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There are many ways to earn money with Real Estate. In my opinion, one of the easiest ways to make money in this business is to become a real estate bird dog. Stop before you run out the door! You will still have to work on it. However, many of us believe that it is much easier with fewer headaches than many other techniques.

What is a real estate bird dog??

A real estate bird dog is a person, or in some cases a company, who locates investment properties for investors.

Why would investors pay for a service like this? Simple. Many investors are business people who are busy making money. They don’t have time to search for good deals in the major real estate markets. This is where you come into play.

That I have to do?

The most important thing to know to become a successful bird dog is to know your local market. To do this, Bird Dogs seek out relationships with real estate brokers, agents, bankers, lenders, and anyone else who might have knowledge of a good investment.

In most markets, the bird dog will be someone who already works in real estate, for example, an agent or perhaps an assistant to a real estate agent. However, I know Bird Dogs that do nothing more than find investment deals for investors.

How do you make money with this?

Typically, once a bird dog finds several investments or investment leads, it presents them to the investor. When/if they buy the investment, the real estate birddog is paid a service fee which is usually a percentage of the investment price or could be a flat fee, it depends on the birddog.

What are the advantages?

One advantage is that once you turn the property over to the investor, your job is done. You don’t have to worry about setting up financing, inspections, or any of the other headaches that can come with investing in real estate.

How much can a real estate bird dog expect to earn?

Obviously, it depends on what percentage of the deal you decide is worth your time and effort, but some demand a finders fee as high as 10%. I’ve heard of higher fees, but most I know of are in the 3-6% range.

Are there any disadvantages?

Well, for one, in some states, if you find real estate for an investor and then charge a fee, they feel like you need a real estate license. Check with the state you live in before getting into this.

Whatever you do, get everything in writing. At worst, you’ll have to take some night classes and get your real estate license. There are worse things to do! At the very least, you’ll just have to start networking with the industry in your market to start becoming a dog bird real estate.

Investment banking is a particular division of banking associated with the creation of capital for governments, other companies and entities. banks support complex financial transactions.

Many large investments are subsidiaries of larger banking institutions, and the rest have become household names, including Morgan Stanley (named the best investment bank in Asia in 2008 by Asiamoney magazine), Goldman Sachs, JPMorgan Chase, and Deutsche Bank. .

Meanwhile, in Indonesia, we have Mandiri Sekuritas as the largest investment bank in Indonesia, DBSI, Citi, BNP Paribas, CIMB Securities, etc. Bankers are experts who help governments, corporations and other groups advance, plan and manage their large projects, preserving their money and time by analyzing risks related to the project.

Investment Banking Particular Tasks

The specific tasks of Investment Banking are detailed below.

Investment banks assist in the sale of securities.

Facilitate mergers and acquisitions.

Subscribe variable income securities and new debt for each type of company.

Provide guidance to issuers regarding the issuance and placement of shares.

Intermediation of operations and reorganizations for both private investors and institutions.

Advice on the value of a company and the best way to structure a deal, whether the client is considering an acquisition, merger or sale.

Issuance of securities as a means of raising money for customer groups.

Preparation of the documentation before the Securities and Exchange Commission necessary for a company to go public.

Mandiri Sekuritas, the largest investment bank in Indonesia

Mandiri Sekuritas has carried out more than 35 advisory projects for different leading companies. Managed projects include PTPN 5, ASDP, Waskita Karya, PTPP and Kawasan Berikat Nusantara.

With a reputation as a leading investment in Indonesia, Mandiri Sekuritas investment unit offers financial and securities underwriting services as follows:

Securities subscription.

Financial advice.

Principal Investment.

The company also received various international and national awards, such as Best in Indonesia for ten consecutive years from Global Finance, Best Investment in Indonesia for three consecutive years from Finance Asia, etc.

Other Major Investment Banks in Indonesia

We can identify several tops among Jakarta-based Indonesian investments, as follows:

• PT Bank DBS Indonesia in collaboration with DBS Vickers Securities Indonesia and DBS Bank. DBSI offers a wide range of banking services including corporate and consumer lending, wealth management, time deposits, trade financing, savings accounts, checking accounts, foreign exchange services and money markets.

• Citi has been active in Indonesia since 1968 and has an independent investment research and equity sales team, also investment banking professionals, based in Jakarta.

