In order to maximize the return on investment of the $150,000 of
initial capitalization I have available to make my real estate
purchases from the inventory of distressed properties available in my
target market area, I would first partner with a real estate
professional, a Realtor(R) in order to make full use of the real
estate database resources that would permit me to perform complete due
diligence prior to making any purchasing decision. I would concentrate
my search in the immediate area of the University of Central Florida,
the greater Oviedo Florida metropolitan area, because there are
numerous properties available in this area that have a very high
potential for renovation and rehabilitation and can be readily
converted from a single-family residential role to a multiple roommate
rental property.
Because of the ongoing inventory surplus in the national real estate
market in general, and the Oviedo/UCF area market in particular, there
are many bargain priced properties available for purchase by qualified
buyers with either sufficient capitalization, or adequately robust
credit. Since the assumption of this exercise is that there are funds
available immediately one assumes that a substantial down payment
could be placed on the property, and that available credit could be
utilized given a modest but still acceptable FICA score in the 700 to
750 range. Assuming a four bedroom three bath home with a purchase
price of $150,000 and a down payment of $75,000, this would leave one
with a $75,000 mortgage at approximately 4%, and monthly payments of
approximately 350 dollars month. Adding taxes and insurance costs to
the P&I would bring the monthly payments to about $700.
Most of distressed propertie...
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...ing an application fee for all potential tenants. The going
rate for a private bedroom with private bath in the UCF area is
approximately $500 to $800 a month. Residents would be expected to
provide their own utilities, television and internet access.
Assuming a 75% occupancy rate at the lower end of this range, that
would yield a gross monthly income of $1500. This represents a monthly
profit of approximately $750. Since it is likely given UCF’s
phenomenal growth and projected increase in student population via
undergraduate enrollment, the 75% figure almost certainly represents
an underestimate rather than overestimate. Be that as it may, it
should still be possible for one to realize a minimum of $8400 a year
in rental income from this property. If one of the units was owner
occupied, it would reduce the revenue stream, but also my living
expenses.
The chart above paints a solid picture of the five-number summary, mean, mode, range, and standard deviation for the 40-gulf view condominiums sampled for our analysis. When looking at our analysis of golf view condominiums we can see that a large price range exists with one unit selling for $189,000 on the low end and another selling for $935,100 on the high end with an average selling price of $606,590. Gulf view condominiums have a range of 276 days on the market with units selling in as little as 22 days and others taking as long 298 days. According to the Interquartile Range Rule for...
This paper will have three parts. First, just renting a house in order to see just how hard it can be to rent a house and the problems that come with it. Second, we will look at buying a house to see how much credit and money it usually takes to buy a house. Finally, we will look at the benefits of “rent-to-own” options in order to see if it is truly the better option. I believe that the “rent-to-own” option is the better option because it is good for the owners selling the house to know they will get the money and it is good for the renters to see if they truly like the
Rebecca Young has finished taking her Master of Business Administration and decided to move to Toronto in May 2013. She moves to a new place to follow her desire on finding a new job in investment banking. She rents a spacious condominium with two bedrooms in it with the rents of $ 3,000 per month. In July 2014, the same condominium unit next to her condominium are decided to be sold. Young believed that she could afford the condominium for $ 600,000. However, she felt that she bought a condominium that will not meet her long-term needs. Thus, Young decided to sell it in two to ten years. Analysis of Young's decision to buy or rent a condominium from the quantitative side is the suitable way to get the best financial decisions.
“The purpose of an interval estimate is to provide information about how close the point estimate, provided by the sample, is to the value of the population parameter” (p. 306). The sample data is provided by Multiple Listing Service, which provides data for 40 Gulf View condominiums and 18 No Gulf view Condominiums. This sample data will be used to provide the appropriate descriptive statistics to summarize each of the three variables and determine outliers for both Gulf view Condominiums and No Gulf View Condominiums. Once this information is provided specific statistical results that would help a real estate agent understand the condominium market will be discussed. Then a 95% interval estimate for the population mean sales price and the population mean number of days to sell will be calculated with an interpretation of the results found for both condominiums. Next we will consider margin of error of the mean selling price using a 95% confidence to determine how large the sample size should be for each. Finally an estimate of the final selling price (based off of the percent difference for the sale and list price) and number of days required to sell each of the units.
