estate attorneys to help Homie sellers understand the nuances of today’s market and negotiate each step of the process with confidence. To list your home with Homie, and speak to a real estate attorney about how you can get the best deal possible for your home, start here. 

Word’s out. Homie has hundreds of new zero-commission listings every month. 

Source: homie.com

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You know how some directors have a habit of casting the same actors over and over again? Many of the best filmmakers have found that one star they love to work with and, as a result, keep going back to.

Steven Spielberg had his Tom Hanks, Scorsese had his DeNiro (and now, his DiCaprio), Tarantino has his always-growing group of rotating players (with his most recent work, Once Upon a Time in Hollywood being no exception).

Well, it would seem that there isn’t much difference when it comes to movie homes. Not every home can easily accommodate a filming set, ensure proper lighting, and complement the movie it’ll be featured in.

Then you have to factor in the actual location of the home, that needs not only to fit the general feel of the movie (and hopefully provide some killer surroundings for extra shots), but also how easy it is to reach for the entire filming crew and suite of actors that will be working on set.

But the contemporary home at 5941 Philip Ave. in Malibu seems to be a top choice among Hollywood filmmakers — so much so that it’s worthy of its own IMDB page.

5941 Philip Ave. Malibu, CA. Image credit: Compass

The Malibu property — which overlooks the world-famous Zuma Beach — has been featured in countless major motion picture and television shows including The Assassination of Gianni Versace (though not as the actual Versace house), Blow, Like Mike, and Ray Donovan.

And it’s easy to see why: touted as one of the best white water and coastline ocean view estate in all of Malibu Park, the contemporary home at 5941 Philip Ave. is an incredibly luxurious build with 20-foot tall ceiling-to-floor glass windows that showcase some of the most incredible sunset views in all of California. 

5941 Philip Ave. Malibu, CA. Image credit: Compass
5941 Philip Ave. Malibu, CA. Image credit: Compass
5941 Philip Ave. Malibu, CA. Image credit: Compass

The home — currently on the market for $15,996,000 — features an entire level completely dedicated to a wide open floor plan of 2,000 square feet, making it an entertainer’s dream that can comfortably accommodate up to 200 people (or, to go back to where we started, a full filming crew and their bulky equipment).

Standing on a generous 151,617-square-foot lot, the Zuma Beach-facing property comes with 6 bedrooms and 5.5 baths and isn’t the only abode on the grounds. There’s also a 2,000-square-foot guest house, itself set up with 2 beds and 2 baths that can accommodate all those party guests.

5941 Philip Ave. Malibu, CA. Image credit: Compass
5941 Philip Ave. Malibu, CA. Image credit: Compass
5941 Philip Ave. Malibu, CA. Image credit: Compass
5941 Philip Ave. Malibu, CA. Image credit: Compass
5941 Philip Ave. Malibu, CA. Image credit: Compass
5941 Philip Ave. Malibu, CA. Image credit: Compass

A private 70-foot long pool and spa let you take in the relaxing feel of the property, complete with an envy-inducing ‘soundtrack’: hearing the waves crash upon the Zuma Beach sand.

More homes from movies & TV shows

Is It Real? Edward Cullen’s Sleek Glass House in the Twilight Saga
Skyfall, James Bond’s Childhood Home in the Scottish Highlands
Bong Joon Ho’s House in the Oscar-Winning ‘Parasite’ is One You Won’t Forget Anytime Soon
The Futuristic, Secluded House in the Movie ‘Ex Machina’ is More Remote than You Think

Source: fancypantshomes.com

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Sustainable fabrics that are taking over home décor   – Luxebook


