Tag: real estate

How to Sell Your Timeshare Property

Have you invested in a real estate property and regretted doing so because of skyrocketing maintenance fees? Did you recently acquire a vacation house that you realized would be of little use to you?  Whatever your reason may be in selling your timeshare property, there are basic procedures that you need to follow if you want to put it back on sale in the market. Here are some important facts to consider when selling your timeshare property:

Beware of resale agencies.

Scammers are lurking everywhere so be sure that a resale agency is legitimate and duly-licensed, if and when you decide to sell through one.  Be wary of a resale company that is asking for upfront fees beyond US$100 and be cautious when a resale agent communicates mostly through phone.

Determine your timeshare’s value.

Timeshare properties tend to devalue easily so be sure to determine the appropriate value of your timeshare property by referring to sites like Redweek, Sharket and Timeshare Users Group.

Consider an agent.

If you’re too busy to supervise the listing and selling of your timeshare property then it’s time to consider a real estate agent to do the work.  However, these agents tend to demand a larger commission for such transactions as compared to usual home sales and may be selective with the properties that they are willing to sell.

Be sure that your decision to sell is final.

Ask yourself if your decision is final as being hesitant to do so may cause untoward stress.  Timeshares now also come with points that can be accumulated such as frequent flyer miles which may work to your advantage after all.

Look for a buyer yourself.

It’s now easy to look for a buyer so long as you have the patience and the right connections. Social media networks can be utilized and along with the right connections you can easily find a buyer for your timeshare even with little or no external help at all.

 

If you want to proceed with selling your timeshare property, the following are options to consider:

 

Put it on sale on consumer sales sites like eBay or Craigslist.

These sites are popular among consumers and frequently visited by prospective property buyers as well.

 

Utilize online advertising sites dedicated to timeshares like Timeshare Users Group or Redweek.

These sites are solely devoted to promote timeshares which are up for sale and most prospective property buyers visit it regularly.

Sell it through a licensed resale company.

Resale companies help in the prompt sale of timeshare properties. However, make sure that it is a registered and legitimate resale company and check with the Better Business Bureau to verify it.

Place an ad on the real estate section of the city or area where the property is located.

Don’t forget to post on the local ads of the city or area where the timeshare property for sale is located so it can be viewed by more people.

 

Here are some important things to remember on how to avoid scams in selling your timeshare property:

Do not divulge personal information to anyone who is offering to help you sell your timeshare without doing your due diligence.

Searching for a suitable buyer for your timeshare property takes time and resources so be ready to take on the risks.  However, if a resale agent tries to contact you and offers help in selling your timeshare then be on guard.  Giving out your personal information is a red flag as you don’t have any clear idea about the person you’re dealing with.  He or she may just be one of the countless scammers around who are out to make a quick buck.

Always do your homework with the help of the internet when contacted by a suspicious company or agent.

Thanks to the internet and Google you can easily search for a person or company online if you’re ever contacted by a resale agency or resale agent that you hardly know or were not recommended by friends, family or colleagues.   Check out if they have an existing website and search for their list of entries.  Legitimate resale agencies and companies place their company information, headquarters, address, list of owners, services and other pertinent information on their websites.  If a company’s website provides very little information and only lists a toll-free number then more often than not they are scammers.

Get in touch with your timeshare company and inquire about give-back or resale programs.

One great way to avoid scammers is to directly get in touch with your timeshare company for any resale or give-back programs they may have for owners like you who intend to sell timeshare properties. If they don’t have such programs they can always refer you to licensed and registered real estate brokers who will assist you in selling your timeshares.

 

Selling your timeshare property has its share of risks and set-backs so it’s best to stay informed and up-to-date with all the necessary steps.  Scammers are always on the look-out for their next victim so be sure to equip yourself with the necessary knowledge and procedures so you won’t fall prey to these heartless people. And good luck with your sale!