• BNP Paribas Securities Indonesia has been present in Indonesia since 1970 and specializes in a full range of investment products such as Equity Research & Capital Markets, Merger and Acquisitions, Corporate Advisory Services.

• PT CIMB Securities Indonesia has been established in Indonesia since 1991 and has built an outstanding franchise in institutional equities, especially in institutional sales, research and trading.

Over the years, we have seen that the world is dominated by technology. In fact, we can see a variety of inventions all over the world. A couple of years ago, everything was done manually. Today, many fields hardly use the services of people. In this article we are going to talk about parking meters. Keep reading to know more.

A few years ago, there were only conventional parking lots that allowed people to park their cars. And then there were also paid parking lots. Some workers were there to manage the parking lots. Today we have parking meters that have eliminated the need for people.

Introduction

A parking meter is also known as a parking payment machine. It charges you money and allows you to park your vehicle for a limited time. The cost varies from place to place.

This new system has improved efficiency and reduced traffic significantly. Today, municipalities can use this system to allow vehicle owners to park in the right place instead of on the streets. This can help solve many traffic related problems.

The history

For the first time the term was used in 1928. However, it did not receive much attention for a couple of years. So the first properly working parking meter was installed in 1935. This parking meter accepted coins from those who wanted to park their vehicles.

Today’s parking meters offer a lot of flexibility. With the passage of time, an increasing number of users started using the system and it became popular all over the world. However, in developing countries, it is still a new concept.

However, it continues to grow in popularity and more and more people are adopting the new system for their convenience.

today’s parking meters

Today, you can find different types of parking payment machines. Although there are many types, the multi-space ones are the most popular. They control more than one space for each block.

Another great feature of these systems is that they offer better efficiency and performance. Also, they have many user-friendly features. Therefore, they are quite easy to use.

You can read the instructions on the screen if you have never used these machines before. And the good thing is that most of these machines are cordless and easy to use.

utility

Although some people misuse the meter, these machines are very useful to people all over the world. Now, you don’t have to spend a lot of time looking for the right place to park your vehicle.

Apart from this, some machines also keep records of all the vehicles they serve. This is a great feature for law enforcement agencies around the world.

In short, you can find many companies that make excellent parking meters. If you want to buy this type of machine, we suggest you order online. After ordering, you will receive the unit at your doorstep in a few days. Hopefully, you will find this article useful.

Residential boats are a way to share the expenses instead of owning your own private yacht. The concept seems reasonable, but there is some price gouging going on in the business.

The ship that started the current rush of luxury residential homes aboard cruise ships was “The World,” operated and managed by ResidenSea. All of the residences aboard “The World” are already sold out, but occasionally an owner puts one up for sale. If you have to ask the price, you probably can’t afford it.

Residential Cruise Line, LTD. Offers 1 bedroom, 1 bath, 624 sf. apartments at “The Magellan” for only $2,160,000. 4 bedrooms, 4.5 baths, 4,334 square feet. unit will cost you $15,460,000 to purchase and an annual maintenance fee of $542,000.

Not to be outdone, The Four Seasons Ocean Residences has units ranging from $3.75 million to $39 million, and sizes range from 797 square feet for a 1-bedroom unit to 7,860 square feet for a 4-bedroom unit.

The “Orphalese” plans to launch in 2008. They are offering 200 permanent residences ranging from the 1,000-square-foot, 2-bedroom Pegasus Estate to the 3,700-square-foot, 5-bedroom Penthouse, which are available for full ownership. 2-bedroom apartments start at $1.8 million with $30,000 in annual fees, while penthouses start at $10 million with $78,000 in annual fees.

Voyage Partners has a ship under construction but has not yet announced prices. When they do, prices will likely fall in the range of the others on this short list of new residential cruisers.

Another ship of this caliber is in the planning stages, it will be called “Everest” and will be 656 feet long if or when built. It is having 17 apartments and a private penthouse for owners on the upper deck.

“The Orphalese” is the best bargain of the bunch, and I think the highest quality ship as well. “The Orphalese” is being built at Aker Shipyards in Finland by the same builders who recently built the world’s biggest and best mega cruise ships, including the largest of all cruise ships “The Freedom of the Seas” operated by Royal Caribbean. . Also the management of “The Orphalese” seems to be practical. There will also be 265 guest suites available on the ship for cruise passengers who do not have residences of their own.

