Understanding Stock Option Abbreviations, Part 1
For example, an October option with a striking price of 35 per share is referred to as an OCT 35 option, and a January option with a 50 striking price is called a JAN 50. Like the premium value, striking price is expressed without dollar signs.
The complete option description must include all four terms plus current premium: underlying stock, expiration month, striking price, and type of option (call or put). The terms, remember, must all be present to distinguish one option from another. In the following example, the single expression gives you the underlying stock, expiration month, striking price, type of option, and current premium. The Wal-Mart call expiring in September with a striking price of $60 per share currently is valued at 1.25 (premium is $125):
Wal-Mart SEP 60 Call at 1.25
When you call a broker on the telephone or log onto a web site and place a trade, an additional coding system is used to specify the expiration month and striking price, and to distinguish calls from puts. This helps to avoid misunderstandings and to classify options properly. A large number of options can exist on a single stock, so the coding system used for trading purposes is very helpful and efficient. After trading options actively, you might memorize these codes; however, it also helps to make a chart and keep it handy for quick reference.
The expiration month is always expressed first, followed immediately by the striking price. Note that striking prices of 5, 105, and 205 have identical symbols. This works because the market value of the underlying stock quickly determines which range of pricing applies for listed options. The situation for LEAPS options is more complex because price ranges can spread out over a wider range over three years, and symbols also need to distinguish between different years, and not just months. The industry is struggling with the problem of how to reduce LEAPS options to a logical and consistent system of symbols.
Example: Abbreviated Form: You want to trade in calls with September expiration and 60 striking price. The symbols to use are I for the month (September is the ninth month and I is the ninth letter); and L for the striking price. In this case, a call would have the designation IL and a September 60 put would be coded as UL.
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Stock Market
A market where the trading of company stocks and their derivatives is carried out is referred to as the stock market. The company stock and derivatives are basically securities, which are listed on the stock exchange along with the ones traded privately. The stock market trading known as the stock market trading refers to buying and selling of shares and stocks of the company.
History
Fernand Braudel, a famous historian, suggested that in the 11th century Cairo, the Jewish and Muslim merchants had set up all possible forms of trade associations and had vast knowledge of all methods of payment. The people of France in the 12th century were concerned with the management and regulation of the various debts of the agricultural communities on the behalf of the banks. These men traded with debts and were the first stock brokers. In the end of the 13th century, traders of commodities gathered at the house of a certain man called Van der Beurse and in the year 1309 they came to be known as the “Brugse Beurse”. The idea of the institution spread around quickly and the institution opened up in the neighboring countries of Amsterdam and Ghent.
The bankers of Venetian began trading in government securities in the 13th century. In year 1351, the government of Venetian spread rumors with the intentions of lowering the price of funds of the government. Bankers from Genoa, Pisa, Verona and Florence followed suit of the bankers from Venetian and started trading in government securities in the 14th century. All this was feasible as these city-states were independent and were not under the rule of a monarch. The people of Dutch started a joint stock trade company that enabled the shareholders to invest in various business opportunities and to share the profits and losses of the business. The Amsterdam Stock Exchange saw the first shares issued by the Dutch East India Company in 1602. The Dutch East India Company was the first to issue bonds and stocks. The credit of the first stock exchange, which introduced continuous stock trade, belongs to The Amsterdam Stock Exchange (also known as the Amsterdam Beurs).
Nowadays every country has a stock market. The worlds largest stock market is the New York Stock Exchange (NYSE) in the USA. The stock trade is carried out in more ways than one, the most efficient being online stock trading. The people who mediate the entire procedure of buying and selling stocks are known as the brokers. The emergence of online stock market trading led to the emergence of online stockbrokers.
Things to be considered before investing in the stock market:
- The shares should be bought at the lowest possible price, and sold at the highest. This is the basic rule that needs to be followed in order to make profits. The success or failure of the investor depends upon this particular move.
- The trend of the stock market should be well understood before investing.
- The reasons behind the bulls and bears of the market should be carefully studied and the investment should be made only after this.
