Category: Real Estate

GuideReal Estate

Merits of devoting money in a vacant land

JonWritten by:

If you are having sufficient cash and planning to invest that in property or any piece of land, then you are supposed to be cautious regarding that investment. It is expected from the buyer not to get trapped in any malpractices carried out by the sellers as well as the surveyors. For being aware concerning your investment, it is recommended to the buyer to go for a registered agent and a licensed surveyor. Both of these play a huge role in making the right choice by the buyer. Moreover, it is a better decision to buy vacant and empty land as compared to a pre-constructed building

Some of the potential reasons to buy an unoccupied and vacant land might be these:

  1. To construct the desired premise: By owning vacant land, the buyer is free to use his imagination and skills by making a decision to use that property in any preferred way. He can build a home, club, or restaurant on it and gain a huge amount by making it more attractive. He is not limited to any strict conditions for constructing unless it is legit.
  2. For availing loan facilities: Bank and other financial institutions provide loan facilities against vacant land very soon as compared to a fully constructed property. Hence, for getting loan issuing preferences, it is suggested to buy a vacant area instead of a house or any other building. Hence, it is advisable to get your land registered because the bank will not issue loans against an unregistered or disputed land.
  3. For resale: In the period of crisis, free land will come to your rescue. You can resale your plot when you are short in money and can balance your financial position with the help of it. The seller can publish ads for its sale with a title like land for sale in Florida. People prefer to buy empty land more, as compared to an already constructed one. However, there are several selling techniques available that you can apply to sell your land as early as possible.                                                                                                                                                                                                        
  4. For temporary shelter: When you have no requirements of constructing a house or any other premise to soon, then you can also make your land as a provisional shed by putting a plastic-type shelter on it. You can also construct your own wooden hut over it by putting some of your imaginative and creative ideas. You have the free will to use it according to your needs and requirements.
  5. For stray dogs: When a buyer purchases a vacant piece of land, he can use it as a shelter for the street dogs by facilitating it by certain tiny stuff needed by the dogs such as a shed made of polythene or cemented, wooden gate attached to the shed, blankets in cold weather, a food bowl and many other essential things for them.
  6. Low maintenance costs: When a land is not yet constructed, it will have much lesser expenses as compared to a fully made property or building. Hence, buying empty land is always preferred above a constructed land. It will save a huge amount of your money in the long run.
  7. No need to keep an eye: The buyer will get a less burden by purchasing vacant land because there will be no need to watch and look after the bought property. It will not have any material inside it and no requirements for electricity and water supply as well.
  8. Low chances of opposition: When you have vacant land or piece of plot, then your enemies will not get envied from your property since you have a barren and empty land. Whereas, in the case of a constructed property, the competition is present on a much higher level. They keep an eye on your building to go ahead of you, if possible.
  9. Warehouse: When you have a piece of vacant land, you can use it as a storeroom for your huge items. If you are a business dealer, then you have no need to spare a separate room for these things in your home or shop. In that case, an option for choosing and buying a vacant land will come to your rescue.

Hence, it is highly recommended to all the beginners in the field of real estates, to go for purchasing a vacant and empty land instead of buying a fully constructed and well-made building. It is preferred to buy land in a developed and popular location as it will provide aid in the process of reselling. People prefer to buy land in well-developed vicinity. The land should have all the primary premises in its surroundings to get rid of any future stress. Buildings like hospitals, supermarkets and grocery stores are required when you are planning to construct you vacant land into a house.

 

Real Estate

5 Mortgage Refinance Tips – Timing Is Everything

JonWritten by:

Is refinancing for you? You cannot shoot blanks in refinancing your mortgage. While this might be a lifesaver for many people on short term, you risk having to carry on higher interest rates and even lose your equity in the long run. Knowing the basics and the right timing with refinance tips from experts can turn the tables around for you.

What is a Mortgage Refinancing?

A lot of people are considering mortgage refinancing for many reasons such as an extension on the term of their loan, reduction of interest rates, lowering of monthly payments, get cash out of equity, and to shift from fixed to an adjustable rate of mortgage.

Mortgage refinancing basically refers to getting a new loan to pay off your existing loan. It serves as a buffer to extend the term of your loan and to take advantage of low monthly payments and interest rates.

Top 5 Mortgage Refinance Tips from the Experts

In the mortgage refinancing arena, you have to strike while the iron is hot. 2019 is said to be the best year to jump ito mortage refinancing because it’s at its lowest since 2017. While the interest rates have consistently been set below 4{6981676f896451ec7f0201b4f2e2dba09f1165d5d0ff016768ccdcb379f49531} for the last 30 years, this year is peak season to get to work on refinancing your mortgage.

You have to grab the opportunity right now to take advantage of the low rates. However, you should take a step back to determine whether mortagage refinancing makes sense for you or could work against you. Here are some tips from the experts to guide you with refinancing your home loan:

  1. Is Your Credit Score Good Enough? Mortgage refinancing is clearly not for everyone. A lot of lenders or financial instructions have strict rules and higher standards in terms of loan approvals. In fact, even those with good credit standing may not qualify to get low interest rates. Your credit score would largely determine your interest rates and closing fees. It is recommended to check on your credit score as lenders would only approve borrowers with a credit score of at least 760 or higher for the lowest mortgage interest rates. Those with lower scores would still quality for a new loan but may have higher interest rates. Lenders would usually get the middle score or median from the three major credit bureaus so you have to check on this before taking the first step to mortgage refinancing.
  2.  Know Your Financial Goals. Determine whether mortgage refinancing is the right tool to achieve your financial goals. Whether you would need a cash-out refinance, extension or adjustment on your existing loan term, or to decrease your monthly mortgage payment, you need to check if mortgage refinancing can help you lower your interest and closing rates and get you the best deals while paying off your loan at a shorter time. Knowing your current financial goals will help you plan ahead and get you on the right track with paying off your home loan.
  3. Speed is the Key. As mentioned, timing is everything. So, you need to act fast with mortgage refinancing. The rates could be erratic and can go from high to low at any point in time. You have to know when to jump the gun. Consult your loan officer and be on the lookout for any emails for loan processing and documentation.
  4. Know the Different Refinancing Schemes. There are varied types of refinancing models or programs available to suit your financial objectives:
  • Cash-Out Refinance – This mode of refinancing allows you to qualify for a new loan to pay off your existing home loan and get cash using your equity to pay for other debts or to finance home improvements and other urgent expenses.
  • Streamline Refinance – This is standard refinancing with faster processing and less documentary requirements needed.
  • Home Equity Loan – This works like obtaining a second mortage or a new line of credit with your home equity.

  1. Take Advantage of the Hike In Home Prices. When home values rise, that would signal a good time to make cash-out refinance in order to boost or build your equity.

There are costs and benefits to mortgage refinancing you should know about before making that important decision with your home loan. A reputable loan officer can help you sort things out and calculate the benefits and costs of getting into mortgage refinancing. Like any other financial transactions, there are risks associated to this and the above refinance tips can get you a step ahead of the mortgage refinancing game.