How To Get Started In Preconstruction Investing?

Writen by Chris Anderson, PhD

Through our website the most common question that we receive is “How do I get rapidly started in preconstruction investing”. Realistically, you only need to take three steps on your path from being a “beginner” preconstruction investor to one that is extremely savvy.

MECHANICS OF PRECONSTRUCTION INVESTING
Before you even begin investing, you need a working knowledge of exactly what is meant by “preconstruction” investing, why has preconstruction investing generated returns in excess of 100% per year for many investors, what is the terminology used in preconstruction real estate investing, etc. The good news is this is your easiest step to take.

As an example, in this stage you will learn terms like reservation, hard contract, assignment of contract, letter of credit, to name a few. Even if you are new to investing, don’t let that intimidate you. Whenever I teach a class on this topic, it only takes about 30 to 60 minutes to get everybody up to speed on this.

So how do you learn the mechanics of being a preconstruction real estate investor? My suggestion is to take advantage of the free resources available on the internet. For example, at GetPreConstructionDeals.com we give a way a 30 page ebook about preconstruction investing that will walk you through this basic terminology and will give you some real world preconstruction real estate project examples. Also, if you conduct an internet search on “preconstruction” “preconstruction investing” “preconstruction condo”, etc., you will find tons of websites with this type of information readily available. Give yourself an evening or two and you should be a master. Unfortunately, over 80% of new investors stop after Step 1 and immediately want to look for “deals”. In my opinion, this is a big mistake because they are lacking what separates the beginning investor from the street seasoned preconstruction investor; the methodology to RAPIDLY pick “smart investments”

FINDING PRECONSTRUCTION PROJECTS
If you did an internet search in Step 1 above, did you notice how many real estate web sites you found with preconstruction investments on them? If not, simply put in the term “Miami preconstruction” in any internet search engine and you will see the number of results. Here is a test for you. From the internet searches done above, can you rapidly look at those projects and choose which ones might be worthy of further investigation? Most people become overwhelmed at this point whereas most savvy investors could sort through most of these in a matter of minutes.

Over the years, in both the stock and the real estate markets, I have had the opportunity to work with some truly outstanding investors and I have also seen many, many beginners. When a beginner looks at a preconstruction investment, they ask the real estate person “How much will I likely make on this investment and should I buy it?” When an experienced investor looks at the same investment, they first ask THEMSELVES “Is this investment really low risk and if so, how much money is really at risk?” Then they ask THEMSELVES “How much money am I likely to make if this investment works?” In their mind, they are trying to determine the amount of reward, relative to the risk. They know that the person marketing this project is UNLIKELY to think this way but they know how to ask the right questions to quickly decide if this project has an acceptable reward to risk ratio for THEMSELVES.

If you are reasonably new to investing, or have always counted on others to make investment decisions for you, how do you perform Step 2? Simple. You must learn how a savvy investor thinks, how they calculate risk, what back up plans they have in place in case the investment does not work, how they calculate reward, etc. None of this is rocket science or even difficult to do. If you’re new to preconstruction investing and are trying to do all this on your own, it can be a daunting task, however. I find that truly savvy investors are always talking to others, getting their opinions, learning anything they can to make THEIR OWN decision. They know that every little tidbit they can learn can literally mean several 10’s of thousands of dollars into their own pockets.

Practically, you need somebody to mentor you that has “been to the dance” many times before. If you know somebody in that category, buy them lunch, dinner, movie tickets, whatever and ask if they would look over your shoulder. If you know several people in this category, better yet. Your lunch bills will be pricey but your education gained will be priceless.

In addition, learning to think like a savvy preconstruction investor is the reason that we created our original home study course as well as our more complete live teleseminar course. Many people don’t have someone to turn to other than maybe the real estate person bringing them the project. I personally find that most real estate agents/brokers are fantastic resources for information, however most do not analyze the investment like I would. If you ever find yourself asking your agent or salesperson if “they really think you should buy this,” then that is probably a good indication that you are ill prepared.

No matter how you accomplish it, learn to think like a savvy investor for YOURSELF; it just is not that hard to do.

GROWING YOUR PORTFOLIO
Once you think like a pro in Step 2, you will have just created a problem for yourself: you will probably find that few preconstruction projects will fit your objectives. New investors tend to think this is like the stock market.. When they are ready to invest, you should just be able to plunk down your money and move forward. Realistically, in the stock market and the preconstruction market, TRUE OPPORTUNITIES appear when they are good and ready. When that occurs, and only at that time, then the savvy investor will pounce with lightning speed. Remember, for many people, a couple of good investments PER YEAR is plenty and may then more investment returns than they ever dreamed possible.

