If Rechavia is a neighborhood of gardens, Baka is practically a forest. I've never seen more full grown trees in a Jerusalem neighborhood than in Baka, and the variety is greater than in the newer neighborhoods as well. All the trees and the privacy they bring may be a large part of what's made buying a house or an apartment in Baka so attractive to Americans. The other attraction is that Baka is right across the railroad tracks from the German Colony, and a two minute walk from Emeq Refaim, it can hardly be considered the wrong side of the tracks. Baka is primarily a mix of private homes and modest sized apartment buildings.
There are some larger developments as you move towards Talpiyot, but Baka residents would probably call that area Makor Chaim. You'll hear quite a bit of English on the streets as you wonder around Baka, but the ultimate indicator of a heavy American presence is that number of real estate ads in the Jerusalem Post. I think Baka is actually the priciest neighborhood I've looked at so far in terms of available properties. There aren't a huge number on the market, and apartments that are for sale tend to be pretty expensive.
More : http://www.fonerbooks.com/guide_28.htm
Sunday, May 13, 2007
Guide for Buying an Apartment in Baka
Thursday, April 26, 2007
Real Estate Selling Tips
Selecting an Real Estate Agent
When the time comes for you to put your home on the market, make an effort to select the right agent. Find an agent who is familiar with your type of property. Ask for transaction data. Check to see if the agent is a member of the Institute of Estate Agents ( IEA ) and if yours is an HDB unit, make certain that the agent is a Listed Housing Agent. Interview the agent to ensure he has the knowledge and the skill required to successfully market your property. Most importantly, you must appoint one exclusive agent and allow him to conduct his duties in a professional manner
Why Exclusive ?
* Exclusive Authorisation means a dedicated agent handling the entire marketing process ensuring full discretion and personal reporting.
* Exclusive agents are more willing to share listing information thus ensuring the widest possible coverage within the real estate community thru Multiple Listings and Networking.
* All prospective buyers will be carefully screened by a single agent with your requirement and scheduling in mind thus ensuring a peace of mind marketing effort.
* Accepting a serious offer is easier since your agent is fully aware of all marketing activity associated with your property. This reduces your having to check with several agents for any other offers. Price control is easily achieved.
* An Exclusive Agent is authorised to negotiate on your behalf since you both have a customised marketing strategy, thus resulting in a faster closure at the best possible price.
* Most successful real estate transactions are conducted thru exclusive agency - the preferred method by both agents and sellers.
More Visit http://www.8links.com
Tuesday, April 24, 2007
Property Rights and Wrongs
As investors in tech stocks and many blue chips watched their wealth evaporate with the demise of the great bull market, holders of real estate stocks were having a grand old time. And none had more fun than shareholders of two unusual no-load funds: Alpine U.S. Real Estate Equity, managed by Sam Lieber, and CGM Realty, run by Ken Heebner. cumulative 37% from July 2005 ...
The funds' post-bubble gains were unreal. From April 2000 through June 2005, CGM (symbol CGMRX; 800-343-5678) returned a resounding 29% annualized. Alpine (EUEYX; 888-785-5578) did even better, gaining 34% per year. Over the period, the average real estate fund earned 21% annualized while Standard & Poor's 500-stock index lost an annualized 3%. But after marching in near lock step for years, Alpine and CGM began to part ways in the summer of 2005. In as stark a divergence as you'll ever see, CGM gained a
More Click Here
Tuesday, April 17, 2007
Dubai Property Investments
Dubai property investments
Buying, selling or investing in Dubai real estate use our property search to find overseas the latest Dubai investment property from off plan property to ready to move in resale property. We offer the investor advice and information about overseas property investments and best of all selection of cheap investment property
Property investors and investment property
Dubai property investments have already provided some investors with short term capital gains but has the Dubai property investment market got any more to offer the seasoned investor?.
Property investors set to make profits in Dubai
It is clear that short term gains may not be as impressive as in the last few years but in the long term Dubai offers sound investment opportunity. Prices are now more expensive with Dubai investment property much harder to find priced under £60,000.
Sunday, April 15, 2007
Singapore Property Buyer Guide
The process for buying property in Singapore for expatriates, foreign residents living in Singapore and overseas investors is slightly convoluted and confusing as many exceptions, exemptions and requirements exist.
This is a general guide about how to buy property in Singapore and details the main specifics of the process. However a potential purchaser should seek personalized legal advice before entering the market to ensure that they are aware of any restrictions or permission requirements that they will have to be aware of or fulfil in order to buy property in Singapore.
Overseas buyers are generally freely permitted to purchase an apartment in a building which has at least six stories, a housing unit in an ‘approved condominium development’ or alternatively a leasehold property a building which has at least six stories. All other properties may be available for sale to an investor but they have to seek the permission of the Singapore Land Authority before proceeding to purchase.
In many emerging property markets investors have to seek legal permission to purchase from the local government and this process is simply par for the course and never a real hindrance to the buyer; in Singapore the situation is very different. Many properties are deemed ‘restricted’ and are unavailable for sale to a foreign buyer, therefore anyone looking at properties for sale in Singapore needs to be aware of this fact and have a good property specialist lawyer on board from the start to quickly assess whether any real estate an investor sets their sights on is legally for sale to them.
