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Buying French Homes

Saturday, July 21st, 2012

Buying French Homes

The country known as France offers investors a great opportunity to benefit from the ever increasing property values. France is very fortunate to have a stable housing market, which will continue to stay that way for years and years to come. The low property prices are always an attraction to the area, with strong growth and prospects to keep the overseas home buyer coming back for more. For anyone interested in overseas real estate – France offers plenty of benefits.

The property in France is easy to access, with many ways to reach the shores. In most cases, you can get there easily for a very cheap price. As many know, France is famous for their transport system, which includes high speed trains that travel to most of the regions. There are also ferries that cover the area, including low cost flights as well. Once you buy a home in France, you’ll quickly become accustomed to the lifestyle there.

A lot of people who decide to buy a home in France, do so because of the surroundings. Buying a home in France is more than just the house, as you’ll get a chance to experience the finer things in life. France has several romantic attractions, which makes it perfect for married couples looking to spend their life together. Throw in some great drinks and relaxation, and France has all of your activities covered – along with a beautiful and spectacular house.

Unlike other regions throughout the world, France has one of the most established legal processes, one that has been proven time and time again over the years. Locals view the legal system as safe, as it helps for those who are interested in French property. As you can tell, French real estate is very different from that of the United States.

Although there are many locations overseas that you can invest in, France is actually preferred to be one of the best. France is known as a nation of renters, with plenty of real estate available for purchase. If you choose to rent out your property, buying in France will pretty much mean that you won’t have any problems renting. There are always people looking for vacation rentals and such in the area, making it perfect for investors or those looking for a second income.

Unlike other real estate locations, France offers you mountain snow complete with maritime living. France is a massive region, with plenty of houses to choose from. If you’ve been looking for overseas real estate, France is a location you can’t go wrong with. There is always something to do here, and plenty of things to see. As a second home or as a way of life – France represents an amazing and cultivating lifestyle that you simply must see to believe.

James Nsien2
NCN Real Estate Investments, LLC

Originally posted 2009-08-23 00:44:59. Republished by Blog Post Promoter

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Posted in NCN Real Estate Investments | 1 Comment »

Choosing Your Real Estate Appraiser

Saturday, July 21st, 2012

Choosing Your Real Estate Appraiser

If you have been thinking about purchasing a real estate property for personal use or as an investment, you’ll need to hire the services of a real estate investor. If you play to finance your home through a bank or other lender, you’ll more than likely need to get the property appraised first. Banks and most lenders want to know the value of the home for your protection, as well as make sure that the home they are financing is worth the total amount that you take on the loan.

In most cases, the appraisal indicates that the home does indeed meet or exceed the asking price. In some cases however, the appraisal will come back saying that the home is worth less than the selling price. If this is the case, the buyer normally has to either drop the deal or try to negotiate with the seller to get a price that meets the appraisal.

For those very reasons, a real estate appraiser is very important. When you are dealing with a home, one appraisal can make a deal or break it. Even though you may not be financing your purchase through a lender or the bank, you should still make an effort to get the home appraised and find out the true value. You should also make a point to find the best appraiser that you can afford. If you hire an appraiser who isn’t that experienced, you’ll pay for it later when you discover that the property isn’t worth what you paid for it.

A real estate appraiser will go through the home performing an evaluation, and then provide you with a written evaluation after he has gathered all necessary information. Appraisers will also taken into consideration the replacement costs as well. Also, they will have to very land descriptions as well. There is a lot of work involved with appraisals, which is why it’s so very important that each step of the process is performed correctly by a qualified real estate appraiser.

If you have a real estate agent, he or she will more than likely be able to make a recommendation. Keep in mind that this doesn’t mean the recommendation is the best; it’s just someone who your agent works with. To ensure that you get the right appraisal on your home you’ll need to find yourself an appraiser who is capable of completing the job.

When you look for your real estate appraiser, you should look for someone who comes highly recommended. You can ask family and friends for their opinions, or search local papers, even the Internet. If you take your time and search for the best real estate appraiser that you can find – you’ll normally get an appraisal that is right on target.