Using the best of “The Orphalese” bunch as a benchmark, let’s see how it stacks up against real-world prices.

New cruise ships can be built for around $200 million. The construction of the most expensive new mega cruise ships cost around 500 million dollars.

All current prices for residences aboard cruise ships are exorbitant. Apparently, the rich enjoy wasting their money. It must be a matter of status to waste more money than the Joneses. For those who’d rather not waste money trying to outspend the Joneses, there’s a better way.

Occasionally a cruise line may have a new ship under construction and be in financial difficulty. They may be forced to abandon the construction project, and an unfinished ship may lie idle in a shipyard. There are such boats available now. One in particular is the following:

725′ 725ft./221m UNFINISHED 12 DECK PASSENGER VESSEL

Year: 1990

Current Price: US$15,000,000

Located in the Mediterranean

Hull Material: Steel

Engine/Fuel Type: Twin Diesel

Unfinished 12-story 725 ft/221 m passenger vessel

Steel hull and superstructure built in Poland in 1990, with an extended length of 50m/164ft. in 1995 in Greece for the original owner who went bankrupt. The new owner is not interested in completing the 13,000 ton cruiser (lightship) and is now at the stage where our proficient boatbuilders can complete it in record time according to the Buyer. specific requirements. Also ideal as a floating or ro-pax condominium project. Priced “as is, where is” with motors, generators and other equipment on board (see list below) is $15 million, or turnkey completion in 20 months for $130,000,000. Located in the eastern Mediterranean.

The aforementioned “turnkey” price of $130 million is based on the completion of the ship at the Elefsina Shipyard in Greece. It wouldn’t be wise to do that with this ship. Greek shipyards receive very few new construction projects these days, and for good reason. Trade unionists in Greece are doing a very good job improving the wages, benefits and working conditions of shipyard workers in Greece. Unfortunately, they also slow down work and increase costs.

The sale price of this boat is less than the price of a large apartment in “The Magellan”. Selling price and selling price are two different prices. This ship could probably be bought for about 11 million dollars. It would be foolish to finish this ship in a Greek union shipyard. She can be cheaply towed to nearby shipyards in Tuzla, Turkey. The ship can be finished there faster, for about half the price, and with better craftsmanship. This ship could be purchased and finished to a high standard equal to “The Orphalese” for a total cost of much less than $100 million (perhaps even as low as $60 million). It can be finished to order, with each residential unit customized to suit its owner(s). The finished product would be a completely new, modern ship with luxury homes on board that would be at least as good or better than anything on the market.

That still seems like a big part of the change. But this is a large ship and would easily accommodate 200 luxury residential units and about 200 conventional cruise cabins or so like “The Orphalese”. The average cost of the residential units would be less than $500,000. That would mean that the smallest residential units would cost much less than the median price. Also, with an additional two hundred (plus) conventional cruising cabins, cabin owners could recoup much of the operating costs and thus virtually eliminate “maintenance fees” for themselves. The expense for the owners can be less than 10% of the going rates if the buyers did not need to pay some skillful promoters and sellers, but bought the boat directly themselves sharing the actual costs by dividing the ownership of the boat among the buyers. Why would anyone want to pay ten times as much money to purchase and much higher maintenance fees for a similar onboard residential unit? The only reason I can think of is to impress others with the amount of money they can spend.

Used cruisers are an even bigger bargain. Look at the specifications of the following unfinished conversion boat for sale:

UNFINISHED YACHT FOR SALE

PRICE OF OWNERS USD 1 MILLION

FULL SPECIFICATIONS, GA AND LIST OF AVAILABLE EQUIPMENT

GREEK FLAG

ROMANIA BUILT / 1988

LAST IN DRY DOCK 1997

DIMENSIONS 116.40 X 14.20 X 5.20 DRAFT METERS

TSO/NTR 3430/2000

23 EXPECTED KNOTS

PLANNED HELIPORT

PLANNED ACCOMMODATION FOR 81 PEOPLE

CREW FACILITIES PLANNED FOR 93 MEMBERS

Once again, the sale price is subject to negotiation. Used boats can be refitted to look like new and can be brought up to International Safety Standards (SOLAS). There are shipyards all over the world that can do good quality work at even less cost than the shipyards in Tuzla, Turkey. If a ship is currently in Greece (as many are), then Tuzla is the best place to tow it for major shipyard work. The “SE” shipyards in the Black Sea port of Nikolaev, Ukraine, offer the best value for money in that part of the world. The bottom line is that savvy shoppers can score great deals, even on high-end purchases like a luxury residential home aboard a cruise ship. I keep a list of those who have expressed interest. The list is confidential and will not be shared for marketing purposes. The purpose of maintaining the list is to facilitate co-ownership directly between buyers without the involvement of intermediaries or promoters.

