jump to navigation

Get Your Loan Pre-approved And Pre-qualified With These Simple Steps April 15, 2009

Posted by minnesotarealty in MN Realty.
Tags: ,
comments closed

Making the right decisions particularly on the loan amount matters a lot when it comes to buying your desired Minnesota property. But first, you must consider the fact that purchasing a new home requires prequalification and preapproval, and you actually need to have your credit report checked out. A detailed inspection of your financial circumstance or credit report may be done by a prospective lender while you go through the processes in prequalification and preapproval, but at the same time – you may want to check your credit report for errors from a credit bureau, for free.

There are cases when errors or mistakes happen and if this is the situation, better have your records cleared up, likewise, compile all your communications with credit bureaus and lenders as references. If you have finished all these tasks, its time to factor in this important ideas and tips in the loan prequalification and preapproval for you to buy your new property:

1. Check the different mortgage programs through the Internet. You can find several loan packages and compilation of the latest interest rates through websites like LendingTree.com and Bankrate.com. Examine these options in the Internet and if you want to have a preliminary review – you can give your personal details. As soon as you have forwarded all the necessary information, a representative will contact and guide you for the remaining steps to follow.

2. Visit and seek the help of your local bank. The best authority from your area bank to ask help from are mortgage officers in case you want to get a prequalification letter or preapproval status. This may take some time to accomplish compared to the online process, according to Ilyce Glink, author of ‘100 Questions Every First Time Home Buyer Should Ask’. But if you are the type of person who find it easier to get things started going to the bank and talk to a representative in person, this may be what you need. The same kind of service is provided.

3. Dial the telephone. Another option you may try is transact your loan prequalification over the telephone, instead of online or bank methods. Some lenders offer this kind of service and all you have to do is ask the local bank for the number so you can give or submit your personal details through the phone.

4. Engage the service of a national lender. These lending companies may provide you a wider array of options than that of a bank or online processes; examples of national lending institutions are Countryside Home Loans and Bank of America. Know more about the current rates in their website and get your home loan pre-qualified after sending your personal information.

5. Visit an aggregator website. This type of online resource provides documents on rates and services offered by different lenders and a good option where you can submit your personal information instead of a bank or any other financial institutions. Several options are available for you to choose from after you have submitted your info.

Getting prequalified and preapproved for a home loan is the first important step in home buying. Use any of the above resources to get the process started and get the best rates for your future mortgage.


Choose your Minnesota home investment wisely April 15, 2008

Posted by minnesotarealty in Minnesota Homes for Sale.
Tags: , ,
comments closed

Investing in a Minnesota home can be seen as a difficult subject, however that is only since there are so many choices. As an investor, you have an almost unlimited array of ways to make money. But that means that you must be able to to choose wisely. You have to choose the extent to which you’ll educate yourself regarding each facet of real estate investing, who you want on your team of experts, where to seek properties, whether or not a particular property is the right one for you – and on and on.

One decision you will inevitably face is how you will use a piece of property once you have bought it. You may not be the type of real estate investor who wants to buy a piece of property and hold on to it for an extended period of time. You may not want to have to deal with renters and property managers or to see to the maintenance of a piece of real estate. If you don’t see these sorts of activities as appealing in the slightest, your other option is flipping.

Flipping a property is simply the practice of selling it immediately after you buy it, often at the same closing. At the very latest, flippers generally start setting up a sale on a property the same day that he or she purchases it. Some flippers will even start the process before they own the property, which is risky business. However one goes about doing this, flipping inevitably involves a mad rush to the auction block, since a vacant property is always a liability.

However, when you hold a piece of property, you are afforded the opportunity to increase that property’s worth. If you manage to find a great deal, the price you paid for it will likely represent only a drop in the bucket compared to what you can potentially make from it. And when you do decide to sell it, you’ll be able to do so at your convenience and get more than you would have by flipping.

