This blog gives helpful insights into the newly released book, "How to Make a Killing in the Real Estate Market." Check out the website at www.howtomakeakillinginrealestate.com
Monday, August 30, 2010
How to Buy a Bank-Owned Home
Now this video is a funny but true look at purchasing REO foreclosures!
Factors Of Mortgage Approval
By Beatrice Jordan
When applying for a mortgage, the lender you have chosen
will take many factors into account. These factors not only
influence what type of loans you can qualify for but also
what your monthly payments will be and how many years you
will take to pay the loan off completely.
Knowing these factors and doing what you can to improve
them all can make a tremendous difference when you go and
see your lender and start the process that will get you
your new property.
Some of the basic factors apply for just about any loan but
are especially important if you are trying to get a
mortgage. The big one is, yep, credit.
How good is your credit Get copies of all of your credit
reports from the 3 major consumer reporting companies and
check each one for errors.
Many times they have errors that can be corrected in just a
few weeks and that helps boost your score. If you have
credit cards, pay them off as well as any other outstanding
bills.
A nice large down payment will always improve your chances
of being approved. If your credit isn’t completely top
notch, the bigger the down payment, the more likely you
will get improved.
If your credit is great, you can still put down as much as
possible to lower the monthly payments or decrease the
total loan time.
Above all else, don’t lie to your lender. If you tell them
you are a supervisor of a power plant and they find out you
are a UPS man who has only had the job for 6 months, you
will be totally screwed. Be honest and your lender will do
their best to work with you.
When applying for a mortgage, the lender you have chosen
will take many factors into account. These factors not only
influence what type of loans you can qualify for but also
what your monthly payments will be and how many years you
will take to pay the loan off completely.
Knowing these factors and doing what you can to improve
them all can make a tremendous difference when you go and
see your lender and start the process that will get you
your new property.
Some of the basic factors apply for just about any loan but
are especially important if you are trying to get a
mortgage. The big one is, yep, credit.
How good is your credit Get copies of all of your credit
reports from the 3 major consumer reporting companies and
check each one for errors.
Many times they have errors that can be corrected in just a
few weeks and that helps boost your score. If you have
credit cards, pay them off as well as any other outstanding
bills.
A nice large down payment will always improve your chances
of being approved. If your credit isn’t completely top
notch, the bigger the down payment, the more likely you
will get improved.
If your credit is great, you can still put down as much as
possible to lower the monthly payments or decrease the
total loan time.
Above all else, don’t lie to your lender. If you tell them
you are a supervisor of a power plant and they find out you
are a UPS man who has only had the job for 6 months, you
will be totally screwed. Be honest and your lender will do
their best to work with you.
Sunday, August 29, 2010
How to Sell Your Properties Using Lease-Options
By David Finkel
Selling one of your properties on a lease-option gives you the biggest benefits of renters and buyers without the downsides that normally go along with selling or renting out your property.
When you lease-option your property you get the best parts of having a renter: monthly streams of cash-flow, tax benefits of maintaining ownership, loan amortization, and a healthy chunk of the future appreciation. You get all this without having to deal with the headaches and hassles of traditional renters.
When you lease-option your property you get the best parts of having a buyer: a large chunk of money as an up-front option payment, someone else who will take care of the day-to-day maintenance of the property, and a large profit when your buyer gets a new loan on the property and cashes you out.
Here are the four steps to sell your property using a lease-option:
Step One: Spread the word
There are three magic words to help you find your tenant-buyer for your property. These words go in bold, large print in all your advertising for the property. They are: Rent to Own. People instantly know what "rent to own" means and they also know they want it.
The two best places to invest in advertising your properties are your local newspaper and in signs around your property. Place a small classified ad in the "For Sale" section of your local paper. Also put a large "Rent to Own" sign in the front yard of the property. And put twenty to thirty signs around the neighborhood on all the major access roads leading past the property. These signs can be professionally printed, but chances are they won’t last long so do them as cheaply as possible. I have found that handmade signs on inexpensive posterboard work as well as the more expensive signs.
Both your classified ad and your signs should have the phone number of a voice mail box where you have recorded a 60-90 second message singing all the biggest benefits of the property and how easy the rent to own program makes for them to be able to own it. Use your voice mail as a screening device—ask callers how much money they have to work with as a down payment. When you run a "rent to own" ad your biggest problem will be getting too many calls! By screening callers through a voicemail box you will spend your time calling back only those who have a healthy sized chunk of cash to give you as their up-front option payment.
Step Two: Calling back prospective tenant-buyers to set up a group showing
Have you ever been faced with a prospective buyer who just won’t make up his mind about whether he wants the property or not? Or have you ever raced over to one of your units to show it to someone who just didn’t show up? There is a better way of doing it—group showings.
Whenever you can get several prospective tenant-buyers all to look at the property at the same time your property just became more attractive. You are creating a competitive environment and that means the person who wants the property needs to act fast or they will lose out to someone else. This competition will be your biggest aide to closing the deal.
The biggest mistake you can make when you are calling back the people who left their name and phone number on your property voice mail box is to invite them to a "showing" for the property. Instead set a definite "appointment" with each person to meet them at the property to have them take a look. Simply set each individual appointment all at the same time! This way not only are you creating that competitive situation, but you are also protecting your time since if two out of the nine people scheduled to meet you don’t show you still have seven people to show the property to.
Step Three: Get them to fill out an application on the spot
Some people won’t want to hurt your feelings by saying no. Instead they will ask for an application and tell you they will send it in later. Don’t fall for this common pitfall. Simply tell them that if they are really serious about the property then they should take a few minutes and fill it in right there. Also make sure you charge $10-20 for each application. Not only will this pay for your credit check of each applicant, but it will also screen out those last few people who are not truly serious about the property.
Step Four: Choose the best person and call to give them the good news
Speed is of the essence here. If you have someone who wants to have the property who has a healthy option payment and good monthly income I recommend that you get a non-refundable deposit from them to hold their position to rent to own your property. You should collect this deposit as soon as possible. Of course you will make this agreement subject your satisfactory approval of their application (if they don’t pass your evaluation your deposit agreement should say you will return their deposit to them and cancel the agreement.)
This is how you market your property as a "Rent to Own" property.
Selling one of your properties on a lease-option gives you the biggest benefits of renters and buyers without the downsides that normally go along with selling or renting out your property.
When you lease-option your property you get the best parts of having a renter: monthly streams of cash-flow, tax benefits of maintaining ownership, loan amortization, and a healthy chunk of the future appreciation. You get all this without having to deal with the headaches and hassles of traditional renters.
When you lease-option your property you get the best parts of having a buyer: a large chunk of money as an up-front option payment, someone else who will take care of the day-to-day maintenance of the property, and a large profit when your buyer gets a new loan on the property and cashes you out.
Here are the four steps to sell your property using a lease-option:
Step One: Spread the word
There are three magic words to help you find your tenant-buyer for your property. These words go in bold, large print in all your advertising for the property. They are: Rent to Own. People instantly know what "rent to own" means and they also know they want it.
The two best places to invest in advertising your properties are your local newspaper and in signs around your property. Place a small classified ad in the "For Sale" section of your local paper. Also put a large "Rent to Own" sign in the front yard of the property. And put twenty to thirty signs around the neighborhood on all the major access roads leading past the property. These signs can be professionally printed, but chances are they won’t last long so do them as cheaply as possible. I have found that handmade signs on inexpensive posterboard work as well as the more expensive signs.
Both your classified ad and your signs should have the phone number of a voice mail box where you have recorded a 60-90 second message singing all the biggest benefits of the property and how easy the rent to own program makes for them to be able to own it. Use your voice mail as a screening device—ask callers how much money they have to work with as a down payment. When you run a "rent to own" ad your biggest problem will be getting too many calls! By screening callers through a voicemail box you will spend your time calling back only those who have a healthy sized chunk of cash to give you as their up-front option payment.
Step Two: Calling back prospective tenant-buyers to set up a group showing
Have you ever been faced with a prospective buyer who just won’t make up his mind about whether he wants the property or not? Or have you ever raced over to one of your units to show it to someone who just didn’t show up? There is a better way of doing it—group showings.
Whenever you can get several prospective tenant-buyers all to look at the property at the same time your property just became more attractive. You are creating a competitive environment and that means the person who wants the property needs to act fast or they will lose out to someone else. This competition will be your biggest aide to closing the deal.
The biggest mistake you can make when you are calling back the people who left their name and phone number on your property voice mail box is to invite them to a "showing" for the property. Instead set a definite "appointment" with each person to meet them at the property to have them take a look. Simply set each individual appointment all at the same time! This way not only are you creating that competitive situation, but you are also protecting your time since if two out of the nine people scheduled to meet you don’t show you still have seven people to show the property to.
Step Three: Get them to fill out an application on the spot
Some people won’t want to hurt your feelings by saying no. Instead they will ask for an application and tell you they will send it in later. Don’t fall for this common pitfall. Simply tell them that if they are really serious about the property then they should take a few minutes and fill it in right there. Also make sure you charge $10-20 for each application. Not only will this pay for your credit check of each applicant, but it will also screen out those last few people who are not truly serious about the property.
Step Four: Choose the best person and call to give them the good news
Speed is of the essence here. If you have someone who wants to have the property who has a healthy option payment and good monthly income I recommend that you get a non-refundable deposit from them to hold their position to rent to own your property. You should collect this deposit as soon as possible. Of course you will make this agreement subject your satisfactory approval of their application (if they don’t pass your evaluation your deposit agreement should say you will return their deposit to them and cancel the agreement.)
This is how you market your property as a "Rent to Own" property.
Commercial real estate: The big profits
By Beatrice Jordan
Real estate is often termed as the safest investment avenue. In fact, real estate investments done with proper evaluation of the property (and its true value), can lead to good profits. This is one reason why some people pursue real estate investment as their full time job. The talks of real estate are generally focussed towards residential real estate; commercial real estate seems to take a back seat. However, commercial real estate too is a good option for investing in real estate.
Commercial real estate includes a lot of different kinds of properties. Most people relate commercial real estate with only office complexes or factories/ industrial units. However, that is not all of commercial real estate. There is more to commercial real estate. Health care centers, retail structures and warehouse are all good examples of commercial real estate. Even residential properties like apartments (or any property that consists of more than four residential units) are considered commercial real estate. In fact, such commercial real estate is much in demand.
So, is commercial real estate really profitable? Well, if it were not profitable I would not have been writing about commercial real estate at all. So, commercial real estate is profitable for sure. The only thing with commercial real estate is that recognising the opportunity is a bit difficult as compared to residential real estate. But commercial real estate profits can be real big (in fact, much bigger than you would expect from residential real estate of the same proportion). You could take up commercial real estate for either reselling after appreciation or for renting out to, say, retailers. The commercial real estate development is in fact treated as the first sign for growth of residential real estate. Once you know of the possibility of significant commercial growth in the region (either due to tax breaks or whatever), you should start evaluating the potential for appreciation in the prices of commercial real estate and then go for it quickly (as soon as you find a good deal). And you must really work towards getting a good deal. If you find that commercial real estate, e.g. land, is available in big chunks which are too expensive for you to buy, you could look at forming a small investor group (with your friends) and buy it together (and split the profits later). In some cases e.g. when a retail boom is expected in a region, you might find it profitable to buy a property that you can convert into a warehouse for the purpose of renting to small businesses.
