How do I place a Real Estate Option trade?

To purchase Real Estate Options shares, you must be a member of IRESE. You must also complete your Investor Account Setup. Become an Investor now.

Because purchasing requires the offer amount to be available from your IRESE account, you must first transfer funds to IRESE before you can start buying.

Once you have completed all of the above steps, just before you start to investing, you should read about the ins and outs of understanding Real Estate Options.

Once your account has funds for investing, you are ready to buy. Go to the "Invest > Trade Options" page and search for a Real Estate Option share that you would be interested in purchasing and click on that shares's title to see a detail quote. Take me there

Detail Quote

This section displays detailed quote information on the selected share. Details include:

• Last Price - The price of the last buy or sell
• Today's Change - The change in price from the previous day's closing price
• Bid - The current price for selling shares
• Ask - The current price for buying shares
• Volume - The number of shares traded today
• Average Volume - The number of shares traded on average every day
• Day High - The highest price at which the stock has traded for today
• Day Low - The lowest price at which the stock has traded for today
• Year High - The highest price at which the stock has traded over the past year
• Year Low - The lowest price at which the stock has traded over the past year
• Open - The price of the first buy or sell today
• Previous Close - The price of the last sell on previous trading day

Share Price Chart

The quick chart shows the latest chart with the ability to quickly select alternate timeframes between 1 day and max years. For advanced charting capabilities, click "Detailed" link.

Financing Information

When you get to the detail quote page, you can view some information about that share. Details include:

• Option Type - type of option, can be Real Estate Call Option or Real Estate Put Option
• Shares Available - a total number of shares available for trading
• Strike Price - option strike price
• Term - option term in years
• Original Value - the value of the property at time of the contract origination
• Derived Value - the last derived value of the property, derived value are updated daily before the start of traiding
• Origination Date - date the option was originated
• Expires on - date the option expires on
• Original Price - total price and price per share of the contract at origination
• Current Price - total current price and price per share of the contract when it was last traded

Property Information

An important data about the property provided at the time the cotract was underwritten and updated as new information is available.

Property Detailed Profile

In this section, you get more information on property "Lot Details", "Interior Details" and "Local Area".

Property Pictures

Property pictures provided by Property Owner and Broker at the time of the auction.

Area Map

This section maps property physical address on the map. Various types of maps are provided.

To begin trading, click the "Trade" button.

You will then be asked to enter the following information:

• Action: Choose "Buy", which is by default if you want to buy shares or "Sell" if you want to sell shares.
• Sybmol: Share symbol, which will be filled in by default if you placing trade from share details page.
• Number of share: Enter the number of shares you want to buy.
• Order type and price: Select a pricing that meets your need (Market, Limit, Stop or Stop-Limit). Learn more about order types.
  • For Limit orders, enter the Limit Price and select All or None shares.
  • For Stop orders, enter the Stop Price.
  • For Stop-Limit orders, enter the Stop Limit Price and select All or None shares.
• Order Expiration: Select an expiration timeframe that meets your need (Good Until Canceled, End of the Day, Specific Day). Learn more about order expiration.

After clicking continue, you will be shown the trade data you specified on the same page, and asked to confirm your trade. A few very important things to note about bidding before you click that "confirm trade" button:

• When you place a bid, funds are immediately set aside in your account for that trade if you are buying.
• By placing a trade, you are committing and promising to fund and purchase the share should your trade be matched.
• If trade is completed, funds will be automatically transferred from your account to the trading party account when the trade is cleared.
• If your order is not matched, funds will be immediately made available for you to trade again elsewhere.
• Trades can be withdrawn at any time before they are completed. Learn more about canceling trade.

What price should I offer?

There are a number of design considerations that are incorporated in Real Estate Options. To price an option one requires a price of an asset, time period and strike price. Option pricing methods may include binomial tree option pricing, Black-Scholes method and many others.

All of the pricing methods require that the underlying asset has a readily available observed market price of any given property at any given time. Learn more about derived property value.

We offer market valuation tools that allows investors to research market trends.

Why are funds taken out of my account each time I place a buy trade?

Actually, the funds are never withdrawn from your IRESE account. However, they are set aside, or put in a holding tank of sorts, while your trade is active. If you trade is matched, then all of those shares would need to be paid as soon as the trade is matched. Our system operates this way because once a trade is matched, funds must always be available to transfer directly into the other trading account when trade is cleared.

What if my order can only be partially filled?

A limit order or stop-limit order will not execute until after the bid or ask price (for sells and buys, respectively) has been met or surpassed. If you choose All or None option, that when this happens, IRESE will attempt to complete your trade. If all shares can be traded, then the order will be filled and a trade confirmation will be generated.

If you did not choose All or None shares option, in some cases, the price of the security may fluctuate before all shares of the limit order or stop-limit can be traded, particularly for large share amounts. If this occurs, IRESE will leave the order open to see if the price returns to the limit parameters. If it does, then we will continue to fill the order. If it does not and the end of the market day is reached, then the partially filled limit order is closed for the day. The IRESE account portfolio positions are updated, a trade confirmation is generated for that day's activity and the trade commission will be charged.

The next steps are determined by the order expiration settings:

• Order set to expire at end of day: The order is closed and no further action will be taken. You may set up a new limit order if you wish to continue trading.
• Order is set as "Good Until Canceled": IRESE will continue to fill the remainder of the order on subsequent market days until the order is completely filled or until the default expiration date is reached (180 days after the order was placed) or until the order is manually canceled online. For every day that trading occurs for this open limit order, a trade confirmation will be generated and the trade commission will be charged.
• Order is set as "Expire On": IRESE will continue to fill the remainder of the order on subsequent market days until the order is completely filled or until the specific expiration date is reached or until the order is manually canceled online. For every day that trading occurs for this open limit order, a trade confirmation will be generated and the trade commission will be charged.