While this may be hard to imagine right now, after Step 2 you should have a clear understanding of the type of investments that you would consider. As an example, suppose you end up concluding that you really like condo/town home projects, not on the beach, and in the southeast. In addition, you want these investments in some emerging markets but not necessarily those that have been explosive for a long time. Great! Now start getting on lists of brokers/developers that bring out those projects. If you can work with a group of like minded people, all the better because you can share the workload and also have additional clout because of a higher potential buying power than just one individual.

I will caution you however that when you think like a savvy investor, you are going to want a lot more information than is typically provided by these types of sources. You will want a true assessment of the local market (other than “boy has this been hot”), you will want a true assessment of the amount of similar projects that have been or are going to be offered, and you are going to want to know a lot about who is buying these projects and why.

Because we like a lot of detail and because we know we have to move very quickly for good investments, we have always found it better to operate as a group, rather than one lone person trying to sort this out after work. In addition, we have found that by pooling together the buying power of a group we can get much better access to really good investments.

It is for these reasons that we at GetPreConstructionDeals.com have created our “Mastermind Group.” I hope this has given you an understanding of the 3 steps needed to become a true preconstruction investor. Some people will look at this and say that it is too hard, or too time consuming. Yes it will take some time and some effort. The question that I always ask them is then “How many hours in your regular job would it take you to make some of the large $75,000+ returns that some preconstruction investors are making?”

Dr. Chris Anderson is a co founder of http://www.GetPreconstructionDeals.com and is referenced in many venues including the New York Times and USA Today. Download his free, 30+ page preconstruction investing ebook today at Get Preconstruction e Book

The How & Whys of PreConstruction Investment Opportunities. Las Vegas High Rise Condos

Writen by June Stark

The Ins & Outs of PreConstruction Condo Investing

PreConstruction Investments can be tremendously rewarding from a financial viewpoint. The key is to locate a vibrant market and seek out those projects who are pre selling in a quiet pre public Friends & Family of the developer style launch.

The advantages to the developer of permitting VIP clients to select units prior to the public are that he can determine which units are the most sought after so that he can adjust his unit mix and pricing accordingly. This will help him maximize his profits later on & balance his building unit wise as it is released.

If an investor can locate a true friends & family release he or she will benefit from a real increase in pricing once the public phase of units are released. How is this accomplished & what should an investor watch out for?

Developers often times have solid relationships with realtors who specialize in preconstruction condos. These realtor usually have a solid clientele base who participate in pre public launches and readily are prepared to convert their reservations which are typically refundable, into “hard contracts”. Friends and Family releases are small pools of units sort of a test market for the developer ans units are often allocated to realtors who have proven track records of representing solid clients familiar with the process.

What to watch out for? You should make sure that the realtor has a true relationship with the developer & access to “ground floor first phase pricing” not just unit access or you will be paying retail rather than wholesale so to speak. A realtor should be able to provide you with info on what the developer has built in other markets, who is financing the project, and whether a contractor is in line to actually build the project. It is important to know if the developer owns the land he plans to build upon.

In a vibrant market such as Las Vegas, there are several “newbie” developers unfamiliar with construction costs who have not lined up financing nor contractors and are trying to jump on the high rise condo craze that has developed in this area. Oftentimes the projects are cancelled, all reservation monies returned, and the purchaser/investor has lost opportunities to particpate in the early launch of a viable project. The cost of such a mistake? Lost opportunity.

How does the preconstruction investment work? Typically, a reservation is made Sometimes non unit specific. This is usually accompanied by a refundable deposit. Once you have been assigned a specific unit & estimated price, the contacts are available along with a public offering statement & condo docs for your review & your attorney’s review. If you decide to proceed & sign the contract you will be required to return the contract with the balance of the deposit amount Typically the balance of 10% and other 10% or 20% is usually due along the way.
Developers usually increase pricing during the public release based upon demand. It is not unusual to experience a “paper profit” appreciation of 10% 20% or more during the release process.

No other monies are due until you take possession of the unit in a few years time. A large advantage is that once you have made your initial deposit you are not required to pay any mortgage or service any debt. In a great project in a vibrant economic area the demand for the units increase and the likelihood of being able to sell your unit upon completion to somene who wants to live there is quite good all the while the unit has appreciated in value.