James Nsien2
NCN Real Estate Investments, LLC

Originally posted 2009-08-23 09:19:12. Republished by Blog Post Promoter

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Posted in Home Appraisal, NCN Real Estate Investments | 1 Comment »

Consolidate Debt by Re-Financing

Saturday, July 21st, 2012

Consolidate Debt by Re-Financing

Some homeowners opt to re-finance to consolidate their existing debts. With this type of option, the homeowner can consolidate higher interest debts such as credit card debts under a lower interest home loan. The interest rates associated with home loans are traditionally lower than the rates associated with credit cards by a considerable amount. Deciding whether or not to re-finance for the purpose of debt consolidation can be a rather tricky issue. There are a number of complex factors which enter into the equation including the amount of existing debt, the difference in interest rates as well as the difference in loan terms and the current financial situation of the homeowner.

This article will attempt to make this issue less complex by providing a function definition for debt consolidation and providing answer to two key questions homeowners should ask themselves before re-financing. These questions include whether the homeowner will pay more in the long run by consolidating their debt and will the homeowners financial situation improve if they re-finance.

What is Debt Consolidation?

The term debt consolidation can be somewhat confusing because the term itself is somewhat deceptive. When a homeowner re-finances his home for the purpose of debt consolidation, he is not actually consolidating the debt in the true sense of the word. By definition to consolidate means to unite or to combine into one system. However, this is not what actually happens when debts are consolidated. The existing debts are actually repaid by the debt consolidation loan. Although the total amount of debt remains constant the individual debts are repaid by the new loan.

Prior to the debt consolidation the homeowner may have been repaying a monthly debt to one or more credit card companies, an auto lender, a student loan lender or any number of other lenders but now the homeowner is repaying one debt to the mortgage lender who provided the debt consolidation loan. This new loan will be subject to the applicable loan terms including interest rates and repayment period. Any terms associated with the individual loans are no longer valid as each of these loans has been repaid in full.

Are You Paying More in the Long Run?

When considering debt consolidation it is important to determine whether lower monthly payments or an overall increase in savings is being sought. This is an important consideration because while debt consolidation can lead to lower monthly payments when a lower interest mortgage is obtained to repay higher interest debts there is not always an overall cost savings. This is because interest rate alone does not determine the amount which will be paid in interest. The amount of debt and the loan term, or length of the loan, figure prominently into the equation as well.

As an example consider a debt with a relatively short loan term of five years and an interest only slightly higher than the rate associated with the debt consolidation loan. In this case, if the term of the debt consolidation loan, is 30 years the repayment of the original loan would be stretched out over the course of 30 years at an interest rate which is only slightly lower than the original rate. In this case it is clear the homeowner might end up paying more in the long run. However, the monthly payments will probably be drastically reduced. This type of decision forces the homeowner to decide whether an overall savings or lower monthly payments is more important.

Does Re-Financing Improve Your Financial Situation?

Homeowners who are considering re-financing for the purpose of debt consolidation should carefully consider whether or not their financial situation will be improved by re-financing. This is important because some homeowners may opt to re-finance because it increases their monthly cash flow even if it does not result in an overall cost savings. There are many mortgage calculators available on the Internet which can be used for purposes such as determining whether or not monthly cash flow will increase. Using these calculators and consulting with industry experts will help the homeowner to make a well informed decision.

James Nsien2
NCN Internet Marketing Services

Originally posted 2009-09-11 23:32:09. Republished by Blog Post Promoter

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Posted in NCN Real Estate Investments, Re-Finance | 2 Comments »

Investing Explained Step by Step

Saturday, July 21st, 2012

“Investing Explained Step By Step”
By James Nsien2
http://james-nsien2.com

Investing is how you make your money grow, or appreciate for long term financial goals. It is a way of saving your money for something further ahead in the future. Investing means putting your money to work for you. Essentially, it’s a different way to think about how to make money.

Saving is a plan to set aside a certain amount of your earned income over a short period of time in order to be able to accomplish a short term goal. It is a plan of action where you plan on acquiring a certain amount of money by redirecting some of the money you have received from your various sources of income.

Investing, on the other hand, is a much longer term activity. We consider investing as an action that is based on long term goals and is primarily accomplished by having your money make more money for you.

Reason to invest:

There are three main reasons to invest. You can beat inflation, achieve financial goals like buying a car or paying for college, and retirement. Yes, you should start thinking about retirement now.

You can choose from many investing options. You can invest in stocks, mutual funds, or bonds!