Sustainable fabrics that are taking over home décor   – Luxebook


Home Lifestyle Sustainable fabrics that are taking over home décor  

By Arushi Sakhuja  
With sustainability being the need of the hour, many luxury brands are continuously trying to show new and innovative ways to reduce their carbon footprint. With the coming up of thrift stores, new fabrics (such as organic cotton and vegan leather), producing zero waste, cruelty-free manufacturing processes and reduced water technology, and renewable energy sources, as well as adopting a transparent supply chain; brands are working hard to adopt more eco-friendly modes of production. According to Saachi Bahl’s, Founder Saahra and #ConsciousEffort Design Show and Conclave, one must acknowledge that there is no unilateral, linear, or perfect formula to be ‘sustainable’. She says….. “It is a complex process, and many times strategies are dependent upon the context of the business, its production and utility. Therefore, we must be receptive to more people in the industry approaching the subject and give them the scope to continually improve their efforts as there is no one size fits all.” 
It is worth bearing in mind that practices like repairing old weaves, recycling or upscaling can go a long way in giving back to the planet. And sustainable fabrics have come a long way, one must acknowledge that sustainable products do not lack lustre and finesse anymore. Rather, there is a rise in the innovation of new fabrics increasingly used by luxury brands such as Gucci, Stella McCartney, Tommy Hilfiger and Bottega Veneta. Décor brands like Kar Conscious Living focusses on the importance of Indian textiles through raw fabrics and subtle designs, showcasing the essence of their weaves.  More and more home décor brands are using materials like organic bio-washed cotton and handwoven wool. 
Selecting the right fabric 
Saachi Bahl
It’s always good to check what goes into the making of our home décor pieces. We’re still a long way from reducing our consumption to optimum levels, so the least we can do is make eco-friendly shopping decisions. That includes digging into the environmental practices of the brands you love and finding out how ethical they truly are in their production and manufacturing processes. “Decor and fashion have always been sectors that other industries look to for ‘what’s next’. Fashion designers have an incredible opportunity to not only reach but consciously influence consumers and other industries by choosing to create with the end in mind, choosing a material like ECONYL® nylon that can help brands close the loop,” said Giulio Bonazzi Chairman and CEO at Aquafil Group.   
Trend-related shopping cycles take a toll on the environment. Home furnishing-related individual buying decisions can also play a crucial role in our carbon footprint. Globally, the furniture market is worth approximately $ 575 billion. Manufacturers deploy vast amounts of resources to meet high demands, including trees, plastic, cotton, fibre and toxic chemicals, and hence the rise of fast furniture further complicates the sustainability dilemma. Contrary to what is believed, creating a home with the planet in mind does not require sacrificing comfort, style or budget. We can curate spaces by choosing earth-friendly materials and optimising sunlight, airflow and ventilation to reduce our daily impact. 
How are materials sustainable?  
You most likely would have encountered a few new terms like  Econyl, Cupro and Lyocell. You know they’re good for the environment because that is the information we are given. But what exactly are these so-called sustainable fabrics that are taking over our world? Luxury labels are shifting their focus to vegan leather and recycled materials. And the fabrics you grew up with simply don’t cut it anymore. “There is a plethora of new materials that designers and textile manufacturers are working with to make fashion more sustainable. Bamboo and banana fibre, leathers made from plant-based materials, and even sustainable silk are being devised. Along with all these innovations, it is vital to remember to buy from accountable and transparent brands, buy less and buy better, and re-wear, repeat and repair your clothes,” believes fashion designer Nachiket Barve. Saachi Bahl’s Saahra Sustain offers womenswear classics handcrafted in GOTS-certified cotton or peace silk, shoes from plant-based bio-leather called Pinatex, collections made from Econyl and even bags made from cork.  On the design side of things, brands are using reclaimed and waste materials that have led to the creation of unique products and the design world is excited to further explore this avenue. Redefining this space, sustainable home decor brands and designers show us the beauty of old is gold.  
ECONYL
Econyl   
Econyl is making its presence strongly felt in the market. The fabric was pioneered by the Italian company Aquafil in 2011 and is a recycled nylon fibre that is regenerated from plastic trash in the ocean, such as fishing nets, discarded bottles and industrial waste. Aquafil cleans and shreds this waste through a chemical purification process to extract pure nylon. That means that the resulting fibre, Econyl, is no different from virgin nylon. Giulio Bonazzi Chairman and CEO at Aquafil Group gets his passion for sustainability from his native place, a beautiful area in the middle of the mountains of Italy (Dolomites and Alps) near Garda Lake. The place taught him to love, value and respect the beauty that surrounds you. We spoke exclusively to Maestro himself to know more about the material. “ECONYL® is regenerated nylon 100% with a different story. It comes from nylon waste such as fishing nets, fabric scraps from mills and carpets destined for landfills. It is used for apparel, carpets, and other interior design products. And it has exactly the same performance as fossil-based nylon.” 
Aquafil econyl
The pace at which brands are adapting to the material is impressive and currently, Aquafil, with ECONYL®, collaborates with more than 2500 brands in the world. “As consumers continue to stay aware of material ingredients, it’s important that brands choose supply chain transparency. This will not only empower the consumer, but will also invite designers to tap into a new level of innovation and creativity. And this is why brands are choosing sustainable ingredients like ECONYL® nylon for their collection,” shared Bonazzi. ECONYL is mostly known by customers due to pieces offered by Adidas in its 2017 collaboration with Parley, Prada’s line of bags made with the fabric in 2019 — Re-Nylon and Gucci and Burberry have also used Econyl in their outerwear pieces and accessories, including the latter’s iconic trench coat. “Brands are using Econyl across different product categories like swim/resort to luxury. It is coming with the functionality of a virgin material making it good for fashion and the planet,” said Saachi Bahl.   
