Page 19 181 - 190 of 511
How to Find a Property Manager
As a property investor, you may start by managing your rentals personally, especially if you own a small portfolio of residential rentals. It might not be too taxing to handle the rent collections, identification and qualification of tenants, and management of repairs and maintenance. Personal involvement is also an excellent method of developing your understanding of the nuts and bolts of the business as you add to your holdings and refine your strategy. However, as you expand your operations, you will eventually reach a point where you can’t oversee the details yourself or simply choose not to. If you invest in other sectors, like industrial, retail, and office buildings, that moment will likely come sooner than later.
What Is IRR And How Do You Calculate It?
Investors use various tools to evaluate potential investment opportunities. One of the methods is the internal rate of return or IRR. IRR is useful for comparing different options, especially if they have distinct cash flow patterns and time horizons. In general, a higher IRR anticipates a higher anticipated return.
How to Report the Sale of Rental Property
Correctly reporting the sale of rental property to the IRS is crucial since doing it wrong can result in paying the wrong amount or even having a penalty assessed, and no one wants to do that. Of course, planning for the transaction before executing it is even better than determining the correct reporting after the fact.
How Can I Join a Real Estate Investment Group (REIG)?
Some real estate investors like to work independently, buying and selling properties with just the capital they have. Others prefer to craft a more in-depth portfolio, perhaps with fractional ownership of assets that they buy through a Delaware Statutory Trust or a REIT. Every investment method has its advantages and potential disadvantages. One less common approach is through a real estate investment group (REIG).
What Is Real Property?
Typically, real property is considered real estate—land, buildings, and other improvements, attached structures, anything growing on the property, and rights associated with a property (such as drilling rights). Permanent fixtures that can’t be removed without damage are also considered real property. Real property often contrasts with personal property, including machinery, artwork, collectibles, vehicles, and other personal belongings. Personal property includes valuables like jewelry and less costly items like clothing. It can also encompass intangibles like intellectual property.
Understanding Illiquidity in Real Estate Investing
We hear it all the time, real estate is an illiquid asset. Commonly used in the context of risk, Investopedia defines illiquidity as “the state of a security or other asset that cannot easily be sold or exchanged for cash without a substantial loss in value.”1 Opposite to securities that are traded at high volumes, such as stocks and treasury bonds, illiquid assets include private securities and hard assets that are not traded as frequently.
How To Get A Loan For Real Estate Investment
Financing a real estate transaction on an all-cash basis is unrealistic for most people and often not the best use of available cash, even if it is feasible. Fortunately, investors have ample options when choosing a financing strategy for their investments.
What Are Alternative Investments?
Alternative investments are those that fall outside of the traditional set of investment asset classes, which include stocks, bonds, and cash. Unlike traditional asset classes, most alternative investments, with the exception of public REITs, do not trade on public stock exchanges. This is because they lack many of the regulations found with stocks and bonds.
What Is A Sale-Leaseback?
A sale-leaseback is a transaction that separates a business’ real estate from the business operations. It converts an illiquid, long-term asset into immediate working capital. The process involves an owner-occupier of a building selling the property to a new owner. The seller then leases back the space so they can continue operating in it. The end result is that the seller becomes a tenant of the property. In this article, we’ll look in-depth at what’s involved in performing a sale-leaseback, why you might consider one, and go through an example to help solidify the concepts.
What Does An Asset Manager Do in Real Estate?
In basic terms, an asset manager manages assets. When the term is related to real estate, the asset manager is responsible for managing someone’s real estate assets. That means making decisions about the real estate portfolio to help it gain value and to manage risk. An effective real estate asset manager will need to understand the market, keeping current with research, including financial, political, and economic events. Note that an asset manager is not a property manager who manages an investment property's physical and financial operations.
Page 19 181 - 190 of 511
