Is It Time For A Property Manager

Renting a property requires a broad skill set to match an ever-changing set of challenges. What you might have been able to handle at one point in your career as a landlord may alter over time.

Read on for the aspects of property management that might inspire you to call in reinforcements to help you out.

Maintenance
If your stable of properties has grown, you feel like you’re losing money on repairs, or you’re just short on time, you might want help with property maintenance.  Consider how a landscaping service might do more work than you can comfortably, saving you hours that could be put to other use.

Interacting with residents
If you have a number of residents or have your properties scattered throughout the area, collecting rent and dealing with all the issues residents might have can become time-consuming. A reputable property management company can take the headaches away by collecting rent, keeping units rented, and dealing with resident problems. Property managers can also help you stay on top of maintenance, legal issues and affordable housing program paperwork. The peace of mind you get from the help will likely make the service worth every penny.

Keeping up with laws
Housing law is in constant flux. From rent control to changing codes, you need to be on top of it all to stay compliant. If you’re already feeling overwhelmed, a real estate lawyer might make your life easier by making sure you are up to date legally and that your property insurance provides adequate protection, for instance.

Taxes
If you’ve been brave enough to manage your taxes on your own, hats off to you. With a single rental property, there is a lot to keep track of in terms of deductions and how much tax you owe. With more than one property, the paperwork increases significantly.

When to buy real estate

Many people question when is the right time to buy real estate.  The real estate market had become overpriced and we went through a recession when prices fell.  Recently prices have recovered.  Should you wait to see if they go back down or should you buy now?  Nobody can accurately predict everything that will happen in the future but a good real estate agent can help you make the best decision.  Do I think prices will go back down soon?  There is an article in Mortgage News Daily that says that in the fourth quarter of 2012 home prices showed a rate of annual appreciation greater than in any quarter since the end of 2005.  That makes me think that now is a good time to buy.  But it is only a decision you can make and Landmark is here to help guide you in your decision. 

Omaha Economy

There was an interesting article in the paper on how the real estate market is doing well. Very informative. One thing is for sure 2013 should be an interesting year in real estate.

http://m.omaha.com/om/db_90936/contentdetail.htm?contentguid=Ao12601X

Cheapest Decorating Tip with Biggest Impact

Paint is the best way to decorate on a budget. Let's continue painting, but move to the walls. But let's go a step beyond just painting the walls. Let's paint wall designs!

My husband and I just completed painting our basement family room. It had a been a dark green flat paint, and it made the basement feel like a dungeon. We chose a lighter eggshell paint and wow! What a difference. But I decided to take it a step further and paint some designs. I will post pictures in an upcoming post. But for now, let's take a look at some of the possibilities.

Tools needed: A level, tape measure, pencil and blue painter's tape... and a calculator if you're not very good with math. The rest is up to your imagination. Take a look at some of these colorful ideas.

Happy Painting!

What is a Good Economy for a Real Estate Investor?

Recently I was reading through Dave Paladino's blog and I came across a post that really caught my eye. It correlated with everything I've been reading about what a great buyer's market we are in and how the able-bodied should seriously consider investing in some form of real estate.

Dave wrote this post on Sept. 20, 2009, which is eerie because it sounds as if he's describing the Omaha we know today. A good economy for real estate investors, he suggested, looks different than a good economy for the rest of the business world:

1. High interest rate environment. Landlords compete with house payments, so the higher rates our competitors charge, the more we can also charge in rents.
2. Tight lending standards. If it is hard for people to borrow money, they are more likely to rent.
3. Less new construction of apartments. All business is supply and demand. The lower the supply, no matter how small, the less competition you have.
4. Big employment growth/low unemployment. [This wasn't in his original posting, but just to put Omaha's standing in this area into perspective, our unemployment rate is 4.7% and the U.S. average is 9.1%. Although our job growth, according to Sperling's Best Place is .09% - not very high.]
5. Net population increase. The more people looking to rent, the better. [According to the Greater Omaha Economic Development Partnership, Omaha has grown 12.8% in the last ten years and a 5.5% growth is projected for the next five years.]
6. High foreclosure rate. People have to live somewhere. It's not as if the demand for housing goes away.
7. Families living separately. This one is hard to measure, but it is really good for our business. Say a family has five adult children and they all live at home. It is definitely better for property owners if all these people live in separate units.

