Saturday, May 8, 2010

Real Estate Investing Mistakes to Avoid

Congratulations on securing a contract for that special place you will soon call home. The next step will be inspections. Depending on where your home is located, you may have either a city water and sewer system, or a septic tank and water well, or a combination of city water and septic, nonetheless, there are some things that should not be overlooked during an inspection.
An important thing to remember is that the cost of inspections is never refunded in the event a buyer decides to terminate the contract during the option period. These costs are paid to third party service providers that are not a party to the transaction and are recommended for the buyer's full knowledge of the property's condition, not considered a part of the seller's disclosure.
Most buyers concern themselves with the cost of structural and termite inspections. However, one should take caution in preparing for the cost of an inspection of a property that has a water well, septic tank, or both.
To properly inspect a septic tank, it must be pumped so that the inspection company can view the tank and view its condition and inspect for any roots, sludge, etc. There may be separate costs involved for this inspection such as the inspection fee, a pumping fee, and a per hour fee (for anytime over the set expected time frame to pump the tank). The upside to having the septic tank pumped is that it will be a few years before you have to have it pumped again and you will have good record of the maintenance history from day one.
It is always best to have an idea as to the location of the septic tank; a plat or survey should pinpoint the location if the lids are not visible. If it is not known the septic company may be able to locate them, but time is money and you should have them spend the time they allot with their base price pumping the tank and inspecting it.
Have questions? Don't be afraid to ask them. Often times, they can provide you with great resources of information regarding maintenance and care of your septic tank... who better to ask about septic tanks than the companies who install them?

its good to know more about real investing before buying.
Liz Voss writes articles for San Antonio Realtors. Other articles written by the author related to San Antonio Texas real estate and San Antonio Homes for sale can be found on the net.

Liz Voss - EzineArticles Expert Author

Friday, April 30, 2010

10 Tips for First-time home Buyers

Housing inventories are high and mortgage rates low. Even so, it's as easy as ever to overestimate how much house you can afford and underestimate how much it'll cost you. Following are a few tips for making your home purchase as cost effective as possible.


1.Own or Rent?

Owning a home is expensive. In addition to the down payment and mortgage, you'll have to pay for closings costs, insurance and maintenance. To figure out whether it's financially smarter to buy or rent in your area, calculate and compare total home ownership.

2.Consider Monthly Costs

Even if you can scrounge up a down payment, figure out before buying a home whether you can comfortably cover the full costs of ownership--including the mortgage, taxes, insurance and regular taxes.


3.Aim For A First-Time-Buyer Tax Credit

If you're buying your first home, the feds have a deal for you: An $8,000 income tax credit for those who sign a binding contract before May 1. Then again, it's entirely possible that, like past.


4.Getting a Government-Backed Loan

As of this month, mortgages guaranteed by the Federal Housing Administration got harder to come by. Would-be buyers with a credit score of 580 or less now must put up a 10% down payment. 

5.Avoid Family-Assistance Tax Traps

Before applying to the Bank of Mom & Dad, note that outright cash gifts can result in big tax bills. Avoid them by structuring parental assistance as a bona fide loan with minimum interest rates set by the Internal Revenue Service.

6.Consider Foreclosures

Foreclosed homes often sell at discounts--but you'll have to act fast and often with help from a real estate agent who specializes in foreclosures. It also pays to first get a mortgage pre-approval letter from a lender. Among the best markets for foreclosures:

7.Factor in Property Taxes

Got your eye on a dream home in Westchester County, N.Y., or Marin County, Calif.? Both are property tax danger zones, according to a recent Forbes analysis. Before taking the plunge, consider the thousands of dollars a year you might save by moving a county or city

8.Beware of Title Insurance Rip-Offs

In some states, home buyers can save as much as $1,000 on title insurance.

9.Consider High-Deductible Home Insurance

If you're a do-it-yourselfer moving into a new home, consider lowering your homeowners insurance premium by raising the deductible. Even if you're buying an older home, or aren't too handy, it might not be cost effective to pay a lot in extra premiums.


