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

Good Ideas
Real Estate Marketing Strategies

Inspection Central

esignatures for Realtors




How To Advertise Here

Sponsors
More Good Ideas!
Content Marketing For Realtors


Branded Content Marketing for Realtors




Build your brand on a Real Estate Site



Facebook
Sponsors
Topic Options
Rate This Topic
#67197 - 08/13/05 02:15 PM 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
Sponsor
#67198 - 08/13/05 03:33 PM 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 06:11 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 04:58 PM 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 10:33 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 10:36 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




Residential Warranty Services


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

Good Ideas!


Priority Mold Testing




How To Advertise Here

Newest Members
AgentBM88, Mjprealtor, MattyK, Mannie C, calv1n11
27168 Registered Users
Who's Online
4 registered (Mjprealtor, AgentBM88, lemonzest, dial1010), 102 Guests and 5 Spiders online.
Key: Admin, Global Mod, Mod
Shout Box

Top Posters (30 Days)
Vermont 40
David Hunter 32
12 step 4 BPOs? 24
MOMO 23
Broker John 14
estatereal 12
Bigtoe 11
jbt4re 10
GaryDavidHall 10
reolady123 9
June2012 9
AbbyD 9
RonnieEmz 8
Granta Omega 8
New2ReSales 6
(Views)Popular Topics
I MAKE 100 COLD CALLS EVERY DAY & LOVE IT! 14454141
No new orders today 10659769
Stupid MLS comments. 2328747
What do you know about Froy Candelario, top agent in USA 770115
Stupid QC comments and BPO requirements. 732748
New HUD Listing Brokers---Any Update? 684886
Is there religious content in Buffini class? 537968
EML 459220
Let's talk about our cars 438178
Pay it Forward - BPO/REO Tips & Tricks I & II 429529
Most common items found at an REO 394631
Name that Flick. Great movie Lines. 318049
Evalonline 300065
REOTRANS 297100
Land America 285044
asset val seminar in colorado 274543
Mainstreet 261851
HOMONYMS - There, Their, and They're 187565
FARVV 177361
assist 2 sell or 1 percent realty? 170142
Featured Member
Registered: 03/02/13
Posts: 346

How To Advertise Here


This site presented by RNC Internet Services