Lessons We Can Learn From the Recession

As a homeowner are you worried about the value of your home? As an investor are you wondering how to know the best time to buy and the best time to sell? With recession still in the air and moving out slower then most people would have predicted, all property owners are pensive about the future.

I recently read an article on Inman News called "5 bright spots in real estate recession". While he refers to these trends as 'bright spots' I see it more as lessons for all property owners to take to heart and learn from.

1. People now buy for the long term.
Don't take a short-term view of the investment property you purchase or your primary residence. Keep your properties for a longer period of time then in the past.

2. Dysfunctional properties are being weeded out and creatively reused.Investors in real estate need to look at taking dysfunctional properties and turning them into something useful for the community.

3. American housing stock is getting an energy-efficient upgrade.
Instead of moving to a newer home check out upgrading your home with more energy efficient water heaters, doors and windows.

4. People are making more responsible mortgage decisions and building financial good habits in the process.
If you are in the market to purchase property plan ahead by saving money for a down payment , keep your credit good so that you have a good FICO score and can get the best loan. Once you do get your loan, read your loan documents carefully and use a REALTOR® to help you get the best price for the property and have someone knowledgeable on your side that's working for your best interest. Something you may not know, Landmark REALTORS® offer free buyer representation.

5. Our feelings about debt and equity have been reformed.
Don't refinance to pull out money to pay off other debts or buy other items you want. Let your equity in your home just build up, otherwise you will get caught up in overspending. Concentrate on paying your principal down to avoid being upside down on your mortgage.

If you have questions about purchasing or selling a property for your personal residence or for an investment call our knowledgeable REALTORS® at Landmark Group at 402.55.8111 and they can help you navigate through the process, or check out our website at http://landmarkomaha.com for more real estate information.

Home Ownership

I read a great article about Home Ownership in the Omaha area Board of Realtors June of 2011 edition of Focus called "Why Home Ownership Matters." It broke it down how it matters to people, to communities and to America.

The points in the article made prefect sense as to how home ownership effects so many different aspects. Home owners are happier and healthier; it's the best way to build long-term wealth, not to mention the mortgage interest and property tax deductions. It reduces crime and supports the upkeep of the neighborhood. Plus, we have probably all heard the advertisement that it pumps $60,000.00 into the economy for every house purchased. WOW! And it is the American Dream to own your own home and have a mortgage burning party when its all paid off. Certainly something to look forward to!

For more information see REALTOR.org/Homeownership or contact Landmark Group and speak with one of our experienced REALTORS®.

Source: Omaha Area Board of Realtors, Focus, June 2011

Buyer's Agent

A common misconception among real estate rookies is that when buying a home, you call the agent whose picture and information is shown on the for sale sign, the handouts and flyers. But this is not the right step! Those people looking to purchase a home need to find a buyer's agent to represent themselves. The agent whose information is associated with the property is representing the seller of the house. Not the buyer! That agent has the seller's interests in mind and if any conflict arises, they will favor their client first and foremost.

A buyer's agent can be considered your personal home shopper. They scan the real estate listings available in your area and narrow down the options based on your lifestyle, taste and budget. They want to help you find the property of your dreams. And they help you through the thick parts - contract negotiations, walk-throughs, closing documents, etc.

The best part about hiring a buyer's agent? The seller of the home is responsible for their commission! Meaning you don't pay a dime for your agent's outstanding service. The reason the seller pays the buyer's agent is because they are trying to sell their home - they want agents seeking out their property and bringing in potential buyers.

So remember next time a property catches your eye, call your REALTOR® to assist you further. And if you don't have a REALTOR®, find one you know you can trust and who will act with your best interest in mind.

Landmark Group Website

www.landmarkomaha.com

Yesterday afternoon Lauren published the new website that her and I have been working on for Landmark Group. The project has taken us about 4 months to complete- from a vision board to the final product.  The reason we decided to redo the site was because we noticed that a lot of our services were not being communicated clearly to our customers.

The most important thing to Landmark Group as a business is to be able to effectively communicate to our current and potential clients all of the services that we provide within the Management, Maintenance and Sales divisions of the company.

My favorite sections of the new site are the employee pages where you can read survey questions about each person, and the neighborhood sections that showcase the city of Omaha through pictures, descriptions and links.

What are your favorite sections? Leave a comment below to let us know!