Interest rates in Singapore are currently relatively low which is helping to attract more buyers to the property market. Home financing can be quite affordable and if an investor decides they want a mortgage to buy their investment property in Singapore they should have this agreed in principal before making any offer to buy otherwise the sale could fall through and the potential buyer could lose up to a 10% deposit. Restrictions exist especially where an investor is hoping to buy an investment property with a limited lease – generally the shorter the lease period the higher the interest rate applied to any loan and the more difficult it will be to obtain financing. Anyone who requires a mortgage to purchase must keep this in mind.
With any mortgage required having been pre-approved and with a real estate lawyer standing by, an investor should begin their search for suitable properties in Singapore to match their investment objectives. Local estate agents are used to dealing with foreign buyers and are generally very well versed in the complexities of the property buying process in Singapore so should be well able to assist an investor locate suitable properties for sale.
As soon real estate has been located that an investor believes will meet his requirements he can secure an ‘Option to Purchase’ the property by paying a non-refundable 1% of the purchase price to effectively take the property off the market and allow the investor’s solicitor to have time to check out whether all is in order with the property and whether the investor will require permission to buy it.
The ‘Option to Purchase’ is valid for a 14 day period after which time a buyer either forfeits his 1% and the property goes back on the market or the buyer pays a further 9% of the purchase price to make up a 10% deposit. At this stage the property buying process moves forward and a preliminary contract is signed by the vendor and buyer.
Any further surveys, searches and permission seeking will take place before the final contract is signed and the property is exchanged. There is usually a 1% fee payable by the buyer to the estate agent in Singapore and the property investor also has to pay stamp duty which amounts to a further 3%. Lawyer’s fees and any charges attributed to acquiring permission to buy property in Singapore or securing a mortgage are extra.
It’s worth pointing out that short term property speculation is not really an option for a property investor in Singapore because if they resell their real estate within one year of purchase they will become liable for 100% capital gains tax. This drops by 33% a year for the next two years therefore anyone who wishes to profit from equity accrual needs to wait at least three years before reselling
Source : http://www.amberlamb.com/index.php/a/m/how-to-buy-property-in-singapore/
Saturday, April 14, 2007
Buying a property abroad - 10 key questions
1. Do you want to emigrate completely or split your time with the UK?
The idea of leaving Britain once and for all may seem tempting, but what happens if you get fed up living abroad? Lots of émigrés miss their families and friends more than they had anticipated, or find that life overseas just doesn‘t meet their expectations.
Some become ill or lose their spouses or partners and end up heading back home. Don’t assume you’ll be immune from such problems, and if you can possibly afford it, keep a property in the UK so you’ve got somewhere to come back to if needed.
2. How accessible do you want your new home to be?
Part of what drives many people to retire abroad is the desire to escape overcrowded Britain and find a rural idyll somewhere.
But bear in mind that life in the sticks can feel doubly isolating if you’re in a foreign country, especially as there are usually fewer English speakers in more remote areas than in bigger towns.
And remember that although budget air routes may have widened your choice of retirement destinations, they are not all suddenly flying supersonic.
So be realistic about door-to-door journey times when you think about whether your new home is close enough to the UK - and about how you would cope if the airline pulled the plug.
3. What sort of climate do you want?
It’s important to do your research into what the weather’s like in your possible new home all year round. Even in the Mediterranean the climate can be much more variable than meets the eye.
Winters in parts of Spain, Italy, Greece and the Balkans can be harsh, for example, and especially if you buy in a mountainous region you may find your ‘place in the sun’ spends several months of the year far from it.
4. What’s your ideal environment?
Being beside the seaside might be great for holidays, but if you’re choosing somewhere to live in for keeps it’s important to choose a location that suits your temperament.
If you like to busy yourself with cultural pursuits and enjoy the buzz of being surrounded by shops, bars, restaurants and galleries, don‘t banish yourself to the back of beyond.
Maybe all you want is a quiet life and plenty of good wine, in which case that sleepy village the locals can’t wait to escape from might be just up your street.
5. How much space do you need?
If you’re selling a valuable home in the UK, it can be tempting to buy something huge overseas, simply because you can afford to - but why bother if you’ll be rattling around in it on your own?
Equally, if your children have flown the nest, it’s easy to go to the other extreme and choose somewhere tiny - but remember you could end up cramped when family and friends descend and what about practical issues like where you’re going to store your car, bikes and golf clubs?
6. Would you like other Brits nearby - or are you trying escape them?
Some people who retire abroad do their best to integrate into the local community, gradually improving their language skills through total immersion and welcoming the opportunity to try new things and have their beliefs and preconceptions challenged.
Others prefer to live a more expatriate lifestyle, choosing more obvious overseas property hotspots, clustering around fellow Brits and ‘getting by’ with limited knowledge of the local language. You need to decide which category you fit into.
