Category Archives: Finance

Keeping Things in Check

Conveyancing solicitor talking to his client

After what is often a long and winding journey to find a house that ticks all the boxes, the final few stages before exchanging contracts are crucial to sealing the deal. There is a mountain of paperwork and lots of details to pay close attention to. Going it alone on this journey, without professional assistance, can result a house purchase falling through.

That’s why it helps to have the services of an experienced conveyancing solicitors in Portsmouth, such as Andrew & Andrew Solicitors. They’ll be able to keep a close eye on the purchase process to ensure each stage is completed properly.

Here is a list of a few of the things a Portsmouth conveyancing solicitors will do before the exchange of contracts:

  • Carry out standard searches on the property, including checks with the local authority regarding the property and surrounding area, checks with the water company regarding sewers, drainage and piping, and environmental checks addressing the likelihood of landslips, flooding and subsidence
  • Carry out additional searches on the property, dependent on the local area and/or condition of the property
  • Check the particulars of the contract, including any terms or conditions that were negotiated and ensure the buyer is well aware of all of these
  • Check that any fixtures and fittings that are included as part of the purchase are what the buyer expected
  • Go through the mortgage offer and if there is any uncertainty, explain the conditions to the buyer
  • Advise on whether it is prudent to take out indemnity insurance
  • Manage all dealings with the land registry, including payment of the land registry fees, which ensures that the register is updated with the buyer’s details upon completion of the purchase.

With all the boxes ticked, a Portsmouth conveyancing solicitors will transfer the funds from the buyer to the seller.

The Exchange

Solicitors also handle the actual exchange of contracts. The buyer’s solicitor and the seller’s solicitor will do this over the phone at first. They will each read the contract out loud to ensure they are identical during a recorded phone conversation. They will then post their contracts to each other. This completes the house buying process.

Another Man’s Treasure: How to Profit Off Of Tax Deeds

Person getting money from a womanReal estate properties can mean different things to different people. More than a place to call home, real estate properties have also become a form of investment for some. Properties can be profitable through owning and renting them out or buying and flipping a property.

If you have experience in some of the forms of real estate investment, you may have also heard of tax deed investing. It’s a niche venture, but one that has the potential to be seriously profitable. Before we dive into the “hows” of the matter, let’s first discuss the basics of tax deed investing.

Tax Talk

On top of mortgage and insurance, you also pay property taxes if you own a house. Every piece of real estate in the U.S. is subject to this. The government uses the funds that it collects from property taxes to build public schools, roads, and for other programs.

If a person misses out on paying for their property tax, the taxing authority will consider their taxes delinquent and charge interest on the amount owed. The tax debt will grow if the owner of the property still cannot pay their dues and eventually, a tax lien will be placed on the property.

If that still isn’t cleared, the tax authorities will put up the property for either a tax lien sale or a tax deed sale where the highest bidder becomes the new owner. Keep in mind, though, that each state has different rules regarding tax liens and deeds. Taxdeedinvestors.com has a helpful list of tax deed states for reference.

Investing in Tax Deeds

Shaking hands after a negotiationNow, here’s how you can profit off of another person’s tax delinquent property.

A county or state is primarily concerned about generating money from property taxes enough to make up for their lost tax revenue. Basically, taxing authorities do not care much about the market value of a property. This is where you can profit off the tax deeds.

Let’s say that a property is valued at $150,000 with delinquent taxes and penalties worth $10,000 at the time of foreclosure. The amount of delinquent taxes—$10,000—will usually be the state’s concern so they’re likely to start the opening bid for the property at this price. If you win the bid at, say $30,000, the $10,000 will go to the state for the owed taxes and the remaining will go to the former owner of the property.

Essentially, you’ll end up having an equity profit of $120,000. Since the deed is now yours, you’re free to use the property as you please. You can rent it out or sell it at its market price. Either way, you’re going to be gaining a huge profit off a property you bought for only $30,000.

Where to Bid

You may be wondering where to find properties you can snag that are up for foreclosure due to delinquent taxes. Many municipalities across the country still hold live, onsite auctions to sell tax deeds. Larger markets, though, have turned to online auctions. Contact the municipal or county office in the area you’re interested.

