Results for category "US Real Estate"

Purchase Process Outlined

dani 0 Comments

Generally speaking the purchase process looks like:

  1. Hold a one-on-one strategy session with Simply Do It (not mandatory but recommended)
  2. Sign SimplyDoIt docs
  3. Get pre-qualified for a mortgage (if needed). We have great mortgage lenders ready to work we you. (2-3 days)
  4. Submit offer. Our agent will work with you on optimizing the offer. (3-45 days – depending how quickly your offer gets accepted)
  5. Once offer accepted conduct detailed due-diligence (7-14 days)
  6. Close-purchase (30 days from acceptance)
  7. Rent make-ready. Our property manager will make sure the property get the needed work to make it rent-ready as quickly as possible. (4-21 days depending on how much work is needed)
  8. Rent. Our property manager will lease it including screen tenants (2-4 weeks on average)

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Where is America moving? 2014 Migration Patterns

Ken 0 Comments

Atlas Van Lines recently published their annual analysis on migration patterns for 2014.

The 2014 data was released and you can view this info here or at the Atlas Van Lines’ website.

2014 Migration Patterns By Atlas Van Lines

As reported on Atlas Van Lines’ website:

Where is America moving?

Since January 1993, Atlas Van Lines has reviewed and released data on the origins and destinations of interstate (or between states) moves throughout the previous calendar year. The 2014 Migration Patterns study results provide a snapshot of relocation patterns. This year, 26 states were balanced, 14 states were outbound, and ten states, in addition to Washington D.C., were inbound.

In 2014, the total number of interstate and inter-province moves reached 76,979, slightly down from 77,308 in 2013. In addition, regional trends show changes occurred in the West, Northeast, South and Midwest. The most significant changes took place in the Canadian Provinces.

Other migration trends:

Northern States

The Northern states saw one major change from 2013 to 2014, with Vermont going from a balanced to outbound state. The remainder of the states did not undergo any status change in 2014. New York and New Jersey have been outbound for more than 12 years, while Washington D.C. remains the only location in the area to be inbound over that same time span.

Southern States

The Southern states had three status changes, with Florida and Mississippi going from balanced to inbound states. West Virginia also shifted from balanced to outbound. Once again, Florida ranks in the top three states with the highest number of moves.

Midwestern States

The Midwestern states remained the same in 2014, with the exception of Missouri going from balanced to outbound. Similar to 2013, North Dakota was the only state in the region to register as inbound.

Western States

The Western states registered two changes. Montana went from being inbound to balanced, while Washington changed from balanced to inbound in 2014. Similar to 2013, the majority of the Western United States remained balanced.

Canadian Provinces

The most significant change for 2014 occurred in the Canadian Provinces where five provinces changed status. Alberta and New Brunswick went from being balanced to outbound; Newfoundland and Prince Edward Island went from being inbound to outbound; and Northwest Territories went from outbound to inbound. In addition, the Yukon Territory became outbound.

How is a state classified?

Each state/province has a threshold value, which is the total number of shipments multiplied by 0.55 (for example, in a state with 100 moves, at least 55 of them would have to be outgoing to classify the state as outbound). A state/province is considered:

  • Outbound when outbound shipments exceed the threshold.
  • Inbound when inbound shipments exceed the threshold.

For an infographic on the results, visit the 2014 Migration Patterns Infographic.

What Property Managers Think About Home Warranty

dani 0 Comments

We have asked some of our property manager to provide us with their opinion on home warranty companies/service.

Their opinions are expressed here.

The opinions are should not use as an advice on what you should or should not do when it comes to home warranty – You can be the judge of it.

 

Home warranty companies differ greatly.

 

Some are better than others, but overall then aren’t good for property manger’s and owners.

 

We want to service our tenants.

 

If your AC breaks down and its 90 degrees you want service within a reasonable time frame.

 

HW’s wont come for days and when they come out the repair isn’t covered.

 

Happy tenants are long term tenant’s.

 

My job is to save the owner money.

 

I recommend preemptive. maintenance, service the HVAC system every 12 months, make the tenants change AC filter, etc.

 

Plus I have a construction background as should any PM.

 

I know what things cost to repair.

 

Our vendors understand that we work for owner and they need to do cost effective repairs, guarantee the work and provide prompt services to maintain our relationship….Do you think their repair people guarantee the work and work for a 60.00 co-pay. I think not!

 

Home warranty’s are good for homeowners

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Where is America moving? 2013 Migration Patterns

dani 0 Comments

Atlas Van Lines hold an annual analysis on migration patterns.

The 2013 data was released and you can view this info here or on Atlas Van Lines website.

 2013 Migration Patterns By Atlas Van Lines

As reported on Atlas Van Lines website:

“Where is America moving?

Since January 1993, Atlas Van Lines has reviewed and released data on the origins and destinations of interstate (or between states) moves throughout the previous calendar year. The 2013 Migration Patterns study results provide a snapshot of relocation patterns and this year, the majority of the country achieved a balance between inbound and outbound moves while the total number of moves increased six percent from 2012.

