Real Estate Agent Philadelphia

The Real Estate Agent industry in Philadelphia is a type of real estate that has undergone a massive revolution in the recent years. Globalization and industrialization can be considered as two of the significant parallel factors behind the occurrence of the same. There are ample factors that have been responsible for affecting the condition and nature of the landed-property domain and have made it comparably complicated than before. On that note, it is becoming difficult for people to choose where and how to invest their money. Well, Real Estate Agent wants to invest in a property to get a higher ROI, and this article is going to talk about the tips and bits of the upcoming scenario of the landed-property industry and the tactics of investment in the same.

Houses To Buy

It is necessary for investors to understand that the business of real-estate might look transparent from a regular perspective with a robe of simplicity on. However, certain crucial aspects need to be investigated before investment in any property. The idea applies for all types of investment in the Real Estate Agency niche, fact that includes commercial, industrial and residential. There are no specific predictions that can be concluded to. However, certain benchmarks and estimations can be considered to reach to a more or less precise forecast. Investments do not always promise luck, but as a purchaser, you definitely have the liberty to choose the best place to make a residential investment. On that note, the industry of real estate in Mexico has been running at the peak satisfying most investors at the present time.

Realtor

As mentioned before, the landed-property industry has ample complications attached to it if you are not planning your approach in a comparably wise way. The foremost concern that will likely present you with a satisfactory return or a punctual arrival of rent is to invest in the right place. Investors often make the mistake of not being aware of the occurring evolutions in the landed-property industry around and rushing into a decision of making an investment in a property that might not be worthy which eventually leads to a fruitless exercise. As already mentioned before, the domain of real estate in Mexico is one of the finest examples of appropriate residential investments in the present time and is also considered to maintain a similar record in the upcoming years.

For Sale

Some of the core to extensive changes in the paradigms of the landed-property industry, in a nutshell, involves an increase in the mortgage rates, a possible future effect on the passing of tax laws, increasing of landed-property properties in specific locations. So, in this saturating market scenario, it is wise for investors to be hyper-aware and take each step with a certain level of precaution and estimation. One of the finest approaches to make a smart purchase would be to perform extensive research on the current market to settle for the choice. The process might be conventional, but there is nothing like self-analysis at the end of the day.

Homesearch

What is a Real Estate Agent Release Agreement in Philadelphia?

Foreclosures

Ever since its discovery and implementation, crowdfunding has effectively brought an aura of fresh air and a much-needed change to the real estate investment industry. Through crowdfunding, it has become increasingly possible for people with little capital to actually invest and yield immense returns on their investments. It has also opened new avenues for the project developers to fundraise for their construction projects from a common investor via the Internet and other associated crowdfunding platforms.

Real estate crowdfunding is an ever dynamic and rapidly evolving investment trend and as such, there are no certified rules that can guarantee a success. However, there are some tips that could help you build a successful portfolio and discipline yourself.

So without much further ado, we’ll be looking at how you can get in on this highly innovative real estate opportunity and be well on your way to financial diversification and stability. Below are some tips for beginners who like to invest and make money through crowdfunding real estate investment opportunities.

Find a Reliable Investment Platform

This step is especially important for those who don’t have a background in investments and securities. Before you begin to invest in real estate through crowdfunding, the first step to take is to find yourself a reputable and reliable online real estate investment platform. The platform must provide you with the information that can help you make your investment decisions. It should also have posted only the high quality pre-vetted deals and investment grade opportunities. Even if you have a background in real estate investing and finance, seeking an advice from a financial advisor and knowing what kind of investment you are making is of great importance for a successful outcome.

Read the Fine Print

Not all real estate investments opportunities are created equal and neither these crowdfunding platforms. Many of them have sponsors who have their own specific operating agreements that cover their investment projects and exit strategies. This is why as an investor, it’s very important to understand the terms, especially regarding what happens if the property will need more capital or if the capital management company needs to be replaced. If you’re unclear as to certain terms, you must seek advice or ask the investor relations team of the real estate investment platform to explain them to you so you have a clear understanding before making a decision. Don’t hesitate to call them if you have any questions and always make an informed decision. A general rule of thumb is that you should pay very close attention to the terms of whatever it is that you’re putting your signature to. If you’re unsatisfied with the terms of the agreement or need further clarification, it’s probably best to avoid signing a document before you fully understood what’s written in them.