Four Types of Multifamily Financing that Every Investor Should Know

Real estate investorsMany investors are familiar with supporting a single-family house. However, they sometimes become confused and frightened when the discussion turns to multifamily funding. With that in mind, this article will describe the discrepancies between a private and business loan. Also, it will explain the various types of commercial lenders and how to qualify for a business mortgage. A commercial loan is merely a mortgage that supports properties that have five or more units.

Most investors prefer banks when it comes to multifamily funding. You can classify banks under three different categories: industrial banks, savings banks, and credit unions. Many people have supported most of their transactions through industrial or commercial banks.

Regional commercial banks are ordinarily much simpler to work with. They often have a deep understanding of the market, and they always search for demand deposits. With a commercial banker or portfolio lender, it is easier to get a transaction supported. Portfolio lenders hold their mortgages and do not trade them off to the secondary business. This makes them more amenable with their terms. Once you build a relationship, the bank can even give you deals from its portfolio.

If you’re a first-time real estate investor, you should consider getting a loan from multifamily financing services because they offer excellent tools for you to start your investments. Rates are generally in the ballpark of 4.5 percent and 12 percent, and you can find terms up to 35 years. Even seasoned professionals resort to these types of loans.

Multifamily financing is a mortgage system that you can use to buy or refinance smaller properties with two to four units or larger apartment buildings consisting of five units or more. There are four types that you can avail, and each has advantages for certain types of investors.

Conventional Multifamily Mortgage

Real estate investors discussing about finance

If you already have a banking relationship with a traditional lender, a conventional multifamily mortgage is the best for you. You can use this type of mortgage to finance a 2-4 unit building that is in excellent condition and use it as a rental property.

Government Backed Multifamily Mortgage

You can be a significant investor who wants to use the FHA multifamily loan to buy five or more units, or you can be an owner-occupant who wants to have 2-4 units of rental property. In either case, a government-backed mortgage is ideal for you.

Portfolio Multifamily Loan

If for some reason you don’t meet all the requirements of a conventional mortgage, don’t lose hope. You can still avail of a portfolio multifamily loan because it has flexible requirements. This type of loan is also available to investors who want to finance multiple properties at the same time because it can finance four to ten properties at once.

Short-term Multifamily Loan

If you’re into buying distressed properties for fix-and-flip, this type of loan is for you. This type of loan can include bridge loans and hard money loans, which you can use to invest in properties fast.

Remember that multifamily mortgages can finance two kinds of properties: residential investment properties with 2-4 units and an apartment building with 5 or more units. You need to know this distinction because the number of units will determine the financing option that you can avail.

4 Tips on Protecting Your Assets

someone counting their moneyYour assets are one of the best ways to assess whether your own wealth is growing. However, due to several issues, people should be more vigilant.’

They should do everything they can, so they will not lose their assets. These four tips can help you make sure that you will not lose your assets and their value due to any circumstance:

1. Get the right auto insurance.

Auto insurance helps you make sure that there will be a less financial burden for you if something happens to your car. The auto insurance company can provide a counterpart should you get into an accident or any other incidents.

Contact a provider in Harvey that offers auto insurance so that you will put a strong level of protection for your car.

2. Utilize proper contracts and procedures.

If you are engaged in a business or investments, you need to make sure that you have proper procedures and contracts. You should always have an attorney with you when you are signing these documents. Keep copies as well, if possible. This will help you avoid any potential issues in the future.

3. Install a security system at home.

Your home is one of the biggest investments someone could ever acquire. One way to protect your family and your possessions at home is through a security system. There should be a security camera and a video recording component in this system.

4. Look into homestead exception.

People mainly know the homestead exception as a protection for a personal residence. It protects a portion of your home’s value should you get bankrupt. There are only a few states that have this option.

You might need to ask a lawyer with a background in the real estate to look into the possibility of having you covered under this exception.

As someone gets richer, their assets become bigger. They need to make sure that these assets are protected. The items above can help achieve this.

4 Effective Tactical Methods for Making Punctual Loan Payments

Mortgage and Loan Keys on KeyboardTaking out credit during emergencies is quite common and justifiable. However, whatever kind of loan you have, paying it on time or even in advance can give you a number of benefits — besides peace of mind, of course. In connection with that, consider committing to the following suggestions so you can always punctually pay your loans.

Consider More Convenient Payment Methods

Nowadays, as Wasatch Peaks Credit Union noted, many VA loan lenders in Ogden are more open to ideas and options that make payments for their clients faster and easier. Talk to your loan company of choice and find the most convenient payment schemes for you, such as balance transfer, mobile or online methods, etc.

