Profiting from the Real Estate Market
One of the main advantages of the exchange is that it allows you to fix problems in its investment portfolio. For example, I once gave a loan to purchase a residential house and land in an area of four acres. But the borrower is bankrupt, and I had to start the procedure to withdraw any property for debts. It turned out that it hangs another debt. I bought it from a lender, received ownership of the property, and only then discovered that the house is in very poor condition. If I was going to sell it at a profit, it required large repair costs. Thus, in my arms was "sour lemon".
Before proceeding to repair to One of the meetings ekscheyndzherov I suggested that house with the land exchange in the state in which he was appointed to the price of $ 225 thousand dollars. It is unlikely that I would get that kind of money simply putting the house up for sale, even after repair. One of the attendees came up to me and said that this property may be interested in his daughter and son in law. As a partial exchange he offered me two plots of land. The first site was located in a very picturesque area fifty miles north of my house.
On it there was a building permit, but the problem was that it was located on a steep slope and down the road to defeat the only mountain sheep. To learn the site was required for a set of complex engineering works. I already had experience of this building, and the terrain I was not too worried, but the seller has serious concerns. I'm much more nervous about their property, which still hung redeemed me a loan of 150 thousand dollars. But the customer is quite happy circumstance, because his daughter and his family were going to use the house for personal residence. The second proposed site was originally intended to build a house for two families and was located not far from me, but it had some technical difficulties, and authorization construction stalled. Therefore, until all the circumstances of this area had only a very minor commercial value. I thought that this problem can be solved over time by holding it some of which can convince city officials that the border area, a supply of communications and drainage system meet local standards. Thus, and this site made me less concern than my own real estate. We have agreed to exchange. My partner gave me for the exchange of two plots of land worth 75 thousand dollars, and his son took over the loan of $ 150 thousand, which is in line with the amount claimed by me real estate value of $ 225,000. Thus, the operation was to exchange sugar, which turned sour lemon in my sweet lemonade. Shortly thereafter, I was approached by a young couple who needed a land for construction of houses for two families. My husband worked in the urban planning department and was able to obtain all necessary permits. As a result, his wife bought me this site for 50 thousand dollars. In the meantime, I were sold and the second section of 70 000. As a result, the exchange transaction has allowed me to get 120 thousand dollars, while sales running at home is unlikely to be brought more than 75 thousand. That's lemons into lemonade turn!