2 Buy Sell Or Invest

By Darin Garman

 How you can spot and avoid the three mistakes that can literally ruin your apartment investment - making sure you make money when you buy an investment project… Avoiding the surprises that can cost thousands of dollars.

One of the things that is very important is knowing how to analyze an apartment property financial statement. I could go into a 5 day seminar on this alone and maybe at some point in time I will.

For now and for this article though let me give you the top three mistakes people make when they analyze an apartment property financial statement:

1. Taking the numbers at face value.

This is a big NO NO. Remember, it is in the owner’s best interest to have his numbers look as good as possible. Make sure that you do not put your faith in the numbers provided by the owner or the broker. Do some investigation. Is the insurance REALLY $1,500 per year? Are the property taxes REALLY $4,000? Is the rental income ACTUAL rent or POTENTIAL rent? Make sure you ask.

2. What is the current vacancy?

Verify this too. Most owners will put down 0% or 5% vacancy. Make sure this is accurate for the property and for the area. Many owners are overly optimistic and think that the new person can and will have a lower vacancy than they are currently experiencing. Check the CURRENT RENT ROLL to verify this. Then inspect the units.

3. Not looking under the surface.

In reality, this is the biggest mistake. Make sure that you ask yourself… “Can the rents be higher than they are now?” or “Can I reduce some of the expenses?” Remember that you need to be REALISTIC here. We all tend to be optimistic when it comes to how WE can change things. This is where the big money is really made: finding realistic increases in value and cash flow from thin air without having to do a bunch of work to the property.

I make sure that I go through these three processes every time I look at an apartment property to purchase. This is a good habit to get into.

Do you want to learn more about investing in apartment buildings? Click the link below for my FREE 7-Part Investment e-Course, and I’ll also send you my FREE special report and teleseminar access, “How to Buy Apartments and Commercial Real Estate With No Or Low Money Down.”

Download it free here: Apartment Investing.

Your Source For Real Estate Services

Things to See In Prescott Arizona

By Peter Gooding

 If you are planning to visit Arizona, or even escape the heat of the nearby Phoenix summers, be sure to make plenty of time for a stay in the mountain town of Prescott, Arizona. With gorgeous scenery and optimal weather, the opportunities for outdoor activities are endless. The city itself is full of annual festivals and celebrations, interesting history, and top quality accommodations. From a nature hike or relaxed game of golf, to a street dance on Whiskey Row, there is fun for anyone.

As for holiday and annual traditions and celebrations, Prescott has something planned year round. Perhaps a few of the most well-known and popular events include The Worlds Oldest Rodeo, and The Fourth of July on Whiskey Row. The Frontier Days rodeos, beginning in late June made their debut in 1888, and have only grown in excitement and fortitude. Cowboys from around the country gather to compete for huge prizes and thrill crowds of people every summer. You will see fireworks, horses, clowns, and giant bulls creating an energetic week. By July 4th, the party peaks with thousands heading to famous and historical Whiskey Row for a lively party. The streets are closed to traffic and opened to visitors checking out the century old saloons. The shops and restaurants are all open and in full swing as street dances fill the area with music and fireworks displays light up the sky. It is one celebration you will not want to miss.

If you love beauty and the outdoors, the list of activities around Prescott is long and attractive. You will without a doubt want to consider a ride on the Verde Canyon Railroad. The passenger train is an attraction in itself with the rarity of locomotives still running, but the nature show you will see is wonderful. Passengers ride over a river and through the wilderness preservation and Indian ruins, making the entire trip full of sights. on the Prescott area also offers unique hiking trails, golf courses, rivers, and vineyards to visit while adventuring through northern Arizona. To add a little excitement check out horseback riding, rafting, or a ranch that provides a chuck wagon dinner and live western show.

For some city sights, you have plenty of options as well. Visit one of several history, art, or childrens museums or head to the mall for shopping. For night life, head to Whiskey Row or the nearby huge casinos for lights, drinks, and entertainment.

Year-round entertainment is no issue in Prescott, Arizona. Whatever you are looking for in a vacation, you will be sure to find it.

Peter Gooding is a developer of ranch land in Prescott, AZ. He has been developing northern Arizona ranch land for several years and is excited to bring the idea of sustainable living in Arizona to the forefront of property owners minds.

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