About Landmark Omaha

Check out this video we just shot of Dave Paladino, Landmark Group's Owner and President, talking a little bit about the company - who we are, what we do best and why we're different than the other guys. It's going on our new website that will go live next week, so watch for it!

Feel free to contact us with any questions or comments, (402) 553-8111, or come in and see us at 2702 Douglas Street, Omaha, NE 68131.

Are There Any Reasons NOT to Buy a Home?

I found this great article from About.com, and it discusses ten reasons why someone might not want to become a home owner. This is one of the biggest purchases most people make in their life, so make sure you know it's what you want before it's too late. Scan the list below if you're on the fence about this decision. If more than one of these reasons applies to you, you should become weary of taking the plunge - consider other options such as renting a home or leasing a unit in an apartment complex.

REASON 1: NO DOWN PAYMENT

Excluding VA loans and a smattering of first-time home buyer programs, you will need to make a down payment to finance a home purchase. This amount can range from 3.5% of the sales price for an FHA loan to a minimum of 10% for a conventional loan. The best interest rates are offered to those buyers with 20% to put down.

REASON 2: BAD CREDIT

Bad credit can disqualify you from obtaining any mortgage. Those with credit scores below 620 might find hard-money sources that will lend on a home, but the interest rates and fees will be through the roof. A higher interest rate equates to a higher mortgage payment. If you have borderline credit, consider waiting, and making changes in your spending habits to improve your FICO score.

REASON 3: HIGH DEBT RATIOS

Lenders change the rules all the time for debt ratios. If bills eat up 50% of your gross income every month, you probably cannot afford a mortgage payment on top of those expenses. Because lender guidelines have changed since the mortgage meltdown of 2007, your debt ratios will need to be line or you will never get through underwriting. Consider paying down or paying off your credit cards before buying a home.

REASON 4: LITTLE JOB SECURITY

If you have reason to believe that your job may be in jeopardy, now is not a good time to buy a home. Many home owners who go into foreclosure end up in that position because they have lost their jobs. Unemployed individuals often place priorities on buying groceries and putting gas in their car over making a mortgage payment, hoping they can make up the mortgage payments later. Instead, they tend to go deeper into debt.

REASON 5: WHEN RENTING IS 50% CHEAPER THAN BUYING

If your main objective is to put a roof over your head, consider whether it's smarter to rent than to buy. In some real estate markets, it can be a bit of a stretch to meet the financial obligations of home ownership when rents in those areas are 50% lower than a mortgage payment. When home prices are so high that few buyers cannot afford to buy their first home, you may be better off renting and paying less for that roof.

REASON 6: TEND TO MOVE EVERY YEAR

Buying a home is generally a long-term commitment. If you love the excitement of new digs, which makes you want to constantly change your environment, you may find that it's impossible to sell your new home in a relatively short period of time without absorbing a big loss. The reason many people buy a home is to build equity, and it's very difficult to build equity if you're buying and selling at the drop of a hat, especially in areas where appreciation is little or none.

REASON 7: UNSTABLE RELATIONSHIPS

Although many single people buy a home, especially single woman home buyers, often a home buying purchase is made with a partner or spouse. If your relationship with that person is unstable, what will you do if you're relying on that person's income and support to make the mortgage payment, and that person vanishes? At that point you could be facing a short sale or, at the very least, a loan modification, both of which affect credit.

REASON 8: DECLINING REAL ESTATE MARKET

People who buy homes in declining markets often watch in horror as their equity disappears when the market continues to fall. Home buying in a falling market means if you put down 20% and the market falls another 5%, you have now lost 25% of your investment. Poof. Gone. Out the window. The only way that it makes sense to buy in a falling market is if you buy below the comparable sales. If you try to time the real estate market and buy at the bottom, your predictions could be wrong.

REASON 9: CONSTANT TRAVELING

Let's be serious here. If you travel all the time, why would you want to buy a home? Some people say condos are a good choice for people on the go; it's called a lock-and-go lifestyle. They feel that other owners in the condo complex will watch over their home in their absence and nothing will happen. Well, what about that homeowner association fee that is due and payable every month for services that are used once or twice a month? That could be a huge waste of money.

