American Home Rental Rates Rise and Are at a 15-Yr High

There has been a decline in housing prices and more homeowners are keeping their home rather than selling. For Realtors, this has ended up in a lack of inventory, and for leasing agents and property management teams, this has contributed in more inventory.

The Department of Commerce’s Census Bureau recorded that rental vacancies dipped to 8.8% in the quarter, 0.9% lower than a year before and 0.6% below the previous quarter. This has caused homeownership vacancy rates to remain at 2.2% during the period, a decrease of 0.4% from a year ago and 0.1% from during the fourth quarter of 2011. During the first quarter, there has also been an addition of 0.6% to the 34% mark of families that rented their home.

Analysts at Capital Economics commented, “We think that the rental rate may rise slightly further yet, with the necessary flipside being that fewer households will own their own home. This is positive for landlords, whose rental yields are approaching 6%.”

According to these analysts, the housing recovery is mainly driven by investors and cash buyers purchasing homes to rent out. As a result this has led to an increase in rental rates within the nation.

In addition to what the analysts have stated, the Census Bureau has also reported a national homeownership rate of 65.4% in the first quarter, a 1% fall from a year ago and 0.6% from the quarter before. The rental vacancy rate was higher in the South at 10.8%, and lower in the West at 6.3%. and the Northeast experienced an annual increase during the first quarter from 6.8% to 7.8%. Vacancies inside principle cities at 8.8%, in the suburbs at 8.7% and outside metropolitan areas at 9.2% had not experienced much of a difference.

Capital Economics analysts stated, “We expect strong demand and constrained supply to contribute to rental inflation of 3% or so in 2012, and for landlords’ rental yields to improve to 5.75%. That would comfortably beat the yields available on Treasurys.”

Being Successful in Real Estate

Being successful in Real Estate is really a personal choice. Real Estate is a business just like any other but it is a business that can make you a lot of money done right with little investment. Real Estate is also a relationship building and keeping experience. To be successful in Real Estate, you should be the first name that comes up when someone wants to buy or sell a home.

Here are some quick “Pure” tips on how to become successful:

1.   Note down all of your contacts (everyone you meet) in a database and be sure to separate the ones that are buying or selling a home in 30-90 days, or wanting to rent their home. This is from farming and meeting people outside of your farm.

2.   Market yourself out in the field. (At Pure, we help market you, but if your company doesn’t, then market yourself)

3.   Twitter and Facebook –all the time, synch them, so you can use one to post on the other.

4.   Don’t be a negative. Always be friendly to other Realtors and Brokers- why build a bad reputation?

5.   Hold open houses

6.   Attend Real Estate seminars or marketing seminars to enrich yourself with more knowledge and power.

7.   Make Real Estate your job. If you are just starting out, it’s ok to have a side job that pays your bills, but once you are more familiarized with Real Estate, focus on it. It will help you reach more wealth than your side job or any other job done right.

8.   If you are in the Irvine area, contact us at Pure Real Estate. We have a plan of success and we can help you become the best Realtor you can be.

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Pure Real Estate: Become the Best Realtor You Can Be

Pure Real Estate in Irvine Spectrum is Expanding and we are helping Realtors Become the Best They Can Be. If you can't answer the question, "What is your current Real Estate brokerage investing in you?" Then, you are not with the right RE brokerage. If you are in Orange County and want to succeed in Real Estate, call us today and set up your confidential appointment so you too can be informed of our Smart Agent Plan we have for Realtors in Southern California.

To Get an Agent or Not Get an Agent: The FSBO

To Get an Agent or Not Get an Agent:

The FSBO

The Mortgage crisis hit us all and home prices are suffering. Here in Orange County, we are seeing many of our Realtors sell homes with ease. Our Sure Sale Plan and Perfect Home Plan assists Realtors to become the Best Realtors they Can Be. Nevertheless, in some areas, For Sale by Owners are becoming mighty popular.

What is a For Sale By Owner or FSBO? A FSBO is exactly what it sounds like. Some sellers feel that they could sell their own home themselves to save that extra bit of commission they would have to pay a Realtor. There are websites that have popped up to capitalize on this new move and to assist homeowners with their goal.

The question is, which is better? Should you get an Agent or Not get an agent? The simple answer is “It’s your choice.” The best way to analyze this is to study the pros and cons of a FSBO starting with the Pros:

Pros of a FSBO:

1.    You decide how to do things and when to do them. You get all the profits from the sale of your home. You set the viewing times, and negotiations. You deal with the prospective home buyer and close the deals.

