Realty Fund Low Cost Houses Foreclosure Homes For Sale For Sale By Owner Misconceptions A Surprising New Trend In The Real Estate Market How To Determine Home Building Costs
Foreign Investment Promotion Board of the government of India has cleared Rs 550 crore India Real Estate Fund. The fund floated by Kotak India Real Estate Fund will be raised in the international market to be invested in the real estate projects in India.
The money will be invested through venture funds in the large projects on a minimum area of 25 acre.It is learnt that even though the domestic equity market has fallen in the last one and a half months, foreign investors are still eager to invest in the real estate market in the country.
The real estate fund will provide an opportunity to the foreign investors to reap benefits from the booming real estate markets in the country. According to one estimate, a direct investment in the real estate market gives a return of over 20% per annum which is very high in the international market.
FIPB has also cleared Rs 22 crore foreign direct investment by IJM corporation of Malaysia to invest in the development of a township in Hyderabad. The Malaysian company will take some stake in a company engaged in the development of township projects.
A number of similar other investments are also waiting for the opportunities to enter in the Indian market. A senior builder said that there was no problem in raising funds from the international markets, but the issue is of getting credible projects to invest.
How do you find low cost houses? Look in the right towns,to begin with. Then you can find the houses you like and make an offer. Where are the right towns?
Altoona, Pennsyvania still had dozens of homes for sale for less than $30,00 as I write this (2005). I just saw one listed for $7,500! This is a cute little town (see the photo on our site), yet still big enough to have everything you need.
Hot Springs, Arkansas has low cost houses. The cheapest right now is $13,500. My wife and I like Alamogordo, New Mexico a lot, and it still has homes under $50,000. Independence, Kansas has homes starting under $10,000!
How To Find Low Cost Houses
You can look up various local newspapers online, and check out the classifieds. This also assures you that it’s a town large enough for a newspaper. If there are at least a dozen houses for sale, you’ll have an idea about home prices there.
You can find real estate agents online, or in local paper classifieds. Call one and ask if there are any low cost houses for sale. If not maybe he’ll know which nearby towns have some.
You can go to www.Realtor.com, where you can search any town for homes listed by price, number of bedrooms, and many other criteria. This tool is a lot of fun. Set the criteria to select only homes under fifty thousand or whatever you want, and you’ll quickly see if you’re wasting your time on a town.
Of course, if you don’t see many low cost houses, you still might be able to get one. When we lived in Anaconda, Montana, where we bought our own beautiful house for $17,500, we watched as a house listed for $18,000 eventually sold for $6,000! Towns that have had some economic troubles often have house selling for far under their listed price. The lesson is clear: make low offers to get low cost houses.
Are you on a small budget, but you want to purchase a home? If you are on a small budget, and you want to get a home, to start living as a family in an area that you love, look towards homes that have recently been foreclosed. A foreclosure is one that someone else has lost. The homeowner may not have been able to keep up on their mortgage payments, and the bank has taken over the property. Banks and financial companies don’t like to hold onto these properties for long, because of the interest, the payments and the money that is being lost over all.
To find a home that has been through foreclosure you can begin your search online or offline. Many links to foreclosure companies and banks are going to offer listings of where foreclosure homes have been located. A foreclosure company is going to offer great rates, and will offer great prices on homes that they want to sell.
While nothing can be done for those who have been through the foreclosure process, and for those who have lost their homes, you can take advantage of the situation. You can purchase home, at a reasonable cost, and create a home for your family.
To purchase a home that has been through foreclosure, the process is going to be very similar to that of any other mortgage. You will have to apply for a mortgage, you will have to pass the background check, and you will be subject to interest costs, and closing costs of the mortgage. A foreclosure home may require some additional legal background work, so you will need to hire an attorney to look out for your best interests.
A foreclosure home is one that has been abandoned because the previous owners could no longer pay for the home. You will find that many types, sizes, and styles of homes are often included on the foreclosure listings by banks. You will find one bedroom homes, two bedrooms homes, rental units, retail and commercial buildings and you will find luxury homes, vacation homes, even mansions included on foreclosure listings.
The home of your dreams could be very affordable if you take the time to look at the foreclosure listings. The foreclosure listings will give you an idea of the city and the state where the home is located, and from there you are often required to contact the bank, the financial company or perhaps a real estate agent as listed, to find out more about the property. The only limitations you will have in purchasing foreclosure homes is going to be your credit limit and where you want to live. Homes from across the nation, from Vegas, California, to Virginia, Florida and in Washington are available for purchase.