The Importance of Investment Diversification

Real estate investment doesn’t necessarily have to be monotonous. You can easily split your available investment capital and invest them into different opportunities on the same or different online platforms. Real Estate investments are based upon the locations, so different Investment opportunities will have different results. Some areas in the U.S. are showing steady and consistent growth, while others such as San Francisco Bay area, Los Angeles, San Diego, New York, are showing hyper growth. These areas offer biggest potential returns on your investments, but an investment diversification using online real estate investment platforms will ensure that you have more than one opportunity to count on for your returns. It’s always a good idea not to put all your eggs in one basket so if the market goes south you still have other assets that are performing well for you.

Risk Balancing

For savvy investors, managing their RISK is always a top priority whether it’s real estate or any other type of investments. The level of risk is always a determining factor whether a real estate deal is worth investing or not. It also tells what kind of investment returns you may receive from a particular investment.

Every investment carries a certain level of risk. The only difference is their risk level which varies from investment to investment. Usually, the riskier investments have the potential of yielding more dividends. As an investor, you must know your risk appetite and act accordingly. It’s advisable that you sit down with a trusted financial advisor and evaluate your risk profile; that’s the safest and surest way to make money. If you keep playing safe and investing in less riskier opportunities, you’ll have limited returns, but the whole experience of investing will be a pleasant one. However, being safe doesn’t mean that you shouldn’t take any risk at all. There should be a form of balance and you should know when to take those risks and when to simply pass on an investment opportunity. You should occasionally consult your financial advisor or an accountant to balance your investment portfolio and risk; as far as the real estate crowdfunding is concerned, it’s a great alternative investment that provides higher returns and lower risk investment opportunities.

These steps are what we can call the ‘time-tested tips’ for making any investment decision either in a crowdfunding real estate or other opportunities. Due to the structural complexity of real estate crowdfunding, and new changes in SEC regulations, these investment opportunities may work very well for some investors and may not for others. However, if you are satisfied with crowdfunding real estate investing you can start building your wealth sooner and become a crowdfunding real estate mogul.

Calculus Applications in Real Estate Development

Hi everyone its Fionna Gossling from RoyalLePage and I'm here with Sebastian Albrecht who's also from Royal LePage butworks out in Vancouver and Sebastian and I started our real estate careerstogether, about 11 years ago in the West Side office of Royal LePage inVancouver.

So I know Sebastian really well and I know how he works! The reasonI do these interviews is I think it's a really good opportunity to introduceagents from across the country that I know are really good and experienceworking with them so if you're ever in the Vancouver real estate market andneeded somebody to talk to he's a great person to get in touch with!Hi Sebastian.

Hi, how's it going.

Hi I feel like it could be the internetconnection in my office which doesn't bode well for for my office buthopefully you can hear me okay and it doesn't cut it out too much? Okay goodso Sebastian do you want to tell people a little bit about where you workspecifically, Vancouver is a pretty big geographic area.

Yeah yeah it's a littleconfusing I think for people that don't live here but I work specifically in theCity of Vancouver.

So there's many suburbs that make up Greater Vancouverbut I sort of remain within the confines of the city of Vancouver and don't strayfrom those.

And you grew up on the west side of Vancouver and you live onthe east side of Vancouver now, so you pretty much cover Vancouver and downtowncorrect? That's right, yeah, so Vancouver is split, in most people's minds, betweenEast, the East side and the West side of the city.

There's also.

What's that?Locals minds? Yes and and then there's the downtown Peninsula.

So yeah I coverall of those areas.

And you work with a partner? That's right.

I workalongside Duncan Brown.

Nice! and how long have you guys worked together for? It isnow just over three years I believe, three and a half years I think.

Nice, so Iknow, I also know Duncan well so Duncan worked out of theWestside office as well when I was there and has been a really top producingagent for a long time so I know it was kind of a logical or it wasn't much of asurprise when you two decided to team up together because I think you run yourbusiness and kind of a similar way and complement each other well.

So.

Yes.

But youwork with your clients right like it and then yeah, Duncan.

That's right so if somebodyhires me if I if I go and meet somebody to talk about listing their home, theywork exclusively with me; Duncan's in the background and I think that's wherethere's some added value in that we confer with one another about ourlistings or our buyers are constantly you know with the buyer I'm aware of hisclients and what they're looking for and I'm keeping an eye open for what theymight need and you know we consult with one another when there's issues thatthat we might be facing with their clients and try to solve problemstogether and help them with with with their ultimate goal of finding a home orselling a home.