There are many aspects of the construction of residential buildings. Many constructions can be seen proliferating in all parts of the world. However, it is important to find the best construction company to ensure that they can address all issues that may arise. Some of the problems that businesses may face include short cash flows, the high cost of building materials, etc. Most of the construction companies that have failed are usually the smaller contractors that tried to expand very quickly.

When dealing with residential builders, there is information one should ask to understand whether or not the company is sound. It is important to deal with a company that has a long and well-established reputation. There are many companies in the construction industry that go bankrupt every year due to receivership and liquidation. The most common trait of such companies is the fact that they were still in the early stages and had been in operation for less than five years.

What happens if a company goes bankrupt?

Sometimes a construction company can fail for one reason or another. In such a case, the subcontractors and the owners suffer greatly financially. This is because they are stuck in the failed process. Owners are usually protected by a guarantee that covers the loss of the deposit or the lack of completion of any project. This is what gives the owners a lot of confidence. It is important that clients are very careful and only pay the agreed sum of money and depending on the stage of the work done.

A construction company must be very conscious of its cash flows. Most companies that have gone bankrupt before do so because of time delays or sometimes after rebuilding, insurance company type of delays. There are managers who don’t focus on finances and instead keep looking for new clients. At times, staff may need to take time off due to illness or injury and therefore push the schedule back. In most cases, smaller companies are affected more due to the limited number of staff.

With the current economic situation, everything seems to be going up in price. There are things like scaffolding needs to stay on site longer than before in order to comply with established safety laws.

How owners should find the right partner

To make sure you find the best construction partner, you can apply the traditional method where you ask for recommendations on the best player on the market. It’s important to go out and see the types of projects potential companies are working on and get a sense of the quality. You should also talk to other people who have already been through a construction experience and get their opinion and recommendations.

If you find that a builder has some projects that have stalled, that’s a very bad sign and should be your reason to think more deeply about your options.

If a builder mentions things like interim costs or says prices will be confirmed later, that’s a contract to avoid at all costs.

The ongoing credit crunch has made it much more difficult for investors to qualify for an institutionally (bank, broker, insurance company) financed commercial mortgage loan. Underwriting standards have become significantly stricter and lending parameters have been tightened. Banks accept very few operations, and even fewer close.

 

Many good loans that should be financed are being turned down out of hand. We call this situation the “funding gap.”

 

Recently, many hedge funds and private equity companies have recognized that an opportunity exists for companies that can help fill the financing gap by offering private commercial mortgages to quality borrowers who have been foreclosed by their banks. In the last 18 months, money managers have committed hundreds of millions of dollars into the commercial real estate finance sector. They are buying distressed mortgage paper directly from distressed lenders and are very willing to underwrite new loans against commercial buildings and development projects.

 

But before commercial real estate investors seek a loan from a hedge fund or other private lender, there are a few important things to know.

 

Private commercial mortgage lenders are opportunistic investors; A hedge fund is in business to earn high returns for its investors in a timely and efficient manner. The loans they offer will be short-term (rarely more than 36 months) and will carry significantly higher interest rates and origin points than a Wall Street bank or broker would. Also, hedge funds will be very aggressive in foreclosure situations; they will take your property if you do not comply.

 

The private funds and lenders we currently work with charge 10-15% annual interest with 3-4 points. This means that borrowers can expect to pay an APR of 13% to 19%. In addition to that, borrowers are responsible for the cost of any third-party reports that may be required, such as appraisals, environmental assessments, and feasibility reports.

