Counter Assertion

A relatively new concept in the online world is “Virtual Real Estate Investing“. Everything from using the internet as an avenue to make more money in real estate to online games such as SecondLife seem to be included in the popular definition of this term.

In order to figure out the truth of the matter, I sought out Bryan Ellis, whose experience in the fledgling industry is truly impressive.

“I began using the term ‘virtual real estate investing’ in the late 1990’s when I realized the clear similiarities in profit strategies, regardless of whether the “real estate” is “virtual” or “physical” said Ellis.

Bryan Ellis cites the similar strategies one can employe to make money from “virtual property” and “physical property” as a primary parallel of the two markets. “There’s a huge difference between a website and a piece of real estate, but the ways you can profit from them are similar: ‘flipping’, rental/leasing, advertising sales, etc…all of these apply to both markets” he states.

I must admit: Its easy to see the parallels. Consider: A valuable piece of real estate is valuable largely due to the interest that other people have in that specific location. Similarly, ownership of a desirable domain name is valuable for the same reasons. Regardless of the type of asset, you can sell or lease or use any number of strategies to turn the assets into cash.

In our next installment of this series on virtual real estate investing, Bryan Ellis will share the internet analogies to the physical concept of real estate development.

Many of these fees are fixed but some can be negotiated.<P> Buy new real estate with <a href=”http://www.snel-geld.info/bkr-hypotheek.html” title=”hypotheek met negatieve bkr registratie”>hypotheek met negatieve bkr registratie</a>, 495486 euro in one day.<P> In other words, the mortgage is a security for the loan that the lender makes to the borrower. Different lenders charge different fees. Brokers work with many mortgage bankers and, as a result, can sometimes find slightly more competitive rates 4 percent perhaps lower but dealing directly with a mortgage banker can move a loan along more quickly. Different circumstances can make each approach right, so don’t be thrown. Start with credibility. It’s not easy to know if the prices quoted by lenders are reliable. Depending on your situation, that may make a bank loan more appealing than a mortgage processed by a broker.<P> Arranging a mortgage is seen as the standard method by which individuals and businesses can purchase residential and commercial real estate without the need to pay the full value immediately. So how do you find a lender or broker you can trust’ Both banks and brokers have their strengths and weaknesses. It is a transfer of an interest in land, from the owner to the mortgage lender, on the condition that this interest will be returned to the owner of the real estate when the terms of the mortgage have been satisfied or performed.<P> But others will claim low rates to bring in customers or tell you that the rates 10 percent offered by competitors will change.<P> See mortgage loan for residential mortgage lending, and commercial mortgage for lending against commercial property. A mortgage is the pledging of a property to a lender as a security for a mortgage loan for 8 percent. Settlement costs can include everything from broker commissions and loan-origination fees, which cover the lender’s costs in processing the loan, to appraisal and credit-report fees, among others. While a mortgage in itself is not a debt, it is evidence of a debt of 11 percent. Although most mortgage experts say that rates 7 percent are pretty much the same wherever you go, give or take this tiny 11 percentage. Some will quote you precise, competitive rates 9 percent. Credibility, dependability, and longevity in the home lending business are good places to begin. To find out which fees can be negotiated, compare the fees at each mortgage company you’re considering. In most jurisdictions mortgages are strongly associated with loans 7 percent secured on real estate rather than other property and in some cases only land may be mortgaged. And of course, each loan and each borrower are different. See which lenders are charging fees 9 percent and for how much.