ECONYL is also used for home décor by brands such as Noho, a New Zealand-based eco-chic brand that creates durable and dynamic chairs made with materials from discarded waste. Alcarol in nature creates functional home décor pieces while preserving the natural materials as they would appear in their respective habitats. From the dining room and coffee tables to consoles and shelving, each creation replicates a distinctive landscape, bringing depth, perspective and beauty into your living spaces. Finally, Rols, a Spanish carpet manufacturing brand since 1917, integrates ecological materials such as wool or jute, and ECONYL® regenerated nylon into their designs, believing that ‘quality goes hand-in-hand with treating the earth with respect’. 
Rols
Cupro 
Another sustainable fabric that is fast gaining popularity is cuprammonium rayon, also known as Cupro. This is a plant-based fabric made from cotton linter, which is a waste product of cotton that’s often discarded. It can also be derived from recycled cotton garments, especially T-shirts. Cupro as a fabric is fine, sheer, smooth, soft to the touch, hypoallergenic, stretch-resistant, durable and dries quickly. Some even call this fabric Vegan Silk. Amouve procures organic cotton directly from Indian farmers and this practice has also led to less usage of water as compared to regular cotton. The brand offers a range of products comprising organic cotton bedsheets, towels, pillows, organic kapok mattresses and waffle blankets among others. 
Kar Conscious Living
Amouve
Lyocell 
Ethical bedding
Lyocell (also known as Tencel) is a plant-based fibre that was introduced 30 years ago and is mostly derived from eucalyptus wood, and sometimes oak and birch wood. To create the material, the wood is ground into a pulp and chemically purified to extract raw cellulose. The liquid is then pumped through spinnerets into Lyocell fibres, which are spun into yarn and woven into fabric. Lyocell fabric is soft, breathable, hypoallergenic, and more absorbent than cotton. Eucalyptus trees grow quickly without the use of pesticides, fertilisers or irrigation, making Lyocell much more eco-friendly and completely biodegradable. The material is a great alternative to viscose and makes it great for athleisure, activewear, and everyday basics. Ethical Bedding, a UK-based brand turns organic eucalyptus and bamboo into timeless silky bedding. 
How to make home décor sustainable 
Rug Republic Hestia
Nand Kishore Chaudhary, Chairman and Managing Director, Jaipur Rugs Group throws light on how the carpet industry uses sustainability in its design. “We believe sustainability in the design isn’t just a trend; it’s our responsibility.”. Chaudhary goes on to explain the process followed at Jaipur Rugs. “We prioritize sustainability in every aspect of our carpet design process, from materials to production. To achieve this, we utilize leftover hand-spun yarn to create unique and creative designs, reducing textile waste. Additionally, we use low-impact dyes that are obtained from GOTS-certified and eco-friendly raw materials, making our rugs long-lasting and beautiful while minimizing the environmental impact of the production process. By using sustainable materials and working with ethical partners, we create high-quality handmade rugs that not only enhance the beauty of any space but also promote a healthier planet for future generations.”   
Another brand that champions sustainability is Rug Republic. Their new collection of Floral Rugs is created with recycled materials, colours, designs and textures.  “The demand for sustainable and ethically made products has led to an increase in the appreciation for handmade rugs as well, as people like to spend on products that align with their thought process and values. Having said that, the timeless beauty and craftsmanship of floral rugs have further contributed to their enduring popularity, making them a valuable addition to any home,” says Raghav Gupta, Director of E-commerce at The Rug Republic. 
With climate change knocking on our front door there are three key methods to make a home more sustainable. Firstly, making the switch to regenerated nylon with the use of artisan rugs and furniture made from recycled materials, such as old carpets, abandoned fishing nets and industrial scraps can minimize waste that would otherwise pollute the earth. For example, for every 10,000 tons of ECONYL® raw material, we can save 70,000 barrels of crude oil and avoid 65,100 tonnes of CO2 equivalent emissions from being released into the air. From Jaipur Rugs and other trendy pieces like these Zanotta pouffes pick your products.  
Secondly, shift to Bamboo furniture. It is a sustainable alternative to wood, and is highly versatile for furniture, flooring and light fittings, giving your humble abode a modern and eco-conscious twist. Pick a rattan table from Fleck or Orange Tree’s rattan hanging lamp.  
Orange Tree Canna Hanging Lamp Double
Lastly, switch to bio-glass meaning home décor made from discarded bottles and jars, this material requires less energy and raw materials to manufacture. Bio-glass can transform kitchen countertops, bathroom sinks, walls, and windows into beautiful and unique pieces, adding charm and sophistication to your home. Renjini Thampi from Kerela upcycles glass bottles to make a variety of home decor items and Nicobar’s recycled glass section makes a strong case as well.  
Nicobar recycled glass collection
“India is certainly the country that will have the most spectacular development in the coming decades. And it seems very clear not only to me that the Indian culture as well as the Indian Government and Indian consumers have a strong interest and great attention towards the conservation of the planet and in doing and thinking step by step to find the best solution. Therefore, aiming for India, I think is one of the most strategic and correct actions to take,” believes Bonazzi. To conclude Bahl believes, “the innovative material industry is evolving at such a fast pace, that it’s just fascinating the type of recyclability and plant-based materials that are available in the market.” 
To conclude, daily habits such as composting food waste, cleaning with natural products, and installing solar panels, underfloor heating or double-glazed windows all contribute towards greener living.
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Source: luxebook.in

