Agents Online Real Estate Forums, Discussion, Realtors Marketing Tips

Follow AgentsOnline on Twitter

Click Here to display our logo on your site and link to us!
AgentsOnline Real Estate Discussion Forums Logo

Realtor CommunityA popular online real estate community since 1998!


Advertisements


Sponsored Links
Good Idea!
Realtors residuals

Advertisements
How To Advertise Here
How To Advertise Here

Sponsored Links
(Views)Popular Topics
I MAKE 100 COLD CALLS EVERY DAY & LOVE IT! 28229511
No new orders today 13098503
Stupid MLS comments. 3274317
What do you know about Froy Candelario, top agent in USA 1187290
Stupid QC comments and BPO requirements. 1059410
New HUD Listing Brokers---Any Update? 1026180
Is there religious content in Buffini class? 821237
Let's talk about our cars 669338
Name that Flick. Great movie Lines. 601740
Pay it Forward - BPO/REO Tips & Tricks I & II 590639
Most common items found at an REO 572990
EML 459230
REOTRANS 439590
Main Street 418338
asset val seminar in colorado 406555
assist 2 sell or 1 percent realty? 339886
HOMONYMS - There, Their, and They're 306063
Evalonline 300083
Land America 285050
Mainstreet 261859
Matched Content
Topic Options
Rate This Topic
#67197 - 08/13/05 09:15 AM Zero coupon bonds to buy RE
drobin Offline
Member

Registered: 06/03/05
Posts: 59
Loc: Boston
Has anyone ever used this approach or any bonds at all?

Top
Advertisements
#67198 - 08/13/05 10:33 AM Re: Zero coupon bonds to buy RE
Jim Lee Offline
Major Contributor

Registered: 07/01/99
Posts: 4785
Loc: Knoxville, Tennessee, Knox Cou...
Since zero coupon bonds typically sell at a huge discount from the face value how would that be used in buying real estate???
_________________________
Jim Lee, REALTORŪ, CRS, ABR, e-PRO
[url=www.KnoxvilleHomeCenter.com]www.KnoxvilleHomeCenter.com[/url]
[url=www.KnoxvilleTennesseeRealEstateBlog.com]www.KnoxvilleTennesseeRealEstateBlog.com[/url]
I am not an attorney & I am not giving you any legal advice.

Top
#67199 - 08/13/05 01:11 PM Re: Zero coupon bonds to buy RE
drobin Offline
Member

Registered: 06/03/05
Posts: 59
Loc: Boston
A book that I've read mentioned something to the effect of offering the zero bond to a seller as part of a down payment or as collateral aginst the seller carrying holding financing.

Top
#67200 - 08/14/05 11:58 AM Re: Zero coupon bonds to buy RE
Jim Lee Offline
Major Contributor

Registered: 07/01/99
Posts: 4785
Loc: Knoxville, Tennessee, Knox Cou...
Quote:
Originally posted by drobin:
A book that I've read mentioned something to the effect of offering the zero bond to a seller as part of a down payment or as collateral aginst the seller carrying holding financing.
Once again, zero coupon bonds (commonly called "zeros) sell at a huge discount from their face value because interest in only payable when you cash in the bond after it matures.

For instance a $1,000 face value zero that yields 6.15% at maturity in 20 years sells for around 290 bucks right now and is worth about 290 until the 20 years passes.

If you're selling a house for say $100,000 you need to ask yourself how excited you would be if someone offered you a handful of zeros worth $100,000 20 years from now but about 29K right now???

No sale from me.
_________________________
Jim Lee, REALTORŪ, CRS, ABR, e-PRO
[url=www.KnoxvilleHomeCenter.com]www.KnoxvilleHomeCenter.com[/url]
[url=www.KnoxvilleTennesseeRealEstateBlog.com]www.KnoxvilleTennesseeRealEstateBlog.com[/url]
I am not an attorney & I am not giving you any legal advice.

Top
#67201 - 08/17/05 05:33 AM Re: Zero coupon bonds to buy RE
drobin Offline
Member

Registered: 06/03/05
Posts: 59
Loc: Boston
James, thanks for the response. I have the basic understanding of the "zero" instrument. Would the possibility exsist for someone to accept a zero five years from maturity. Quite frankly I would not wait twenty years myself.

Top
#67202 - 08/17/05 05:36 AM Re: Zero coupon bonds to buy RE
drobin Offline
Member

Registered: 06/03/05
Posts: 59
Loc: Boston
I have have recently learned that an associate of mine actually purchased some zeros years ago to partially fund his grandchilds college tuition.

Top






Google Custom Forum Search

This Google Custom search may do a better job of searching the forums for some keywords than the old forum search does. The results do not include threads from the Asset Managers Forum however. To search that forum you will need to be actually in the Asset Managers Forum and you will need to use the old forum search below.
Search

Newest Members
Hailey, punyabhoomi, joesellsre, SAJU, David Turner
29751 Registered Users
Who's Online
7 registered (NextStep, Danny1, estatereal, Heather D, Jim Erickson, Brad), 51 Guests and 4 Spiders online.
Key: Admin, Global Mod, Mod
Shout Box

Top Posters (30 Days)
estatereal 25
Mr. Clean 23
Midlands BPO Guy 18
Trouble 18
Vermont 18
Lucky Leonardo 16
Z06Fanatic 15
Danny1 13
RonnieEmz 12
gitmonee 6
Analog Man 5
RE123 5
Bigtoe 5
David Hunter 5
txgal 5
Featured Member
Registered: 04/12/08
Posts: 7676
Facebook

How To Advertise Here


This site presented by RNC Internet Services