HAPPY 2014!!!!!

Enjoy...

Visit http://findneworleansproperties.com/

HAPPY HOLIDAYS!

Esplanade at City Park apartments sell for $54.5M

Located in Mid-City on Bayou St. John, situated between City Park and the New Orleans Fairgrounds, The Esplanade at City Park offers a remarkable location with valuable, unmatched amenities. Utilities and gated parking are included. Other activities and features include a fitness center, business center, movie screening room, yoga and pilates, and a Wii Game Room.
A Florida investment group has sealed the deal!
For more information visit http://findneworleansproperties.com/

1031 Tax Straddling for 2014

With the end of 2013 approaching, there are investors selling real estate who are not sure whether to initiate a 1031 Exchange because they are concerned about securing replacement property. One thing to keep in mind is that the IRS does not penalize investors for attempting to complete a 1031 Exchange. However, if investors cannot successfully complete their 1031 Exchange, the taxes associated with the sale of their investment property will be due. The good news is at this time of the year, there may be a silver lining. "Tax straddling" may be an option where the taxpayer receives a one year tax deferral.
How does it work? Once a 1031 Exchange is initiated, if replacement property is not purchased to complete the exchange, the earliest the Qualified Intermediary can return the taxpayer’s funds is on the 46th day (the day after the identification time period has ended) or, in some cases, the 181st day (the day when the 1031 Exchange time period is complete). Taxpayers who enter into a 1031 Exchange during the fourth quarter of 2013 and receive their funds back from the Qualified Intermediary in 2014 have the option of deferring payment of taxes on the profits from their sale until 2015 - the due date of their 2014 tax return. Combining §1031 with §453 permits the cash received from the Qualified Intermediary at end of the exchange to be treated as a payment in the year of actual receipt, rather than in the year the property was sold.
Tax straddling provides added incentive to taxpayers selling investment property at the end of the year. Why not attempt to complete a 1031 Exchange when a one year deferral is available as the back-up plan?
Taxpayers should consult with their tax advisors since tax straddling does not apply to all sales, and any gain attributed to debt relief will still have to be recognized in the year of sale. It is also important

that the taxpayer has the intent to complete the 1031 Exchange when the 1031 account is opened.
For more tips regarding commercial real estate visit http://findneworleansproperties.com/

Issues Affecting Real Estate

Rising interest and capitalization rates top the list of issues that have future implications for real estate.

Historically low interest rates have driven the economy and real estate markets in recent years, but as rates start to rise, it could raise capitalization rates, the ratio between the income produced by an asset and its cost, which could create anxiety about investing in real estate.

 Healthcare is also an important issue that has implications for real estate. As the population ages, there will be greater demand for senior housing, requiring a change in the configuration and size of available housing, and for greater medical care, resulting in an expansion in medical facilities.

 In commercial markets, transaction volume is up, credit is available, underwriting has loosened and a full range of debt options is back. For residential markets, underwriting remains tougher but rates are near historic lows and affordability remains high.

Future housing demand from echo boomers, the 80 million Americans born between 1982 and 1995, will also impact real estate markets. Echo boomers often prefer a more flexible and active urban lifestyle, and are often willing to trade home size for location. However, the suburbs are fighting back with new bike paths, and repurposed properties to attract more future buyers.

Then there is such factor as globalization, foreign investment and the economies of other countries as variables that will continue to have a greater impact on the U.S. economy and real estate market.

Impact of the Internet on bricks-and-mortar retail stores is also a growing issue. He said retail demand is down across the country due to an increase in Internet sales, which are expected to rise from the current 6.5 percent to nearly 15 percent by 2020.

For more real estate related information http://findneworleansproperties.com/

COMING TO THE JOY THEATRE

Direct from New York, the world's #1 Dinner Show, Tony 'n Tina's Wedding, is coming to New Orleans for an exclusive engagement at the Joy Theater!  Tony 'n Tina's Wedding is the longest running Off-Broadway comedy in history. 