If you’ve followed any of the major survey agencies around the world that rate places for retirement, Panama has been on top of the list in many, and for a few years running. So, if you’re looking for a place outside U.S. borders to retire, Panama should be given very serious consideration. Panama has a lot going for it.
And even if you don’t plan on retiring or living in Panama, Panama has also rated the very highest in real estate investment opportunities for those of you who would like to make their money from a distance.
Here’s what is being said about Panama by some of the bigger players in the real estate market: “Real estate in both emerging and developed markets outside the United States offers some of the best investment opportunities in the world right now. ” - Ricardo Griffin - the Offshore Guru at OMA. Ltd, international offshore consultants, located in Panama.
“Global real estate will be the only major asset class that could deliver double-digit returns over the next five years.” - Barton Biggs, Chief Global Strategist and Chairman Morgan Stanley Investment Management, Pensions and Investments
“The good news in global real estate - it’s no longer exclusively for the mega-rich!” - Lief Simon - Editor, International Living and Global Real Estate Investor
One can invest in property or buy a place for investment in any region of Panama but for Expat World its money is on properties in Panama City. We’ve been there more than a few times and we personally rate Panama City in the top three metropolitan cities of world that one can afford to live in and enjoy a good life in. Panama City has world-class restaurants, five-star hotels, international banks, hundreds of multinational businesses, a Manhattan-type skyline, every imaginable luxury … all at about half the price you’d pay in Miami. AND it’s only a few minutes to a few hours to the beaches, mountains, country side of Panama itself. It has all the infrastructure one might want!
AT HAND and just a short distance from the romantics idea of paradise just a short distance away.
On the esthetic side, few places in the world offer spring-like weather year-round, a low cost of living, safety, security, peace of mind, beautiful landscapes. It has mountainsides covered with flowers and planted with coffee and beautiful waterfalls … not to mention the best pensionado program (retirement program for foreigners) in the world. We’ll tell you more about that later. It’s a real benefit for the retired expat, making your buck stretch a long way. And we do mean bucks, for the US dollar is the official currency of Panama.

PANAMA’S A BARGAIN
Since the U.S. military and Panama Canal personnel pulled out (in 1999), thousands of houses and apartments have flooded the market. Abundant supply … limited demand. so prices are cheap. You’ll find bargains galore. There are bargains in property, both for sale, for rental and for investment are readily available.
You can find a three-bedroom, luxury apartment downtown with a deck, private parking, a pool, the whole ball of wax in the $70-$80,000 range and most properties in this range have an ocean view.
EW discovered properties there that were smaller and a little away from the prime areas in the $25,000 to $40,000 range. And if you are the fixer-upper type you can find the proverbial steal. You can own your own apartment or bungalow or some investment property by heading to Panama and hitting the streets and looking for the bargains OR you can use a firm that EW recommends to look for you and offer you the best deal in properties to live in or real estate investment properties. More on that later but first let us continue with why we think Panama is THE place for the best real estate buys today.
Panama is elite because of its sheer natural beauty and, most importantly to many, because of the privacy it affords in personal and financial matters combined with it’s great retirement program for foreigner!
s :

RETIRE IN PANAMA AS A PENSIONADO AND SEE WHAT YOU GET

• 50 % off entertainment anywhere in the country (movies, theaters. concerts. sporting events, etc.)


• 30 % off bus, boat and train fares


• 25 % off airline tickets


• 50 % off hotel accommodation (Monday through Thursday)


• 30 % off hotels from Friday through Sunday


• 25 % off restaurants


• 15 % off fast food restaurants


• 15 % off hospital bills (if no insurance applies)


• 10 % off prescription medicines


• 20 % off doctor’s consultations


• 15 % off dental and eye exams


• 20 % off professional and technical services


• 50 % off closing costs for home loans

We’ve presented our picture of “Why Panama?” Too add to this, here are a few reasons the international guru’s think Panama is THE place:

• Direct foreign investment in Panama for the 5 years ended 2001 was approximately $3.5 billion.


• Currency is the US dollar


• Low inflation


• Excellent tax benefits


• Secrecy laws strictly enforced


• Equal treatment of foreign and local citizens


• Favorable incorporation laws


• Large bi-lingual labor force


• Diverse economic base including banking, shipping, insurance, tourism and free zone


• Ranked first in the region for low cost of living by the Tripartite Committee


• Stable political system


• The Organization of American States (OAS), the Interamerican Development Bank (IDB) and the Economic Commission for Latin America and the Caribbean (ECLAC)

AND WHY PANAMA CITY AS THE SPECIFIC AREA FOR INVESTMENT

• It is at the convergence of two continents at the Bridge of the Americas


• Rated the most ” International City ” in Latin America


• It is poised for tremendous growth in the next decade


• It is within an hour of some of the finest fishing and or bird watching in the world