 

On the plus side, capital is available for these private commercial home loans and deals can be closed very quickly. Most funds prefer income-producing investor-owned commercial buildings, such as apartment complexes, office buildings, or self-storage facilities. They will typically lend up to 65% of a property’s value and underwriting is based on equity and not credit. They will lend for both purchase and refinancing, but private loans are “bridge” loans and a viable and realistic exit strategy needs to be put in place. In other words, they will need to know exactly how their money will be paid back.

 

This credit crunch has been devastating to the commercial real estate industry and the problems are not going to go away. While we all wait for the situation to improve, private lenders, including Wall Street hedge funds and private equity firms, have cash and are willing to lend it.

Spring has sprung and while the weather is a bit schizophrenic at times, I’m excited for the transition. I recently got the Pier1 Imports catalog and found some really cool new items they have for spring that would make great Home Staging Props. Here are my 3 favorites and how you can incorporate them into your stage design.

Can you see how these bold and colorful tropical plates and bowls would really make your tablescape stand out? I love creating tablescapes based on really unique and exciting themes. What could be more fun than these juicy spring/summer colors?

TIP: Use unconventional placemats like large tropical leaves and add some faux fruit (pineapples would be great with this theme). This would be great fun to use to set up a backyard or can create a party atmosphere if there was a pool. Imagine how attractive this would be to buyers visiting your open house on a warm sunny day. Even if the weather isn’t optimal, they can’t help but imagine crashing waves and swaying palm trees. Add some background music and you have set the stage!

What about the Palm Leaf Chip & Dip Set and the Flower & Leaf Serving Set? TIP: You can fill the bowls and plates with dried fruit like pineapple, apricots, and bananas. Just a word of warning, don’t expect to find a lot of food after a display; people also seem to enjoy eating accessories. (I had someone take a bite out of a fake bread!) Shop the grocery stores for displayable boxed food items and don’t forget those themed cookbooks! These would also be great accessories for hosting a theme-based open house. Did you just get that tip?

I LOVE tropical soaps. They would be really fun accessories for a bathroom – creating a tropical theme without being too kitsch. Find some citrus colored towels, tie them with raffia, add silk tropical flowers, or even some flip flops – check out the one I made out of a $2 pair of slippers from Wal-Mart!

Go to http://alicetchan.com/creative-home-staging-ideas-using-props-available-at-pier-1-imports/ to see the photos. There are plenty of really cheap ideas everywhere you go. Think outside the box and be creative – that’s what makes staging so much fun. If you can engage your buyers and make your home more memorable, you will have tapped into what home staging is all about. Good luck and have a good time!!!

Science fiction meets reality with this new video display technology.

Heliodisplay includes proprietary and patent-pending technology to transform normal ambient air and display video images in free space. Some Heliodisplay models are interactive, allowing a finger or hand to move images in the air as if they were grasping a tangible object.

The Heliodisplay requires an electrical outlet and a computer, TV, DVD, or alternate video source. The current version of Heliodisplay projects a 22′ to 42′ (depending on model) diagonal image that floats above the device.

The Heliodisplay system is backward compatible and accepts most 2D video sources (PC, TV, DVD, HDTV, game consoles). For connection to a computer, Heliodisplay uses a standard monitor VGA connection; to watch TV or DVD, it connects using a standard RGB video cable.

Interest in this new technology has been so strong that curious visitors have crashed the IO2Technology website.

Obvious applications:

Less obvious examples:

While the new video capability will certainly usher in a new era in home computing and entertainment, I wouldn’t rush into buying one just yet. That is, unless, of course, you have a burning desire to part with some extra cash in a hurry.

I haven’t seen the system in person so I can’t say for sure, but the old computer axiom of “Never buy version 1.0 of anything”. probably applies here.

The price is most likely off the mark for most people. In addition, it is likely that all the system problems are not perfected yet.

I have this impression because IO2Technology is only accepting a limited number of orders at the moment. This tells me that the company has limited production capacity and is not fully prepared for the demand. They probably haven’t sold enough units yet to account for all possible system configurations and usage scenarios. So for now, I would steer clear of buying one for the home or small business.

Still, the announcement is impressive because it’s sure to create another era of “Star Trek”-like innovations and change some of the ways we react to our computers and televisions.

Visit the Heliodisplay website

Discuss Heliodisplay on the PDA forum and Mobile Today

The floor of any room is very important. The floor can make or break the entire room, it is the foundation of the room and what can make all the other parts of the room stand out. Therefore, choosing the right floor is very important if we want a room to look its best.

