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6 Ways to Find the Price of Your House in the Local Area

Selling a home can be a tiresome process especially for someone who has never done it before. There are a lot of things that you need to consider to avoid getting ripped off. Everything from the real estate agent you hire to the ads that you post online will determine how successful you’ll become at the end of the selling process.

Before you think of posting your property on the real estate market, you need to ensure that you get the ideal listing price. This might sound like an easy thing to do. However, it’s more complicated than what the majority of people think. This is because a lot of factors affect the value of your house in the market. At times, the smallest things such as a faulty garage door can negatively affect the value of your house.

Therefore, finding out the worth of your home is not a process that you should take lightly. To help you avoid getting stressed and overwhelmed, we’ve compiled a few practical tips that will help you find the price of your house in the local area. Let’s get started!

What affects the value of your home?

As we said earlier, there are a lot of things that affect the market value of your home. Knowing these aspects is essential if you want to get the best price for your house. In this section, we are going to talk about these important aspects.

The first is location. The distance from amenities, schools, roads, and your neighborhood can make a huge difference when determining the worth of your house.

The second is the size of your property. You need to measure the square footage and the usable space available. You shouldn’t be surprised by the fact that buyers are willing to pay more for bigger homes. However, don’t get carried away by this fact.

Another important aspect that determines your home’s value is its current state and age. In most cases, older homes tend to be cheaper than newer homes. Keeping your home in shape by improving it consistently can greatly boost its value. Other important things that can affect the value of your home include:

  • The conditions of the real estate market
  • The number of bathrooms and bedrooms
  • Economic aspects such as interest rates
  • Previous sale prices
  • Home upgrades

Estimating the value of your home

Now that you are aware of the factors that determine the value of your home, let’s discuss a few important ways how you can estimate the value of your home before listing it.

1.      Utilize online tools

Most people today use automated valuation models (AVMs) to discover the value of their homes. According to a recent study, 22 percent of homeowners use websites to find out the worth of their homes. These tools analyze records such as location, property taxes, listing prices, and recent sales to predict the value of your home. The use of an online estimator is one of the best ways to discover the worth of your property. However, you should keep in mind that these online tools don’t provide a 100 percent accurate value to your property. Nevertheless, you’ll get a clue of its value.

2.      Hire a professional

Most people hire a professional home appraiser to determine whether they can get and afford to pay the mortgage. However, you can hire one to help you determine the value of your property whenever you want. A recent survey found out that 28 percent of homeowners hire an appraiser to help them find out the value of their property. An appraiser will do much more than help you discover the value of your property. They can:

  • Describe the characteristics of your property
  • Compare properties
  • Help you know more about the real estate market in your area

After looking at all these factors, your appraiser will deliver a report on the value of your home.

3.      Perform a comparative market analysis

You can estimate the value of your house by requesting your real estate agent to conduct a comparative market analysis. While this report won’t be as detailed as that of a professional appraiser, it will still be accurate. Real estate agents usually perform this analysis for a few dollars or at times, for free. However, when you ask your realtor to estimate the value of your home, they will treat it as an invitation to work with you throughout this process. Before asking for comparative market analysis, you need to choose an agent that you can work with comfortably.

4.      The FHFA House Index Price Calculator

Another great way to get a thorough analysis of your property is by using the Federal Housing Financing Agency house price index. This is a scientific method that provides an accurate value. The house price index uses the repeat sales method which involves analyzing the home’s change in value in previous sales using mortgage transactions data that has been gathered since the early 70s. It uses this information to estimate the value of your property given the current market trends. The disadvantages of this method are:

  • It only analyzes conforming home mortgages
  • It doesn’t consider inflation or seasonal changes

5.      Evaluate similar homes

You can discover the value of your home by comparing other similar homes in your area. It’s the most famous and simplest method in the US since most homeowners use it before selling their property. You need to ensure that you are comparing your home with the right ones. You need to look at homes with a similar location, age, size, condition, and upgrades. Think of other houses that your prospective buyer would choose instead of yours. Compare at least three homes to get an accurate price of your home.

6.      Look at expired and withdrawn listings

Look at withdrawn and expired listings to discover the value of your home. Expired listings are all the agreements that ran out without them being bought. On the other hand, withdrawn means that the homeowner doesn’t want to sell the property. Finding out the value of these properties in your neighborhood will help you find out the value of your property.

Conclusion

As you’ve seen, evaluating your property is extremely important. The process can be tiring and time-consuming. However, it’s worth it in the long run. Look at all the available options and try using at least two valuation methods.

Author Bio:

Leon Collier is a blogger and academic writer from the UK who has vast experience working with dissertation writing services and professional essay writing services. He loves to take on every challenge thrown at him and has the ability to deliver outstanding work regularly. When he’s not busy writing, he loves reading books and playing tabletop games with his friends. Follow him on Twitter @LeonCollier12.

Photo by Matt Jones on Unsplash

4 Benefits of a Reverse Mortgage

A reverse mortgage is a special type of loan that some older homeowners can take out. This loan allows them to access their home equity and receive cash payments, either as a lump sum or in installments over time. Many seniors turn to a reverse mortgage loan in retirement to bolster their income, and they can use this money to maintain their home, pay for healthcare, or cover any other costs in their lives. 

If used under the right circumstances, the money you receive from a reverse mortgage can provide you with a greater degree of financial freedom in retirement. So is a reverse mortgage right for you? In this article, we’ll take a look at four major benefits of a reverse mortgage loan. 

What is a Reverse Mortgage? 

