Real estate infos

Archive for April, 2009

Fife Property Market In July By Michael Maloco

The WalmingtononSea School of Estate Agency

nbsp;As a child I found Dad’s Army the popular BBC comedy series to be rather dull and a bit old fashioned.nbsp; Monty Python was more my thing.nbsp; However as time has gone by and I myself have become a bit old fashioned I have come to better appreciate the goings on in WalmingtononSea.

It struck me recently in fact that the property market all of a sudden seems to have embraced certain idiosyncrasies of some of its better known characters. Given that the series revolves around a platoon of the Home Guard is I suppose it is in fact quite appropriate.nbsp; On the one hand we have the Private Frazers of this world telling usnbsp;nbsp;nbsp;nbsp;nbsp; We’re doomed I tell ye’ we’re doooomed!nbsp; and on the other there are the Corporal Jones’snbsp; frantically telling us Don’t panic don’t panic.

The fact is that the current market in East Central Scotland is very challenging and certainly the most tricky since the early 90′s.nbsp; That said I would not personally subscribe to either of the aforementioned Frazer or Jonsey schools of thought.nbsp; The property market like most everything else is cyclical and there have always been periods of growth and periods of correction.nbsp; The rate of growth we have seen in the last number of years was unsustainable and being at a rate far in excess of inflationary wage rises meant that first time buyers especially were beginning to struggle to get a toe hold on even the bottom rung of the property ladder.nbsp; Whilst helped by increased income multipliers and larger value loans it was a pretty precarious set up.

The current market is simply a period of correction and we are neither doomed nor do we need to panic.nbsp; There is no room of course for either agent or seller complacency but the market we find ourselves in does in fact present opportunities.nbsp; For the first time in a long time first time buyers are able to take time to look at a number of properties and then most often negotiate a good price without too much fear of crazy competition.nbsp; Whilst mortgages are a little harder come by it is wrong and media hype to over exaggerate this and pretend mortgages have all but dried up.nbsp; Yes it takes longer to arrange a mortgage and there are fewer deals available but there are still plenty of lenders looking to lend.nbsp; The best advice one can offer on this front is seek early advice from an independent financial advisor.

For those moving up the ladder the fact that prices are dropping slightly is in fact excellent news as the gap between what one sells at and what one buys at is decreasing. Sceptical?nbsp;

Let’s take a quick example:

A rising market scenario You sell at pound;110 000 being 10 over your asking price.nbsp; You offer on a property marketed at pound;150 000 and pay a similar 10 premium securing it at pound;165 000.nbsp; The gap between your sale and purchase is pound;55 000.nbsp;nbsp;

Now lets look at the flip side…

A falling market nbsp; You sell at pound;90 000 10 below your asking price.nbsp; The property being sold at pound;150 000 is similarly afflicted by the slight downturn and you secure it for 10 below at pound;135 000.nbsp; Your funding gap is now only pound;45 000.nbsp; pound;10 000 less perhaps on your mortgage and a significant monthly saving.

Prices have indeed edged back a little on last year and a typical one bed flat now being available in the Dunfermline area fornbsp;pound;70 80 000.nbsp; A good 3 bed semi can be had for circa. pound;125 000 pound;150 000 and 4 bed detached home will fetch anywhere between pound;175 pound;250 000 dependant upon type and location.

In these tougher conditions pricing is key and it is best for now to put last year’s figures out of mind. What a neighbour sold for even four months ago is likely to be very difficult to achieve today.nbsp; A good agent will always keep his client abreast of these things and I would urge that their advice be taken.nbsp; In a buyers’ market price can be key and along with other potential incentives and presentation of your home this can make all the difference between selling and stalling.

My advice?nbsp; Stay calm; we’re not doomed don’t panic.nbsp; Be realistic and arm yourself with good professional advisors.nbsp; Listen to their advice and don’t put your life on hold.nbsp; Remember there is more mileage in negative comment for the media and they are slow to look at the updside.nbsp; Whilst the market is quieter opportunities are out there.nbsp;

Believe me I’m a solicitor so no cries of who do you think you are kidding Mr. Maloco…nbsp;