- Patience is an important virtue for the investor.
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Symptoms of Scabies
What is scabies?
Symptoms of scabies include a scabies rash, which looks like tiny red bumps or blisters, and severe itching. You may also see tiny red threads between the bumps, but these are so small that they can be difficult to see. The itching is by far the worst of the symptoms of scabies. It is relentless and can keep you up at night.
Scabies is a condition in which one becomes infested with mites called Sarcoptes scabeie. These eight-legged mites are about 1/3 of a millimeter long. They cannot be seen with the naked eye but can be viewed with a magnifying glass or microscope. The mites burrow into the skin and cause a scabies rash.
How do you get scabies?
You can get scabies through close physical contact with someone who has scabies. Close physical contact is required. For instance, scabies is often transmitted during sexual contact. It can also be spread from a parent to a child or from a child to a parent when the parent is holding the child. It is unlikely to be spread during casual contact like shaking hands with someone who has scabies, though.
The mites can only live outside the body for a very short time, so you are unlikely to get scabies from bed linens, clothing, towels, etc. that have been used by a person with scabies, though it is possible. You cannot get scabies by drinking from the same cup as someone who has it or by using the same bathroom. You should avoid close contact with anyone who has symptoms of scabies or a scabies rash, however.
Scabies cannot be spread from animals to humans. Dogs can get a form of mites that is often called the mange which has symptoms of scabies similar to those humans get, but it is not the same thing. People cannot get the same form of scabies that dogs get, and dogs cannot get the same form of scabies that people get.
How do you get rid of scabies?
If you have symptoms of scabies, you will want to get scabies treatment right away. Untreated, symptoms of scabies will just get worse and the itching will grow more and more severe.
Scabies treatment may include a topical cream and/or an oral medication. Generally only one or the other is prescribed. Both are about equally effective. The topical treatment has fewer side effects, but is messier and less convenient than the oral medication. The topical cream is usually applied to the skin from the neck down, left on for about eight hours or overnight, and then washed off. This should be repeated in seven days. Oral medication is taken as soon as symptoms of scabies are diagnosed, and then a second dose is taken two weeks later. You will need to see a doctor to make sure that you have a scabies rash and not some other skin condition. Then your doctor will prescribe the appropriate treatment for you. Family members or any other persons who may have been ex posed should also be treated, even if they do not show symptoms of scabies, but to be on the safe side.
It is usually recommended that you wash bed linens and clothing in hot water to kill any mites there. Scabies can live for about 24-36 hours outside of the body, so wash any clothing, towels, or other items you have used during that length of time prior to treatment. You do not need to worry about cleaning any other items because any mites left on them will die on their own.
Scabies is easy to diagnose and treat, so make sure you see your doctor at the first sign of a scabies rash so that you can begin scabies treatment right away.
For more information about scabies and treatment, please visit for http://www.healthy-skin-guide.com/ and http://www.quickcare.org
These websites provide information on recognizing and treating the HREF="http://www.healthy-skin-guide.com/scabies-rash.html">scabies rash.
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Decorating For Christmas Memories
One of the most fun parts of Christmas, for adults and children alike, is decorating! Every family has their own decorating traditions. Some families wait until Christmas Eve to put up and decorate their Christmas tree, while other families cant even wait until after Thanksgiving to drag out the lights, ornaments, nativity scenes, and boxes and boxes of those cherished Christmas decorations.
For as many years as youve been putting out your Christmas decorations, there is always room in your home for more. And theres always a chance to learn new tricks when it comes to filling your home with the Christmas spirit.
This holiday season; dont hesitate to bring the outside in at Christmas. Pinecones, firs, and greenery can be brought inside to give your home a little Christmas warmth. Your children and grandchildren can create unique holiday treats with a little help from you. Give each child some pinecones and let them decorate with paint, glue, glitter, and fake snow. The decorated pinecones can be left in your windowsills, in baskets throughout your home, or even roped around trees in your yard, as an easy outdoor Christmas decoration.