7. Do you want to have facilities and other retirees on-tap?
The growth in overseas retirement is leading growing numbers of foreign property developers to construct secure, purpose-built retirement communities, where shops, restaurants, leisure facilities, social events and even medical care are provided on-site.
Normally marketed at the healthy 50s end of the market, Spain is probably your best bet within Europe for such developments, with other countries sure to follow.
Some people find such complexes a complete turn-off, but if you are interested, do plenty of research and check the small print about details like age limits and service charges .
8. Do you really want to cope with a renovation project?
Romantic as it may seem to buy a country pile somewhere and do it up, it’s vital to tread carefully to avoid coming a cropper when renovating. Renovations can work brilliantly, but many end up costing much more than anticipated.
You might hear otherwise from dodgy builders, but in most places planning controls are just as tight as in the UK - if not tighter - so take time to find an architect or master builder you can trust.
Keeping a lid on building costs when you’re not on site to manage the project is a really tough call; taking a DIY approach can also be disastrous unless your language skills are fantastic and you find a way of collaborating successfully with the locals.
9. What about your finances?
We all know Britain has a high cost of living, but that doesn’t mean you can forget about finances when moving abroad. Apart from the need to borrow, especially if you are keeping a base in the UK there are a host of other issues to consider.
You have to think of things like furniture removal, relocating pets, the costs of a letting agent back home, and the possible effects of exchange rates. Tax, pensions, other investments and inheritance arrangements all need careful planning.
10. What about healthcare?
There’s plenty wrong with the NHS, but at least it’s free at the point of delivery, which is more than can be said for most other countries’ health systems.
Even if you’re healthy now, chances are you’ll need increasing amounts of medical assistance as you get older - so think carefully about how much it’s going to cost to surround yourself with a decent level of care.
Many retirees end up returning to the UK at least partly because of healthcare concerns - make sure you do your homework first if you want to avoid doing the same.
Written by Jeremy Davies, the author of the Which? Essential Guide to Buying Property Abroad, available at all good bookshops and via www.which.co.uk
Source: http://www.saga.co.uk/magazine/money/planningforfuture/abroad.asp
Thursday, April 12, 2007
Buy Properties in Bulgaria
The Off-Plan Purchase Process
When you have chosen to buy properties in Bulgaria that are off-plan, the first step is to take the property off the market and reserve it for a limited period of time.
This is done by paying the estate agent a non-refundable reserve fee of anywhere between 500 to 1000 euros, which typically buys you 30 days to arrange for signing a private sale contract and making the first payment. The reserve payment should be accompanied by a signed contract (reserve contract) that specifies the terms of this payment. Don't make any payments when you buy properties in Bulgaria without a signed contract that you understand.
Once the reserve is paid, then you have 30 days (or the period specified in the reserve contract you have signed) in which to do all the appropriate checks before you go past the point of no return. This point comes when you sign the private sale contract and make a substantial non-refundable payment of around 20%. Once you have signed the private sale contract with the developer and made the first payment to buy off-plan Bulgarian property, there is not much to do until the off-plan property has commenced construction.
The second stage payment of 20% is usually requested when the first floor has been completed, and this can take anywhere between 12 and 18 months. The third stage of payment when you buy properties in Bulgaria is made on the completion of the roof – again this is usually 20%. And finally, the remainder of the funds of 40% is sent upon completion of the development.
Please note that these amounts are approximate figures, and each developer specifies different stage payment amounts within their payment contracts.
Final Legal Checks
Once you buy properties in Bulgaria and the transactions have has been completed, you can take possession by signing the public deeds before a Notary. Before doing this, your lawyer will need to carry out a series of final checks:
* Confirm that the property has been certified as finished by a registered architect.
* Verify that the property has been given a residential-use licence by the local government. Once the property has been built, an official from the planning department of the municipal authority will inspect the property to ensure that it complies with regulations for newly built residential properties.
* Request a land registry filing for your specific property to check that there are no unexpected debts or encumbers on it.
* Have the local authority confirm in writing that the property has no outstanding debts (such as unpaid taxes) with the local government, or other outstanding issues that might cause the buyer problems.
Signing Public Deeds
This is when you gain full legal title after you buy properties in Bulgaria and receive the keys. A document of deeds will be signed by both you and the developer before a Notary, and the deeds can then be submitted to the land registry, at which point you become the owner of the property.
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Deal Completed
At the same time as signing the public deeds when you buy off-plan Bulgarian property, you will need to settle all outstanding payments with the developer and the tax authorities. If you are paying with your own funds, you will need to produce a bank-guaranteed cheque to cover the amount, or demonstrate that the funds are being paid in some other way that is acceptable to the developer (by bank transfer for example). If you are using a mortgage, then a representative from the mortgage lender will be present to confirm that the developer is receiving payment from the lender.
Taxes and Other Administrative Costs
When you buy properties in Bulgaria that are residential from a developer, you pay exactly the same taxes as you would were you to buy a finished property from a developer. You will pay VAT of 20% on top of the purchase price. Any stage payments you make will include VAT, unless the developer has incorporated the VAT within the price.
