Buy or Rent ?
Hi, Here is some of the most important decision you will make in your life , and the questions are.
Should you buy or rent? It depends on your circumstances, and the real estate market where you are going to live. Years ago, I sold a home for a young couple who owed almost as much as the sales price on their house. They needed to take money from savings to pay the closing costs and sales commission. You can bet that they wished they had rented for the couple years they lived there.
This brings up the first thing to consider when comparing buying versus renting: the amount of time you’ll be there. Buying and later selling a home will usually cost about 10% or more of the value of the home. These costs mean that if the home only went up in value 10% or so in the year or two you lived there, you won’t be gaining anything (equity gain from principal pay-down is very little in the first years). You’ll often be better off renting if you’ll be in a town for less than a few years.
What about towns with faster rates of appreciation? Have you done some serious homework? If not, to assume appreciation will be more than the rate of inflation is just gambling. The sellers in the example above sold for the same price they bought the house for two years earlier – and this was in a decent and growing area. You can’t count on fast appreciation just because it has been that way recently.
To Buy Or Rent – Cost Comparison
Looking at buying versus renting, you have to take into account that in many places it cost much more to buy. In Delmas, Port-au-Prince, for example, a small home can cost $200,000. The mortgage payment, taxes, insurance and maintenance will add up to about $1,600 per month, but you can rent the same size home for about $800.
What does that mean? Many real estate fanatics will say you’re at least buying something for your money, and renting is throwing your money away. Of course in this example more than $1,000 of your payment will be going towards interest alone, and that’s not buying you anything.
Suppose you can afford the $1600 per month, but instead you rent for $800 and put the other $800 into a decent safe investment that makes you 5%? In three years you’ll have over $30,000 in this account. If the home appreciated at 6% per year (it has been more like 25% per year recently, but that can’t continue, and assuming so is not planning, but gambling), it would be worth $231,000. The costs of initially buying it and then selling it would be around $13,800 (2% buying and 6% selling), leaving you with a gain of about 19,000 once we include your principal pay-down.
In other words, you would be at least $11,000 better off if you rented and banked the difference. Every market is different, of course, so you have to do the math. Compare the total costs of owning versus renting, and then make safe assumptions about the rate of appreciation for homes.
If you’ll definitely be in one place for a long time to come, it will almost always be better to buy than to rent. In the last example, buying becomes a better bet after about four or five years. Also consider that if you get a fixed rate mortgage, your payment will never change, a benefit landlords won’t offer you that on your rent payment.
To sum up, look at the time you’ll be there, the comparison of total monthly costs, whether rents are going up fast, and whether you have good reason to believe home prices will be going up fast. Then look also at all the personal factors. Do you want to be responsible for the maintenance, yard work and unpredictability of ownership problems?
To buy or to rent? In the end, you have to work this one out by yourself.
Christian C. @bestonehaiti +50937786971 email@example.com
Hi Everyone ,
The most important investment you will ever make is probably the purchase of a home. Finding the right home for you can be a long and arduous process, but there is no getting around that.
Know Your Wants And Needs
Before embarking on your journey of house hunting, you must know what you really want to find. Sit down with pen and paper and list all the features you care most about, such as:
– Location (in a particular city, or neighborhood)
– Size — how many bedrooms and bathrooms
– Parking — a 1-car garage or 2?
– Style — 2-story house or ranch style home or etc..?
– Air Conditioning — central and/or air conditioning UNIT ?
Equally important, on a new sheet of paper list all the features you absolutely do not want in a house. For example:
– high-traffic area.
– high noise area (airport, or highway in close proximity)
– maintenance — major repairs needed
As you look at houses, keep both lists in mind. Your lists may change over time as you do more looking. You’ll want to add or remove features, or perhaps you’ll become willing to make compromises. Realize that you most likely will not find the “perfect” home. Experienced homebuyers will tell you, perfect homes are not found, they are made perfect through hard work.
Research Your Home-Buying Options
Decide what kind of property you are interested in. Do you want a real estate, or property for sale by owner?
