Investing in real estate has always been a favored and major source of wealth creation. Astute investors choose to invest in land because apart from enriching the investor financially, it satisfies an unnamed urge to hold and possess property. But as is always the case, any financially rewarding field is always mined with unscrupulous, fly-by -night operators and much hype. This is where real estate property advisors play an important role in navigating the minefield that is real estate. A certified property advisor can guide and lead you along the path of financially rewarding real estate investments.
Benefits of Using a Property Advisor in Real Estate:
- Property advisors are 'insiders' of the real estate business and are aware of the shifting and fluctuating world of real estate and are in a unique position of guiding an investor.
- Property advisors help make sustainable real estate decisions that are rewarding and open a steam of continuous income. Since property advisors know about a range of profitable and value added properties and their know-how of investments in real estate and assets is helpful in making valid real estate decisions.
- Property advisors are certified professionals with hands on real estate and capital market experience and they deal in investment of real estate funds. This exposure places them in a enviable position where they can advise and utilize their honed instincts to the best advantage.
- Real estate property advisors propose an efficient investment plan executed with effective minimized cost, and they later increase the investment value with the help of operational and financial management .
- Property managers work in all fields of real estate whether it is residential, commercial rentals, business, buying properties or community development.
- The primary objective of a real estate property advisor is to help an investor understand the real estate market with his knowledge. He explains all procedures and workings of the real estate in a simplified manner. His knowledge of the laws and regulations governing real estate is an added advantage.
- Since referral is the key to real estate, the property advisor can put you in touch with the right agents, brokers, lenders, appraisers and inspectors.
- The role of a property advisor is crucial as he advises and helps an investor take a decision of a property worth thousands of dollars.
Property Advisors in the Residential Market:
The single most expensive investment you make is to purchase a primary residence and it is in your interest to utilize the services of a property advisor for this major task. An experienced real estate property advisor has valuable insider information of a community and the real estate. Real estate property advisors have access to an in-depth listing of for-sale homes known as the Multiple Listing Service (MLS) which lists nearly all for sale homes in a particular are. Moreover they are privy to information about for-sale homes which are not yet on the list. This gives you a wider choice in purchasing your home.
Once you choose a for sale house, it is the fiduciary duty of the real estate property advisor to work as an advocate on your behalf, representing your best interests. Since property advisors are experienced and effective negotiators, they work out the best terms and price and ensure that the property disclosure requirements pertaining to the house have been met. Other negotiations that the advisor enters on your behalf is about the property's condition, needed repairs, closing date and what contents of the house are included in the sale price. An experience advisor can reach an agreement with the buyer that is profitable and in your interest.
A home sale requires certain information about the house that can impact your decision to buy the house. These disclosure requirements are complex and laws differ in each state. An experienced real estate advisor can ensure those property disclosure requirements applicable to your property have been made.
Property Advisors in Sellers Market:
Property advisors assist home sellers to sell off a property that they no longer want. Property advisors usually work for an investment company, who simply purchases the property. These property advisors do not charge any commission or brokerage fees. Their primary objective is to sell the property quickly.
Once you hire a property advisor and he has consented to assist you, he schedules a viewing of your property at a time convenient to you. He evaluates the property and gathers all information that is necessary to make an offer. Either the company offers to buy the property or they takeover the monthly mortgage and interest payments, insurance and tax payments as well as maintenance and repair expenses. They offer a number of options to suit your specific needs. If you choose a particular option the property advisor takes care of all the paperwork and arrangements and can close the deal in a short interval of time.
Property Advisors in Commercial Market:
Commercial businesses that choose to relocate to another state or areas for business establishment purposes need the services of a real estate property advisor.
Statistics reveal that 70% of all American commercial businesses who utilized the services of a property advisory company to handle their property problems generated cost-savings, 83% experienced an improvement in quality production.
Property advisors use strategic planning for space requirements; analyze the client's needs in order to formulate strategies to maximize their operational objectives.
Site Selection: Utilizing their built-up resources, detailed and broad experience in municipal negotiations, property advisors lead their clients in selecting the most ideal location for their business operations. They provide customized solutions to corporate tenants by providing complete services that align their property with their business plans thereby maximizing cost-savings and enhancing profit growth.
Benefits to Clients Using Property Advisors:
- Control occupancy costs.
- Reduce the time taken to open a new office or retail outlet.
- Optimize space usage.
- Reduce the time you would spend on property issues by taking care of such matters, so that you can concentrate on business matters.
- Reduce cross representation conflicts.
- Reduce transaction costs.
- Help reduce administrative costs and minimizing corporate overheads.
- Put in place a real estate management plan to obtain portfolio information on time.
Shell, the Oil Company had a tricky problem in a new area. They had a high volume petrol station that had a rebuilding clause over it that put their long-term occupancy under a cloud. Potential buyers indicated that the rebuilding clause would be invoked to replace Shell with a higher paying tenant.
Since Shell stood to lose out a valuable station, they utilized the services of a property advisory company. The company researched the regulations governing tenancy, the business prospects of Shell and worked with the landlord to secure an arrangement in Shell's favor. Shell occupied another property that belonged to the same owner. The property advisors negotiated a suspension of the rebuilding clause for a high rental and vacating the second property earlier than their terms required. The high rental combined with the prospect of developing the second property earlier than the agreement secured the landlord's approval. Shell now has a secure lease on the petrol station for the next 14 years.
Property Advisors in Community Development:
Property advisors engaged in major real estate often simulate sustainable development and re-development by acting as catalysts between public and private sectors. They engage in studying the community and predicting profitable business operations that are required and can operate in that particular area.
Property advisors initiate a detailed household demographic study. An up to date data reveals the household's spending power and the requirement for other real estate such as schools, shopping malls, recreation centers etc. By studying household demographics in tandem with real estate marketing activities in new and resale homes, they realize the growth of local economy at the smallest unit, the household. This market place housing studies give a complete overview of the community's supply and demand, reveal specific opportunities for redevelopment and need for other specific requirements like a health care center, fire station and even entertainment centers. The property advisors identify partners in the community development such as public leaders, community outreach, consultant and advisors, architects and engineers, bankers' etc. Private and public sectors then participate in economic growth which has its roots in necessity and need.
Property advisors also provide complete sales and marketing services, imagery and creating a brand, and also community development projects.