Posts Tagged ‘the property’

PostHeaderIcon Glossary of Mortgage Terms

wpAdditional Security Fee

An Additional Security Fee (Mortgage Indemnity Guarantee policy) is the fee taken to get an insurance policy that will cover your lender so that if you default on payments, he will not suffer any loss. You have to pay the Additional Security Fee and the premium along with your mortgage advance. Although you are paying the premium, remember that this policy is for the protection of your lender and not for you.

Administration Fee

The administration fee is the amount charged by your lender to start working on the documentation part of your mortgage application. It includes the home valuation fee as well. The administration fee will not be refunded even if your valuation is not done or if your application has been rejected.

Adverse Credit

Adverse credit occurs when you have a history of bad credit, bankruptcy, CCJ, or loan arrears. Adverse credit can also be called as bad credit, poor credit, or it can be said that you have a low credit score. Read the rest of this entry »

PostHeaderIcon Crucial Rental Property Buying Tips That You Should Know

wpBefore you get involved in investing in rental property, there are some important rental property buying tips to know. Owning rental property is an excellent way to make income as long as you purchase the right properties. Of course the key to making a profit is knowing which property to buy. Make a mistake and you’ll pay for it as long as you own it.

It’s important that you are cautious when making a decision on the property you purchase. Take time to research properties and make decisions that well informed. If you’re ready to start investing, here are a few crucial rental property buying tips you need to remember.

1. Take Your Time and Make Sure You are Getting a Great Deal

One of the most important things is to ensure that you are getting a great deal on the property. Buying a piece of property for the wrong price can end up costing you instead of making you money. When deciding if a property is worth the price, you’ll need to do some research.

Take a look at what the property will cost you each month. Then figure out how much money you’ll make from the property. If you can’t make a nice profit on the property, then it’s not the right choice for you when you are investing. Read the rest of this entry »

PostHeaderIcon Maximising Property Investment For New Entrants

So you are new to buying investment property and you need to know about investment property loans. Borrowing money to invest in property can be a very tricky business and it is a good idea to research your field before committing yourself to a huge loan. For example, if you take out a home equity loan in order to improve your properties or invest in new properties, if your property investments go south, you will not only lose your investments but also your equity. So, it is worth it to do a little research. One way of doing this is to get advice from the people who have already dealt with investment property loans and who are happy to advise new entrants into the property market.

That’s all very well, I hear you say, but I am looking at buying investment property and I have no idea where to look for advice. The only place that most people go for advice on investment property loans is their bank, who already have a vested interest in loaning the money. One way of getting independent advice on this subject is to check out a property investment forum. There are ones that really are worth a look. A lot of the people on there have been buying investment property for some time and are well aware of both the pitfalls and advantages surrounding investment property loans. The property investment forum, in fact, is worth a visit for anything to do with the property investment market. The way the market is at the moment there are people around who are dedicated to maximising the property investment market to attract new entrants. Read the rest of this entry »

PostHeaderIcon How to Quickly Determine the Value of Commercial Property for Sale

The value of a commercial property for sale is determined by using some simple formulas that are based upon the amount of net operating income that the property produces each year. So when you are looking at a commercial property for sale, one of the first things that you’ll want to ask the broker for is the profit and loss statement.

Some brokers who have listed a commercial property for sale may refer to this profit and loss statement as an IPOD, or income property operating data sheet. Once you get the IPOD, or profit and loss statement, you can then compare the information provided by the broker or seller to your other sources to help determine what the real numbers are. The challenge when looking at any commercial property for sale is that the broker and/or owner will often tend to exaggerate the amount of income that the commercial property for sale produces while also trying to minimize the amount of operating expenses that are reported.

How to Determine the Value of a Property for Sale

The reason for this is simple. The value of any commercial real estate is based on the amount of net operating income the property creates each year. In fact, each additional dollar of annual income increases the value of the property by roughly ten dollars, depending on where the property is located, and how old it is. Note that this extra net income can come from either getting additional revenue in rents, or from reducing expenses by managing the property more efficiently. Read the rest of this entry »

PostHeaderIcon 5 Ways to Make Your Online Property Rental Ads More Effective

So what happens when the landlord has posted an online ad for their rental property and they still get no calls? No landlord wants their rental properties to sit empty. Renters are not going to call the owner unless the ad catches their attention. There are ways to improve the content of the ad and its visual and competitive appeal.

Tip #1: Write a Catchy Heading

“Apartment for rent” websites present filtered results to the user by summarizing the key data on properties that fit their criteria. To sort through all of this information, users typically scan the property’s heading and photo to see if something interests them. Property owners have the ability to label their property with a catchy heading, so this is their first chance at making an impression. Use descriptive words and focus on one key unique feature or benefit that the property offers. That unique feature could be its open layout, bright rooms, spacious entranceway, underground parking, in-suite laundry, cul-de-sac location, etc. Which of these headings is the catchiest? Read the rest of this entry »