A reverse mortgage loan allows homeowners to borrow money by tapping into their home equity, and using their home as collateral for the loan. This means, essentially, that you’re able to borrow money without having to make monthly principal and interest payments. It can be a great way to improve cash flow and, since there are very few restrictions on how to spend the money you get from the loan, you can use it to pay for a wide range of costs and expenses. 

One of the most unique aspects of a reverse mortgage loan is that there’s no set due date for when you have to pay back the money. While you can make payments on the loan at your convenience, the total balance of the loan only becomes due once you sell the home, move away, or die. 

Who Qualifies for a Reverse Mortgage? 

To qualify for a reverse mortgage, you generally have to be 62 or older and must either own your home outright or have a considerable amount of equity in the house. The exact amount of home equity you need varies depending on the lender you’re working with, but as a rule of thumb you should have at least 50% equity in your home to take out a reverse mortgage loan. 

A reverse mortgage can be a useful tool depending on your own financial situation. For example, if any of the following statements apply to your situation, then a reverse mortgage may be for you:

  • Most of your net worth is tied up in your home
  • You’re in need of cash and don’t have other sources of income 
  • You don’t plan on ever leaving your home 

Benefits of a Reverse Mortgage

Reverse mortgage loans offer borrowers a variety of benefits. Under the right circumstances, it can be a very powerful tool that allows you more freedom and flexibility in your finances. Here we’ll take a look at some of the main benefits that come with a reverse mortgage loan:

#1: Increased Cash Flow 

When you stop working and retire, you typically lose your main source of income. However, your other expenses, such as your mortgage, utilities, insurance, maintenance costs, and so on generally stay the same. If you don’t have an ample savings account, this can create a situation where you feel stressed out or overwhelmed by these costs. 

A reverse mortgage allows you to pull money you wouldn’t normally be able to access out of your property. This supplies you with an income stream that can help you more comfortably manage your expenses in retirement. 

#2: No Monthly Mortgage Payments 

As a homeowner, you won’t have to make monthly mortgage payments on a reverse mortgage. That’s because a reverse mortgage, unlike a traditional mortgage, doesn’t require the homeowner to make any loan payments. Instead, payments are made to you for the length of time that you continue to live in your home. 

The total balance of the loan only becomes due once the borrower sells the home, permanently moves to a different home, or dies. However, it’s very important to keep in mind that a reverse mortgage doesn’t let you off the hook for costs like home insurance and property taxes. 

#3: Protection Against Decline in Housing Market 

A reverse mortgage loan is insured by the federal government, and this provides you with a great deal of security. It means that if the value of the reverse mortgage loan exceeds the value of your home when that loan comes due, the federal government will take care of the difference. 

So, with a reverse mortgage, you won’t ever have to worry about owing the lender more than your home is actually worth, even if the real estate market tanks and negatively impacts your home’s value. Additionally, if, in the future, you or your heirs want to pay off the entirety of the loan and stay in the home rather than sell it, you wouldn’t be required to pay more than the value of the home. 

#4: Flexibility in How You Receive Payments 

With a reverse mortgage, the loan payments made to you can be disbursed in a few different ways. The methods in which you can be paid include: 

  • Lump sum. In this case, you’d get the full amount of the loan in a single payment. You can receive a full or partial lump sum once your loan has been approved. 
  • Equal monthly payments. This means that as long as at least one borrower lives in the home, the lender will continue making steady monthly payments to them. 
  • Term payments. The lender will issue even monthly payments over the course of a term set by the borrower. 

Taking out a reverse mortgage is a big decision and it can often be pretty confusing for the average person to understand and navigate. While it provides a number of major benefits, it also has its downsides. There are certain fees that come with a reverse mortgage, the amount you’re required to pay back grows over time, you’re still responsible for other home-related expenses, and you lose home equity as your loan balance increases. 

That’s why, if you’re considering taking out a reverse mortgage, it’s important to consider all of the pros and cons. Do some research and weigh the benefits listed above against the potential drawbacks. If you’re still unsure, consider consulting with a financial planning professional to see if a reverse mortgage can help you in retirement. 

Matt Casadona

Matt Casadona has a Bachelor of Science in Business Administration, with a concentration in Marketing and a minor in Psychology. He is currently a contributing editor for 365 Business Tips. Matt is passionate about marketing and business strategy and enjoys the San Diego life, traveling and music. 

Why should real estate agents outsource real estate photo editing?

A study reveals that people invest about 60% of their time viewing photos and 40% on the property description while buying a home. High-quality property photographs are critical to rope in real estate buyers. Photo editing services are a sophisticated way of enhancing real estate images. Image editing can cover different enhancement works. Image enhancement by Styldod allows you with services like improve colours, add elements, background removal, cropping, colour enhancement, and many more. Virtual Home staging is another way to showcase homes, where a property is decorated to display its best qualities to attract buyers and the goal of selling the home faster at a higher price. Outsourcing photo editing services will edit the images to match your taste and requirement for successful virtual home staging. Here are the key benefits of outsourcing real estate photo editing services:

1.   Cost-Effective

Outsourcing photo editing tasks can save the cost of hiring a dedicated team for editing photos, and you can get your work done at a minimum charge if you considered this option.

2.   Quality Work

Professional editors are updated with all the functionalities, features, techniques and elements of photo editing tools and software. They have the expertise to edit your photo to match your style as closely as possible and deliver quality work.

3.   Reduced Turnaround Time

Professional editors are familiar and experienced in using editing tools. Thus quick to modify real estate photos and deliver supreme quality work. Some professionals even offer “Next Day Turnaround” options. 