So commercial real estate presents a whole plethora of investing opportunities, you just need to grab it.
Real estate is often termed as the safest investment avenue. In fact, real estate investments done with proper evaluation of the property (and its true value), can lead to good profits. This is one reason why some people pursue real estate investment as their full time job. The talks of real estate are generally focussed towards residential real estate; commercial real estate seems to take a back seat. However, commercial real estate too is a good option for investing in real estate.
Commercial real estate includes a lot of different kinds of properties. Most people relate commercial real estate with only office complexes or factories/ industrial units. However, that is not all of commercial real estate. There is more to commercial real estate. Health care centers, retail structures and warehouse are all good examples of commercial real estate. Even residential properties like apartments (or any property that consists of more than four residential units) are considered commercial real estate. In fact, such commercial real estate is much in demand.
So, is commercial real estate really profitable? Well, if it were not profitable I would not have been writing about commercial real estate at all. So, commercial real estate is profitable for sure. The only thing with commercial real estate is that recognising the opportunity is a bit difficult as compared to residential real estate. But commercial real estate profits can be real big (in fact, much bigger than you would expect from residential real estate of the same proportion). You could take up commercial real estate for either reselling after appreciation or for renting out to, say, retailers. The commercial real estate development is in fact treated as the first sign for growth of residential real estate. Once you know of the possibility of significant commercial growth in the region (either due to tax breaks or whatever), you should start evaluating the potential for appreciation in the prices of commercial real estate and then go for it quickly (as soon as you find a good deal). And you must really work towards getting a good deal. If you find that commercial real estate, e.g. land, is available in big chunks which are too expensive for you to buy, you could look at forming a small investor group (with your friends) and buy it together (and split the profits later). In some cases e.g. when a retail boom is expected in a region, you might find it profitable to buy a property that you can convert into a warehouse for the purpose of renting to small businesses.
So commercial real estate presents a whole plethora of investing opportunities, you just need to grab it.
Real estate management firms – making life easier
By Beatrice Jordan
Real estate investment can happen for various reasons. You could invest in real estate because you need a house for yourself (that house of your dreams that you so badly want). You could use real estate as a means for supplementing your income either by buying at a lower price and selling at a higher price or by renting it out. Sometimes you might buy a property for the purpose of resale but might want to wait for a few years before you actually sell it. In such a case, again it would make sense to rent out the property and earn some money till you actually decide to sell it off.
Whatever the reason, renting out real estate demands real estate management and real estate management is not an easy job for everyone. In fact, a lot of people find it so much of a hassle that they prefer keeping their property vacant instead of renting it. Real estate management demands time, which you will rarely have. Real estate management is not just about finding tenants and collecting rent from them. Real estate management is also about ensuring that you do all the duties that a landlord/landlady is required to do. Real estate management is about verifying the credentials of the tenants before you actually rent out your property to them. Real estate management is about ensuring that all the paper work is complete and correct i.e. the tenancy agreement etc are properly done. Real estate management also requires you to do repairs as and when required. Real estate management activities also include maintenance, painting, polishing etc of the house when the tenants move out and before the new tenants get in. So, really, real estate management is not that easy a job for someone who is in a full time job. However, there is a solution to this and that is hiring a real estate management firm to do all these activities on your behalf. Yes, this will mean that what you receive as an income by renting your property will be reduced (due to the commission/ fee charged by the real estate management firm). But that is just a small price for the convenience that a real estate management firm brings to you. However, it’s important that you choose the real estate management firm carefully. There are all kinds of real estate management firms out there (good and bad). You must check the references of the real estate management firm before you actually hire them for the job. A good real estate management firm will not only keep your property occupied at all times but will also ensure that you always receive the rent in time and without any hassle.
Real estate investment can happen for various reasons. You could invest in real estate because you need a house for yourself (that house of your dreams that you so badly want). You could use real estate as a means for supplementing your income either by buying at a lower price and selling at a higher price or by renting it out. Sometimes you might buy a property for the purpose of resale but might want to wait for a few years before you actually sell it. In such a case, again it would make sense to rent out the property and earn some money till you actually decide to sell it off.
Whatever the reason, renting out real estate demands real estate management and real estate management is not an easy job for everyone. In fact, a lot of people find it so much of a hassle that they prefer keeping their property vacant instead of renting it. Real estate management demands time, which you will rarely have. Real estate management is not just about finding tenants and collecting rent from them. Real estate management is also about ensuring that you do all the duties that a landlord/landlady is required to do. Real estate management is about verifying the credentials of the tenants before you actually rent out your property to them. Real estate management is about ensuring that all the paper work is complete and correct i.e. the tenancy agreement etc are properly done. Real estate management also requires you to do repairs as and when required. Real estate management activities also include maintenance, painting, polishing etc of the house when the tenants move out and before the new tenants get in. So, really, real estate management is not that easy a job for someone who is in a full time job. However, there is a solution to this and that is hiring a real estate management firm to do all these activities on your behalf. Yes, this will mean that what you receive as an income by renting your property will be reduced (due to the commission/ fee charged by the real estate management firm). But that is just a small price for the convenience that a real estate management firm brings to you. However, it’s important that you choose the real estate management firm carefully. There are all kinds of real estate management firms out there (good and bad). You must check the references of the real estate management firm before you actually hire them for the job. A good real estate management firm will not only keep your property occupied at all times but will also ensure that you always receive the rent in time and without any hassle.
Real estate appraisal
By Beatrice Jordan
Real estate appraisal – is that the real one?
Real estate appraisal or property valuation is the process of determining the value of the property on the basis of the highest and the best use of real property (which basically translates into determining the fair market value of the property). The person who performs this real estate appraisal exercise is called the real estate appraiser or property valuation surveyor. The value as determined by real estate appraisal is the fair market value. The real estate appraisal is done using various methods and the real estate appraisal values the property as different for difference purposes e.g. the real estate appraisal might assign 2 different values to the same property (Improved value and vacant value) and again the same/similar property might be assigned different values in a residential zone and a commercial zone. However, the value assigned as a result of real estate appraisal might not be the value that a real estate investor would consider when evaluating the property for investment. In fact, a real estate investor might completely ignore the value that comes out of real estate appraisal process.
A good real estate investor would evaluate the property on the basis of the developments going on in the region. So real estate appraisal as done by a real estate investor would come up with the value that the real estate investor can get out of the property by buying it at a low price and selling it at a much higher price (as in the present). Similarly, real estate investor could do his own real estate appraisal for the expected value of the property in, say 2 years time or in 5 years time. Again, a real estate investor might conduct his real estate appraisal based on what value he/she can create by investing some amount of money in the property i.e. a real estate investor might decide on buying a dirty/scary kind of property (which no one likes) and get some minor repairs, painting etc done in order to increase the value of the property (the value that the real estate investor would get by selling it in the market). So, here the meaning of real estate appraisal changes completely (and can be very different from the value that real estate appraiser would come out with if the real estate appraiser conducted a real estate appraisal exercise on the property).
A real estate investor will generally base his investment decision on this real estate appraisal that he does by himself (or gets done through someone). So, can we then term real estate appraisal as a really real ‘real estate appraisal’?
Real estate appraisal – is that the real one?
Real estate appraisal or property valuation is the process of determining the value of the property on the basis of the highest and the best use of real property (which basically translates into determining the fair market value of the property). The person who performs this real estate appraisal exercise is called the real estate appraiser or property valuation surveyor. The value as determined by real estate appraisal is the fair market value. The real estate appraisal is done using various methods and the real estate appraisal values the property as different for difference purposes e.g. the real estate appraisal might assign 2 different values to the same property (Improved value and vacant value) and again the same/similar property might be assigned different values in a residential zone and a commercial zone. However, the value assigned as a result of real estate appraisal might not be the value that a real estate investor would consider when evaluating the property for investment. In fact, a real estate investor might completely ignore the value that comes out of real estate appraisal process.
A good real estate investor would evaluate the property on the basis of the developments going on in the region. So real estate appraisal as done by a real estate investor would come up with the value that the real estate investor can get out of the property by buying it at a low price and selling it at a much higher price (as in the present). Similarly, real estate investor could do his own real estate appraisal for the expected value of the property in, say 2 years time or in 5 years time. Again, a real estate investor might conduct his real estate appraisal based on what value he/she can create by investing some amount of money in the property i.e. a real estate investor might decide on buying a dirty/scary kind of property (which no one likes) and get some minor repairs, painting etc done in order to increase the value of the property (the value that the real estate investor would get by selling it in the market). So, here the meaning of real estate appraisal changes completely (and can be very different from the value that real estate appraiser would come out with if the real estate appraiser conducted a real estate appraisal exercise on the property).
A real estate investor will generally base his investment decision on this real estate appraisal that he does by himself (or gets done through someone). So, can we then term real estate appraisal as a really real ‘real estate appraisal’?
Wednesday, August 25, 2010
Home Selling Prices
By B. Jordan
So you’ve decided to do some home selling. Congratulations, this is an exciting business you’re getting yourself into. Whether it’s selling your parents’ house, your aunts’, your close friend’s, or even your own home, there are some things to consider before you can start marketing the house. One of which is how to set the price.
It’s really important to take time before you finalize your home selling prices. If the price is too high, the home will stay in the market for too long, waiting for someone who can afford it. Even if you chose to reduce the price later, it would show the potential buyers that even the seller realize that the home selling price was too high (and probably still is). But if the price is too low, this would easily sell but eventually brings damages to the sellers’ net expectation!
If you’re selling your own home, the chances are you’re going to want to set the price as high as possible. This might seem like an obviously silly thing to do, but it happens to a lot of people who either cherish their house too much, or are simply not aware of the real value.
The first case is a lot easier to handle. Remember that apart from the location, your home selling price is a major consideration in purchasing. So no matter how much you love your house, try to set a realistic price. Some things that might decrease (or increase) your home selling price are as follows:
a. Location. Sorry, this one’s a definite. A home in a more desirable area will cost more than less desirable ones.
b. House condition. A good maintenance shows that this home is worth being looked after.
c. Surroundings. Check out schools around the house and their quality. See how the weather would take effect. Watch those pesky neighbors. These things, though seemingly miscellaneous, applies to buyers and can affect the overall home selling price.
d. Extra features. Does the house own something the market is demanding? Does your home have a pool or a beautiful patio? Don’t hesitate in taking them into account of setting the price. Be realistic, though – a dusty, never-used fireplace, no matter how classy, will do nothing to your home value.