The relevant taxes that investors who buy properties in Bulgaria will be liable for will vary from person to person due to a number of factors, including your tax domicile, the extent of your business activities in Bulgaria, the nature of the property transaction, and more.
Finally, as is the case when you buy any property in Bulgaria, you will have to pay the Notary fee and the land registry fee. These fees vary according to the price of the property and the number of clauses in the deeds.
Tuesday, April 10, 2007
Flexible Property Investment Loan
A flexible and competitively priced loan to help fund the growth of your property portfolio.
We've designed our Flexible Property Loan to give you real choice. You decide on your repayment terms, the amount you borrow, and the interest structure of your loan.
Key benefits and features:
Borrow between £100,000 and £10 million**
Loan terms up to 10 years, with repayment calculated over periods of up to 20 years
Choice of amortising or interest-only loan
Built-in interest rate protection with fixed or capped variable rate
Loan of up to 80% of property value
Quarterly repayments to match rental income receipts.
It is not a condition of the loan that you hold a current account with us.
The Flexible Property Investment Loan is available to registered companies, partnerships, sole traders or individuals with a proven track record in property investment. But even if you are new to the market you can still apply as long as you are using professional property management services.
For residential property investment, you need to have a portfolio worth at least £2 million or made up of at least 10 properties to be eligible.
Your Relationship Manager will be happy to discuss this service with you in more detail.
ANY PROPERTY USED AS SECURITY, WHICH MAY INCLUDE YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
Source : http://www.business.barclays.co.uk
Monday, April 9, 2007
Home Insurance Property Title
Is it possible for someone else to claim ownership of a property after closing? The answer is yes. And this is especially true if you do not have home title property insurance.
Without home title property insurance during your title examination, legal entanglements may arise when the rights of the previous owner are overlooked. A home title property insurance policy protects you against losses that occur when you find out that after closing the sale someone else may claim ownership of the property.
What is home title property insurance?
Home title property insurance is an insurance policy that offers protection for the property owner against loss that occurs arising from a deficiency in a title for real estate. For example, you just bought a piece of property. At a later date, you find that someone else claims ownership of it. The home title property insurance will pay your losses should that person decide to sue for his rights. The same thing applies when the property is mortgaged. The only thing different is that the lending company will have a separate home title property insurance policy to protect its interests.
What is a title examination and how does it affect home title property insurance?
As a general rule, all property titles are subject to close examination prior to closing. The person conducting the test will look into past deeds, wills, and trusts to see if there are any problems. Should any defect, problems, or “clouds” are found, these are corrected by the title examiner.
So why should you get home title property insurance anyway? If the title looks good, home title property insurance should not be a terrible necessity. This is not necessarily true. No one is perfect. If there are inaccuracies in the results of the examination, having home title property insurance will protect you from losses that arise from those.
What does home title property insurance policy cover?
Typically, home title property insurance covers pretty much any problems that did not show up during the title examination. Home title property insurance also protects you from losses resulting from misses on the examiner’s part. For example, during a title search, the examiner failed to correct the fact that the wife of the previous owner was listed on the deed but did not sign-off at closing. When the wife sues for her rights, home title property insurance will cover your losses.
In addition to problems with the title search, home title property insurance will also cover losses caused by errors in public records. If problems arise after closing, the home title property insurance policy will pay for legal fees, including fee for your lawyer, if you must go to court to defend your deed. And if you lose your property, the home title property insurance will cover your loss up to the amount of the policy.
MOre Information Visit :
Discover the Best Property Abroad at Propertyshowrooms.com
Propertyshowrooms.com offers discerning homebuyers and investors carefully selected property abroad. You may choose to register for free as a member of our International Property Investment Network (IPIN), allowing you access to information on the very latest and most qualified properties abroad.
The key to buying your ideal home abroad
The secret to a successful purchase of property abroad lies in finding the right property in the best location and snapping it up at the lowest price possible, before it becomes common knowledge. It is clear that wisely selected overseas property can offer some very secure and lucrative opportunities. Whether your dream property abroad is a holiday apartment, town house, luxury villa or a plot of land, we are dedicated to helping you on your way, with independent advice and tailor-made investment plans for the purchase of your property abroad
Saturday, April 7, 2007
Buy property in London
# When you want to buy property in London the first step is determining the size of the mortgage you can take. This is based on your earnings multiple. Most lenders usually lend between 3.5 and 5 times your annual salary. Shop around, as rates vary between lenders and use a mortgage calculator to check the feasibility of different scenarios.
# There are many types of mortgages available for people looking to buy property in London. The two main types of mortgage available area, repayment mortgage and interest only mortgage. The former involves paying off the borrowed sum across the life of the mortgage, where as the latter merely pays of the interest. An independent financial adviser will be able to assist you in your choice, based on your individual circumstances.
# When you are looking to buy property in London try and contact as many Estate Agents as you can, to give yourself the best possible chance of finding your new house or flat.
# Check out the local transport links the area you wish to buy a property, and try to use them during busy periods to plan potential journey times to your place of work.
