How to Calculate Property Purchase Financing for First Time Homeowners

If you are new to buying property, there are several things you need to take note of and several steps you will need to take before you begin your journey.

The first thing you want to do, is check and compare the market prices of homes and other pieces of real estate, that are similar to the property you are looking to invest in. Certain areas on the web can give you a general idea of the market value of the real estate you plan on investing in. This way you will not get burned by spending too much on your new property. Be sure to invest in property you can afford. Use a mortgage calculator, or something similar, that way you do not invest money in a property you will never be able to pay off.

Look into how much you will be paying in closing costs. These upfront costs are one thing that should not be overlooked, and include origination fees that are charged by your lender, taxes, settlement fees, title and other prepaid items such as insurance. Look into what the closing costs for your state are by checking the various cost surveys. How Did Property Developers Become the Best? Find Out.

Looking at your budget, you can help determine how a property can fit into it. You do not want to spend more than 25% to 30% of your income on property costs. A little over is okay, but too much over can be a problem.

This is related to the point above, but calculate what your monthly costs for your property is going to be. Add up everything, it is okay to exaggerate a little because it is better to have money left over than not enough for your property costs. You can use an affordability calculator to help determine what the cost of the property will be if you need help. This includes items such as insurance and property taxes. Keep an eye on the taxes, seeing in certain areas they will double your mortgage payment if you are buying a home, this is especially true if you live in Texas.

You can also call a local insurance agent in the area want to buy your property. They will give you an idea of how much you will be paying. Property tax information can be found in different publishings around the country if you are curious in regards to taxes.

Using the tips above, you should be set to buy the property you want without breaking the bank and avoiding any unnecessary frustrations.

Buying Foreclosed Homes: Top Tips for Making Your Investment Go a Long Way

Foreclosed properties have been far-reaching into the home marketplace, dislocating families, and bringing the property values down. Don’t get caught up in the headlines that read – foreclosed properties are being bought at ultra-low costs. Property agents are receiving buyers from as far away as overseas and some of these curious buyers from around the world are purchasing in volume.

Local Real Estate Professionals, Home Inspectors, and National Housing Officials will offer you advice on purchasing your new property (see new launch property here) and help you budget attentively. A caring real-estate agent will say not to let the price tag that is priced low entice you into a fast bargain.


How to Hire a Home Inspector:

Search for a contractor to do a private examination. A home inspection is usually required by banks when loaning money for a mortgage. All the experts say it is critical to get an evaluation that is up to date. Preceding evaluations are just a snapshot in time, and a home’s state can change drastically when there is no caretaker on these properties. When looking at several properties it’s possible to come across vandalism including previous owners who rip off copper piping, cupboards, and fixtures. Sometimes a review will prevent additional damage and a small investment of $300 to $500 for an inspector should be well worth it in the long run particularly if the inspectors discover the pipes are broken, repairs can be done ahead of time.


Making Repairs to Your Home:

Make sure you ask yourself these questions: Have you got the cash to make the necessary repairs these houses the home will require? Have you got a team? If your plan is to rehabilitation and then lease, can you manage the house if you do not find a renter? There is little danger, if you do your homework and see the house for yourself in person. It is not best you buy the house sight unseen. If you are looking for a purchase in San Antonio and you are in New York City, you will need someone to appraise the house for you in person.


Inspecting Your Property & Neighborhood:

Examine the areas surrounding the house assess it and do your homework. You might be unable to recoup the expense of the repairs if widespread foreclosures or high crime depress the value of the house in the region. It’s also best to analyze the appearance of the neighborhood at all hours of the area, including at nighttime.

The longer the vacancy the more damage there is, generally. If a house has not been “mothballed” carefully, a long list of problems could set in. Also the pipes and seals could dry out and let the bugs get an opportunity to get into the house and the sewer gases could come up from the pipes being backed up. This also holds true for washer drains, the sinks, and the toilets.

Do not turn on the utilities until you find out if the house was winterized. During the colder seasons it is possible for pipes to crack, this could cause water to leak behind the walls and underneath the home. To prevent further mold growing do not turn the water back on. If the house was ignored for a long period of time other problems could have occurred for example untrimmed trees, landscaping, bushes and vines can bring to the deterioration of the house. Nearby trees could send roots down into the base of the home and vines could crawl into the windows that could cause damage unseen by an average walk-through.


Foreclosure infographic


Investing Into the Current Housing Market!

Soon-to-be homeowners aren’t excluded from the foreclosure market. Despite the struggling housing market and economical anxieties, realtors believe this may be a great time to consider finding the dream for your first-time home ownership. Those who find themselves investing into the foreclosure marketplace could come out on top. It is possible to buy a house that’s two-car garage, a fireplace, and two bathrooms for 350 dollars per month, with insurance and taxes. Take these tips with you and you are sure to get a good idea to if the property is a suitable investment for years to come.

Tips for Purchasing a Real Estate Property

Buying real estate can be an important part of your life. You need to do all of your research so that you don’t wind up losing a ton of money or even losing the chance to buy the real estate that you desire. There are some tips listed below to help you begin in looking for the best property out there.