Many think that the flooring options are not very wide, but it is quite the opposite. There are countless different types of flooring available around the world, and each one has its own different benefits in addition to giving spaces the beauty they need.

So, if you want to know some of the types of floors that exist, here are some of the most popular on the market.

Vinyl

All vinyl flooring is made up of polyvinyl chloride (PVC) resin along with additives such as plasticizers, stabilizers, pigments and fillers and is a very popular type of flooring. This type is very convenient in that it is replaceable. If one part is badly damaged, you don’t need to replace the entire floor, just remove and replace that area. It is very easy to install.

And another advantage of vinyl is that it can be printed to resemble many different natural floor surfaces, including hardwood, natural stone, and ceramic. Mosaics can also let your imagination run wild because you can mix the individual pieces together to create any type of color pattern.

wood

Hardwood flooring is basically a wood or plank flooring where reclaimed or recycled wood planks are installed. It is also known as planks because it uses hardboard wood planks. Many like this type of flooring for its aesthetic appeal.

The advantages of wood are that it is resistant and durable, it is ecological, it does not need much maintenance, it only needs to be polished again to maintain its shine, it is a good insulator and it is hygienic. But one of the few downsides is that it can be expensive.

Bamboo

This type is becoming more and more popular. It is a type of flooring made from the bamboo plant. But it’s environmentally friendly because it’s not real wood, it’s grass. It could be considered as an alternative to hardwood.

It is highly versatile, durable, and also has resistance to insects and moisture. And it actually has natural color variations due to charring, giving the floor a honey brown or light tan color. Being very similar to hardwood, it needs very similar maintenance.

laminate

Laminate flooring, also called floating wood tile, is becoming the most popular type of flooring in the United States. It is a multi-layer synthetic flooring product and is fused through a lamination process. You can simulate wood or stone with a layer of photo appliqué that is underneath a clear, protective layer.

It is very popular because it is much easier to install and maintain than more traditional flooring options. It’s also cheaper and reasonably durable (it can resist burns, scratches, and chips) and it’s also hygienic. Laminate flooring is the right type of flooring for high traffic areas.

Ceramic

Ceramic is the type of floor considered to be the most impermeable of all. But ceramic tile isn’t just used for flooring, it’s also common to see ceramic tile for countertops because of the high gloss finish available, although that finish sometimes tends to scratch.

It can be used for outdoor flooring and for showers with an unglazed finish due to its resistance to water. But there is more than one finish available in ceramic tiles, there are others such as matte, embossed, textured, glazed and non-slip.

Marble

Marble floors are characterized by looking good in all rooms, combining with all spaces and types of designs. Marble tiles can give a room a clean, rich feel that cannot always be achieved with other flooring. Marble products are worldwide processes from metaphorical blocks of rock.

One of the things that makes marble popular is that you can get it in many different sizes, from very small to very large. Also, marble is available in so many different varieties of color. The most popular color at the moment is light brown and black.

Rug

For many years and even centuries carpets and rugs were the most popular type of flooring, but lately they have been in decline due to installation issues. But now, in an effort to bring back the carpets, there are carpet tiles. These are just like any other floor tile, but it’s a carpet tile.

With this type of carpet it is easier for anyone to install it. But the biggest advantage of all is that if there is any kind of spill or stain, that tile can be removed and replaced, rather than trying to clean the impossible stain or replacing the entire carpet in the room.

Hardwood

Classic solid wood flooring continues to be one of the staples in the flooring industry. The reason for this is simply its natural beauty and durability; Just like carpets, hardwood floors have been around and very popular for centuries.

Although it can be expensive, many people see it as a timeless investment because it will add value to any home or space, as well as provide beauty for a lifetime. There are many types of hardwood floors, but the most popular are maple, pecan, beech, cherry, oak, pine, birch, walnut, and hickory.

As you can now see, there are many types of flooring, and these are just a few. Remember that the floor is key to a nice space, so make sure you choose one that will make a room and not break it up.

A letter of intent (LOI) is a common way to express your intentions to purchase property without having to write a formal, legally binding contract. The letter of intent is presented to a seller in the preliminary stages of a project. A buyer’s intentions are spelled out clearly and simply so the seller knows exactly how he wants to buy the property and on what terms. Essentially, a letter of intent is opening a dialogue and creating a framework for that dialogue between buyers and sellers.