The second case – where you’re not sure of your house’s value – is a bit more difficult. You might want to read some home selling advertisements to see the price of the houses similar to the one you’re selling.
To help you finish off with an ideal home selling price, some standardized methods of price setting have been established. A Comparable Market Analysis (CMA) is “a comparison of similar properties in the same general area that compares actual sold prices”, in other words, comparing your house to similar ones to get a rough value. Nowadays Real Estate Agents can do CMA for you, and you can even do it yourself by the help of some websites.
So you’ve decided to do some home selling. Congratulations, this is an exciting business you’re getting yourself into. Whether it’s selling your parents’ house, your aunts’, your close friend’s, or even your own home, there are some things to consider before you can start marketing the house. One of which is how to set the price.
It’s really important to take time before you finalize your home selling prices. If the price is too high, the home will stay in the market for too long, waiting for someone who can afford it. Even if you chose to reduce the price later, it would show the potential buyers that even the seller realize that the home selling price was too high (and probably still is). But if the price is too low, this would easily sell but eventually brings damages to the sellers’ net expectation!
If you’re selling your own home, the chances are you’re going to want to set the price as high as possible. This might seem like an obviously silly thing to do, but it happens to a lot of people who either cherish their house too much, or are simply not aware of the real value.
The first case is a lot easier to handle. Remember that apart from the location, your home selling price is a major consideration in purchasing. So no matter how much you love your house, try to set a realistic price. Some things that might decrease (or increase) your home selling price are as follows:
a. Location. Sorry, this one’s a definite. A home in a more desirable area will cost more than less desirable ones.
b. House condition. A good maintenance shows that this home is worth being looked after.
c. Surroundings. Check out schools around the house and their quality. See how the weather would take effect. Watch those pesky neighbors. These things, though seemingly miscellaneous, applies to buyers and can affect the overall home selling price.
d. Extra features. Does the house own something the market is demanding? Does your home have a pool or a beautiful patio? Don’t hesitate in taking them into account of setting the price. Be realistic, though – a dusty, never-used fireplace, no matter how classy, will do nothing to your home value.
The second case – where you’re not sure of your house’s value – is a bit more difficult. You might want to read some home selling advertisements to see the price of the houses similar to the one you’re selling.
To help you finish off with an ideal home selling price, some standardized methods of price setting have been established. A Comparable Market Analysis (CMA) is “a comparison of similar properties in the same general area that compares actual sold prices”, in other words, comparing your house to similar ones to get a rough value. Nowadays Real Estate Agents can do CMA for you, and you can even do it yourself by the help of some websites.
STEPS TO SELLING YOUR HOME
Selling your private property is something private as well. It requires courage and confidence. Here are some steps that will help you to sell your home:
1. Look at your home condition. This is the first step that will make you easier to get a buyer. Buyer or consumers always need a first impression. The physics of your home, inside or outside, is very important to make them contact you for the price. So, make sure you have a property that is clean, neat, and well-cared. Who want to buy a home with filthy condition? Repair the leakages and re-paint the walls will make your home even nicer and attractive.
2. Price your home. How much do you want to worth your home? Of course it depends on your home physics and external supports. External supports mean the neighborhood and public access. The more accessible and nicer neighborhood will definitely in demand and can be considered plus points for your home. Also in pricing your home, it is important to look at the market. How does the market say? Market can be a good step point to set your home price. As an additional tip, always open for negotiation! People like to bargain.
3. Advertise your home. Advertisement is always effective in getting consumers. Many ways to advertise your home:
a. Advertise your home on the newspaper. It requires extra budget, but it is worth lots of people to read your advertisement.
b. Put an announcement board or banner in front of your home. This will make everybody who crosses the street to know your sale and perhaps tell it to their relatives. The bigger the banner is the better.
c. Print lots of brochures or leaflets and disseminate it in public places. And do not make the information narrative; just a few pointers that has your home picture and contact number on it.
d. Tell your friends and relatives. This could be the easiest way to advertise your home. I personally do not prefer friend/relative-related consumers, but as long as they can give you a good price, why not? And also, friends and relatives are usually kind enough to help us to look for buyers. That’s what friends are for, right?
4. Use a broker service. Broker service will help you to market your home even better since they have lists of potential buyers. They are definitely the expert to help you in negotiating with buyers and basically arranging your home sale (from the first step). You can call them as the middleman. If you do not want to waste your time, you could just contact few brokers and ask for their services. The consequence is you have to share a certain percentage of your home selling price with them. So, if you do need to sell your home very soon, I would recommend this strategy.
Good luck in selling your home!
Making Arrangements For An Investor To Purchase Your Foreclosure Home
Would Make It Possible For You To Continue Living There
By B. Jordan
There are for sure some people who have lost their homes because of foreclosure and they have chosen to have an investor purchase their home so that they could possibly have the opportunity to continue living in their home, for a monthly payment to the investor. Many investors choose to do this because for one thing, it allows them to have yet another piece of property that they can definitely benefit from, as well as knowing right from the start that they already have someone who is interested in living there in the foreclosure home. People who get the chance to do this are really very lucky because when they lost their home due to foreclosure, they might have never thought it to be possible for them to go on living in the same home that they lost because of getting the opportunity to sell their home to a wise investor. Investors know all about this type of thing and could even provide you with helpful information that you are seeking.
Anything that you can do to prevent having to leave your home, even if it is confiscated due to foreclosure, will be very beneficial to you because of getting to enjoy being there, as you had originally planned on doing anyway. There are also other options that could make it possible for you to convince the mortgage company not to foreclose on your home. This article is for all of you out there who own a home and have concerns over whether or not you are going to be able to fit the bill and are worried about the threat of foreclosure down the road. Just knowing that you do have some available options, rather than just throwing your hands up in the air and allowing it to happen, is really a comforting and very positive feeling. Knowing that by being proactive you will more than likely have the ability to discuss your finances with the mortgage company and in return get to keep your beautiful home and protect it from the threat of foreclosure.
Something else that you should definitely know more about is the fact that you could also take out a loan, which would make it possible for you to get your monthly mortgage payments caught up and current, preventing the mortgage company from harassing you any longer, wanting to know why in the world you are not continuing to make your monthly mortgage payments as you had promised to them. Before you do choose to take out any type of loan though, please make sure that you thoroughly research it first so that you do not end up in much worse shape financially, than you were before. A foreclosure threat is something that you should definitely take very serious but there is really no need to go into full panic. Hopefully by learning more about your options, if you are ever in that position, you will know exactly what all needs to be done.
By B. Jordan
There are for sure some people who have lost their homes because of foreclosure and they have chosen to have an investor purchase their home so that they could possibly have the opportunity to continue living in their home, for a monthly payment to the investor. Many investors choose to do this because for one thing, it allows them to have yet another piece of property that they can definitely benefit from, as well as knowing right from the start that they already have someone who is interested in living there in the foreclosure home. People who get the chance to do this are really very lucky because when they lost their home due to foreclosure, they might have never thought it to be possible for them to go on living in the same home that they lost because of getting the opportunity to sell their home to a wise investor. Investors know all about this type of thing and could even provide you with helpful information that you are seeking.
Anything that you can do to prevent having to leave your home, even if it is confiscated due to foreclosure, will be very beneficial to you because of getting to enjoy being there, as you had originally planned on doing anyway. There are also other options that could make it possible for you to convince the mortgage company not to foreclose on your home. This article is for all of you out there who own a home and have concerns over whether or not you are going to be able to fit the bill and are worried about the threat of foreclosure down the road. Just knowing that you do have some available options, rather than just throwing your hands up in the air and allowing it to happen, is really a comforting and very positive feeling. Knowing that by being proactive you will more than likely have the ability to discuss your finances with the mortgage company and in return get to keep your beautiful home and protect it from the threat of foreclosure.
Something else that you should definitely know more about is the fact that you could also take out a loan, which would make it possible for you to get your monthly mortgage payments caught up and current, preventing the mortgage company from harassing you any longer, wanting to know why in the world you are not continuing to make your monthly mortgage payments as you had promised to them. Before you do choose to take out any type of loan though, please make sure that you thoroughly research it first so that you do not end up in much worse shape financially, than you were before. A foreclosure threat is something that you should definitely take very serious but there is really no need to go into full panic. Hopefully by learning more about your options, if you are ever in that position, you will know exactly what all needs to be done.
Important Information Regarding The Purchase Of A Foreclosure Home
There is a great deal of information that you should first gather before choosing to purchase a foreclosure home because sometimes you might end up not getting that great of a bargain. If you play your cards right it is very possible for you to make some really great savings by purchasing a foreclosure home. You have to spend a great deal of time doing some research so that you will have the opportunity to see what all foreclosure homes there are to choose from. Make sure that you speak with a few sales trustees and get all of the important information from them about the home, as you possibly can. They are the ones that you can truly count on to ensure that you are going to get the greatest savings that you have been anticipating and expecting. Ask them all of the important questions that you could think of, do not hesitate or hold back because they are there to help you but you will need to study over things first so that you will know what to ask of them.
Sometimes there could be serious problems throughout the home that they do not list and if you are not informed of it you will not know and could end up purchasing a foreclosure home that you are just totally unhappy with. Choosing the most appropriate way to purchase a home such as this will make all of the difference in the world, as far as making a good decision goes. This is really just as important for you to accomplish as it is for you to find that perfect foreclosure home and property that will offer you some fantastic discounts. This sort of thing is not going to just happen overnight for you, it is going to require you to make tons of phone calls, have plenty of patience to sit through meeting after meeting and a great deal of bargaining as well.
Make sure that you do perform a title search to find out which foreclosure homes in your area have any other types of liens against them that might not have been mentioned. These are very important things for you to first find out. If you can not perform this title search by yourself or if you would just feel more comfortable letting a professional do this for you, then just find yourself a title agency. If you have any difficulty finding yourself a title agency just get on the internet to locate a different title agency that can provide you with all of the information that you are looking for. Do not just solely rely on someone else to gather all of the information about a foreclosure home for you, make sure that you get up off that couch and find out some things for yourself and many times things tend to work out a little better doing it that way. Good luck and I wish you lots of bargains.
Monday, August 23, 2010
Real Estate Investing Training Video Wholesale Deal Part 1
Check out this interesting video to learn how to buy and flip a fixer upper without fixing it up!
Buying property abroad
By Beatrice Jordan
It is said that no two countries in the world have the same legal systems, nor are the systems and policies that rule the acquisition of property the same. Unfortunately, people who are buying property abroad often assume otherwise, making them susceptible of getting into a mad run with the legal intricacies of a foreign property market.
But thanks to the European Union you can now take some comfort in the knowledge that the foreigner buying property abroad are now subjected to the same rules and regulations as the locals or any othe EU citizens for the matter.