With the rising popularity of selling homes by owner, have risen some misconceptions that should be straightened out to clarify the process. The first thing that we should look at is how financing works in the FSBO world. One thing that occurs more often than it should is when buyers think that “for sale by owner” means that the owner is also offering financing. Most of the time this is not the case. This error is usually seen when people with little or damaged credit feel that it is in their best interest to avoid mortgage brokers & realtors. This is a huge mistake as individuals such as mortgage brokers are experienced and trained to deal with these individuals and to help them repair their credit and obtain a favorable mortgage.
Its a good idea to seek out a mortgage company that is experienced, even specializes in the financing of FSBO sales. These companies differ from most mortgage companies in that their services are more comprehensive than most. They have expanded their offerings to include many things not usually covered by traditional mortgage companies such as closing contracts, title issues and inspections. The closing of a home contract is one of the more confusing aspects of the purchase process and should be handled by a trained professional. Also take into account that most mortgage companies rely on realtors to bring them the bulk of their business, therefore they are ill-equipped to provide educated FSBO financing. This is why its good to find a FSBO specialist mortgage company when dealing with someone who is selling their home themselves.
Another misconception deals with the fact that the buyer is saving money by dealing with an FSBO situation. The truth is that usually the seller is the one trying to save money on agent commissions. If they have subtracted the price of the agent from their asking price, it is possible to save some cash.But this is hardly ever the case. Most FSBO sellers are listing their homes at market value as if an agent was selling the home. Then they attempt to do everything themselves and pocket the cash that would normally go to the agent.
If, like most people, you are interested in real estate news and browse the headlines every now and then, chances are you might have read about it already … and in case you haven’t heard about it, then you might be very, very surprised about a new trend that may be contrary to what many people expect …
Firstly, let’s start with a few teaser questions …
Let’s suppose you had a lot of money … hoards of it … in early 2000, and were willing to invest it in real estate.
The question is …
What sort of real estate do you think you would have purchased ?
Would you have purchased single family homes, multi family homes, two bedroom condos, raw land, coastal real estate, luxury homes, or … ?
If you are trying to guess the answer, please do so now before you read the rest of the article
Assuming you have your answer in mind, let’s proceed …
If your answer is been one of single family homes, multi family homes, two bedroom condos then give yourself a pat on the back … you might have made quite a tidy amount of money …
And if your answer is luxury homes, then give yourself two pats on the back, smile the biggest, most pleasant smile you have ever smiled … you might have made well over a million dollars in profits
Luxury Homes are now one of the best performing segments in the real estate market !
And what does that mean ?
Well, you might want to consider this … according to some sources, after a decline of 7.1% in 2001, this segment gained 3.6% in 2002, 0.3% in 2003, 13.7% in 2004, and 13.2% in 2005 …
And just what would that mean in terms of money ?
According to the Prestige Home Index, the price of an average luxury home in California’s Bay Area is now $2.88 million – an increase of $336,000 from the previous year !
And that is more money than what selling several homes profitably might have made !
And just how many people could have foreseen this trend ? Well, your guess maybe as good as anyone else’s in this regard !
While no one may be able to determine how long this trend will continue, there might be several other segments in the real estate market that might perform equally, if not better, in the future.
And one such possible segment may be …
Vacation Real Estate
Another growing trend has been that people young and old have been moving to destinations like the Mexican Riviera, and are either setting up home there or are buying second or third homes there … and gated communities are being set up in areas that were not very long ago petite little villages.
And the result – real estate values not seen before in the area … and the values seem to be increasing too.
And how long will this trend continue ? Again, your guess may be as good as anyone else’s in this regard.
Determining home building costs can be a difficult thing for anybody to do. There are so many factors that go into home building costs that it can often times be a task in itself to even come up with an estimate. But if you know what factors go into home building costs, you will then be able to better estimate your total price.
The first thing to do when trying to estimate home building costs is to find similar houses in the area. Find a home in the same area that has the overall look and size of one that you want to build. By doing this you will then be able to get an overall estimate in no time at all. For example, if the home you are looking at is selling for $200,000, and the cost of the land is $20,000, you then know that the construction of the home cost approximately $180,000. Of course this is not an exact science, but by following this basic rule you will be able to get an estimate of the home building costs.
Home building costs are often times based on features on the interior of the home as well. By simply comparing the exterior size, you will only be able to get a rough estimate. For example, one home may have a completely finished basement, where as the other does not. Even though this may not seem like a big deal, you could be dealing with thousands of dollars.
Also, when figuring out home building costs, keep in mind that there may be a cost overrun. Proper planning can usually make up for this, but just to be safe you may want to put away about 10% in order to ensure that you have the money to cover any overrun.
Every year, home building costs usually increase about 3 to 6%. This is due in part to the cost of land, as well as the cost of labor and materials. You should plan for this in advance as well.
Home building costs can often times be very difficult to pinpoint. By being precise and detail oriented in the planning stages, you will be able to come up with an excellent estimate on your home building costs..
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