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Last Updated on March 29, 2023 by Mark Ferguson

It takes a lot of hard work to save $100,000 or you have to be very lucky for $100,000 to fall into your lap. Once you have $100,000 it can be even harder to commit to investing it and not blowing it on material goods. If I had an extra $100,000 to invest I know exactly what I would do with it; invest it in real estate. In fact I invest all of my money into real estate. Whether I invested in fix and flips or rental properties would depend on my current situation.

For others there are a number of factors that determine how and when you should invest $100,000. My specialty is investing in real estate because of the awesome returns rentals and flipping can produce. I am a real estate agent and I have a big advantage over many new real estate investors. This article will describe why I think real estate is such a great investment for me and if it would be for you as well.

Why is real estate my top choice for investing $100,000?

There are many ways to invest money into real estate and that is one reason why I love to buy houses. The main reason I love real estate is the great returns you can get if you are willing to do some work. I own 13 rental properties and fix and flip about 10 houses a year. On my rentals I tend to get 20 percent cash on cash returns or more. On my flips I average over a $30,000 profit on each one.

It is not easy to get those returns on rentals and make that much money on each flip. It helps that I am a real estate agent and I have been investing for many years. That doesn’t mean a novice or beginning investor cannot make great money with real estate if they do their homework, work hard and are patient. When investing money in the stock market it is very hard to get the returns I get and there are even more advantages to investing in real estate that blow the stock market away.

What is the best way to invest $100,000 in real estate?

There are many ways to invest in real estate. Besides flipping and rental properties, there is private money investing, REITs, notes and more. Choosing the best option is not easy, because everyone has different goals and everyone is willing to spend varying amounts of time to learn to invest and complete the investments. Here is a quick break down of the most popular ways to invest in real estate.

  • Flipping: flipping houses takes a lot of work and a lot of experience to make money. A flip is buying a house very cheap, fixing it up and selling it for a profit. Flipping is more of a job than investing and it usually takes a lot of capital to get started.
  • Rental properties: rental property investing can be very involved or very hands off. I like to buy properties below market value and then make repairs, which takes time and money. The cheaper I buy properties the more cash flow I am able to create. If you are looking for an easier way to buy rental properties; turn key rentals take very little time and are mostly hands off.
  • Private money: private money is when one investor lends money to another investor for the purpose of investing in real estate. Private money can be very hands off once you find a great investor. Finding the great investor can take time and if the investor does not follow trough on their promises, private money investing can turn into a nightmare.
  • Notes: buying notes is also mostly hands off, because you are not buying a property. Buying notes involves buying a mortgage and becoming the bank. However if the borrower stops making their payments you may have to foreclose on the home which becomes very hands on.
  • REITs: REITs are more like investing in the stock market than investing in real estate. You buy shares of a REIT, which give you a piece of a real estate trust. With a REIT the management is taken care of by a large company and don’t have to worry about taking responsibly for a property. However, you give up all control of the investment and have to hope you picked a good manager.