Nice.

and is their a certain property type that you specialise in or a deed you kind ofeverything? Yeah, I mean we don't do commercial, so we we do only residentialreal estate in the city of Vancouver and and, I think, you know going back to thatearlier question, that's something to stress a bit too, because it's not verycommon in our marketplace that people only focus on one city.

Duncan and I have soldactually just over 1,200 properties in the city of Vancouver alone and so wedon't, the city itself is complicated enough that we don't want to stray andyou know we could go to Chilliwack or to Surrey and sell a home there or helpa buyer there but we don't think we'd be adding much value.

We concentrate ourefforts on the city of Vancouver and within the city and then you havetypically condos, townhouses or houses.

Condos and town houses become much morecommon and they just sell much more frequently.

In practice we end up selling more in numbers of those and we do sell quite afew houses as well.

Yeah, and that is that generally a price point thing do youthink? Like just from an affordability point? Yeah absolutely, so they're considerably moreexpensive and once people get into a house theydon't tend to move very often.

So you know somebody, one of our clients, might buya house, would not move for 10 to 20 years, whereas if they buy a studioapartment they might meet a new partner in a yearand decide to sell in a year or two.

Right so those, those are flipping much morefrequently.

Totally, and what is it the news headlines, news headlines talk about Vancouver and howunaffordable it is.

I know that eight years ago it was already prettyunaffordable and it's just become significantly or increasingly so.

What isthe average sale price of a property or a condo and townhouse there? Yeah so Imean things have changed a little bit in the last couple years.

Houses have have been relatively flat and are starting to decline for the lasttwo years.

What's that? Housing prices have? Yes.

For a detached not attached homeyeah so as an example on the west side of Vancouver, they've declined about 10 percent year-over-year and on the East-side 5 percent; and for townhouses and condos,condos are relatively flat but you know anecdotally you'll see prices, a, a muchgreater value in the marketplace and the townhouse market is is down about 3percent, 3-4 percent both east side and west side.

So you know as far asprices go in absolute terms they, they, are unaffordable in particular comparedto most the rest of Canada.

We have on the east side it's about 1.

5million for a house, is the, is a typical house in East Vancouver.

Say that again, 1.

5? and I for atypical house in East Van? Yes.

And is that house nice-ish, nice enough at that price? At that price it would be adequate but I would say, you know I think it's, it's a challenge, forpeople from other parts of Canada that are where the price points areconsiderably lower and you're paying for for the improvements on the landpredominantly and the land is very valuable.

So in most other parts ofCanada what you're buying is a pretty nice home; in Vancouver you're payingfor the land and, and many people I think once they buy a property they're justglad to own something and so yeah at 1.

5 it's a decent house but it's notluxurious by any means and so in East Vancouver you know you'd probably bespending more towards the two million dollar price point to get a house thatwould be.

And is that like, are you getting a Vancouver special for two million dollars? You'dprobably get what one that's renovated yes.

Vancouver special for people who don't know, are the ugliesthouses ever made.

Thank you I live in one! Do you? I am sure the inside is very nice! They are! It's true.

Well, no, I do live one, but, when I was, yeah, we used to feel bad for for people who grew up inthem because they were considered to be pretty ugly.

Things have changed a bit inin recent years where they become much more attractive to, I think people, thatappreciate a sort of a modern aesthetic and there I think that the hit on themhas always been that they were fairly boring and uninteresting but thepositive now is that they're fairly easy to renovate.

They are.

So you can fit more of the.

Andthere's whole like blogs and people that are dedicated towardscool architecture in them, so you can save them.

Yeah, yeah and one of thereasons that they, they're brought up so frequently in our marketplace is thatthey're the most common type of house.

I don't have exact numbers on them butbasically every block in the city has at least one and there's some blocks that,you know are almost a hundred percent Vancouver special.

Yeah, okay and thenthe west side is that still, for a detached home on the west side is thatstill just? 3.

3 would be the, just under three point three million,is the current typical home on the west side.

Yeah, but prices have been decliningon the west side significantly more and specifically for detached homes morethan any other property type.

So that's down about 10 percent.

Wow.

We had a peakat sort of, in the fall of last year.

The fall of last year? So after the land transfertax came in? Yeah it took a little while for, you know, prices were still rising alittle bit, as right, as market was weakening, yeah.