# Look into the proximity of local shops, Schools, and other amenities and public facilities in the area.
# Council tax rates vary dramatically in different parts of London, so do your homework before you buy a house in London!
# Car parking in London is a major problem, and permit charges are common in many residential areas. Particularly with flats so check before hand when you want to buy a flat in London.
# Try to view the property during the day and in the evening to get a complete feel for the area.
# Ensure that you have appointed a solicitor, who would complete all legal formalities involved when you decide to buy property in London.
# If you decide to buy a house in London or buy a flat in London, it is time to make an offer. Find out the reason for the sale, and think carefully about how much you feel is a fair price for the property. If it is already reasonably priced, then you should consider offering the full asking price. Many people loose out buying a property by trying to haggle down an already well priced property.
# When your offer is accepted, ensure that you inform your solicitors. You should also get your mortgage confirmed. Your mortgage lender will carry out the valuation of the property, in order to assess whether the property meets their lending criteria. You may instruct the chartered surveyors appointed by the lenders, or an independent firm of chartered surveyors to carry out a full structural survey of the property. Depending on the type of survey you request, the report can identify structural defects, materials used in building construction and other detailed information. An important step it you intend to buy property in London. For more detailed information contact the Royal Institute of Chartered Surveyors www.rics.org.uk.
# The final stage when you want to buy properties in London is sorting out the legal side, which will be handled by the solicitors for both the parties. The solicitors will administer the exchange of contracts and completion. A deposit for will be required for buying the property when the contracts are exchanged, with the balance being paid on the completion date, which can usually be four to six weeks after the contracts are exchanged.
source: http://www.more4moving.com/toptips_buying.asp
Friday, April 6, 2007
BUYERS AGENTS
Professional property buyers
While it is standard practice to pay an agent to sell your home, we have - until recently - been on our own when it came to inspecting properties and negotiating the best price. In many ways therefore, it makes sense to hire an expert to help you purchase a property. After all, if you are dealing with a professional selling agent who is trained to entice would-be buyers into paying their highest price for a property, why would you not want the services of a skilled property scout and negotiator who knows what you want and how to get it for you for a fair (or better than fair) deal. And that is exactly why and how buyer's agents have, for many people, become a hassle-free way of finding and buying their next properties.
Qualifications and experience
Buyer's agents usually come from real estate agent backgrounds and have much knowledge and experience in the way their counter-parts are trained and operate. They may in fact still be practicing real estate agents - find out their background and qualifications to make certain you are dealing with someone who knows the business and can deliver what they promise. When looking into their services check out their methods for determining the value of a property and make sure they receive no commission from the vendor or agent - they should be working for your interests only.
Services offered
Generally speaking, buyer's agents can be hired to search out suitable properties for their clients and/or to negotiate the purchase price of the property on behalf of their client, whether by private treaty or auction. Buyer's agents are also regularly used to bid for clients at auctions, thereby taking the stress out of the auction while also benefiting the buyer with their expertise in auction tactics.
Time and money saved
According to the services required, buyer's agents charges will vary from a set fee to a percentage of the purchase price, however, these costs are tax deductible for investors. While owner occupiers are not currently entitled to this tax benefit, buyer's agents' services continue to attract their custom because of the time and money they save in the long run. As well as not having to spend the weeks (or months), of looking through newspapers, internet sites, visiting real estate agents and driving around to open houses, the buyer's agent's experience in the industry and emotional detachment from the purchase and their confidence in the negotiation process have given their clients the right houses for the right prices.
Tuesday, April 3, 2007
10 tips on buying and selling
By : Iona Minton
here's a lot to know before putting your property on the market or starting your search for a new home, so here are a few tips to set you off on the right track.
When buying a home:
Get pre-approved.
If you know what your budget limitations are you will not be tempted to look at houses outside of your price range. However, if you are in the market for a R300 000 home, it's fine to look at houses in the R330k price range because prices are negotiable. Anything over that and you may be going into unaffordable territory.
If there is a problem getting pre-approval because of your credit rating, get copies of your credit reports and determine if anything on the report is inaccurate or over seven years old, which means it must be removed. You can go to www.credithealth.co.za to get a consolidated credit report, and it will cost you less than R100.
Make a wish list
Whether you are going to show houses on your own or using an estate agent, make up a list of what you would most like in a new home and prioritise it so you can determine what is most important and which items you are comfortable sacrificing. It will help you to steer away from making an emotional choice rather than a sensible one.
Location, location, location
A great home in an undesirable or marginal neighbourhood (for any of several reasons) is not very worthwhile from a quality of life or from a home value perspective.
Know the neighbourhood
Learn as much as you can about the neighbourhood by taking a drive or ask agents who work in the surrounding areas. This is even more important if you are from out of town. You may think you are getting a bargain, but the rest of the neighbourhood may know that there is a highway planned right behind your home.
