Serena Russell ~ Bay Area Real Estate Specialist

Property Investment

There are several types of properties today. However, most homeowners are undecided in terms of purchasing a new property or a fixer-upper property. Other than finding an agent and a lender, you need to decide on the type of property you want to get. Some find it better to purchase a new property. However, there are also those who find it more convenient to purchase a fixer-upper home.

The decision relies on you and your circumstances.  Consider several factors before you decide.

YOUR REASON TO BUY: People don’t just buy houses to live in them. Many people also look to buy investment properties, or homes from which they wish to eventually profit. One of the most profitable ways to do that is to purchase a fixer-upper–a house that is in need of repair.

Fixer-Upper Strategy

Fixer-upper houses are houses that need a little work to increase in value. Real estate investors that purchase fixer-uppers tend to get houses that are not in condemned status or require a major repair, such as replacing an entire house’s worth of plumbing. Instead, they look for homes that are located in nice areas but need aesthetic upgrades. Or they may purchase fixer-uppers that are nearby expanding neighborhoods, hoping to repair the home by the time the property values rise. This practice is referred to as flipping a house. Fixer-uppers can become more profitable if the homes can be restored within a short amount of time relative to the purchase.

ADVANTAGES:  to buying a fixer-upper. First, it is inexpensive. This means that you can save a lot. This is great if you are on a tight budget. Next, you can personalize your property by renovating it yourself. You should be prepared since most of these properties need a lot of work and you might not be able to move in right away unless you make the essential repairs immediately.

COSTS:  Decide how much you will spend on repairs and renovations. A home inspection prior to purchase will give you some ideas of how to proceed. Talk the inspectors & bring a contractor to your meeting.  A good contractor can help assess how much you need to spend on the property for the needed repairs.

If you are a contractor, then you could do most of the work yourself, and save even more money since you won’t have to hire contractors to work on the fixer-upper.  Keep track of your time and expenses to the finish.

For a list of latest foreclosures and how to buy low and sell high, contact me at you’re earliest.  I offer homebuyer seminars every Saturday & by appointment.  Pick up free materials and information to assist with your decision-making.

I specialize in first time buyers, investor properties, property management, & second home purchases. Contact me  for your FREE consultation today.  Experience guaranteed results & satisfaction.

Great reasons to buy a home around the holidays

You might be wondering if buying a home during the holidays is a wise idea. Here are some good reasons to consider buying your home during the holiday months.

Here are five good reasons:

1.  December and early January are usually slower for sales and  sellers are motivated since they might not have sold the property in earlier months.

2. Rates are the lowest they have been in years and many options
are available, especially for buyers willing to put down 20% or more as a down
payment.

3.  There is  less competition to deal with which means less stress for you during the holidays.

4. Tax advantages: you may be eligible for deductions on points and mortgage interest if you close by the end of the year. Consult your tax advisor. deduction.

5. Lower prices & lower rates.

You should decide if this is a good time for you to buy.  Keep in mind, homes that did not sell over the summer are also available are great deals.  Furthermore, pricing might rise again after the New Year, so it might be a good time to find a bargain.

Good luck with your home search.

Buying a home is one of he biggest investments you’ll every make.  You will want to protect your investment during the purchase transaction with title insurance.

If you won the land that the house is on, you have a strong right to the property.  But if others have rights to it through liens, unpaid taxes, or mining rights, they are also part owners of the property.  Even if you know nothing about these risks, as the homeowner you are still vulnerable to such claims on your property.

Title insurance which protects against claims on your real estate by others, requires that certain risks be eliminated before the policy takes effect.  It then covers hidden risks thereafter.  If you have to go to court in regard to your property, the title insurance company will pay for your legal counsel.  If you lose your rights, you should be protected up to the amount of the policy.

Make sure you discuss a title insurance policy with your title company.

When you are ready to buy a home, call me.  As your real estate professional, I’ll be happy to help you through the process.