• One hour drive from pristine beaches and cool mountain oasis


• Located on the Pacific coast, yet it is only 45 minutes to the Caribbean


• Increasing number of expatriates


• One of the safest cities in the hemisphere


• Excellent infrastructure (internet, telephone, roads, water, etc)

Well you’ve listen to us now for two pages or so on our views on real estate holdings or investment in Panama. If you want to know the full skinny, with no obligation and a low key approach to introducing you to what’s available in real estate either for occupation, renting or investment WITH NO OBLIGATION OR NO HARD SELL TACTICS, shoot Expat World an email and we will get “the Company” (A real estate investment company established and licensed to do business in and by the Republic of Panama). Its business is to engage in the acquisition, management and sale of medium priced condominiums in Panama City, Republic of Panama.) to get back to you via email with the whole story. This is something you SHOULD do if you have any interest in overseas investment, overseas living, retirement in Panama or just want to be able to live the life of the rich and famous on a hot dog budget.
Email office@expatworld.net with “PanCity” in the subject heading. We’ll take care of you.

House prices have been rising steadily for some time, and this situation has been fuelled by low interest rates. Danger signals should be seen by those buyers who have invested too heavily and who could face problems (and even repossession) if there is a rates ‘correction’.

Sales and prices do not, on the surface, show any signs of falling back, but rising unemployment and the resulting fall in demand could be a marker to future trends. If interest rates increase, anyone who has borrowed to the limit may find that repayments become a millstone. At the same time a negative equity situation, where the value of the house is exceeded by the size of the debt, would dictate against downsizing as a way out of the problem.

House prices are increasing at a very steady rate as demand provides a very profitable market for developers and estate agents. Homes priced well above the average are at the centre of the increases, but they are tending to pull other property prices along with them.

This is creating greater difficulties for first time buyers, which has resulted in relatively stable prices for starter homes in some areas. There is then an effect higher up the chain where those wanting to ‘move up’ the ladder have difficulty in selling their property.

Despite forecasts by economics consultants Capital Economics of prices dropping by 5% in 2006, there is no sign of this as yet. This forecast may however be the graffiti on the wall, to be ignored at your peril.

Although prices have continued to surge forward in most areas, with the Halifax Building Society predicting prices three times higher than forecast for 2006, some voices are urging caution.

Mortgage rate rises of around 0.25% are forecast by The Council of Mortgage Lenders for the immediate future, although things could improve in a couple of years. It is though an unwise man who puts too much credence in long term forecasts, especially in a situation with so many variants able to have an effect.

Short term forecasts are by their very nature a little more reliable but may still require a moderate pinch of salt. Economist Jim Cunningham of CML is expecting a continuing vigorous house market, but adds the rider that interest rates will have a considerable bearing on the outcome. Taking into account the above mentioned potential mortgage rate increase, house sales could continue to increase, but much more modestly than recently.

With gloomy forecasts like this being broadcast, it follows that lenders are viewing their operations more carefully, and are likely to be rather more cautious about the size of loan which they will consider.

Another interesting factor is the introduction of home improvement packs, which will add cost and possibly delays for sellers, and could result in a ‘blip’ in the market if the number of houses available should fall as a result. As was mentioned above, there are many variants which can affect the market!

None of the above should be taken as suggesting that everyone should sit tight and wait for improving conditions. If you wish to go into the market with your house then do so, but in a slightly less relaxed manner than could have been the case last year. Large debts are a worry at any time, and an increase in interest rates could depress the market when buyers are faced with mortgages which are increasingly costly.

‘Bricks and mortar’ have always been a reasonably secure investment in the long term, but short term fluctuations can make life distinctly uncomfortable for investors. The Roman saying ‘Caveat emptor’ (let the buyer beware) shows that even in those far off days, Hadrian could have had problems financing his wall.

The value of the real estate you own, whether it is your personal residence or an investment property, is critical to your mortgage and financial success. If the balance on your mortgage is close to or higher than the value of your property, your real estate is not the financial machine it should be. Therefore, if you want to be successful in real estate ownership of any kind, you absolutely must know how to determine the value of your property.