Have an inspection done
This is especially important if the home is brand new. Hire the services of an independent home inspector to inspect the home, including the roof, electrics, heating, pipes, and so on. Make your offer contingent on an inspection. The Masterbuilders Association has qualified consultants that will provide you with a thorough report. The fee for this is around R1000, and it's well worth the investment.
If you are selling your home, keep the following in mind:
Think improvements
While you don’t necessarily have to add on an entire west wing, make some basic improvements. Fixing up the house can make a significant difference in the eyes of buyers. If the house needs a paint job, use neutral colours, and the same with new carpeting. Also make the garden appealing.
Don't commit
Don't commit to buying another property until you have sold your existing home, unless of course you can afford two sets of bond payments. If your house does not sell quickly you may feel pressurised to sell at a lower than market value. Having to spend a month in a hotel or with relatives is far cheaper than taking a huge knock on the asking price.
Assess your buyer correctly
If the buyer wants to make all kinds of creative arrangements in order to buy your house it is probably better to hold out for a clean offer. Selling a house is complicated enough, dealing with someone who wants his brother's girlfriend's second cousin to partner him in the deal can be a recipe for disaster and waste valuable time.
Be patient
Selling a house can be a painfully slow process, especially when it comes to receiving the cash. Make sure all the correct documentation is in place and follow up on the attorneys religiously (once a week). Yours is not the only home they are dealing with, so nagging them (gently) may get your stuff moved to the front of the queue.
Don't blow the cash
If you sell your home and find yourself in the position of having a load of cash in the bank, resist the temptation to spend. Every cent you put down as a deposit on your new home reduces the amount of interest you have to pay. If you take R10 000 to go on a splurge it will add R100 per month to your repayment, it may not seem like much now but over the life of the bond it will amount to R24 000.
Saturday, March 31, 2007
How To Buy A Used House
By: Jeff Ostroff
You'll find everything you need to know to come out ahead when buying a used home, including negotiating tips, scams and pitfalls to avoid, where to buy, where not to buy, and legal tips. We'll also cover how to choose a good real estate agent. Many concepts here can apply to homes and condos, or any other big purchase.
Be sure to get your credit score before you shop for a house
Everyone has a credit score calculated at the time your credit report is requested. It's based on over 100 different proprietary variables and algorithms developed by Fair Isaac (FICO). The range is 300 to 850. You can get your credit score from Equifax Score Power, True Credit or Qspace. Most lenders consider people above 650 to be prime borrowers, meaning they will most likely be approved at favorable rates.
Every person you come in contact with wants to sell you something.
Don't you dare think that anyone you'll come in contact with is looking out for your best interest. Every person you come in contact with wants to sell you something. That's their job, their #1 priority. Your happiness is 2nd to their mission statement. Once you overcome this common naive mistake that most home buyers make, you'll be able to make much better informed decisions that will save you the most money.
Just because you are approved for $200,000 does not mean you have to spend that much. If you can get a great house for much less than you are approved for, then that is the best move financially for you. There is no rule that says you have to spend the max, although most people finance on the outer fringes of their ability to sustain the payments. Don't let your agent try to qualify you for more than you are comfortable spending. They act like they are doing you a favor. They'll tell you "Oh, I can get you approved for a higher mortgage through my banking contacts".
Translation: "I want to sell you a more expensive house and get a higher commission. Buying a more expensive house does not always mean it's better, it just costs more." Your credit score will be used against you so find out what it is from The "merged comprehensive reports from the big 3 credit bureaus" are the ones to get, from sites like Equifax Score Power, True Credit and Qspace.
Common Home Buyer Mistakes
Many home buyers mistakenly think that they are protected by using a "Buyer's Agent", or a mortgage broker who will "find them the best mortgage". When I ask them who is paying the buyer's agent, they respond with "They just get a percentage of the sales price". OK, and how is this different from a seller's agent? You can put a sheep's clothing over a wolf, but it's still a wolf. The higher the selling price of the house, the more commissions are earned by the seller's and buyer's agents. Another common mistake home buyers make is thinking the price in writing is set in stone. The pen is mightier than the sword and sellers use it to their advantage when selling houses. But you can bypass this common buyer’s mistake by adopting a counter intuitive method of thinking. Just remember this one important rule:
Sellers do not set the price, it’s the buyers who set the price
How many times have you sold or traded in a used car and not gotten anywhere near what you wanted for it? This is because you thought you could set the market, but the market told you otherwise. Whether it’s a house or a car, the market sets the price, not the seller. Once you get past this mental roadblock, you'll find it much easier to offer much less than the asking price. The stock market is a good example. If you were unfortunate enough to buy the over hyped $150 “dot bomb” stocks in early 2000, you soon found they were selling under $1. Although you wanted $150 when you sold them, no one wanted your shares, and you suffered a huge loss. Houses are the same and many sellers are under the wrong impression that real estate must appreciate. There are no rules of what appreciates or depreciates. So don't be bashful about offering a low price on a house. Some homeowners who are selling their homes get the idea in their head that their house should sell for say $200,000 because they bought it a few years ago for $175,000.The seller may become indignant when you present them with a low ball offer. They may have bought the house when the market was hot, and in a soft market, their house may not be worth the asking price.