Time Value of Money

The best thing to do is to start saving money as soon as possible. The younger you are, the more money you will have.

Let me give you an example of how time can save you $52,000 and make you $220,000.

Invest $2000 a year for nine years and start at the age of 21. On a 10% interest rate, the initial $18,000 you invested will be worth $763,000 by the time you reach the age of 65.

If you have a friend who waits until he/she is 30 to start saving and they save $2,000 a year every year until they are 65 which is a total of $70,000, they will only have $542,048.73, a difference of $220,000 from the person who started at the age of 21. Time is definitely on your side, so start early! Imagine what it would be if you started saving even earlier than 21!

What if I have $10,000 invested at various interest rates? After 20 years this is what I would have.

4% -$21,911

10%-$67,275

16%-$194,601

More interest rate, more the money.

Easy rule:

If you want to know how long it will take to double your money, take the number 72 and divide that number by the interest rate you are getting. So if you deposit $3,000 into an account with a 2% interest rate, 72 ÷ 2 is 36. So in 36 years you will have $6,000.

If you have an interest rate of 12%, you will make $6,000 in six years. The higher the interest, the quicker it is.

Stock Market

The stock market is one option for investing your money. Stocks are unmatched in comparison to any other investing tool. They are the leading way to make money and stay ahead of inflation over time. This is ideal if you have long term investment goals.

When you invest in stocks that a company offers, you are buying a share of that company. Depending on how well the company does determines how much each share is worth.

Comparing stocks to savings accounts, the tendency is that stocks give you a higher rate of return on your initial investment. But that is not without a risk.

The risk is, your stock is not FDIC insured like a savings account. Whatever you put into savings you are guaranteed to receive, plus your interest.

When you buy stock in a company, they could go bankrupt and the business shuts down, or the stock will not be worth the price you paid for it. These things do happen, but if you invest with the proper strategies, you will usually come out a winner.

Bonds

A bond is an agreement on a loan between the issuer and the person buying the bond (bondholder). The bondholder has “lent” a certain amount of money to a government agency, municipality, or corporation and is given interest on the loan.

The term of a bond is given a fixed-rate at the time of issue and expires on the specified maturity date. At that time, the issuer is responsible to pay the bondholder the face value of the bond. Throughout the term of the loan, the issuer also pays interest to the bondholder. The interest amount is set when the bond is issued.

Bonds can vary in term length. The can be a short as one year or as long as 30 years. Usually, the longer the term on the bond, the better interest rate the bondholder receives.

If you choose to sell your bond before the term is up, you can, but you lose money. It’s always best to keep bonds for their full term.

Mutual Funds

When investors decide to invest in a mutual fund, then money is put in a pool of money from other investors to create a large portfolio so everyone benefits from bigger profits. Most funds buy a variety of investments like stocks, bonds, or other securities. Because there is such a variety of different investments in one mutual fund, there is not as much of a risk. Usually if one investment has a bad return, another will make up for that loss.

To invest in a mutual fund, an investor buys shares of the fund and becomes a shareholder. That fund makes money two ways: by earning dividends or interest on its investments and by selling investments that have grown in price. The fund then pays out its profits to the shareholders.

Note: This is better if you are investing for long term profits.

Alternative Investments: Options, Futures, FOREX, Gold, Real Estate, Etc.

So, you now know about the two basic securities: equity and debt, better known as stocks and bonds. While many (if not most) investments fall into one of these two categories, there are numerous alternative vehicles, which represent the most complicated types of securities and investing strategies.

The good news is that you probably don’t need to worry about alternative investments at the start of your investing career. They are generally high-risk/high-reward securities that are much more speculative than plain old stocks and bonds. Yes, there is the opportunity for big profits, but they require some specialized knowledge. So if you don’t know what you are doing, you could get yourself into a lot of trouble. Experts and professionals generally agree that new investors should focus on building a financial foundation before speculating.

James Nsien2
NCN Internet Marketing Services

Originally posted 2009-04-19 18:40:57. Republished by Blog Post Promoter

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Posted in Investing, NCN Internet Marketing Services, NCN Real Estate Investments | 9 Comments »

Real Estate Wholesale

Saturday, July 21st, 2012

 

“What is wholesale real estate?”
By James Nsien2
http://james-nsien2.com

Page copy protected against web site content infringement by Copyscape

Wholesale real estate is just the same as any other wholesale product. To provide a comprehensive depiction of wholesale real estate, one must consider and define all of the other components of the supply chain.

