Because the market is so hot right now, should I just go ahead and sell my house now? I've been thinking about it for a while and it seems like a good time to sell." - Jason from Mercer Island
You are correct, it is a good time to sell homes in the greater Puget Sound area because the lack of inventory means higher selling prices. A Heaton Dainard broker can help you get the best sale price in such a high demand market. But you still must keep in mind a couple of variables which can factor in. For instance, location makes a big difference in the market today and you don't want to find yourself losing on what you thought was a prime opportunity. If you would like more tips on selling your home or investing in real estate, come to our monthly investor meeting or visit our website.
We have an investment property and it seems attractive to sell ourselves and save on commission. What are the advantages of working with an agent? - Tony from Cottage Lake
Technically you can save on commission, but not in the way you may be thinking. There are some transactions that go smoothly and you may wonder what it was the realtor did to make it look so easy.The reality is that real estate is a tricky business with many caveats. I presume most of us carry car insurance and medical insurance, and we pay for these amenities that we sometimes never use. Hiring the right realtor is similar to having insurance for the most expensive asset you own. If something goes wrong, for instance a contractual or legal issue, a realtor can help assess the situation. Additionally, in the current market and we are seeing a lot of multiple offer situations, and homes are selling for well-above asking price. I have noticed that when the home is sold by the owner, the owner has a tendency to accept the first offer they receive. A broker has first-hand knowledge of the market and has an idea of what they will be able to get for the property before it is even listed. Oftentimes the extra money your realtor is able to secure for your home is well beyond what you will pay them for commission.
Is it better to invest in residential or commercial real estate? - Cindy from Graham
I look at each of these as two completely different businesses. There are some similarities, but there are more differences. As an investor you need to decide how much capital you want to deploy into the real estate business. Most commercial real estate investments are in the millions of dollars while most residential investments are in the thousands of dollars. Deciding between residential and commercial is really a matter of how much money you are willing to put in and how much risk you are willing to take. Historically we've seen that placing people in houses is easier than filling up office or retail space. In commercial investing, the periods of being without a tenant can be longer and more painful than in residential real estate. The cash flow is typically greater, but there is a lot more financial risk than investing in residential real estate.
About the author...
James Dainard is Co-Founder and Managing Principal at Heaton Dainard. As Managing Principal, he is responsible for the development and execution of corporate strategies, marketing, and property acquisitions. James has been actively investing in multifamily and single family units in the Puget Sound region for over ten years, and leads a dynamic team that exceeded sales volumes in 2015 of over $143 million with over 400 closed transactions. During this time he purchased over $50 million worth of investment properties and sold over $93 million in listed properties with an average market time of 25 days. His business acumen adds value to Heaton Dainard by providing investors with inventory and multiple exit strategies. James graduated from University of Washington's Foster School of Business with a focus in finance and marketing, and was recently recognized as Co-Founder of one of the Washington's Fastest Growing Private Companies in 2013, 2014, 2015, 2016, as well as one of Inc. 5000's fastest growing companies in America 2015 and 2016
“REAPS is the oldest – and largest - Professional Association for the real estate investor this side of the Mississippi. We provide education and networking resources for real estate investors, those who want to be investors and anyone who provides value to our members. Our goals are to motivate and support our members and guests through education, discussion, legislative action and networking. We host over 40 live events a year around Puget Sound and they are all open to the public. If you've never attended one of our meetings, just email our office at [email protected] and be our guest for free!"
