How Do I Invest in Real Estate With Little Money Down?

Most real estate deals involve the buyer's paying some amount of money to the seller. However, the money the buyer has to come up with does not have to be his own. Various real estate strategies can be used to satisfy a seller in lieu of immediate cash. Real estate option contracts, promissory notes and real estate contract assignments are three popular ways to buy real estate without cash. The balance of the real estate expenses can be financed with credit. 

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Create promissory notes to buy real estate without cash. A certificate of indebtedness could be a loan or promise to pay back the cash.  When the seller requests a down payment or earnest money deposit, pay it in the form of a promissory note. It is not necessary to make the promissory note until after the seller has accepted your offer. Use credit cards, credit lines or home loans to finance the remaining costs of purchasing the property.

Use an option contract to buy real estate without cash. A real estate option contract gives the buyer the option, but not the obligation, to purchase property under the terms of the contract by a specific time. If the buyer does not choose to exercise his option, then the real estate contract will expire. The buyer can sell his rights in the real estate contract to another party for cash. Alternatively, the buyer can schedule a simultaneous closing to purchase the property from the seller and then sell it to a new buyer later on the same day.

Assign your real estate contract to a third party. First, enter into a real estate contract to purchase the property from the seller. Write the term “and/or Assigns” directly behind your name. These three words allow you to easily assign your rights in the contract to an entity or other person who will instead close on the property.

Tags :  Slow market, Little money investment , higher profits with little investments., Cosmic Structures, Cosmic Projects

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Commercial reality market touching skyline

Reality Market at its Peak

The commercial real estate of most of the Indian cities is booming after the prolonged abeyance. The rentals will remain under control for sometime considering the plethora in the market. The report by one of the popular property consultants ‘Knight Frank’ says that, office absorption in January-March 2012 rose up by 23 percent as in comparison with 2011.

1.04 million sq ft have been total transaction of office space, both sale and lease, in Mumbai from January to March this year as compared to corresponding year which was 0.88 million sq ft. Rentals and capital prices have dropped over the last one year even when the number of transaction are increasing. Commercial space leased at the approximate monthly rentals in Mumbai in the first three months of this year was Rs 111 per sq ft as compared to Rs 120 per sq ft in the first three months of 2011. In the same way the average property price fell between January to March of 2011 and 2012. The report pinpointed that , the growing numbers are yet to take over the present supply, causing a wider gap between demand-supply over the past year causing rent and vacancy levels to remain under burden.

The primary driver of office-space market in most of the Indian cities has been the Banking, Financial Services and Insurance (BFSI) sector, transactions in office-space in IT/ ITES sector has been abridge by half due to the interminable debt crisis. The additional report by Jones Lang LaSalle reveals that, a marginal growth is expected in the rentals of Grade A offices in Mumbai by the second quarter of this year.

An expert alleges that, with a view to boost transactions at a time when the vacancy rates are high, the developers will refrain from rising rentals. He also stated that, the cue of Indian economy is not very encouraging, office occupier continue to block the widening plans across all the major cities of India.  Significant office supply is expected in Delhi and Mumbai over next few months.

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Tags : Commercial real estate, Commercial projects in NCR, Commercial real estate, Cosmic Group, Cosmic Projects.

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