In the case of condo hotels once you take possession of the unit oftentimes you will have a fully furnished condo in a great city and a wonderful vacation home while the debt incurred is offset by the unit’s rental potential the hotel condos being operated by a major hotel chain. These units can be placed in a rotational pool & the condo owner shares in the revenue with the operator.
Examples of such projects are The Cosmopolitan Resort (next o the Bellagio), Trump Tower Las Vegas, Las Ramblas Las Vegas, and Starwood’s new W Las Vegas. The Friends and Family launch of the new W Las Vegas Condo Hotel is underway.

Las Vegas Hotel occupancy in the luxury resorts is at an all time high of about 97%. And Las Vegas has 5000 8000 people moving in each month. There is no state income tax. No inheritance tax.
And so much to see & do. It has become a world class city with the best restaurants, shows, museums (even the Guggenheim has opened on the strip) and the finest of dining.

For more info on the preconstruction high rise condo investment opportunities that Las Vegas has to offer Contact Info:
June Stark 702 376 5220
Junestark@msn.com

Lauren Stark 702 236 8364
Laurenvegas@msn.com
###

June & Lauren Stark are the #1 High Rise Team in Las Vegas
June is a 33 year Las Vegas resident and former systems analyst for major corporation including Lever Brothers, Summa Corp. ( Now Howard Hughes Corp.) and a former associate officer of the United Nations NYC Headquarters.\

Lauren is a native Las Vegan and an award winning top producer who has been licensed for 9 years. She holds a B.S. in Businees/Marketing from UNLV.\ They have been awarded the top producer award from SKY LAS VEGAS, Icon Las Vegas and June has been featured in Trump Towers promotional DVD.

Sell Your Home for the Biggest Profit by Keeping Things Uncluttered!

Writen by Wolf Krammel

Getting your house decluttered will help you clear your own mind and get you ready for the prospective buyers to start coming. The best way to get organized is to try to see your house through new eyes. When you pretend like you are the one who is considering buying your home, you can better see the areas which need improvement. Take a clipboard and pen with you as you survey from the outside to the inside. Write down everything which disturbs your eye for even a moment. Chances are that if you notice something that does not look right, your potential buyers will, too. You will probably want to share this list with your real estate agent and go through this process more than once, so you don’t miss anything.

Getting ready to sell your home can be one of the most stressful areas of the real estate experience, but it does not have to be. Keeping in mind some key advice will help you get your house looking top shape from the inside and out. Throughout the process, the best way to go through your to do list is to accept the fact that you can only do one thing at a time. With this perspective, all of the pieces will fall into just the right places.

Now that you have an idea of what needs to be improved, cleaned or changed, you can start knocking them off the list one by one. Get the outside, “curb appeal,” taken care of first. This will help your house attract attention right away even if the signs haven’t gone up yet. Seeing your house looking its best on the outside will also give you the courage to tackle the inside. If you visit our website at http://brianmurphyrealtor.com you can learn more on real estate in Port Saint Lucie, Florida.

Each room should contain as little clutter as possible. Get a bunch of clear plastic bins and start filling them up with all of those extra knick knacks. Remember that buyers want to picture their belongings in your house. If your stuff is in the way, then they can’t form a mental picture as easily. To properly declutter, you have to start detaching yourself from your home. Make the rooms look as large as possible by removing extra furniture, books, objects and wall hangings. Set aside some time to repaint colorful rooms a soothing beige, cream or linen. This will make the rooms look even bigger and give the buyers more breathing room.

Any decorative object which you leave in a room should be used as a tool to attract the buyer to a special feature. Place an interesting candle holder in the fire place, or a few small plants on the mantle. Draw the eyes to windows with lamps and neat end tables. We are a one stop source for Port Saint Lucie area real estate services. Find homes for sale and area information for Port Saint Lucie, Stuart, Jensen Beach and Fort Pierce, Florida FL. Get real estate buying and selling tips, relocation help, and mortgage information visit http://brianmurphyrealtor.com

Despite all your efforts, be mentally and emotionally prepared to hear your agent tell you that you still need major improvements if you want to get the price you had in mind. Consider it a good thing that the professional agent you hired is being completely honest with you. You want to have a real estate agent who knows what and when things need to be done. Talk to anyone you can about the good agents they have had in the past. Get a feel for the agent’s strengths by asking them as many questions as you can before committing to a contract. If you have trouble getting a hold of them right from the beginning, then that is your first sign that they may not have the time or capacity to give you the proper amount of attention.

