Real Estate Tips

DC Fawcett Analyzes The Reasons For Failure Of Real Estate Agents

Many of you fail to achieve success in your professions. There can be some reasons for it. Finding out the appropriate reasons for the same and working on those areas will take you closer to eliminating failure and reaching success. Real estate agents too face such problems. In this article, Dc Fawcett analyzes the reasons for failure of real estate agents.

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Real estate agents fail in the beginning

This is a fear psychology. Many real estate agents have starting trouble. When they enter the field, they don’t come with proper training and skill set. So, even before they enter the professional arena, they have to sharpen their skills and possess the required knowledge.

Lack of motivation

Many real estate agents don’t find anything challenging to do in the beginning. They may develop the fear that they will not get good contracts and stop updating themselves. Suddenly when an opportunity knocks the door, they find that they lack the competencies to carry out the task.

Lack of good presentation skills

Real estate agents don’t present their listings properly. They don’t spend much time and effort to come up with hard hitting and attractive listings. Such poorly presented listings sit in the market for a long time. So real estate agents must add images and videos to their listings. They have to come up with alluring content to market their homes. If they are not able to do so by themselves, they must hire professional content writers, photographers and top video coverage professionals. Believe me, the money is worth it.

Doing too many things at a time

Doing too many things at a time will result in a mess. Agents must concentrate on one task at a time and  do that well. This will eliminate tension and increase focus.

Disliking to prospect and to follow up

Many real estate agents hate certain things about their jobs like making calls. They feel some kind of discomfort when they make calls, especially uninvited calls. Also, they hate to follow up on clients. Ultimately they don’t build up a strong or good client base in the end. They must thus get over these psychological inhibitions to come out successfully.

Time management

Time management must be done efficiently. Repetitive work due to official discomfort  personal problems, distractions, lack of interest in the nature of work and so on can lead to inefficient time management and to production of results lacking in quality. They can organize their work. For instance: they can work for a stretch of 45 minutes and then take a 10 minute break.

Conclusion

Real estate agents must review their own work and identify areas where they are lacking in. They must strive to work on their areas and decrease the probability percentage of failure. Everybody loves success and real estate agents are no exception to it. They must read this review by Dc Fawcett which will be beneficial and help them to correct a few areas.

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Dc Fawcett Reviews – The downsides of absentee landlordism

Introduction

Absentee landlordism is a concept where the landlord who owns the property is not present at the property site. Mostly, absentee landlords are those who invest in foreign properties. Imagine your lessor calling you up for every little thing and instructing you for everything. For instance: if your landlord was not an absentee landlord, you will have a tough time keeping pets, partying and have no flexibility in rent payments. On the other hand, there are downsides for absentee landlordism. In this article, Dc Fawcett, a real estate entrepreneur and mentor analyses the negatives of absentee landlordism.

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Downsides for the renter

No proper communication

Sometimes, you cannot communicate urgent matters to the landlord. The distance serves as a big hurdle. Your messages may be overlooked. Your calls may not be received.

Repair work

There may be some urgent repair works that have to be done. Although, there are property managers to whom you can communicate, some things have to be dealt personally by the landlord and he cannot be contacted easily or come down soon.

Downsides for the landlord

The distance

There are some matters which you should deal with in person. You may not be able to come due to the distance. Although, you have hired some property managers to manage property affairs during your absence, there are some concerns which you must inspect on your own. For instance: you have to check repair works to see if the quality is as good as your payments. The final supervision is yours.

Conducting the business will be too hard

Conducting the business will be really hard especially if you are new to the field. As a new landlord, you will not have enough income to hire people for every concern. Thus collecting rent, signing contracts, inspecting initial repair works and so on is tough. Also, when you are purchasing property unseen, you may be paying more than what is required.

Buying in foreign markets is risky

You cannot rely on local track records for buying property abroad. Foreign markets are different in nature and even adept landlords may fail when it comes to investing abroad. The investments are higher and involve the risk of loss of millions if you fail to get a good property. Also, you cannot file a law suit as easily as you can do locally. Foreign rental and property scams may be hard to tackle for you and you have to do a lot of research or hire a trusted real estate agent.

