Creative Investing and Financing Techniques

Everyone knows investing in real estate is one of the most effective ways to accumulate wealth quickly, especially when it comes down to not needing a lot of capital to do so. This all depends on your creativity however. Traditional real estate investing by definition involves the purchase, ownership, management, rental and/or sale of real estate for profit. Under this definition, real estate is an asset form with limited liquidity relative to other investments, and traditionally is highly dependent on cash flow, but when we look at creative ways of investing in real estate a lot more opportunities are open to us.


How can one obtain the right financing? This list is by no means all the ways available, but they are the most popular


Partnerships are fairly common because this is first thing a lot of real estate investorsthink about doing when they start out. They want to find somebody who can put up the money and split the deal with them fifty-fifty. This is an option but there are better ways to make a lot more.


Hard Money Lendersare individuals or companies that have cash ready for you to borrow. Even if you have a low credit score this is a good source for getting funds quickly and is usually a better alternative than traditional banks. Hard money lenders don't like to lend more than 65% of the fair market value of a real estate property, so you have to think about the better the deal the more likely that they will lend you money.


Private Lenderscan be an even better alternative to hard money lenders because you can often arrange better terms since you are dealing with someone privately. A private lender can be anyone, even friends or family. Everybody wins because you are offering them a much better rate of return than they will get in their savings or mutual funds and it’s secured by real estate.


“Subject to” Financingcomes from the clause “subject to existing financing”. Doing things this way you are either leaving the present financing in place or simply taking over the seller's present mortgage. The loan papers do not contain your name at all. It will stay in the seller’s name. There are many other ways as well to do similar seller financing. If you have poor credit and want to begin investing quickly, this is an excellent strategy.


Wholesaling or Flippingare specific real estate investing strategies that are essentially creative solutions to eliminate the need for obtaining any funds at all. Using this you can sell the property for a quick profit to another real estate investor or buyer when using an agreement you tie up the property at a discount. There is no need for excessive cash, credit or financing because of this and it's virtually risk free with no need to do repairs or work yourself. This is why when it comes to making quick cash in real estate, this method of flipping houses is one the best routes to take not only for avoiding many of the financing headaches, it allows you to make cash more quickly for today's real estate market. You need to look at as many options as you can then compare each one of the terms. Based on your individual circumstances, you'll know what will work best for you this way.

Tips For Attaining Credit Card Debt Relief

Credit card debt is becoming a serious financial problem for increasing numbers of Americans. Bankruptcy is an option but the laws have changed and it is not always the best way forward. Some people find themselves in financial trouble and have credit card debts because of a job loss or unexpected medical bills. Credit card debt relief is possible no matter what the reason for the financial crisis and you are not alone in your situation.Often the reason credit card debt relief is required is because of spending way above your income and often on things that are not needed. There are no instant solutions and your credit card debt relief will take some time to achieve, and not finally over until the debt is cleared.

There are many companies providing the service of credit card debt relief today with adverts on the radio, TV or press on a constant basis. Despite the amount of advertising involved, it is always prudent to know exactly what you are getting yourself involved in before it is too late. Credit card debt consolidation companies must be of concern to the Federal Trade Commission because they are warning people about the practices of these organizations.Many times, when trying to sort out your credit card debt, you end up with bad credit anyway; those companies that promised to help you may have ended up hindering you. 

You can also contact a credit card debt relief counseling service; they can be of great help to consumers for a low fee or often no fee at all. It is often the case that they just sit down and go through your budget with you and highlight ways to save money and sometimes mediate with your credit card company for you.Credit card counselling services can be of great assistance and if you are lucky, you may find one that does not charge for their services and advice. Sometimes they might simply be able to help you better organize your budget and spending or they may be able to contact your credit card company on your behalf and work something out with them. Credit card counselling services will know what actions can hurt your credit and what you should or shouldn't be doing. Sometimes you need to swallow your pride because these organizations have a massive amount of experience to help with your credit card debt relief.