Another great way to rev up some holiday spirit with your kids is to teach them a variety of homemade, traditional Christmas decorations. Pop some popcorn and get some cranberries to string around your tree. Or, build the biggest and best gingerbread house you have ever seen with gum drops, icing and lollipops galore. Not into edible decorations? Drag out the sewing machine and have your children help design new Christmas-themed tablecloths and placemats for the big day.
If you have a big enough property, you can even step up your Christmas decorations a notch this year and become the house on the block for people to see. This could take a little extra work, and bit more charge on your electricity bill, but it could also be a once in a lifetime experience for your young children.
Decorating Griswold style may involve loading your house with lights of every shape and color, and putting out larger decorations, like a big plastic light up Santa Claus and a few reindeer. You could also try to go with a theme, such as the top Christmas movies of all time, and have figurines and different settings on your lawn representing scenes from the movies. Then sit back and watch as the neighborhood drives by to see your new creation.
If you are not into plastic Christmas figures and extra company, you could always go with the classic lit deer, or a simply lit tree in your front yard. Garland wrapped around the columns of your house also lends a stately touch.
So, it doesnt matter if you are hanging stockings over the fireplace, unwrapping Christmas ornaments from years gone by, or setting out your favorite nutcracker, there is one important thing to remember this holiday season. Treasure each and every moment with your loved ones, and make each holiday decoration a new and cherished memory.
Thomas Easterday is the Director of Marketing for Letter By Santa. Create a new tradition with your children by ordering a memorable Santa letter this holiday season. For more information about Letter by Santa please visit http://www.letterbysanta.com .
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Although the homeless situation in the United States of America is under the radar and is only about 500,000 people, which is statistically lower than any other nation in the world, it still drives people crazy. Additionally we do need to do something about the homeless folks in our nation, but unfortunately homeless shelters are something that no one wants in the community.
The NIMBY affect is alive and well when it comes to people who wish to put in a homeless shelter. No one wants homeless people all around their businesses or in their neighborhoods, as it attracts the wrong element and potentially can lead to theft in the area. Homeless shelters need to be very aware of the importance of public relations and community goodwill in their local areas.
Convincing local residents, that a homeless shelter will be going in down the street usually sends a firestorm of frenzy to the local planning commission meeting. However, if the homeless shelters promoters can do a bang up PR job in advance using all the local media and getting local politicians and community leaders to sign on to the project, then much of the outrage can be eliminated before it starts.
We must do something about the homeless situation in the United States of America and homeless shelters are the answer to help those that want to get off the street with an easier path. Please consider this in 2006.
“Lance Winslow” - Online Think Tank forum board. If you have innovative thoughts and unique perspectives, come think with Lance; http://www.WorldThinkTank.net/. Lance is a guest writer for Our Spokane Magazine in Spokane, Washington
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You wouldnt believe how much people eat when theyre on a boat. Ive been slaving down here in this galley like well, a galley slave. Must be all that salt air.
Not that the air down here in is particularly fresh. Something to do with the loo. They all seem to think lifes too short to pump a toilet.
The toilet isnt the only thing thats primitive on this 36 foot bath toy weve hired for the weekend. Before we left port yesterday, a bloke with a grey beard showed us the ropes.
His language was so archaic it was like watching a foreign film. Why call it a cleat when thing you wind the rope around would do? He kept trying to scare us with stories about people getting beached and having to be rescued. Silly old barnacle.
I didnt much like the way he smiled when we waved him goodbye and motored away from the wharf without pulling the rope off the thingee he called a bollard. We werent trying to demolish the wharf.
Nautical door heights havent changed since the Battle of Trafalgar which accounts for the huge lumps on my head. Not that Im complaining. Nothing worse than a belligerent sailor.
I dont mind being stuck down here really. I much prefer roosting in the woody womb of the vessel to being up there white knuckling the wheel and screaming.
But I only did that once yesterday. Sailings like war, Ive decided long periods of boredom interspersed with brief moments of life threatening terror.