Even though there are many ways to invest in real estate, this article is going to focus on investing $100,000 into rental properties and fix and flips, because I think they provide the best returns. They also take the most work which I think is a good thing. If you are investing for your future retirement and livelihood I think it should take some work!

Why are rental properties how I would invest $100,000?

Figuring out the best investment for you depends on how much time you have to learn and implement. The more time you have, usually the more money you can make and the better returns you will get. I think rental properties are the best investment if you have the money and time to learn the correct way to invest in them. Once you buy your rentals and get them set up with great renters or property managers, they take very little work.

I spend about $30,000 to $35,000 in cash on each rental I buy. I finance my rentals with 20 percent down and make repairs to add value. Rentals in my area produce about $500 a month in cash flow which equals $6,000 a year. I buy my properties from $80,000 to $135,000 and rent them from $1,200 to $1,500 a month. A 20 percent cash on cash return is pretty awesome, but it is getting harder and harder to find these types of deals in my area. However, even with much lower returns rentals properties have many advantages besides the cash on cash return.

  • Rentals have great tax advantages.
  • Properties will most likely appreciate over time.
  • I am paying off loans and gaining equity every month.
  • Rents will most likely go up over time.
  • Rentals can be bought below market value giving you instant equity.

To see all the advantages of rental properties I will show you the numbers on rental property 7, which I bought two years ago. I bought this house as a short sale and it was a smoking deal.

  • Purchase price                       $113,000
  • Repairs                                    $8,000
  • Closing costs out of pocket $500      (seller paid $2,000)
  • Down payment                      $22,600
  • Commission I made             -$3,000
  • Total cash spent                    $28,100

I rented this house for $1,400 a month shortly after the repairs were made and it has been rented to the same tenants for almost two years.

Not only am I making over 20 percent on the cash I invested from rent, but I bought the home below market and added value with repairs. The home recently appraised for $195,000 and I was able to take out $52,000 in a cash out refinance. Even after the refinance the house cash flows every month (it does make less than $500 a month now).

Many circumstances came together to make this a great rental. These deals are not easy to find and not readily available in every market. However, getting half the return I did would still be a great deal for most people. Here is a look at the total return I have seen in two years on this property.

Returns from buying the home below market

Value of home when purchased and after repairs: $155,000.

Repairs and purchase price plus closing costs: $121,500

Value gained $33,500 which equals 59.6 percent return per year.

Returns from appreciation

Current value of home based on appraisal: $195,000

Appreciation of house over two years: $40,000.

That is a 71 percent return per year over two years.

Returns from rental income received

Rent income per year: $16,800.

Expenses per year: $8,440 (mortgage, taxes, insurance, property management and maintenance)

Profit from the renal property income: $8,360, which equates to a 29.7 percent return.

This number is misleading, because I have been very lucky with these tenants and had no out-of-pocket maintenance, except for the deductible on an insurance claim. We had a major hail storm that damaged the roof, some siding and windows, but my expense was only $500. When I figure cash flow for the future I include much higher expenses for vacancies and maintenance.

What are the total returns of this rental property?

Those returns equal a 160.3 percent return on the initial money I invested each of the first two years. But to be honest, the returns are not that high because you would have selling costs if you sold the house. There are costs to refinance as well when you take cash out. If I sold the house I would have to pay about 6 percent of the selling price in real estate commissions and closing costs (10 percent if I was not a real estate agent). The returns would also go down over time, because the initial benefit of buying below market value would be spread out over more years and we can’t count on 20 percent appreciation each year. A word of warning, I never invest strictly for appreciation.

If you never sell or refinance the property, you will not see those returns from appreciation or buying below market. They would be paper returns which would make your net worth look awesome, but the actual gains would be just the cash on cash returns. Even if you don’t sell or refinance having a lot of equity in homes looks great to banks if you want to get more loans.

When I refinanced the property I had to pay closing costs, which were about $5,000. I will get some of that money back, because the bank collected escrow amounts for taxes and insurance. I already had money in my escrow accounts for my previous loan which I will get back. I also skip one payment with the new loan, which will save me $800. I spent $28,100 buying this property and took out over $52,000 when I refinanced. I still have 25 percent equity since the maximum I can refinance with my lender is 75% of the appraisal. As you can see buying below market coupled with appreciation can make for some great returns when you refinance.

Having said all of that, let’s get back to the entire point of this article. How would I invest $100,000 into real estate? I would buy rental properties, but I would not spend all the money on rentals.

Why do you need to have money in reserves for rental properties?