Your agent should thoroughly discuss the marketing plan for selling your home. Deciding on the price will be one of the most important aspects of this plan. Depending on your home and the time of year, there will be several approaches to combining the need to sell with the need to get the right price. For example, if you live in a desirable neighborhood, you may be able to go a little higher than you thought, but may not want to if there are many nearby homes for sale at the same time. Trust that your agent will inevitably come up with the right strategy, but be outspoken about your opinion. Although you aren’t the professional, it’s always possible that you will have an angle that your agent didn’t consider.

When you are going through the real estate process, there will always be plenty of people with tips, ideas and advice. All the input can occasionally do more harm than good, so take everything in as much stride as you can. Just make sure that your agent keeps you in the loop through the whole process and make your home as appealing as much as possible. With a clean house and a clear strategy, you should be able to sell your home much more quickly and easily than you thought.

Visit us online at http://www.brianmurphyrealtor.com You can get many useful Real Estate Reports and Informational Guides for FREE! Invaluable info when selling or buying a home.

Basic Homebuyer Checklist for House Hunting

Writen by Mark Nash

Touring homes can be over whelming to first time homebuyers. What to look for, what to ask about and what is good for resale, yes you need to think about that when your buying, can distract buyers. Mark Nash author of 1001 Tips for Buying and Selling a Home has created a worksheet that you can use with each home you tour. It saves excessive note taking and keeps you focused on what you’re looking for to compare and contrast potential homes.

I created a short list of the basic items you should keep in mind when you viewing homes the first time. Typically when you go back for a second showing you will want a more detailed list of what to look for. Locate a virtual tour of a property after you’ve seen it once to refresh you on features you have questions about.

Date: Price: Address: Condo Fees Special Assessments Planned Cats/Dogs allowed Percent Owner Occupied Property Taxes # 0f Rooms #of Bedrooms Master Bedroom # of Bath's Master bath? Fireplace (s) Floor plan Functionality Wall condition Wallpaper? Closet space? Storage Attic Kitchen Eat in Space? Appliances Counter tops Laundry Furnace age? Central Air Conditioning Garage/ parking Auto opener Driveway Yard size Fenced Roof Condition Windows Traffic Neighborhood Schools Curb appeal Notes

Distance Work Public Transportation Schools Shopping Recreation Hospitals Trash Pick up Other:Utility Costs 

Mark Nash’s fourth real estate book, “1001 Tips for Buying and Selling a Home” (2005), and working as a real estate broker in Chicago are the foundation for his consumer centric real estate perspective which has been featured on ABC TV, CBS The Early Show, Bloomberg TV, CNN TV, Chicago Sun Times & Tribune, Fidelity Investor’s Weekly, Dow Jones Market Watch, MSNBC.com, The New York Times, Realty Times, Universal Press Syndicate and USA Today.

Annual Percentage Rate (APR) Made Easy

Writen by Dennis Estrada

To fully understand and grasp Annual Percentage Rate (APR), there are terms to keep in mind. When you finally understand each mortgage term and definition, you can understand the basic concepts of APR. APR is short for Annual Percentage Rate which means true cost of borrowing. The fees below may be included in APR.

Points

Mortgage Lenders levied this charge at closing. A point represents one percent of face value of mortgage loan.

Pre paid interest

It is the interest charged to borrowers at loan closing to pay for the cost of borrowing for a partial month. For example, if a loan closes on the first of the month and the first payment is due 10 days later, the lender will charge 10 days of prepaid interest.

Mortgage Insurance

The borrowers are usually required to pay when loan to value ratio exceeds 80%. This insurance protects the mortgage lender from default of mortgage payments.

Title or abstract, Escrow, Attorney, Closing, and Notary fee

The agent charges for their services.

Recording fee

The cost obtained in writing or entering an instrument in a book or public record

Appraisal and Credit report fee

Mortgage Lenders collect to pay the appraisal and credit report Company.

Processing, Underwriting and Document Fees

Charges for the lender’s services associated with making the loan.

Dennis Estrada is a webmaster of mortgage calculators website which calculate the monthly payment, bi weekly payment, affordability, refinance, annual percentage rate, discount points, and more.

Home Sellers: Is Your Listing Agent the Reason Your Home’s Not Selling?

Writen by Jeanette Joy Fisher

Many home sellers sign a listing agreement with an agent who makes big promises and then their home languishes on the market.