Visit these site to see pictures of homes, and review the listing features. www.bestsellerhaiti.com
Get Pre-Approved For A Loan
You’re ready now to find a lender and get yourself pre-approved for the loan. Being pre-approved offers a number of advantages. It will clarify the price range you can afford. Also, once you find the home you want, you can place an immediate offer. If you have to wait for pre-approval, someone could buy the house right out from under you.
Several special programs are often available from lenders, that can save you money in the closing. Ask the lender about any special programs before you decide on a loan.
Find A Good Real Estate Agent
It is wise for the first time homebuyer to work closely with a real estate agent, no matter what type of property you’re looking for. A knowledgeable real estate agent will make your house-hunting much easier. A good real estate agent is usually a good negotiator, and will be able to help you with the complicated paperwork involved in placing an offer on a house or in closing a deal.
It’s essential that you have a real estate agent working for you as the buyer, rather than relying on the seller’s agent for the house you want to buy. The latter can involve a conflict of interest, which usually works to your disadvantage.
To select a real estate agent, you should check with your friends and neighbors for recommendations. Find an agent you feel comfortable with and who is knowledgeable about the area you hope to buy in.
These are just the basics of home buying. You will find many details you need to master as you move through the buying process, but having these basics under your belt will give you a head start.
Follow us on Facebook and Instagram @bestonehaiti for more related topics .
Buying a Vacation Home Overseas
With the British and American economies in quite a strong position many more Americans are considering putting some of their hard earned cash into buying a vacation home overseas and apparently one in three Britons has their sights set on buying a holiday home in the sun.
If you dream of owning a sunny villa in Italy, a cottage in Scotland or maybe a beachside apartment in the Caribbean, here are five essential tips to consider when looking for real estate overseas.
1) Research Your Location
You may already have a favorite destination in mind and be visualizing your life lazing by a swimming pool overlooking the Mediterranean Sea…on the other hand you may be interested in shopping around to find the best countries in which to buy a vacation home and make an investment into property.
It’s wise to do a fair amount of research into any new destination and cover everything from foreign ownership of real estate rules, property taxes, the political and economic stability of a destination and also the investment potential a given country offers. With this information in hand it will be easier to make the right decision about which location suits your lifestyle objectives, budget and long term investment plans.
2) Employ Assistance
Finding a realtor able to assist with your search for the perfect vacation home could save you time, effort and even money in the long run – although most realtors take commission from any sales they make of course! But a local agent will understand the dynamics of their property market and be able to quickly and efficiently track down real estate bargains that match your vision for your vacation home overseas.
Be aware that in some countries real estate agents neither have to be licensed nor qualified however and so take a recommendation if at all possible and tread carefully.
3) Manage your Money
If you need to raise a mortgage to pay for your vacation home you may need to re-mortgage your home or raise finance in your home country to fund the purchase because in many countries it is difficult for non-residents to get a mortgage and in some of the emerging property markets around the world there is no possibility to get a mortgage.
When transferring money overseas beware of fluctuating exchange rates that can devalue your lump sum significantly and make the difference between you affording your dream home and affording a poor second best. There are professional companies available who can help those buying property abroad to deal with fluctuating currencies…look into your options.
4) Title Deeds and Legalities
Legal systems vary from country to country as does the land registry system, and in some countries title deed transfers are not registered at all which can make it difficult to prove who owns property. Make yourself aware of the legal rights that you will have as a property owner in a given country and find out about any assurances you can get that you own the freehold title to the vacation home that you have bought.
Never buy real estate overseas without the aid of a good lawyer, check their credentials and ensure that any contracts or agreements you sign are translated into your mother tongue and that you check the wording carefully before you sign!
5) Protect Your Assets
Once you make the transition from house seeker to vacation home owner you will want to keep your real estate assets well looked after. If you are only going to be vacationing in your home overseas occasionally consider having a management company look after your home when you are away.
Ensure a property that is to be left for periods of time is well secured because even in countries where there is very low crime a beautiful home left standing empty can become a temptation.
Get insurance to cover the value of your home and contents and make sure someone regularly checks that your property is in good order, that the weeds are not growing over your veranda and that your swimming pool is clean and ready for when you next take a holiday in the sun.
Listings Manager .
The home buying process can seem complicated, but if you take things step-by-step, you will soon be holding the keys to your own home!
