International and Domestic Colorado Real Estate

Searching for Colorado foreclosures or bank owned properties

If you want to search the Colorado MLS listings for Foreclosures or Bank Owned Properties, this simple interactive MLS IDX search will help.  It allows an investor or potential home buyer to search in a number of ways including by the foreclosures in the pre-foreclosure process or once the home or property is already bank owned.

Searching with a map

A ‘map’ search feature is also built into this Denver MLS search which allows you to select a tab at the top of the search map and even select a terrain map that allows visual detail all the way down to sidewalks and swimming pools!

If you know the city or neighborhood you are searching for a house or land in, you can select the specific page for the neighborhood and the map will automatically show you which homes are available for sale in that neighborhood.  At this point you can sign up to receive email updates as new listings become available and they will be automatically sent to your email account.

Of course there is the option to search by school district, and even by 5% or greater price drops!  As the technology improves, we continue to try to provide you with the latest tools to help you find the land or homes you are looking for on your schedule and in the way you want to view the information.

Best Way to dispose of Commercial Real Estate Assets

Most bank asset managers have way too many challenges disposing of real estate assets these days.  From houses and homes, including condos and townhomes, to commercial properties and developer projects that went ’south’.  They are being inundated with new ‘bad’ non performing loans, are not able to lend, the FDIC is increasing their insurance requirements, bank examiners are more stringent, public perception is poor, and their capital requirements are as strict as ever.  Bankers are being told to lend money on one hand, and to shore up their capital on the other.  It’s an impossible situation that has been exacerbated by non-performing loans.  Even performing projects are running into problems because the borrowers are unable to refinance their loans when they mature.

We have a solution to the bad real estate asset problems facing bankers

There seem to be three major concerns that bank asset managers have when selling properties:

• Who will dispose of the property for the lowest cost?
• Who will sell the real estate the quickest?
• Who will get the bank the most money possible?

Selling for the lowest cost - This is fairly straightforward, how much cheaper than 0% commission can you get?  Whether it is 0% commission to 6% or even 10%; what other marketing costs or fees do the real estate brokers want to charge you?  For example:  We’ll be happy to sell a property for actual hard costs (and we’ll provide the receipts), plus 0% commission if we are getting the ‘buy’ side of the deal.  Why?  Because we can be more efficient with our marketing and selling processes.  (see below).

Selling the real estate in the quickest period of time- This is a function of advertising dispersion (signage, online, mailouts, word of mouth, affinity marketing, etc.), and price point.  Every Real Estate Broker says that they are the best, they have the best resources to market the property, etc.  The price argument is oftentimes the only excuse that most real estate agents use and the easy cop out as to why something isn’t selling.  The advertising, specifically online advertising (where we know that over 80% of home searches begin), is the dominant factor determining how many eyeballs see the property for sale. Additionally, how a property is described is as important.  We’re not talking about floral print kitchen window coverings or mountain views here.  What were talking about is a ‘Persuasion Architecture’ methodology that appeals to the most likely buyer of a real estate property.  A full description of this is beyond the scope of a single blog post, but we would be happy to explain it to you in depth in person.  As for the superior online advertising example, rather than just saying we’re pretty adept at it,

We would like to show you:

Do a Google search for:

‘Colorado Commercial Real Estate Broker’ - #3 out of 2,150,000 million results
‘Commercial Colorado Real Estate Broker’ - #3 and #4 out of 1,930,000 million results
‘International Colorado Real Estate Broker’ - #1 and #4 out of 2,110,000 million results
‘Colorado Home Sellers’ - #2 out of 7,160,000 million results
‘Best Colorado Real Estate Broker’ - #6 out of 29,700,000 million results

These results were obtained on April 16, 2009.

You get the idea.  We have the proven ability to put your property in front of more people under almost any term you choose to market it under.  More traffic means more potential buyers, more buyers equals a higher likely sale price and a property that sells quicker.

Selling for the Most Money Possible - This is closely related to the discussion above for primarily the same reasons.  We are able to market the property better, to more people, which is more likely to lead to a higher price or multiple bids. 

To Summarize, this isn’t just about selling real estate for the lowest cost, selling it with a marketing ‘trick’ or ‘gimmick’, or just having knowledge and/or ability that doesn’t have a practical application.  This is about education, experience, hard work, and intelligence being applied in a manner which can maximize the returns for Bank Asset managers looking to reduce their real estate exposure of bank owned properties, or conceivably for those commercial or residential real estate property owners who just want to sell their building or house.