I was steering through a stretch of perfectly empty water, when suddenly hundreds of little yachts started whirling around us like angry bees.
The famous camaraderie of the seas went right out the porthole. Youd think the Anglo Saxons had invented only one word.
I can still see the faces of the yachtsmen I nearly sliced in half - pale and open-mouthed like portraits of the damned in a medieval painting.
A miss is as good as a mile, I said. But they told me go downstairs and cook dinner. All they think about is their stomachs.
Soon after, my husband visited me in the galley saying he needed the radio. Well, the boat does have a nice cd player. No, he said, wed run aground.
The man with the grey beards smile seemed to have widened an extra few centimentres when he turned up in a yellow rescue launch. He told us to sit on the far side of the boat while he tied a rope around the mast and hauled us out of the mud.
The yacht leaned on such a sharp angle as he roared off into the distance we were heaved into the air like acrobats from Cirque du Soleil.
Things quietened down after that. We anchored overnight in a bay. Now theyre hungry again. And they expect meals from a pathetic excuse for a fridge.
If theyre not careful Ill throw in the tea towel and run away to sea.
Helens email: notnuts@bigpond.com
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Money matters can be confusing when traveling but maybe this article will help you out. We always take lots of single and five dollar bills with us on every cruise. They come in handy for taxis, tips for tour guides, tips for the staff, and little souvenirs at craft shops. They are handy if you run across a bartender on the ship that is really treating you well.
Europe has now changed to the Euro in many countries making it easier to travel from country to country. The countries that are now using that currency are: Austria, Belgium, Finland, France, Germany, Greece, Holland, Ireland, Italy, Luxembourg, Portugal, Spain, Andorra, Monaco, San Marino, The Vatican, Martinique, Guadalupe, Montenegro, and Kosovo.
Thanks to the miracle of the ATM machine, it is now easier that ever to get money in foreign countries. Use your ATM card in the machine to get the appropriate amount of money for the days you will be in each country. This eliminates carrying lots of Travelers Checks but take a few in case of emergencies. Never carry big wads of money no matter where you travel. It makes you an instant target.
Always keep in mind that you will be unable to reconvert coins so spend them liberally. It will be necessary to know the exchange rate so you can figure out how much you will need. If you are doing a cruise in the British Isles you may make three stops in Ireland so plan for three days of the local currency if you dont want to keep finding an ATM machine.
If you are cruising around the Caribbean, every merchant takes dollars and credit cards, I recommend using Credit Cards. If you dont use the above suggestion about using the ATMs the ship will provide a service to change dollars into Euros or any other currency necessary. You should have some of the local money for buying small items such as soft drinks or a snacks, tips or local craft items. Any other purchases should be charged to your credit card because this protects you if there is something wrong with the item or it is not what it is purported to be.
The very best way to find out where the good shopping is, ask the crew. Some of the shops actually sponsor the cruise lines shopping lectures. The cruise lines will receive a commission from the stores they recommend. Its a great big commercial to a captured audience, but if there is a problem the cruise lines will stick to their policy and get you a refund. So its a matter of comfort level, go on your own if you think you are savvy enough or go with the cruise lines recommendation to be safe.
The days at sea the cruise the ships boutiques will have sales so wait until then to see if what you want has been reduced.
If you know what you want to buy when you are cruising, check out the costs at home before you go, including the discount stores. Sometimes you can get a better deal at home with the comfort of knowing its returnable if it is defective.
If you buy perfume open the sealed box before you leave port to make sure the perfume has not evaporated. At one of the islands we visited I purchased some perfume and just out of curiosity opened it when we returned to the ship. The seal was still it tact but the bottle was three quarters empty. Since we were still in port I was able to return it to the store for another bottle.
Id like to add just a word on traveling to different ports everyday and credit cards. When we were traveling in Europe I purchased several things in different ports on different days. By the third day the credit card company would no longer honor my card because they were suspicious of theft. For that reason, I always carry two credit cards and make sure both companies know I will be traveling extensively. This is a very good tip to know.
