Saturday, September 13, 2008
Buying Unfinished Homes
Normally, unfinished starter homes leave the upstairs area unfinished. The question here, is just how much equity you want to put into an unfinished area. Sometimes though, an unfinished home may leave the roofing, framing, plumbing, or electrical aspects unfinished. Before you make a purchase, you should always decide how much money you have to finish what needs to be finished.
If the home you are looking at has plans for a garage, you can save thousands if you decide not to go with the garage. On the other hand, if there is another attached room that is planned to go onto the house, you can save just as much if you decide to forgo it. There are always ways that you can save money just by looking at the plans. Unfinished homes may have other planned on additions as well, in which you can save a lot of money just by leaving them out.
The is something that you should always keep in mind. When builders acquire a piece of property that they plan to build a home on, they will do everything they can do make as much money as possible on their homes. You might be able to get them to agree to some of these ideas, although they probably won’t agree to all of them. Building homes can be a very profitable business - which is why most companies like to build their homes exactly as the plans call for.
When looking at unfinished homes, you also need to look at what banks are willing to accept. If you are planning to get a mortgage, most banks will need to ensure that the home is up to local codes and in living condition. What this means, is that there will need to be a living room, bedroom, and other rooms finished. If the home is lacking quite a bit in terms of being unfinished, most banks won’t give you a mortgage.
Most banks are also known to turn down unfinished home mortgages that they feel will have trouble selling in the event that you default. Normally, the entire downstairs area will need to be finished, along with most of the landscaping. You might be able to do some of it yourself and save money, although in most cases the home builder will need to do a majority of the topsoil and grass just to satisfy the bank. Banks have strict requirements when it comes to unfinished homes, which is why you should always check with your bank before you invest in an unfinished home.
As most of us already know, buying an unfinished home provides an excellent way to get into the housing market and get your very own home. Unfinished homes also allow potential buyers the chance to grow into their home along with their family. If you are interested in saving money, you should be sure to talk to the builder. This way, you can go over the plans and decide what doesn’t need to be there. In most cases you can save a lot of money and still get a home that will provide years and years of memories for yourself and your entire family.
Home Shopping The Smart Way
When you look at your potentially new home, you’ll want to check and see if you can fit your furniture in the way you want. A lot of homes these days are configured so that the furniture will only fit in one position. Often times, this leaves a television or other device in a weird location, sometimes making your furniture nearly impossible to fit through the doors. This is surely something to bear in mind, as you certainly don’t want to have to buy entirely new furniture.
You’ll also want to be sure that you get the right home for yourself and your family. Even though you may be a young couple now, you may want to get a house with enough room in case you decide to have kids later on down the road. If you don’t get a big enough house and end up having to move, you’ll find that moving with kids is a hard task indeed. If you have babies when you move, you’ll find moving to be even more difficult.
Once your children start to leave home, you may want to look into getting a smaller house. The choice is entirely up to you, and what will work the best for your needs. Anytime you purchase a house though, you’ll want to think about the size of your new home and consider the future needs of your family as well. This way, you’ll have everything covered for years to come and won’t have to look into getting a new home.
You may also want to look at any extras as well. Things like a pool and a hot tub may be a great thing to have, although you should look into the money that regular maintenance will cost you as well. There are a lot of things that may be great to have along with your home, although you should always look at long term costs before you purchase.
Location is also something you’ll need to consider as well. Some prefer to live out in the country, while others prefer the city life. Some prefer to be close to stores and such, while others prefer to be miles and miles away. The location of a home is very important, and in most cases will have a big impact on the price. Living in the city will cost quite a bit of money, although a home out in the country can cost just as much if there is a lot of land included with the property.
Whenever you decide to buy a house, there is a lot of things that you’ll need to consider. Buying a home is no easy feat, with a lot of things you’ll need to decide on. If you give yourself enough time and plan out your budget and the type of home you want, you’ll have plenty of time to make that very important decision. You never want to rush the process, as you could end up with a home that is less than perfect. If you take your time and look at several different houses, you’ll end up in your dream home before you know it.
Tips For Buying An Overseas Vacation Home
If you have been considering buying a home in a foreign land, there are some things you should be aware of. Anytime you decide to buy a home in a far away land, there are traps and pitfalls that you need to be aware of. If you are aware of these pitfalls, you’ll go a long way in securing your home – safely and securely.
If you want to buy overseas real estate for the value, you should always keep in mind that real estate fluctuates – some months the value may go up, while other times it may go down. Not all countries have the same real estate economy, which makes it in your best interest to look into the economy before you buy a home. This way, if you are buying for the value, you’ll know whether or not your purchase will be profitable.
Legal systems are also something you should be aware of as well. Different countries do things differently, which is why you will need to look into the different legal systems before you decide on a property. The last thing you want is to purchase a home and find yourself totally unaware of how the proceedings go in the area you have chosen.
If you are buying your home to make some extra money, such as using it for a vacation or holiday home, you should always pay attention to the accessibility factor. If you plan to visit the home yourself for vacations, you’ll want to make sure that your property is easy to reach. If your property is hard to reach by automobile or plan, it will decrease in value and popularity over time. On the other hand, if your property is easy to access, it will be great for you and anyone else you decide to rent the property out to.