But don’t be so relaxed because even though the EU have already systematized the property buying procedures there are still some amendments done locally so this mean no single EU country has the sa,e buying procedures. Individual countries have their own property laws.
One good example of this is Spain, in this country outstanding debts attached to a property becomes the responsibility of the buyer or the new owner. And if you purchase a farmhouse or a villa with agricultural land in Italy, your farming neighbors could have the right of pre-emption. This mean they could buy back the land for less than its usual purchase price.
“This is a complicated area of tax and law” warns international estate agent Knight Frank. So it would be much better to get someone who is really good at these things to be able to make your “buying property aboard” excursion a satisfying one.
Another complication is not only countries but different regions too have their own specific property regulations. For instance, the National Spanish Law on development was revamped and passed by the Valencian Legislature in 1994 which gave local developers in certain specific circumstances the right to demand payments for infrastructure improvements or to obtain repossession orders.
Outside of the EU - from Eastern Europe to Down Under and the United States to South Africa - the legal aspects of buying property are equally variable.
In Croatia for instance, for the time being and pending the anticipated entry into the EU as early as 2006, permission to buy a property must be granted by the Ministry of Foreign Affairs before a purchase contract can be finalized. This can take anywhere from three to 12 months which is a very long time already.
In Turkey, foreigners are not allowed to buy property in villages, rural areas or in the vicinity of military land.
In New Zealand there are limits on where and how much land non-citizens can purchase, while in Australia, outsiders are restricted to buying new-build properties.
The United States presents its own set of purchase proclivities, for instance, although Britons can feely buy a US holiday home, there are restrictions on how long they can remain in the country each year, for example, 90 days unless an application is made for a B2 visa.
And in Florida you will confront restrictions in certain areas that limit the number of days per year that you can rent out your property.
While South Africa does not restrict foreign property ownership, ‘non-residents’ whose nominal place of residence, domicile or registration is outside the common monetary area of South Africa have to declare any money they bring to the country to the South African Reserve Bank.
The exigencies of buying property around the globe are hugely variable. But wherever the location, you should take great care over fundamental legalities - ranging from local taxes, registration fees, and stamp duty to zoning laws, death duties and tax treaties.
Take double taxation treaties. These international agreements limit the tax liability for a citizen of one country who is resident in another - and thus prevents the same income being taxed in two states. Out of more than 1,300 tax treaties worldwide, the UK has the largest network, covering over 100 countries.
Furthermore, do not ignore local property terms. Escrow, ‘tapu’, ‘il rogito’, or settlement may be unfamiliar, but if you are buying property in the US, Turkey, Italy or Australia respectively, these terms are integral to procedure.
And do not assume that a particular housing term in one country will have the same meaning in another 'Project homes' in Australia refer to ‘off-the-peg’ architectural designs while in the US a project home refers to government funded, and sometimes called ghetto housing.
It is said that no two countries in the world have the same legal systems, nor are the systems and policies that rule the acquisition of property the same. Unfortunately, people who are buying property abroad often assume otherwise, making them susceptible of getting into a mad run with the legal intricacies of a foreign property market.
But thanks to the European Union you can now take some comfort in the knowledge that the foreigner buying property abroad are now subjected to the same rules and regulations as the locals or any othe EU citizens for the matter.
But don’t be so relaxed because even though the EU have already systematized the property buying procedures there are still some amendments done locally so this mean no single EU country has the sa,e buying procedures. Individual countries have their own property laws.
One good example of this is Spain, in this country outstanding debts attached to a property becomes the responsibility of the buyer or the new owner. And if you purchase a farmhouse or a villa with agricultural land in Italy, your farming neighbors could have the right of pre-emption. This mean they could buy back the land for less than its usual purchase price.
“This is a complicated area of tax and law” warns international estate agent Knight Frank. So it would be much better to get someone who is really good at these things to be able to make your “buying property aboard” excursion a satisfying one.
Another complication is not only countries but different regions too have their own specific property regulations. For instance, the National Spanish Law on development was revamped and passed by the Valencian Legislature in 1994 which gave local developers in certain specific circumstances the right to demand payments for infrastructure improvements or to obtain repossession orders.
Outside of the EU - from Eastern Europe to Down Under and the United States to South Africa - the legal aspects of buying property are equally variable.
In Croatia for instance, for the time being and pending the anticipated entry into the EU as early as 2006, permission to buy a property must be granted by the Ministry of Foreign Affairs before a purchase contract can be finalized. This can take anywhere from three to 12 months which is a very long time already.
In Turkey, foreigners are not allowed to buy property in villages, rural areas or in the vicinity of military land.
In New Zealand there are limits on where and how much land non-citizens can purchase, while in Australia, outsiders are restricted to buying new-build properties.
The United States presents its own set of purchase proclivities, for instance, although Britons can feely buy a US holiday home, there are restrictions on how long they can remain in the country each year, for example, 90 days unless an application is made for a B2 visa.
And in Florida you will confront restrictions in certain areas that limit the number of days per year that you can rent out your property.
While South Africa does not restrict foreign property ownership, ‘non-residents’ whose nominal place of residence, domicile or registration is outside the common monetary area of South Africa have to declare any money they bring to the country to the South African Reserve Bank.
The exigencies of buying property around the globe are hugely variable. But wherever the location, you should take great care over fundamental legalities - ranging from local taxes, registration fees, and stamp duty to zoning laws, death duties and tax treaties.
Take double taxation treaties. These international agreements limit the tax liability for a citizen of one country who is resident in another - and thus prevents the same income being taxed in two states. Out of more than 1,300 tax treaties worldwide, the UK has the largest network, covering over 100 countries.
Furthermore, do not ignore local property terms. Escrow, ‘tapu’, ‘il rogito’, or settlement may be unfamiliar, but if you are buying property in the US, Turkey, Italy or Australia respectively, these terms are integral to procedure.
And do not assume that a particular housing term in one country will have the same meaning in another 'Project homes' in Australia refer to ‘off-the-peg’ architectural designs while in the US a project home refers to government funded, and sometimes called ghetto housing.
An Overview on Buying Home and Land in Houston Texas
By Beatrice Jordan
Houston, Texas is attracting an ever-increasing number of new residents, resulting in a boom in the buying home and land industry in this part of the country. This growing industry is attracting new builder’s as well, so competition for customers if fierce.
When buying properties the first thing to do is research. Especially if you are buying a property on a place that you are not familiar with.
If you are interested in buying home and land in Houston Texas then you do some research first on how there real state venture is done. Ask some friends from that place and gather as much information about the kind of houses that is built, the cost of construction and real state in that place.
In this way you will be able to project a tentative financial figure on how much you are about to pay and if the expenses are going to fit into your budget.
Before buying home and land in Houston Texas, you should have to consider first on how to get the best possible home for your money – one that is not just the best for your self but for your family as well, your community and your planet.
I may sound a little bit ecological in here but people in Texas are just like that. Here in Texas everyone just have the legacy of protecting their natural resources. So make keep in mind that green in Texas does not only mean money but the land as well.
You should also consider the housing price in a certain area before making a decision in buying home and land in there. In Houston, Texas the median home price ranges from $126,500.00 to 129,200.00 with a yearly increase of 2.10% based on the study conducted from the first quarter of 2002 up to the first quarter of 2003.
But probably it will be much higher this year due to the pour down of evacuees that were victims of flash floods brought by hurricane Katrina. Some of these evacuees may build there permanent homes in here, making it more competitive to buy home and land in Houston, Texas.
Buying land and home in Houston Texas is just the same as buying land in other states when it comes to the basics of real state.
Just follow the basics of buying home and land and you will surely land down on a good deal. Always make sure that before purchasing such properties you have already seen and inspected the state. Check if everything is in order.
Especially on the legal papers make sure that the right documents are given to you. Legal issues are a big burden when worse cases arise and it can cost you a big lump of money too, so check first before buying.
Consult with property attorneys and lawyers for this kind of matter, usually different states have different laws regarding ownership of land and properties. This thing may cost you a bit, but can save you a great deal of burden in the future.
Also check out the neighborhood before buying, is this kind of environmental lifestyle good for you and your family? Is it a safe place for your children to grow up?
When it comes to finances also make sure that everything is on the budget. But if ever things do not fit there are other options that you can use like housing loans which is a very popular thing these days.
Applying for a loan is easy as long as you have a good credit records. Those with bankruptcy record may have a hard time applying for one.
I am not saying that people with bad credit record cannot have housing loans they can but may take a little bit longer process than those people that have a good one. You can check out the internet for some loan listing in Houston if you are not from there.
Just remember that when buying home and land in Houston Texas you should have to be careful on so many promising promotions, it is much better to get somebody who is good and trained in this profession than to do it by yourself. Get somebody locally and who is familiar with the things around Texas.
House buying is great as long as you don’t stress out too much, stressed minds cant think well so take some time to relax when your there, Texas is great get-away place so roam around and get to know it better, this maybe your home soon anyway.
Houston, Texas is attracting an ever-increasing number of new residents, resulting in a boom in the buying home and land industry in this part of the country. This growing industry is attracting new builder’s as well, so competition for customers if fierce.
When buying properties the first thing to do is research. Especially if you are buying a property on a place that you are not familiar with.
If you are interested in buying home and land in Houston Texas then you do some research first on how there real state venture is done. Ask some friends from that place and gather as much information about the kind of houses that is built, the cost of construction and real state in that place.
In this way you will be able to project a tentative financial figure on how much you are about to pay and if the expenses are going to fit into your budget.
Before buying home and land in Houston Texas, you should have to consider first on how to get the best possible home for your money – one that is not just the best for your self but for your family as well, your community and your planet.
I may sound a little bit ecological in here but people in Texas are just like that. Here in Texas everyone just have the legacy of protecting their natural resources. So make keep in mind that green in Texas does not only mean money but the land as well.
You should also consider the housing price in a certain area before making a decision in buying home and land in there. In Houston, Texas the median home price ranges from $126,500.00 to 129,200.00 with a yearly increase of 2.10% based on the study conducted from the first quarter of 2002 up to the first quarter of 2003.
But probably it will be much higher this year due to the pour down of evacuees that were victims of flash floods brought by hurricane Katrina. Some of these evacuees may build there permanent homes in here, making it more competitive to buy home and land in Houston, Texas.
Buying land and home in Houston Texas is just the same as buying land in other states when it comes to the basics of real state.
Just follow the basics of buying home and land and you will surely land down on a good deal. Always make sure that before purchasing such properties you have already seen and inspected the state. Check if everything is in order.
Especially on the legal papers make sure that the right documents are given to you. Legal issues are a big burden when worse cases arise and it can cost you a big lump of money too, so check first before buying.
Consult with property attorneys and lawyers for this kind of matter, usually different states have different laws regarding ownership of land and properties. This thing may cost you a bit, but can save you a great deal of burden in the future.
Also check out the neighborhood before buying, is this kind of environmental lifestyle good for you and your family? Is it a safe place for your children to grow up?
