real estate best practices: First Real Estate Failure - 02/20/18 03:39 AM
Buying Real Estate, can be stressful! It took me longer than expected to close on my first property. It was a learning experience that will help me buy my next multifamily property. 
How did I fail my first rental property? I was making many offers and seeing properties weekly. I saw about 12 multifamily properties, and made 8 offers. I learned making offers is part of the process in real estate.
I had a deal under contract in November 2016. It was a 4 plex that needed work. I later learned FHA loans have very specific requirements. The property needed a good 20-40k … (5 comments)

real estate best practices: Going Green, Home Tips - 08/11/17 06:09 PM
Going green can be beneficial for the environment as well as you monthly living expenses! With a few changes, your home can consume less energy and help your wallet. You don’t have to make major changes such as solar panels but you can start with energy efficient appliances or insulated building materials.
1. Heating and Cooling
Home automation can be a cheap way to get started. This means turning off the AC in the summer or not running the heat when you are out of your home during the winter. You can have your thermostat connect to your phone and set preferences when … (8 comments)

real estate best practices: Beginner Real Estate investing: Key Terms - 08/04/17 08:10 AM
When it comes to investing in multifamily, it is important to know the key terms to analyze a deal!
Cash FlowCash flow is the life of investing in real estate. This is the total amount of money being transferred in and out of your properties. Simply put, this is your income minus expenses. There could be additional sources for besides just rent including laundry income if you chose to offer coin op laundry. Be conservative when estimating your income and expenses. Run them on a worse case scenario. A mistake to avoid is to just include your mortgage, insurance and taxes and … (2 comments)

real estate best practices: First Time Homebuyer Here’s What You Need To Know - 07/31/17 05:09 AM
Buying a home can be a very difficult experience! It is most likely the biggest purchase of your life but less daunting when you know the real estate lingo and what to expect during the purchase process.
1. Start saving earlyYou will need to be putting between 3.5% and 20% down of the purchase price. Your current situation will determine when you are ready to purchase. If you are putting less than 20% down, you will be paying private mortgage insurance (PMI) on a monthly basis. For example a 20% downpayment on a 300k home would be 60k while a 3.5% payment … (2 comments)

real estate best practices: How Much Money Do You Need To Invest In Real Estate? - 07/30/17 07:00 AM
If you are looking to invest in residential multifamily (2-4 units) There are duplexes and triplexes everywhere in Worcester County! With a huge supply, it is possible to get a property under contract for a great price.
Before you begin looking for your next deal, it is essential to speak with your lender to see what you are pre qualified for. Your lender will look at your debt, income, and assets. They will give you an idea of the mortgage amount you qualify for. This can be done over the phone or online. Once you have this number, only look at properties … (1 comments)

real estate best practices: 5 Easy Eco Friendly Home Fixes - 07/24/17 06:34 AM
How can you revamp your home and make it eco friendly as well as cost efficient? Learn these five  tips for the interior of the home.
Water Heater
Do you know the current age of your water heater? Have you ever considered a tankless water heater? These only heat as much water as in needed. Although they are pricey (up to 5 times as expensive as regular water heaters, they last about twice as long as well as savings on your monthly utility bill.
Faucets
The aerator (the screw on tip of the faucet) determines the flow of a faucet. Look … (4 comments)

real estate best practices: 15 Top Tips Every Homebuyer Should Consider - 07/19/17 01:48 PM
If you are in the process of looking for a home it is easy to get overwhelmed by all of the possibilities! Don’t lose sight of the things that you need vs want in a home. This checklist will help decide if the home is the right purchase for you.
Location
Schools A good school district is vital when choosing a home, even if you don’t plan on having kids.
Nearest Starbucks/Whole Foods? Starbucks and Whole Foods spends substantial resources to decide where to open their doors next and  strategically places their locations. You home has a higher chance of appreciation if … (8 comments)

real estate best practices: First Things To Do After Closing On A Property - 07/18/17 07:57 AM
Have your first property under contract or considering buying a rental property? Congrats! If you plan on self managing, what should you do first? Here are some tips to get you started on the right foot.
 
Treat It At A Business Not A Hobby
Remember you are running a business, treat it as one. Keeping documentation is key. You can chose to keep paper copies, but also scan and keep electronic files so you can’t physically lose the paperwork. Creating a binder with your mortgage, taxes, water/sewer, and tenant info is a great idea.
 
Inheriting Tenants/Finding Tenants
If you are inheriting tenants, contact … (4 comments)

real estate best practices: Breakthrough 3 Excuses That Block Investor Success - 07/16/17 02:40 AM
Excuses are unlimited of why you can’t do something. Instead of making excuses, as an investor you need to consider how you will get the deal done. Do you really want to invest in real estate? Why is it not happening now? It may take time to get your next property under contract, but enjoy the journey and keep in mind, there’s not a short term way to success.
Make the numbers work on a bad deal When analyzing properties, make sure you understand your numbers forwards and backwards. Do not lower your expenses so you can make a bad deal … (3 comments)

real estate best practices: 3 Amenities That Attract Quality Tenants - 07/15/17 06:11 PM
The amenities a landlord can offer can make or break your rental business. Ensure you are keeping your properties rented with these three amenities
 
Tenant turnover can be a killer when owning rental property. Every time it happens, you have a vacancy, repair the unit, as well as find a new tenant. Keeping tenants for the long term is ideal. Providing comfortable and convenient amenities will be a value add to your property. Consider these in your current rentals or your future properties.
 