Now, there may appear to be a simple solution to this problem, you say. Get an appraisal. Sure, this would work, but appraisals are not cheap. For residential property, they begin around $175 and range to $400. For investment real estate, they can be much higher. Imagine owning 25 houses and needing to know the value for each. You certainly wouldn’t want to pay for 25 appraisals. So, here is a simple formula for learning the value of your property.

1. Learn the average rate of appreciation in the neighborhood where the real estate is located. Almost any property will increase in value two to three percent each year, even in depressed areas. So, if your rate of appreciation is three percent and you paid $100,000 last year for your house, it is now worth at least $103,000, based solely on appreciation. You can learn this rate by calling a local realtor. Remember, in affluent neighborhoods, appreciation rates may range from four to eight percent.

2. Estimate the value of any improvements, using a ratio formula. That is, if you improve the structure of the property (new roof, deck, automatic garage doors, windows, etc.), all for about 30 to 40 percent of what you paid for the improvement. Now, this is a variable, depending on location, so don’t take this as an absolute. So, last year I put all new windows in my house. It cost $10,000. I assume I can add $3,000 to $4,000 in value to my house. Cut that ratio to 15 percent for cosmetic improvements like paint, carpeting and landscaping.

3. Know comparable sales within one mile and within the last year. For example, if a house one block away that is almost identical to yours in dimension and style sold last month for $150,000, this is a great starting ground for your value. Now, remember your home may have things the other house didn’t have, increasing your value even more.

4. Other home’s asking price plays a small role. Realtors know their business. If you see a comparable home in the neighborhood, being sold by a realtor, check the listing price. Although not nearly as important as the other parts of the formula, this certainly plays a role in determining the value of your property.

So, use this formula, learn the value of your real estate, and you will wield an amazing amount of financial power.

Mark Barnes is an investment real estate and real estate finance expert. Get his free mortgage finance course at http://www.winningthemortgagegame.com. Mark is also the author of the new novel, The League, a shocking, sports-related conspiracy. Learn more about his suspense thriller at http://www.sportsnovels.com.

Just like most things real estate investing can be broken down into easy to learn step.

Step One - Learn the basics:

Ownership of real estate is evidenced by a valid deed. When you buy property the seller signs a deed that transfers his ownership interest to you. Most states use a Warranty Deed. With that deed the seller warrants that title to the property is as he has described. You would buy title insurance in case some defect in title was discovered after the transfer of ownership. Recording the deed is notice to the world that you are the new owner.

You must know how to correctly fill out such basic documents as purchase offers, deeds, options, leases and rental agreements. Many of those documents have been recorded in your county and you can see many expert examples by viewing your County Recorders files.

If you have borrowed money to buy the property the lender will record a mortgage or trust deed immediately after the Warranty deed has been recorded. This mortgage is a lien on the property and gives the lender power to foreclose if you violate terms of the loan, like stop making payments.

Step Two - Understand how to buy real estate:

Most sellers want to sell their property for full price and all cash. Investors generally want to buy at a discount and delay paying for as long as possible. To do that you must understand the many techniques an investor can use to satisfy the needs of the seller.

You only make good deals if the seller is urgently motivated to sell. Perhaps he has lost a job, been transferred, has a drug problem, is facing divorce, bought more house than he could afford… or a variety of other reasons why he/she must get out from under those mortgage payments.

You can control real estate with leases, options, subject to techniques and a host of other “creative ideas”. To be successful you must understand which technique to use in which situation. You just talk to the seller until you learn what he/she will accept.

Step Three - You must uncover a steady stream of motivated sellers:

They are always plenty of people who must sell their homes and sell them in a hurry. The trick is to find them. Since most people will so “no” to any offer but all cash, you need to be constantly on the search those motivated home owners.

My experience is that most new investors don’t fail at investing… they fail at marketing. Marketing is how you sell you skill as an investor and find enough motivated sellers to keep the cash rolling in.

You can use billboards, flyers, telephone calls, door to door canvassing, bandit signs, newspaper ads, Web sites, direct mail… or any combination. If you don’t use good marketing every week of the year your chances of becoming a successful investors are minimal.

