Summer Fridays: Urban Yards and Terraces

Living in a big city doesn’t mean you don’t have great outdoor spaces. Take a look at some of our favorite urban backyard and terraces on coldwellbanker.com tailor-made for summer entertaining.

How alive the city is, how alive, how alive, how alive.”

– Alfred Kazin

Contrary to popular belief, there is no better time of year to be in a big city than during summer.  Sure, the subway stations feel like they’re 123 degrees, but apart from sweltering train commutes, the city is a magical place during this time of year.

In a big city anything can happen, especially during summer – and only in the best ways. A trip to the farmer’s market can lead to day long expeditions to unexplored neighborhoods in town, and a cup of coffee with friends can lead to great conversations with strangers at a rooftop party later in the day. The great weather and relative calm that comes with a less congested city make summer a time for coming together, meeting new people and discovering new reasons to fall in love with your city and your home.

While we may not have sprawling residences or acres of backyard space, we do in fact have outdoor areas tailor-made for entertaining come summertime. Our yards are our little havens from busy city life, and our terraces are where we sit and admire the ingenuity of man.

In honor of summer in the city, our latest “Summer Fridays” post pays homage to a few of our favorite urban yard and terraces from homes listed for sale on coldwellbanker.com. Let’s take a look!

$12,500,000 – Seattle, WA

This urban refuge offers up sweeping views of Puget Sound, Mt. Rainier, The Olympic Mountains and downtown Seattle! Featuring not just one but two outdoor terraces, this home gives you plenty of space to enjoy beautiful Summer nights with good company.

$3,499,000 – Hoboken, NJ

Sometimes the best views of New York City come from just outside New York City. This meticulously renovated brownstone on the Hudson River features a sprawling terrace that offer up some of the best Manhattan skyline views you’ll find anywhere!

$1,980,000 – Chicago, IL

This home really does have it all. You’re located in the heart of Chicago, but it also feels like you’re tucked away on your own little private island. It doesn’t get more zen and restful than this sprawling rooftop terrace with ample spaces for relaxing and enjoying that great Chicago summer weather.

$12,000,000 – Chicago, IL

This penthouse residence at the Park Hyatt has the tallest balcony in the prized building, offering you unobstructed water and glitzy downtown Chicago views.

$6,700,000 – Miami, FL

Miami!! The city where you can at once feel like you’re living in a city and right on one of the finest beaches in the world at the very same time! This beautiful home offers up stunning waterfront views and even a pool out on the terrace..because it is Miami.

 

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Join us next Friday for another installment of our “Summer Fridays” series.

Source: Coldwell Banker Blue Matter Blog

Posted on August 4, 2017 at 8:57 am
Kappel Gateway Realty | Category: backyard, BBQ, community, curb appeal, decorating, Fixer Uppers, Homeowners, interior decorating, Location, maximizing space, neighborhood, outdoors, Privacy, projects, real estate, remodeling, staging, Uncategorized, views | Tagged , , , , , , , , , , ,

No Kids? Here’s Why You Should Still Buy in a Good School District

Even if you don’t have kids, buying in a good school district is always a good decision — if you can afford it.

Ever hear the old adage “Location, Location, Location”?  Well, here’s more proof!

Learn why buying in a top-notch school district can benefit you — even if you don’t have kids.

Living in a good school district doesn’t just bring better teachers, better books, and better test scores — it also can help preserve home values and ensure faster resale rates.

It’s a smart move to consider the quality of school districts in your home-buying decision — although there are pros and cons to buying in top-notch school regions. Parents hoping to land a good home deal and give their kids access to a high-quality education have several costs to weigh. If you do the math, you’ll find that pricier homes in a strong public school district may actually be better bargains than affordable homes in districts where many children attend private schools.

Seeking good public schools

Many buyers search for real estate by school district, and say school districts are among the key factors in their home-buying decision. In a recent Trulia survey, 19% of Americans indicated that their dream home is located in a great school district. But among parents of children under 18, the percentage of Americans who want to live in a great school district jumps to 35%.

How can you tell if your potential new home is in a district that makes the grade? Consider the age of the schools, the condition of their facilities, the student-to-teacher ratios, and, of course, standardized test scores.

The bigger picture

It’s not as simple as it may seem to draw conclusions between school districts and real estate, though. A poorly ranked public school district doesn’t necessarily mean that the overall quality of local education there is poor.

And there are private schools to consider as well. Parents looking for homes in lower-rated districts but who still want quality education may need to factor in the cost of a private education, which runs well into the thousands per year. Tuition rates vary widely, but the average tuition cost is $10,940, which is the same as $912 per month in mortgage payments, according to a 2014 Trulia analysis.

Put it this way: A homeowner with a $1,326 mortgage payment on a $300,000 house who is also paying the $912-per-month average tuition could, in effect, afford a $520,000 house with public school education in a better-quality school district. Because home prices and school tuitions vary so widely, buyers will have to calculate these differences on their own (and obviously there are more factors than just local school districts and housing prices that drive real estate decision making).