Do you know if your agent may be causing your home to go unsold? Some reasons why listing agents hold up home sales:

1. Lack of cooperation from other sales agents who dislike your listing agent. Some agents get a reputation of being difficult to work with. Ask another agent about the popularity of your listing agent.

2. Lopsided commission split. Check to see if other agents get their fair share of the sales commission. Some agents only offer discounted commissions to the selling agent who won’t show the home if they make more selling another house.

3. Busy agents neglect to hold open houses for other real estate offices. Have you had other agents preview your home? If not, ask your agent why he or she hasn’t held an open house for brokers.

4. Lack of exposure. Is your home listed correctly on the Internet? Check to see if you can find it online. Do a search for your city and home for sale to see if your listing or agent’s website pops up. Most of today’s home buyers begin their property search on the Internet. You should be able to find local multiple listings.

5. Poor advertising methods. Did your agent create a sales flyer that showcases your property or a sales flyer that showcases your agent? Does your agent advertise your particular property every week or just rely on generic office ads? Did your property get a photo ad in the local home buyer magazine? Another great sales tool used by aggressive listing agents, mailings to your neighborhood homeowners, generates interest from neighbors’ friends and family.

If you feel that you’re wasting your valuable time with an agent who doesn’t perform, ask for a cancellation. If your agent won’t allow a cancellation without receiving compensation for a job not done, insist daily that he or she start performing. If you become the disliked, difficult home seller, your agent will cancel you.

Copyright © 2005 Jeanette J. Fisher. All rights reserved. (You may publish this article in its entirety with the following author’s information with live links only.)

Jeanette Fisher teaches home sellers five ways to sell their homes for top dollar fast. For free home selling ebooks, visit http://www.sellfast.info

Defining Condos

Writen by Stephen Kreutzer

Condominium’s may be a confusing concept to some people. Condo’s represent a housing option that takes the step between apartment dwelling and home ownership. Condo’s, like apartments or home ownership, come both their good and bad things.

Condominium’s look much like an apartment complex. There are multiple units and they can be either townhouses or one floor. The difference between apartments and condo’s is that a condo is owned. The owner gets a title to the unit. The difference between condo’s and home ownership is that with condo ownership the owner only owns the actual condo, not the land. The whole group of condominium owners in a complex owner partial title in the common areas, like hallways, swimming pools and roofs.

Condo’s are managed by a property owners’ association. This association rules many things. Condo owners must pay a fee to the association which is used to maintain common areas. The association also manages what condo owners can and can not do. For example, a condo owner can do what they like inside their unit, like paint, but the outside is ruled by the association. In most cases there are rules that forbid alterations to the outside of the units. An association provides everyone with an opportunity to speak their mind at a scheduled meeting, however, final rulings are made by the association.

Condo’s provide a way to own your own dwelling, but without the hassle of having to maintain the outside area. Like apartment living, though, condo owners are somewhat limited with their freedoms regarding the outside of their condo. You should understand what you can and can not do before signing a contract. You should also look at your other options and see if an apartment or a house might suit your needs better. Getting to know about the condominium complex before moving in is probably the best bet to ensuring you will be happy with your decision.

About the author: Stephen Kreutzer is a freelance publisher based in Cupertino, California. He publishes articles and reports in various ezines and provides condo information on Condo Central.

Is Any Desert Land Still Available For Free?

Writen by Lin Stone

Some people don’t believe there is any Desert Land Still Available For FREE. They are wrong. There is still some available.

Certain restrictions do apply. For example: You must be a resident in one of these states where the desert land is available … Arizona, Nevada, California, Colorado, Idaho, Montana, New Mexico, North Dakota, South Dakota, Utah, Washington, or Wyoming. No State residency is required in the State of Nevada

The Desert Land Act was passed specifically to encourage the economic development of arid and semi arid public lands of the Western United States. You may apply for one or more tracts of land totaling no more than 320 acres. Individuals may apply for a desert land entry to reclaim, irrigate, and cultivate arid and semiarid public lands.

You’d better take note before heading off across the landscape, most of the suitable lands for agricultural development have already been placed into private ownership. The remaining acres are managed for multiple uses. There is fierce competition among users for these public lands. Along with the problems of finding suitable public land, you can expect to find limited water available for irrigation, and an extremely high cost of development. On top of that, it is extremely difficult to acquire a desert land entry. But, and this is a big but, you can turn the land into very high cash value property. Just for an example, worhtless land I walked over as a child was worth thousands of dollars per acre by the time I was grown. What made the difference? It was mostly natural population expansion and highways coming through.

