Effectively building commercial real estate wealth requires the ability to spot a great bargain and the ability to sell that property well, no matter what the state of the market. The real estate market is notoriously cyclical in nature and somewhat difficult to predict.

1. toby mcCosker - Effective Real Estate Strategies for Slow Markets
Speeding Commercial Real Estate Sales in Slow Markets
Effectively building commercial real estate wealth requires the ability to spot a great bargain
and the ability to sell that property well, no matter what the state of the market. The real
estate market is notoriously cyclical in nature and somewhat difficult to predict. The market
for local and national real estate can turn quickly and it is important for every investor in
real estate, from the largest player to the smallest, to have strategies in place for selling
properties in down markets.
In a hot real estate market, of course, little marketing is required. toby mcCosker has
heard the stories of bidding wars breaking out in the residential market at open houses in
California and elsewhere. In the commercial world, it's not unusual to have 30, 40, or more
institutional and private investors bidding on a piece of prime commercial real estate in a
strong urban market. In these kinds of markets, all a Seller needed to do was hang up a
metaphorical "For Sale" sign and wait for the hordes of buyers to appear.
Of course, these markets do not last forever. Lately, we're seeing some pressure on cap
rates as short term interest rates have climbed in response to the Fed's tightening. Those
formerly "hot" markets have become "luke-warm" markets and are cooling further. As
prices for residential and commercial real estate spiraled ever higher, more and more
buyers found themselves priced out of the market. Even the creative financing schemes
created by mortgage lenders often failed to close the gap. In hindsight, the downturn
seemed inevitable, but many failed to see it or prepare for the inevitable slowdown to
follow.

2. The market will tell you what you property is worth, regardless of what you think. Price the
property realistically, especially in a down market. toby mcCosker said that it is important
to understand that the value of a particular piece of real estate is derived not only from the
underlying value of the property itself, but by market conditions.
Offer incentives to attract buyers. Offering unique incentives can go a long way to boost the
attractiveness of a particular piece of property and help you stand out from the crowd.
Some sellers are including perks like free plasma TV's, vacations, sporting event tickets, and
other unique incentives. What's important to note about these offerings is that while they
represent a very small percentage of the value of the property being sold, they create
traffic, interest, and distinguish you from the competition.
Don't overlook the value of curb appeal. How your property looks from the outside is an
essential part of marketing, called "packaging." Enhancing your property's curb appeal can
often be achieved with little expense. Consider painting, re-landscaping, signage, and minor
parking lot repairs. Between two similarly priced properties, the better looking one will
probably get sold faster.
Real Estate Investment Strategy
There are a number of different ways that one is able to make money through real estate.
There are a number of options for you if you are looking to invest in the world of real estate.
You can actually invest with no money down, try your hand at flipping houses, go through
the process of buying and holding (basically you buy a property when the market is low and
sell when the market is high), and possibly even sell your own strategy at making money
through a variety of methods. However there are some ways of investing in real estate that
are literally quite simple and something that could be done by everyone who is trying to
make money.
As a home inspector there are great opportunities to meet those people who are real estate
investors. Real estate investors on the whole are known to be a different group of people.
They are known for their characteristic things that they do like driving older cars when they
are attending the fanciest parties and going to premiere places even though they are worth
millions. Further they are known for their willingness to take risks and to be able to always
know that they have some financial security. Some people choose to play the stock market
but these individuals are at risk of losing a lot of money if the market falls. However with
real estate investment there is really no chance of losing money. There is always something
that can be done to a property to make it more marketable and easier to sell.

3. When you are first starting out it is important to not get discouraged as the chances of
making some big mistakes are great and there is a very slim chance that you will go through
life without making any mistakes. One popular strategy for investing in real estate was
originally coined by Preston Sandlin and is called "locked and loaded."
The way that this process works is to be able to take out a home equity loan on your current
home or property. After taking out this loan you purchase a home that needs a lot of repairs
and can be flipped. The next thing to do is to flip the home, then have the home appraised
and take out a traditional loan on the property. Then with the money pay back your home
equity loan and use the new home for whatever purpose you have in mind. Since the equity
is back into your home you are "locked and loaded" and can afford to purchase a second
house to start flipping based on the home equity loan. Further there are a number of
different options for you at this point. You can either rent the home that you flipped or put
it back into the market and try to sell it for it's newly appraised value. Once sold you pay off
the loan and can start investing the money that you made into more houses to flip and
make money on.
Even though this real estate strategy has been known to work for those who have tired it
there is a chance that it might not work for you. Remember not to be discouraged and to
keep looking until you find the real estate strategy that works best for you. This is what will
help you to be able to earn the most money in real estate investing.