Resources on Real Estate Investing
The U.S. SEC on Real Estate Investment Trusts
Investor.gov, the portal for U.S Securities and Exchange Commission offers some fresh insights on real estate investment trusts as a promising investment option for large-scale commercial real estate. This site explains what a REIT is, how it operate, which types of properties it acquires, and what is the investment philosophy driving this hugely successful real estate investment model. The real estate investment trusts usually involve many owners, each of whom owns a stake of the large property. Thus the trust makes it possible for small time investors to dream big and own commercial properties that they could never own by themselves. Unlike other real estate companies, real estate investment trusts do not resell, but develop a portfolio of properties to ensure steady revenue streams. Read about the risks involved in these trusts.
Investing in Hotel Stocks
This October 2015 Forbes blog post discusses investing in hotel stocks through online booking platforms. The post discusses platforms like Expedia.com, Priceline.com, and AirBnB, which limit the power pricing of the hotel industry, and help consumers take huge chunks of the revenues in the form of commissions. Both Expedia and Priceline.com bypassed Marriott and Intercontinental in revenue generation. As a result, the stocks of Expedia.com and Priceline.com outperformed those of their peers for a period of five years. This example shows the relative advantage of online investing over physical investing.
10 Reasons to Invest in U.S. Commercial Real Estate
The Coldwell Banker Commercial site indicates that the U.S. real estate market continues to attract overseas investors in spite of fluctuating currency and complicated tax laws. The article also indicates that close to 24 percent of real estate investments in the U.S. are conducted by foreigners. China now tops the list of foreign investors after replacing Canada in rate of participation American real estate market. The 10 reasons listed for investing in U.S. commercial real estate market are low property prices, low interest rates, cheap financing, attractive loan options, domestic population growth, high quality commercial properties, strong U.S. economy, tax benefits, investor Control, and rising interest among foreign investors.
Foreign Ownership of Florida Property
The British Miami Realtor in this article discusses the merits and demerits of foreign ownership of Miami properties. The foreign investor can avail of cash purchase or foreign national loan facility for easy financing. The foreign national may also consider a mortgage that typically requires a down payment of 35 percent or more for property value of at least $100,000. The listed drawback for foreign investments in Miami includes “visa restrictions” that may severely limit the number of days that the foreign national is allowed to remain in U.S. every year. As visa regulations vary based on place of origin of a foreign national, the best approach would be to check with appropriate government bodies for up to date information on visa permits.
The Best Cities to Invest in Real Estate on a Budget
The Realtor offers helpful advice on investing with a budget. Many cash-strapped real estate investors cannot think of investing in large metros as the prices are way beyond their reach. For such investors, the secondary markets in low cost cities provide a viable investment solution. As prices are likely to rise in these smaller markets, a wise real estate investor can buy and rent, buy and sell, or buy to live and rent out all of which are attractive investment choices. Home Union has come up with a list of secondary markets, based on local economies, local employment growth, and rent hike or drop patterns. The cities that feature in the Home Union list are Tampa, Jacksonville, Orlando, Detroit, Chicago, Las Vegas, Cincinnati, Cleveland, Phoenix, and Minneapolis.
Boutique Hotels Get Creative to Attract Investors
The Hotel News Now offers advice on investing in boutique hotels, which have caught the attention of real estate investors in the recent times. The strategies used by boutique hotels to gain investors, according to this article, are use of combined public and private funding, detailed underwriting, tough lending requirements, and mix use of properties. For example, one boutique hotel featured an art museum on one side of the property while housing the hotel on the other side. The limited availability of these deals has made it really tough for the investors. A lot of foreign investors from China and Latin American are now expressing investment interest in boutique hotels for the Rich and Famous clientele.
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