For new investors- back to basics 2

Hello friends,

Some of you might be experienced in "the art of investing in real estate" - some of you are "beginners" living in the US and overseas- so I'll try to explain some more as to how the purchasing process works and how we can make it easier for you.

1. First step- you usually contact and contract with a realtor. Hopefully you'll have a recommendation about a trustworthy professional. From my 12 years experience- having a good local real estate expert that cares about YOUR needs is critical to closing a successful deal.

2. Second step-you start searching for a property with your realtor. The question is- how many properties will you see till you find THE one? If you are like me- looking for the perfect investment (good condition so there's a minimum need for repairs, good neighborhood so you get the best possible tenants and rent and good appreciation chances in the future) you will probably drive your realtor crazy, see an everage to 30-50 houses and submit 5 offers (if you are lucky to find 5 that match your criteria). Hopefully- you'll get one accepted and can move one step forward.

3. Third step- Make the offer and start the negotiation process: your written offer to the seller/bank would be the signed and dated purchase contract and "earnest money"- usually $ 1000 in Phoenix. The seller will probably come back with an answer to your offer- reject (you went too low), accept (probably you went too high) or present you with a counter-offer. and there you go- back and forth, till the final price is agreed on. this can take between 2-10 days.

4. Fourth step- Wait till the closing date arrives. Usually 2-4 weeks from the date the contract was signed. This is the time to conduct the inspections- to make sure everything is OK with the property and to change your mind if you discover anything is wrong with it.If you get a loan for this purchase this is the time for your lender to take care of all the paperwork needed, till the loan is approved. That takes time and lots of documents to provide!

5. One or two days before the closing date you'll get the final estimated expenses from the title company that will distribute your money to whoever you are paying: the seller, the realtors (the seller's and yours), HOA, insurance and the title company itself for its services (including registering you as the house owner in the County offices). You'll need to transfer your downpayment ( 25%-50%) and your lender will transfer their share. if it's a cash purchase- you'll need to transfer the exact amount provided by the title company.

Congratulations- you are now the proud owner of a property in the US!

6. Once you get your house's keys- it's time for repairs: replacing/cleaning carpets, painting, buying appliances. Maybe your realtor can recommend a contractor to do the work, you'll find a property manager that will do the work for you ( "time is money" so that will cost-of course) or you'll need to take care of it yourself...:-(.

7. Renting time has arrived and you are probably 2-3 months down the road from the day the purchase contract has been signed. Your property manager/realtor will post the house for rent, get the calls, schedule the showings, check the potential tenants financial standing and finally prepare a lease for them to sign. This will incur commissions for your realtor and for the tenant's realtor and will take anytime from 1-2 weeks to 7-8 months? (Yes- we've heard that kind of horror stories...).

8. Finally- you get the one month deposit and first month rent (most of it goes to the commissions) and congratulations again- you've got yourself a tenant!

Complicated, expensive and long process? Definitely!!!

Would you like to make it simpler and start getting rent immediately as you transfer the money to the title company?

That's what Carelocations is here for!

We will skip all those steps and start paying you rent as the house become yours!

Would like to hear how we do it?

Contact me for additional information: naomiesal@gmail.com. or ask me about an upcoming presentation in your area.

Coming up soon- new properties in the market. Most of those listed in this blog in the last month have been sold!

Yours- as usual,

Naomi.

Different strokes for different folks...?

Guess and let me know what do you think: which is which?

1. San Tan Valley, AZ - $ 69,900K 2. Scottsdale, AZ- $ 434,900K 3. Chandler ,AZ- 139,000K

I've been hearing requests from our potential investors and there's one thing that we all need to have clear first when we plan to purchase investment properties:

What are we buying these properties for?:

1. Maximum cashflow?

2. Maximum appreciation?

3. An optional second home for vacation?

4. Retiring there?

Each one of those purposes will dictate a different investment strategy:

1. For maximum cashflow we buy the most affordable property with the best rent- probably inpopular and further out areas that combine a good balance of both (like Queen Creek, San Tan Valley or Maricopa in the Phoenix Metro Area). at those neighborhoods we can buy for an average price of $ 75k with long term tenants already-in, paying an average of $850 per month.

See featured property in the picture - price for Carelocations' clients only:

$ 69,900, rents for $ 850.