When it comes to finances also make sure that everything is on the budget. But if ever things do not fit there are other options that you can use like housing loans which is a very popular thing these days.
Applying for a loan is easy as long as you have a good credit records. Those with bankruptcy record may have a hard time applying for one.
I am not saying that people with bad credit record cannot have housing loans they can but may take a little bit longer process than those people that have a good one. You can check out the internet for some loan listing in Houston if you are not from there.
Just remember that when buying home and land in Houston Texas you should have to be careful on so many promising promotions, it is much better to get somebody who is good and trained in this profession than to do it by yourself. Get somebody locally and who is familiar with the things around Texas.
House buying is great as long as you don’t stress out too much, stressed minds cant think well so take some time to relax when your there, Texas is great get-away place so roam around and get to know it better, this maybe your home soon anyway.
Buying Homes with Resale Value
By Beatrice Jordan
View is the one of the major factors that affects the resale value when buying homes. Buying homes with a pleasant view of a beach or the horizon often sell at a premium above similar homes without the view.
Though you may place a considerable dollar value on the view, future buyers may not be so like-minded. It may take you longer to find a buyer when it comes time to resell the house. Or you may end up dropping your price to more nearly match other sales prices in the neighborhood.
In short, if you are buying a house with a view, try to pay as little extra as possible. Otherwise, you might not get your money back.
Most real homes today are usually concentrated on the building itself but the lot is important too. Home with a good resale value should have lots that are as level as possible.
Assuming the property is in a typical neighborhood, the lot should be rectangular – no odd shaped lots or oddly situated lots.
Courtyard sizes are smaller in modern homes than in older homes, but there should still be a decently sized front and back yard.
Do not buy an over-landscaped property, either. You would normally pay a premium for that, which you may not be able to recover when you sell. You will get your best value if the house is moderately landscaped or under-landscaped for the area.
You can always perk up the landscaping during your ownership by humanizing the grass and adding bushes and trees. Just do not waste too much.
In each residential neighborhood, houses will vary in size and rooms, but they should not be too different. If resale value is an important consideration, you should not buy the largest model in the neighborhood.
When determining market value, the homes nearest to yours are most important. If most of the nearby houses are smaller than your house, they can act as a drag on appreciation.
On the other hand, if you buy a small or medium house for the neighborhood, the larger homes can help pull up your value. This is one of those times where determining your "wants" versus your "needs" can be extremely important.
Buying what you need in a more prestigious neighborhood may provide more financial reward than getting what you want in a less desirable neighborhood.
Three and four bedroom houses are the most popular among homebuyers, so if you can stick in that range you will have more potential buyers when it comes time to resell.
There ought to always be at least two bathrooms in a house, preferably at least two and a half. One bathroom with a place to wash up for day-to-day visitors, one for the master bedroom, and at least one to be shared by the other bedrooms.
Walk-in closets are extremely desirable for the master bedroom. For the rest of the house, just be sure there is ample closet space. Don’t disregard space for linens and towels.
Garages add to the resale value and you should always make sure to get at least a two-car garage. Lately, three-car garages have become desirable in some areas of the country.
The laundry facilities should be located somewhere convenient on the main floor of the house, but not in a place it will create an eyesore. Think about whether you want to walk up and down stairs when carrying loads of laundry.
Family activity centers on the kitchen, so this is the most important room of the house. Larger kitchens are better, and they should be provided with modern appliances.
Obviously, the dining room and breakfast nook should be located adjacent to the kitchen. In newer houses, the family room should also be extremely close to the kitchen.
There should be easy access to the back yard, as there will be occasions for barbecues and outdoor entertaining.
In addition, it should be a short trek between the garage to the kitchen so hauling groceries in from the car does not become a horrendous chore.
Swimming pools do not provide as much added value as they once did. Safety issues about families with younger children have become more publicized than in the past, so families with small children tend to avoid homes with pools.
As a result, having a pool may actually reduce the number of potential homebuyers when you try to resell the home.
View is the one of the major factors that affects the resale value when buying homes. Buying homes with a pleasant view of a beach or the horizon often sell at a premium above similar homes without the view.
Though you may place a considerable dollar value on the view, future buyers may not be so like-minded. It may take you longer to find a buyer when it comes time to resell the house. Or you may end up dropping your price to more nearly match other sales prices in the neighborhood.
In short, if you are buying a house with a view, try to pay as little extra as possible. Otherwise, you might not get your money back.
Most real homes today are usually concentrated on the building itself but the lot is important too. Home with a good resale value should have lots that are as level as possible.
Assuming the property is in a typical neighborhood, the lot should be rectangular – no odd shaped lots or oddly situated lots.
Courtyard sizes are smaller in modern homes than in older homes, but there should still be a decently sized front and back yard.
Do not buy an over-landscaped property, either. You would normally pay a premium for that, which you may not be able to recover when you sell. You will get your best value if the house is moderately landscaped or under-landscaped for the area.
You can always perk up the landscaping during your ownership by humanizing the grass and adding bushes and trees. Just do not waste too much.
In each residential neighborhood, houses will vary in size and rooms, but they should not be too different. If resale value is an important consideration, you should not buy the largest model in the neighborhood.
When determining market value, the homes nearest to yours are most important. If most of the nearby houses are smaller than your house, they can act as a drag on appreciation.
On the other hand, if you buy a small or medium house for the neighborhood, the larger homes can help pull up your value. This is one of those times where determining your "wants" versus your "needs" can be extremely important.
Buying what you need in a more prestigious neighborhood may provide more financial reward than getting what you want in a less desirable neighborhood.
Three and four bedroom houses are the most popular among homebuyers, so if you can stick in that range you will have more potential buyers when it comes time to resell.
There ought to always be at least two bathrooms in a house, preferably at least two and a half. One bathroom with a place to wash up for day-to-day visitors, one for the master bedroom, and at least one to be shared by the other bedrooms.
Walk-in closets are extremely desirable for the master bedroom. For the rest of the house, just be sure there is ample closet space. Don’t disregard space for linens and towels.
Garages add to the resale value and you should always make sure to get at least a two-car garage. Lately, three-car garages have become desirable in some areas of the country.
The laundry facilities should be located somewhere convenient on the main floor of the house, but not in a place it will create an eyesore. Think about whether you want to walk up and down stairs when carrying loads of laundry.
Family activity centers on the kitchen, so this is the most important room of the house. Larger kitchens are better, and they should be provided with modern appliances.
Obviously, the dining room and breakfast nook should be located adjacent to the kitchen. In newer houses, the family room should also be extremely close to the kitchen.
There should be easy access to the back yard, as there will be occasions for barbecues and outdoor entertaining.
In addition, it should be a short trek between the garage to the kitchen so hauling groceries in from the car does not become a horrendous chore.
Swimming pools do not provide as much added value as they once did. Safety issues about families with younger children have become more publicized than in the past, so families with small children tend to avoid homes with pools.
As a result, having a pool may actually reduce the number of potential homebuyers when you try to resell the home.
Wednesday, August 18, 2010
Buying Homes with Resale Value
View is the one of the major factors that affects the resale value when buying homes. Buying homes with a pleasant view of a beach or the horizon often sell at a premium above similar homes without the view.
Though you may place a considerable dollar value on the view, future buyers may not be so like-minded. It may take you longer to find a buyer when it comes time to resell the house. Or you may end up dropping your price to more nearly match other sales prices in the neighborhood.
In short, if you are buying a house with a view, try to pay as little extra as possible. Otherwise, you might not get your money back.
Most real homes today are usually concentrated on the building itself but the lot is important too. Home with a good resale value should have lots that are as level as possible.
Assuming the property is in a typical neighborhood, the lot should be rectangular – no odd shaped lots or oddly situated lots.
Courtyard sizes are smaller in modern homes than in older homes, but there should still be a decently sized front and back yard.
Do not buy an over-landscaped property, either. You would normally pay a premium for that, which you may not be able to recover when you sell. You will get your best value if the house is moderately landscaped or under-landscaped for the area.
You can always perk up the landscaping during your ownership by humanizing the grass and adding bushes and trees. Just do not waste too much.
In each residential neighborhood, houses will vary in size and rooms, but they should not be too different. If resale value is an important consideration, you should not buy the largest model in the neighborhood.
When determining market value, the homes nearest to yours are most important. If most of the nearby houses are smaller than your house, they can act as a drag on appreciation.
On the other hand, if you buy a small or medium house for the neighborhood, the larger homes can help pull up your value. This is one of those times where determining your "wants" versus your "needs" can be extremely important.
Buying what you need in a more prestigious neighborhood may provide more financial reward than getting what you want in a less desirable neighborhood.
Three and four bedroom houses are the most popular among homebuyers, so if you can stick in that range you will have more potential buyers when it comes time to resell.
There ought to always be at least two bathrooms in a house, preferably at least two and a half. One bathroom with a place to wash up for day-to-day visitors, one for the master bedroom, and at least one to be shared by the other bedrooms.
Walk-in closets are extremely desirable for the master bedroom. For the rest of the house, just be sure there is ample closet space. Don’t disregard space for linens and towels.
Garages add to the resale value and you should always make sure to get at least a two-car garage. Lately, three-car garages have become desirable in some areas of the country.
The laundry facilities should be located somewhere convenient on the main floor of the house, but not in a place it will create an eyesore. Think about whether you want to walk up and down stairs when carrying loads of laundry.
Family activity centers on the kitchen, so this is the most important room of the house. Larger kitchens are better, and they should be provided with modern appliances.
Obviously, the dining room and breakfast nook should be located adjacent to the kitchen. In newer houses, the family room should also be extremely close to the kitchen.
There should be easy access to the back yard, as there will be occasions for barbecues and outdoor entertaining.
In addition, it should be a short trek between the garage to the kitchen so hauling groceries in from the car does not become a horrendous chore.
Swimming pools do not provide as much added value as they once did. Safety issues about families with younger children have become more publicized than in the past, so families with small children tend to avoid homes with pools.
As a result, having a pool may actually reduce the number of potential homebuyers when you try to resell the home.
Buying Property in Dubai: Factors Influencing Buyers’ Decision
Dubai is one of the fastest growing cities in the world today and is recognized as the gateway to the gulf.
Because of its impressive new buildings, biggest theme park in the world, tree- lined boulevards, and magnificent shopping malls, it is voted as one of the world’s best holiday destinations. It is also acknowledged as an emerging commercial hub and one of the most desirable places to live here on the planet.
Recently, the Government of Dubai has opened up doors for purchase of freehold properties in approved projects in Dubai. The purchasers who are registered will be entitled to a residence visa including the whole family. This will be issued by the Dubai authorities under their standard conditions.
Aside from this, the changed property laws in Dubai and the growth in tourism has also led to huge investment in the property market. Because of these reasons, many people now consider of buying property in Dubai.
