Archives for: November 2008, 14
5.8% Appreciation Rate for Tucson
November 14th, 2008I want to share with you some information about a property in Tucson located at 2326 South Tucson Strav. This particular property is for sale and was submitted by one of our researchers, but I'll be using it as an example. If you want to run your own full investor analysis on this property, you can do that using our Offer Generator.
In the table below I show what happens to the value with a modest appreciation rate. Can you have years where this (or any other property for that matter) go down in value? Yes. Might it not go up by as much as we are estimating? Yes. Can it go up by more? Yes. Only time will tell what will happen.
| Years From Now | Value |
| Assumed Appreciation Rate: 5.8% | |
| At Purchase | $42,320 |
| Year 1 | $44,775 |
| Year 2 | $47,371 |
| Year 3 | $50,119 |
| Year 4 | $53,026 |
| Year 5 | $56,101 |
| Year 6 | $59,355 |
| Year 7 | $62,798 |
| Year 8 | $66,440 |
| Year 9 | $70,294 |
As you can see from the table above, if we assume an appreciation rate of 5.8% per year, then the property value eventually reaches $70,294 after 10 years.
So you've found some promising motivated seller leads, and now all you have to do is talk your way through the deal. But this part is easier said then done for most of us until we've had plenty of practice. Listen in to some role playing as Jassen shows you what to ask and when as you talk to your motivated seller prospects. Don't let your local Tucson marketing go to waste! Learn the follow-up skills you will need to close deals. Check out Volume 1 here: How to Talk To Motivated Sellers: Role Playing Volume #1.
Sincerely,
James
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Renting To Tenants With Dogs - What You Should Know About Your Liability
November 14th, 2008Did you know that dog bites make up one-third of all homeowner insurance liability claims? I just read this alarming tidbit in the November issue of the AAA newsletter. If you are a landlord who rents to tenants with dogs, then this statistic should give you pause.
Many insurance companies won't cover liability for dog bites for your rental policy. Depending on the state that you live in, it is not clear that your tenant can get personal liability insurance to cover dog bites either.
Get priority e-mail notifications of new real estate deals, a FREE real estate course and more real estate investor articles. Click here!
2.9% Appreciation Rate for Tucson
November 14th, 2008Here's another Tucson property that was submitted by a user that we will use as a teaching tool for our Tucson, Arizona Real Estate Resources real estate investors. The property address, in case you want to look into it in more detail is: 5617 E Farmridge Dr, Tucson, AZ 85706.
In the table below I show what happens to the value with a modest appreciation rate. Can you have years where this (or any other property for that matter) go down in value? Yes. Might it not go up by as much as we are estimating? Yes. Can it go up by more? Yes. Only time will tell what will happen.
| Years From Now | Value |
| Assumed Appreciation Rate: 2.9% | |
| At Purchase | $87,465 |
| Year 1 | $90,001 |
| Year 2 | $92,612 |
| Year 3 | $95,297 |
| Year 4 | $98,061 |
| Year 5 | $100,905 |
| Year 6 | $103,831 |
| Year 7 | $106,842 |
| Year 8 | $109,940 |
| Year 9 | $113,129 |
As you can see from the table above, if we assume an appreciation rate of 2.9% per year, then the property value eventually reaches $113,129 after 10 years.
If you are considering wholesaling real estate, then you may also be interested in Jassen's CD: Wholesaling Volume 5: Finding Buyers. You may be great at finding good deals in Tucson, but, you need to have the final link in your wholesaling chain in place: buyers who are ready and eager to take your great deals off of your hands and put money in your pocket!
Keep on investing Tucson,
James
Get priority e-mail notifications of new real estate deals, a FREE real estate course and more real estate investor articles. Click here!