During the dot com rush of 1998-2000, many homes in Silicon Valley sold the day they went on the market, selling for much more than the asking price, thanks to foolish buyers and bidding wars. See my point? The buyers set the selling price, not the sellers. People were shelling out $500,000 for tiny 2 bedroom 2 bath, one car garage "doll houses" that you and I would never consider living in at all. When the dot coms became dot bombs in 2000-2001 and layoffs were in full swing, it took weeks to sell their homes, and many people took a bath on the resale. Sellers often got thousands more than their high asking price thanks to idiot buyers caught up in bidding wars.
By nature, us foolish humans have a hard time dealing with the fact that our property might be worth less than we paid for it. In overdeveloped areas, houses can lose their value rapidly, and you can use this to your advantage when buying a recently built home. One area of Pembroke Pines, Florida was bursting with development for a few years straight. People selling homes they bought new 2 years before were losing $20,000 on the sale of their homes because they were competing with all the new construction nearby. Buyers bypassed 2-3 year old houses for brand new homes with better amenities and updated building codes for the same price or slightly higher.
You cannot guarantee impartiality
Anytime your real estate agent's commission is based on the selling price of the house, you cannot guarantee that the agent has your best interest at heart. The only way to guarantee that is to pay a large fee to a real buyer's agent, and they don't get any percentage of the selling price. That fee however, removes the benefit of bypassing the commissioned real estate agent in the first place. Never tell anyone but yourself how high you are willing to go. By law the seller's real estate agent has a fiduciary responsibility to the seller, and they WILL tell the seller everything you say, so pretend you are in a police interrogation. The agent will ask you how high you are willing to go on the house. Don't fall for this trick. Just give them the price you want to pay for the house and if they ask how high you are willing to go, tell them that's it.
Don't buy a house in an urgent rush
Don't wait until the day you have to move out of your old house or get transferred to buy a house. You need time to carefully plan your purchase. It can take 2 months or more to get an agent, shop for the house, get approved for a mortgage, and close escrow. If you know you will be relocating and need a house soon, you should start looking now, because you don't want to be pushed up against a wall and forced into making costly and hasty decisions with adverse financial ramifications that will come back to haunt you. Just like on our other site CarBuyingTips.com, we warn car buyers not to wait until their old clunker dies before buying a new car. If your car is dying, you'll be forced into making hasty decisions and signing deals you should never have signed. Never let a dealer know you are desperate for a car. If the sellers know you are desperate to get a house soon, they will not drop the price. This little mistake can cost you thousands. Always make the sellers think you have plenty of time and resources to analyze each deal carefully. Make sure they know you are the one that they have to chase. then the deal will proceed on your terms, not theirs.
Thursday, March 29, 2007
Tips for finding an apartment
The Off Campus Housing Service is pleased to provide students with some general tips on apartment hunting in Montreal. While we aim to keep our information as up-to-date as possible, students are advised to also check with the Regie du Logement (Rental Board) which is the body which is empowered by the Government of Quebec to oversee the laws that govern landlord-tenant relationships.
Since Off Campus Housing does NOT inspect the accommodations on our listings, we strongly recommend following the checklist below before deciding on an apartment. We have also listed a number of important questions to ask a prospective landlord before signing a lease.
It is important to visit several apartments before signing a lease. DO NOT sign a lease without visiting the accommodation first--price and the description in the ad are no guarantees of the quality of the accommodation. If you cannot come to Montreal to look for accommodation, have someone visit the accommodation on your behalf. Please be advised however that most landlords or people looking for roommates will not sign a lease with someone they have never met in person.
Checklist
Before committing yourself to a lease, the following items should be checked. Be certain of your choice before signing a lease or filling out an application because, once signed, these are both legally binding contracts.
Do all the appliances work? (Ice in the freezer; an oven that heats adequately; burners that heat evenly.)
Are the locks on the entrance door of the building and on the door to the apartment in reasonable condition? Check the doors for signs of break-ins. As it is impossible to determine who has a key to your apartment, the lock on the apartment door should be changed when you move in (this is usually at the tenant's expense).
Check the taps for hot water and the water pressure. Are the drains clogged?
Are the sinks and bath-tub cracked or leaking? Check for water damage.
Do the pipes freeze in the winter? Rust in the sinks, mould on pipes, and leaking faucets are all evidence of poor plumbing.
If the apartment or room is furnished, is the furniture in reasonable condition? Does it belong to the landlord or to the previous tenant?
Are there three-pronged electrical outlets in every room? Are there enough electrical outlets for all of your lamps and appliances? How would you shut off the electricity and the water in case of an emergency?
Is heat included in the rent, or does the tenant pay for it? Is the apartment heated with gas, oil or with electricity? Does the apartment have its own thermostat? Are there radiators or heating ducts in each room? If you are responsible for the costs of heating the apartment, make sure that you do not simply accept an approximation of what these costs are likely to be from the landlord. If the apartment is electrically heated, contact Hydro Quebec at 385-7252. If it is heated with gas, contact Gaz Metropolitain at 598-3222 and if it is heated with oil, contact the company that provides oil to this address. These companies will provide you with the exact electricity, gas and oil costs over the last twelve months for the dwelling.