4. High-Quality Images

Property buyers are drawn towards beautiful images of homes they wish to buy. Clear, crisp, and top-quality increases the chances of a listing to be viewed and sold. A professionally edited real estate photo ensures High Quality finished images and provides potential buyers with a glimpse of their dream home.

5. Use of Hi-Tech Editing Tools

Using advanced tech tools can quickly transform the look and feel. Agents hosting virtual staging can maximize the value of it. Real estate agents can easily find many options for editing services and get the tasks done in their preferred ways over the internet.

6.   Huge Volume

Professional editors have enormous resources for pictures, stock images, and other elements that aid in enhancing photos and delivering a massive volume of work even in a short timeline

7.   Error-Free Outputs

Hiring a professional image editing servicing provider can rectify imperfections in photographs. They use the latest technology and advanced image editing tools. The edited images look natural and will be suitable for listing properties across multiple platforms.

Photo editing helps real estate agents gain efficiency, maximize output, and stay ahead in the competition. If you wish to get supreme photo editing services for your real estate business that can increase sales and efficiency, you can get in touch with Styldod’s photo editing services. The creative team will assist you with all your Real Estate Photo Editing requirements. 

Autor Bio:

Rahul Agarwal is the Co-founder & Chief Business Officer at Styldod, where he has taught a computer to do interior design! Styldod provides the most hassle-free & inexpensive virtual staging solutions for real estate agents so they can sell their listings faster, and for higher prices. Rahul was also a co-founder of Mebelkart (which is acquired by Ask Me). He’s your everyday IIT Kanpur nerd who pushes the boundaries with his innovative entrepreneurial stints and is also a sound startup investor & advisor. Rahul attributes his success as a professional to the discipline he has learned from his district hockey days, being a swimmer and a gym enthusiast.

How to search for your dream home in Las Vegas?

Looking for your fantasy home can be distressing. Finding the perfect home is a fantasy for many individuals, yet not every person knows precisely what they should do to make the cycle as simple as could be expected under the circumstances. For some, the late spring heat harsh, while for a few, the high temps an acceptable tradeoff for different pleasantries Las Vegas has to bring to the table. While it might get hot in Las Vegas, this place is alluring because it is liberated from cyclones, tremors, floods, and severe blizzards — perils in many other warm atmospheres. Look out for homes for sale in Las Vegas.

Regardless of what style you like, you can expect that majority of the homes will be proprietor-involved. The purchasers can expect that those homes they will be visiting will be fit as a fiddle as the city encountered a surge of several buildings being structured in 2018. There are a lot of opportunities for new construction accordingly. 

You will likewise see another style pattern: the classic stone ledges, travertine, and wood cupboards that once embellished the Las Vegas home are gone, supplanted by white quartz ledges and dark ground surface. There isn’t a house in Las Vegas that doesn’t have these components, and the exciting part is that individuals will be on to the following pattern in five years. 

Las Vegas contains an enormous number of gated networks, which implies purchasers need arrangements to see the homes available to be purchased. If you are hoping to buy homes for sale in Las Vegas, these are a few hints that you can use to make the cycle straightforward. Thus, you can locate the perfect home for you. 

Do some research:

Before you choose LA as an ideal spot for you to move, you should take an opportunity to explore the area. You need to ensure that it fits inside your lifestyle and that you will be glad there. It’s a smart option to look at the things that are in the area to guarantee that you will have all that you will require. You should investigate a portion of the specific neighborhoods to locate the one you like best from that point. You may even need to converse with a couple of individuals that live there to discover what they like about the area. 

Think about Your Drive Time: 

Before you pick the correct neighborhood, you should consider how long it will take for you to drive to your work. This relies upon where your office is, if by any means, and how much longer you will work. Your drive is a significant aspect of your day, so it is imperative to take this into account when you are picking the correct area. Fortunately, Summerlin isn’t a long way from many significant areas, including Southwest Las Vegas AND Henderson.  

Take a Glance at A few Homes: 

You would prefer not to pick the first home that you have visited. You may cherish it, yet you should, at present, take an opportunity to see different homes to ensure you locate the ideal one for you. The first one which you visit is not ideally going to be perfect one; however, if you conclude that it is after seeing a few homes, at that point, you can like to create an offer and realizing that it is the right home for you. There are many different sorts of homes in LA, so you should take an opportunity to see multiple or two. 

What’s your budget?

When you are looking to buy a home, you would prefer not to extend your financial plan and make it difficult for you to make the most of your life there once you move. You should just view homes that are in your spending range. With Las Vegas near to, you won’t have any desire to be not able to appreciate the area basically because you bought a home that was past your financial plan. There are endless homes accessible at different value goes that you should have the option to locate the perfect one that meets your spending plan. 

Conclusion:

LA is a great spot for living. There are many exciting things about the area, and it is near stunning schools, safe neighborhoods, plenty of openings for work, and top-notch feasting and amusement that you can appreciate. Take your time finding the right home for you with these tips, and you will be glad in LA for quite a long time to come. For help finding the perfect home, make sure to contact your neighborhood LA Real estate professionals.  Remember that you aren’t going to buy a home multiple times, so dig deep, do your research and pick the right one that suits your budget and comfort too.

Author: Eernesto T Felder

What to Expect in the Real Estate Industry in 2020

From the beginning of the year of 2020, it has been an unbelievable experience as the COVID-19 pandemic happened and in a matter of days, people’s lives have changed dramatically in ways nobody would have even imagined. Most places that conducted businesses were forced to close due to insufficient payments because of the fact that people were forced to stay home and work from home and only leave their homes if necessary. As major organizations and airports shut down, the real estate industry has taken a hit, from the fact that nobody has planned for something like this to happen just in case they needed to extend their contracts or have to travel home.

