Sunday, November 28
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Investing

Important Considerations For Property Market Investors

Important Considerations For Property Market Investors

Investing
With the uncertainty surrounding the global economy, investors can be forgiven if they have some concerns about seeking a mortgage to get into the South African property market. Still, real estate investments remain one of the best long-term vehicles for wealth creation. Investors who want to realize consistent returns from their investments, however, need to understand how to manage these loans properly. There are a number of key factors that every investor must take into consideration when deciding whether or not the time is right to jump into the real estate market. These factors include the current interest rates, the National Credit Act's ramifications, and various purchasing options. The interest rates charged on these loans has been decreasing steadily for a number of years. W...
Three Alternatives for Delegating on the Cheap

Three Alternatives for Delegating on the Cheap

Investing
Every Investor, even the newbie, needs to delegate some tasks in order to allow enough time for the money-making activities that they should be concentrating on. Studies show that only 20% of what we do is focused directly on income-producing activity. Imagine how much we could earn if we refocused more of our work hours on those tasks critical to making money? What do we do with the other 80% of tasks that seem to consume most of our time? Well, some of it can be dropped as unproductive and unnecessary. The other tasks can be delegated. There are three inexpensive alternatives to finding help for your real estate business: 1. Hire interns. Any entrepreneur near a college or university with a business, marketing, communications, or IT program will find bright, eager beginners w...

Four Benefits to Investing in Income Property

Investing
Investing in real estate is an excellent way to diversify any investment portfolio. There are four major benefits when investing in income property. And over time, each of these benefits become more and more valuable. We'll cover how each aspect can reap great rewards for your real estate investment.Capital AppreciationCapital appreciation is the increase in value from the price of the real estate increasing. In other words, as the property rises in value your investment value also rises. Add to that increase the effect of leverage and real estate can offer large returns. For example, suppose you purchase an apartment building for $500,000 and take out a loan for $400,000. Now, assume that in five years the value of the apartment increased by $100,000 to $600,000. The capital appreciation ...

Are You Getting The Right Property Investment Education?

Investing
Property investors throughout the country come in all different shapes, ages and backgrounds but when it comes to actually investing in their property, you can put them into two distinct boxes.In box number one, we see investors who buy on a whim because they've seen something that's caught their eye or seemed like a bargain and then in box number two, you get the property investors who really love to do their homework before putting a cent down on the deal.Of course, I hope you don't fall into box number one because as I've often said, 'If you don't take the time to research, research, research then you might as well be throwing your options to the wind to see what sticks around and then praying it's the right one'.Too often people come to property investment strategists like me when they...

Real Estate Investment – Tips to Be Successful

Investing
I want to start with the most important thing in real estate investment business and that is to buy a good property.For understanding what I meant by a good property, I would like to introduce some terminologies:1. After Repair Value or ARV This tells you the worth of a property after it has been rehabbed.2. Highest Best Use or HBUThis term is basically used for commercial properties, which means that what's the highest to best use of that particular property.HBU is also used for residential properties, where after evaluating a property; you can decide what would be the highest to best use of your money.For example, after evaluating a property you decide that you can only spend $25,000 on repairs instead of $40,000 as you've thought because the total worth of the property after repairs wou...

Recession And Downfall Of Real Estate Market

Investing
The great depression or the recession began to take place in the early start and the mid of the year 2007 in the USA. Some other developed nations also started to come in the wrap of this partial recession during that period but according to some of the economists survey this little bit of recession, at that time, was something not to worry about as they surely believed that the USA and other globally developed nations would be safe from it in not more than three to five months or so as they suffer from this kind of subtle recession after every ten to fifteen years. But by the end of the year 2007 and the start of 2008 almost the whole of America was suffering badly from recession and the worst effects of this recession were seen on the American real estate market. Almost whole of the Amer...

Using the “Carnegie Rule” To Achieve Success

Investing
In 1908 at the age of 25 Napoleon Hill took the opportunity to interview Andrew Carnegie, then 73. Carnegie was sufficiently impressed with the young man that the meeting in which Hill hoped to discover the secret to Carnegie's success went on for three days.It took Hill exactly 29 seconds to agree to a proposal that Carnegie made: that he would pay Hill travel expenses and give him introductions to hundreds of successful people if he would interview these people and develop a systematic, written theory of success. There would be no other compensation. Carnegie had asked around 200 other entrepreneurs the same thing, but none had been able to commit on the spot, and the offer had been rescinded from everyone but Hill.Hill was able to make a decision fast, and that decision set his destiny....

Common Mistakes For Renting And Tenant Buyers

Investing
Not Waiting for Payments to Clear - Never give your tenant buyers the keys before their deposit upfront payment, first month's rent, and security deposit clears the bank. Either have them bring it to you in cash or a bank draft, rather than a cheque.Renting to Friends & Family - Sometimes this can be fantastic, but, in most cases, it's not!Not Training Your Tenants - Set the tone right from the very beginning, and train your tenants about the rules of the game. They must always pay on time. Have a booklet prepared for them, if necessary.Failing to Verify Details - Monitor the details of all transactions or have your team ensure all the details are looked after. This includes credit checks, the way the leases are signed and making sure the property manager is looking after everything.Being ...