Storage
 
Moving is stressful! Tenants may have more items then they can store in your unit. Storage bins … (1 comments)

real estate best practices: Do You Really Need A Home Inspection? - 07/14/17 03:50 AM
What is a home inspection? Although not required, a good home inspector will save you big money long term. You are looking for an inspector who can analyze the home's strengths and repairs/ deferred maintenance.
In a competitive market, it is common to see homebuyers waive inspections in hope of making their offer look more attractive to the seller. You would benefit from having an inspection if you have not had an inspection completed. The inspection provides you information as an informed buyer to make a decision based on evidence.
1. Pre Inspection
After your property is under contract, it is typical … (3 comments)

real estate best practices: Beginner Investors: Do You Know These 5 Terms? - 07/13/17 04:15 AM
Are you just starting out?
Real Estate investing for beginners can be tricky and it’s easy to get lost in the terminology. Here are five key real estate terms you must know as you purchase your rental property.
 
Amortization
This is the decrease of your property's debt. In the beginning of your mortgage, you are paying heavy interest while at the end the majority of the mortgage is going towards the principal. A amortization calculator is helpful to look at when purchasing your property. If you are getting a fixed rate mortgage, the rate does not change for the life of the loan.
 
Equity
To find … (1 comments)

real estate best practices: Avoid Common Home Buying Mistakes! - 07/12/17 05:02 AM
Buying a home can be exciting when things go well! Avoid these five major home buying pitfalls.
Pre Purchase:
Pre Qualification: Make sure you go through a prequalification with your lender! They will look at your current credit, debt to income ratio (DTI), savings, retirement accounts, W2 Income, and have a number of how much you can borrow. The higher your credit, the better position you are in. Make sure to only look at properties that fall in your pre approval range. I would highly suggest looking at your own finances to see what price range is best for you … (1 comments)

real estate best practices: Do You Know These 9 Tax Deductions For Your Rental? - 07/12/17 02:50 AM
Considering buying a rental property? Here are nine must know tax deductions for your rental.
Items used for Property – Items such as rakes, hammer, and snow blower (all used for your rental property) can be tax deductible. Make sure to keep track of all receipts.
Credit Card Interest – Ideally, create a separate bank account for the rental. It will be much easier to see income/loss. The credit card interest is also a write off.  
Home Office Deduction – You technically become a business owner when you own the rental apartment. If you use some space in your … (1 comments)

real estate best practices: Can A Seller Improve Their Home Appeal? - 07/11/17 05:20 PM
To assist yourself in selling your home, think like a buyer.. What are they looking for? When you purchased your home, what was important to you? Not everything is in your control but you want to maximize your current home’s appeal to potential homebuyers.   Here are three ways you can prepare your home to attract more buyers.
1. Curb Appeal
First impressions are everything. Your buyers will instantly make a decision when they look at the pictures online if this home is worth pursuing. They may even look at google maps to see what it looks like or likely drive by the … (0 comments)

real estate best practices: 5 Essentials When Buying Real Estate - 07/11/17 03:29 AM
Problems, and misunderstandings in the buying process lead to unhappy homeowners. A common one is buying close to their pre approval and then they are stretched financially. It may seem like a great purchase at the time, but will lead to frustration over time.   How do we limit these mistakes?
Homebuyers remember these five strategies when making your next real estate purchase.

#1 Stay Consistent : Real estate values tend to rise over time. If you give up on looking at properties, you will never find the home you are looking for. The key is to learn why you are losing … (5 comments)

real estate best practices: STOP These 5 Habits to Help Purchase Your First Investment - 07/06/17 04:24 AM
What is preventing you from purchasing your next investment? Small seemingly insignificant purchases add up over time which prevent us from our next investment. Hopefully, you already know what income you have coming in as well as your expenses. Here are five habits to break to assist you in saving for your next investment.
1. Housing
This is most likely the majority of you monthly income, your largest expense. The goal should be spending no more then 30% of your income on housing. Consider where you currently live- can you possibly get a roommate or move to a less expensive area? … (9 comments)

real estate best practices: Two Underrated Traits of Success - 07/05/17 05:52 AM
In a society where we have technology at our fingertips, the concept of patience is diminishing.
We want things quickly and are upset if we don’t see immediate results. We are obsessed with a quick fix or a band aid solution.
To commit to results, consistent habits will ensure progress over the long term.
One mindset shift we need to make is focusing on the long term. Understand that good things come with time. The overnight success is not an overnight success. The overnight success is a product of daily productive habits which lead to victories over time.
Short term goals are great to have, … (39 comments)

real estate best practices: One Secret You MUST Apply to Your Daily Habits - 07/03/17 05:01 AM
Want to improve your life?
Take a look at your daily habits. The biggest secret you must apply to your daily habits is the ability to self assess! Self assessment is the ability to evaluate your actions or daily performance.
This may seem difficult at first, but it is necessary to grow.
Self awareness will keep you on the path of continuous progress.
To begin, you need to understand where you currently are and where you want to be in the future. This is a difficult question to ask yourself. Be honest. Do you have goals? Do you want to begin investing in … (2 comments)

real estate best practices: Avoid These 2 Costly Mistakes Homebuyer - 07/01/17 04:52 AM
Two Things:
1.Know what space you need.
At the end of the day, make sure you will use the house.. Is it best fit for you? Is it functional? Functional is a must since you most likely plan on living there for years to come. Does the floor plan work for you? Also, know your budget. What works for you? Do not buy something too big (can be a maintenance headache over time).
2. Inspection Report
Before you buy, you want to know the ins and out of the property. Understand what is in need of repair or at the end of useful life.. If … (3 comments)

 
Steve Bracero, First Time Homebuyer and Investor Specialist  (Heisler and Mattson)

Steve Bracero

First Time Homebuyer and Investor Specialist

Shrewsbury, MA

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Heisler and Mattson

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