Is the dwelling well insulated? Check to see if the windows fit properly. The number of outside faces (roof, outer walls) the apartment has will also affect heating costs.
Is there proper ventilation? Do all the windows in the unit open? Are there locks on windows that are at street level?
Are there fire exits in the back and front of the building? How would one get out of the building in case of fire? Make sure that fire exits are not blocked or used as storage space. Is there a smoke detector in the apartment or hallway?
Are janitorial services offered? Find out from someone in the building how responsive the landlord is to problems with the dwelling.
Is there enough storage space? If there is a locker in the basement, find out who has access to that area, and what kind of lock is on the door?
Questions to ask a prospective landlord before you sign a lease
Are there other students living in the building?
Have there been any major repairs or renovations done in the past year?
Are any major repairs anticipated for the upcoming year?
Who will be responsible for repairs, including small ones?
Will any repairs, including small ones, that are to be completed before I move in, be put in writing?
Is there a phone number at which the landlord or superintendent can be reached in case of emergency?
How is rent payment to be made (by mail, by giving it to the janitor or directly to the landlord)?
Where is the nearest laundromat if there are no laundry facilities in the building?
How long did the last tenant stay, and what rent did she or he pay?
How often does the nearest bus run?
source : http://www.mcgill.ca/offcampus/tips/
Tuesday, March 27, 2007
Top things to know
1. Don't buy if you can't stay put.
If you can't commit to remaining in one place for at least a few years, then owning is probably not for you, at least not yet. With the transaction costs of buying and selling a home, you may end up losing money if you sell any sooner.
2. Start by shoring up your credit.
Since you most likely will need to get a mortgage to buy a house, you must make sure your credit history is as clean as possible. A few months before you start house hunting, get copies of your credit report. Make sure the facts are correct, and fix any problems you discover.
3. Aim for a home you can really afford.
The rule of thumb is that you can buy housing that runs about two-and-one-half times your annual salary. But you'll do better to use one of many calculators available online to get a better handle on how your income, debts, and expenses affect what you can afford.
4. Don't worry if you can't put down the usual 20 percent.
There are a variety of public and private lenders who, if you qualify, offer low-interest mortgages that require a down payment as small as 3 percent of the purchase price.
5. Buy in a district with good schools.
In most areas, this advice applies even if you don't have school-age children. Reason: When it comes time to sell, you'll learn that strong school districts are a top priority for many home buyers, thus helping to boost property values.
6. Get professional help.
Even though the Internet gives buyers unprecedented access to home listings, most new buyers (and many more experienced ones) are better off using a professional agent. Look for an exclusive buyer agent, if possible, who will have your interests at heart and can help you with strategies during the bidding process.
7. Choose carefully between points and rate.
When picking a mortgage, you usually have the option of paying additional points -- a portion of the interest that you pay at closing -- in exchange for a lower interest rate. If you stay in the house for a long time -- say five to seven years or more -- it's usually a better deal to take the points. The lower interest rate will save you more in the long run.
8. Before house hunting, get pre-approved.
Getting pre-approved will you save yourself the grief of looking at houses you can't afford and put you in a better position to make a serious offer when you do find the right house. Not to be confused with pre-qualification, which is based on a cursory review of your finances, pre-approval from a lender is based on your actual income, debt and credit history.
9. Do your homework before bidding.
Your opening bid should be based on the sales trend of similar homes in the neighborhood. So before making it, consider sales of similar homes in the last three months. If homes have recently sold at 5 percent less than the asking price, you should make a bid that's about eight to 10 percent lower than what the seller is asking.
10. Hire a home inspector.
Sure, your lender will require a home appraisal anyway. But that's just the bank's way of determining whether the house is worth the price you've agreed to pay. Separately, you should hire your own home inspector, preferably an engineer with experience in doing home surveys in the area where you are buying. His or her job will be to point out potential problems that could require costly repairs down the road.
Source : http://money.cnn.com/magazines/moneymag/money101/lesson8/index.htm
TIPS TO BUY PROPERTY
Once you decide to buy a property you would have to look for a number of things, which are, mentioned hereafter. But the first thing is to decide the need for which the property is to be bought.
Need comprises of several factors :
You intend to buy a residential, commercial or industrial property.
Based on these details you can draw a list of your preference, which should list the following:
Accommodation
Area of the Plot
Preferred floor·=]
Preferred Location (park/road facing etc.) ·
Preferred Locality Property ownership (lease/free hold)
Price range
Room sizes
Builder's/Govt. properties
Parking
Servant Quarter
Other requirements : like distances from Office/School/Markets/Bus/Rly station/Airport,etc.
Here it is essential to mention that it is very rarely possible to get everything (listed above) to your choice in one property but you can try to find out the maximum of above while selecting your property. You would have to compromise on number of counts depending upon constraints like price and locations. Remember, more the positive points, more would be the price.