In this hilarious interactive comedy, the audience is part of the show.  As "invited guests," the audience begins with a ceremony followed by a rousing reception.  There's dancing, champagne toasts, a full pasta dinner and a slice of wedding cake...all provided by the Nunzio and Vitale "families."  Don't miss out on the 25th anniversary tour of Tony 'n Tina's Wedding!

More information on what's happening in New Orleans 

The Big Question: To Renovate or Rebuild?

http://findneworleansproperties.com/real-estate-news/the-big-question-to-renovate-or-rebuild

Commercial Real Estate Recovering

Development and construction of new commercial real estate – office, industrial and retail buildings – continued its climb in 2012, supporting approximately 2.3 million American jobs and contributing $303.4 billion to the nation's economy, marking the second year that the sector posted gains since 2007, according to a new report released this week by the NAIOP Research Foundation (Commercial Real Estate Development Association).

Commercial real estate alone supported at least 2.3 million American jobs in 2012

Commercial real estate contributed $303.4 billion to U.S. GDP, a 16% increase from 2011

Construction and development spending grew nearly 10% from 2011

307.5 million square feet built in 2012, a 29% increase from 2011

Top Ten States for Commercial Real Estate:

1. New York, $4.80 billion in spending, supporting 122,600 jobs

2. Texas, $4.34 billion in spending, supporting 162,877 jobs

3. Iowa, $2.92 billion in spending, supporting 85,753 jobs

4. California, $2.88 billion in spending, supporting 96,572 jobs

5. Ohio, $2.04 billion in spending, supporting 76,830 jobs

6. Florida, $1.97 billion in spending, supporting 78,274 jobs

7. Massachusetts, $1.78 billion in spending, supporting 49,653 jobs

8. North Carolina, $1.75 billion in spending, supporting 68,819 jobs

9. Illinois, $1.64 billion in spending, supporting 56,654 jobs

10. Georgia, $1.58 billion in spending, supporting 61,715 jobs

To search for commercial properties in your area go to http://findneworleansproperties.com/

1310 DAUPHINE ST, New Orleans, LA 70116

Classic beauty within a block of Cabrini Park. Masonry two story home with attached service wing constituting a most elegant home with wood floors and Italian stone floors. Currently used as a 2 bedroom 2 bath plus a rear outhouse which has been "chic-ed" up for downstairs half bath usage off of an elegant side garden/patio. Possible parking a plus. Early 1850s architecture.
Now offered for sale.
http://findneworleansproperties.com/

Economist Sees Interest Rates Leveling Off Next Year

Last week Ken Fears, a leading housing economist predicted that recent increases in mortgage interest rates will level off next year and housing sales across the nation will remain strong. He said “We see prices continuing to rise and we expect rates to be about 5.1 percent maybe up to 5.25 percent.”

Mortgage rates have increased more than 1 percentage point since May, although Thursday, they dropped to 4.5 percent from last week’s 4.75 percent.

Meanwhile, sharply rising prices have pulled more homeowners out from underwater on their mortgages — where homes are worth less than what’s owed on them. That has led to declines in foreclosures and delinquencies, reducing the inventory on banks’ balance sheets and lowering the potential for a future wave of foreclosures.

Banks also have been more comfortable making loans to people buying more expensive houses than cheaper ones, presumably because they have stronger credit. Jumbo loans usually carry higher interest rates than conforming loans, but that pattern was reversed recently, Fears noted.

Fears says the NAR expects prices to continue to rise.

For information on homes and condos for sale in the Greater New Orleans go to

FindNewOrleansProperties.com

On one of Uptowns most picturesque blocks

New on the market! True New Orleans Charm! Fantastic location!

http://findneworleansproperties.com/listings/13779/1034-joseph-street-new-orleans#.Ujez88asg4s

JULY HOME PRICES SOAR

The housing market continues its march forward, as home prices nationwide increased by 12.4 percent year-over-year in July when compared to a year prior. This boost is the 17th consecutive monthly year-over-year boost, with prices up 1.8 percent between June and July 2013. Excluding distressed sales, home prices increased on a year-over-year basis by 11.4 percent in July 2013 compared to July 2012. On a month-over-month basis, excluding distressed sales, home prices increased 1.7 percent in July 2013 compared to June 2013. Distressed sales include short sales and real estate owned (REO) transactions.