Instead of spending their time doing recreational activities and eating out, people have only started to go out if they need to get food and home supplies for their households yet most places can have these things delivered nowadays. This year has been difficult for each industry, with most economies of the world having been affected throughout the year. This is the best time to figure out what you will do if you have real estate property and what you can expect by the end of the year. Housing markets around the globe have been growing since the downfall of the COVID-19 pandemic. It is believed that the virus will have its own protocol for another year, which is felt that home prices can drop.

During the pandemic

Since March 2020 and the pandemic has started until now, it is better to figure out what will happen and take advice from professionals and investors as well as real estate agents so that you can make the best out of any opportunity that can arise in the real estate industry in 2020. Before March 2020, housing markets were at a high demand and the homebuyers were endless but after the pandemic, there have been less people renting and looking forward to investing to purchasing a home because of the dropping prices. Then there are the people who are choosing to postpone to purchase a home or put their home until the pandemic ends but whenever that may seem, there will always be people still buying and selling and choosing the right decisions. Regardless to the opinions of many, the uncertainty of the economy has affected purchasing, selling and even renting throughout the globe. Then there are those who are being opportunistic and taking advantage of the cheap rates in mortgage and being able to sell their homes on great credit scores to be able to get a better deal at a better and bigger home.

Are you a Seller?

When it comes to home sellers, a nice chunky sum of profit might be coming your way if you keep in mind that many buyers are being priced out of the market, which could lead less offers towards your household. With less offers, you would like that your home really stands out among the rest that remain to look the same around the area. Always put into consideration that you should wait for the right offer and not have to rush into any hasty decisions. Most buyers will try to decrease the valued amount that you have put out in the public just so that they can get the best offer for themselves but always wait for the offer that you can receive the right amount of profit. Always remember when it comes to negotiating that the more desperate person has less power because they would be willing to accept anything under any circumstance so it’s better to hear all the proper offers that might be coming your way regardless what you might hear, only listen and accept the offer that might peak your interest.

If you want to buy in 2020

On the other hand, if you are looking to purchase a house throughout this year then it is better to stay resilient and motivated so that you can save the right amount needed for that down payment you would want for the dream house that you were looking forward to purchasing. Just remember to not exceed your budget and keep saving because there will be sacrifices that have to be made because if you cannot afford the house that you have in mind, be willing to let go of all that you may want and be focused on what you will need so that you can properly save. It is also better to find the least pricey home in the neighborhood that you can afford and be able to increase your income as your savings will be better over time. Just remember if the interest rates remain to stay lower than the average that there will buyers that will be more motivated to purchase your property sooner than you think, but if the rates increase later during the year, just don’t be worried when your house stays on the market longer than expected. Having to pay for a mortgage is a huge responsibility so when there is added interest rates that are higher for the consumer, then it will obviously be much more difficult to make people start purchasing homes when it’s not convenient for them at the moment. 

What this means for you

A real estate agent with experience will give you all the right details that you will need to know and even feed you to set the best expectations on the price to sell your home and how long you will have to wait for the best offer and they will not let you down with any actions along the way. In the end of the day you must decide what you really need within the household, if you are single or married looking to expand your horizons and space or if you are just looking to invest into property for the long term. Be decisive of what you want and combine that information with your future real estate agent.

Author Bio

Mohamed El Zaafarany is a digital marketing consultant with interests in the travel and real estate industries who loves to connect businesses with their target audiences.

zaafarany.com

Image: Image by Free-Photos from Pixabay

Looking for cheap Real Estate? Have a look at www.propertyunder50k.com

Top 5 Reasons to Rent a House

Most of us have a dream of buying a house which should have all facilities. There is no harm in thinking about a better place for living and giving a comfortable life to your family, but is it important to own a house when you can get all in a rented house? Also, some people want to buy a house but they cannot own it due to many reasons, for them renting is the most viable option as it allows them to save money and invest later.

If you are young and want to buy a house later, you can rent a house and skip added responsibilities that come with homeownership. You need to have adequate savings and budget when you want to buy a house. On the other hand, renting gives you a lot of freedom to live the way you want. If you want to live in a dream location, but do not have funds for the down payment, renting a house can be the safest option. Renting a house makes you less accountable for its wear and tear. If you prefer renting, you also save repairs, paying for taxes, and insurance to keep up with other expenses. You cannot spent your entire savings buying a house and live life in restrictions.

The idea is not to discourage you to buy a house, but to make you understand that renting is okay too. Especially in the current situation, renting is a better idea when real estate markets are badly hit due to coronavirus outbreak. Also, fast-rising home prices and higher mortgage rates make you think about whether it is right to buy a house or not. Since home ownership has always been considered as an important part of owning wealth, it could be problematic if the same trend continues for long.

Searching for Rent to Own Homes In Ontario

Searching for Rent to Own Homes in Ontario can still be considered a viable option for many due to several reasons. It is the hub of many activities and most offices being located here make it a diverse cultural hub of this time. Living there cannot be boring, but altogether a different experience for people who prefer an interesting life and need all facilities like healthcare, clean streets, and a good public transport system. Not only this, but the weather also makes another reason for people to come here and live to rent houses. There are many reasons to rent a house. So, let’s know the benefits of renting a house in the city.

Why Do I Need to Rent a House?