Similar to last year, the highest number of moves occurred in California, Texas and Florida. Regional trends show the most significant changes occurred in the Northern and Western states while the Southern and Midwestern states saw very little change.

Other migration trends:

Northern States

The Northern states underwent major change from 2012 to 2013. Pennsylvania went from being a balanced state to outbound; Vermont and West Virginia both went from being outbound states to balanced; and Delaware went from being balanced to outbound. Washington DC remains as the only northern location to be inbound for 11 consecutive years.

Southern States

The Southern states saw no change from 2012 to 2013. The majority of the Southeast and Mid-Atlantic states remain balanced with the exception of Tennessee and North Carolina, which both remain inbound states. All of the Southwest states remain balanced in 2013 excluding inbound Texas.

Midwestern States

Mirroring last year’s data, Illinois, Indiana, Ohio, Minnesota and Nebraska remained outbound while Kansas, Missouri, Michigan, Wisconsin and Iowa remained balanced. North Dakota remained inbound. No Midwestern state has been classified as inbound for more than 10 consecutive years.

Western States

The Western states also experienced significant change since 2012, particularly with Montana and Idaho shifting from balanced to inbound states. Additionally, Washington went from inbound to balanced, leaving the majority of the Western Unites States balanced.

Canadian Provinces

Five of the 10 provinces remain outbound – British Columbia, Manitoba, Nova Scotia, Ontario and Saskatchewan. Having moved to inbound in 2012, New Brunswick is back to being balanced. Another noteworthy change is that Quebec went from being balanced to outbound. Two territories – Nunavut and Yukon Territory – are unclassified, while the third territory – Northwest Territory – is outbound.

How is a state classified?

Each state/province has a threshold value, which is the total number of shipments multiplied by 0.55 (for example, in a state with 100 moves, at least 55 of them would have to be outgoing to classify the state as outbound). A state/province is considered:

  • Outbound when outbound shipments exceed the threshold.
  • Inbound when inbound shipments exceed the threshold.

Getting Ready For Closing – Next Steps

dani 0 Comments
Now that an offer was submitted and accepted, the agent had visited the property to make sure everything is ok, the next steps are:
  1. If you have not done so already the agent will provide you with instruction to send the earnest money (deposit) for the purchase.
  2. The agent will schedule and inspection by a license inspector. You’ll need to pay for it – the agent will provide instructions.
  3. Once inspection is done, and it may require some additional negation w/ the seller, you are going to start the loan process. Part of it will be to send an appraisal over (the agent and the lender will coordinate) to make sure the house apprises for the asking price.
  4. Once appraisal is done the an escrow account will be open and the title company will order title search to make sure you are buying the house w/o any title issues.
  5. A closing date is set: by that time you will need to make sure you have ALL the funds ready for the down-payment + closing cost, for example:
    1. Earnest money: $3000
    2. Down-payment (20%): $26,000
    3. Closing and mortgage costs: $3500
      1. TOTAL: $32,500
    4. Few notes/additions:
      1. Lender may suggest you pay in advance for 6 months or 1 year the insurance and property taxes (another ~$3000) in exchange for a lower interest rate. If you have it we suggest you do so as you are anyway going to pay this over the coming year.
      2. As the agent suggested you will have $2,000-$5,000 in repairs after closing (amount will be different from one house to another).
      3. Simply Do It invoice will be issued after you close.
  6. Just before closing you will need to sign a property management agreement
  7. Just before closing we will send you an IMPORTANT video to make sure you know in advance about being an owner when working with property manager/s – CRITICAL TO WATCH!
  8. From now till closing make sure you are pro-active with the lender and are ready financially.
Prep For Closing Day
  1. Make sure funds are ready
  2. You will need to sign purchase documents using a notary. Notary can come to your hose (called mobile notary) or you can find one in a nearby title company and most UPS stores (you just need to call in advance to make sure a notary is available).
  3. Your funds for closing will need to be wired (no regular checks).  Makes sure your account is set for wiring large amounts.
  4. MAKE SURE YOUR NAME/S ON AGREEMENTS AND CONTRACTS MATCH NAME ON YOUR DRIVER LICENSE SO THE NOTARY CAN APPROVE YOU AND YOUR SIGNATURE W/O ANY HICCUPS.

Good luck,

Simply Do It Team

Self-Directed IRAs and Real Estate – Important to Know When Selecting a Self Directed IRA

dani 2 Comments

This article was put together with some of our actual investors based on their experience.

Q: Why did you set up a self-directed IRA (SDIRA)?

A: I had a 401k plan while I was working. That account was limited to investing in mutual funds, but I wanted to be able to buy rental real estate. A self-directed IRA permits investing in many types of “alternative investments”, including rental real estate.

Q: How did you set up the IRA?

A: When I retired I decided to first move (rollover) the money from current holder to an IRA account at another company  I was concerned that the current one would be more difficult to work with than the new one when I was ready to transfer to the self-directed IRA. For me this was a stepping stone towards my goal. After the self-directed IRA account was opened, I was easily able to transfer funds from the new company IRA to the self-directed IRA. Read More →