Considering the future

When it comes to resale value, though, even for buyers without children, investing in a home in a good-quality school district can pay off. Homes in good school districts tend to sell faster than homes in lower-quality school districts. And during tougher economic times that trigger declines in home values, homes in better school districts usually hold their value more than homes in lower-quality school districts.

On the downside, these homes in better school districts also tend to be more expensive. Buyers here will pay higher property taxes, and much of that money will be allotted right back to the schools. For childless buyers, that’s no bargain. But in general, buying in a good school district does matter and, with more stability in home prices and more savings from costly private school education, it usually works in favor of the buyer.

 

Posted on July 8, 2017 at 2:00 pm
Kappel Gateway Realty | Category: buying, community, family, Location, neighborhood, parent, real estate, Resale Value, schools, Uncategorized | Tagged , , , , , , , , , , ,

The Basics of Buying Investment Properties

 

With this terrific checklist, you, too, can be on your way to being a savvy investor!

Everyone wants a magic and immediate path to wealth. The bad news? The path doesn’t exist. Wealth is attainable through more conventional means. If you come to understand the real estate industry and if you deepen your own firsthand experience as you buy and sell investment properties, you’ll be on the road to success.

Along the road, there are six core principles that will make or break each real estate investment deal. They are the most important concepts you will learn. I call them the Big Six. With each successive deal I negotiated, I grew to recognize the common elements. The Big Six are part of a sequenced step-by-step formula that enables you to identify and purchase the right income property at the right price.

The elements of the Big Six Formula that will guide you into the basics of buying income properties are the following:

Location
Location is the single most important component of any real estate deal. It is crucial in determining your investment success. Look for properties that are situated in an “A” location. Such locations include the socioeconomic levels of the people who live or work in a particular neighborhood, its proximity to shopping centers, public transportation, crime levels, the nearness of prestigious universities and medical facilities, traffic congestion, zoning restrictions, the quality of schools, fire and police protection, and even the reputation of the local government and its officials.

Building Quality and Design Efficiency
Design efficiency interfaces with building quality. When you find an investment property you’d like to buy, you will need to scrutinize both elements. Look for properties that far exceed minimum construction requirements and that have useful and innovative design elements. This will not only make the property attractive to tenants but will add value to the property in the future. Design features on apartment complexes that stand the test of time include walk-in closets, large kitchens with windows, and his-and-her bathrooms. In an office building, a common area factor of 15 percent is desirable as well as a ratio of four parking spaces for every 1,000 square feet of rentable space.

Tenant Profile
Tenants can represent either an asset or a liability in an investment. When you invest, your mission is to make sure your tenant profile is the former and not the latter. Just as you want a well-constructed and well-designed property, you’ll want stable tenants who are a good match for your property and have appropriate lease agreements. Find out how much rent is generated and whether it is at market rate or under market. You want to focus on finding an income property that offers the opportunity to increase rental income and, by doing so, multiply the value of the property so that you can resell it at a substantial profit.

Upside
This fourth element refers to the cash flow growth possibilities offered by a particular property along with the likelihood that the property will increase in value. A property may cost $1,500,000 to construct, but if it brings in only the income of a $900,000 property, then it is worth only $900,000.  The key to increasing value lies in buying a solid Class B property in an “A” location where the rents are under the market, the leases are short term, and there are no options to renew the leases.

Financing
In the musical Cabaret, there is a song with the lyrics “Money makes the world go around.” It could just as easily be used to describe real estate’s role in the economic landscape. The free flow of money and access to credit is what adds vibrancy to property investment. Before you get started, you’ll need to get a number of finance-related items in order. The first thing you should do before applying for a mortgage loan is to review your credit reports and your credit scores. Also, learn the terms, understand the components of a mortgage and how they interact, and be open to the full range of financing options available. Banks and other financial institutions make money from mortgages. They are willing to negotiate. Be creative—you may be surprised at the terms you’re able to obtain from a bank or insurance companies, especially in today’s low interest rate environment.

Price
The successful evaluation of a property’s price has to do with how much information you can gather about a seller and the property than it does about the price tag on the real estate deal. You must look at the value of the property, which is not the same thing as its price. The crucial concern is not just how much the property costs, but what kind of income it can generate for you. A property may be architecturally perfect and engineeringly sound, but if you’re locked into long-term, under-market lease rates, the value will be eroded.

If you master these principles, wealth will be within reach. However, it’s not enough to just understand and utilize the Big Six. You must execute them in order. That’s because they all fit together snugly to form your customized real estate formula.

Source: RisMedia

Posted on July 8, 2017 at 1:07 pm
Kappel Gateway Realty | Category: buying, investing, investor, Location, real estate, rental, tenants, Uncategorized | Tagged , , , , , , , , , , , ,