The Consumer:

As with any production, the consumer real drives the marketplace. The consumer, in the case of real estate, is most often the owner occupant buyer who shall eventually become the end user of the product (real estate).The owner occupant buyer is often sensing for a outstanding deal but their base purchase criteria is not the equal as an investor. Location, bedroom and bathroom quantities, quality of the real estate, etc. are some of the criteria in which owner occupant looking for a property that satisfies his needs.


The Retailer:

The retailer is the professional who sells the product to the consumer. In the case of real estate, the Retailer is often a Realtor or an Investor, sometimes even a home owner. Anybody who sells the product (real estate) for full market value to the consumer is a retailer.

The Wholesaler:

The wholesaler is the person or business who procures a product from the manufacturer and sells the product to the retailer. The wholesaler is the middleman who handles distribution of the product and provides a steady stream to the retailer for resale to the consumer

Certain companies combine all aspects of the supply chain into one integrated company. For example, a company could manufacture pillows in the back room while retailing pillows in the front showroom. The same concept can be applied to real estate to varying degrees. For example a home builder will often build a subdivision and then sell off the homes one at a time to owner occupants.

Some other companies change and concur by specializing in one facet of the activity. For instance, wood dealer have raw woods, after success dealing wood goes to furniture processing companies, who then sell the product to distributors, then to Furniture stores, and finally to the consumer. The analogous supply chain in real estate occurs when a Motivated Seller contacts a wholesaler. The wholesaler puts the property under contract and then does a task of contract to a retailer, who ultimately sells the product to the consumer.

Some companies specialize in wholesale real estate, while others include wholesaling as a part of there total investment tactic. Many farmers sell their fruits to food processing companies, but some sell their crop at the farmer’s fruit market too. This is similar to the real estate wholesaler who typically sells their property to retailers, but will occasionally sell to the consumer. Most grocery stores sell product they purchased from food distributors, but additionally carry their own product line of breads and cereals. This is similar to the real estate retailer who sometimes skips the wholesaler by dealing directly with the motivated seller

Overall, the act of buying and selling real estate property at a profit is a perfectly legal and acceptable process. Both seller and buyer should enter into a transaction with a “caveat emptor” or buyer beware attitude and be educated in the financial idiosyncrasies of real estate transactions. Wholesale real estate is a vibrant industry and controls a large percentage of all, real estate transactions. The stimulus for generating wholesale real estate opportunities is finding motivated sellers, fixer-uppers, pre-defaults, and REOs.

The real estate wholesaler may be doing the motivated or distressed seller a favor by purchasing his or her property. Several personal scenarios may cue the seller to aggressively sell his house. The seller may be actuated because of a job assign. Or, the seller may get missed a two of domiciliation payments and needs to sell the shelter fast before the investor or bank sends him a notice of default. The seller may not be interested in making an optimal profit.

It’s unfortunate that many people believe that they can buy a cheap property and then turn it for a high comparable value. These deals are few among the many. The more sensible view is that the forced or troubled seller usually knows what her house is worth. Most wholesalers know this and are happy to accommodate the seller and work through a jointly satisfied agreement.

The typical wholesaler is able to see the wholesale real estate signs and act on them. Instead of making usurious profits from the sale of one house, the realistic wholesaler is willing to make modest profits from turning multiple properties. He realizes that a 6% profit on a property sale, which is the difference between what he paid for the house and what he wholesaled it for, is just fine.

Create a “future buyers list”:

Future buyers list will make your future investments easier. This list consist of buyer, rehabbers or anyone you have worked with them in past and contacted you about deals. Frequently, you may want to rehab a property yourself but your other assets that demand instant attention. You can then make some quick cash by selling these overload deals to another person.

A prime rule of investing in real estate is that whenever someone calls to inquire about one of your properties always makes sure to get their names, phone and fax numbers, and email addresses. Find out what type of properties they’re looking for and how much they’re willing to spend.

Still after you sell the property, maintain to run your ads. This way you can get as many potential buyers as possible to add to your future buyer’s list. What’s great about this is that whenever you get a new deal under contract, you now have an entire list of potential buyers to fax and email!

