Today there are a plethora of property buyers springing up all across. If you’re a house owner, wanting to sell your house for some reason, because of a certain constraint, either you’ve been unwell or you have less sufficient time to manage your property investment, here’s the right place to seek out property buyers who will help you to manage your property and help you to sell your precious investment in a smart, simple, secure and hassle-free way.It’s important to seek for the right home buyers to help you through the journey of selling. The following points will help you make your property selling decision a faster, smoother and hiccup-free one.1. KNOW YOUR PROPERTY BUYERS WELL:Being a home owner, it is your right as well as privilege to know your property buyers credentials beforehand itself. A reliable property buyer will ensure a smooth and transparent sale. While it is important that both sides are mutually aware of the property sale in question, you need to share mandatory information with your house buyers and keep all communication channels open and flowing for a step-by-step, peaceful and amicable transaction.2. EDUCATE YOURSELF ABOUT YOUR OWN PROPERTY:Before initiating a sale and reaching out to property buyers, it is important to keep yourself up-to-date regarding all matters pertaining to your property. Any house buyer will want to know that you have all of the relevant papers and supporting documents for your property. Therefore, it is pertinent to keep accurate records of all papers and supporting documents in a neat and organised manner for your property sale to go in a smooth and hassle-free way.3. DO A COMPLETE LOCATION RECCE:There are many reasons why you should insist on a location check along with property buyers beforehand. A professional house buyer helps you to gauge the true potential of your sale, thereby quoting the right price to the customer. A property buyer has visited many properties before yours and as a result can suggest new areas, competent rates and interesting ideas. As a result that can definitely get you more depth from your property sale. This is possible when you take him on a complete tour of your property and allow him to ask you questions, seek answers and try to gain knowledge out of the experience of the property buyers previous assignments.4. BE PREPARED FOR ANY SITUATIONProperty buying is not everyone’s cup of Tea. It is important to be aware of the risks and obligations involved in property ownership before you buy or sell. The best insurance against any uncertainty is making sure that you are educated. Learn about the latest trends in property management, involve yourself in various property anti-risk measures and be proactive in dealing with the current scenario in a time-bound manner. This will surely help you to be prepared for the future by all means.5. SEEK INFORMATION, GATHER RESOURCES,When seeking information pertaining to your property, be lightning fast, whereas making a decision regarding the same in a slow and steady manner will help you in the long run.

A 1031 exchange is a strategy used to defer or eliminate the payment of capital gains taxes arising from selling a real estate property used for investment or for “productive use” in a business or trade. It is named as such because “1031″ is the IRS code section 1031. “Exchange” refers to the core of the strategy in which one investment property is sold (relinquished) and a new investment property is purchased (acquired) and intended to replace the sold property.*Review of Capital Gains*A capital gain is known as the profit from selling an investment. It is the difference between the cost basis of purchasing the investment and the amount for which it was sold.Capital Gain Tax Deferral Through a 1031 ExchangeA 1031 Exchange would enable the investor to avoid paying tax on the capital gains realized from the sale of an investment or business property. A third party intermediary, an entity not related to either party, would retain the capital gains (profit) from the sale until a replacement investment property is found and purchased by the investor.The capital gains realized from the sale of the investment property will be applied to the purchase of the newly acquired property, thus avoiding the payment of capital gains taxes. Very specific requirements must be met and only certain properties qualify for a 1031 exchange.Determining If Your Property Qualifies For a 1031 ExchangeThe detailed process of a 1031 is somewhat complex and it’s always advised to seek out a tax professionals’ guidance throughout this process. Any errors will disqualify the investment property exchange and the investor would be required to pay the capital gains tax.Summary of 1031 Property QualificationsCertain qualifications of the existing property and the replacement property in question must be met. These qualifications include:1. Type of Property2. Intended Use of Property3. Like-Kind Property4. Specific RequirementsType of PropertyTwo types of Real Estate Properties qualify: Business Properties and Investment Properties that are owned for the purpose generating income. This may be revenue from a business or income generated from the investment itself (ex. Rental income).*Key Point: Personal Property Does not QualifyFor example, rental properties or a Plumbing business would generally qualify for a 1031 exchange.This is a very specific requirement and excludes any personal property. While most homeowners consider their home an investment, its primary purpose is a place of residence, not to generate investment income.Summary of Properties Excluded1. Inventory2. Dealer Inventory (Flipping is excluded)3. Personal Property held for sale4. stocks, bonds and notes5. Interests in Partnerships6. Vacation homes7. Certificates of TrustIntended PurposeThe intention of current property and the replacement property must be for a business or investment purposes.* This may sound obvious, but there are some situations where intent will come into play. For instance, an investor wants to buy a rental home in Florida as part of a 1031 exchange. The investor currently owns apartment rentals and is looking to sell and replace them with the vacation home.Intended purpose will determine if this situation qualifies for a 1031. For instance, the vacation home will qualify if the intent is to collect monthly rent from tenants. However, if the investor intends to reside in the vacation home, even if only in the winter, it does not qualify for a 1031 exchange.