There are other ways to improve the land.. #1, cash crops that thrive in the desert, like the jo joba bean plant. Then there are plants that should be cash crops like your mesquite beans and cactus pears. Given just a tad of water in dry years mesquite beans are sweet and delicious. In two years out of five the tree doesn’t even need the tad of water. Cactus pears and cactus pads are becoming more acceptable to American palates all the time. #2, Get your land first, then you could be the one that convinces Congress to pipe ocean water back up along the Gila River Bed and create ocean front property all along the way with dams like the one at Painted Rock. With huge surges of population growth in the States of Utah, Idaho and Montana Congress could see the wisdom of diverting streams of fresh water down into areas now called arid. The only railroad left in the United States that is making a profit is the Union Pacific. By issuing contracts for trainloads of ice to be delivered to reservoirs in these regions. Where could the ice come from? Tugging ice bergs to Washington and Oregon for loading. When you import water into the area in front of the Rocky Mountains Congress will increase the flow of rain and moisture in this area.

Before you can claim any of these lands you must prove they are unreserved, unappropriated, non mineral, non timber, AND incapable of producing an agricultural crop without irrigation. There is an addendum to that criteria.. the lands you want must be The lands must be more suitable for agricultural purposes than for any other. Boy, what a tall order. But I’ve had friends do it and they cvouldn’t be happier. After you find them, these properties must be surveyed. If you get more than one tract of land they must be sufficiently close to each other that the BLM will be foreced to believe you can manage tgen satisfactorily as an economic unit.

To apply for your land you must be a citizen of the United States or at least have declared your intention to become a citizen. Being an illegal alien is not good enough at this time. Oh yes, you must also be more than 20 years old.

The BLM estimates that a 320 acre tract of land will cost you in excess of $250,000 to construct the irrigation system and prepare the land for cultivation. That’s because they are thinking too big. The government thinks square fields I invite you to think about farming within the natural barriers the land provides. It is said that a tourist looks at the (desert) scene and sees what is left while a geologist sees that scene and studies what is gone.

I want you to look for pressure points where the lay of the land tries to rise, and strategic points where the flow wants to escape and just a little effort can make a major difference. If you think NATURAL PLATEAU farming you can take a dozer in there and follow the contours of the land to produce plateaus of small acreage, five acres here, twenty there that with just a little bit of earth moving can be prepared to produce a crop on a plateau. Those plateaus don’t have to be the same size, or even go in the same direction either. The last piece of land I leveled this way was only 19 acres altogether and it had huge ravines running through it in every direction. Using a dozer and pulling a land plane(TM) behind me I leveled that ground to farmable smoothness in less than one day, but it was in three plateaus which fed each other and the last plateau drained to the middle and ran out from the middle between plateaus three and one. No, it wasn’t conventional, but it worked.

Remember too that the term “agriculture” includes animal husbandry. Instead of bringing in holsteins or thoroughbreds, bring in MINIATURE horses, miniature donkeys and even goats. These can be easy maintenance, high value “crops.” Again, look for strategic points where the flow wants to escape and with just a little effort you can dam up natural outlets to create your own reservoirs for your stock, and you will only need to haul in minimum amount of hay and water to sustain your animals.

After you have found lands that you feel can be economically developed you’ll have to determine the legal land description. Then you contact the BLM State Office where the lands are located and have them verify that the lands are available for desert land application. Next you must acquire an application from the State Office and also find out which BLM District administers the lands.

The application form you want to use is No. 2520 1. Two copies are required. File your application with the administering BLM District Office.

In the application you will include the description of the lands. You must include evidence of your legal right to the use of any water for irrigation. That means you must secure a permit from the State Department of Water Administration to explain where your water is coming from. You must include a detailed description of soil characteristics, irrigation requirements, and economic feasibility.

Here’s the worst part of it. You must include full disclosure of your plans, arrangements financial and otherwise pertaining to the development and operation of your desert land entry. Your application must be accompanied by a non refundable fee of $15.00 and a partial payment of 25 cents per acre.

The BLM will approve your application if it decides the lands are classified suitable for desert land entry. The BLM will reject your application if it decides the lands are classified unsuitable for desert land entry.