Definition of a letter of intent

“A Letter of Intent is basically a written statement that expresses the sender’s intention, should certain circumstances arise, to take or forego some action, such as entering into a future agreement with the recipient or, more generally, carrying out carry out the commercial activities mentioned in the Letter of Intent”.

Often submitting an LOI right after finding a building, I quickly analyzed the operating numbers and realized that a deal could be made. This entire process can take as little as 30 minutes. I want the seller to recognize that I have a serious interest in the building and not just a ‘tire kicker’. The sooner you know you have a potentially viable sale on your property, the sooner you can stop receiving calls and inquiries from others. In other words, your attention will be focused on the dialogue with me.

The letter of intent in the offer process

This Letter of Intent is not a traditional letter. You don’t write it down and forget it. It is a living document that must be updated and added to periodically throughout the bidding process. In the offer and purchase process, the letter of intent tells the seller of the property that you are interested in not only submitting a proposal to buy, but also in receiving all updates and amendments to the LOI. The LOI is an agreement to be agreed in the future. Once the Investor and the seller have reached an agreement of minds through the LOI, a formal Purchase Agreement will be drawn up.

If the letter of intent is accepted, the due diligence period will begin. It will continue until the time agreed by both parties in which, at the end of the term, a binding contract is built. Terms may change during this time if certain previously undisclosed aspects of a property are discovered. For example, there may be soil contamination where the buyer will not want to buy the property and will safely opt out of the non-binding contract. Or, perhaps the property is in much worse condition than originally thought, causing the buyer to negotiate a lower purchase price.

If it is not binding, is the letter of intent a worthless document?

A letter of intent is not an offer or a contract. It does not commit you or the seller to the project. In other words, it cannot be enforced. Often in the LOI there is often, at the bottom or in the body, a paragraph that establishes and reinforces the non-binding nature of the LOI.

This should be a basic understanding of the nature of the LOI. this language is

usually just a reinforcement is inserted so everyone can read that it is not a binding document, nor an agreement to accept in the future, unless specifically written.

The specifics of due diligence, cash flow and buyers needs, how those terms will be carried out with sellers. In most initial presentations, it is the accommodation of the seller’s financial needs that is addressed. As a result, the focus is more on the seller’s needs than the buyer’s.

For this reason, the dialogue breaks down and the purchase proposal falls by the wayside.

When the needs of the buyer and the seller are addressed in advance, it helps to secure a move to hire. s are explained in the . Buyers are often disappointed when their offers die at the LOI stage. Emotions aside, understanding the nature of the LOI is just a tool to open up the dialogue and see if an acceptable offer can be created. This allows the buyer to focus on the next viable deal. So as far as the LOI is concerned, it is a very valuable document.

Write the letter of intent

Use a formal letterhead and do not handwrite the letter of intent. A letter of intent must have five basic elements in its content:

1. The name of the Seller or Seller’s Agent

2. The name of the buyer

3. The address and description of the property

4. The details of your offer, including:

has. purchase price

b. Initial payment

against Funds

d. Terms

me. Due diligence conditions

5. Deadlines.

The body of the LOI would address the following items;

Terms: The offer price must be detailed, and the specific terms and contingencies of the financing, the initial payment, where and what type of financing will be obtained.

Conditions: We will often use this part of the LOI to request documentation related to the performance of the property, such as financial information or other items that may assist us in our due diligence.

Due Diligence Time: Specific time frame for consumption, typically around 90 to 120 days, or the so-called “drop dead” date by which the deal must be finished and the Buyer must have completed their due diligence, financing in place and ready to close on escrow.

Closing Date – The specific date by which you can complete all due diligence and arrange financing and any other clauses or provisions. When a formal contract will be drawn up if the LOI is approved if chosen, a clause making the LOI non-binding. Indicate to the seller that you are interested in being informed about any changes related to this property, that is, the LOI document itself, essentially an invitation to respond.

Conclusion: Your signature and a place for the seller’s signature: Close the letter formally with “sincerely” or a similar polite expression. Sign your name and title. Be sure to provide correct and complete contact and reference information for future correspondence. Remember to consult your lawyer, tax adviser and other advisers for more information before entering into the formal contract.