  1. Move Easily – When you are young, buying a house in a location where you are not planning to live longer can restrict you to explore job opportunities that you can get elsewhere. If you want to move to another city or state due to any reason, you can simply end the lease and go where you want to. It means renting a house can give you a lot of flexibility and freedom to do what you want to do personally and professionally.
  2. Selling and buying problems – It is not easy to buy or sell a house. Buying or selling a house in certain areas can be difficult. On the other hand, there are some places where renting a house is better than buying. People keep migrating due to their jobs and another issue, so buying a house can tie them into a responsibility.
  3. Budget – Buying a house is expensive than living on rent because there are too many types of expenses you have to bear like maintenance charge, repair cost, insurance cost and other fees. It is not easy to mortgage a loan and make regular payments even when you have financial issues.
  4. Flexibility – Renting a house gives flexibility to people or couples which means you can share an apartment between friends and colleagues and cut the extra cost. You are free to make a decision when you want to move out or if you do not want to continue with the lease anymore.
  5. Location – Rent a house and enjoy living in different locations, it means if you like a beach house you can rent it or if you want to live in colder places you can do that too.

When you buy a house, you consider many facilities like school, hospital, and transport. If you live in a place with great infrastructure, there are chances that home value will increase. But what happens when you do not earn enough to pay for the loan that you have taken later or what if the house you own deteriorates later. On the other hand, if you live in rent you can move out at the end of your lease. So, it is important to consider many things before you venture out and buy a house.

Author: Eernesto T Felder

5 Ways to Begin Investing In Real Estate with Little or No Money

Lots of folks believe this to enter the world of property; you require plenty of money. But it doesn’t imply that a person with less or no cash can’t begin a real estate company. In This article we have covered the full topic of – how to do real estate business with no money?

The first thing required to initiate a real estate company (or any business, really) is the ideal mindset. You will need to work out creative and innovative ways of getting financing for your real estate deal, especially when you’ve got no funds to spend.

A business is successful once you earn profit by selling your goods or services. This is true for the real estate business, also. The best thing about the property sector is that everyone can start this business with the wish to sell the property and earn high returns.

So, how can you begin a real estate company with zero capital? How can you organize financing to back up your real-estate deal?

If these questions are running through your head, then we have got helpful answers for you.

How to Make Money in Real Estate Without a License

Real estate is an exciting business. I have met a few of the most driven and enthusiastic individuals, lots of whom are currently lifelong buddies. It keeps you on your feet! When most folks consider transitioning to a career in real estate, but the first thing that comes to mind is becoming a certified realtor. With all the licensing and education requirements, however, that may seem quite daunting. Many don’t understand that you may work in real estate without a license in most countries. In actuality, a quick scan of the internet job boards shows the assortment of opportunities.

How to Start a Real Estate Business with No Money

Here Are Five Powerful ways to start a property dealing Company (How to do real estate business with no money) with zero Cash in your pocket, Plans you can learn from and apply in other businesses as well:

1. Buy a House as a Main Home

You can buy a house to live in with a zero money down VA or USDA loan, remain there for at least one year, then move out and turn the house into a rental home. Do not forget that equity building through property investing also contains the houses where you live. Additionally, the down payment and credit rating requirements for a primary residence are always less strict compared to investment property. Living on your insignificant farms first is an excellent way to avoid the more rigorous lender rules for property investment properties.

2. Purchase a Duplex, and Reside in 1 Unit while You Rent Out another One

Did you know that you could fund a two-unit duplex using an FHA loan? You reside in one unit and rent out the other property for additional cash. Along with the reduced down payment requirement, the best thing about this property investing strategy is the lease you derive from the opposite side of this duplex will most likely play a significant part of your mortgage!

3. Create a HELOC (Home Equity Line of Credit) on Your Primary Residence or another Investment Property. 

For those who have a large quantity of equity on your primary residence or another property rental property. Many banks will provide you with a HELOC, which you can then use for property investing. A normal HELOC will make a line of money in hand for around 70-80% of the instant equity in your currently owned land.

However, the HELOC can also be utilized as a zero-down mortgage to fund a rental property.

The HELOC interest rate is generally the prime rate and 1 or 2%, which now puts them around 5 percent. But the principal benefit of the HELOC is that it usually does not have any closing costs, and you’ll be able to close quickly with only a Drive-By evaluation on your premises. Some banks won’t charge you for this particular examination.

By way of instance, if the interest is $300, you can simply pay that minimum amount, or pay extra money each month to repay the principal. This permits you to make your mortgage under your terms.

Assuming the prime rate stays stable, the total amount of interest will fall as you pay down the principal monthly.

4. Ask the Seller to Pay your Closing Costs.

On many property transactions, the property seller is willing to cover buyer closing costs to incentivize a sale. However, the trade-off will most likely have to supply the full asking price or close to it. This is reasonable, so long as your lease is enough to cover all your expenses and give you little monthly cash flow. However, at full asking price in the event, the lender quotes you an entire mortgage payment (including insurance and taxes ). Which is equal to or higher than the lease you can reasonably cost, search for another deal.

5. Utilize a Bank that Pays Closing Costs or Supplies a Rebate on your Down Payment.

In combination with Freddie Mac’s Home Possible Advantage program, Quicken Loans has just promoted a 1% down payment option on single-family houses for owner-occupied properties. The buyer puts up 1 percent, and Quicken Loans provides a grant for another 2% needed. A 680 credit rating and a debt-to-income ratio of 45 percent or less will be required.