Follow this money and shopping advice and you should get along fine no matter which country you visit. Happy Cruising.
Copyright 2006 Mary Hanna All Rights Reserved.
This article may be distributed freely on your website and in your ezines, as long as this entire article, copyright notice, links and the resource box are unchanged.
Mary Hanna has cruised the world on almost all of the top cruise lines. After over 60 cruises she has decided to compile her expertise into an e-Book for either first time or seasoned cruisers. Mary has written other eBooks, Software Reviews and Practical Articles on Internet Marketing, Cruising, Gardening and Cooking.
Visit her websites at: http://www.FirstCruiseBestCruise.com, http://www.CruiseTravelDirectory.com and http://www.WebMarketingReviews.com or contact her at mhanna@cruisepublishing.com
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Here are some tips every entrepreneur and small business owner can use, to gain local media coverage, for their business. Make a habit of sending out detailed fact filled press releases that provide lots of relevant information about your business and its products to every media outlet in your region.
The fact that you are releasing a new product line is not merely enough to warrant space on their day planner, but if your release identifies one or more unique benefits or features of your product, then they may give you some face time.After all, reporters are always looking for friendly, enthusiastic people in their local area, with a story to tell. If your story is interesting, when people hear your story, they will want to know more about you and your business.
If you always share useful and important information, the local media may be willing to use your information and mention the name of your business, giving you free publicity.
Having a contact list of local media sources in your area is by far the most important starting point. This list should include the E-mail addresses of the editors of the major newspapers and other local media as well as small weeklies, entertainment papers and magazines that are published regularly.
Any time you take a trip to the grocers and retailers in your community look for these types of publications that are usually found in racks by the door. Build and keep this list updated because it will become a valuable tool for your present and future marketing campaigns.
To the media any release can be relevant if it tells the public an interesting story, in which, your business or product just happens to play a role. Maybe your product is in demand because of a new city ordinance or its the same product used by the astronauts that is being introduced for private use for the first time. You can find a hook or an angle that other businesses have not taken advantage of with any item.
Subways use of Jared and the facts that he was able to lose weight by eating their subs is a great example of finding a new angle for a product. If you cant find a hook then develop one, this provides customers with an incentive to spend their money with you instead of your competitors.
Another good way to get the medias attention is to by sponsoring a charitable event.
Find some way to get connected with the community, but it must be something from your heart, explained Michele Miller, partner at Wizard of Ads, an AZ, marketing firm, in a recent article.
It shouldnt be hard to find a worthy organization, doing a thankless job, that you can donate all or part of the sales proceeds, for a day, week, or a specified amount to help them with their budget.
The charitable component of the story will bring in media attention and create consumer awareness about your product or service. One added bonus is, the great feeling youll get, knowing that you made a difference in someones life.
Always implement a targeted public relations program, that include on-line press release distribution and viral marketing, directed to your ideal customer. Take the time to acquaint yourself with using on-line tools that can assist to get your business noticed. Be sure that any on-line releases that use web-based PR tools have been optimized to be search engine friendly in addition tailor your message to resonate with your target audience. One added benefits is that on-line releases are indexed by the search engines, for six months.
People looking for related information will have access to releases in their natural search results too. This gives them a definite edge over the traditional method. Indexed releases may become fresh news or a hot topic of discussion on a slow news day, when they hang around that long.
Nothing takes the place of having a strong marketing plan that includes effective advertising, interacting with other elements in the marketing mix, to pave the way for your product or service.
E J Jolivet is a freelance writer working, living, and writing in Houston, TX.
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Stock Trading
STOCK TRADING: non-judgment essential for profitable path
Through non-judgment, one switch focuses from the negative to the positive. If youre viewing the world of stocks as bad, problematic and loss making system, then your focus is subconsciously negative. Often, many of us even dont realize this. Being judgmental, prior to the real experience is often harmful. You should keep in mind that no risks; no gain, only pain. And that is what works with the stocks worlds too.