Never forget your bank as they can be quite useful if you have spare equity in you house as they may be able to give you an equity loan to help with credit card debt relief but it helps if you have full time employment. Equity loans can help but only if the amount of the new loan is lower than the credit card debt that has been cleared and if you fail to pay this debt your house is under threat. Don't forget that another less costly option is to find a part-time position which could be used purely to help with your credit card debt relief. It is not uncommon for many people to have more that one job not just to aid with their credit card debt but to feed their family. It may not be a permanent situation, just temporary until you get enough of credit card debt relief to live comfortably again.Finally, the most important piece of advice is to destroy the credit cards because if you want your credit card debt relief to mean anything, you must not repeat the situation you have found yourself having to deal with, again!

Get more information on financing and loans visit Unsecured Debt Relief

Mortgage Rates: How to Get An Awesome Rate

Denver mortgage rates are some of the best in the country, so why haven't you moved yet? Getting the best mortgage rate no matter where you choose to move is an important step in the financing process. Whether you are selecting your rate with the intent of selling in the next five years, or want to stay awhile, your mortgage rate can equal tens of thousands of dollars in savings.

When shopping for the best rate, the first step is to investigate the different lending opportunities. All over the country, you can get a mortgage from many different sources. Some examples of these sources are mortgage brokers, mortgage companies, savings and loan associations, commercial banks and credit unions.

A mortgage broker is a separate category apart from the other four, as brokers seek out several lenders and coordinate the financing. Due to the wide selection, you'll have a better selection of loans and rates to choose from. However, this does not mean that one broker will solve all of your problems. Just like the lending institutions themselves, different brokers can yield different results. In fact, it is only mandatory for a broker to find the best deal for you once a contract has been setup stating that the broker is your agent. In the end, everyone just wants a piece of the pie, and for the mortgage broker that comes in the form of extra fees tacked on to the closing, or extra points paid during the financing.

Besides a mortgage broker, the other factor in getting a low interest rate is to discuss with your lender and carefully consider all of the charges involved. When it comes to the rate itself, this can vary from bank to bank but is referenced by the prime lending rate across the country. It is for this very reason that the term "right time to buy" is tossed around by potential home buyers, as proper planning can capitalize on beneficial prime rate fluctuations, decisions that translate into thousands of dollars in savings.

Another way to lower your interest rate is with points. A percentage of your loan value, points represent the cost of getting a mortgage. The third factor to be aware of are the fees linked to the mortgage. Mortgage fees cover services associated with the lending process, such as the underwriting and closing costs. Usually borrowers are able to negotiate with the lender to adjust fees in exchange for interest rate adjustments. An example of this situation is a "no cost" loan, which lowers fees in exchange for higher interest rates.

What Do Your Personal Finances Cover

The completed puzzle of the financial pieces of your life are covered by an umbrella term referred to as your personal finances.All of the ways you obtain funds for your personal use such as loans and credit cards as well as spending and saving and budgeting are all your personal finances.

We borrow money through varying sources which we need to examine. When you borrow money on credit cards, it is instantly yours, it just has to be repaid with interest later. Although credit cards are popular now, you must be careful in the use of them. Credit cards make it easy to overspend and when the time comes to make the payments, you will regret it, because the interest rates can be really high.  

When you take out a personal loan it will be for a certain required amount son this will help reduce your spending. You can use an personal loan for several reasons, a home loan, an auto loan, a debt consolidation loan and some people feel the need to improve themselves cosmetically an get a loan for this reason. A personal loan has interest attached too, so you must abide by the terms of this loan to make repayment. If you take a loan by providing collateral, you should be even more careful as there is risk of repossession of assets should you fail to repay.  

If you are wondering what to do to get the best results with these financial opportunities, the answer is simple and it begins with you. The characteristic of prudence, and being economically minded and taking the time to research the loan market are all helpful. Know your financial limitations and repayment capability to create a proper budget and fuel the habit of sticking to it. You will understand your spending habits and make the needed changes and you will also be aware of how you are spending on your credit cards if you keep records of your expenses.   

The personal loans market has trends and offers you must become acquainted with before you make any final loan deals. Request for quotes as they give you an idea of how much a loan deal is going to cost you. By requesting and receiving loan quotes you will know if you can afford the loan with comfort and you should carefully search for hidden fees and costs.

Personal finance is a total knowledge of your life circumstances and the way you are equipped to handle the finances in it. When it is handled right, your life will not be a mass of worry over your finances, however if you do not take proper care of it you could end up with nothing but constant agonizing over your economic situation.

