Sunday, August 31, 2008

More Cash From Your Real Estate

Real estate. . . No matter what kind you own or want to buy it?s still an investment. In fact, many people buy and sell real estate as a business and I?m not talking brokers or agents here. You know who they are. They?re the ones who tell you about a deal they just did and boy did they ever make a bundle on it! How?d they do that? They made the property look good. It?s what buyers interested in. How a property looks. So you see curb appeal really IS important.

Curb appeal takes a lot into consideration: Paint, siding, windows, doors, roofing, driveways, and yes, landscaping. How many times have you driven past a property for sale and said to yourself: ?That landscaping is really ugly. Why doesn?t somebody do something about it?? I know I have. If you?ve bought real estate as an investment, did you concentrate on improving the landscaping or somewhere else first? Most leave the landscaping ?till last or just don?t do anything to it at all. Rumor has it, though, between 20 and 30% of the value of a property is in the landscaping. And it doesn?t matter if it?s income, industrial, commercial, or residential property either. Landscaping plays a big part in curb appeal and value of your investment. It can even draw customers to your business.

Let?s say that there were two homes for sale right next to each other. One looked great and the other looked lousy. It doesn?t matter what shape the inside is in, people still look at the outside and determine the value. Guaranteed, the one with the better landscaping will command a higher price and probably sell faster. What would you do if you bought the one with the lousy landscaping? Leave it for the next guy or make it look nice. If you were going to turn it and get your price, rent it out, or keep it as an investment you?d be putting something into the landscaping if you were smart. Admittedly, I?ve bought on potential and just sat on the property, but, sooner or later I had to pay to get the landscaping done. You better believe that landscaping looked great before it went on the market. And I got my price!

When I was going to list one of my properties my broker told me: ?You?ll never sell it for that much? and I proved him wrong. I didn?t understand why he was so reluctant to list at my price. I figured he was just going to make more on the sale if he did. Besides, I thought, we could have dropped the price if it didn?t sell, right? Well, he didn?t see what this place was going to look like like I could in my mind. Anyway, the landscaping wasn?t going to be done until after I listed it. Now if I could have shown him what it was GOING to look like, maybe he would have agreed with me on the listing price. And if I just could have shown him in 3-D what the place was going to look like he, and the landscaper, would?ve had a better idea where I was going with it. They probably would have helped me with a few suggestions to increase the value while saving some money on the landscaping, so, I probably would have made a little more on it than I did.

People know what?s goin? on. It?s better to start with the outside. Shows pride of ownership, care for the neighborhood, for them, smart thinking, and being serious. Improves comps and re-finance values, too! So, at the very least, get a 3-D landscape plan either before you close the deal or right after you do so you can show your broker, landscaper, appraiser, and re-financing specialist what your real estate deal will look like when you?re done with it. Did you know that if you?re planning on re-financing, your appraiser will include the landscaping as part of the value of your property? It?s a win-win situation. You get more cash because you up?d the value of your investment by improving the landscaping. And more for you is always good, right?

About the author: John Schmidt is a recognized authority on the subject of landscaping. His web site, www.Landscape-Montana.com, a wealth of information, info on 3-D landscape plans, and links on everything you?ll ever need to know about landscaping your real estate.

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