James Nsien2
NCN Real Estate Investments, LLC
http://james-nsien2.com/ncn-real-estate-investments/

Originally posted 2009-04-12 18:03:42. Republished by Blog Post Promoter

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Posted in NCN Real Estate Investments, Wholesale | 6 Comments »

Tax Considerations When Re-Financing

Saturday, July 21st, 2012


Tax Considerations When Re-Financing

For many homeowners the overall goals of re-financing are often paying less in interest overall and reducing monthly payments. When a homeowner is able to obtain a lower interest rate, there is usually the opportunity to re-finance the mortgage to capitalize on the lower interest rate. However, a lower interest rate does not automatically translate to a savings. The homeowner must carefully consider the amount of money they will be savings over the course of the loan in relation to the amount of money they will be spending to re-finance the mortgage. When the closing costs associated with re-financing are larger than the savings, re-financing may not be warranted. Re-financing can also have financial ramifications associated with tax options.

Paying Less Interest Equals Less of a Deduction

In most locations, homeowners are permitted to deduct the amount of taxes they pay on their mortgage when filing their tax forms. This is usually quite a substantial deduction for homeowners who owned the home for the entire tax year. Those who re-finance their mortgage will typically be paying less money each year in taxes on the mortgage. While this is great in the long run, it can adversely affect the homeowner’s tax return.

Consider a situation where a homeowner is located just below a major tax bracket which would be quite costly for the homeowner. As all ready discussed, re-financing may result in the homeowner paying less money in taxes each year. This means the taxpayer will be able to make a smaller deduction this year now fall above the tax bracket they previously fell below. When this happens the homeowner may find themselves paying significantly more in taxes.

Consult a Tax Preparation Specialist

Determining the exact ramifications of paying less interest on a home mortgage on a tax return can be a rather tricky process. There are a number of difficult equations involved which can make the apt to make mistakes while trying to determine the consequences of paying less in taxes on the mortgage. For this reason, the homeowner should consult a tax preparation specialist when determining whether or not re-financing is worthwhile because the tax specialist can provide information regarding the impact of paying less in interest.

In selecting a tax preparation specialist, the homeowner should seek out opinions from friends and family members if the homeowner does not employ a specialist to prepare their own taxes. This can be helpful because trusted friends and family members are only likely to recommend professionals they feel were knowledgeable, trustworthy and caring. A tax preparation specialists should have all of these qualities but should also be well versed in the area of tax preparation. This will enable the tax preparation specialist to make all of the right decisions when considering the needs of the homeowner.

Online Calculators

For homeowners who do not know a tax preparation specialist or for homeowners who are unable to afford the consulting services of these individuals, there are online calculators which homeowners might find very useful. These calculators are readily available throughout the Internet and can be used to determine the tax ramifications to re-financing. These calculators ask the user to input specific criteria then returns results regarding the amount the homeowner will pay in taxes during the year if he refinances. Additionally the homeowner can run these equations several times to consider a number of different scenarios.

James Nsien2
NCN Internet Marketing Services

Originally posted 2009-09-11 23:49:17. Republished by Blog Post Promoter

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Posted in NCN Real Estate Investments, Re-Finance, Refi | 1 Comment »

Alternatives to Timeshare

Saturday, July 21st, 2012

Alternatives to Timeshare

Over the period of decades the popularity of timeshares has grown by many folds so much so that over two million Americans have timeshare properties in country and out of country. But the rise of timeshare industry saw the rise in scams and frauds. More recently the timeshare industry has been plagued by unscrupulous activities of frauds and scammers. Notwithstanding these serious problems with timeshares a new breed of alternatives are emerging. One of the main reasons why people were attracted towards timeshares was that it will be an expensive affair for a big family to vacation every year at a hotel or a resort. Timeshares proved to be an economical solution to all that.

But on the flip side of it, buying a timeshare requires large upfront fee and the timeshares typically range anywhere from ten thousand dollars to fifty thousand dollars also. On top of that the buyers have to pay the annual maintenance fee, property taxes, management fee etc. which could range from few hundreds to over a thousand also. People have begun realizing that why pay more money and still use the same property every year for only one week. And people get bored of going to the same place again and again. Although some timeshares offer exchange program which would allow owners to exchange their timeshare units across different resorts and locations but it is not that easy with exchange costing more bucks. And when the owner wants to sell a timeshare unit it is not that easy task. Timeshares are one of the most difficult properties to sell. Even when they sell they sell at 30%-50% lower than their original price.

