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Home ownership, has been considered, an essential component of the so – called, American Dream, for generations! However, every potential, qualified, buyer, does not seek the same things, nor, necessarily, has the same combination of needs, priorities, qualifications, necessities, and finances! Therefore, not only, must these people, proceed, without rose – colored glasses, and have, some focus, on balancing their needs, and wishes, as well as comparing it to their personal finances, etc, but, nearly all, would benefit, by hiring the right, professional, real estate agent, to meet their personal, best – interests! Since, for most, the value of their house, represents, their single – biggest, financial asset, doesn’t it make sense, to take the time, and make the effort, to carefully, interview, prospective agents, to choose, the one, best, for you? A great agent, realizes, he must, be ready, willing, and able, to FIND the right house, for his clients, based on their personal needs, necessities, and requirements, in an attentive way. With that in mind, this article will attempt to, briefly, consider, examine, review, and discuss, using the mnemonic approach, what this means and represents, and why it matters.

1. Face facts; features; funds/ finances; future; feelings: Begin the process, facing – the – facts, in a realistic way, because, if, you, merely, seek to Keep Up With the Joneses, rather that, what your personal needs are, it won’t serve you, effectively! Evaluate, the features, you need, versus, those you like, know what you can afford, as well as the quality of the, Bones of the House! Realistically, know your true feelings, by giving yourself, a thorough, self – analysis, and/ or, check – up, from the neck – up! It’s also important to consider future issues, including family needs, affordability, and whether, you plan to live there, for a considerable period, or only, as a so – called, Starter Home!

2. Instincts; insights; inspiring: Many homeowners discover their home, inspires them, and, have the instincts, to realize, what means the most, to each individual! The greatest agents respect and understand these feelings and perception, and proceed, with the expertise, and insights, which best serve a client’s best – interests, etc!

3. Needs; nuances/ niche; neighborhood: Before buying a house, a potential buyer, should walk – the – neighborhood, and discover, if he would feel comfortable, and, truly, enjoy, living there! True professionals know and understand their client’s needs, perspectives, and priorities, and respect these, thoroughly, while addressing the nuances, and niche, which might provide the highest – quality, personal service, and representation!

4. Delve deeply; discourse; deliver: You can’t customize, properly, unless/ until, one delves deeply, and listens carefully, during the entire discourse, emphasizing, delivering, the best house, for the particular client!

How a quality real estate agent, proceeds, forward, to FIND the best house, for a client, differentiates the greatest ones, from the rest – of – the – pack! Doesn’t it make sense, for a prospective buyer, to carefully, choose, who, he hires?

There are millions of licensed, real estate agents, brokers, etc, in the United States! Only, a small percentage of these individuals, however, are responsible, for the majority, of all the transactions, etc, however! The finest professionals, consistently, put, their clients, best interests, first, as well as consistently, proceeding, with the highest degree of personal and professional ethics, and integrity! Although, a combination, of a variety of skills, behaviors, abilities, attitude, etc, are important, and necessary, this article will attempt to look, specifically, at 5 specific areas, in terms of the most essential characteristics, etc! With, that in mind, this article will attempt to, briefly, consider, examine, review, and discuss, these items, and why they matter.

1. Client – first, ethical behavior/ focus: To serve and represent his clients, effectively, the finest professionals, consistently, proceed, with the highest ethical behavior and standards (ethics), and putting the best interests of his clients, first! Most states, and associated, real estate boards, require, conformity, with their Code of Ethics, but, the best agents, go further, consistently!

2. Pricing: Markets change, times change, and so do, needs, and market conditions and types, so the finest professionals, are experts, at pricing houses, according to specific, current conditions, and the local market, etc! It is important to realize, there is usually, a significant difference, between, listing, and selling prices, and buyers, and sellers, must realize, these differences, etc. If you are a homeowner, you need an agent, who, proactively, suggests pricing, based on local conditions, current trends, and, to a great extent, using a Comparative Market Analysis, etc.

3. Marketing: Great agents must be experts, in both, marketing, and selling houses. Marketing refers to the process, and actions, to attract, qualified, potential buyers, and taking the steps, and using the means, which get it done! On the other hand, selling is bringing the deal, to fruition!

4. Negotiating: Creating a meeting – of – the – minds, between a homeowner, and a well – suited, interested buyer, requires professional expertise, when it comes to negotiating, and getting the best deal (for his clients) done! When representing a seller, it means doing, everything, possible, to create, a combination of the best available/ plausible, price, at the best – terms, in the shortest period of time, in an effective, responsible way!

5. Pay attention to all details, and obstacles, from start, to finish: Great agents must pay keen attention, to all, related, details, from the start, to the closing! He must be prepared for all eventualities, and obstacles, handling these, in a positive way, as challenges, to overcome, instead of being overwhelmed, by perceiving them, as problems! It often means, holding one’s client’s hand, throughout, the entire transaction period!

You have a choice of selecting the right, real estate agent, to represent you! Since, for most, the asset value, of a house, is their single – biggest, financial asset, doesn’t it make sense, to interview, carefully, and choose, wisely!

There are many emotional factors connected with the ownership of Real Estate. Do the historical returns on Real Estate investments justify the confidence so many investors have in them?

The ownership of land has been something that has been rooted deep in the minds of man. Land is seen as the one investment that is solid and permanent. The American Dream has long included the ownership of your own home, but when you move beyond this natural impulse to own property that you can call yours and look at Real Estate purely from an investment opportunity, how does the picture change? Have the historical returns on Real Estate Investment measured up to the confidence it has received.