If you gather as much information as you can on personal finances and learn how to handle your own you will be able to live a relatively safe and stress free life. Personal finance for each one of us consists of our own particular puzzle pieces to fit together to form a complete financial picture for us.  

The Necessary Steps To Improve Your Credit Rating

high scores

As of this year, there's a new credit rating model known as "FICO 08." The new model will be more forgiving of people who may have slipped on one payment but are otherwise in good standing. It also eliminates young students who wish to "piggyback" on their parents' good credit by appearing as an authorized user on a credit card. Basically, if you have one major account in delinquency but you also have a number of other accounts in good standing, then your credit score will increase with the new model. However, if you have one major delinquent account and a poor payment history across the board, then your credit score will decline. FICO says a 20-30 point adjustment is likely this year for many borrowers who fall into these categories. Getting your free credit scores from Equifax, Experian and TransUnion is the first step toward developing a reasonable financial plan.

Improving credit scores involves avoiding many things. In the order of importance, they are late payments, high credit card balances, closing credit card accounts and having too many in-store charge cards. Late payments carry 35% of the weight in terms of your credit score, so do not take them lightly, even if it's just a store charge card, a cell phone bill or a rent payment. Your credit score can drop by as little as 20 points or more than 100 points, depending on how often you are late and how many accounts you're late on, as well as whether you are 30, 60, 90, or more than 120 days late.

Secondly, your credit usage should be no more than 40% of what is offered to you. If your credit line is $1,000, then you should owe no more than $400, and that goes for all lines of credit you have open. If you have any maxed out cards, then pay them down until you hit the 40% mark! Some people think they should close out their accounts to "do the right thing" or "prevent overspending," although this will decrease your overall credit offering and will reflect negatively on you.

Instead, work on paying those balances down and once you're finished, aim to purchase one thing a year on those cards to keep them active, and pay them off right away. Lastly, opening and closing store charge cards just to get that 10-15% initial discount is a signal of irresponsible credit behavior and will not result in high scores for your credit.

While you're trying to improve your credit rating, there are a few common mistakes people make. First, avoid asking a creditor to "lower your credit limit." Some people assume that will mean less temptation to spend, when instead they should be exercising discipline, learning to live within their means and working at reducing the percentage of total credit used. Remember, you want to be using no more than 40% of the credit that's extended to you, so by closing accounts you'll actually magnify your debt. Secondly, don't make any late payments, as the first one always hurts worse, sometimes by as much as 100 points. The subsequent string of late fees don't take off as many points generally, but if you re-establish credit again, the worst thing you can do is to miss a payment. The third mistake is consolidating your accounts, since applying for new credit will take off 5-10 points. Applying for an installment loan will improve credit scores though.

Following a bankruptcy, foreclosure or bout of unemployment, improving your credit rating could become an obsession. It never feels good to know you've failed at something. If you're really knee-deep in debt, then you may need a credit counselor or debt relief service to help you sort out the mess. For the long-term, you need to renew your way of thinking about debt. Carefully record your monthly spending, writing down all your bills, incoming assets and expenditures. It can be really eye-opening to see where your money is going! Subtract your fixed expenses, such as rent/mortgage, utilities, auto loans, minimum credit payments from your monthly income and use the leftover cash to spread out to your debt. Make a list of your debts and interest rates, then begin paying the highest interest rate off first, while making minimum monthly payments on the rest. Be sure to take advantage of free credit report services each year at www.AnnualCreditReport.com to keep on top of things.

Moving Abroad: Buy or Rent?

Many people move abroad experienced home owners. Normally you are used to owning your own home so if you migrate abroad the instinct is to quickly buy your own piece of your new country. This may not be the most sensible move, however. migrating overseas can be a big step forward financially but think about your property purchases carefully.

Reasons Not to Buy Immediately

You don’t know that you will stay. Not every immigrant stays in their new country. Sometimes migrants return home within a year or two. Its more flexible to rent until you are sure about your overseas move. If you sell in your home country and buy in your new country and then have to sell again – you will probably lose significant amounts in fees and commissions even if the property prices have remained stable or increased.

You don’t know the property market. Your unspoken assumptions put you in a weak negotiating position. For example an Australian wouldn’t buy a family home in many parts of a Australia that did not provide a shaded outdoor entertainment area. An immigrant from a cooler climate may not see the problem with a north-facing exposed courtyard until they have moved in.

