Category: Quantity Surveyors

Smart investing in real estate with Propertyhookup

by

propertyhookup

When it comes to make a good investment in real estate, one may think that he needs to be some kind of a sales guru. The real estate market s rules are very complicated and not for anyone within reach to comprehend. To

sell property

or to buy property can give you a lot of headaches. So, how do we manage in this rather messy world of real estates. All buyers, regardless that they are home buyers or real estate investors always look to find a short sale home.

In fact, to be foresighted in order to make a great investment is not necessarily difficult. All you have to do is to think smarter than the rest of the competition. Easy to say, isn t it? And be sure that it is even easier to accomplish.

Short sale home

is a property that its owner needs to sell fast to avoid foreclosure from the bank. In easier terms to understand, such a property was originally purchased with the aid of a bank loan. When the owner stood in the difficult position not to be able anymore to pay the loan, his house was in jeopardy to become a bank property, this way the owner looses any benefits he could still get out of this unfortunate situation. So he is obligated to sell property for at least the value of the loan.

The bank became one of the most feared dragons for modern reality. Since the value of properties increased more than all average and even powerful investors could afford, the bank loans seemed like the best solution. In many ways, this is true, but the fact of the matter is that up until you don t pay the loan to its full value, your home is in fact bank property. With this world crisis we all have to get through these days, there have been seen many cases, when the bank enrolled a foreclosure process over someone s property. This is why a whole new market developed underneath our eyes: the short sale home s market.

When an owner is forced to sell property fast, to loom foreclosure from the bank, there is a good opportunity to obtain a lower price for an otherwise out of one s budget. There are many investors that make it their purpose of business to look for such short sales, so that after a while they sell it with a bigger price that, ironically, is close to the fair value on market of that particular property. As an investor, if you dispose of some money, looking for short sales could be an easy way to make profit. To target these deals is not so within reach for anyone, but with the addition of online search, nowadays this task became easier. A very good site that benefits of a custom developed software to search for short sale home deals is Propertyhookup.com. This software searches the web for these deals. On the other side, if you are one of those owners that want to loom foreclosure so that his house doesn t become bank property, you also can list your home as sell property on this site.

Don t let your home become a

bank property

and loose any benefits you can get out of its sale. Also, for all investors eyes to see, check out the

short sale home

section on Propertyhookup.com now.

Article Source:

ArticleRich.com

By J Harris

Before contacting a realtor and begin looking at homes for sale, there are a few things you need to do. Your realtor will assist you in discovering how much home price you can afford, but he/she needs information from you to do it. So, go prepared with your financial data to your first appointment with your realtor in order to begin looking at homes for sale immediately.

To determine a homes for sale price that you can afford, you need to review your financial situation to determine how much down payment you can afford and how large of a monthly payment you can comfortably handle.

Net Worth

So, before looking at homes for sale, put together a statement of your net worth. Begin by doing an inventory of all your assets (what you own that may be sold for cash). This includes all investments, savings accounts, household furnishings, your current home and any other real estate, vehicles, recreational vehicles and equipment, furs and jewelry, guns, electronic equipment, loans owed to you, any vested equity you own, cash and surrender values of insurance policies, collectibles, and precious metals and gems.

Now, list the value of each item. This is the amount you believe you could sell the item for cash within a reasonable timeframe. Deduct any money owed on the item from the sell price. For example, you might be able to sell your current home for $150,000, but you owe the mortgage company $75,000 (pay-off amount) and another $3,000 in property taxes that would come due before it could be sold.

Now, list all of your liabilities. They are anyone to whom you owe money for whatever reason. They include mortgages, loans and credit lines of any types (including credit cards), and even your Uncle Bob that loaned you $2,000 last summer.

Total your assets and liabilities. Then, subtract the liabilities from your assets to determine your net worth.

Down Payment

To determine your possible down payment for a homes for sale, take your net worth and subtract out the following: Savings for emergencies, education and retirement; settlement and moving costs of buying the homes for sale; and cash you will need to improve, decorate and furnish the new homes for sale. The remaining is your possible down payment.

Monthly Payment

Next, calculate the possible monthly payment you can afford for your homes for sale. List all of your actual and projected monthly expenses. Include all the monthly costs of your liabilities listed above, adding the following items: Insurance premiums, all household expenses (including cell phones and DSL costs), any taxes owed but not already withheld by your employer, all transportation costs (include maintenance, fuel, and licensing), clothing costs (new and maintenance), pocket money for family members, groceries, personal care, recreation and entertainment, medical and dental costs, charity, special expenses (such as tuition), and miscellaneous costs. Divide into monthly costs any expenses paid quarterly or annually.

Now, total your monthly expenses. Subtract out your monthly mortgage or rent. Subtract the remaining expenses from your total monthly household income. This is the amount you can comfortably pay for a monthly mortgage payment on a homes for sale.

If the monthly payment for a homes for sale seems a bit low, review all of your monthly expenses. Where can you decrease or eliminate expenditures? For example, paying off your high-interest credit cards to eliminate the high monthly payments.

Once you have this information in hand, your realtor can determine just what you can afford to pay for a homes for sale.

About the Author: John Harris is an expert researcher and writer on real estate topics such as economics, credit improvement tips, home selling advice and home buying preparations. For more information please visit Best Mortgage Rates and Online Mortgage Payment Calculator

Source: isnare.com

Permanent Link: isnare.com/?aid=95522&ca=Real+Estate