Sometimes the interest rate is slightly higher to get this deal, but some lenders are currently advertising. They’ll pay closing costs without increasing interest rates. Check with a site such as bankrate.com or do a Google search for a listing of those companies.

Whichever of these methods you opt to use, the most crucial point to bear in mind is that investing in real estate with very little money is a superb way to build wealth. It is among the very few investment approaches where you can begin without large quantities of cash. One never knows when particular property programs will come and go. So make sure to benefit from these ideas while they’re still around.

Is real estate an excellent way to earn money in 2020?

Real estate is best regarded as a long-term investment – it pays off best when held through the years. You can purchase property in 2020, but you would want to hold onto it for 20–30 years for the best results. Suppose you can find sellers that will sell their property for you at a substantial discount below market value. In that case, you can create a whole lot of cash in a couple of weeks through wholesaling or flipping. But finding people who will sell the property to you for 10–20 percent or more below market value is a whole lot tougher than finding quality properties that will appreciate and supply decent cash flow over the longer term.

How to Start Investing in Real Estate with Little Money

For many people, the term “investing” conjures up images of men in suits, tracking the exchange of tens of thousands of dollars on a stock ticker.

I am here to tell you: You do not have to be the Wolf of Wall Street to begin investing. It’s okay if you are more of a mouse of Main Street. Even if you just have a few bucks to spare, your money will grow with compound interest.

The key to building wealth is developing good habits–such as regularly putting money away each month. Replace the barista-made cappuccinos for coffee in your home, and you may already be saving more than $50 per month.

As soon as you have a little cash to play, you may begin to invest.

It’s just as straightforward. Having a robo-advisor or savings account, you can make your money work as you play. With a stock trading program, you can play a little money and learn valuable investing lessons simultaneously. Exactly like Halloween costumes, investing comes in several diverse forms. It should not be a scary word.

With so many diverse choices, investing for novices is more straightforward and more uncomplicated than ever before.

Conclusion

Property coping is a very profitable business. Use the ways mentioned above to enter this line of business even when you don’t have cash. But, do not forget that entry is simply the first step on the ladder of success. How your company grows and succeeds is mainly based on your hard work and your ability to recognize opportunities and take action accordingly.

Ready to begin taking advantage of the current opportunities in the housing market?

Whether you are new to investing or have closed a few bargains. Our new online property course will cover everything you will need to know to help you start real estate investing. Professional investor than Merrill explains the very best property plans to help get you on the path towards a better financial future.

About the author: My name is King kentus i blog at komback.com and i am the CEO of the said website.

Renting vs Buying: What to Consider

Buying a house is the pinnacle of success—or, at least it used to be. It seems as though more and more people are abandoning the popular dream of homeownership and setting their sights on financial accomplishments that are more realistically attainable, like luxury vehicles, designer watches, and worldly travels.

That’s not to say purchasing a property is entirely off the table, though. There are plenty of affordable properties under 20k that you could buy without sending yourself into debt for several decades. There are two sides to every coin, but ultimately, there’s no single “correct” answer—it all comes down to your personal priorities. If you’re debating renting vs buying, consider these points to help you decide which option suits you best.

What’s on your time horizon?

If you’re thinking about buying a house, make sure to consider your timeline in two to 10 years from now. Will you be in the same city? Have the same job? Are you ready to settle down?

The people who like to rent are usually those that value flexibility and mobility; they don’t want to be tied down to a 15- or 30-year mortgage that locks them into one location. Of course, life happens and plans can always change, but if you have to sell your home shortly after buying it in order to move to a new city or place your child in a better school district, for example, you could lose money on your initial investment.

Bottom line: Purchasing a home is an investment in your future, but it’s a long play that will require you to live in the same place for at least two years. Just like any investment, there’s risk involved should the real estate market crash and you owe more on the property than what it’s worth.

How is your credit looking?

You’ll need a positive credit history whether you’re applying to rent or buy a house, but it’s much more important in the case of the latter. Most of the time, homeowners rely on financing to purchase a property; it’s pretty rare for someone to have a few hundred thousand sitting around in cash that they can use to complete the sale in one fell swoop.

Lenders will look at several things when reviewing your mortgage loan application, including your age and income, but credit history is one of the most important qualifiers. Not only do you need a strong credit score to finance a house, but it’s in your best interest to take the time to increase your score as high as possible in order to receive low rates.

A good number demonstrates less perceived risk, so the lender will be likelier to charge less interest on top of the principal balance—saving you a significant amount of money in total borrowing costs in the long run.

Bottom line: If you’ve missed a few bill payments in the past and are sitting on mismanaged debt, you should clean up your credit history before trying to buy a home.

Do you have money saved up?

One of the biggest differentiators between renters and buyers is the money they have saved up in the bank. Even with approved financing, you’ll need to place a sizable down payment—or, the portion of the purchase price that you pay upfront in cash—to show the lender you’re invested in the property and likely to repay the loan.

Many people think they need a down payment of at least 20% of the total price in order to buy a home, but that conventional wisdom doesn’t apply much today. While it’s true that a 20% down payment can help you avoid private mortgage insurance and save you tens of thousands of dollars in the long run, this barrier to entry is pretty steep for first-time buyers.

You can buy a home with anywhere between 5-15% down upfront, and there are also down payment assistance programs that can help you come up with the cash. Renting will also require a down payment, security deposit, and money on-hand for application fees, but these costs are usually cheaper than a mortgage and its affiliated costs.