You may change city, suburb or state. Renting gives you the flexability to move with a few week's notice. You may rent initially in your desired area only to change your mind 6 months down that track buy in a different area.

Renting initially also means that you may not have to buy all the appliances and furniture you didn’t bring with you. Renting a semi-furnished home initially can be a good way of spreading the set-up costs involved with yourmove abroad.

Some migrants may be restricted in their property choices: for example Australia only allows permanent migrants to buy existing houses. Waiting until you have permanent resdiency will increase your property buying options

Renting for 6 or 12 months will give you time to establish a credit history in your new home which will make it much easier to finance a property purchase

Days of Remorse for Mutual Fund Investors!

http://blog.melhardman.com

Most of September, 2008 has been a …….well, I hate to use the word 'remarkable' in this circumstance…..but, what else would you call it. My heart really aches today for those folks who have their 'dreams' tied up in stocks and mutual funds. While the market has been causing them sleepless nights (and days), we e-mini traders have ……. well, it's a fact… been doing very well. In fact, some of the best trading days we've ever seen! A whole month's income in a day, several times.

But, recently, I've never felt such opposing feelings [at the same time] like I do now. I thought I would never see another day like July 24, 2002, a day the DOW rose 489 points. It was a banner day for me, even as a new neophyte e-mini trader.  September 2008 has been phenominal for traders, with several days surpassing that day in 2002. While I have almost been giddy several times (and still am), I'm also very concerned about our nation's economy.

Volatility and Volume are the two main market conditions e-mini traders pray for….and we're sure getting both! Even being very cautious and only trading with one 'contract', still what a train ride…. the market going down hill— over 777 DOW points, then back up 450 points, then back down again!  Volatility like we've never seen before! 

Those politicians in Washington are really caught behind the '8' ball, aren't they? I don't know whose more to blame for these conditions, the self-serving politicians or the greedy and corrupt mortgage industry and Wall Street officials. Let's hope we can sort them all out and punish them appropriately.

Back in early 2002 When I discovered the 'e-mini' and recognized the great advantages it offers over stocks, I immediately closed my mutual fund account and fired my stock broker.  Smartest thing I ever did. Today? Yeah, …I'm concerned about our overall economy, but I have faith in America and my fellow countrymen and, maybe even the politicians, if this is enough to wake them up!  In the meantime, I'll be so glad that I'm an e-mini trader...but, I'll be hoping the market comes back...for the benefit of my many friends who are still [only] in stocks.

Things will get better. And, those 'losses' my friends in stocks and mutual funds have suffered aren't real losses, until [one] SELLS.

So, hang in there, America.

Do You Need Good Credit To Buy A Home?

For those who want to purchase a home or to refinance the home they already have and have a bad credit score, there is still hope! The industry that provides mortgages has a wide reach and more things to offer than many people know about. It is not necessary to go to the local bank to procure your mortgage and to know that perfect credit is all they will accept.

Thousands of lenders for mortgages are available throughout America. They are more commonly referred to as wholesale lenders because they offer special programs for those individuals who want to borrow money who have less than perfect credit. These lenders are the ones that work with a broker who has wholesale customers ready to purchase.

Brokers do not lend money themselves, but are the ones to turn to for knowledge and education on the process of obtaining a mortgage from the start to the finish. Brokers will also help find lenders that can help in providing you with the exact needs you require.

The broker will have the ability to access hundreds of lenders across the United States at one time. They will have the resources to find a lender that can accommodate your specific credit needs and a decent down payment you can afford to make no matter what your credit score might be. Brokers are always ready to compete for business so sit back and let them fight for your business.

Financing on less than perfect credit is also a possibility but you can expect to see a larger amount asked for the down payment. The lower the credit score, the higher the down payment will be. Fifteen percent is normal for a standard finance but will go as high as 40% for those with bad credit under 550. Some mortgage lenders will ask for half the money down before they will agree to lend you the remaining amount.

Some of the time, a larger down payment for a bad credit loan can work to the advantage of the buyer. For those who put more than 20% on a loan, the private mortgage insurance is not needed and it can reduce the interest paid over the life of a smaller loan.