*Key Point: Personal Property AND Vacation Homes are Excluded from a 1031 Exchange.Like-KindThe properties to be exchanged must be of “Like-Kind”. According to the IRS, the investment properties must be of similar character and nature. However, the grade and quality of the new property does not have to be similar.For instance, an investor may have own a landscaping business and wants to sell it in exchange for a residential home that he or she wants to fix up and sell for a profit. Would this qualify for a 1031 exchange? The answer is No.Purchasing homes with the intent of flipping’ them does not qualify for 1031 exchanges because they are considered “Inventory”. Inventory is not eligible for a 1031 exchange.However, a shopping center can be exchanged for an apartment complex, or raw land intended for business can be exchanged for a department store.Summary of Specific Requirements and Safe Harbor Provisions1. Both Properties are held for investment or use in a trade or business.2. A Replacement property must be identified within 45 days of the sale of the relinquished property.3. Replacement property must be purchased within 180 days of the sale of the relinquished property.4. A qualified intermediary must be designated to hold the proceeds of from the sale of the relinquished property until the closing date of the replacement property.5. To remain tax free, capital gains received from the original sale must be utilized for the purchase of the replacement property.In closing, the 1031 Exchange is an excellent strategy to protect business profits, yet it’s a complicated endeavor that requires the assistance of professional guidance and planning.

The purpose of all Commercial Property Condition Assessments (PCAs), ASTM standard E2018, is to make sure that the property and building you believe you are purchasing or leasing is actually the property being received. You will have reached that decision, in part, from the information attained via a professional inspection and Property Condition Report (PCR). Every real estate transaction is different and each transaction has its own unique set of considerations and conditions to validate before finalized. The utilization of professional third party experts in the physical property due diligence process is critical to the overall accuracy and cost efficiency of your property transaction.The Purchase or Leasing of Commercial real estate, whether it be a basic commercial net lease, a commercial triple net lease, the purchase of a church facility, a retail outlet, or the purchase of a million square foot office/warehouse, the prospective buyer or lessee absolutely must conduct an adequate level of due diligence when investigating the physical quality of the commercial real estate they are investing in.You need to know not only the physical characteristics of the real estate and buildings being acquired, but the approximate condition and age, to assess the good with the bad, such that you can adequately balance the risks and rewards being offered in conjunction with your real estate deal. The single most important part of the real estate transaction process, aside from the purchase price and profitability balance, is a well-documented review of the actual physical condition of the real property. Otherwise, you could find yourself the not so proud owner of a commercial property that, doesn’t suit your needs, costs more than you can afford in upkeep, or the ultimate remorse for investors – capital expenditures are being sunk into a property on a regular basis that someone else is utilizing and making money off of, and you are not. Suddenly, that long term lease with a solid anchor doesn’t seem so attractive anymore.The process of commercial real estate inspection begins before the offer to purchase real estate is drafted or signed, by visiting the site and discussing the physical condition of the property with the Owner and real estate brokers. This process should be considered invaluable to establishing relationships required to obtain the information that will be necessary to concrete your due diligence with a Commercial Property Condition Assessment (PCA).During negotiations and drafting of the real estate sales/lease contract it is important to recognize seller or lessor reluctance to points such as the existence and availability of important documents such as warranties, maintenance contracts, architectural and engineering plans and/or local municipality reviews and inspections. Negative reaction to the request for release of these documents by seller or lessor can imply possible deferred maintenance and/or inattention related to property and building condition(s) and inspection issues.Once the commercial real estate sales contract is signed the due diligence period begins, focus on maximizing efficiency of time and cost and prioritizing concerns to start checking off the costly big ticket items from the top down. Assuming adequate documentation is furnished by the seller for review, adequate time should be allotted to verify the information provided. Additional effort and monies that that will need to be spent to make up a shortcoming of available documentation through extra property condition assessment and additional field inspections and/or experts should be considered essential and figured into the cost of the property transaction. Ask the seller for all documents and contacts the seller received during his due diligence process when he purchased the property to speed up fact finding.Review of existing property documents where available may include:Accessibility surveys, Architectural Building plans, Certificates of Occupancy, Citations from Authorities Having Jurisdiction, Emergency evacuation plans, Environmental studies, Electrical System Construction plans, Fire-detection test and maintenance records, Fire-door inspection reports, Fire-Protection System Construction plans, Fire and Restoration records, Maintenance records, Mechanical System, Construction plans, Violation Notices