If you want the process to go as smooth as possible, you can always enlist the services of a real estate agent. Even though you may be buying an overseas home, a real estate agent will know the area and he can answer any questions you may have. Chances are that you aren’t familiar with most overseas areas, which makes a qualified real estate agent a very worthy investment. Your agent can also make recommendations based on what you are looking for – and show you the homes that you wouldn’t be able to locate without his services.
Termite Damage And Real Estate
Of course it’s nice that the seller will pay to have the termite problem treated, which will normally cost around $1,000 or so. Even though the termites will be gone, you have to wonder about the damage to the structure. In the more severe cases, damage to the structure can cost up to 50 times the cost of the treatment. The last thing you want is to move into a home that you know has been treated for termites, only to find the structure to be in very bad shape.
If any type of damage was done to the wooden structure of the home, you may need to get immediate repairs. While some damage may be visible, there are other types of damage that may seem invisible to the naked eye. To find out just how bad the damage is, carpets and rugs will need to be lifted, furniture and appliances moved, walls and ceilings will need to be opened, and even some types of excavation may be needed. This is the only way to tell the extent of the damages, especially in cases of termites. If you don’t inspect every area of the home, you could be moving into a home that has severe structural damage - which can cost you thousands to repair.
There could also be latent damage present as well. To determine this, you’ll need to have invasive and destructive testing performed on your home, which will performed by qualified contractors and specialists. This will help to determine the extent of the damage and the cost of any needed repairs. This can be very costly however, although it’s the only way to find and repair any latent damage.
Destructive and invasive testing can cost you an arm and a leg, although you’ll need to have it done if you suspect termites or know for a fact that the home was treated for them. To protect yourself, you should always get a treatment and repair history before you purchase the home. If you are renting the home, you’ll need get written documentation from the specialist that details the damage to the home and cost of repairs.
Before you buy a home, you should always have it checked for termites. There are a lot of termite inspection companies out there, many of which go above and beyond to check the home for any type of termite damage. You don’t want to buy a home only to find out that it has been infested with termites. If you have the proper inspections performed before you make the purchase, you’ll know for a fact that you don’t have to worry about termites or termite damage.
If the inspector or contractor doesn’t find any termite damage, you should always have it documented. This way, if termite damage does exist, you’ll have the documentation to back you up. Termites can be very destructive to your home, especially if you are looking towards a log home. Termites can destroy wood in little to no time at all, which is why you should always do what you can to have your home treated as soon as you suspect any type of damage. If you know a home has been infested with termites before - you should really make sure that the structure isn’t damaged and the termites are gone before you commit to buying.
Reasons To Stage Your Home For Sale
One of the best things about staged homes is that they sell in less time. This is great news for sellers, as these types of homes will sell really fast. In most cases, you won’t have to worry about your home staying on the market for a long period of time. Research has shown that staged homes sell nearly 40% faster than other homes on the market.
Staged homes also sell for more money. Homes that have sat on the market for a long period of time will normally get lower offers due to the fact that home buyers will begin to think there is something wrong with the home. Staged homes on the other hand, don’t sit on the market for long at all. Once they are listed, they pretty much draw attention to themselves - resulting in a fast sale.
A staged exterior will also draw viewers. When home buyers first arrive at a home that is up for sale, they instantly make up their mind whether they should get out and look around, or drive off. If the yard is staged with flowers and the yard is manicured and properly taken care of, chances are that buyers will want to see more. If you entice your buyers by showing them how nice the home is outside, they will surely want to know what the home is like on the inside as well.
Once a buyer has stepped inside of the home, he will know within a matter of seconds whether or not he likes the home. To get the buyer’s attention, you’ll need to stage your home to the buyer’s liking. You don’t want the buyer to feel rushed or get the wrong impression, which is why you should always set the stage and entice the buyer to take his time and get a good look at the home.
Staging the living rooms and kitchens will also help to sell the home. Buyers love living rooms, which is why you should always make sure that the living room is the center piece of your home, and decorate it accordingly. Kitchens on the other hand, is where you should really go all out, decorating with fruit and such. You should always make sure that everything is in place as well. Buyers love to see homes that are ready to move into - and not ready to be worked on.
Staged homes will also attract more real estate agents and get more advertising as well. If a real estate agent loves your home, he will want to show it off. If you stage your home, chances are that real estate agents will eat it up. When they do, they will advertise your home more than others, just to get you some deserved attention. This way, you can benefit from a lot of exposure at absolutely no extra cost.
There’s no other way to look at it, other than staged homes sell. They attract more buyers, more real estate agents, and they give people the feeling of home. When you go out of your way to make the buyer feel that your home is his dream home, he will know it. Homes that aren’t staged may sell, although staged homes sell much faster and for more money. If you’ve been looking to sell your home, you should look into staging it and get the ball rolling in the right direction.