Unfortunately, it is not infinite.  We cannot market all properties in an area, we can only help those sellers that list with us until our capacity is exhausted.  Contact us now for more information.

New Colorado law for Qualified Intermediary ( 1031 Exchanges )

Recent legislation in Colorado will provide new protections for real estate investors who utilize a qualified intermediary (“QI”) to complete an IRC Section 1031 tax deferred exchange involving property located in the State. HB 09-1254 (the “QI Act”) was passed by the Colorado Legislature
on March 25, 2009, and should be signed by Governor Ritter sometime in April of 2009. The new QI Act establishes regulations governing QIs who participate in tax deferred exchanges involving Investment Property in Colorado.

In enacting the new rules, the Legislature responded to several recent cases involving QIs located in or doing business in Colorado that resulted in significant financial losses for Colorado Real Estate Investors. The first case involved a local Breckenridge attorney who sometimes served as a QI for real estate investors, “Royal” Scoop Daniel. Mr. Daniel went missing in April of 2007 and appears to have absconded with exchange proceeds estimated at over $500,000. The second case involved Investment Exchange Group (“IXG”) based in Denver. IXG was one of several independently owned and operated QI’s acquired by 1031 Tax Group, LLC, a holding company based in Virginia controlled by Ed Okun, a Florida based real estate entrepreneur. Following 1031 Tax Group’s acquisition of IXG, the holding company sought exchange funds from IXG to complete exchanges for clients of its other subsidiary QIs. When IXG refused to cooperate and deposited its exchange funds with a Colorado court, 1031 Tax Group filed a petition for bankruptcy protection. Losses to Colorado investors resulting from the 1031 Tax Group bankruptcy are estimated at $14 million dollars, but total losses generated by 1031 Tax Group may exceed $132 million dollars. Finally, in November of 2008, a large national QI, LandAmerica Exchange Services, Inc. (LandAm), a subsidiary of LandAmerica Financial Group, Inc., became unable to advance cash to close transactions for its clients and filed for bankruptcy protection in New York. The funding difficulty appears to have resulted from LandAm’s investment of exchange proceeds in certain investments that became illiquid in the recent financial meltdown.  Losses from LandAm’s failure are estimated to exceed $400 million and are still being tallied.

HIGHLIGHTS OF COLORADO’S 1031 EXCHANGE CONSUMER PROTECTION

The new rules apply to QIs who: (i) maintain an office in Colorado, or (ii) to QIs located outside Colorado who teach seminars or who participate in exchange transactions involving the transfer of investment property located in the State. A QI subject to the QI Act must:

Change in Control: Notify all current clients of any change in control within two (2) business days after the date of the change.

Financial Insurance and Errors and Omission Insurance or Deposits: The QI must maintain adequate insurance specifically, a Fidelity bond of at least $1 million and Errors and Omission (“E & O”) insurance of at least $250,000 or deposit cash or irrevocable letters of credit in at least the amounts specified above.

Withdrawal Authorization: Requires both the QI and taxpayer’s authorization for the withdrawal of exchange proceeds on deposits over $250,000.

Investment of Exchange Funds: Requires written notification from the QI to the taxpayer of the manner in which exchange proceeds held on behalf of the taxpayer will be deposited and invested. These provisions also prohibit the commingling of exchange proceeds among multiple
taxpayers.

With the drop in the prices of Lafayette Colorado real estate, people are now asking, is real estate still a good investment?

One thing you need to understand is that when it comes to investing, whether in Lafayette Colorado real estate, stocks or bonds, there is no such thing as a “perfect investment”. All investment products have their pros and cons, and while a lot of them actually earn millions for you, there are several conditions in order for this to happen. Here are several factors you will need to consider in order for you to determine whether Lafayette Colorado homes is worth your time and money.

1. Returns. Look for houses for sale in Lafayette Colorado which has expected returns of 15 to 20% per annum. Location is also an important factor here. In general, Lafayette Colorado real estate properties are powerful investment tools as they can outperform inflation rate.

2. Stability in market value and annual returns. Lafayette Colorado real estate properties are considered as extremely stable and are therefore, safe. Unlike other investment tools, real estate price fluctuations are not extremely low; hence, their volatility is also low.