An apartment for rent comes with restrictions you should be aware of. Some management companies restrict your ability to decorate the wall, change the blinds already installed, or add additional curtains to your windows. Check the leasing office before you rent to make sure your decorating ideas are in line with their rules.

School age children in the family make it even more difficult to find a new place. Find a school district that you are satisfied with, and find an apartment complex or individual home for rent within the boundaries of the district. Try to move during summer because switching schools, especially with high school age children, is much easier during summer break.

Lots of apartment complexes offer garages with your rental. Read your leasing agreement to determine what you can or can not use it for. Most garages are to store your cars and not to use it as your personal storage. Most complexes allow you to have a few boxes in your garage but leaving your car in the outside parking lot because your garage is full of boxes is unacceptable.

For potential real estate buyers, make sure you know what you’re buying! City and town ordinances are rightfully, cracking down on illegal additions to property. Don’t allow a basement apartment or garage conversions sneak past you, as these additions can cause you a headache in the long run. Abide by the law, and make sure the person you’re buying from is, too.

Renting an apartment becomes much easier with decent credit since most apartment managers have access to credit scores. Plus, multiple credit checks will eventually damage your score so only apply to one apartment at a time. Once you have your apartment, pay your rent on time so that it does not become a debt on your credit report.

Buying real estate can be very rewarding, but it can also be a lot of work. Regardless, if you know what to do and how to buy real estate smarter, you can get the property you want, try to find out more at So, do yourself a favor by doing your research and applying the above tips to your real estate buying.

Purchasing a House for Sale

There are many different tips for buying property and real estate. It can be frustrating and tricky, so you first will want to do research. Where do you want to move? The suburban area or are you an investor looking to profit?

If you are looking for a bargain on property, there are short sales, bank-owned sales and tax sales that could help your investment even greater. Also by tracking different zip codes will allow different values and prices on property.

The Short Sales and Bank-Owned Sales are usually the way to go. It may take some time to secure the sale but you will get this property for a whole lot cheaper than its market value. The house is usually sold “as is”, which means any repairs will be your responsibility. You are usually given a fair amount of time to do these repairs and then they will come in and do an inspection. This is to make sure that you completed the repairs and also that these repairs are up to code. Normally in these type of sales you will contact a real estate agent to get the ball rolling. They start the paperwork, do a walk through on the home and determine a fair price for the property. The bank will then start to negotiate with the purchase price. The house is usually to be on the market as well for a certain period of time to get the most and highest bids in. A “Tax Sale” typically will take place when a homeowner is behind on their property taxes. The county will work with the property owner and make arrangements to catch up. Eventually, if not caught up the county will step in and hold a public auction on this property. This means that the county will sell the property to the highest bidder on the day of the auction.

If you are an investor in real estate, you always will want to keep a well maintained and well managed facility. This will result in great profit and income with a nice looking property. Real Estate managers also can help with a property sale, whether it is a house for sale or apartment for rent. The real estate manager will help you plan the purchase and to negotiate the price. The real estate will gather all of the paperwork and get you started.

My biggest advice when purchasing property is to make sure that you are ready and take your time. Do not rush into anything.

Low Cost Homes for Penangites

The Penang State Government has created a web site for the online registration of homes, and includes good information on Citizen Housing Project (PPR), low cost and medium low cost homes, with application status checks.

There are still a number of such affordable homes in Penang, given that the governmetn has set the regulation for developers to build the homes near to their intended expensive homes projects, and also the effort of Penang Development Corporation (PDC). The criteria of selection is based on a computerised system, with marking system taking into consideration some factors including the place of birth, marital status, dependents, the period of time for application, how long the applicant stayed in Penang, ex-military, the current residential status, the reason of losing a residence, occupation and rejection.

Priority is given to those with at least 5 dependents, and special considerations for those with disabled spouses, single parent or widows of ex-military servicemen.

Applications for the Citizen Housing Project should adhere to several rules and regulations, and applicants must be Malaysian citizens staying in Penang. The combined income should be lesser than RM1,500 per month, with the single earning spouse’s monthly income of no more than RM750.00. They should not have owned a home before too, and if they did, it will disqualify them even though they may have sold the house. Usually these homes are rented, rather than sold, with rentals as low as RM100 a month. Applicants are subject to an interview when all paperwork reviews had been qualified. Only upon the success of the interview that the applicant can really be able to rent a designated unit specified by the government under this scheme.

For low cost homes, the combined household income should be no more than RM2,500 and no more than RM3,500 for those opting the medium low cost homes. Again, the couple should not have owned a home before, and they will be disqualified even if they sold their previous home.

The user friendly portal also offers information on the current active projects that the applicants may apply. Projects are categorised by location, and includes both Penang island and Province Wellesley. The homes are usually below RM80,000, and may only go as high as RM75,000 for medium low cost homes.

At present, there is a total of 50 projects listed on the government website.