Traditionally, stock trading was considered to be a tedious and risky job when there was a need to spend whole day in those clumsy stock markets. However, the scene has change with the intriguing technology. It almost captured the way trading was usually done. Moreover, marketing techniques allows you to have many options to choose from various stock brokers.
Gone those days, when trading was done depending on your stockbroker only. There is whole lot of information and guidelines available on net which gets you the base of strong knowledge to trade in stocks. No more fear bugs that might have bitten you previously with a mere though to trade in stocks. Being non-judgmental however, may pay you better returns.
I know the procedure to get into stock trading must be the next anxious bug. Though the procedure of entering into stock trading has been revised, then also, there are some formalities to be completed. Seeking for an apt brokerage firm is the first step to move on. There are tones of brokerage firms market is flooded with. You will get across various offers come through your way each seducing to get trapped. However, a proper knowledge and analysis is pretty fair prior choosing any particular investment solution.
As such, this research work and analysis tends to help you improve your understanding of share market. Yes, share market posses its own book and understanding it is a great experience that pays rich dividends. Bulls and bears, stocks, commodities, day trading are few examples of its different knowledge. While selecting a share brokerage firm, keep in mind the rate of brokerage offered. However, it is always not the least brokerage that wins the quality of assistance and tips does matter.
After you pick up a stock brokerage, you should get a trading account opened there. Opening account may require some of the formalities including bit of easy paperwork. Completing the paperwork and submitting the initial amount will let the broker to get your access to the world of stocks. Stock broker is a person or firm that works for brokerage amounts providing you the necessary assistance to trade in stocks. The brokerage may differentiate according to firms. However, they are as low as 2-3$ per trade. Moreover, deep discount brokerages sometimes offer you as low as 1$ per trade. Opening an account gets software uploaded on your PCs to have direct access to stock exchange. You can see the listed companies stocks and can get into buying and selling of them.
The purchase and sale may be guided by stockbroker initially; however, it takes few hours to get into this dealing. Even a beginner can learn it too easily. Though the understanding of the fluctuations in stocks gathers with the experience, one can trade better following the tips of experts. To enhance the comfort levels, there are many T.V. channels providing information about stocks forecasting the bulls and bears.
The trading in stock sometimes demands instincts but not all time you make profits by fluke. Moreover, just getting an account opened are not only you needed. Calculations and analysis definitely help for better trading. The more you trade, more you get experienced and better you posses the understanding of risks involved. All it can be said is, stock trading may be a risky but nothing gets tough when you have apt tools, intellect broker and knowledge to be tougher.
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Where Should You Consider Investing In Commercial Real Estate?
After identifying which type of commercial property you should invest in, you probably wonder where you should consider investing. To answer this question you need to ask yourself what your investment objectives are. They could be to:
- Maximize leverage: you want to be able to borrow as much money as possible. If this is the case then most if not all properties in California will not meet your objective. Properties in California often offer 4 to 6 percents cap rate. This would require 40-65% down payment. So to maximize leverage you will need to invest outside of California where the cap rates are in the 7-9% ranges.
- Receive strong positive cash flow: most if not all of commercial properties that offer high cash flow are outside of California. These properties in turn allow you to maximize leverage, i.e. borrow up to 75% of the purchase price.
- Realize strong appreciation potential: if you invest in a right property at a good location (refer to the article What location Means in Commercial Real Estate) and right time, the biggest return often comes from appreciation. Its hard to predict the potential for appreciation for a certain area. The fact the area has strong or weak appreciation in the past does not necessarily mean it will have similar appreciation in the future. However, if you choose to invest in a newer NNN-leased property on a main road in a growing or stable area with strict zoning, i.e. limited supplies of properties then your property has a better chance to appreciate in value.
To achieve your investment objectives there is a very good chance you will invest outside of California. If so, you want to choose properties in
- More well-known metro areas that most people have an idea where these cities are.
- Growing cities.