3. Liquidity. This is a term used to describe how fast you can convert your investment into cash. Unfortunately, Lafayette Colorado real estate properties are bad in this regard. Sometimes, you will need to wait a month (if you are lucky) or even six months just to sell a piece of property. However, the good thing about real estate properties is that you can use them as collateral for loans so you can very easily get financing for your other business ventures. Also, you don’t have to sell your home, you can always rent it out and earn income that way.

4. Expenses at point of entry and exit point. Properties are costly investments and this is true for both points. During purchase, you will have to pay for legal fees, stamp duties and many other expenses. During sale, you will also need to pay for agent’s fees and other outstanding loans.

Now that you know the pros and cons of engaging in Lafayette Colorado real estate, now you can decide whether you want to enter the industry or not.

Denver Colorado small office lease market activity

Once again, I’m surprised by the amount of activity in the Denver Metro area small office market segment.  Depsite the increasing retail, office, warehouse, and especially big box mall space coming on the market, the less expensive and smaller office space continues to draw interest.

Another seasoned commercial broker and I were in the office the other day comparing notes and discussing what is really needed in this market.  We both came to the same conclusion, small cheap office, leasable land (less than 1 acre lots), retail and warehouse space.  And yet, there is virtually none on the market.

This has been the same for a long time, part of it is the cities are loath to approve such space (no significant use or sales tax revenue), the Commercial real estate brokers don’t have much interest in listing, marketing, or showing the small spaces, and the developers have a nearly impossible time making the ‘numbers work’ with such small space.  The best way for it to get done would be on a large scale, however the developers who have access to capital don’t want to mess with little projects.  They want the larger signature type real estate developments that we already have too many of…it’s a vicious circle.

The small developers would love to build the projects, but don’t have the capital and can’t make the numbers work, the larger developers don’t want the small spaces.  And the cities and real estate brokers want the bigger deals.

All of this combines to leave those businesses looking for small, cheap space without great representation from real estate brokers, without a lot of choices, and yet small business is where all the jobs and wealth creation in the country come from.  It just doesn’t make any sense!

The University of Colorado will host a festival featuring the traditions and customs of 27 regions and countries Saturday at the Glenn Miller Ballroom.  The International Festival is free and will be open from 4 p.m. to 10 p.m. There will be food, dancing, singing and other activities from countries around the world.

Some of the countries included are Pakistan, Panama, Russia, Nepal, Scotland, China, Korea, Brazil and Turkey.  Many of these countries residents own or are in the market to buy property here in the United States.  As an International real estate broker it is our job to be aware of the cross cultural challanges that may exist and facilitate the buying (and in some cases, selling) process for these foreign citizens.  This evening is a great way to meet others and learn and perhaps meet some very good new friends!

Everyone is doing it, so why not you?  There are numerous ways to save thousands of dollars on a purchase here in Colorado on residential or commercial real estate.  Just to name a few:

A few ways to buy real estate and save money

• We currently have record low interest rates.
• There are still foreclosed properties available.
• There are still short sale homes and commercial properties available.
• An $8,000 tax credit for qualified first time home buyers.
• A 1031 exchange.

What ways interest you the most?  Let’s talk!  You too can get in on the savings! I look forward to speaking with you!

Great Deal on Prime Retail Space for lease in Broomfield, CO

This is a 2,100 sq. ft. brand new retail location in Broomfield, CO.  The lease terms have been neogtiated over a period of a few months and the tenant has hesitated at the last moment.  This is a screaming deal! 

$24 NNN with over $100k in incentives

Premier anchor tenant, great visibility, brand new building, build to suit for tenant and many other great location features make this space the best deal available right now for leaseable new space in the size range.  I will be happy to provide complete deals once I have some information about your company to avoid any potential conflicts of interest.  For additional info about what types of commercial properties and commercial tenants we work with, please visit Colorado Commercial Real Estate Broker.

Hurry, this deal will not last!

Mortgage Rates will most likely drop

Here are some things you should be aware of regarding the recent government actions reagarding how it will most likely affect home mortgage rates.

A three pronged attack by the Federal Reserve

• On Tuesday the Fed announced another $750 billion to buy mortgage backed securities.
• The Fed had already committed to purchasing $500 billion previously.
• Announced it would double, to $200 billion, the purchase of Fannie Mae and Freddie Mac debt.