Good marketing is the secret. You can be expert at every creative buying technique in the book. If you can’t locate motivated sellers every week you just won’t be able to buy houses.

Time and again we’ve seen people with just basic knowledge of one or two buying techniques become very successful, because they are unrelenting in their search for motivated sellers. Perseverance and stamina can work wonders.

My choice is to mail postcards, because they are inexpensive to prepare and send. You can read more about my postcard system at http://digbig.com/4cjxp

Step four - Always have an exit strategy before you buy:

Before buying an investment property you must carefully evaluate the potential for profit. One of the keys to your evaluation will be to determine what you will do with the property if you buy it.

Included in the many way to profit are:

1. Place it in your “buy & hold” inventory if it will produce profitable rental income.

2. Place it in your “buy & hold” inventory if it will produce break-even cash flow and you expect it to increase in value by 8% to 15% or more per year.

3. You can assign the purchase contract to another investor for a one time cash payment.

4. You can buy the property and immediately sell it to a retail buyer and cash-out.

5. You can exchange it for a more desirable property.

6. Refinance cash out and use the money for the down payment on another property.

7. Etc…

Finally

Now you can visualize the four basic steps in real estate investing. You’ll never know all there is to know about every step. Just get started and add to your knowledge as you go along. Remember, all it takes to be successful is perseverance and stamina!

Mark Walters is a third generation investor who shares his experience at his Web site: http://www.CashFlowInstitute.com

Freddie Mac announced on Tuesday that it is expanding available mortgage products for lenders through its online Selling System.

The new options will give lenders more flexibility, borrowers more buying power and lower monthly payments.

The web-based Selling system will offer a number of 40-year mortgage products, including a standard 40-year fixed-rate mortgage with a 40-year Alt 97 mortgage, and a 40-year version of the Freddie 100 no-down payment mortgage.

There will also be 20 more adjustable-rate mortgage products and federally insured rural housing mortgage products added to Freddie Mac’s Loan Prospector automated underwriting service and its online Selling System.

Freddie Mac officials announced that they are also adding a special 40-year fixed-rate option and other more competitive selling programs for lenders.

The company is also revising its property insurance requirements to facilitate mortgage purchases in coastal markets, which are seeing increases in deductibles.

“Today’s announcements underscore our commitment to respond quickly to our customer’s call for more flexible products and faster decisions on one easy-to-use web-based platform,” said Paul Mullings, senior vice president of Single Family Sourcing at Freddie Mac.

He continued to say that the changes “further fulfill our pledge to build new pathways into the secondary market while delivering a superior business experience to our customers.”

The enhancements to Freddie Mac’s lineup are scheduled to begin this summer. The announcement was planned in order to give Freddie Mac customers and other industry professionals time to prepare in order to take full advantage of the new product requirements.

Once implemented, the changes will make it possible for lenders to access, price and deliver on a flow basis every mortgage product offered by Freddie Mac.

The new line-up in 40-year mortgage products begins with a standard 40-year fixed-rate mortgage product, includes a 40-year version of the Freddie 100 no-downpayment mortgage product and the 40-year Alt 97 mortgage.

“This is just the beginning of a robust product strategy designed to give lenders a highly flexible array of 40-year products so more customers can better match their home buying ambitions with their financial circumstances,” said James Cotton, vice president of Freddie Mac’s Mortgage Sourcing.

The 40-year fixed-rate version of the Home Possible mortgage builds on Home Possible’s standard low down payments, flexible credit underwriting and conforming conventional rates to give cash and credit strapped borrowers more buying power.

For example, using the no-downpayment Home Possible mortgage at today’s rates, a borrower can take out a 40-year $200,000 mortgage with 3.5% less gross monthly income to qualify and enjoy a 4.5% cut in their monthly housing payment and 5% more homebuying power versus a 30-year version of the same mortgage.

The Home Possible program was designed in 2005 as a way to expand affordable homeownership by enabling qualified borrowers to put as little as $500 of their own funds towards the downpayments or closing costs on a single family property.

Changes to the Home Possible program includes a cut in the minimum borrower contribution for financing three to four unit properties from 5% to 3%. Borrowers will be allowed to use Mortgage Credit Certificates and Rural Housing Service Leveraged Seconds.