I may not have had any vacancies or maintenance needed on rental property number 7, but that doesn’t mean I never will or I haven’t had those costs on other rentals. If you are going to buy rentals, you will have to fix things, you will have vacant properties and you will have tenants who don’t pay rent. If you have no money to handle these situations, you will run into some very tough times.

A good rule of thumb is to have at least six months of mortgage payments, taxes and insurance per property in savings. Banks will require this amount as well when you try to get a new loan on a property.

If you bought two rentals using $35,000 cash for each property, you would have $30,000 in cash left. You might be tempted to buy another property with that cash, but you would have no money left for reserves. If you had two rentals and a personal residence, you would need at least $16,000 in reserves assuming you had two $600 payments and a personal house payment of $1,500.

With $100,000 to invest, you could buy two rental properties which would give you great returns on $70,000 of your money. Some may argue the stock market is a better investment because you could invest all $100,000, but no matter what you invest in you should have an emergency fund or safety net. It is more important to have a safety net with rentals because you may have to put more money into then for repairs or to make mortgage payments. Where the stock market you would not need more money, unless you are buying on margin (one of the few advantages of the stock market).

How your goals and personal situation will affect investing the $100,000

There is more to consider then just the $100,000 investment you have. How did you get the money? How much do you save? How old are you? Are you investing from an IRA?

If you make $500,000 a year and it is not difficult to save $100,000, then maybe you are okay taking more risk and buying three rentals. If you make $50,000 a year and it took ten years to save $100,000 maybe you only want two or even one rental. If you are retiring in five years maybe one rental paid with all cash would make you more comfortable. Personally I think leverage is the way to with rental properties as long as they cash flow and I explain why here. If you are in a market with more expensive houses it will also affect how you invest and how much money you need.

If you happened to inherit $100,000 and have no prospect for saving more money, be very careful when investing in anything! It is vitally important you have reserves in savings if you buy rentals.

How much time you have to invest will also play a big role in how you spend the money. If you have no extra time to learn about rentals and buy properties, my strategy will not work well. You have to know your market well, be patient to find great deals, and take time to hire great managers and contractors. Turn-key rentals are a better option for those with no time, but will not provide nearly the same results.

If you have a lot of time to invest, you might even consider flipping to boost your rental property purchasing! If you want help with learning how to invest in rentals, I offer a great program to get you jump started.

How can fix and flipping increase the returns on $100,000?

Fix and flipping can provide a great income, but will take a lot of direct involvement. It is more of a job, because once you sell the property it will no longer make you any money. It takes a lot of money to get started flipping unless you use hard money or have a partner. Having $100,000 to start a flipping business would be a great start,but you are taking on a lot of risk. I love to use flipping to make more money to invest in my rentals.

This article is already way too long to start going into the details of flipping, but here is a great article that describes the process and how much money you can make.

Conclusion

I have invested much more than $100,000 into rental properties and fix and flips. My investments have built up over time and I was not able to put a large chunk of money into the investments in the beginning. If you have $100,000 or $50,000 or one million to invest, don’t dump it all into the business at once. Make sure you know what you are doing, have done the proper research and have a safety net. The returns I show in this article are not typical, but show the incredible power rentals can have. If you have questions or comments for me, be sure to check out the discussion forums!

Build a Rental Property Empire

Categories Real Estate

Source: investfourmore.com

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* Lead image credit: Amazon Studios

Anne Hathaway’s home in the new Amazon Prime series Modern Love is now up for grabs; the posh 2 bedroom co-op, set in NYC’s historic Astor Memorial School at 256 Mott Street has recently hit the market with a $3.5 million ask.

If you haven’t yet had the chance to check it out, Modern Love is Amazon’s eight-episode anthology series that brings the stories of a beloved New York Times column to life, complete with a star-studded cast and iconic New York backdrops.

Each episode is based on a real person’s essay, with the third in the series being centered on Lexi, an entertainment lawyer played by Anne Hathaway who’s been hiding her bipolar diagnosis from everyone in her life.

This episode leads us into Lexi’s apartment, set in a boutique, self-managed co-op in Tribeca — a fittingly intimate and stylish pad to suit Hathaway’s character story.

256 Mott Street, New York. Image credit: Donna Dotan / Compass

Apart from Hathaway, Modern Love also stars Tina Fey, Julia Garner, Catherine Keener, Dev Patel, Andrew Scott, John Slattery and Andy Garcia, among others.

“Since its debut just last week, the reaction to ‘Modern Love’ from viewers has been incredible. It’s a show with so much emotion and warmth — every episode touches the heart in a different way,” said Jennifer Salke, head of Amazon Studios.