REASON 10: EVERYBODY ELSE IS DOING IT

It's a fact that in seller's markets, buyers often end up in multiple offer situations. That's because in those markets, inventory is tight and demand is high. When you buy a home in a seller's market, you have little negotiating power and often will pay more than the list price. You'd be much better off buying a home in a buyer's market, when there are fewer buyers competing for larger amounts of inventory. You don't always have to follow the crowd to make a wise financial decision.

** This article was written by Elizabeth Weintraub who has 30+ years in the real estate industry and is currently a full-time broker-associate at Lyon Real Estate's midtown Sacramento office.

New to Landmark

I am new here at Landmark. This is only my 3rd week. I dont know much about Real Estate, but I can tell you that Landmark is a great company to work for and do business with. We are like a family in the office and we care about our customers and tenants. Come check us out for a home to rent or buy at landmarkomaha.com.

Protect Your Homes Value Against Neighboring Foreclosures

Foreclosed properties are hot on the market, and can make your neighborhood look like a hot mess. Often times these properties are left in limbo while the owner and bank wait for the process of foreclosure to be settled. 

So what do you do when the house next door is vacant, has grass 3 feet high and broken windows?

Check out the following tips from Melissa Dittman Tracey's article, "Battling the Neighborhood Eyesore."   Realtormag.com. Realtor Magazine, n.d. Web. June 2011.

1. Notify the homeowners’ association.
• Most HOAs will pay to have the grass mowed and take care of maintenance issues, and then tack the expense on to the HOA bill, which will have to be cleared by the bank before the property sells.
2. Make property boundaries clear.
3. Help with cleanup.
• Stepping in to help with the maintenance can be tricky. Regardless of your good intentions, your actions could be considered trespassing. First figure out who owns the property, which can be a challenge in itself, and then offer your assistance.

Identifying Character

Over the last couple days I've had the pleasure of spending time with my 26-year-old nephew who is trying to break into the pro golf circuit. He came to Omaha to play in a qualifying match at Tiburon Golf Course, trying to earn a spot to play in the upcoming Cox Classic. Although he didn't play or score well enough to earn a spot this time, he knows what he has to work on and will continue on his quest.

What I personally learned from watching him play is that almost all of the golfers trying to qualify for the Cox Classic shoot the same scores. There will be the few that shoot very well and make it into the tournament and there will be the few who shoot horrible, but the majority of the golfers will be in the middle - not good enough to make the tournament but not the worst scores either. So these "middle" golfers need to work on some aspect of their game that will move them up and out of the middle.

I think the same is true with real estate companies. Essentially all the companies provide the same service, but if you want to be the company that people hire - you need to provide that one additional item - something that distinguishes you from the rest.

Landmark Group certainly does that! We work with all real estate categories, meaning that we not only deal with residential properties but commercial as well. And not only do we just sell real estate, we lease and manage properties. As part of a full-service real estate agency, Landmark employees are exposed to all aspects of the industry, not just one small area - we aren't called your intelligent real estate experts for nothing!

“Flipping”

This is a common phrase. Some people find it to be a cheesy way to turn a profit and others seem to think it’s easy. I believe or better yet - know - it is neither. The ones who say it is easy probably only watch the TV shows.

If it was as easy as the shows on TV, then everybody would do it. In “flipping” you must move fast and know a good deal when you see one. You must have the right people in place. This means a REALTOR® willing to tell you when it’s a great deal and when the margins are too tight to make this worthwhile.

The idea is to get the house ready to sell ASAP. This doesn’t mean fix the house to the bare minimum causing problems for the buyer down the road. If you go a little further in the renovation, typically the buyer will recognize this and will pursue purchasing the home. Going the extra step may mean making $15,000 instead of $20,000. But if the property sells in the first two weeks instead of a month or two later, you may actually save some of the $5,000 difference. It will also allow you to sleep better at night. The idea is to sell a quality house quickly and move on to the next one. If you can sell it faster and allows you to duplicate the process, the $5,000 can easily be made up for.


Thank you,

Chris Bauer
Real Estate Investment Advisor
Landmark Group
Cell: 402-510-1300
Fax: 402-916-4051

Go to www.Chris-Bauer.com for real estate tips and information!

Welcome to Landmark Group, "Your Boutique Agency"

Landmark Group Omaha is a full service boutique agency offing residential and commercial sales and leasing, also property management. The last three months have shown a significant increase in property rentals.