Now a new era of concepts is taking vacation industry by storm. And this era is represented by concepts such as resort memberships and condo hotels. A resort membership is a one time investment i.e. you have to pay the membership fee only once and you can enjoy the benefits of the resort life long. And what more you are not required to pay any maintenance fee or taxes. Resort memberships can cost anywhere from few grand to few hundred grand. Some resort membership may also have yearly fee. But if you do a good research there are some resorts within the range of affordability. The best deal that one can get is may be a lifetime member ship for around three grand and a limited five year membership for two grand. And the members have access to not only the resort they have membership in but they can choose from hundreds of resorts worldwide available in resort company’s network. And there is no limit on number of times you want to go and at what time you want to go, your vacation is always assured.

Another concept that is getting popular is condo hotel which is a relatively new concept and only very few people own condos in hotels. But the concept is receiving good reviews and is gaining popularity with the time. The way it works is it allows people to buy condos in luxurious hotels and utilize the benefits of all the amenities available in the hotel. If the owner is not using the condo he can put his condo for rent and can receive percentage of the revenues it produces. A condo hotel in comparison to a timeshare offers more flexibility, is better furnished, and has better amenities, better services and many locations.

James Nsien2
NCN Real Estate Investments, LLC

Originally posted 2009-08-29 01:14:01. Republished by Blog Post Promoter

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Pre-Construction In Real Estate Investing Explained

Saturday, July 21st, 2012

Pre-Construction In Real Estate Investing Explained

The idea of pre-construction investments when it comes to real estate is actually quite a clever way in which many have made millions. The theory is simple really. Invest in a property before when it is in the planning stage. Those who will be building these buildings need money and investors in order to do get the building off the ground. By investing (in many cases basically purchasing options to purchase) in the units, typically condo units in high demand areas, before the ground is broken investors often have the option of investing for pennies on the expected dollar once the building is complete and can re-sell the property at full market value once the building is complete pocketing the difference in the original investment and the asking price.

This is a win-win situation for many builders or ‘owners’ of the property in questions because ‘pre-selling’ the units allows lending agents to have confidence in the viability of the project as a money earner by selling many of the units sight unseen. The benefit to investors is that they are able to purchase at a much lower price pre-construction than afterwards and can sell afterwards at the full market value (or above in some high demand and under saturated areas for real estate).

This style of investing is not nearly as glamorous to some as flipping houses. There are no beast to beauty renovations. There are, however, some things that should be kept in mind while making this type of transaction.

First of all, no real estate venture is ever guaranteed to turn a profit no matter what the glossy little brochures tell you. With the current trends in property sales, this is typically not the best environment for pre-construction investing though these things tend to change on a regular basis and that market could be looking up again in the very near future.

Second, networking is more often than not the best way to break into this particular business. There are all kinds of fly by night would be real estate investors. The ones that manage to last are those that network with other real estate agents as well as those who have specific interests and experience with pre-construction investments. Join local groups in addition to online groups that deal specifically with this sort of investment in order to get more information more quickly. The costs involved might appear daunting at first but they are far less than the costs of getting in over your head by not having a grasp of even the most basic ‘ins’ and ‘outs’ of pre-construction real estate investing.

Third, develop a close-knit relationship with a realtor that specializes in this particular type of real estate investing. This could prove to be the most beneficial thing you will ever do in order to insure future success. Be developing the right relationship with the right realtor you can get information on new properties before they make it to the public sector. This puts you in the rare and wonderful position of beating the competition to the punch. This gives you a much better shot at receiving the rock bottom prices that are often missed by waiting too long to make the purchase.

Fourth, be prepared to hold onto the property for a little while if you need to do so. The problem with pre-construction investing is that there are no guarantees that when the time comes you will have been able to ‘seal the deal’. Things come up even when you have a buyer that is willing and eager to make the purchase. In other words, there are times when you will need to hold onto the property for a short while and sometimes as a long-term investment. Some options in the case of long-term holds would include renting the property out to vacationers if it is in a high demand tourist area. You can use your realtor to help with that. This allows the property to be earning some income until the sale can be made. Others decided to hold onto the property as a personal vacation home for themselves, friends, and family. In the end, the important thing is that there is a “Plan B” for the property should the deal fall through and you are left paying the monthly note.