Advantages of Home Loans

Many of us dream of the same thing: finally getting your dream home. The best way to make that fantasy come true with the high real estate prices is a home loan. They come along with a lot of responsibilities but also a lot of rewards. It also gets mortgaged with a bank, or a non-banking financial institution until you repay completely the loan. The title deed of the house is held by the lender until the housing loan amount is repaid in full with the due interest. You must also go through all the options to see which one will fit your plans, and we are here to help. So is owning a home right for you? Here are the main reasons why people decide to own instead of rent.

1) The tax benefits

You can get a tax rebate along with your house loan which will put a fair amount of money back in your pocket, each year. Both mortgage interest and property tax payments can be deductible from federal and state taxes. For example, you have the mortgage interest deduction. It is one of the largest tax breaks offered to homeowners. This option is especially lucrative at the beginning of your mortgage when the major part of what you pay monthly is applied to interest.

2) You are building equity

It is also called the dollar value of your home that actually belongs to you. You calculate it by subtracting the amount you owe on your home loan from the complete value of the house, and the leftover is the home equity. There are two ways to build it :

  • When you make your monthly mortgage payment, a piece of it goes toward reducing the amount you owe on your loan, and this increases your equity. You can consider this as a form of savings.
  • When the value of your home increases, you gain more equity.

Of course, if in the future you need some money you can tap into it. You have the possibility to borrow against your home equity for education or medical expenses and home improvements. You can as well use it to pay off high-interest credit card debt.

3) Your credit history gets stronger

When the other lenders see that you buy a home and pay your loan always on time, you get more chances to make future great deals. You are a serious borrower and if they choose you, they don’t take risks. It can be useful when you decide to make any new investment when you buy a car, for example.

4) It makes it easy to create your dream home

Homeownership is great when you know that you are free to create whatever environment you like. You don’t need to ask for approval from a landlord. You can finally make your dreams come true. If you want to have pets, to rearrange the floors, do some painting, or add an extra room… Anything that can make your house perfect.

5) It is always a good idea for investment

Staying in your home for a long time can increase in value its price and give you a satisfying return on your investment. When you choose this option, you can be sure in most of the cases that you are right. Also, it saves you from paying rent, and paying for a loan is much more profitable. Although, you must be careful and think about what kind of home loan is the best for you.

Below, you can find some different options for home loans:

Conventional mortgage: This one is the most commonly used type of home loan, and usually gets the best rates. It can last for 15 or 30 years. There is at least 10% for a down payment and a good credit. You have the option “interest only” when you don’t pay any principal in your payment. They have a bit lower payment, and when you make a regular payment you don’t pay off any of the loan balance.

Mortgage insurance: it is important to be aware of this option. This is an additional cost you bear if you put less than 20% on your house. It is intended to protect your lender in case you don’t make payments anymore. When you have at least 20% equity, make sure that you request mortgage insurance be removed (as it’s an unnecessary cost and is not tax deductible).

FHA mortgage: The main benefit of an FHA mortgage is a lower down payment requirement. It’s only 3.5% and is often more flexible with lower credit scores. This makes it easier to qualify for an FHA loan. It’s ideal for first time home buyers.

VA loan: There are more than 25 million veterans eligible for VA financing. You must have served on active duty, no dishonorable discharge and have served a minimum of 90 days during wartime, or 181 continuous days during peacetime. For military borrowers, the VA loans are the best on the market. They have a lot of advantages: they are very flexible, they have no down payment, you can reuse them and the government guarantees them.

USDA rural housing loan: This one can only be used in some specific areas and towns, and they are very flexible. They were designed to improve housing in rural areas. They have a variety of options: you can get it as a single- and multi-family housing, child care centers, fire and police stations, hospitals, libraries, nursing home, schools…

Adjustable rate mortgage (ARM): Their rate is not constant, it can start low but increase after one or several years and it usually gets higher. Be careful with this option because it has got in trouble many house owners, in fact sometimes the rates increase faster than expected.

203k Rehab loan: It allows you to borrow money with only one loan for both home purchase and improvement. They are guaranteed by the FHA, which is great for the lenders as they take less risk when offering you this loan. That way it’s is easier for you to get approved for the loan.