from Authorities Having Jurisdiction, Construction Permits, Plumbing System Construction plans, Previous inspection reports, Roofing System Construction plans and Warranties, Safety inspection records, Seller condition disclosures, Sprinkler System Test Records, Systems and Material Warranties, Current tenant information, Current policy of title insurance, Notices of any environmental conditions, Notices of any new or special assessments or taxes, Copies of all current bills for the property, Service contracts, Evidence of current zoning, As-built plans and specifications, All construction related documents including warranties, All past and present uses of the property, Third party reports or inspections, Any surveys of the land and improvements in seller’s possession.One of the best tools available to the commercial property due diligence team is the interview process which can unlock a plethora of potentially useful information regarding the subject property.Interview of any available key personnel with specific knowledge of the property conditions may include:Owner, Tenants, Maintenance Foreman, Contracted maintenance services personnel or other contracted companies that routinely work on the property and/or building.Property Inspection, Real Estate Inspection, Building Inspection, Due Diligence Survey, as they may be labeled in the due diligence report is essential to ensure sufficiency of construction considering the intended use of the occupants and the surrounding geography and climate. The furnishing of any available plans and specifications should be helpful here, but will not end the investigation. A current commercial property condition assessment should be done by a qualified third party inspection company experienced in the type of property to be inspected. A previously performed property condition assessment or inspection is nearly always furnished for the use of a single party in a single transaction and is protected under law and not reusable nor transferable to any other party. The focus of the inspection should be primarily on site condition and building components such as the site drainage, parking, building structure, mechanical and electrical systems and general accessibility and usability of the property. Various climates and geographical regions will require more specific inspection knowledge, thus hiring a local inspector is always a good idea if possible, in lieu of hiring a company out of Wisconsin to perform due diligence on a California high-rise building on a fault line.Site Survey and Walk-Through to Observe Existing Conditions may include:Grounds and Topography, Parking, Paving, Access, Building Exterior and Façade, Building Interior, Roofing systems, Structural systems, Mechanical systems, Electrical Systems, Plumbing systems, Fire-protection systems, Vertical transportation systems, and any number of other specialty systems.The 2010 Americans with Disabilities Act is the current guideline for accessibility standards nationwide and is a federal law, hence non-negotiable and to an extent, yes, it’s retro-active even for older commercial and public buildings. Many states also have additional and/or more stringent or specific accessibility standards as well. Most professional property condition assessment and inspection companies can also perform both abbreviated and complete accessibility surveys as part of a real estate transaction.Basic abbreviated and full compliance Accessibility surveys may include:Abbreviated survey looking only for basic ADA Accessibility components visible during the walk-through and documented according to the ASTM abbreviated survey form and checklist gives a quick check as to the general status of compliance. Full compliance survey involves physical measurements of distances, slopes, and push/pull forces required within the accessibility standards to allow for a certain level of physically disabled person to be able to successfully navigate a property, site, and building.Environmental Due Diligence known as Environmental Site Assessment (ESA) is the most utilized Environmental Inspection Report. The typical level of report preferred by lenders to demonstrate adequate due diligence is called a Limited Phase I Environmental Transaction Screening ASTM standard E1528. This explores the past use of the property and the surrounding properties to identify any potential onsite or adjacent environmental problems or future liabilities. These reports normally require a significant monetary investment and take a number of weeks to complete so they should be done as soon as you have determined you will be moving forward with your due diligence. The purpose of this inspection is to determine if the property contains any hazardous materials or poses a threat in any way to its surroundings. This could be caused by underground storage tanks located on the property or runoff from the property into the water table or any other number of hazards listed by the Environmental Protection Agency. While the report is expensive, the cost of cleaning up an environmental hazard can be astronomical. While not every deal will require you to obtain a Phase I Environment Site Assessment, many lenders will require it as part of their loan guidelines. In case of a fairly new development with a clean environmental record and no neighbors of an industrial nature, a simpler less expensive and much quicker Environmental Transaction Screening ASTM standard E1528 may satisfy lender and legal requirements.Any basic environmental due diligence report may include:Research of historical site usage, aerial photography records, property transaction records, construction records, building records, EPA mapping data, local municipality topography mapping, and a through site walk-through to visually identify potential environmental issue indicators.The information contained herein is purely professional opinion and provided for general real estate inspection reference only and is not intended in any way to be a definitive guide, nor a guarantee of past, present, or future legal or state or federal requirements, nor a measure of performance of any professional services company. Best of luck to you in all of your future property, real estate, and building dealings!