Pre-construction real estate investing may not have the ‘name in lights’ appeal that other types of investing carry but it does provide a viable investment style that has the potential to bring in significant profits. The name of the game when it comes to investing is profits so keep this in mind when considering your investment options. This is one of the forms of investing that requires (in most cases) the least amount of capital up front.

James Nsien2
NCN Real Estate Investments, LLC

Originally posted 2009-07-25 14:51:02. Republished by Blog Post Promoter

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Posted in NCN Real Estate Investments, Pre-Construction Investing | 5 Comments »

Re-Financing with a Line of Credit Loan

Saturday, July 21st, 2012

Re-Financing with a Line of Credit Loan

Some homeowners might consider re-financing with a home equity line of credit as opposed to a traditional loan. There are definite advantages and disadvantages to these types of situations. The key to understanding whether or not re-financing with a home equity line of credit is worthwhile involves understanding what a home equity line of credit is, how it differs from a home loan and how it can be used. This article will briefly cover each of these topics to give the homeowner some useful information which may help them decide whether or not a home equity line of credit is ideal in their re-financing situation.

What is a Home Equity Line of Credit?

A home equity line of credit, sometimes called a HELOC, is essentially a loan in which funds are made available to the homeowner based on the existing equity in the home. However, in this case, it is not really a loan but rather a line of credit. This means a certain amount of money is made available to the homeowner and the homeowner may draw on this line of credit as funds are needed. There is a specified period in which the homeowner is able to make these withdrawals. This is known as the draw period. Additionally there is a repayment period in which the homeowner must repay all of the funds they withdrew from the account during the draw period.

How Does a Home Equity Line of Credit Differ from a Home Equity Loan?

The difference between a home equity line of credit and a home equity loan is really quite simple. While both loans are secured based on the existing equity in the home, the manner in which the funds are disbursed to the homeowner is rather quite different. In a home equity loan the homeowner is given all of the funds immediately. However in a home equity line of credit the funds are made available to the homeowner but are not immediately disbursed. The homeowner is able to draw against this line of credit as he sees fit. There are limits to the amount which can be withdrawn and there is also a limit on when funds can be withdrawn. A home equity has a draw period and a repayment period. Funds can be withdrawn during the draw period but must be repaid during the repayment period.

How Can a Home Equity Line of Credit Be Used?

One of the biggest advantages of a home equity line of credit is that the funds can be used for any purpose specified by the homeowner. While other loans such as an auto loan or even a traditional mortgage might have strict restrictions on how the money lent to the homeowner can be used, there are no such restrictions on a home equity line of credit. Common uses of a home equity line of credit include the following:

* Home renovations or improvement projects
* Opening a small business
* Taking a dream vacation
* Pursuing higher educational goals
* Opening a small business

In some cases the interest paid on a home equity line of credit may be considered tax deductible. Max Gentlemen online This may apply in situations where the funds are used to make repairs or improvements to the home. However, these expenses are not always tax deductible and the homeowner should consult with a tax professional before making decisions regarding which interest payments can be deducted.

James Nsien2
NCN Internet Marketing Services

Originally posted 2009-09-06 22:35:06. Republished by Blog Post Promoter

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Posted in Line of Credit Loan, NCN Real Estate Investments, Re-Finance, Refi | 25 Comments »

Home Inspection and Appraisal

Saturday, July 21st, 2012

“Home Inspection and Appraisal”
By James Nsien2
http://james-nsien2.com

A home inspection is a non-invasive examination of the condition of a home, often in connection with the sale of that home. This is carried out by a home inspector, who usually has special equipment and training to carry out such inspections. A home inspection report is then issued by the home inspector. Many home inspectors use home inspection software.

Home inspection software is used by home inspectors to facilitate the inspection process and produce professional, easy-to-read reports. For many years, home inspectors relied on hand-written checklists or created custom-made databases to assist them in the creation of home inspection reports. However, times have changed, and home inspectors can now purchase commercial home inspection report programs to facilitate the inspection process and produce professional, easy-to-read reports.