Generate Funds from Other Sources

Sometimes, relying solely on your pension or salary to pay off debts just won’t cut it. Consider making money from other side jobs or selling stuff that you no longer use. Adding to your income can give you a better chance of paying your loans on time.

Utilize Your Work Bonuses

There are certain times in a year (like the holidays) when you receive additional amounts and bonuses from your company or government allowances. Make the most of these extras and use some of the money to cover your debt. What if you miss out on splurging on extras? Eventually, your peace of mind will give you more benefits in the long run.

Always Keep in Touch

If worse comes to worst, never neglect to establish regular communication with your lender. Keeping them informed of your payment status and issues are one way to ensure that no complications will ensue when delays do happen or when you’re unable to make your payments.

Paying your loans on time can be quite a challenge, especially if you’re on a tight budget. However, it’s certainly doable and will serve you well in the end. Not only do you keep a great credit score, which makes you eligible to make other key loans in the future, but you can also relieve yourself of financial responsibility and the stress connected to it.

Facts about Section 8 Property Investment that You Should Know

Dollhouse on top of a pile of moneySome families find it difficult to look for a suitable place to live because of their financial situation. That’s why many often consider enrolling in a program known as Section 8 to help them find a house to rent.

For the part of homeowners, on the other hand, getting a Section 8 real estate investment is also a great option. Experts from Americas Housing Alliance, LLC explain it allows them to lease their properties to eligible families after they receive a certified voucher that covers at least 70% of the monthly rent including the utility bills. But what exactly does it entail? Here are its top benefits to homeowners:

Stable and Guaranteed Source of Income

One of the biggest benefits of Section 8 is that you’ll have guaranteed monthly rent payments coming directly from the government. You’ll start receiving monthly payments from the government once you have a Section 8 tenant. It commonly comes in after a delay of at least 30 to 60 days for processing.

Lower Vacancy Rate

Another factor why many landlords consider Section 8 investments is because of lower vacancies. Several Section 8 tenants tend to stay put for several years and are even more than happy to renew their lease repeatedly.

A Large Pool of Possible Tenants

Section 8 also gives you access to a large pool of prospective tenants due to government subsidizing monthly rent payments. This is helpful, especially in areas where there’s only a small pool of private pay tenants.

These are just a few of the benefits that Section 8 can offer to potential investors. It’s always best to conduct thorough research when it comes to investments so you’ll know what you’re getting yourself into. Also, make sure to work with a reliable real estate investment company.

3 Mortgage Mistakes You Can’t Afford To Make

Mortgage loan agreement with house key chain and key on topA home is not something you buy every day, and it is one of the most expensive purchases you will ever make. That is why you should play it smart when purchasing your home. Before diving into the world of housing financing, you ought to do some research so that you do not fall for these house loan mistakes.

1. Assuming your credit score

An excellent credit rating ensures that you qualify for attractive rates. It proves to the lender that you can afford to repay your Salt Lake City home’s mortgage. Having poor credit might not only cause your loan to be denied, but it might also mean paying high interest rates. When you want to get a house loan, start working on your credit rating to ensure that it is in good standing by the time you start shopping for the loan.

2. Making yourself house-poor

If you commit a large part of your monthly income to house-related expenses, you might be left with too little or no money for other expenses. Make sure that your mortgage payments are less than 28% of your pretax earnings. Spending more than you can afford is be the biggest mistake a homeowner can make.

3. Being unrealistic about your financial capacity

It’s easy to pay more attention to the interest rate instead of the loan type. A 15-year fixed mortgage can have a lower interest rate than a 30-year fixed mortgage, but can you afford the premiums for the 15-year loan? The same applies to a short-term adjustable loan. Although the interest is initially low, the rates might fluctuate significantly. Never go for an option that will over strain your finances.

Purchasing a house for the first time can be daunting, especially when it involves you getting a house loan. Make sure you avoid these mistakes and find help if you are stuck.

Moving Homes: It Doesn’t Have to be Too Pricey

couple on the laptop computing for their moving expensesA number of homeowners who move to a new place worry about the money. Some moving companies charge hefty prices, which results in this valid concern. This, fortunately, doesn’t have to be your case. With a little planning, you can streamline the process and lower the costs.
The first thing you should do when planning to move residences is to get moving quotes from different service providers. Moving doesn’t have to cost you an arm and a leg.