What many people fail to realize, though, is that every rent payment they make likely goes toward paying off the landlord’s mortgage, and the price comparison isn’t that far apart. For example, if rent costs a thousand per month, a mortgage payment might be only 15% more. Rather than throwing that money down the drain on rent, those funds could be better applied to building your own wealth in home equity and increasing your net worth. You could also look into rent-to-buy homes in your area that can help you achieve the best of both worlds.

Bottom line: You’ll need to budget and save up for a home, which often leads people to stick with rent that’s easier to afford while keeping up with the cost of living—but putting in the work can pay off tenfold if you apply the cost of rent toward a tangible asset that you eventually own over time.

Are you financially responsible?

When you buy a home, the hard work doesn’t end once you get the keys in your hand. There are a lot of ongoing costs that you’ll need to keep up with, such as property taxes and maintenance repairs. And, whereas a renter could simply call up the property manager to fix a leaking sink, that responsibility will fall on you to repair yourself—unless you prefer to pay someone to do it for you.

Bottom line: If you don’t want to deal with the hassle of property maintenance and the ongoing costs of homeownership, it might be better to rent so you know exactly how much money to budget every month.

Do you have competing goals?

Finally, check in with your financial goals to see if there are competing priorities. Let’s say you just graduated from college; would you rather pay off your student loans or invest in the real estate market? Do you need a down payment to purchase a new vehicle?

Bottom line: It can be challenging to pay off debt or save money when owning a home, so consider your financial goals and decide what to accomplish first.

By keeping these thoughts in mind as you compare renting vs buying, you’ll be more likely to make the right decision for your financial future.

Samantha Rupp

Samantha Rupp holds a Bachelor of Science in Business Administration and is the managing editor for 365businesstips.com. She lives in San Diego, California and enjoys spending time on the beach, reading up on current industry trends, and traveling.

How and Where to Invest in Real Estate: The 4 Best Ways to Profit

It’s not a secret that real estate can yield bigger profits than most businesses, but did you know that you can earn in this market even if you don’t sell a house?

If you have ever experienced having a landlord, there’s a good chance that you have observed how challenging it is for them to field calls from tenants all day about overflowing toilets or giant bugs. But while it may not seem like the most glamorous job, being a real estate investor can be quite lucrative.

Aside from renting out a place, there are plenty of ways that you can get a significant return on investment in real estate. The only problem is that not all investors understand how they can do so, or even know which investments can get them a significant ROI.

If you’re new to the trade, this article is for you. Read on to learn the four best ways to profit by investing in real estate.

1.   Buy a rental property

This is probably the most straightforward method of becoming a real estate investor. ‘Investment property’ refers to any commercial or residential property to be rented out to tenants without any additional fixing or flipping.

When you own a rental property, you don’t just get what you paid for, but you also build wealth-generating income. Add to that equity appreciation and the leverage you have with real estate, and you have yourself a solid investment.

Still, it is worth noting that owning a piece of rental property may not be for everyone. When looking for houses or apartments for sale, you have to make sure that you consider your interests, lifestyle, and the potential drawbacks, including:

●      Time commitment

Owning a property and renting it out to tenants requires time, even with the help of a property management agency. Make sure that you can accommodate this in your schedule. Otherwise, it would be best to try something else.

●      Cost barriers

Another major concern most investors have about a rental property is the cost of buying one. If you’re taking out a loan for it, many lenders require a minimum of 25 percent down payment for an investment property loan. Thus, it would be better to consider undertaking this type of real estate venture if you have reserves worth several months’ expenses.

●      Uncertainty of yield

Although many rental properties provide a continuous source of income for many (especially if you pick an apartment in a highly desirable location, like a Business Bay property in Dubai, for example), it isn’t a 100% done deal. Vacancies can happen, and things may break. Although there is great potential in this sort of investment overall, there are considerable short-term risks.

2.   Invest in real estate investment trusts (REITs)

Real estate investment trusts or REITs allow investors to put in their money and let it grow without actual, physical real estate.

Although usually compared to mutual funds, REITs are actual commercial real estate properties like retail spaces, office buildings, apartments, and hotels that yield income through leasing. The revenue gathered through these properties is divided amongst the REIT holders – also called ‘trustees’ – in the form of a dividend, which they can automatically reinvest to allow it to grow further.

But while REITs are an excellent way to invest in real estate for people without the time to handle rental properties, they can also be complex and varied. Some of these are traded on an exchange the same way stocks are, but others aren’t publicly traded. This means that the kind of REIT you invest in is a huge factor in how big a risk you’re taking when engaging in this form of real estate investment.

3.   Purchase a vacation rental

Vacation rentals are quite different from the rental property mentioned previously. While the latter involves having long-term tenants, vacation rentals are only occupied by tenants on occasion.

One of the perks of having this type of investment property is that you can use it as your second home when it is vacant. It would also be easier to finance vacation rentals compared to long-term rental properties, particularly if your lender considers it your second home as it means you don’t need to use the rental income to qualify for the loan.

Moreover, these properties usually bring in higher rental income per day compared to long-term rentals.

But, like other investment options, vacation rentals also have some disadvantages.

For one, marketing and managing this type of rental property requires more involvement on your part compared to those leased out long term. Because of this, the cost of property management is a bit higher, with many property managers expecting to get paid 25% of the total rent. This is more than twice the 10% standard for long-term rentals.

4.   Fix and flip real estate

If you’re a fan of real estate TV shows, then you’re probably familiar with the term ‘fix and flip’ or the act of ‘flipping houses’. Fixing and flipping a property means that you buy a home for the sole purpose of refurbishing it and selling it quickly for a profit.