10. Cut Insurance Costs By Upgrading

Security systems, smoke alarms and other upgrades can cut your insurance premiums. It can also pay to insure your home with the same company that covers your car, boat or other property..   visit



more tips on
 more








Wednesday, March 24, 2010

7 things about renting house

Whatever your reason, renting is a perfectly reasonable and relatively non-committal way of living out on your own. But just because your home is in someone else’s name – ahem, your landlord’s – doesn’t mean you relinquish all rights. Here are seven tips that can make your renting experience easier and more affordable:

1. Protect Your Stuff with Renter’s Insurance

Nearly two in three college-age adults have no insurance protection, despite almost half reporting belongings worth more than $10,000, according to a recent study from Allstate Insurance. The reason? Misperception of cost.

The truth is renter’s insurance is perfectly affordable; the national average is just $16 per month, according to Allstate. And the insurance protects your stuff against fire, theft and vandalism. Think of it this way: If a fire sweeps across your apartment destroying everything in it, is the ability to replace all of your stuff worth just four fancy cups o’joe a month?

2. Lease Your Apartment during Low-Season

Just like there’s a purchase season for homes, there’s a high- and low-season for renting. These seasons vary depending on your location, but typically follow demand. For example, in northern states, high season is often in the summer or when college kids are scooping up apartments. Low season, on the other hand, ordinarily occurs during the winter.

With apartment leasing, inventory dictates price, so your best bet is to lease your place during the low-season. Not only will you have a greater variety of apartments available to choose from, but you’ll be in a better position to negotiate price.

3. Don’t Be Afraid to Negotiate

You’re likely stuck with your rent payment for at least a year, so get the best deal you can! Before you start negotiations, make sure you have all the information your landlord has about you, including your credit report and score. To take a peek at your credit report and score for free, no strings attached, swing by Quizzle.com.

To be a smart negotiator, you don’t have to be a seasoned salesman. Here are five tips to help you get the best deal:

    * Know Your Neighborhood: Find out what comparable apartments are going for in your area, including any specials that are running.
    * Know Your Apartment Complex: Is your complex completely occupied or are there a lot of units available? The more empty apartments your landlord has, the more willing he may be to negotiate.
    * Time It Right: Make sure to give yourself enough time to negotiate so if dealings fall through, you can find another place.
    * Promote Yourself: Tell your landlord why you make a good tenant and give him reasons to keep you around.
    * Think beyond Money: Your landlord might not be able to budge on rent, but may be willing to give you other perks like free storage, flexible move-in/out dates, premium parking or new carpet.


4. When Money’s Short, Talk to Your Landlord

This tactic doesn’t count if you spent your rent at the mall, bar or casino. But if you’re truly strapped for cash, talk to your landlord. There’s no guarantee a landlord can or will help, but if you don’t ask, you’re never giving him or her a chance. If you’ve experienced a hardship, your landlord may be willing to work out a payment plan with you, cut you some slack on your rent payment due date or help you get into an apartment that’s better suited for your situation.

5. Know Your Lease Terms and Termination Fees

Many landlords offer a variety of lease terms: six months, one year, two years, etc. Make sure you choose the lease term that fits your situation. Typically, the longer the lease term, the sweeter the deal. But, if life happens and you need to bail, breaking your lease could cost you. Before signing anything, take a look at your lease-break fee. Can you negotiate it? Is the potential cost worth it?

6. Know Your Rights

Just because you don’t own your home, doesn’t mean you don’t have rights. For example, if you rent a home from a landlord who then lets the house go into foreclosure, you may remain in your home through the end of your lease unless a new homeowner purchases the home to live in, in which case you have 90 days to find a new place to live. You may get scary letters from the bank, lender and everyone who has financial interest in the house telling you to get out, but you signed a binding contract that protects you from being kicked out of your home without any notice.

Different states have different protections for renters, so do your homework. If your landlord does something that feels unfair, you may have a legal recourse. There are numerous free law resources online for renters, as well as tenants’ rights organizations that you can contact for help.

7. Uncle Sam Likes Renters Too!

Many states offer a “Renter’s Credit” or “Homestead Property Tax Credit” when you do your income taxes. The credit is typically based on the difference between your household income and property taxes. As a renter, you may not directly pay property taxes, but your landlord does, and those taxes are figured into your monthly rent payment. Make sure you hang onto any receipts showing you paid your rent so you can provide the IRS with documentation should they request it.

Renting a house are not convient than having your own house but if don't have a choice be wise enough to get one that is more apportable and enough for your needs.

more tips visit http://www.yahoo.com/shine
http://shine.yahoo.com/channel/life/7-things-every-apartment-renter-should-know-1227272/
Related Posts Plugin for WordPress, Blogger...