All Forum Posts by: Jared Smith

Just because you get a rental property under contract, it doesn't mean you have to buy it.

I structure my contracts so that I have several ways to get out, and also get my full earnest money deposit back, if something changes after I get a property under contract.

Below are 4 clauses to include in contracts:

Home Inspection - give yourself 10 days to have a home inspector inspect the property. If you're not happy with something the inspector finds you can renegotiate or cancel the contract.

Financing - If for some reason the bank decides not to fund your loan, you can cancel the contract.

Appraisal - If the house doesn't appraise for the amount that you're buying the house for, you can cancel the contract.

HOA/Condo Docs - usually have a certain number of days to review the rules of the association. During that period you can cancel the purchase for any reason. (Check your state laws before you use this. The HOA/Condo laws vary from state to state. You want to make sure you are familiar with your local laws.)

Of course, I am not a real estate attorney. You should always check your state laws, or consult with an attorney before acting on anything.

-Jared

Arizona's housing boom continues to appreciate faster than the national averages. If you are thinking about buying in Arizona, the interest rates have not been any more favorable. For Example: If you have an +800 Credit Score and looking for a conforming conventional loan with 3% down only, the loan amount can be up to $484,350.00 which is very attractive at a 3.875% interest rate fixed at 30 years. 

The benefit of this loan product is at 20% equity, PMI goes away. If you do a 3.5% FHA loan the PMI stays.

Also for a JUMBO Loan for any loan amount at $484,351.00 or higher, it requires a 10% down payment but NO PMI!

With interest rates going even lower, the purchasing power goes up along with property values. Arizona continues to be a safe haven for many investors escaping California and I am already in the process of buying another property myself!

Please reach out for any questions or free advice on the Arizona Market!

-Jared

Arizona

> 2018 GDP change: +4.0%
> 2018 GDP: $309.1 billion (20th largest)
> Largest contributor to growth: Manufacturing
> 1-yr. pop. change: +1.2% (9th highest)

Arizona became the first state in the nation to recognize occupational licenses for those who move here. More opportunity to enter a profession is not just good for Arizonans, but all those looking to work.  This is the best place to invest in Real Estate! #OpenForOpportunity 

BP Community! Mesa Arizona is booming!

-Jared

Mesa, AZ – Today, CAVU Aerospace, one of the world's leading providers of aircraft disassembly, aircraft recycling, asset management and MRO repairs, announced it will locate CAVU Component Repair (CCR), a new CAVU Aerospace company, in an 80,000-square-foot maintenance, repair, and overhaul (MRO) facility at The Landing at PMG, located just north of Phoenix-Mesa Gateway Airport in Mesa.

CAVU Aerospace will invest more than $5 million in the facility and hire as many as 75 employees over the next three years at an average wage of $50,000 annually.

“The fact that CAVU Aerospace chose East Mesa for their new facility is further proof that the Gateway Airport area has become a hub for the aerospace industry,” District 6 Councilmember Kevin Thompson said. “This is a tremendous addition to The Landing that will solidify its status as a go-to place for businesses.”

The Landing at PMG, where the facility will be located, is a 281,000-square-foot Class A industrial subdivision consisting of six-buildings on approximately 20 acres just south of Loop 202 at the southeast corner of Ray and Sossaman Roads in Mesa's Gateway Area.

The City of Mesa partnered with the Arizona Commerce Authority, Greater Phoenix Economic Council, the Landing PMG developer Marwest, CBRE, and Bliss Realty to attract CAVU to Mesa.

BP, more fantastic news below as it relates to real estate investing in Arizona! - Jared

Arizona’s booming tourism sector broke records again last year, with visitors spending $24.4 billion in 2018 and generating more than $1 billion in revenue for the state. In recent years, Arizona has cemented its position as a world-class destination for leisure, recreation, events, conferences, sports and more.

A record 45.4 million overnight visitors came to Arizona last year, up from 43.9 million in 2017, according to a new report from the Arizona Office of Tourism. They spent on average $67 million per day, up eight percent from the previous year’s record-breaking visitor spending total.

Tourism dollars directly supported 192,300 jobs in Arizona — representing $7.4 billion in earnings by Arizona workers. Tax revenues generated by tourism increased 17% over the previous fiscal year to a record total of $1.1 billion.

“Tourism continues to thrive in Arizona, and that benefits every resident in every part of the state,” said Governor Doug Ducey. “Not only does this $24 billion dollar industry provide more opportunities for small business and more jobs for Arizonans, tourism revenues generate more dollars to invest in the things that matter most to Arizonans like education and public safety.”

Background

This year marks the centennial of Grand Canyon National Park, the crown jewel of Arizona’s one-of-a-kind natural landscapes. 6.3 million visitors to Grand Canyon National Park in 2018 spent $947 million in communities near the park, according to a National Park Service report. That spending supported 12,558 jobs in the area and had a $1.2 billion economic impact.

World-renowned sporting events are also a key driver of tourism in Arizona. Arizona is proud to host NFL Super Bowl LVII in 2023, the NBA Final Four in 2024, the Waste Management Open, Cactus League Spring Training and 2020 NASCAR Championship Weekend.

Arizona welcomed 5.8 million international overnight visitors, a 4% increase over the previous year. Visitor numbers increased from both of the state’s top international markets, Mexico (3.7 million overnight visitors) and Canada (962,000 overnight visitors).

@Maryann Harris I appreciate that!

@Vee K. Thank you very much!

@Bevla Reeves Thank you very much!

@Jim Spatzenfeld Thank you! $1,730/month. I bought in this area for location and future appreciation and it does cash flow nicely. 1.5 years later, comps in the same neighborhood are being sold at 240-250k. Please reach out with any other questions!