These 2 factors will ensure your commercial property is in high demand so its easy to sell later and has low vacancy rate. You definitely dont want to invest in a tiny little city located in a middle of nowhere or declining areas where it is easy to buy but hard to sell.This article is not intended to list all the areas in the country where you should consider investing. Rather it is meant to high light a few major metro areas that you should consider; However if you have ruled out or have not considered these two metro areas, you probably dont know what you are missing!
- Atlanta Metro Area, GA: This is a clean and modern area which has taken off since the Summer Olympics in 1996. Atlanta metro is one of the fastest growing markets in the country where the cost of doing business is 97% of the national market. It has well-developed transportation network. The Hartfield-Jackson Atlanta airport is the world busiest airport. Its not an accident that UPS chose Atlanta as the main sorting center for all of its domestic next day air packages. All of UPS air packages have to be flown here for sorting before flying to their final destinations. The Atlanta Hartfield-Jackson airport is rarely shut down due to bad weather so UPS planes can fly in and depart day or night 365 days a year. Atlanta has been able to attract various companies due to well-developed infrastructure and low business costs: Home Depot, Coca Cola, CNN, Delta Airlines, UPS, Walmart, Bell South, AT&T, IBM, and Kroger. This is the place where Center of Disease Control (CDC) and the world largest Georgia Aquarium are located. The median cost of a home is around $180K in Atlanta compared to about $770K in Santa Clara. As a result, the population in this area has experienced tremendous growth. The North East suburbs, e.g. Duluth, Lawrenceville are more prosperous where population has increased 20-30% from 2000 to 2005. The current cap rate for Atlanta metro is around 7-8.5% which offers high cash flow and maximizes leverage while offers strong potential for appreciation. The leases in this area are also very favorable to landlord: NNN leases with tenants also paying for property management fees.
- Dallas/Fort Worth Metropolitan Area, TX: this is the fourth largest metro and one of the fastest growing markets in the US. It is home of 19 Fortune 500 companies: Southwest Airlines, Texas instruments, EDS, JCPenney, Kimberly Clark, ExxonMobil to name a few. The area offers an excellent transportation network, affordable housing (median cost of a home is around $150K range), and unparalleled lifestyle at reasonable cost (Cost of Living Index is 89 compared with about 170 for San Francisco which means earning 89 cents there is equivalent to $1.70 in San Francisco). Dallas Fort Worth International Airport handled 57 million passengers in 2004 and ranked the worlds third busiest airport. The rise of telecommunications and hi-tech industry in 1990s led to unprecedented growth for this area. It is forecasted this region will add another 500,000 jobs by 2010. Dallas Northern suburb is a high income, fast growing and new area. This consists of small cities such as Coppell, Keller, Denton, Flower Mound, and Colleyville with very high median household income, e.g. $80-110K/year. This area has strict zoning so there are limited supplies of commercial properties available. Commercial properties available for sale in the Dallas metro are in general fairly new and good quality. The cap rate for this region is around 7-7.5% which is very decent compared to California.
Its important to invest in the right property and the right area to meet your investment objectives. You should work with a company who specializes in commercial real estate who can advise you on where to invest. When investing outside California, you will need to hire a property manager to take care of the tenants and the property for you. In the coming issue, you will learn about issues you should know about property management.
Disclaimer: information in this article is deemed reliable but not guaranteed to be correct. There is no implied or expressed guarantee regarding results of your investment should you take the advice from this article.
David V. Tran is the CEO eFunding Inc., a commercial real estate brokerage, commercial loan broker, property management, self-directed IRA investment, TIC and syndication company in San Jose, CA. His website is http://www.efundingcom.com He may be contacted at (408) 288-5500. eFunding does business in all 50 states. He is selected as Pensco Trusts (a major self-directed IRA custodian) Preferred Professional. David is well-known for his 3 FREE real estate investment seminars:
- How to invest in commercial real estate for retirement income NOW.
- How to maximize cash flow with 1031 tax-deferred exchange.
- TIC/Syndication: strategy for small investors and self-directed IRA investors to acquire high-valued properties.
You are welcome to share this report, unedited and in its entirety, with anyone you like. You may not remove this text. 2007 eFunding, Inc.
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