If you are in the market of buying, selling or just plain looking for a good ol' rental property contact Landmark Group Omaha and give us a try. We are the home of the no deposit special!!

Living in Downtown Omaha, Nebraska

What is your favorite area of Omaha? Are you a downtown dweller or an Elkhorn suburb lover? No matter what your preference, we want to see pictures of your favorite parts of town!

Landmark Group is going to be unrolling a BRAND NEW website focused on Omaha Real Estate, and one improvement we are making to the site is to include more information about the different and diverse neighborhoods that Omaha has to offer.

For this week's "Neighborhood Focus" check out the pictures below of the NoDo (North Downtown) and Downtown areas!

Leave a comment with your favorite part of town! If you would like to submit pictures for the website, email them to lauren@landmarkmg.com!

Bringing Real Estate and 3D Modeling technology Together

Nearly everyone has Google Earth software, if you don't, then come out of your cave and GET IT now. Check it out again, you will find that more and more you are seeing 3D models of buildings. Open up Earth, go to Omaha, NE. Type in the address for Landmark Group, 2702 Douglas, Omaha, NE and you will see a 3D model of the corporate headquarters. I built this model in relatively short amount of time. Also check out 2725 2nd Avenue, Des Moines, IA.

This is a link to a PDF brochure from a company that is taking this marketing tool to the next level. It is very informative, and helped me visualize the blending of this technology into the real estate industry marketing tool bag. Click here to see the PDF.

All agents and brokers already have the home or building size and measurements and the digital photos (more would be needed though) What they need are the 3D models. The software is called Google SketchUp. It's a free download. I have used the program for a couple years on and off. If I can be of assistance to anyone at Landmark Group interested in pursuing this as a marketing tool, just send me a email - dale@landmarkmg.com

Isaiah 55:9

"As the heavens are higher than the earth, so are My ways higher than your ways and My thoughts than your thoughts." Isaiah 55:9

Most nights I try to do a short Bible study with my kids and last night the Bible verse that came up was Isaiah 55:9. The context of the Bible study was that God has a plan for our lives and it is not always clear to us what this plan is as things are happening in our life.

I think a lot about this in the business world, especially in light of what has been going on in the economy in the last five years. On a regular basis, we see peoples' life savings vanish because of decreasing real estate values in Omaha. The take away from this verse is that we have no idea what God has planned for our lives. For example, read the story of Abraham Lincoln's life. When his fiance' died, Abraham Lincoln thought it was the end of the world as he knew it. Yet ten years later he was elected President of the United States. Think how this may relate to someone you know.

Make The Right Move Omaha

"Success is not final, failure is not fatal;
It is the courage to continue that counts."

- Winston Churchill

---------------------------------------------

In the Omaha/Metro area, a new campaign is being launched called Make the Right Move Omaha. This campaign "will be honest and forthright in terms of presenting the current situation and it is designed to educate and provide confidence in the local market to spur home buying and selling."

According to this campaign, every eight out of 10 Americans believe this is a great time to buy but remain hesitant to actually do so. The Omaha Area Board of Realtors conducted a survey last winter about Omaha's economy and housing market. Of all the homeowners and renters questioned, 90% said interest rates are low, 80% agreed there are a plethora of homes in the market to choose from and 70% believed that homes are more affordable than ever before.

Despite their positive beliefs about the market, Omahans are still not buying. Either they fear losing their job and not being able to afford their home or they don't want to hassle with financing. They also think their current home won't produce the value they believe it should. Which is why the MLS Board of Directors came up with this campaign - they want "to educate potential home buyers and sellers in the metro as to the economic conditions locally and to spur a renewed interest in buying or selling a home."

But back to the Winston Churchill quote above - nobody can promise that you purchasing or selling a home will result how you hope. Similar to the 38,000 homeowners surveyed who said they had thought of buying/selling in the last two years, you have to take a chance. Like Churchill said, the courage to move forward is what counts in the end. The courage to put your house on the market to accomplish your dream of moving to Bali. The courage to buy the new home you've had your eyes on - it may be a leap of faith but it could also be the best decision you've ever made.

No one but you can decide if buying or selling is the right move, but at least Make the Right Move Omaha can help educate you in an honest way about this complicated process. Omaha is a lucky city to have such great resources.

--- Check out their website to take the next step in the process: http://www.maketherightmoveomaha.com/