An inspector will check the roof, basement, heating system, water heater, air-conditioning system, structure, plumbing, electrical, and many other aspects of buildings looking for improper building practices, those items that require extensive repairs, items that are general maintenance issues, as well as some fire and safety issues. Home owners or home buyers often use a home inspection service before selling or buying their houses. A home inspector conducts a thorough examination of a home to detect any potential systems or components requiring attention. A home owner receives a detailed report of the condition of his/her home so that he/she can plan for needed repairs and upgrades when it is time to make them.

Home Inspection Checklist of Items Not Inspected

A home inspector’s standard practice typically does not include the following, for which a specific license to inspect and identify is required:
• Asbestos
• Radon, Methane, Radiation and Formaldehyde
• Wood-Destroying Organisms
• Mold, Mildew and Fungi
• Rodents
• Lead

General Home Inspection Checklist Items

• Structural Elements.
Construction of walls, ceilings, floors, roof and
foundation.
• Exterior Evaluation.
Wall covering, landscaping, grading, elevation,
drainage, driveways, fences, sidewalks, fascia, trim,
doors, windows, lights and exterior receptacles.
• Roof and Attic.
Framing, ventilation, type of roof construction,
flashing and gutters. It does not include a guarantee
of roof condition nor a roof certification.
• Plumbing.
Identification of pipe materials used for potable, drain,
waste and vent pipes. including condition. Toilets,
showers, sinks, faucets and traps. It does not include
a sewer inspection.
• Systems and Components.
Water heaters, furnaces, air conditioning, duct work,
chimney, fireplace and sprinklers.
• Electrical.
Main panel, circuit breakers, types of wiring,
grounding, exhaust fans, receptacles, ceiling fans and
light fixtures.
• Appliances.
Dishwasher, range and oven, built-in microwaves,
garbage disposal and, yes, even smoke detectors.
• Garage.
Slab, walls, ceiling, vents, entry, firewall, garage door,
openers, lights, receptacles, exterior, windows and
roof.

Home Inspection Checklist Items

Home inspection reports do not describe the condition of every component if it’s in excellent shape, but should note every item that is defective or needing service. The serious problems are:
• Health and safety issues
• Roofs with a short life expectancy
• Furnace / A/C malfunctions
• Foundation deficiencies
• Moisture / drainage issues

In Canada and the United States, a contract to purchase a house will often include a contingency that the contract is not valid until a home inspector has inspected the property (and the contract will usually provide for how problems found in inspection are to be remedied). In many states and provinces, home inspectors are required to be licensed, but in many states the profession is not regulated at all. Typical requirements for obtaining a license are to complete an approved training course and/or to pass an examination selected by the state’s licensing board. Several states and provinces also require inspectors to periodically obtain continuing education credits in order to renew their licenses.

In many provinces and states, the practical standards for home inspectors are those enacted by professional associations such as the American Society of Home Inspectors (ASHI), the International Association of Certified Home Inspectors (InterNACHI) with chapters throughout the United States and Canada, the National Association of Building Inspection Engineers (NABIE), the National Association of Home Inspectors (NAHI), and the Canadian Association of Home and Property Inspectors (CAHPI) with chapters throughout Canada.

Appraisers and Appraisals

• Appraisers are licensed by individual states after
completing coursework and internship hours that
familiarize them with their real estate markets.
• The lender might use an appraiser on its staff, or
contract with an independent appraiser. If you are
allowed to choose the appraiser, and it isn’t someone
the lender is familiar with, the results might be
subject to review before they are accepted.
• The appraiser should be an objective third party,
someone who has no financial or other connection to
any person involved in the transaction.
• The property being appraised is called the subject
property.
• You will probably pay for the appraisal when you apply
for your loan.

Appraisal is what you’ll See on a Residential Appraisal Report

Appraisals are very detailed reports, but here are a few things they include:
• Details about the subject property, along with side-by-
side comparisons of three similar properties.
• An evaluation of the overall real estate market in the
area.
• Statements about issues the appraiser feels are armful
to the property’s value, such as poor access to the
property.
• Notations about seriously flawed characteristics, such
as a crumbling foundation.
• An estimate of the average sales time for the property.
• What type of area the home is in (a development,
stand alone acreage, etc.).

James Nsien2
NCN Real Estate Investments, LLC

Originally posted 2009-05-10 00:48:55. Republished by Blog Post Promoter

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Posted in Home Appraisal, Home Inspection, NCN Real Estate Investments | 1 Comment »

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