What could be bringing more buyers into the fold?

Boomerang buyers who are currently renting because they had a short sale or foreclosure in the past 2-3 years but are now eligible to purchase again.

The fact that interest rates are going up a little creates a sense of urgency among buyers. Even though prices have increased 25 percent in the past 12 months, it’s still an affordable market. We’re in a recovering market, but if you wait another year or two, you might be kicking yourself.

For information on buying a home or condo visit FindNewOrleansProperties.com

AVOIDING BIG MISTAKES IN VALUING COMMERCIAL PROPERTIES IN NEW ORLEANS

Commercial real estate in New Orleans is often valued incorrectly which can be a disaster, but it also creates opportunity: big money is made when you understand how to value commercial real estate correctly.  This article examines three basic mistakes anyone can make when valuing commercial real estate.
The first mistake commercial real estate buyers and sellers make is to depend on appraisals, whose main function is to finance the property by allowing a bank committee to say they used a logical process to make a loan to purchase the property. The appraisal value is not the same as the market value and here’s why: the appraisal looks at past sales and corrects for physical differences. Makes sense but the past is not the future. The basic assumption in all appraisals is that it assumes that the past sales that took place between a willing buyer and seller would repeat themselves. In reality, commercial real estate is always purchased by a buyer who has a specific use for that specific property and may not have the same use for an additional property even though it is similar. Often commercial real estate buyers will value a property because they can generate a certain cash flow from a business on that property. We cannot assume a nearby property has the same valuation for two reasons:

1. The buyer may have spent all their money. They may not be willing to purchase any more property, even at the same price.
2. Another buyer may have a different use for the property which would generate a different cash flow and therefore a different valuation for the property.

A good example of a useless appriasal was the purchase of a 40,000 square foot of land at 1667 Tchoupitoulas in New Orleans in June 2006 for $1.1 million, based on an appraisal and financed by Gulf Coast Bank. The buyer was unsuccessful in flipping the property and put it back on the market for sale, eventually giving it back to the bank who sold the property in December 2011 for $600,000 to Infiniti Fuels who will build a convenience store on the site.

1667 tchoupitoulas lost $500,ooo but it had a good appraisal

The second big mistake made in valuing commercial real estate is to depend on the last sale price. Often a seller believes that the market value of property is what he paid for it plus some carrying cost. Psychologically this is called “benchmarking”. In reality, the market price is what a willing buyer would pay for it, which is more accurately predicted by what other properties match his needs. This is called the “Law of Substitution”, because any buyer will ask themself, “Why should I pay one million for your property when I can get the same property down the street for $750,000?” One excellent way to determine market value is to research what other properties are selling for.
The third mistake in valuing property is not understanding “Opportunity Cost” which is the unit of some commodity “A” given up in order to obtain the same amount of commodity “B”. By overvaluing commercial real estate, a property could sit unsold for several years, resulting in the owner losing the opportunity to invest those proceeds in another property, or the stock market, or give to grandchildren to pay for a college education. Smart commercial property owners understand a financial ratio called “Return on Assets”, which is your property’s net income divided by the value of the asset.  With commercial real estate, your return is the rental income plus capital gain and property is often held several years. If you buy land for one million and forego the opportunity to sell the property for $1.5 million in 5 years because you think the property is worth 2 million, you might get your price but it might take you another 5 years to do so and your return on your asset would be 6.95% per year, not including taxes and insurance and time and property management expenses. Had you sold the property for less at $1.5 million in a shorter period of time of 5 years, your return on assets would have been 8.13% per year. Really smart commercial property owners not only know the return on assets but compare all their investments and allocate resources to the investments that have the highest return on assets with some adjustment for risk. In financial economics this is called riding the “Efficient Frontier”, and it works for Mark Cuban and can work for you too.
This entry was posted in Demand & Supply, Price Trends and tagged commercial real estate, commercial transactions, new orleans commercial property, new orleans commercial real estate, pricing commercial real estate, Real Estate Development

UPTOWN NEW ORLEANS ARCHITECTURE

Some of the most interesting real estate and architecture in the country can be found in the oak-shaded Uptown New Orleans area. The streetcar runs along St. Charles Avenue and provides not only transportation, but a charming step back in time. Audubon Park, with its jogging paths, picnic areas and world-class zoo is only one of the amenities here.