Value Trust, an $11.2 billion mutual fund managed by Bill Miller III, and one of a family of funds managed by Legg Mason., a leading Global Asset Management Firm headquartered in Baltimore, Maryland has achieved uncanny success. The Fund invests primarily in large-cap equity securities, is benchmarked against the S&P 500, and as of 2005, has outperformed its benchmark for a record 14 consecutive years. This amazing streak has brought much attention to this highly rated fund and what exactly is behind its excellent success and management. An example of performance for 2001-2004 follows:
The CSU has two types of on-campus housing that they offer—village and residential. The apartment fees are seven thousand four hundred and ninety three dollars for a resident room. For the thematic living program, it costs four thousand nine hundred and ninety nine dollars. The “apartments are comfortable, affordable, and convenient--the ideal place to live for first-time Chico State students”(“Housing”). Something like that, should help a student in the choosing of whether or not they would want to go to the college…But that is based if the student’s last requirement was how the housing was.
This assignment is concerned with your understanding of the key issues relative to portfolio analysis and investment. In completing this assignment you are to limit your scope to the US stock markets only. Use the Cybrary, the Internet, and course resources to write a 2-page essay which you will use with new clients of your financial planning business which addresses the following issues and/or practices:
As an investor with several types of securities, I am looking for long-term stability towards a retirement fund. The combination of several different stocks and mutual funds allows for the safety of the investments. By investing long-term in different accounts, I have the ability to gain more in the long-run with less risk of not lose all my savings on one investment.
.Given the choice between two investment properties—both 3-bedroom, 2-bathroom, 1,700-square-foot single family residences listed at $125,500, one a turnkey in Stockton, California, and the other a fixer-upper in Chapel Hill, North Carolina—and the singular goal of turning the maximum profit on my investment, I would choose to purchase the Chapel Hill home. Because I believe that the listing price of that property is lower than its true value, and because I expect a growing real estate market to increase the value of the home by 10 percent over the next two years, I think that with an additional investment of $50,000 in renovations and a two-year buy-and-hold rental strategy, I could flip the Chapel Hill home for more than $180,000 in profit.
Housing problems should be solved as soon as possible. To do that, the colleges have to consider how to solve costs and small dormitory problems. There are specific examples regarding cost aspects about apartments being too costly, which are located near Seattle Central. If we walk 20 minutes on Madison Street, there is an apartment called Summit at Madison Park. For a one bedroom apartment it costs around $1450.00 a month. Near our school though, a one bedroom apartment costs around $1700.00 per month. This example shows that there is a significant difference in terms of cost. However most universities and colleges in United States have similar troubles with solving expensive housing cost problems near each school, but schools need to start providing clear solutions.
To maximize optimum performance of our investment portfolio, we placed a certain percentage of equity in different sectors of the stock market.
Why is it important to achieve a college degree, certificate or diploma? Generally speaking, what is the importance of having a college education? This is a question that I have been debating and fighting with myself for the past five years. Is it because with a college education a person can get a better job, earn more money and ensure himself of a better life? Or is the whole concept of college a fraud and a scam to manipulate individuals in feeling inferior without it? In this paper, I am going to enlighten you of the pros and cons of having a valid college education and what it means to me.
me on a volunteer project I did in high school. The summer after my junior year
Introduction Real estate is a fixed, tangible and immovable asset in the form of houses or commercial property (Seldin & Richard 1985). Real estate market involves developing, renting, selling/purchasing and renovating of these assets (houses). Market participants include developers (contractors, engineers, and so on), facilitators (mortgage companies, real estate brokers, banks, management agents and so on), owners, renters (leasers) and renovators (Seldin & Richard 1985). Like other economic markets, real estate markets have internal and external forces that impact the market (Seldin & Richard 1985). Demand and supply forces have the major impact on the industry as they determine growth or decline in the market (Seldin & Richard 1985).
Financial theories are the building blocks of today's corporate world. "The basic building blocks of finance theory lay the foundation for many modern tools used in areas such asset pricing and investment. Many of these theoretical concepts such as general equilibrium analysis, information economics and theory of contracts are firmly rooted in classical Microeconomics" (Oaktree, 2005)