But there are other factors that influence buyers’ decision of purchasing a property in Dubai. Here are some of these factors:
Location
Dubai is the second largest emirate in the United Arab Emirates. Its total area is around 1000 square miles. It is divided by the famous Dubai creek or Khor. It sits on the serene Gulf coast and has a wild and beautiful natural desert and mountain landscape inland, so multiple outdoors pursuits are also within easy reach. It is located at the crossroads between the East and the West, with scenic beauty and a modern infrastructure.
This natural harbor and its strategic location on the international trading map have made it one of the world's leading trading and commercial centers.
Quality of Life
Dubai has spectacular hotels, restaurants and leisure clubs, offering superlative service. Because of this, a lot can be done in Dubai and it does not need to cost a fortune to enjoy a vibrant lifestyle. You will also find that there is a huge “mid-market” in terms of entertainment options and a constant stream of attractive offers to entice you out on any day of the week without sacrificing too much on quality or service.
Security
Being literally crime-free makes the United Arab Emirates one of the most attractive places to live in. Dubai, in particular, has a public security record, which is the envy of most of the rest of the world. Burglary here is very rare and street crime virtually non-existent.
In addition to this, all of the newer communities in Dubai are protected by 24-hour security services, employing real people to guarantee your peace of mind, in addition to the standard CCTV systems!
Diversity
Dubai has an amazing amalgamation of the traditional values of the East and the modern technologies of the West. There are almost 200 different nationalities represented in Dubai, which is a surprising statistic, considering that the recent population is only around 1.7 million.
This rich ethnic mix, being a melting pot of various nationalities and cultures living together and working in harmony combined with the traditional Arabic values of courtesy and hospitality, has resulted in a highly tolerant society. Such diversity also results in the broadest imaginable range of choice in terms of culinary and cultural pursuits.
Investment Potential
The financial advantages of owning overseas property are always difficult to calculate, as one does not exactly know what the future may hold in a turbulent world economy. However, Dubai is a city with a 20-year track record of strong economic growth and will continue to attract foreign and regional inward investment. It is noted to be an environment providing minimal tax burdens and a lot of people here earn high tax-free salaries and are in a position to support higher house prices.
Buying a property is not an easy undertaking because there is far too much at stake. Once you already made that purchase, it is hard to refund when you find out that it is not actually the property that suits your need. That is why you should never take on any property purchase decision lightly.
All the factors to consider when buying a property in Dubai should be carefully looked into before arriving at a decision. Make sure also that you have all the necessary information in order to help you make the right decision for your needs.
Types & Stages of Foreclosures
Foreclosure is the process by which your lender can legally take ownership
of your home from you, if you should happen to fail to hold up your end of
the bargain detailed in your mortgage or deed of trust agreement. Once
the lender forecloses upon your home, you have to move out otherwise
you will be forcefully evicted.
In addition to losing ownership of your home, you can also lose a lot
more. For example, you may still end up owing the lender more money,
depending on the value of your home at the time of foreclosure. You will
more than likely also destroy your credit rating in the process, which will
make it much more difficult to buy a new home in the future.
There are two different types of foreclosure that you can find yourself
facing: Judicial foreclosures, and non-judicial foreclosures. In either case,
your property will more than likely be seized by the lender and put up for
auction, and the highest bidder will become the new owner. In some cases
the lender bids on the house during the auction, at whatever price the
debt is owed at. If no other buyer bids higher than the lender, the lender
wins the property and is able to turn a profit on your home and to get
back all of the money that they lost in the transaction.
Pre foreclosure is the time period that exists between the day that the
lender notifies you that a foreclosure lawsuit has been filed or the day that
a Notice of Default has been filed, and the actual date that the property is
slated to be sold at a public auction or in a trustee's sale. Just because
you receive a notice like this, it simply does not mean that you have lost
the fight.
You still have the possibility of preventing a foreclosure from occurring.
For example, if you want to you can sell the property, or you may
consider filing for bankruptcy. You may also consider refinancing, or
devising a workout plan with your lender. The most important thing to
understand is that all is not lost, and that you still can save your house.
The foreclosure rates are growing rapidly, and the number of homes being
foreclosed upon in recent years has shot up significantly from the
numbers a decade or two ago. You are not alone in this, and there are
hundreds of thousands of other people all over the country who are
fighting this same process at the exact same time.
Foreclosure Scam Part 2
Here are some of the predatory lending practices that you need to steer
clear of:
- Frequent Refinancing - The frequent refinancing of loans without
offering any real benefits to the homeowner or borrower, or frequent
refinancing of loans simply so that the lender may generate additional
fees for him or herself.
- Equity Switching - Equity stripping, by persuading an owner in dire
financial straights to take out a loan far beyond his or her ability to repay it.
- Bait and Switch - Attempts at bait and switch, where lenders advertise
a specific set of 'teaser' fees and interest rates, then the rates and fees
skyrocket suddenly at the point of closing, reaching points that are
beyond the homeowner's means.
- Appraisal Inflation - Inflating appraisals up front, forcing the
homeowner to take on much larger loans with much higher interest rates.
Homeowners lose the opportunity to refinance the amount of the loan at a
later time, because the value of the home is no longer enough to cover
the full amount of the loan.
- Loss Mitigation - This practice is regularly referred to as "I can prevent
your foreclosure, but only if you pay a fee". People who try to force this
type of a process on unsuspecting people tout it as the ability to stop or
prevent foreclosure, but only for a fee paid up front. The problem with this
type of service is that the "rescuer" cannot guarantee that they will
actually prevent your foreclosure from occurring, yet they still collect your
fee up front. If you want to protect yourself as a homeowner in a bad
financial situation, there are much easier ways to do it without paying
exorbitant fees to "rescuers" who more than likely will not be able to help
you.
- List and Sell - This is a scheme that is becoming quite popular among
real estate agents and brokers looking for additional income streams. The
concept is simple: The real estate agent convinces a homeowner in default
to allow the agent to list the home in an attempt to sell it. The real estate
agent promises that if the home is not sold within the period before the
foreclosure auction, which is typically around sixty days away, he or she
will purchase it.
But here is the catch: In too many cases, the real estate agent will
drastically overprice the property when listing it in the MLS or Multiple
Listing Service, so that nobody expresses any interest in purchasing it.
Then when it does not sell, the agent is able to purchase it for
substantially less than what it was listed for.
- Hiding things in the contract - Some scammers and predatory
lenders like to hide a variety of different bombshells right in the contract
where they cannot be found. They wait until the absolute last minute, and
then make these hidden terms known. By now, it is too late for the
homeowner to renegotiate the contract, and he or she is trapped dealing
with the true intentions of the contract.
Homeowners who are caught in situations like these are very rarely
capable of seeking legal advice. They suddenly find out that there are
costs behind their resources, but if they fight the contract at closing they
could potentially lose their home in the foreclosure process.
There are a number of organizations, like ACORN or the Association of
Community Organizations for Reform Now, the Consumer's Union, and the
United States Office of Housing and Urban Development or HUD that offer
extremely vital and valuable insight into protecting yourself from
predatory lending practices and everything that is well within your power
to combat these dangerous practices.
Foreclosure Scam Part 1
By Beatrice Jordan
Are you ready to figure out what your options are? The first thing that you
need to understand is that not all opportunities out there are legitimate,
and yes, there are unfortunately a lot of people out there who want to
take advantage of you in your dire financial situation, so let us address
foreclosure scams first before we begin to touch on the options available
to you for avoiding foreclosure, surviving foreclosure and getting back on
your feet after a foreclosure occurs.
There are predators out there who look at homeowners in poor financial
situations as easy prey, devising a number of scams and fraud attempts
to take advantage of people who are already on a heck of a financial
rollercoaster. It is important that you protect yourself by staying current
on the foreclosure fraud and scams that are circulating, so that you do not
get taken by one of these fraudsters. Here are some of the more
prevalent scams that people are trying to pull over on homeowners and
families buying homes or facing foreclosure.
- Sales Leaseback - People often tout this as an easy deal, requiring that
the homeowner hand his or her deed over to an "investor" for little or no
money, on the basis that the homeowner can continue to live in the home,
leasing it back with the option of repurchasing within a year. This may
sound like an excellent concept, but there is a serious catch involved.
Even if you sign the deed over to someone else, you are still legally
responsible for the mortgage, meaning that you would be paying both the
original mortgage and the lease amount to the investor. Paying twice what
you were already having difficulty paying will be close to impossible and
one missed or late payment will have you evicted from the home, and the
home sold out from under you.
- Predatory Lending - Unfortunately, there are a large number of
lenders out there who offer loans with the specific intention of taking
advantage of borrowers who cannot afford to make the payments. If there
is any equity in the home at all, these lenders will attempt to take it all in
the form of incredible fees, exorbitant interest rates, and nightmare
prepayment penalties. While new laws are being passed that prohibit
many of these predatory practices from occurring, it is still quite easy for
lenders to take advantage of homeowners in bad financial situations.
Are you ready to figure out what your options are? The first thing that you
need to understand is that not all opportunities out there are legitimate,
and yes, there are unfortunately a lot of people out there who want to
take advantage of you in your dire financial situation, so let us address
foreclosure scams first before we begin to touch on the options available
to you for avoiding foreclosure, surviving foreclosure and getting back on
your feet after a foreclosure occurs.
There are predators out there who look at homeowners in poor financial
situations as easy prey, devising a number of scams and fraud attempts
to take advantage of people who are already on a heck of a financial
rollercoaster. It is important that you protect yourself by staying current
on the foreclosure fraud and scams that are circulating, so that you do not
get taken by one of these fraudsters. Here are some of the more
prevalent scams that people are trying to pull over on homeowners and
families buying homes or facing foreclosure.
- Sales Leaseback - People often tout this as an easy deal, requiring that
the homeowner hand his or her deed over to an "investor" for little or no
money, on the basis that the homeowner can continue to live in the home,
leasing it back with the option of repurchasing within a year. This may
sound like an excellent concept, but there is a serious catch involved.
Even if you sign the deed over to someone else, you are still legally
responsible for the mortgage, meaning that you would be paying both the
original mortgage and the lease amount to the investor. Paying twice what
you were already having difficulty paying will be close to impossible and
one missed or late payment will have you evicted from the home, and the
home sold out from under you.
- Predatory Lending - Unfortunately, there are a large number of
lenders out there who offer loans with the specific intention of taking
advantage of borrowers who cannot afford to make the payments. If there
is any equity in the home at all, these lenders will attempt to take it all in
the form of incredible fees, exorbitant interest rates, and nightmare
prepayment penalties. While new laws are being passed that prohibit
many of these predatory practices from occurring, it is still quite easy for
lenders to take advantage of homeowners in bad financial situations.
Buying Real Estate Foreclosures
By Beatrice Jordan
When looking for a home for you and your family you will come across all kinds of deals, bargains, and so-called values along the way. If price is a very tangible object for you and your real estate investment then you might seriously want to consider the value of foreclosures. If you are hoping to invest in real estate in order to turn a profit then you may also wish to consider these properties that are often sold well below the ordinary value of the property because they are in varying degrees of disrepair.