After your application is approved you have four years to develop an adequate water supply to reclaim, irrigate, and cultivate all of the lands. At least one eighth of the land applied for must be properly cultivated and irrigated by the end of those four years. Each year for three years from the date your application is approved, you must account for the money you spend on improvements to reclaim, irrigate, and cultivate the lands.

You must submit statements of two credible witnesses who can testify to the expenditures made for improvements on your desert land entry during the preceding year. You must submit itemized statements showing the manner in which the expenditures were made. At the end of the third year you must submit a map or plan showing the character and extent of the improvements placed on the desert land entry.

Under no normal circumstances will the BLM extend your time to meet the annual proof of compliance. To wit: the BLM will cancel your entry.

There is an out for some of these problems; a group of applicants can band together to develop a common water delivery system and share in the cost of a common water delivery system to reclaim the land parcels. The group as a whole must show that each individual desert land entry involved in a group proposal is economically and physically feasible.

Before you get your title the BLM will conduct an on site examination of your desert land entry to determine whether the requirements of the act have been met. If you meet the final proof requirement, you will receive a patent from the BLM which delivers a completely legal title to the land tracts into your hands. Your FREE land is now YOURS!

Independently less than wealthy, Lin Stone is the author of: HOW TO BUY LAND AT TAX SALES. That book is so good it is still selling after seven years. Check out the newest revised and updated edition at http://www.talewins.com/rs002.htm His latest articles can be found on http://www.talewins.com/sweetheartlinks.htm Four more books from Lin are available from http://www.talewins.com/Browzer/novels.htm

Real Estate Investing for Beginners and Experienced Investors

Writen by D. S. Peter

Making money in Real Estate requires expertise. The Real Estate market is dynamic, what worked before might not work now and vice versa. Knowing when and where to invest requires entrepreneurial sense and in dept knowledge of the local market. None of the Real Estate courses will teach you all of that.

Take this very simple entrepreneurial quiz to make sure you are well suited for real estate investing career.

1. Am I an optimist and a risk taker entrepreneur?

2. Do I have the self starter willpower to get this thing going and the discipline to keep it on track?

3. Do I work hard?

4. Am I a good problem solver?

5. Am I well organized?

6. Do I have the mental and physical stamina to work long hours?

7. Am I willing to work weekends and eveningsthe times when most home sellers will be available?

8. Do I have enough savings to finance this business myself (fixer upper expenses, down payments etc.) and to pay all my bills for at least six months?

9. Will my family be supportive of my entrepreneurial efforts?

10. Do I have the basic skills required to start and successfully run my real estate investing business, or do I have access to a mentor who can help me through those critical early stages?

If you answered yes to more than half of the questions, consider yourself a good candidate for a real estate investing career. If you answered no to five or more questions, don’t despair. You may simply need to change your approach to work, your mind set, and your way of managing tasks, challenges, and problems. There are always experienced mentors, colleagues, and real estate investing courses to turn to for education on the fine points of running your real estate investing business; you can even learn a lot for free from the internet.

Just as a builder won’t begin construction without a blueprint, eager real estate investors shouldn’t rush into new ventures without a plan.

Ask yourself these four questions:

1. What service will you be providing and what needs will it fill?
2. Who are the potential customers for your service, and why will they sell their property to you?
3. How will you reach your potential sellers?
4. Where will you get the financial resources to start your real estate investing business?

These four core components are critical to your business success.

WE ALL HAVE DIFFERING ABILITIES

For example some real estate investors suggest knocking on doors asking if a house is for sale, talk to owners etc. This technique may suit some investors, but others won’t like getting at somebody’s door without an appointment. Also knocking on doors won’t work well in all areas. I would do that in a homogeneous Midwest City if I can present myself well, express myself in good English and give people good vibes. On the other hand, if I look strange, can’t express myself to strangers, and make people feel creepy that wouldn’t be a good approach. And I certainly wouldn’t do that in NYC at the risk of even being shot in some neighborhoods or worst.

REAL ESTATE MARKETS CHANGE

About a year ago the NY Times had an article named “The two Real Markets”, published, and its central thesis was “there was one market till the late 70’s in the USA”, where prices and appreciation were uniform throughout the country. After that, the bi coastal markets soared in value while most of the Midwest continued its normal course, resulting in a vast gulf in prices.

REAL ESTATE MARKETS DIFFER

So in an area where it take months to sell something close to market, one can make offers to close in days at a greatly reduced price, and someone going through a job loss, divorce, relocation has no choice. But what if you’re in a hot market where a house is sold over asking price in days? Can you buy it at 30% below market? The savvy investors make money in the hot markets too, but use different techniques. They may buy a property at 10% below market in a good location offering quick closing, rent it out for a year and then sell it at market value when the market appreciates 20% or more and make a good profit.