But before going into the buying process you should first ask yourself if your are already ready for home buying.
Do you prefer or even enjoy moving into different places. Do you prefer using your savings for things like vacations, appliances, retirement or having your own business? Do you like to enjoy not having so much trouble with regular maintenance and repairs?
If your answers to these queries are yes, then you may not be ready to delve into the home buying experience. You may have a lot of good reasons for buying a home but you should also have to consider your reasons for not wanting to.
Remember than buying home is not just the biggest financial decision you will ever make but also the strongest emotional choice in your life, so be prepared to make wise decisions when you are in this process.
Buying home always seems to be a great idea, but it is important that ownership of a certain property comes with a great deal of responsibilities too.
Of course, being a homeowner is something to be proud of but it also means having to invest money, time and energy and take on added responsibilities. So, before you decide to buy a home, make sure you’re ready.
The first things that comes into our mind when we think about home owning, is the wonderful things that is connected to it. It is true that there are a lot of good reasons for buying a home. So here are some of the good advantages of home buying.
Financial security is a very great deal of advantage when it comes to owning your own home. If the housing prices would go up, your home can provide you with some financial security due to capital appreciation.
Flexibility is another thing, when owning your house you will be able to decide all the aspects that comes with it. You can decorate or renovate your home to meet your own family’s personal tastes and needs.
And of course stability, having your own home will make you feel at ease and less burden than renting one.
Would you like to know the best to find your home ? Start here -> Bestsellerhaiti Listings
Home buying is about finding the right house, and this includes getting the right price. There are five basic ways to buy a home for less. Here are three of them.
Home Buying Secret – Buy In Inexpensive Towns
Yes, there are still inexpensive towns that you might actually want to live in. In fact, there are still towns in this country where you can put the kids in a good school, go shopping, enjoy nearby natural beauty, and buy homes for under hundred thousand dollars.
What you can’t find easily there, is a good job. These towns with the cheapest homes usually have a bad job situation. They are great places to retire to, or to move to if you have a business or profession that isn’t location-dependent. Writers and internet entrepreneurs are beginning to discover them.
This may not work for you, of course. If you already have determined where you will be living, or if you need a town with high-paying jobs, try the following ways to save money.
Home Buying Secret – Buy Inexpensive Houses
One way to save when buying a home is to find a less expensive alternative that still fits your needs. This can mean buying in the inexpensive parts of town, or buying the inexpensive types of homes. Don’t set your mind on one type of home or one neighborhood before you know what all the alternatives are.
This isn’t about buying a cheap dump to save money, or buying in a dangerous part of town. It is more about a philosophy of defining your true needs so you can find the least expensive way to meet them. You may be surprised at what is available for less.
Home Buying Secret – Negotiate A Lower Price
No matter what you buy, you can save a lot if you know a few basic negotiating techniques. You’ll find easy-to-learn techniques in any good book on negotiating. Is it worth a few minutes reading and an hour or two of practice to save thousands of dollars?
There are simple negotiating techniques that are used by the masters of negotiation. They are used in all areas of business and real estate. You don’t need to become a master, though, to knock a couple thousand off the price of that next house. In fact, a little knowledge goes a long way in home buying.
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The Best Way to Find your Home
Everybody has a dream home for himself or for his family. If you’ve just decided to find your home, then there are a few things you need to take into consideration. It’s tempting to make rash decisions just to be able to get hold of a property that you may have been considering for quite some time now. But just as with any decision you need to make in your life, you have to take it slow, look at the facts, think rationally and consider all your options before actually jumping on any opportunity that looks good. And that goes for whether you’re thinking about buying a house in Haiti. The fact is, real estate transactions are far from simple and you need to completely understand them in order to benefit from them.
You can quickly find a list of real estate companies or Haiti realtors online by simply checking out websites. In this way, you will have a great chance of finding a reliable and professional Haiti realtor who can listen to your needs and not just look at you with the dollar sign on your forehead. If you are one of those people who want to easily find their dreamed home, follow the helpful tips that are stated above and rest assured that you are one step closer in finding your dream house. For more information, having a research or browsing the web can be a big help.