Applying for a bad credit loan online is simple as there are many places to choose from. Many will give you there preapproval determination within minutes of applying.

This type of loan will show you what you can afford every month and the type of budget you should be following to get the amount of money you want no matter if you are approved for the bad credit loan or not. The important last step to applying online is to keep in mind that the application form should be completed correctly and it should be looked at over again to make sure there are no errors in it.

All items need to be filled in and spelling should be correct. This will reduce the problems in trying to match the information on your credit history that could slow or stop the entire process from happening as it should. It can even cause you to be denied.

Timothy A. Crane Private Real Estate Investor We buy houses and help people with their situations and give them options that they did not know they had. Cash For Your Home

Please don't forget to check out my Real Estate blog at http://cashmoneyhousebuyerblog.com

Real Estate Short Selling

"Real estate short selling" is a popular phrase among many these days. Real estate short sales serve as an alternative to foreclosures in an increasingly declining real estate market. Real estate prices are lower now than they have been in a long time and the amount of time it takes to sell a piece of real estate is rising.

It is completely valid to say that some regions - such as Detroit, for example - are experiencing a market meltdown. These declining real estate markets are the main reason for the rise in short sale real estate.

A bank allows a real estate short sale to occur when the bank consents to letting their property be sold for an amount smaller than the amount owed on it. In order for this to occur, two conditions must be met.

Firstly: Market values are such that the property's sale price cannot cover the outstanding mortgage balance(s). An inability to make additional payments on the property is the second requirement.

You might have someone who bought a property five years ago for the price of 217,000 dollars using an adjustable rate mortgage. Let's say that two years after purchasing the property the owners took out an additional 10,000 dollars second mortgage, which means that today the owners owe 227,000 dollars on the property.

Also, we have to remember that in five years, the amount of time that the mortgages have been paid off is negligible. We'll also imagine that the property value has decreased to 215,000 dollars while the mortgage interest rate has increased from seven to eleven percent. If we toss in the fact that one of the owners has just lost her job, we should realize that a real estate short sale is on the horizon.

For a bank, a foreclosure can mean a lot of time and money spent that a short sale would not. Banks do this because it allows them to accept a definite amount of money and because it allows them to get the property off their books. In general, this is how the real estate short sale works, though of course, complications through stubborn owners and lenders can arise.

Admittedly, many owners may find the real estate short sale a very painful experience, but things could be much worse for them. Having to go through the experience is awful, but it is a lot better than having a foreclosure on your credit report.

Real estate investors should understand that the short sales give them a wonderful opportunity to purchase property.

What To Do If You're Broke and Need A New Car

Almost everyone needs to use financing or leasing to buy a new vehicle, especially since the economy is down the toilet for the most part.

In a few cases, buyers use "direct lending:" they get a loan immediately from a finance company, bank or credit union. In direct lending, a buyer agrees to pay the amount backed, and an agreed-upon finance charge, over a time of time. Once a buyer and an automobile dealership enter into a contract and the purchaser agrees to a car price, the buyer uses the loan proceeds from the direct bank to pay the dealership for the car.

In a dealership financing agreement, a buyer and a dealership enter into a contract where the purchaser agrees to pay the amount subsidized, and an agreed-upon finance charge, over a time of time. The car dealer may hang onto the contract but more often than not sells it to an assignee, such as a bank or credit union, who will then service the account and collect the payments.

There are advantages for shopping for your car lease or auto finance over the internet if you have bad credit.

Convenience
Patrons can shop for financing from a lot of different sources ( regularly from one website ), from the comfort and privacy of their own home.


Special programs
From time to time, online loan entities may offer inducement repayments to buyers who have acquired a loan with them formerly, or are doing business with a partnered company.


Low overhead
Some finance firms are now "internet only" which permits them to have extremely low overhead. So they have a tendency to pass the savings on to their clients in the way of lower interest rates, and to their employees in the shape of better salary.


Multiple financing relations
The dealership's relations with a number of banks and finance companies mean they can offer buyers a range of financing options.

One disadvantage of waiting to finance thru a dealership is the purchaser may get "car fever", and step into a financing situation that is less than optimal, in order that they can "drive the automobile home today".  Vehicle salesmen are quite conscious of this potential, and will infrequently help the shopper's emotions get the best of them.