Managing tenants

Tenants may take things for granted. They will not pay in time. They will misuse your absence. For instance: they will keep pets even if they are forbidden to do so and they may cause great damage to your property sometimes.

Conclusion

It is tougher for the landlord rather than the tenants in absentee landlordism. This Dc Fawcett analysis lists down the key cons of absentee landlordism. Absentee landlordism however comes with benefits also. For more on benefits on absentee landlordism read Dc Fawcett’s article on perks of absentee landlordism.

Dc Fawcett Real Estate Crowdfunding

What is real estate crowd funding?

It is a technique in which real estate companies reach out to people through social media and other platforms and get them to invest in something like a money pool. When people invest small amounts of money, there is a large pool of finance. This is to make people accessible to different areas of business which they cannot reach otherwise. In this article Dc Fawcett reviews real estate crowdfunding and how it has altered the face of real estate investing and various problems faced on pricing a home too high.

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The process of crowdfunding

Before the process of crowdfunding came into existence, people were allowed to invest through real estate investment trusts or investment companies. They could invest only based on their individual credit worth and finances. They could not enter into expensive real estate investments.  But with the emergence of real estate crowd funding, they could directly invest in the business. They could directly seek investments from wealthy investors and gain access to more business ventures. It is something like a shared business.

Different modus operandi for crowdfunding

There are various crowdfunding processes

  • Reward based crowdfunding:

    This is crowdfunding wherein people invest in exchange for rewards. The reward does not manifest in the form of cash and instead is given in the form of things.

  • Donation based:

    investors make donations and this is for a charitable cause. Nothing is given to them in return.

  • Debt based:

    This is something like a loan. Investors give loans to those who solicit investments from them. It is similar to a mortgage where a certain interest rate is offered.

  • Stake based

    In this type of crowd funding, investors will have a share in the profits made through the investments. Their share depends on their equity, i.e. the worth of the money that they have invested.

Trends in crowdfunding

  • Higher capitals are important for crowdfunding growth

Real estate crowdfunds want capital only from certified investors. Due to this lack of competition, people who want to invest small amounts can enter easily. But if a crowfund has maximum number of investors who deposit only small amounts, it has to solicit a higher number of investors. Compare people who invest amounts of $30,000 and $50000 to people who make down payments of 30 million and 50 million. These prestigious amounts will result in higher growth and credit for the crowdfund. Thus crowdfund owners must solicit from institutional funders rather than small funders. This awareness has led to the emergence of higher capital investments for crowd funding.

  • Unification

Merging the crowd funding industry as a complete entity will result in projecting the most successful crowdfunding marketplaces in an outstanding fashion. Not all the marketplaces will emerge as powerful crowfunding organizations. The emergence will depend on factors such as technology and application of statistics for underwriting. These top key players can be upraised to a much higher level through unification

Conclusion

This is crowdfunding and its various trends as reviewed by Dc Fawcett. With time, crowd funding is going to grow in popularity. So, read not just this article but a lot more on crowdfunding and start investing.

 

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What is a second mortgage? What to know about it – Dc Fawcett Real Estate Tips

Introduction

There are chances that you may not know about second mortgages. Well, it is as simple as the reason that you don’t desire to have cognizance about it in the sense that expending for a first mortgage itself Issomething not considered good.

Well, now let’s get into the fundamentals of a second mortgage. It is actually a second mortgage on your current property. When you are contemplating on this option you are borrowing a sum by considering your property’s equity akin to a collateral. To put it in a nutshell, the homeowner will have an increase in his total debt. This can pave way to several financial blocks in instances when the homeowner will have problems that hinders him paying back his debts.

What is a second mortgage What to know about it

What are the different types of second mortgages?

Home Equity Loans

This type of second mortgage will provide you with the chance of obtaining a huge amount which is considered as a loan; this is regarded in terms of your property’s equity. Paying on an installment basis which is spread over a fixed span is the key here.

Home Equity Line of Credit

This type of second mortgage functions similar to a credit card. Here then you are provided with a credit limit that you can use it again and again given that you consistently pay the remaining amount.

What is the need for individuals to go for second mortgages?

 The answer to this zeroes down to the reason that people are in requirement of a lot of money; this  may not be possible through other means.