Keeping the costs low is crucial because there are other additional expenses. Besides, who doesn’t a chance to get things done while saving some money? Here are some ways to keep the moving fees budget-friendly:

Leave the Things You Don’t Need

Not all of your belongings have to join you in your new home. That’s a reality that you must reconcile with when making a move. Embarking on a thorough clean up can help you declutter the home and spare you some extra cash.

Go through your belongings weeks before the big move. For the best results, don’t do it all in one day. Instead, spread it over several weekends prior to the moving date. That way, you can avoid making the decluttering process a chore. You also get to make logical decisions at all times.

Pack Your Own Boxes

Moving companies are eager to help you with every aspect of the move. They can pack up your entire house and unpack in the new location – as long as you pay them for their efforts. In the interest of keeping the costs on the down low, you must meet them halfway.

Reducing the number of tasks movers will handle cuts down the charges. You can source your own packing supplies on the cheap and spread the packing process overtime to make it a breeze.

Moving houses shouldn’t cost you a small fortune. With little effort and planning, you can make the process painless while keeping the costs low.

ACA Helps Many People Gain Access to Quality Healthcare

old lady with quality healthcareThe Affordable Care Act was passed to bring cheaper healthcare and insurance to poor families. As this has opened doors to care for marginalized people, clinics have become full to overflowing. While this is affecting the workload of many doctors, hospitals are taking the necessary actions to keep their staff from being overworked.

The Affordable Care Act assistance or ACA was intended to provide access to medical care for the unemployed and low wage earners who would have otherwise been prevented from seeking care through high insurance premiums. The act has worked as intended for most people, leading to a surge of patients coming through hospital doors. Many patients have been given the treatment they need to feel better.

The only problem is that hospitals are getting crowded and there are risks of a shortage of physicians, not to mention the amount of paperwork they need to deal with. But healthcare facilities are doing what it takes to avoid being understaffed, so they can keep providing quality service to patients.

Customized Solutions for Hospitals

Revenue cycle management services can reduce paperwork and give the doctors more time to spend with their patients. The computerized system follows patients through, from their initial inquiry to the completed payment of their bill.

Services to assist doctors and patients include help to access the insurance marketplace, help with ACA application, charity applications, emergency Medicaid, and computerized self-pay options to allow patients to pay deductibles online or in an instalment basis. This reduces the time spent chasing up payments, increases the likelihood of reimbursement, and lets the doctors concentrate on their patients.

Excessive paperwork and insurance problems can affect the patients’ safety, particularly with the increasing number of patients visiting their doctors. Revenue cycle management and charity applications can ease this burden.

Avoid These Mistakes When Buying Your Dream Home Through Mortgage

Couple discussing with real estate agentWhile owning a house ranks high on the to-do list of many people, realizing this dream can prove to be tricky. In fact, more than 38 million American households struggle to pay off their mortgage.

Most of these families took on a home loan that was way above their financial capabilities, and now they’re suffering the consequences. To avoid falling into this category, Primary Residential Mortgage, Inc. and other reputable mortgage companies in Oregon noted that you need to take a few proactive measures. Here are some of them:

Don’t get too much house

It’s common for first-time homebuyers to fall in love with a house that’s beyond their price range. Don’t make this mistake, though, as it will leave you vulnerable to foreclosure. For starters, you have to sign up for a bigger loan that you can afford, which gives rise to a series of misfortunes. These could be monthly repayments greater than the recommended 30% or stretching the loan for many years, or both. A long repayment period might seem like a good deal until you factor in the accrued interest.

Don’t settle for an expensive loan

Surprisingly, you have a say about the cost of your home loan. Well, not directly, but your creditworthiness determines the interest rate. Raising a 20% deposit, having a credit score above 700, and a credit utilization ratio of below 30% can make you get friendly rates. The same case applies if you don’t let any of your bills go to collections.

In addition to the accruing interest, unpaid bills lower your credit score and ruin your financial history. Lenders dig into your financial background to determine how much of a risk you pose to them. If you come off as a risky client, they peg you to a higher interest rate bracket.

Failing to prepare adequately when buying a house throws your finances into shambles and could lead you to lose your house. However, with the right preparation, you can ensure a smooth home owning process and avoid foreclosure.