The answer is a cautious yes. Between 1926 and 1996, the annual average rate of return on Real Estate was 11.1%. During the same period the rate of inflation was around 3%. So, it was obviously a better investment to buy Real Estate than to bury cash in jars in your backyard. However, the rate of return for small stocks checked in a bit higher at around 12% while the Dow Jones Industrial Average was a bit lower at 10%. These figures would suggest that Real Estate investments were right there at a par with Stock Market Investments.

Real Estate Investors might want to make the claim that land ownership and its value as an investment predates the Stock Market by thousands of years. They will point to the role that the ownership of land played in the Middle Ages in determining wealth and even nobility. This is true, of course, but in many ways irrelevant to a discussion of the historical returns on Real Estate investments. The new global economy has created a whole new playing field and return of investment must be determined within the scope of this. It is all well and good to study the past to get clues to the future, but in investment the past only offers clues and not answers.

A look at the historical rates of return on Real Estate investments shows that they tend to be more stable and less likely to spike up and down in erratic and unpredictable fashion like the Stock Market. Many investment advisors suggest all portfolios have at least 10% invested in Real Estate for a hedge against market fluctuations. On the other hand, Real Estate investments tend to have high transaction costs and to be in larger units. All properties are unique and each has its own characteristics and potential.

These negative factors have led to the popularity of investments in Real Estate through REITs which are Real Estate Investment Trusts. REITs are a sort of mutual fund of Real Estate which gives investors a way to invest in Real Estate without the problems of high transaction costs or property uniqueness. If you are considering Real Estate investment, either on an individual basis or through a REIT, the historical record should give you some confidence. As much as past performance can reassure us of future success, Real Estate’s past has indicated that it is a safe, sound, and high return investment.

Is real estate still a good investment? As a landlord dealing with sometimes rowdy tenants or unexpected repairs, you may wonder whether or not it’s still worth it. Despite these headaches and the ongoing doom and gloom reported about real estate prices, owning investment real estate continues to provide a number of benefits. Buying a property offers a number of favorable tax benefits, a way to generate income, diversify a personal investment allocation and in some cases have a tenant pay for your personal housing expenses.

As an investment property owner, you can deduct a host of expenses connected with operating the property including mortgage interest, property taxes, utilities and repairs. Aside from actual expenses incurred, property owners also benefit from a valuable non-cash expense: depreciation.

Losses generated from rental activities are typically considered to be “passive activity losses” with an exception for real estate professional. These losses can then be used to offset other passive income from another real estate investment or another type of passive investment such as in a private limited partnership. Disallowed passive activity losses and credits are deferred until there is passive income generated or the property is disposed in a taxable transaction.

Like all good rules there are exceptions. Although “passive activity” losses by rule must be used to offset other passive activity income, there are additional tax benefits available to those who are low- or middle income earning households.

For those who have adjusted gross income below $100,000 and “actively participate” in the management of the rental property, a real estate investor may use up to $25,000 in passive activity losses to offset non-passive income like income from wages or a business.

This remains one of the few tax shelters available to moderate income taxpayers. And like any other gift from the IRS, it comes with certain strings attached. In this case, the ability to use this passive activity loss exception phases out above certain income thresholds starting at $100,000 of AGI reduced $1 for every $2 of income above the threshold until eliminated at $150,000 AGI.

The key to “active participation” generally means involvement in management decisions about the property. Choosing the kind of paint or wallpaper? Reviewing bids for different contractors? Collecting the rent? All may be considered part of the active participation of the property owner.

After, over 15 years, as a Real Estate Licensed Salesperson, in the State of New York, I strongly, believe, in order to maximize one’s potential to succeed, profit, and be happy, with any real estate purchase, decision, etc, it is important to proceed, wisely, carefully, and in a well – considered manner! I refer to these, often, as the truisms, of any involvement, actively, related to this industry! Since, for most people, the financial value of their house, represents, their single – largest asset, doesn’t it make sense, to proceed, as wisely, as possible, in an informed way? With, that in mind, this article will attempt to, briefly, consider, examine, review, and discuss, 5 essential, realistic considerations.

1. Don’t try to market – time!: Very few, are able to, and lucky – enough, to market – time, when it comes to this, specific industry, and component, of our economy! Rather, one should consider, several other factors, including: affordability; ability to meet present and future needs; liking the specific neighborhood; financial/ economic issues; etc.

2. Will it be a starter – home, or, longer – term?: From the onset, it is wise, to consider, whether the specific house, will be, a starter – home, or one, which you keep, for a longer – term! This process makes it easier, to make the best decisions, in terms of the specifics of a house, such as size, rooms, features, and needs/ priorities! Obviously, one can’t accurately, predict/ read, the future, but, if the objective is longer – term, it means planning, for a family, quality schools, and other conveniences, needs, priorities, etc!

3. Differentiate between wish – list, and, actual needs: A wise home – buyer, enters the process, with two lists: one, which is a wish – list; and the other, one’s actual needs, and priorities! This means, realistically, evaluating your personal circumstances, as well as finances, and comfort zone! The wish – list, should help one’s selection, when the actual needs, directs you to a few options, and fall – into, your budget, and other priorities, needs, and perceptions!

4. Why would you want to live in this area?: What might one specific area, offer, which makes it attractive, to you? Consider factors, such as: safety/ crime; schools; convenience to stores, transportation, houses of worship, etc; and other personal priorities, etc!

5. Why any, specific, home/ house?: What makes any, specific house, appeal, to you? Be careful, to have it inspected, by a professional Home Inspector/ Engineer, so there are far – fewer, undesirable surprises! Consider, what you feel are the highest priorities, for your home, and why? Also, identify, how a property, might enhance, or harm, your personal happiness, and well – being! Obviously, be certain, you don’t become, House – rich, but financially – poor!

If you proceed, paying attention, to these, and other considerations, your potential to make the wisest, personal decision, is enhanced! Will you be, your own, best friend?