Social marketing is getting more and more popular by the minute due to popular social networking websites.  Many investors use real estate comps to value a property and then use social networking sites to market it.  Among the famous networking websites are Facebook, Twitter and MySpace.

Why is social online marketing important? It provides an easy and low-priced way of keeping traffic.  For example, I use my website, America’s Discount Home Deals to let other investors/buyers know what properties I have available for purchase.  Also, blogging is the most effective way of attracting and keeping important traffic. It does not require a huge marketing group as well as a large budget. All you have to do is to regularly update blogs with new, interesting and relevant posts. 

Social marketing permits people to develop relationships within customers, which is very crucial in the success of any business. Prior to the emergence of social marketing, most online businesses had no way of proving their qualifications to customers, no way to reach possible clients; as well as performing market researches.  Additionally, It also doesn’t depend on the quantity but on the quality of traffic. What’s the sense of having too much traffic but not having someone to buy or download anything? Social marketing gives the consumers the advantage of having the time to interact with a related society as well as collective wisdom.

Among other things, social internet marketing is preferred by search engines. Everyone uses search engines these days from what to cook tonight for dinner to purchasing their first home.  Getting “ranked” on these search engines is pivotal.  Try it yourself next time you are looking for a information on a house goggle or bing it and see how important social networking is.

Property valuation is not as straight forward as you may think.   Many investors think it is just a quick look at a set of real estate comps for a property.  A valuation is a complex issue where many factors have to be taken into account.

The three theoretical approaches to determining the value of a house are:

1. The cost approach
2. The comparable sales method
3. Income approach

The cost approach

The cost approach calculates the value by adding the land value and the depreciated value of any improvements. It is considered reliable when used on newer structures, but tends to be less reliable for older properties.

The comparable sales method

The comparable sales method estimates the value of a house by comparing it to prices of similar property sold in similar locations within a recent period of time. This is useful when there is good evidence of previous sales and is the most prevalent method in the residential property market. It reflects actual market prices, but neglects whether the property investment will be profitable or not.

Income Approach

The income approach is when the present worth of the property is estimated on the grounds of projected future net income, thereby focussing on the profitability of a property investment. However, it neglects its worth in comparison to the overall market.

There is no perfect method of assessing the value of property and in the end it is supply and demand which determine the actual price of a house.  I hope you keep these in mind when you are valuating your next property.

Bulk REOs is the next level of REO purchasing for experienced wholesale buyers. It is essentially going from dabbling with small scale real estate comps information and REO packages to swimming with the sharks.  As intimidating as it may seem, wholesale bulk REOs is really an easy to follow process. Wholesale Bulk REO takes advantage of a small window of time where REO properties are available for quick purchase before they are moved over to traditional liquidation programs. With wholesale bulk REOs, timing and acting fast is everything. Once the deal is gone, it is gone.

Wholesale REO is available trough proprietary inventory access from the top 50 banks, hedge funds, insurance inventories, and mortgage companies. Knowing this, it would be wise to take your InvestorCompsOnline account and use it to analyze your deals in a fast, reliable and accurate way. 

With something as great as wholesale bulk REOs there are few requirements, representations, warranties and special instructions that must be followed.

To get a fast train to wholesale bulk REO, there are few requirements:

•1 Signed Mutual Non-Circumvention/Non-Disclosure Agreement

•2 Signed Buyer Profile Form

•3 Signed Custom Purchase Order Form

•4 Letter of Intent

•5 Letter of Credibility/Credit

Representations and Warranties for bulk wholesale REO include:

•Portfolio and Order Profile:

•Assets are sold as is

•Acquisitions division will try to match the asset pool with the Buyer’s Profile and Custom Order

•Exceptions are minimal

•Picking/ choosing not available

•Property pools are formed from a single or more asset providers.

•Purchase Contracts

•Variable on case basis

While wholesale bulk REOs does require some effort and qualification, the discounts and profits generated well justify the little work needed. Anyone who’s in real estate investing dreaming of making it big should definitely take time and effort to explore wholesale bulk REO!