2.    You do not have to wait to see if an offer was accepted because you already know.

3.    You do all the marketing, so if you are good at that, you can profit from your endeavors.

4.    You do it all. You find the qualified candidates.

If you are the type of individual that gets excited about hard work and challenges and is not discouraged by failure, then this may be a good choice for you.

Cons of a FSBO:

1.    Selling a property is not as easy as one thinks.

2.    It takes time, patience, hard work and dedication.

3.    FSBO listings in general are rare and for that reason attract buyers that want a bargain. When most people see a FSBO sign, they think “bargain,” or “distressed sale,” or may even think that the seller is not serious.

It is important to understand that commissions charged by real estate agents usually go into asking price. In other words, your asking price plus 6% will be the asking price. Also, your Realtor will be doing all of the marketing for you. A Realtor also comes with experience in negotiations, providing advice, qualifying prospects, and your home will get listed on the MLS.

 <p><a href="http://www.freedigitalphotos.net/images/view_photog.php?photogid=721">Image: renjith krishnan / FreeDigitalPhotos.net</a></p>

Defaulting on Your Mortgage

Times are tough and if you are defaulting on your mortgage, chances are you have budgeted already and still cannot make your payments. There may have been loss of employment, and living costs are too high and you are forced to move. This has been happening everywhere and you are not alone. The most important thing to do is be in touch with your lender every step of the way. You should also feel comfortable enough to contact your Realtor to see if he can give you advice.
Since you have stumbled upon our blog, chances are you have been searching for answers. Here are some tips as to what you can do if you are having trouble making those payments:

1. Contact your lender and ask for loan modification paperwork.
2. If you are 12 months current on your mortgage, see if you can refinance your home. Remember, there will be fees so find out what they are and if it makes sense to do that. You could take out money while it goes through and you won’t have to make payments on your mortgage till the process is completed. If this sounds good, do it!
3. If you are in California, contact: “Keep Your Home California” and see if they can help you. Here is their website: http://keepyourhomecalifornia.org/index.htm
4. Contact your parents or in-laws to see whether you can move to their home for a certain time and rent out your home.
5. If you are in the Irvine area and need assistance, contact us.

Photo credit:

<p><a href="http://www.freedigitalphotos.net/images/view_photog.php?photogid=851">Image: Danilo Rizzuti / FreeDigitalPhotos.net</a></p>

Are You the Best Realtor You Can Be?

Since the recession, many Realtors have been struggling. Many Realtors have decided to find a different career. Being a Realtor is being a business owner, and this is what many of us seem to forget. Interestingly enough, some Realtors do well in any economy. Why? Because they give it their all, and because they have a plan. Here are some of our best tips to help you remain or become the best Realtor you can be.
1.) Be sure to ask questions. Ask questions when you are knocking on doors, introduce yourself and your company, listen and ask questions about your potential client. It is important to keep on the subject of buying or selling a home though. Ultimately, that is why we door knock isn’t it? 2.) Listen, and provide advice. Show your potential clients or home buyer what you know. People trust specialists. Know your market, know your materials, know your plan! 3.) Refer. If you know of any good lenders, refer them. 4.) Help your clients and treat them with respect, genuine kindness, and in a friendly but professional manner. They will appreciate you and will pass you on. 5.) If you are a Realtor in the Orange County area, join us and use our plan. We call it The Smart Agent Plan.
Becoming the best Realtor you can be is not difficult. You just need a solid a plan. If you are in Orange County feel free to email us with any questions and we will be happy to assist you. If you are a homeowner or home buyer and would like to have some of our expert Realtors assist you. Please email us at Join@PurePCG.com. We also welcome all comments, and will assist you with any advice you may have.

Real Estate is a Business!

We recently received a letter regarding an agent that was no longer a Realtor and wanted to invest no money whatsoever and wanted to work as an agent. In theory, this sounds great of course, but the reality is that buying and selling Real Estate is a business. As Realtors, you have your own independent business. We are here to help with that. We have a plan for you every step of the way, and this blog is here to empower all Realtors. We are also here to help homeowners and home buyers with free advice.

If you want to be a true leader in the Real Estate industry, contact me at
Join@PurePCG.com