Huh, so wheres an opportunityin your market right now for people who are trying to get in? Well I mean we'reseeing investors stepping into the market in the last few months becauseit's an unusually, it's more of a regular market, that we're seeing at the moment.

You know you can actually have subjects in your offers, properties don'tnecessarily sell after one weekend.

Yeah.

Buyers can come into the marketplace andactually take their time and trying to find the right home for them and thenwhen they find it they can do their due diligence adequately and with, without arush.

So you know we're seeing investors who are seeing an opportunity now to buyat a bit of a discount while things are on sale and and to take their time andfinding the right property that'll tell suit thembut at the same time you know.

Sorry? Are they just are they investing, it couldn'tpossibly cash flow could it? If you're buying? Generally not.

Vancouver's not,Vancouver's not the place that you're generally gonna find the cash flowingproperty.

It, it there's there's there's a lot of investors out there looking forproperty in it and I would say in general what investors are doing iscounting on appreciation and and the rents will catch up and so generally Ifind, you know, it's it's taking about three years, three to five years at themaximum to cash flow on a property, yep.

The opportunity might be a littlegreater on a detached home, you know, it's with a condo or a townhouse you're facing the maintenance fees on top of the taxes and and that's reallywhere it gets beyond your your ability to cash flow.

So you might, let's say on aon a studio condo or a one-bedroom condo you might be having to add a hundred ora hundred and fifty dollars a month to cover your expenses.

yes.

You know your youknow our vacancy rate is below 1% so the pressure is for increasing rents and, andso you can pretty typically add that money to your rent in pretty, in prettyshort order.

Right.

Yeah you just need a quick turnover.

Yeah, yeah, I mean thatdoes happen more often than not like, we don't tend to see tenants who stay forreally long periods of time.

I mean it depends on the product and the area but,I'm thinking it's specifically of a downtown condo, you know most tenants atmost, would probably be staying for two years.

Now they might extend from oneyear to a second year but it's not incredibly common to have a tenant forten years unless you're charging really below market rates.

Right and what about new builds? Are there still, is there still opportunity there?Like when I left I don't know if you remember but people were really spendingeverything buying all new builds, betting on them going up so much in value bythe time they completed and then 2008 happened and they hadn't realized themoney and they weren't going to be able to assign the contract so that created abig glut.

Yeah, that experience gave people pause a bit because, that, that wasa difficult transition into a, into a you know a year where we saw asignificant correction.

So, since then for the most part developers realisedthey're leaving too much money on the table, I would say, and so there was atime where there was almost a discount to buy pre sale, right, versus somethingalready constructed.

In more recent years the developers are charging a premiumfor their product.

So it's more like buying a brand new part, and, and the riskis then on the buyer that the market will continue to rise.

So people havemade good money on that still but basically only because values havecontinued to rise.

Personally, I don't see that as a big risk and I, I'm not a hugeproponent of buying presale property.

I would much prefer clients of mine to buysomething that exists and we can limit their risk significantly that way.

Yes, no absolutely it's always seem like a gamble.

Everything is typically weighted in theevent, for the advantage of the developer right? Yeah.

Yeah.

Yeah although rememberthat condo at Main and 13th or 14th or something and they were selling out allof these units and you could buy a one-bedroom for $300,000 and I stillregret not doing it.

I think you know that, that's sort of thetruth of Vancouver real estate like really any point in the last, certainly30 years, forty years I mean when my parentsbought a house in Vancouver before I was born, people thought they were crazybecause they were paying so much money and it was like forty thousand dollarsthat they paid for a house.

You know we, we look back, you know five years ago, Iwish I'd bought more real estate.

10 years ago.

Yeah, totally.

But hey ho! Anyway so Iguess I just wanted to have a quick chat and introduce you to people if anybodywas looking to buy in Vancouver, if they live in Vancouver now, and are thinkingabout getting into the market or moving up in the market or downsizing in themarket or investing - Sebastian has a lot of experience in all of those areas andwould be a really great guy to talk to.

Thanks Fionna.

Okay and I will seesoon.

I'm not sure if when I click end I get to still talk to you - I hope I do!Okay.

Okay bye.

Bye.

No.

I've clicked then it could still.

Oh no it's still.

Oh yeah.

I really need to learn how to.

House Listings

A very critical concept in California Real Estate Law is the disclosure of agencies. In 1987 legislation was passed to protect home owners in regards to the agency status of their real estate professionals.