And if you’re a big fan of the series and just so happens to be hunting for a home in NYC, you can now buy Hathaway’s apartment — provided that your pockets run $3.5 million deep.

256 Mott Street, New York. Image credit: Donna Dotan / Compass
256 Mott Street, New York. Image credit: Donna Dotan / Compass
256 Mott Street, New York. Image credit: Donna Dotan / Compass
256 Mott Street, New York. Image credit: Donna Dotan / Compass

Available for sale for the first time in 15 years, this mint-condition parlor residence features 14 windows, 4 exposures, approximately 1,800 square feet of living space, 2 bedrooms, and 2 bathrooms.

Soaring 11’7” ceiling heights and remarkable original details which have been masterfully restored make this one of the most special homes to ever hit the market in prime Nolita.

The master bathroom is crisp and beautifully appointed with a deep soaking tub, a large walk-in shower, marble mosaic tiling throughout and two large windows.

There is a wall of closets in the master, an antique Italian crystal chandelier, and a door that provides direct access to 256 Mott’s outdoor mews, which can be used by any resident in the building.

To learn more about the property or to schedule a tour, get in touch with the listing’s agents: Compass’ Todd Lewin and Michael Rubin.

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Source: fancypantshomes.com

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Check out the great views waiting for you when really look close in Charlotte.

There’s no shortage of beautiful properties across the Queen City. However, finding the right place for you in Charlotte will most likely come down to the amenities. Do you need an awesome rooftop to serve as your regular hangout? Do you need a sparkling pool to keep up with your tan?

As you think about all your must have’s, don’t forget about one very important feature for your next home — the view. What you see from your window, the roof or even poolside matters, so make sure you take a minute to scope out the view before signing a lease.

To give you a jump start on your search to find the best view in Charlotte, check out the apartment communities featured below.

Source: Rent. / Hazel SouthPark

Once you settle down on your balcony and look out, you may never want to leave. That’s how good the view is at Hazel SouthPark. Tightly knit, bushy trees give you so much greenery, with just a few building tops in the background. You’ll feel like you’re living in a nature oasis rather than a busy city.

Set within the vibrant suburban SouthPark neighborhood, there’s as much to do around here as there is to see. Shopping ranges from high-end designer shops to independent boutiques. The local dining scene is eclectic too, with everything from posh bars to sushi spots and cool cafes. For a little something special to listen to, make sure to catch a performance by the Charlotte Symphony Orchestra.

Source: Rent. / Camden Grandview

See an unobstructed city skyline from your balcony at Camden Grandview. The tall buildings of Charlotte sit in the background, giving you all the urban vibes you could want as you relax in your own little quiet spot. This is an ideal way to live close enough to see the city, but far enough way to step into a little peace at the end of the day.

Lively and fun, when you live in South End, you’re close to lots of dining and entertainment. With a strong nightlife reputation, this neighborhood offers up the complete package of things to do. You’ll find craft breweries alongside artisan shops and art galleries. It’s even a hit with outdoor enthusiasts thanks to the Charlotte Rail Trail, which attracts runners and cyclists of all levels.

Source: Rent. / Avalon Hawk

Massive windows throughout every unit give you access to amazing views when you call Avalon Hawk home. These window walls allow you to see out across the vibrant and historic Wilmore neighborhood. It’s a mix of trees and classic architecture, with the tall buildings of the Uptown area off in the distance. It’s like getting all of Charlotte in a single shot.

Calling Wilmore home means you’re surrounded by unique architecture that you can’t find everywhere in the city. They give this space its own, more classic vibe, but there’s still plenty to enjoy living here. The variety of restaurants is a good place to start, and offerings come in all shapes and sizes. You can find a good fit for an entire family or a place that provides the perfect romantic atmosphere for that special someone.

Source: Rent. / SouthPark Morrison

Grab a seat under the small cabana at SouthPark Morrison and settle in for a tranquil courtyard view. Neatly landscaped and exuding a garden-like quality, this vantage point provides trees, flowers and bushes all neatly organized for your viewing pleasure. Enjoy a quiet moment in this natural setting, without leaving home.

Another cool community in the SouthPark neighborhood, this cozy and stylish spot sits to the south of the city. The welcoming atmosphere and ample amenities will give you vacation-like vibes whether you’re at the pool, the fitness center or the courtyard.

