Issues In Real Estate

Issues In Real Estate



Issues in​ Real Estate
When we speak of​ the​ real estate economy, we use national statistics but speak locally .​
On the​ other hand the​ stock market is​ based on the​ national or​ even the​ world economy .​
The real estate markets are based on local or​ even micro-local economy .​
What is​ happening in​ LA may not directly affect what is​ happening in​ Toledo .​
What affects all real estate markets together are the​ interest rates .​
There is​ no single barometer to​ measure the​ entire housing industry in​ US .​
So, while statistics calculations and​ economic factors are relevant, equally important is​ using one’s common sense .​
We must keep our eyes wide open and​ take a​ look around and​ see what is​ happening .​
Talking to​ real estate agents, investors and​ lenders in​ a​ particular area can be a​ big help to​ access a​ market.
These are certain issues one must consider while dealing in​ real estate.
One major issue facing corporate real estate managers is​ how to​ effectively manage the​ real estate assets in​ the​ current market environment.
Secondly, real estate agents provide information about utilities, zoning, schools etc .​
But two common issues a​ buyer faces while buying are-
i .​
Will the​ property provide the​ right environment we want for​ a​ home?
ii .​
Will the​ property have a​ good resale value when we are ready to​ sell?
Another important issue that any buyer/investor faces is​ the​ legal issue .​
Real estate laws vary from state to​ state .​
One must consult an​ attorney licensed to​ practice law in​ the​ state in​ which the​ property is​ located.
At times, the​ property a​ buyer is​ seeking is​ available but not properly advertised .​
It may take you some time and​ effort to​ search for​ and​ locate the​ right property .​
The important issue of​ finance .​
We must know our financial reserves plus our borrowing capacity .​
If we know about our current savings, income and​ debt, then we can take help from lenders; banks and​ mortgage companies, which offer some choices according to​ your financial capability .​
In America, some real estate association and​ commissions have sponsored regulation that require all real estate brokers to​ provide a​ minimum level of​ services which forces sellers to​ buy services they do not want or​ need .​
There is​ the​ issue of​ rebates on transaction fees .​
Some states in​ America allow rebates of​ commissions or​ fees on real estate transactions but some states have legislated regulations which prohibit rebates.
Next is​ the​ issue of​ consumer participation .​
The consumer federation of​ America released a​ study that real estate boards and​ commissions are dominated by real estate practitioners and​ they recommended greater participation by consumers; which is​ opposed by practitioners – this works against the​ interest of​ ordinary buyers and​ sellers .​
Last but not the​ least, a​ lot of​ hoopla has been floating around in​ the​ news media about the​ ‘bubble’ theory of​ real estate and​ that the​ real estate market is​ going to​ burst – this may have a​ psychological impact on the​ potential buyer or​ seller.




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