When you are using a second mortgage then it implies that you have to expend on another expenditure on a monthly basis. You have to make it certain that you are in a position to take care of your monthly expenditures prior to handling any new payment onus. The key is that you can consult a mortgage specialist to know whether this is the appropriate option for you.

Pros of second mortgages

  • In this method you can borrow a huge sum of money. Having said that, the amount that you can borrow is determined by the nature of the lender’s terms.

  • Generally, second mortgages contain relatively low interest rates.

  • Under some instances there will be the provision of deduction for the interest that you are paying on this type of mortgage. However, you have to consult the person who handles your tax prior to making use of the deductions.

Cons of second mortgages

  • There is an impending risk of foreclosure as far as second mortgage is concerned. If you miss out on the payments your lender will consider your property for foreclosure. This will put you in a huge crisis. In this regard it is not wise to consider a second mortgage for day-to-day living expenditures.

  • These mortgages can be costly. You have to expend on several things including appraisals, credit examinations etc.

  • Whatever the time of borrowing you have to expend on interest. These mortgages can be lesser than the interest rates of credit cards but they are generally quite greater than the interest rate of the initial loan.

  • As far as second mortgages are concerned though you are generally provided with a lower interest rate you are going from unsecured loans to one that could take away your property.

When you are contemplating over getting a second mortgage, it’s wise to consult a loan officer. Having said that, borrowing a huge sum is not advisable. Also remember that this mortgage is a fresh debt that should be paid back. The key is that you should not bring out a new problem through a second mortgage.

Conclusion :

DC Fawcett is the creator of Virtual Real Estate Investing Club. You can get to know about what’s viable in today’s real estate market scenario here. DC Fawcett is very active in his real estate deals including rehabbing houses, wholesaling etc.

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An insight into mortgage overlays and how it works – Dc Fawcett Reviews

Introduction :

We all are aware of the term mortgage; let’s have a look at the word overlay and what logic it makes in the home loan context. In a nutshell, it refers to the mortgage approval standards that lenders and investor place on top of the guiding principle set by the Federal Housing Administration and the Department of Veterans Affairs. As a matter of fact, mortgage overlays are determined by the lender’s capability to handle risk aligned with the current economic conditions. To be even simpler, depending on the economic state of affairs, the overlays can get tougher with inflexible economic times and flexible with prosperous times.

An insight into mortgage overlays and how it works
How does mortgage works?

Sometimes, in fact, most of the times, Mortgage rules are bound to have some additional regulations tagged to it, to have a clear picture of why lenders append additional rules, it is imperative to be aware of the basic idea of how mortgage functions on the big scale.
For mortgage loans, lenders such as mortgage brokers, credit unions, and all local banks receive applications from consumers and compared it to several loans offered by FHA, VA, USDA, Fannie Mae and Freddie Mac. When this process is done, the lender will come to a conclusion as of which is the best loan for the consumer and process it, thereby approving and finalizing the same. Subsequent to this action, the lender vends the mortgage to another lender, where they will take a set of similar loans, such as several Fannie Mae loans, and sell them as investments, in simple, you will get a loan in one bank and receive a letter stating make all future payments to another bank later.
By this means, the smaller lender is set free from their money to make more loans. Lenders recognize that if they have a mortgage that has met all the guiding principle for an FHA mortgage, then that loan should be easy to put up for sale to another bigger lender.

How to get rid of mortgage overlays and get a Loan and keep away from troubles?

By now you might be a bit perplexed and think how to get a mortgage and keep away from all such issues. Don’t fret! This is for you. With all of this information about the threat and extra charge for various situations, the way out to this is simple but not easy.
To meet the criteria for a mortgage is very simple; get your full financial plans right, meaning make sure that you are:
• Paying your accounts on time
• Keeping your job for at least 2 years
• Have a variety of credit accounts and
• Keep your overall debt low.
If you are making an effort for the aforesaid things, and can accomplish these besides saving up a decent down payment, you will be well on your way to meet the requirements for the home of your dreams.

Conclusion :

Stay tuned to DC Fawcett blogs to have the best knowledge about all real estate terms and achieve your real estate goals easily.