When the Fed inititally announced the $500 billion and $100 billion debt purchase, interest rates were reduced from 6.2% in mid November to 5.2% for the week ending March 13, 2009.  These additional actions are likely to push the rates down to around 4.5% to 4.75%.

Furthermore, the Fed said it would purchase up to $300 billion in long term T-bonds over the next six months which should also lower mortgage rates by depressing the 10 yr. note to which mortgage rates are closely tied.

How can you get in on the low rates?

Most home buyers will need FICO scores of 720 or better, 3.5% or better downpayment, and verifiable income.  So these recent actions will help those looking to refinance their home more than new home buyers in most cases.  Those looking to refinance will usually need 10% or more equity in their homes.

Should I buy a home now or wait?

While mortage rates have downward pressure right now, in the long term (over 12 months), there is likely to be much higher rates and inflation.  In our opinion, trying to time the bottom of the mortgage rate market is like trying to time the top of the stock market.  It’s pretty difficult to do.  Also, home prices in many areas, and sectors of the market have slowed or slightly reversed their declines.  Finally, this recession/depression has been going on for a while now, and while their is no end in sight, once the end becomes apparent, just about everything will happen VERY quickly.  By everything, I mean higher mortgage rates, inflation, home price appreciation, and consumer confidence as well as a stock market recovery.

Since rates and home prices in Colorado are unlikely to get much if any cheaper, I would strongly recommend buying a home in Colorado now if you can.  Don’t say we didn’t warn you!

How to put the U.S. back on the right track

Many people in this country are worried right now about their employment (or lack thereof), the value of their home, business and the future for their kids, family and friends.  I was having a business lunch last Friday when two friends and I were discussing this issue at length.  One is a self employed insurance broker who is very conservative, the other a self employed very liberal computer programmer, and if it matters I’m either an ultra conservative liberal or ultra liberal conservative, whichever description works for people to understand.

First, get rid of Lobbyists and PAC’s

Our concerns were remarkably similar; jobs, the deficit, the dollar, the future for our kids, balance of trade, quality of life, etc.  After putting aside the blame game that has been, and is still being played, in the executive and legislative branches of government (The President and Congress) we came up with the following action plan:

For Real Estate brokers, mortgage brokers, attorneys, accountants, judges, financial advisors, etc. pretty much every single field where fiduciary capacity is required, full disclosure of any benefits received for you, family or friends is REQUIRED, but not so in congress!  Lobbyists, and their associated PAC’s (Political Action Communities) are the problem behind every bit of pork barrel spending, corruption issue, and conflict of interest that has probably every existed in government.  From Blagojevich trying to sell a congressional seat, to corruption charges against just about every single congress person every indicted or accused, it all comes down to their trying to steal for themselves, families, friends or get some other personal gain.

We can’t change human nature, but we can make it just about impossible for Congressmen to steal. 

• NO lobbyists allowed; no money, perks, full disclosure required if it costs more than $25.
• One term only, NO congressman will be allowed to be re-elected.
• NO extra compensation, base salary pay for their term and THAT’s IT! No lifetime retirement, health benefits or any other ridiculous percs.
• Reward and protect corruption whistleblowers.
• Incarcerate and require restitution from convicted congressmen.

If they could only serve one term, the ‘lifetime politician’ would be a thing of the past.  Pork barrel spending would decrease, perhaps vanish as a member of Congress would have nothing to lose by voting their conscience, not just what their party tells them (end partisanship).  If the only compensation was a base salary, there wouldn’t be the career politicians, only business people, intellectuals, people who really cared about serving a term, not profiting from a term served.  And it they are convicted of violating the law, jail them, and make them pay back damages from their illegal actions, kinda like everyone who runs a small business has to already.

What would this accomplish?

Well, we get back closer to what the founders of this country intended.  Leadership, not by the masses, but by the business and intellectual elite, but without the built-in conflicts of interest that are now present with our big business, big interest, bullying lobbyists, and political parties running the career politicians lives while they try to find every method possible to enrich themselves and their families and cohorts.

We have (in my humble opinion) the greatest country on earth, the best workers, the best innovation.  But people need a chance, small business needs a chance.  This just might be a good start.