Buying Pre Foreclosures
When buying real estate, there are several benefits to pre foreclosures. Although there are several ways that you can buy a home, pre foreclosure is one of the best. Even though it is one of the best ways to buy property, many people miss out simply because they aren’t familiar with pre foreclosures and all of the benefits that come with them.
The best thing about pre foreclosures is the prices that are associated with them. In most cases, the owner has no choice but the sell the house, and therefore will listen to just about any offer that he receives. Due to this very reason, you can find pre foreclosures for sale at nearly 50% off market value. This is an ideal time to purchase, especially if you are looking to save a lot of money.
Along with the great prices you can get with pre foreclosures, you’ll also have the luxury of dealing directly with the owner - no third parties involved. This is a great advantage, with buyers being in total control of pre foreclosure sales. In the event that the home owner decides to turn down your offer and cannot find another buyer, he will lose everything. Even if you offer the owner a small price, he will be able to make a little bit of money selling the home.
You can find pre foreclosures that up for sale pretty much the same way that you can find homes in which the bank already has control of. You can look in the local newspaper, on the Internet, or by calling the lender directly. There are several options that you have in terms of finding pre foreclosures, giving you plenty of options. Once you have found a pre foreclosure for sale, it’s up to you to seal the deal and get the home of your dreams at a very affordable price.
When you compare foreclosed properties with pre foreclosed properties, you’ll find that there is less competition involved with pre foreclosures. Pre foreclosed homes are a great purchase, as they will normally come at a very affordable price. Those of you who have been looking for a new home shouldn’t hesitate to check out pre foreclosed properties. They are a great investment - and can indeed be very profitable in the long run.
Thursday, September 4, 2008
Spanish Investors in Ciudad Vieja
There’s a lot to draw you to Ciudad Vieja, the historic center of Montevideo, Uruguay. Tango clubs, where the singing and dancing goes on until sunrise, will compete for your attention with the symphony performing at the national theater. An open-air artisan market will hope to draw you from the high-end boutiques and art galleries, while tiny cafés—where old men sip cappuccino and argue world events—will be thriving a block from city’s best fine dining. The choices are many, varied, and wonderful.
Long-time readers will remember when we first started talking about Ciudad Vieja back in 2004, identifying the great potential in Uruguay’s capital city. Now, in 2008, the mainstream investor is catching on, and the opportunities are expanding dramatically. And not just for big-time investors, but for anyone who has more than $30,000 to work with.
Leading the pack of buyers are the Spanish, who are staging a virtual invasion. At this time, 50% of the total sales in Ciudad Vieja are to Spanish buyers, according to Isodoro Kosak, a real estate investor and owner of one of the city’s largest real estate companies.
What’s bringing them to Montevideo? The most important motivator is probably the declining real estate market in Spain, which is now forecast to last through 2010 according to a recent newspaper article in El País. Spanish investors are looking for a quality market in which to invest their capital. And they’re picking Montevideo because of its good geographic location and seaport, solid legal system, stable government and predictable “rules of the game.” And, of course, they’re also attracted by the huge inventory of restorable buildings in Ciudad Vieja, as well as the good city services and infrastructure.
But doesn’t this all sound familiar? Aren’t those the qualities we’re all looking for when we buy real estate? In fact, we’ve got a lot in common with the Spanish right now, given the declining real estate market in the U.S.
The name of the game in Ciudad Vieja right now is restoration projects. And the reason it’s a good time to invest is because the entry prices is low…but the cost of the finished product (after refurbishment) has risen substantially. The Spanish are buying primarily to sell into the luxury hotel market or the increasing demand for premium office space…but I personally prefer the opportunities found in restoring homes, condos, and small commercial spaces. Not because it’s a better investment necessarily, but because it suits my personal preference and budget.
Here are a few opportunities that are on the market today:
Kosak (mentioned above) is offering a 1,100-square-foot house with two bedrooms and one bath for an asking price of $30,000. He’s suggesting that it be refitted for use as a store or office. He’s also got a three-story house with a store on the first floor and apartments on the second and third. The asking price for this one is $70,000. For something a bit larger, he lists a house with 30 bedrooms, currently functioning as a hotel, for $150,000. For more info, see www.kosak.com.uy. Remember, these all need work.
Reynolds Properties has a number of buildings in this category, as well. (And Reynolds has an English-speaking staff.) For example, on Calle Cerito it has a three-bedroom, two-bath home selling for just $38,000. A six-bedroom home in the classic old architectural style of Montevideo is going for $145,000. An eight-room house with a marble hallway and terrace located just one block from the river is only $117,000. For more info, check out the site at www.uruguay-real-estate.com.
So whether you prefer opera or tango…the tiny café or the fine restaurant, you’ll find what you’re looking for in Ciudad Vieja. And it’s the same with properties. Whether you’d like to restore a grand, old hotel or fix up a small house to escape to during the North American winter, Ciudad Vieja will have something to offer you.
Lee Harrison
Roving Latin America Editor, International Living
Editor’s Note: Lee will be speaking at the Live and Invest Overseas Conference in Long Beach, California, Oct. 3–5, where he will tell you everything you need to know about living and investing in Uruguay. Follow this link for more information on this event.