Foreclosures are properties that have been taken back by the lenders because the previous owners were unable to continue making payments on the property. Being that these homes were often owned by those in financial distress and may have been empty for some time before being sold, chances are that the foreclosure homes being sold at any given time are in some degree of disrepair. The shabbiness of many of these properties is one of the factors that keeps the prices down. Another is the fact that the lenders are essentially attempting to recoup their investment in the property. For this reason they are often willing to take less than the value of the property if that is what is owed on the property.
Why are these properties often in a state of disrepair? Truthfully, there are many reasons but the primary culprit in this situation is money. Obviously the owners of the home were struggling to make the payments or the home would not be in the state of foreclosure. If the notes on the property were difficult to begin with it makes perfect sense that other issues such as leaking roofs, shabby carpeting, or plumbing maintenance would take a distant second in priority to making the house payment.
At the same time, there are those who are bitter about loosing their homes. As sad as the situation may be some add insult to injury by damaging these properties intentionally. These homeowners feel they have nothing left to loose and if they cannot have their property hole then the lenders should not as well. While this is by no means the way to go there are very many who choose this path over other options.
The fact is that their loss in these situations is actually your gain. The damage they do to the property is often not terribly expensive to repair though it can be quite bothersome. Your willingness to do the work in order to create a beautiful home for you and your family or as an investment can often translate to big savings at the closing table or when negotiating the price of the property. Foreclosures can allow families to buy larger homes in better neighborhoods than they would ordinarily be able to afford. They can also provide a fabulous kick-start to a property investment portfolio.
Despite common claims and Internet advertisements, you do not need to buy a list in order to find foreclosed real estate in your area. You simply need to procure the services of a competent realtor and let him or her know that your intentions are to purchase a foreclosed property or some other property that is selling well below market value. You might be amazed at the wealth of information and assistance your realtor can provide not only in finding excellent foreclosures but also when it comes to procuring financing for some of the more creatively damaged foreclosures you may run across at insane bargain prices.
When looking for a home for you and your family you will come across all kinds of deals, bargains, and so-called values along the way. If price is a very tangible object for you and your real estate investment then you might seriously want to consider the value of foreclosures. If you are hoping to invest in real estate in order to turn a profit then you may also wish to consider these properties that are often sold well below the ordinary value of the property because they are in varying degrees of disrepair.
Foreclosures are properties that have been taken back by the lenders because the previous owners were unable to continue making payments on the property. Being that these homes were often owned by those in financial distress and may have been empty for some time before being sold, chances are that the foreclosure homes being sold at any given time are in some degree of disrepair. The shabbiness of many of these properties is one of the factors that keeps the prices down. Another is the fact that the lenders are essentially attempting to recoup their investment in the property. For this reason they are often willing to take less than the value of the property if that is what is owed on the property.
Why are these properties often in a state of disrepair? Truthfully, there are many reasons but the primary culprit in this situation is money. Obviously the owners of the home were struggling to make the payments or the home would not be in the state of foreclosure. If the notes on the property were difficult to begin with it makes perfect sense that other issues such as leaking roofs, shabby carpeting, or plumbing maintenance would take a distant second in priority to making the house payment.
At the same time, there are those who are bitter about loosing their homes. As sad as the situation may be some add insult to injury by damaging these properties intentionally. These homeowners feel they have nothing left to loose and if they cannot have their property hole then the lenders should not as well. While this is by no means the way to go there are very many who choose this path over other options.
The fact is that their loss in these situations is actually your gain. The damage they do to the property is often not terribly expensive to repair though it can be quite bothersome. Your willingness to do the work in order to create a beautiful home for you and your family or as an investment can often translate to big savings at the closing table or when negotiating the price of the property. Foreclosures can allow families to buy larger homes in better neighborhoods than they would ordinarily be able to afford. They can also provide a fabulous kick-start to a property investment portfolio.
Despite common claims and Internet advertisements, you do not need to buy a list in order to find foreclosed real estate in your area. You simply need to procure the services of a competent realtor and let him or her know that your intentions are to purchase a foreclosed property or some other property that is selling well below market value. You might be amazed at the wealth of information and assistance your realtor can provide not only in finding excellent foreclosures but also when it comes to procuring financing for some of the more creatively damaged foreclosures you may run across at insane bargain prices.
Tuesday, August 17, 2010
A Day at a Foreclosure Real Estate Auction
This video gives an enlightening live look at the foreclosure auctions.
Real Estate Auction Warning
There are a lot of things that can go wrong at these auctions. Buyer beware.
Monday, August 16, 2010
Pushy Real Estate Agent
Now this is how not to be pressured into buying a house. Quite funny with the English accent - Did I axe you?
Sunday, August 15, 2010
The foreclosure process is not very difficult to understand. There are several stages during which the homeowner has an opportunity to bring the loan current and avoid foreclosure.
After about three to six months of missed payments, the lender orders a trustee to record a Notice of Default at the County Recorder's Office. This puts the borrower on notice that he is facing foreclosure and starts a reinstatement period that typically runs until five days before the home is auctioned off.
If the default isn't corrected (the loan must be brought current) within three months, a foreclosure sale date is established. The homeowner will receive a Notice of Sale, and this notice will also be posted on the property. In addition, the Notice of Sale is recorded at the County Recorder's Office in the county where the property is located. Finally, this Notice of Sale is also published in newspapers local to the county in question over a three-week period.
The foreclosure Trustee Sale typically occurs on the steps of the county courthouse in which the property is located. The time and location of this sale are designated in the Notice of Sale. At the Trustee Sale, the property is auctioned in public to the highest bidder, who must pay the high bid price in cash, typically with a deposit up front and the remainder within 24 hours. The winner of the auction will then receive the trustee’s deed to the property.
Foreclosure Auction
At auction, an opening bid on the property is set by the foreclosing lender. This opening bid is usually equal to the outstanding loan balance, interest accrued, and any additional fees and attorney fees associated with the Trustee Sale. If there are no bids higher than the opening bid, the property will be purchased by the attorney conducting the sale, for the lender.
If this occurs, and the opening bid is not met, the property is deemed a REO or Real Estate Owned. This typically occurs because many of the properties up for sale at foreclosure auctions are worth less than the total amount owed to the bank or lender.
When you purchase property at a foreclosure sale, all junior liens other than property taxes are wiped out. Priority of liens is determined by the date of recording. When you purchase a Bank REO, you will typically receive the property with a clean title.
For more insightful information into the foreclosure process read our new ebook at
www.howtomakeakillinginrealestate.com
How to Select a Real Estate Agent to Buy a Home
Ask friends for referrals. Friends can give you a starting point, but don't hire an agent solely on a friend's recommendation. Don't choose an agent based on personality alone, but make sure you can get along well.
Choose the broker or real estate agency first, then ask the agency to recommend a couple of their best agents. Then stick with her. If you see a house for sale and call the agent listed on the sign, that agent's first concern will be representing the seller, not you, the buyer. "Sometimes the broker is associated with a franchise, such as Century 21. "If you select a franchised broker, you have the advantage of national name recognition and usually a strong national advertising campaign." But beware. "You aren't guaranteed a great agent just because you selected a well-known real estate franchise. You should select a firm based on that office's reputation -- not the reputation of the national firm."
Consider choosing an agent who is a Realtor. In addition to being licensed by the state to sell real estate, Realtors belong to the National Association of Realtors and must abide by a strict Code of Ethics. The National Association of Realtors has a code of ethics that will knock your socks off, and they are very strict in dealing with people who don't abide by them. Also, only Realtors have access to Multiple Listing Services (MLS) through which members share listings and have access to many more properties than non-members. You can locate a Realtor in your area at www.realtor.com.
Avoid "dual agencies." These are agencies that represent both the buyer and the seller. The same person cannot equally represent both the buyer and the seller.
Choose an agent that handles homes in your price range. Some agents specialize in high-end properties and won't give their best effort on properties under a set value. If they usually deal in fixer-uppers, they won't have the experience to navigate "Millionaire's Row".
Choose an agent who listens to your needs and takes the time to explain things you might not understand. Real estate transactions can be complicated and the terminology confusing. You need an agent who will both know the answers to your questions and takes the time to explain them. It's extremely important to find an agent whose personality you like, whose firm helps people find professional, trustworthy agents. "You want them to be bright, professional, trained, and someone who works in the business full-time, but personality is important. You're going to spend a lot of time with this person whether you are buying or selling. If you hate the agent and the agent hates you, you may be too far along in the process to correct it."
Choose an agent who works on your time schedule. If you can only look at homes on Sundays and your agent doesn't work that day, look elsewhere. If a listing agent doesn't work on weekends, consider who will be responsible for showing the house on weekends or holding open house. When buying a house, your agent will set up appointments for you to tour different homes and will accompany you on the tour. You should ask your agent a lot of questions; after all, she is the expert. Ask her opinion of the home.
Choose an agent who can and will provide other services. Will they help arrange a house inspection, refer you to qualified lending professionals and real estate attorneys, and conduct a study of the property's value?
Need more hard hitting advice then check out the latest Ebook from Al Yusra, "How to Make a Killing in the Real Estate Market."
Friday, August 13, 2010
Buying a House for Cash
Chapter 2: Buying a House for Cash
The adage reads, “Buy low and sell high” and nothing could be truer in the 2010 real estate market. With single family homes selling below $20,000 the opportunities to make money are endless. The key is finding the right property in the right area and managing it properly. You learn more from your mistakes than you do from your successes, so it is important not to make the same mistake twice.
The key to buying an investment lies in cash. Cash is king and 30-year and 15-year mortgages are not king they are debt and the only instant profit you can earn from them is reducing your debt unless of course you sell the property for higher than the outstanding mortgage balance.
To top that off, getting into debt and paying interest goes against many religious precepts. The three main religions in the United States, Christianity, Islam, and Judaism all speak against charging usury (interest) in their religious books.
In the Bible it states in Leviticus 25:35-37: "If one of your brethren becomes poor, and falls into poverty among you, then you shall help him, like a stranger or a sojourner, that he may live with you. Take no usury or interest from him; but fear your God, that your brother may live with you. You shall not lend him your money for usury, nor lend him your food for profit."
In the Qur’an it states in Chapter 2 verse 275 - 279 (Baqarah), “Those who consume interest cannot stand [on the Day of Resurrection] except as one stands who is being beaten by Satan into insanity. That is because they say, "Trade is [just] like interest." But Allah has permitted trade and has forbidden interest. So whoever has received an admonition from his Lord and desists may have what is past, and his affair rests with Allah. But whoever returns to [dealing in interest or usury] - those are the companions of the Fire; they will abide eternally therein...”
The Talmud references Ezekiel 13 (Hebrew.): "He has lent on usury; he has taken interest; he shall surely not live, having done all these abominations."