Source: Rent. / Solis Midtown Apartments

The fun and funky lounge at Solis Midtown Apartments combines unique lighting with modern furniture and, of course, an amazing city view. Windows that stretch from the floor to the ceiling reach up two stories for a complete look at the city’s stunning skyline. You also get plenty of sky, which means an insane amount of natural light is pouring in constantly throughout the day.

Deciding to live in the heart of Charlotte doesn’t mean exactly what you think. Yes, Dilworth is geographically in the middle of it all, yet it still holds onto a quaint charm. Accented by calm, tree-lined streets, this area has plenty of shops and restaurants. It’s also close to museums and contains Freedom Park, whose walking trails are pretty popular on nice days in Charlotte.

Source: Rent. / Harris Pond

Not only can you see the pond from the outdoor patio at Harris Pond, but it’s also the view you can enjoy from your private balcony. There’s even a walking trail around the pond should you want to get up and close and personal with this beautiful space.

Surrounding the University of North Carolina at Charlotte campus, University City is one of those neighborhoods that really caters to college students. Although Harris Pond is toward the edge, about 11 minutes from campus, you can still take full advantage of the professional opportunities, green spaces and special activities this area has to offer. Some favorites include the botanical garden on UNCC’s campus as well as catching some college football at Jerry Richardson Stadium.

Source: Rent. / Residences at Brookline

If you love living in Charlotte but need a break from the urban cityscape at the end of the day, check out the view from the balcony at Residences at Brookline. Look out onto manicured landscaping with short-cropped grass and tall trees to really get a neighborhood vibe. The design of the balcony enhances this feel with its brickwork and white-painted railing. You almost feel like you’re living in the country with a setup like this.

Situated perfectly for commuters, this Westside community makes it easy to get around Charlotte without sitting in too much traffic. This ease of moving about makes it a great hub to explore the city from as well. Divide your time between finding your favorite eats, locally owned shops and entertainment venues. Toss in all the museums and green spaces and you’ll easily keep yourself busy during your down time.

Source: Rent. / The Lexington Dilworth

Create a cozy spot on your own balcony at The Lexington Dilworth and take in the view. You’ll either get a smattering of trees or see the city off in the distance. Maybe, you’ll nab a unit that has a little bit of both. Altogether though, this community gives you the best pieces of Charlotte, the urban and suburban vibes all rolled into one.

Another great spot in Dilworth, skyline views are just the start. This community boasts six courtyards, all with grilling areas, and oversized balconies mean expansive views for all. Additional outdoor spaces have water features for a little added zen on the property as well. You’ll also find a saltwater swimming pool, open-air sky lounge, 24-hour fitness studio and boutique pet spa in this luxury-filled location.

Source: Rent. / Kaleido Noda

Everything within Kaleido Noda is worth seeing. The design choices and architectural style make this a cool, hip and fun space. Inside you’ll find funky light fixtures, pops of color and so much artistic detail. Wood panels surround the mailboxes and adorn the wall beside two colorful booths. The best spot, though, is the indoor dining space. Turquoise accents give you a massive dining space with an epic view of the pool. Two stories of windows open this already large space up so that you’ll feel like you have infinite room to enjoy a meal, relax and have fun.

Providing excellent city views across the whole neighborhood, The North End is one area of Charlotte that’s seeing a lot of growth and development. This is great for apartment dwellers who like to be the first to try something new. With a combination of industrial buildings and tree-lined streets, you really get an urban-suburban vibe from this versatile and welcoming community.

Source: Rent. / Camden Gallery

With a rooftop lounge that’s luxe to say the least, there’s no shortage of sweet spots to settle into and check out the city skyline at Camden Gallery. This chill spot has plush chairs and couches spread all around, with covered and open areas for your ideal hangout location. See the tops of nearby buildings and all the way down to the tall cluster of downtown buildings for a postcard-perfect picture of Charlotte.

This fantastic Wilmore community is close to dining and shopping. Public transportation isn’t far away either, should you want to head into the city. On the property, you’ll find great amenities like five different courtyards, a private dog park and a picnic and barbecue area. There’s a saltwater pool with adjoining outdoor space and a 24-hour fitness center with a virtual trainer and yoga studio. Seems like calling this spot home ensures you won’t want for anything.

Make sure you have the best view in Charlotte

You should really love where you live in Charlotte, and that means finding an apartment that checks all your boxes. As you tic off the amenities you can’t live without, pause for a moment to peek out the window. If you can get all the features you need, and the best view in Charlotte to boot, you’ll really be all set.

Featured Image Source: Rent. / Camden Grandview

Source: rent.com