With rising Chattanooga real estate sales, many people looking to invest are starting to wonder if Real Estate Investment Trusts are once again a potential opportunity. Home sales have gone up for the past six months in a row, homebuilding price indexes are rising and investors are turning optimistic. Is it really a good time, though?

What are REITs?

REITs are Real Estate Investment Trusts. These trusts invest in property then sell shares to people or businesses. If the REITs make a profit, that profit is split between shareholders as dividends. Many investment trusts cover a full portfolio of Chattanooga real estate and other real property, rather than just one property. In the past, they’ve been incredibly popular because they trade like stock and dividend yields are normally at the top of the market.

Not All REITs Are Created Equal

It’s important to remember that real estate investment trusts come in different shapes and sizes. As well, REITs report rental income, rather than sales, as revenue. Keeping rental income in mind, it becomes obvious REITS with long-term leases and high occupancy rates are generally better than others to invest in. Also, the higher the occupancy, the easier it is to raise rental rates (although this is probably not good business at this time due to the current real estate market).

Investing in REITs Now

If you’re thinking of investing in REITs now, don’t forget that they may only benefit in a particular market. For instance, many individual investors are purchasing unfinished homes at steep discounts, investing a little more to finish the homes and then renting them out. As most real estate agents, blogs, articles and magazines will tell you, the rental market is doing quite well, so this may be a viable option for you.

No matter what type of Chattanooga real estate you’re thinking of investing in, however, remember that any type of investment is risky. Is it time to invest? Ultimately, only you can make that decision. Do your research, check your funding, then – and only then – make an informed decision.

If you’re interested in real estate investments, I can help. Call me at 423-488-1882 or email me at tclose@realtycenter.com  for more information.

Keyword/Tag:  Chattanooga real estate

Links:

Real Estate Investment Trusts

http://investopedia.com/terms/r/reit.asp

Dividends

http://www.finpipe.com/divexpl.htm

Rental income

http://www.irs.gov/businesses/small/industries/article/0,,id=98895,00.html

Chattanooga real estate is one of the biggest purchases anyone will make, whether male or female. And, while it’s been scientifically proven that men and women have different approaches to life, one would think that purchasing a home is pretty much the same across genders. We each have our own concerns and important issues, but they basically all add up to, “This is what I want in my home.” 

Therefore, the results of a recent survey caused quite a bit of surprise. The survey pointed out places where inherent differences were clear, as well as places where there weren’t any differences at all. So, when it comes to a match in the Chattanooga real estate boxing ring, who comes out on top? 

Who is fastest at making up their minds on a home to buy?

Believe it or not, women grabbed the top mark at 70%. A full 8% more women made up their minds on whether to buy a house the day they walked into it. Of those that needed another visit or two, 32% were men, versus 23% of the women. Although women have a stereotype of being wishy-washy, this stereotype doesn’t hold true in the real estate market. 

How close is the extended family?

If you had a choice between living closer to your extended family or closer to your job, which would you choose? According to the survey, 55% of the women would rather be closer to family, while only 37% of the men would.

What about home security?

When it came to security concerns, men and women both agree. It may be the home of your dreams, but if it’s not safe, it’s “no thank you.” What was the percentage? Women grabbed 64%, while 51% of the men said the same. Security is something we appear to agree on.

How would you use a spare room?

If you had an extra 12 x 12 room, how would you use it? With men and women both, we’d rather have a spare bedroom (25%), an office or study (15%), or a family room/den (11%).

Conclusion: Couples, if you’re looking to buy Chattanooga real estate, sit down with your partner and lay out the rules. Find that fine line between what you each want, and no fighting, biting, kicking or scratching!

If you’re looking for the perfect home to fit what you both want, I can help! Call me at 423-488-1882 or email me at travis@travisclosehomes.com  for more information.

Keyword:  Chattanooga real estate

Links:

Living closer to your extended family:  http://www.associatedcontent.com/article/326227/the_advantages_of_living_close_to_your.html

Home security

http://www.homesecurityinformation.com/

How would you use a spare room?

http://boston.movingtoanapartment.com/decorating/top-spare-room-ideas.htm

If you think Chattanooga homes are in style, you just might want to look around.  The building trends for 2009 range from green to efficient and more.  Here’s a quick peek at the new trends – many of which look like they’re here to stay.

Smaller homes – Mansions are out and, believe it or not, matchbox houses are in.  Some buyers want downright tiny homes, and are even willing to build their own to get it.  If you own one of the Chattanooga homes with a lot of square footage and want to sell, you might start counting.  How many of those rooms do you really need?  Can you knock out a wall to create larger, more open spaces?

More storage – Flat walls are out, closets are in.  Homebuyers are demanding storage spaces, from walking closets to built-in storage systems.  If you’re looking to sell and have issues, it might be due to the lack of storage space.  Look around; see if you have areas that can be maximized for storage.  Consider turning that small fourth or fifth bedroom into a walk-in closet.

Living outdoors – Over the years, the rise in individuals that want an extended outdoor space has gone up.  If you have a porch or patio but it’s exposed to the elements, look into screening it in.  Outdoor spaces that can be used year-round (or close to it) are big sellers.

Home office space – The need for a home office is rising as well.  Windows and space are essential for working in a relaxed environment.  If you have a room that can be converted into a comfortable office space with ease, don’t forget to add it to your sales pitch.

Green and healthy – Green homes are no longer a trend; they’re more the norm now.  Buyers want efficient homes and features that reduce utility costs.  Better insulation, recycled materials, carpets with no/low gas emissions and paints with low VOCs (volatile organic compounds) are all the rage.  This is one trend that doesn’t seem likely to go away. You need to use a Chattanooga REALTOR that holds a GREEN designation to help you with your Chattanooga green home.

If you own one of the Chattanooga homes, pay attention to the building trends.  They aren’t just what buyers say they want; these trends are what they’re buying. 

If you’re thinking of selling your home but aren’t sure whether you to update it first, I can help.  Call me at 423-48-1882 or email me at travis@travisclosehomes.com  for more information.

Keyword and Tag:  Chattanooga homes

Links:

Tiny homes:  http://www.tumbleweedhouses.com/

Screening it in

http://www.hgtv.com/home-improvement/screening-in-a-porch/index.html

Green homes

http://www.greenhomeguide.org/what_makes_a_green_home/green_homes_101.html