How To Figure the Real Cost of a House

Can you really get to the true value of a property in today’s mixed up market mess?

the true value of a propertyHow can you figure the real cost of a house or a property?  How can you know you are investing for value in today’s minefield real estate markets?

Dr. Housing Bubble, bless him,  has a very informative post about getting to the real price of a property.

He takes the current market mess and dissects it for the truth.

He also shows us exactly how  he computes.

That brings us to the three methods he uses. (Most real estate investors and bankers used to use these methods before they lost their heads in recent years.)

Cost, sales comparison, and income capitalization are the real ways you should evaluate a property.

Dr. Housing Bubble points out most pointedly that #2, sales comparison, was the most abused by apprasiers during the last boom/bust.

I think it’s important to review the basic fundatmentals as Dr. Housing Bubble points out.  That will help us avoid making the same mistakes in the next housing bubble, which I predict will come in about 20 years.

 Why? Because a new generation will be on the scene which won’t remember this one.

Read Dr. Housing Bubble What Should a Home  Really Cost?

Foreclosures Causing More Problems in Upscale Neighborhoods

Foreclosures and empty mansions are getting into the party scene as some are now being used for wild late night frivolity

foreclosure partiesForeclosures  are causing more trouble in upscale neighborhoods.

Now it’s party time, apparently.

A  manse in  the Atlanta area that has been on the market for two years was the scene of a such a large party  the police had to order taxis to transport all the guests back to their cars parked at a local grocery store.

A heads up for real estate agents and property owners is that some party givers are looking at the houses and pretending to be interested buyers.

While the realtor is being distracted one of the “buyers” opens up a window to make sure they can come back and get into the house later.  Then they invite their guests to join them during late night hours.  Many of these guests pay to come.

Read Parties At Vacant Houses

Nicolas Cage Losing New Orleans “Haunted House”?

Actor Nicolas Cage seems to be in trouble with some of his real estate investments and may be losing a New Orleans property that some folks believe is haunted.

chickenActor Nicolas Cage seems to be in trouble with some of his real estate investments and may be losing a New Orleans property that some folks believe is haunted.

Since Nicolas is one of my all time most fav actors, I’ll go easy on him, but should he have really bought the infamous LaLaurie House?

It is said that every La Laurie  homeowner has had some really bad kind of  trouble after moving into the house. 

But that doesn’t exactly explain Nicolas’ troubles with the IRS.

The New York Post is reporting he owes the IRS $6.6 million.   Some commentators are  blaming it on his real estate buying spree which he went on a few years ago, while the market was at its peak. Others think there was a manager problem.

Could the LaLaurie House be the real culprit?

What is interesting here is something I learned a long time ago while attending a real estate seminar in Atlanta. 

One of our teachers pointed out that a popular star of that time was losing a home to foreclosure in the Atlanta area.  I couldn’t believe it  but I was a lot younger then.

Good real estate investing still involves the basics.  Buy lower- sell higher. 

Read more about Nicolas Cage’s real estate troubles

House of the Day Shows Luxury Homes Up Close and Personal

House of the Day Tour is a cool feature from the Wall Street Journal that is downright addicting…

fun house toursThe House of the Day Tour is a cool feature from the Wall Street Journal which instantly places you inside some of the most luxurious homes on the market with just one mouse click.

You get about 10 slides per property to look at and to claim it is not addicting would be giving you false facts.

Facts are, it’s downright fun.

What’s my most fav house of the day?
It has to be that 5000 sq ft manse located just below the infamous Hollywood sign.
I love the views. I also like most of the rooms, except for all the steps, and I don’t like the master bedroom.

Check out House of the Day Slide Show

Private Lending: Your Questions Answered

Get the answers to your basic questions about private lending for real estate. This is a good way to avoid banks…

Private lending is more important than ever and Brett Lewis of www.blacklabelrealty.comanswers your questions.

How to figure the loan to value, and how a private loan actually works are some of the questions he talks about in detail.

 

Private loans is a good way to invest in real estate and it is also a good way for real estate investors to get the money they need. 

In fact, it is probably more important than ever in today’s economy mainly because you can bypass banks.