2. For maximum appreciation we should buy closer to town and employers but then the purchase price would be higher and the rent not significantly better than in the other areas. For example: in Chandler (Intel location), Mesa, and Gilbert- purchase prices would start at $ 120K and rents would be around $ 1000 per month. See property on the picture in Chandler-

Purchase price- $ 139,900, will rent after repairs for $ 1200 max.

3. Second home for vacationing or retirement? Buy in the best areas- Scottsdale and N. Phoenix starting at $ 200k minimum for single family homes and renting at $1200- $1300.

See property in Scottsdale in the picture:

Purchase price: $ 434,900, rents for $ 2500.

Since most investors that would like to take advantage of the very low purchase prices in the Phoenix area are searching for one of the 2 first options- cashflow or appreciation, we will be adding more expensive properties to our investments areas in order to satisfy the expectations of those who would prefer the appreciation option with higher purchase prices.

During our upcoming tour on February 8th we will be viewing homes in the East Valley- good neighborhoods and affordable prices in Chandler, Gilbert, Queen Creek and San Tan Valley- starting at $ 70K to $ 120-130K.

Feel free to contact me for additional information: naomiesal@gmail.com.

Yours,

Naomi.

Facts and figures about AZ

Hi all,

While preparing my presentations about real estate opportunities in AZ I was very surprised by the facts I found out while researching the Phoenix Metro area- where I've been investing in for the last 10 years. We could say Phoenix is my "second home" the place that I always enjoy touring and visiting.

So those are updated facts that I just discovered about unemployment rates (US Department of Labor, 12/2010):
•Nevada - 14.3 %
•Florida- 12 %
• California- 12.4 %
• US average- 9.4%
•Arizona – 9.4 %, Phoenix- 8.5 %!

I always knew AZ's economy was based in many different industries but I was blown away by the variety and strength of the different employers.

Below are some examples:
Government- State of AZ (50K employees),City of Phoenix (17k), Maricopa County (14K), Luke Air Force Base (8K)
Universities- ASU (13K), University of Phoenix HQs- (10K) largest private University in the US!
Hi-tech – Intel, Avnet, Applied Materials, Motorola, Freescale, GoDaddy, Microchip, Paypal and more.

Financial- HQs of Wells Fargo (13K), Chase (7K), American Express (7K)
Tourism (hotels and resorts) and recreation (golf)- HQs of Marriot International, Best Western and more.
Retirement and Health Banner health (20k), Scottsdale Healthcare (6K), Catholic Healthcare (7K) . Mayo Clinic (7+K).
Aerospace and military- Honeywell (12 K),US Airways (9K), Alaska Airways, Mesa Airways. Boeing.
Walmart HQs- biggest non-public employer in AZ- 30K employees!

Unfortunately the construction and real estate industries took a such big hit in the last years that it will take time to recover, but looking at those impressive lists of employers I am very optimistic about the future of Phoenix!

And this is why the Phoenix Metro is excellent right now for investors. The real estate opportunities are endless, prices are low, rents are going up- this is the time to buy!

Yours,

Naomi.

naomiesal@gmail.com

For fast decision makers- 2 beautiful houses for sale in AZ

Hi all,

Big news! 2 houses that have just come out in San Tan Valley AZ (bedroom community 45 minutes drive from Phoenix).

1. 3 bedroom/3 bath- only $ 71,500 for my clients! (listed for $ 76,900).

Market value based on comparables: $ 85,000.

Built 2005, 1600 sqf., 2 car garage

Rent: $ 850, net. cash cap. rate: 9.24%.

Corner lot. Granite counter tops. tile flooring . Open floor plan.

Address: 2281 E. Meadow Chase Dr., San Tan Valley, AZ.

2. 4 bedroom/ 2 bath- only $ 85, 500 for my clients! (listed for $ 89,900).

Market value based on comparables: $ 105,000

Built 2006, 2050 sqf, 2 car garage.

High end home, new carpets and interior paint. Beautiful master planned community.

Will appreciate "big time" in a few years!

Rent: $900. Net.cash cap. rate: 8.32 %.

Address: 650 E. Leslie, San Tan Valley, AZ.

Only with Carelocations:

You buy directly from the investor under market price,

You buy a fixed house- painted, with all appliances, move- in condition.

You buy a house saving realtors' fees and inspections.

You get one year FREE of property management!

Rent guaranteed from the first day the house is yours!

Contact me directly for additional information - it's easy...:naomiesal@gmail.com

Our one-day-tour to Phoenix- Tuesday, February 8th, 2011- space is limited, call me to reserve a spot!