With the admonition from the religious sector along with what reality shows us, buying houses with interest and paying a bank interest is like building a house with sticks and no foundation, when a big storm comes the whole thing falls apart.
While there are riches made every day by people who buy real estate with no money down and a totally financed mortgage by the bank, there is a lot of risk inherent in this practice. All we have to do is look at the crisis now with the banks closing down, foreclosure rising, homelessness, and unemployment and we can see the result of usury based economics. According to the Federal Deposit Insurance Corporation (FDIC), twenty-three banks failed in July 2010 in the United States.
Debt and plentiful credit has powered the United States economy for decades. But since the financial crisis of 2008, America has gone on a drastic debt diet. Families are paying down credit-card debt and attempting to build up cash reserves. Large and small businesses are learning to operate in an environment where cash once again is king.
The economic shift has been dramatic; bank lending has dropped at a frightening rate. In 2009 the banking system showed the largest decline in loans in the history of the FDIC. At the same time, the amount of commercial and industrial loans outstanding has fallen 19 percent since the fall of 2008—back to the level of late 2006. Even the financial sector, which shoveled debt into the economy like there was no tomorrow have seriously cut back on debt.
During the last two decades people spent and invested based on expectations of what they could borrow. But now things have changed and cash is making a come back. What better time and opportunity then to throw money to the winds and invest in a house with cash and avoid the mortgage trap.
I know it’s hard and you want your interest deduction write off on your taxes and like the regularity of making that monthly mortgage payment. But what about the freedom to lose your job and not have to worry about losing your house in the next month because you fear you will fall behind in your mortgage. There is something to be said for financial security after all. I know I enjoy it with six children between the ages of 2 and 13 and a husband who likes to travel to Europe three or four times a year.
You may wonder, how can I buy a house for cash. Well if you live in Fairfax, Virginia, or any of the other big money enclaves then it will be hard to buy a house for cash in that area, but there are other areas in Virginia where this is possible.
There are numerous areas around the country where you can find single family homes listed at prices under $20,000 with some going as low as $1000. Some of the distressed areas of the United States where you can get real bargains include Detroit, Michigan, Indianapolis, Indiana, Baltimore, Maryland, Memphis, Tennessee, Miami, Florida, Orlando, Florida, Atlanta, Georgia, and Cleveland Ohio.
Check Out the Newly Released Ebook at www.howtomakeakillinginrealestate.com
Preview of Chapter 1: Overview of How to Make a Killing in Real Estate
Chapter 1: Introduction
Real estate is one of the greatest wealth building tools in the world. Unfortunately, many people think that building wealth is tied to how much money they can borrow and how large a mortgage they can attain. Well after the real estate and bank crash the reality should now be settling in that all that glitters is not gold. True wealth is not built by accumulating houses through debt or by the number of platinum credit cards in your wallet.
A prime example of this is Donald Trump, a multi-millionaire who has filed numerous corporate Chapter 11 bankruptcies with his real estate empire. Even though he still has his own television show and is well respected in the business arena he is proof that buying things on credit is not always beneficial in the long run.
True wealth means having no debt and at least twenty-four months living expenses stashed away in cash savings. This means your cars are paid for, your house is paid for, and you have no credit card balance that rolls over month after month. True wealth is not tied to your FICA score. It means that if you lose your job, you don’t have to worry because your house is paid for and you have other investment income that is bringing in money. Your wealth is not tied to your job or your car, or your spouse as all of those things can change.
This e-book will teach you everything that you need to know about buying a real estate property and making a profit in the first year, doubling your investment in the second year, and eventually selling it when the market rebounds.
This book is meant to be an educational tool to get out of the poverty trap and into true wealth. In this book you will learn from my mistakes as a real estate investor and benefit from the things that I learned as an average woman with very little disposable income.
When you have real wealth you can choose when you want to work and if you want to work. You can decide to stay home and see the kids through their growing years or sit back and take the winter off and travel to the Caribbean, Dubai, or Europe. The world is your oyster when you have nothing to tie you down.
The real estate market represents a prime wealth building situation that everyone should take advantage of but you must do your homework and you must know when to hold them, when to walk away and when to run! I have learned all of these things and I want to share them with you. This information is not something that you will hear on the radio as most people want you to be in debt and stay in debt. Most people will teach you how to have good credit and keep good credit and how to qualify for the house you really can’t afford.
Not many people will recommend buying a house for cash or if they do it may seem insurmountable especially when you are barely making ends meet, but it can be done.
There are pockets of areas throughout the United States where you are able to purchase real estate for under $40,000 in decent neighborhoods. One area that we have researched extensively is the metro Atlanta area. This area is unique in that it has sales in some areas of Atlanta as low as $7000 and as high as $10,000,000 making it difficult to establish an average.
We have also researched the Orlando Florida area with its rich resources and favored city status it is a prime choice for investors. In Orlando you can find property that was purchased for $160,000 in 2008 now listed at $22,900 in 2010.
In Chapter nine, there is a case study on the Orlando Florida real estate goldmine with step-by-step instructions on finding property goldmines.
Real estate investment has produced more millionaires than any other industry and it has proven to be a genuine wealth builder for centuries as well as a wealth destroyer. How many a fine investor has bought a house with a mortgage and then lost his job and was unable to pay? He was just two weeks notice away from bankruptcy and poverty. Well that does not have to be you. Real estate investment is a long term investment and while it is possible to buy a house for $20,000 and renovate and sell it for $100,000 this usually takes time. This type of return does not happen every day, but if you select the right type of property in the right area this can happen. I have seen it happen more times than I care to mention and in this market it can happen in less than two years.
Rental income can also be very lucrative if you know how to get solid tenants and keep good tenants. I learned the hard way how to tell when a tenant is lying and will give you the secrets to the trade and make sure you don’t get duped. Real estate investing can be the path to financial freedom but it is not easy it takes perseverance, education, and hard work. This book is an eye opener so sit down, relax, and take notes.
Real estate is one of the greatest wealth building tools in the world. Unfortunately, many people think that building wealth is tied to how much money they can borrow and how large a mortgage they can attain. Well after the real estate and bank crash the reality should now be settling in that all that glitters is not gold. True wealth is not built by accumulating houses through debt or by the number of platinum credit cards in your wallet.
A prime example of this is Donald Trump, a multi-millionaire who has filed numerous corporate Chapter 11 bankruptcies with his real estate empire. Even though he still has his own television show and is well respected in the business arena he is proof that buying things on credit is not always beneficial in the long run.
True wealth means having no debt and at least twenty-four months living expenses stashed away in cash savings. This means your cars are paid for, your house is paid for, and you have no credit card balance that rolls over month after month. True wealth is not tied to your FICA score. It means that if you lose your job, you don’t have to worry because your house is paid for and you have other investment income that is bringing in money. Your wealth is not tied to your job or your car, or your spouse as all of those things can change.
This e-book will teach you everything that you need to know about buying a real estate property and making a profit in the first year, doubling your investment in the second year, and eventually selling it when the market rebounds.
This book is meant to be an educational tool to get out of the poverty trap and into true wealth. In this book you will learn from my mistakes as a real estate investor and benefit from the things that I learned as an average woman with very little disposable income.
When you have real wealth you can choose when you want to work and if you want to work. You can decide to stay home and see the kids through their growing years or sit back and take the winter off and travel to the Caribbean, Dubai, or Europe. The world is your oyster when you have nothing to tie you down.
The real estate market represents a prime wealth building situation that everyone should take advantage of but you must do your homework and you must know when to hold them, when to walk away and when to run! I have learned all of these things and I want to share them with you. This information is not something that you will hear on the radio as most people want you to be in debt and stay in debt. Most people will teach you how to have good credit and keep good credit and how to qualify for the house you really can’t afford.
Not many people will recommend buying a house for cash or if they do it may seem insurmountable especially when you are barely making ends meet, but it can be done.
There are pockets of areas throughout the United States where you are able to purchase real estate for under $40,000 in decent neighborhoods. One area that we have researched extensively is the metro Atlanta area. This area is unique in that it has sales in some areas of Atlanta as low as $7000 and as high as $10,000,000 making it difficult to establish an average.
We have also researched the Orlando Florida area with its rich resources and favored city status it is a prime choice for investors. In Orlando you can find property that was purchased for $160,000 in 2008 now listed at $22,900 in 2010.
In Chapter nine, there is a case study on the Orlando Florida real estate goldmine with step-by-step instructions on finding property goldmines.
Real estate investment has produced more millionaires than any other industry and it has proven to be a genuine wealth builder for centuries as well as a wealth destroyer. How many a fine investor has bought a house with a mortgage and then lost his job and was unable to pay? He was just two weeks notice away from bankruptcy and poverty. Well that does not have to be you. Real estate investment is a long term investment and while it is possible to buy a house for $20,000 and renovate and sell it for $100,000 this usually takes time. This type of return does not happen every day, but if you select the right type of property in the right area this can happen. I have seen it happen more times than I care to mention and in this market it can happen in less than two years.
Rental income can also be very lucrative if you know how to get solid tenants and keep good tenants. I learned the hard way how to tell when a tenant is lying and will give you the secrets to the trade and make sure you don’t get duped. Real estate investing can be the path to financial freedom but it is not easy it takes perseverance, education, and hard work. This book is an eye opener so sit down, relax, and take notes.
How to Make a Killing in Real Estate
“How to Make a Killing in the Real Estate Market” is a valuable resource to teach you how to identify key properties and go about the process of buying, renovating, renting and finally selling your property. In the process of doing that it will also teach you how to make more money than you ever dreamed of.
It answers all the important questions about investing in low costs homes and why you should do it with cash and how this is possible all over the United States.
This book provides real examples of real houses currently on the market today that you can go out and try to buy tomorrow. If by some chance that house is sold then there will be something similar as the inventory of houses available for sale is at an all time high.
We will show you how to identify the hidden diamonds in the rough. We walk you through the entire process from finding foreclosure properties to picking the best deals.
Bank closures and foreclosures on real estate are at a record high. Just think 23 banks in America closed their doors in the month of July 2010 alone and the number of home foreclosures set a record in the second quarter of 2010, with banks repossessing 269,962 U.S. homes.
With all of these foreclosures on the market, how do you make the right deal. How do you find out where these foreclosures are? How do you select a real estate agent? What steps do you need to take to buy the house of your dream without it turning into a nightmare?
I have been doing this for the past eight years, and have looked at hundreds of houses and been through more neighborhoods then I care to admit. I’ve used a flashlight in the middle of the night, and I’ve peaked in behind boarded up houses as a wild viral cat with red eyes leapt out ready to attack.
Nothing Ventured, Nothing Gained and for the cost of a Big Mac meal you can get valuable information that can help safeguard your early retirement and provide income to your children and your children’s children for generations to come.
www.howtomakeakillinginrealestate.com
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