It makes sense to leave your emotions at home when you are shopping for a new or used car as you are already in a sad state of affairs with your bad credit hanging over your head.

How You Can Get Student Loan For College?

The only possible way a student with a bad credit profile can emerge clean so as to be worthy of a college loan is to set his or her credit record straight. This may be hard to do, but unless you do this you will almost always be shown the way out most lending institutions.

If you want a loan through the department of education then you will have to prove that you need such assistance from the department. The program usually demands that borrowers must be certified citizens of America. You will also have to prove that you will be capable of making good academic progress. More or less, it should be that you are trying to get into a course that need to be relevant to what the loan permits. 

When you inquire from most people who took loans or graduates who successfully finished their education through the facility of a loan, they will tell you that the moment you leave school you are will be hit with the burden of making sure you pay back the money you have taken. This is actually a problem because it overstretches the meager resources you have. This demands a lot of care and effort to ensure you repay such loans fast, after graduation.

Before you can be qualified for a government financial aid, there are certain conditions you will need to meet. First, you will have to be less privileged when it comes to financing your education, you must be an eligible person who is a citizen of the country either by birth or by registration, and other requirements that you will be told once you approach them for financial aid.

You need to be aware that in order to guarantee some loans, you need to take in consideration some elements like interest rate of the loan and fees that come with it. These are what you should watch out for not just brazing up yourself to think of how you hope to make the payments. This is very important because if you secure an affordable rate then you can make repayments without hassles.   

There are varieties of college loans to choose from, in case you don't know. A private loan for instance, is a type of college loan which do not require the borrower to have security. Therefore, it is the kind of loan that attracts most of the students.

Most students are in the habit of going into loan agreement without having even the slightest estimate of how much they will need to finance their education. This had better not be so. You ought to have a concrete knowledge of how much money you will need to take a loan and the general expenses you will make on other  purchases  you might make.

You will concur with me that educational loans institutions have helped lots of students, in particular in the USA. Think of the thousand of youths that would have been on the streets if such college loans didn't exist. If do not possess monetary means for college, don't be to concern about it. Start thinking of getting a college loan to see you through college.

Jon Ferriss offer reveling resources about college loans on his site.

6 Advantages To Save You Time And Money - Online Banking

A very important advantage of online banking is that you can so structure your account to make automatic payment of some bills and regular payment as at when due. Such payment may include utility bill payment, student loan, mortgage payment, etc. Pretty much all you have to perform is to set up the system and forget about it. The account automatically acts as your financial assistant.

If you have signed up for online banking, then you are aware that most financial transactions can be carried out with it. Not only can you facilitate any financial transaction through online banking, it is very quick, simple and safe. Signing up for online banking is very straightforward and not confusing.

Have you ever heard about the ING Direct Electric orange checking account? This special account now offers interest on online checking accounts. This is something most brick and mortar banks don't do. If you want interest on your checking account, you'll have to run an online ING Direct Electric orange checking account.

using your bank in smart way, as refer to online banking, give the ability to supervise your accounts from anywhere.You can oversee the status of any financial product with your name on it just by having yourself set up with an account online. When you are set with you account online you are ensure to be using the latest technology available to man kind in the world. Banking smartly will give you that edge over your peers.

The particular bank you use determines the type of services you receive on your account. Many big banks in America now provide a personal kind of online banking facilitated by the use of information technology and mobile phones to customize your banking transactions.

With the advent of online banking, it is now possible to search for banks beyond the shores of your residence country. with this method you will able to recieve benefits of some banking services otherwise not provided in you country of residence.

Internet banking, E-banking, online banking or whatever name you know it as, simple means the traditional and corner way of banking enhanced by the internet. Initially, before banks started associating with the internet, you can only transact at the local branch where you open your account and if you require making transactions from another outlet of the same bank, it may take days or even weeks to confirm depending on the strength of the transaction. Now online banking has developed from being able to run your account in any outlet of the same bank to running it from your home or anywhere and at anytime of the day.

If you run an online account that gives you a line of credit or financial product, you can easily borrow money from it on the internet and make immediate use of it. Totally different than spending unnecessary time on your bank managers office as in the paper work banking. Borrowing money is just few clicks away, thanks to online banking.

Jon Ferriss offers revealing articles about online banking on his site.