Agency is simply the relationship between the principle (the seller or buyer) and the real estate professional. In agency, the professional has a fiduciary duty to look out for the best interests of his/her principle. The fiduciary duty is defined as the 'duty of utmost care, integrity, honesty, and loyalty in dealings.'

There is a form that is used called the Agency Disclosure form (or AD for short.) This is the very first form that is used in every real estate transaction. It has 1 purpose: it discloses (makes openly known) the 3 types of agency that could happen in a real estate transaction.

1. Agent represents the seller only.

In this agency the agent for the seller represents only the seller. He has a fiduciary obligation to get the seller the best price possible for his home. He also has the fiduciary duty to make sure the seller understands all the forms he must sign. The agent serves to protect and promote the seller. In a fiduciary relationship the agent has an obligation to put the needs of the seller first above his/her own needs. He does not have a fiduciary duty to the buyer but does own the buyer the duty of fair and honest dealings.

2. Agent represents the buyer only.

This is the exact same as above except the agent represents the buyer only and has the fiduciary duty to get the home for the buyer at the best price while protecting and promoting his/her best interests. He only owes the seller the duty of fair and honest dealings.

3. Dual agency: agent represents both the seller and buyer

If a dual agency is formed it must be disclosed and agreed to by all parties of the transaction. A dual agency can never be done in secret. This dual status must be known because an agent will know confidential information about his principles. The disclosure forms states that an agent in a dual agency situation must never reveal confidential information to the other party without written permission.

The agency laws were put into practice to protect home owners and home buyers. It establishes that an agent must put the needs of the principle above his own. The law also makes the declaration of who represents who and in what capacity widely known. There are to be no secrets in a real estate transaction.

Dangers of Dual Agency

In most real estate transactions there is one agent representing a seller (aka sellers agent or listing agent) and another agent representing a buyer (aka buyers agent). However, at times, one agent might end up representing both the buyer and seller. This is called dual agency. It is perfectly legal but also can be filled with challenges. In California law, a dual agency status must be acknowledged and agreed to in writing by all parties.

To understand the potential challenge let's use this as a scenario:
• The house is informally appraised and the fair market value seems to be $270,000
• The seller begins with a listing price of $275,000
• The real estate agent represents both the buyer and seller: a dual agency

It is not unusual in the beginning of the formation of a contract to purchase that the buyer will have his initial offer price and also a back up price in mind. He might tell his agent to offer $260,000 but would not go higher than $265,000.

If this agent represents both the buyer and the seller how does he approach the seller with that offer? He must tell him there is an offer of $260,000 but cannot reveal anything else without breaking his fiduciary duty to the buyer.

Now the seller does not want to sell the house at $260,000 and asks his agent what he thinks would be a good counter offer? Does the agent knowing the house is worth an estimated $270,000 suggest to him to counter at $270,000 and possibly lose the deal? This would be in the best interest of his seller. But he could also recommend the seller to counter at $265,000 knowing the deal would most likely close. This would be in the best interest of his buyer. He could even say, I cannot tell you what to counter it as which might not make his client too happy. The agents' fiduciary duties to both of them are in conflict.

Other challenges could crop up when further in the process it comes to other concerns; for example, repairs. The buyer might want a carpet allowance. So the agent needs to represent that need. But he also has the duty to get the most money for the seller. This is just an example of another challenge in dual agency situations.

I do not write this to say that dual agency is bad, wrong, or illegal. It can be done and be done successfully. I write this so people understand that agency clarification is important; do not treat it lightly. If you are potentially in a dual agency situation you must consider all the benefits and challenges.

This is why in California (and in many other states) agency clarification is the first form to be filled out in the real estate process. You want to know exactly who is representing who so you do not reveal information to 'the other side' accidently.

Let me finish with an interesting twist; 2 different people working for the same broker also creates dual agency. For example, I am with Century 21 Award. We have 14 offices in San Diego and Orange County with 100's of agents. I work out of the Rancho San Diego office and let us say I have a listing. A person that I do not know and have never met works for our Award office in La Mesa. That agent could bring a buyer to my listing, the buyers like it, and decide to make an offer. This is a dual agency because we both work for the same broker; Century 21 Award, even though we do not know each other and work out of different offices.

As always, if you have any questions about this or any real estate matter I am as close as an e-mail.


Real Estate Agent, Real Estate Agency

Real Estate Agency Pennsylvania