For the successful people learning is a never ending lifetime journey.

Copyright © D. S. Peter is a successful real estate investor for over 14 years.

This article can be published by anyone as long as the reference box remains intact and all links are kept live.

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Top Tips from Real Estate Author Mark Nash for Negotiating a Home Purchase Contract

Writen by Mark Nash

These tips are excerpted from my fourth real estate book: “1001 Tips for Buying and Selling a Home” by Mark Nash. ISBN: 0324232896 Thomson/South Western 2004.

464 unless you are in a “hot” market area, do not feel pressured to write a purchase agreement after a showing.
If you need some time, use the old “I’d like to sleep on it.”
You will feel more confident in the purchase agreement when you have not been hurried into it.
It is usually a good idea to revisit the property prior to making an offer.

468 Learn how to protect yourself by using contigencies.
A contingency is added to a contract and states that some action must either be taken, or not taken, or the contract will become void with no penalty.
A typical contingency is on the purchaser being able to obtain financing at the terms described in the purchase contract.
Contingencies may also be for a variety of home inspections, sale of another property, removal or inclusion of items on the property, or anything else that is important to you.
The seller does not have to accept your proposed contingency and may reject the contract but at no penalty to you.

472 Do not allow your real estate agent to arbitrarily waive any contingencies for financing or appraisal in your purchase contract.
In a hot market, it will be tempting to waive contingencies for financing or appraisal in order to make your offer more attractive.
If you waive the contigency for either obtainig financing or having an appraisal and are not able to go through with the transaction, you could be subject to a lawsuit.

727 Require all offers on your home to be in writing.

734 Remember price is one of many terms of a successful offer. Investigate what percentage of list price, homes have sold for in your market in the last six months.
A full rpice offer from a buyer who can’t provide a mortgage committment is a weak buyer.
Be flexible in trading price for terms, or terms for price. Some buyers will pay more for a closing date that meets their needs.
Always respond to low ball offers with a counteroffer, buyers might be testing you out on their first price offer.

855 Establish what is customary in your market: will you be receiving an “offer to purchase” or a “real estate contract” on your property?
Offer: a proposal to orginate a contract.
Contract: parties agree to do or not to do defined legal acts and consideration is exchanged.

857 do not propose terms if you can’t live with them; be aware of what you say and when you say it.

862 Consider your options if you receive multiple offers at one time for your home.
Compare the strengths and weaknesses of all offers on a worksheet provided by you real estate agent.
You can negotiate each offer seperately or respond to all with a request for their “highest and best offer.”

864 Have an attorney review all contracts on the sale or purchase of a home, before you sign them.

865 Take special note of the earnest money being offered with the contract.
A strong price and weak earnest money, down payment, or credit could indicate a lower probability of buyer’s ability to close the transaction.
Earnest money shows the buyer’s willingness to perform a contract and go to closing.
It is common in some markets for the earnest money to be delivered in two steps. First an amount is delivered with accepted contract or offer and a second amount is delivered after inspection and attorney periods have expired or issues resolved to both parties satisfaction.

867 Do your buyers have a home to sell? Is it already on market? Buyers needing equity from their current home to purchase yours is typical. Look for their property to be listed, priced correctly, and typical in style, condition, and features for market.

869 Pay special attention to any requested contingencies in the contract. The longer a contingency period, the higher the probability of the buyer exercising its use.
Request business days for contingencies. Business days are Monday through Friday excluding holidays.
Attorney and inspection contingencies should run at the same time and for no more than seven business days.

Mark Nash is a nationally recognized consumer advocate for buyers and sellers of residential real estate. Author of four books including the recently released “1001 Tips for Buying and Selling a Home” Thomson 2005. Mr. Nash has been featured in The New York Times,USA Today, Fidelity Investor’s Weekly, CBS The Early Show, Bloomberg TV, Dow Jones Market Watch, MSNBC.com Unique Homes Magazine and The Universal Press Syndicate. His radio show “Real Estate Coast to Coast with Mark Nash” http://www.business.voiceamerica.com on Wednesdays 9AM PST,11AM CST and 12 Noon EST. The show is looking for interesting guests including; real estate journalists, interior designers, home improvement experts, real estate attorney’s, appraisers, home inspectors and celebrity’s.