The homes in Uptown New Orleans are about 100 years old on average, and vary from unique shotguns to massive mansions.

To find out more about New Orleans Homes and Neighborhoods click the link or visit FindNewOrleansProperties.com  

BUYERS WANT TO BUY BEFORE RATES GO UP!

AREN'T THEY PRETTY?

I love the cottages in New Orleans. Some features of this style of house are thought to be influences from places in France's former colonial empire. The front porches are believed to originate from the Caribbean islands. The high gabled roof is thought to be of French Canadian origin.

To know more about New Orleans Homes and Condos

3920 Lake Trail Dr, KENNER, LA 70065 - Single Family Residential for Sale - 3 Beds, 2 Baths - Raisa Galper - Gardner Realtors, New Orleans, LA

3920 Lake Trail Dr, KENNER, LA 70065 - Single Family Residential for Sale - 3 Beds, 2 Baths - Raisa Galper - Gardner Realtors, New Orleans, LA

BUYERS WANT TO BUY BEFORE RATES GO UP!

May Pending Home Sales Highest in Six Years - Buyers   Want to Buy before Rates Go Up!

Pending home sales rose in May to the highest level since late 2006, implying a possible spark as mortgage interest rates began to rise. Contract activity is at the strongest pace since December 2006 when it reached 112.8; pending sales have been above year-ago levels for the past 25 months.

Existing-home sales are projected to increase 8.5 to 9.0 percent, reaching about 5.07 million in 2013, the highest in seven years; it would be slightly above the 5.03 million totals recorded in 2007.
Learn more about buying real estate in New Orleans, New Orleans Homes and Condos

DID YOU KNOW?

The Degas Historic Home, Courtyard, & Inn offers daily tours to give visitors a first hand look into Edgar Degas’ life in New Orleans. The tour includes exploring both houses, the surrounding Creole Neighborhood of Treme, and viewing the award-winning film “Degas in New Orleans, a Creole Sojourn”.

518 JOSEPH, NEW ORLEANS, LA 70115

This beautiful 6 yr old Revival Style condo has a beautiful balcony, dramatic crown moldings and wonderful old world touches throughout

.

3118 NASHVILLE AVE., NEW ORLEANS, LA 70125 - Single Family Residential for Sale - 4 Beds, 3 Baths - Raisa Galper - Gardner Realtors, New Orleans, LA

3118 NASHVILLE AVE., NEW ORLEANS, LA 70125 - Single Family Residential for Sale - 4 Beds, 3 Baths - Raisa Galper - Gardner Realtors, New Orleans, LA

AMAZING WINDOWS AND PORCHES, NEW ORLEANS THE BEAUTIFUL

DIFFERENT

7606 HURST ST., NEW ORLEANS, LA 70118 - Single Family Residential for Sale - 3 Beds, 2 Baths - Raisa Galper - Gardner Realtors, New Orleans, LA

7606 HURST ST., NEW ORLEANS, LA 70118 - Single Family Residential for Sale - 3 Beds, 2 Baths - Raisa Galper - Gardner Realtors, New Orleans, LA

344 METAIRIE HEIGHTS, METAIRIE, LA 70001 - Townhouse for Sale - 3 Beds, 2 Baths - Raisa Galper - Gardner Realtors, New Orleans, LA

344 METAIRIE HEIGHTS, METAIRIE, LA 70001 - Townhouse for Sale - 3 Beds, 2 Baths - Raisa Galper - Gardner Realtors, New Orleans, LA