This particular investment option can be quite a lucrative option in real estate, especially if everything proceeds as planned. After all, what better way to earn some cash than by buying an underpriced home, showing it little love through inexpensive renovation, and reselling it for a higher price?

However, this strategy is a little bit harder to accomplish in reality compared to how they present it on TV. First, it comes with a higher risk as the maths behind flipping properties means you have to be very accurate in your estimated cost of repairs. That alone is a challenge in itself.

Plus, flipping homes is a job that requires not only your attention but a lot of time as well. This means that if you’re a passive investor, you should consider another investment option.

Remember that fix-and-flip investments can be quite daunting, even for the most experienced professionals. In fact, even the people you see doing this on TV require a team of four people or more, with varying expertise in real estate marketing, civil engineering, interior design, and others.

There are also some rules you must know about before deciding to jump into the fix-and-flip bandwagon:

  • You make money when you buy, not when you sell. Stick to the 70 percent rule; the acquisition, repair, and holding costs shouldn’t exceed 70 percent of the amount you expect to sell it for.
  • Time is equivalent to money in this trade. Dragging your feet during repairs and selling can destroy your profit margins.

Invest wisely in property

Property investment has a high potential of helping you build your wealth. When done right, you can even make it your main source of income.

Still, it would be best not to put all your eggs in one basket. Invest wisely by choosing the right kind of real estate investment among those listed in this article.

Author: Damac Properties

10 Useful tips in beautifying your small studio apartment

Tired of the old look of your apartment? Well, there are many ways to make a small apartment blossom. All you have to do is do some digging and find the right thing which will suit your place. Though small apartments have space issues, if you utilize everything in the right way decorating your apartment can turn into a fun activity and build something useful yet pretty! Here are a few tips which you can apply when you plan to create your little space even more pretty and beautiful.

  1. Start by defining different areas of your house

There is a possibility that you have a living room, a kitchen clubbed all together. By separating each area with the other, you create more space and the house looks different! You won’t feel that this is one entire portion. A bookshelf or a high rack can separate two different areas well and if not racks then you can add a dining table or some curtains also.

  • Multiple-use furniture

This kind of furniture is one of the most trending items on today’s date. People love to have those things in their house which serve not just one purpose but more. Tables that can serve as an iron table as well as a dining table, Stools which can be used for sitting and can easily be clubbed into a small cubical to save space, a sofa which can also serve as a bed.

  • Choose vertical storage ideas

Choosing to switch to vertical storage than horizontal can help you in two ways, it looks good and more spacious. You will find a lot of space empty when you choose to go vertical and the best part about it is that you won’t even compromise with storage. Vertical storage items can in fact help you gather more storage.

  • Old junk makes the best decoratives

If you are willing to empty your pockets on decorative items, then we want you to know that you already have a lot of them. Old items which are not of any use like old CD’S, jewellery, books, and even furniture can turn into great decorative items. Search for the best DIYs and you will know what wonders you can create.

  • Stay well organized

The organization is the key to success! No one likes a messy house after all. Just make sure that everything is placed after use and most importantly everything has a place of its own. If you do not define your things, then obviously it won’t look pretty and decent. Make sure to keep everything organized and well maintained. Cleaning the dust from your house regularly will also serve as a factor here.

6. Make every space count

When you have a small studio and want to make it pretty and elegant, you have to make sure that you utilize every bit of the space very efficiently. Our main goal is to give the room a beautiful look as well as make it look spacious. We do not have to make the space overcrowded but useful in the best way possible. If you have a fireplace and find it of no use, you can think of an innovative way to decorate it well or even use it for storage! So, start thinking about which corner of your house needs a makeover.

7.  Keep an eye on the color palette

Color combinations and schemes matter a lot when you are trying to bring everything in harmony. Make sure to utilize colors that are complementary with one another especially when you have an open space apartment. You can always go with one family color and follow the shades or go along with colors that are matching with the main shade you choose. Avoid using dark shades in small spaces, as it will make your space even smaller. Using shades that are light can make your room look big and spacious.

8. Put those beautiful coffee tables to use

Coffee tables can be used for a lot more than you think. Those big coffee tables can be used in the living room and also as a bookshelf! Didn’t get it? The best way you can utilize the coffee tables is by piling up the books on it and keeping it aside with your couch or use it as a pretty table for bedside purpose. The best way to use things efficiently is to put everything to work and avoid buying extra clutter which will be useless once you shift to a different place.

9. Use of carpets to define zones

The best way to define zones and make it look different from the other is by using a beautiful carpet or even two to double up! Carpet double can be so much fun, right? Just start with a basic colored carpet and then top it up with some stylish and sturdy smaller carpet. These can be animal print, furry, or even something more classy. You can always use two color combinations to define the space in a better way.

10. The use of mirrors can be very much decorative right?

If you are wondering that you have no space to fit in things in the studio, then we have got you covered. Using mirrors as a decorative item can be one of the best ways to sort things out. There can be pretty DIYs used and also if you wish to buy them, the choice is yours. If you think that you wish to decorate your walls and that art can be difficult to choose upon, then this is something which will help you anyway! You can create a painted frame for your mirror, can rope it up to make it look exquisite, the choice is yours.

In short, a small apartment needs to be simple yet pretty. Keeping things organized and clean will help you the most. You can add a few details and decorations to make it look perfect. Adding a few lighting items will not only illuminate your house but also make it look exquisite.

About the Author: Natasha Blackford is a content writing specialist who writes articles for SpeedHome and also a food blogger who is trying different things and sharing her recipes through youtube.