This is true particularly if the property is a multi-family residence like a high rise apartment. If it is a good property in a good location, and you take care of it, chances are that occupancy is going to stay high. With a property like that, your earnings tend to increase exponentially. If you manage your property well, this is almost assured.

On the topic of management, you’ll need to decide between performing that function yourself and hiring a management company to do that for you. If you are the owner of a particularly large piece of property, or if you own many pieces of property, you will probably want to employ a property manager. Ken McElroy, author of “The ABCs of Real Estate Investing,” advises that you employ a property management company so that your talents and your time will be used more efficiently elsewhere.

These are the types of things you will have to consider as a property owner.

In the end, however, whether you choose to flip a property or hold it depends on what you’d rather spend your time doing. Perhaps you thrive on the fast paced work that flipping entails. Perhaps the adrenaline rush feels exciting to you. In that case, you ought to learn the proper way to flip properties (which is to wait till you actually own a property to arrange a sale and don’t approach buyers at the very closing where you obtained a property).

However, if the concept of caring for a property appeals to you, then purchasing and holding might be right for you. Depending on your particular talents, you personally may be able to find it more profitable to use one method as opposed to the other. It’s totally up to you.

Have a Working Knowlege of Real Estate February 26, 2008

Posted by minnesotarealty in Minnesota MLS Listings.
Tags: , ,
add a comment

A lot of people want to be mystified. The arts mystify them, so they gasp with pleasure and congratulate the artist on his natural talent. Science mystifies them, so they don’t even wonder about what scientists are actually up to.  MN real estate is mystifying to them, so they assume it’s just a big lottery and that certain people either are very lucky, or that they possess an inborn gift.

They are unwilling to accept that succeeding in these disciplines and most others is simply contingent on formulating a series of steps and following through on your plan. Anyone who reads the Rich Dad, Poor Dad series by Robert Kiyosaki will realize that, in the real estate investing game, there are five key steps the serious real estate investor should follow in order to achieve success. An investor must:

1.Understand the language of real estate investment. This means to have a working knowledge of basic accounting and finance and know how to read financial statements. These skills give you the ability to determine whether a property is assets and potential drains. It is also vital to know the basics of real estate and tax law, not only so that you do not make costly mistakes, but also to know where the great tax deductions for real estate are. Understanding the basics of these subjects will also make it possible for the investor to know what questions to ask his lawyers and accountants upon hiring them, and to grasp the significance of what they tell him.

2.Keep experts close at hand. This is all about networking and studying the people who may wind up on the MN MLS real estate listings team of experts which he will hire to assist him in the location and evaluation of real estate. The smart investor will familiarize himself with the real estate investment community in the city in which he plans to invest his money, thereby familiarizing himself with the city.

3.Study the market consistently. The investor should read up on various cities and learn what the experts say in their regard, but also take a look at them himself. He should study his home city twice as thoroughly, if that is the place he is looking to invest his funds. The investor should get to know economic factors and learn which areas are good news, and which are bad news. He should learn what the rents in his marker and decide if a property located in that part of town would help him reach his goals. He should personally visit as many properties as possible with his team of experts, even if he is not prepared to make a purchase.

4.The investor should know the right and wrong way to negotiate . Many have incorrect notions regarding negotiation. These people are under the impression that the purpose of each and every negotiation is to close the deal no matter what, and to strong-arm the seller into ensure all of the information about the piece of property is out in the open. If it turns out that the purchaser can make the relevant numbers add up in his favor, and the seller will accommodate his terms of sale, then the investor should go ahead and purchase the piece of property. If these conditions are not met, the investor should walk away from the deal. According to Ken McElroy, writer of “The ABCs of Real Estate Investing,” the investor should go into every negotiation assuming he will walk away in the end.

5. Nurture your property. This comprises just what you’d expect. Conduct the necessary repairs and improvements on the property and get the empty units filled. Ensure that renters’ wants and needs are addressed.

This is a simplification of the long road to real estate investment success, however these five simple steps show that real estate investment is a process which can be learned by anyone. There really isn’t a thing magical or mysterious about it.