Back to basics for first time investors- 1

Hello friends,

I've been investing in the Phoenix Metro Area for 10 years now and even lived there for short periods of time, so that's why you might find I'm skipping the "basics" in this blog for those of you who have never been there.

So what I plan to do now is to go step-by-step and provide information about the area I think is the best for investments now.

I will also provide information about the purchase process in the US as you might need it if you are serious about buying.

So some basic facts about Phoenix, AZ:

Population in Phoenix- over 1.6 million.

Population in Phoenix Metro area- 4.3 million

12th largest city in the US by population and one of the largest cities in the United States by land area. (Driving from one side of the city to the other it might take you about 1.5 hours in normal traffic!).

Phoenix unemployment rates are a bit lower than the average for the US (see attached link- Arizona Workforce) and the main industries that sustain its economy are government, education (ASU-Arizona State University), high tech, tourism and recreation and golfing.

Construction is the industry that suffered the main blow since the recession that started in 2008.

However-the warm weather and low cost of living are the main attraction to families and retirees moving to AZ from colder areas in the US, Canada and Europe.

For those interested in additional information I'm attaching 2 very informational links.

http://en.wikipedia.org/wiki/Phoenix,_Arizona#Economy

http://www.workforce.az.gov/admin/uploadedPublications/PrDec10.pdf

Interested to hear more? Join our presentation in Cupertino Jan. 16th or contact me for a free of charge consultation at naomiesal@gmail.com

Yours,

Naomi.

What is so unique about our investment packages in AZ?

Hi all,

It's been a while since I last wrote here but I was delighted to hear questions and comments from you as those help me in making this blog as informative and clear as possible. Thanks to those who took the time to do it.

V. from Australia brought up the issue of trust as the basic ingredient for deciding to make the investment and I totally agree. That's why I will provide as much information as possible and I would like to meet personally those who don't know me yet.

The other question by B. and J. from Israel was:

What is so unique about the investments you are promoting? How are the packages you offer different from the standard "contact a trustworthy local realtor for purchase, find a trustworthy contractor to fix, find a trustworthy property manager to rent out and manage" and pay separately for each one of those?

So this is what makes me so excited about this-

1. We work with no realtors- so the commisssions are saved and the purchase price is significantly lower.

2. You buy directly from an investor that gets the houses at auctions- so the prices are way below the market value.

3. You buy a property that has been already fixed for a rental - so you save the expenses, the time and the hassle involved in making repairs and buying appliances.

4. You buy a house with an updated inspection, termite inspection and one year home warranty- all provided by the seller!

5. You buy a house with a tenant in- so there's no need to advertise the property, pick up the phones, make the appointments and show the house- all that is done for you for no addtional fee. And better yet- you start to get rent from the day the property becomes your!

6. And - you get one year of free property management- special "perk" for Carelocations clients' only!

So- if you can combine trust with an unique purchase package- isn't it be the best deal ever????

Please feel welcome to ask questions and add your comments- they are really useful to all of us.

For you- as always,

Naomi.

Naomi's crystall ball or 2011 investing trends

I wish I had a crystalball and I was able to predict the future...Unfortunately, I don't have one so I need to rely on the experts for more professional information...:-)



Just watched a CNN/Money interview with Mark Zandi, Chief Economist of Moody's Analytics, a very well respected global research firm( http://www.moodys.com/). According to Zandi, house prices in the US show a slight increase in prices these last 2010 months as well as interest rates but he foresees also a decline of 5% in prices in 2011 as a result of upcoming foreclosures.

His advice- every location is different so check the numbers and trends locally.



So what I see in AZ which is MY area of expertise: investors are getting very active (the houses we have posted sell very fast), the rental market is getting stronger (more foreclosures mean more renters and climbing rent prices) and if you purchase in a newer development with good schools and in a non-crime area you will see good appreciation in a few years time.

If you buy cheap you might see a bit of a higher cashflow now but your tenants could be questionable and the property's future appreciation way lower.



In a later interview today on CNN/Money it was predicted that throughout 2011 the US currency will remain weak as opposed to stronger curriencies. This might be another reason to invest in the US if you live in a stronger currency country.

Prices in the US always go up starting in spring. If you have money available right now, don't postpone your purchase. This is the time to buy and still enjoy the low prices, low loans interest and high rents!



Happy 2011!



Naomi.

naomiesal@gmail.com