About the writer:  http://www.housespotters.com

Fha Mortgages

FHA mortgages have a reputation as being the way to go for firsttime home buyers with little money to put down.In fact FHA mortgages are that but they are also much more and the FHA mortgage program is not just for the first time buyers. Learn about FHA mortgages to see if there is a place where you might fit into the FHA loan program.
The FHA Mortgage Program
The FHA mortgage program was developed to help more Americans be home owners; it was not specifically designed as a path to home ownership strictly for the young but by default at times it has effectively been that because younger people are statistically more likely to have little savings and credit history. In the world of traditional home financing this would either set such a person up for denial or for unfavorable home loan terms.
It is well known that having a limited credit history and/or little money down usually equates to higher interest rates. But with the backing of the FHA loan program a personyoung or oldwith good but possibly limited credit and little to put down on a home can fare very well.
With FHA mortgages the FHA mortgage funding is insured by the federal government.This makes it less risky for the lender to lose in the end because that lender will recoup any loss from the government.This means that the FHA lender does not have to try to cover potential losses ahead of time and so they can offer the terms on the loan that the credit rating and income of the borrower
would dictate.
Types Of FHA Mortgage Programs
FHA mortgage programs exist in the same forms that most home loans do. Terms may vary according to length like a normal mortgage does 10 15 30 year and by rate amount and type fixed adjustable.
The rates and limits set on FHA mortgages are varied according to location; the FHA does set limits on the size of a loan and these are determined based on where the home is. There are also a few limits set on the condition of the home and so on but the FHA is fairly liberal and most types of homes including condominiums and manufactured homes can qualify for an FHA mortgage.
In addition to the FHA mortgage programs offered for purchases there are also options for FHA refinancing. These apply mostly to current FHA mortgage holders allowing them to refinance FHA loans into more favorable terms. However there are provisions for older home owners which allow them to take advantage of FHA refinancing to secure reverse mortgages which help pay expenses in retirement; for this FHArefinancing option the home does not need to be currently financed with an FHA mortgage.
There is a lot of FHA loan information available to potential borrowers and people interested in FHA refinancing. To get the most accurate and updated FHA loan information because FHA mortgage programs and guidelines can change from year to year talk to an expert with a long history of dealing in FHA mortgage programs. An FHA expert will have the FHA loan information you need and the expertise to work within the guidelines of the FHA to get you into a lowcost FHA mortgage.

About the writer:  This article is provided by Access National Mortgage based in Denver Colorado. Access National Mortgage provides progressive and superior financial solutions like a New Mexico FHA Loan Application a Wyoming FHA Mortgage Calculator debt consolidation loans information about California FHA refinance benefits and whole host of other mortgage products all across the United States.

Falling Property Prices Worldwide Epidemic

Recent research from varying organizations around the world shows an alarming drop in property prices not just in certain countries but around the world. Current economic troubles aren’t countrybased. Larger suburban areas seem to be taking the brunt of the decrease in property prices. Small communities and rural areas are also feeling the crunch of the widespread decline. Some attribute the decrease in property prices to the decrease in the number of people buying new homes. For many people worldwide failing economies are making it more costeffective to rent in lieu of buying a home townhouse or condominium.

Spanish Property Prices

The Spanish housing market has reported a decline of up to 30 percent. The Don Piso real estate company closed 120 of its offices in May 2008. Along with the closure of 120 of its offices about 350 jobs were lost. The agency had seen a 66 percent decline in sales over the past year. According to Juan Carlos Sandoval President of the Union de Creditos Inmobiliarios UCI some areas of Spain have seen a housing price decrease of 30 percent over the past year.

The Canary Islands are also seeing a decline in property prices. On the south and southeast sides of the island property prices have fallen almost 3.5 percent. In the metro areas of Tegueste Santa Cruz La Laguna and El Rosario prices have fallen more than 3.25 percent. After taking inflation into account the southern part of the island has seen price decreases of 5.6 percent while the north and metro areas have fallen 4.7 percent and 5.4 percent respectively. John Gardner of Value It stated “These are averages for these regions and are based upon a survey of 6250 properties for sale.” He explains further that some areas have seen more drastic price declines than others especially when inflation is taken into consideration.

U.S. Property Prices

Virginia and the Washington D.C. Metropolitan area are experiencing price falls of up to 8 percent. Loudoun County property prices have seen the largest decrease at 8 percent with Prince William County not far behind at 5 percent. California Florida and Arizona report similar decreases in property prices.

To the dismay of many Brits Florida’s housing market is also consecutively on the decline. In 2006 Florida’s housing market was one of the highest in the United States. Many Brits bought unfinished apartments and condominiums expecting to sell them when construction was complete. Unfortunately the Florida real estate market is now saturated with older condominiums and less pricey apartments leaving a good number of investors with investment properties that they cannot sell.

U.K. Property Prices

For the ninth consecutive month surveyors reported property price decreases in the United Kingdom. In March 2008 79.4 percent of surveyors from the Royal Institution of Chartered Surveyors RICS reported a drop in home prices. The same report for April 2008 showed 95.1 percent of surveyors saw decreases in home prices. Price declines have reportedly spread to all regions in the U.K.

“The scale of house price falls remains relatively small at this stage compared to past downturns” RICS said. “The lack of new instructions to sell property continues to provide a crutch to the market. Large numbers of distress sales either repossessions or sales from those attempting to avoid the repossession process have not yet appeared in the market place and while mortgage arrears remain low and the employment situation remains strong the lack of supply will continue to prevent large declines.”

Potentially Good News for Investors

Current price falls are causing lenders to rethink their strategies. In the U.K. predictions indicate that half the country will be hit by the price fall within 18 months. Banks and lenders are considering lowering interest rates by as much as .25 percent lowering the amount of certain credit lines and reconsidering which customers they will accept.

The decrease in the price of property worldwide could mean good news for investors. The ability to buy properties at belowvalue prices could give the real estate investor an edge when the housing market does get back on its usual track.

Value It representative John Gardner said “The answer for people looking to buy in Tenerife is through research and knowing the pricing trends in the areas and for property types. There is no substitute if you want to buy well and protect your investment.”

The same is true in other areas of the world not just Tenerife. Real estate investors make their money buying low and selling higher.

About the writer:nbsp;nbsp;More information about the island of Tenerife can be found at yourtenerife.net including reviews of hotels in TenerifeOther information includes today’s Tenerife weather and an extended Tenerife weather forecast plus cheap flight to Tenerife deals