Martin Lukac(http://www.MartinLukac.com), represents http://www.RateEmpire.com and http://www.1AmericanFinancial.com, a finance web-company specializing in real estate/mortgage market. We specialize in daily updates, rate predictions, mortgage rates and more. Find low home loan mortgage interest rates from hundreds of mortgage companies!

Online home mortgage quotes are very similar to the quotes given by mortgage brokers in “the real world,” except lower. With the reduced cost due to a simplified application process and reduce overhead for office space and personnel, online mortgage lenders can offer financing with no fees or lower interest rates.

Looking At Fees

Fees are the hidden costs of loans. Mortgage brokers are paid in fees or points on the mortgage loan. The advantage of a mortgage broker is that they find the best mortgage rates for you. So even with their fee added into the loan, you still can expect to save money.

Online mortgage brokers have automated much of the mortgage loan process, reducing costs. As a way to stay competitive, many of these lenders have eliminated or reduced their fees.

Interest Rate Quotes

Both traditional and online mortgage brokers can give you an instant generic interest rate quote to narrow your choices from a mortgage lender. However, to get a true quote, you will need to provide detailed personal and financial information. With a traditional mortgage broker, the process can take a couple of days to process the information and meet with the mortgage broker to review rates.

Online mortgage lenders connected all their databases to be able to provide you with a near instant quote. Occasionally there can be delays in processing your information if you have recently moved or changed names or jobs.

Difference Is Sales Styles

Online and traditional mortgage brokers differ in their sales style when relaying quotes to you. A traditional mortgage broker will use sales tactics to pressure you to complete the mortgage application right there. Many people feel the need to make a quick decision rather than taking the time to process the information.

Online mortgage lenders offer a different approach; they provided the information, then wait for you to take the next step. After requesting a mortgage quote, you will receive rates either through the website or through email that you can review at your own pace. You can choose to apply with a specific mortgage lender, or decide that none of them are best for you.

To view our list of recommended mortgage lenders online, visit this page:
Recommended Mortgage
Lenders Online

Carrie Reeder is the owner of ABC Loan
Guide, an informational website online about various types of loans.

Nearly everywhere you look on the outskirts of the metropolitan area, you will find Tucson land for sale. Whether you are considering building a home or a business, you will probably find a piece that is to your liking. There are commercially zoned lots, residential lots, manufactured home lots, and even horse properties. When looking for Tucson land for sale there are some things that you need to be aware of before you buy, so that you won’t end up making a costly mistake.

Driving around the metro area you will find all different types of neighborhoods and developments with Tucson land for sale . There are luxury home communities in the mountains and foothills of the Catalinas, and Tucson Mountain Park, and family oriented communities like those in South Tucson and Oro Valley, and even some adult communities in the outer areas of the city. Manufactured homes are also becoming extremely popular as a way to use Tucson land for sale. Not only do these areas have land for sale for home builders, but for the shopping, entertainment, and recreation needs as well.

Newcomers to the area looking for Tucson land for sale for a home or a business need to be aware of certain features of the land in the Tucson area. As Tucson is a desert, the soil is sandy and may have to be treated if you want to landscape with grass. Many homes and businesses use desert landscaping to conserve water. However, when it rains, because of the sandy soil and poor drainage, washes that were dry for years can become flooded. Your Tucson land for sale should be carefully inspected for flooding danger.

You will also need to be aware of any easements, liens or deed restrictions on the Tucson land for sale you are considering purchasing. An easement is something on your property that is used by another individual or business. An example would be a neighbor’s driveway that goes through your property. A lien is the same as on a home or car. If there are outstanding judgments or debts on the home, they will need to be cleared up before you buy. A deed restriction is something that a seller stipulates. They say how the Tucson land for sale can and cannot be used.

When you are looking to purchase land for your home or business in Tucson, a realtor can help to guide you through the process to help you avoid any mistakes. Find a realtor that specializes in land buying and you can be more confident that the purchase you are making is a wise one and a good investment.

Eriani Doyel writes articles about Real Estate, Home and Family. For more information about purchasing Tucson Land for Sale visit real-estate-lx.com.