Real Estate

April 19, 2009

http://www.propertytaxfunding.com/

Property Tax Payment

Taxing units usually mail their tax bills in October. The date of delinquency is normally February 1st.  If you have not received your tax bill by January 1st, you should contact your tax assessor to determine the amount owed. 

Property tax bills often include more than one taxing jurisdiction because some taxing jurisdictions combine their collection operations.  Likewise, certain properties will be subject to multiple taxing jurisdictions collected by different assessors.  Contact the central appraisal district for your respective county to determine the taxing jurisdictions which apply to your property.  Many county central appraisal districts now post their property tax data online. 

If you escrow taxes and insurance, then your mortgage company will pay the property taxes on your home.  You should receive a receipt from the tax assessor indicating payment has been made.  The receipt is important to retain, as many homeowners deduct property taxes for federal income tax purposes.

When Is the Deadline for Payment?

In most cases, the deadline for paying your property taxes is January 31. Taxes that remain unpaid on February 1 are considered delinquent. Penalty and interest charges are added to the original amount.

Taxes are due in one lump sum.  Some tax collection offices provide payment options, such as:

 Payment by credit card, typically with additional fees of 3% to 5%  Deferment or installment plans for taxes on homestead properties for disabled property owners or property owners over 65 years of age  Discounts for early payment  Partial payment of your taxes

If you are qualified for the over-65 or disabled homestead exemptions, you may pay your current taxes on your home in four installments. You must pay at least one-fourth of your taxes before the February 1 delinquency date. The remaining payments are due before April 1, June 1 and August 1, without any penalty or interest. If you miss an installment payment, you will face a penalty and also pay interest at 1 percent for each month of delinquency. You must indicate on your first payment that you are paying your home taxes in installments. Installment payments apply to all taxing units on the tax bill.

Homeowners whose residences are damaged in a disaster and are located in a designated disaster area also may pay their taxes in four installments, in the same months as over-65 or disabled homeowners.

What If my Taxes are Delinquent?

The longer you allow your delinquent property taxes to go unpaid, the more expensive and risky it becomes for you.

Penalty and interest charges will be added to your taxes.
Penalty charges and interest charges will be added to your tax balance.  Private attorneys hired by taxing units to collect delinquent accounts can charge an additional penalty to cover their fees.  The following table details the potential penalties, interest, and attorney charges imposed on a delinquent property tax account.

Month Penalties & Interest
February        7%
March            9%
April              11%
May              13%
June             15%
July               32% to 37%*

*Collection Attorney Fees Vary by County, but are typically 15% to 20%.

Accounts not paid in full by June 30th of the year in which they become delinquent are normally referred to the delinquent tax attorneys for collection and incur an additional penalty equal to 15% – 20% of the total taxes, penalties and interest due.  Generally, any payment on the quarterly payment plan that is not paid before the delinquency date of the installment accrues a full penalty of 6% immediately, and begins to accrue interest at the rate of 1% per month until paid.

You will receive delinquent tax notices.
The tax collector will send you at least one notice that your taxes are delinquent. They often send multiple notices and warnings. You may have the option to set up an installment plan.
Some tax collectors will allow you to pay delinquent taxes in installments for up to 36 months. They are not required to offer this option. You may be sued.
The tax collector can take a delinquent taxpayer to court. All court costs will be added to the delinquent tax bill. Your property may be foreclosed upon.  You could lose your property! 
Each taxing unit holds a tax lien on each item of taxable property. A tax lien automatically attaches to property on January 1 each year to secure payment of all taxes. This tax lien gives the courts the power to foreclose on the lien and seize the property. The property then will be auctioned and the proceeds used to pay the taxes.

 Are there other options available to pay property taxes?

 Yes, specialized lenders exist who focus solely on property tax lending.  These lenders provide an alternative to the lump sum payment of your property taxes.  A property tax loan will immediately stop the added penalties, interest, attorney fees, and pending lawsuits for the county.  Most lenders offer flexible loan terms with repayment schedules up to 10 years.  Loans are available for almost any type of real estate as long as the borrower is not in bankruptcy, there is no IRS lien on the property, and the property is reasonably maintained. This includes residential, commercial, investment properties, and vacant land. 

 To learn more about property tax loans and the lending programs available visit Property Tax Funding, http://www.propertytaxfunding.com/, or call a loan officer at 877-776-7391.

สถานที่ท่องเที่ยว : For those that love to explore by Bike, cycle through the great out doors and see sights most tourists never see, then Thailand is home to a handful of reliable, trusty bike tour operators. Bike Tour operators can be found in Chang Mai, Bangkok and Phuket.

Some of these tours focus on road riding and road bikes covering great distances. Other tours are exclusively off road and down hill riding only. Some Mountain Bike Tour operators combine on and off road riding allowing the riders the thrill of single track as well as the enjoyment of discovering small villages away from the crowds. Short tours for those short on time, or wishing to fit many other activities in to their valuable Thailand vacation time are available. Longer tours for those with more time or more passion for biking are also on offer.

All inclusive packages providing English speaking local guides, hotel accommodations, meals and support vehicles make sure you get the most of your Cycling Adventure Tour in Thailand.

Often the Tours are so much more than Biking, the journey will also be a culinary exploration of Thailand the host country, sample the various dishes and discover while Thailand is known world wide for it cuisine. Historical sites are visited, other Adventure activities are often included in these Biking Adventure Tours including boat trips, kayaking in lake and rivers, visits to Thai temples and meeting the local people.

Read more: http://www.articlesbase.com/destinations-articles/mountain-bike-tours-in-thailand-542053.html#ixzz0yGct2IGH
Under Creative Commons License: Attribution
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There are rumours of greater buyer activity in the residential market but the messages are very mixed.  Some developments seem to be selling reasonably well whereas others, for whatever reason, have hardly seen a viewing for months.  Our view is that we are in classic early/mid recession “one step forward, two steps back” mode. 
 
This is what happened in the last recession.  In spring 1991 everyone was expecting a significant upturn but it was not for another 18 months that the true recovery started.  This followed a prolonged period of lower interest rates.
 
Let’s hope that the promised increase in new mortgage lending transpires and that one or two more development funders emerge.  These two factors should drive the market towards normality again.
 
We also have the excellent news of an established lender returning to the market and who will consider lending on profitable small schemes.
 

NEW LENDER 

If you are thinking about developing a single house scheme, or even two or three small houses then we may have a lender for you. The maximum advance is £300,000.
 
The scheme works by providing up to 65% of the Gross Development Value.  As always, an example is the best way to illustrate this: 

Two Houses with a GDV = £400,000
 
Costs, including land = £300,000
 
Advance at 65% of GDV = £260,000
 
Developer contribution = £40,000 – own funds to be put in towards land purchase

If you have a scheme that fits this criteria then we can provide you with an illustration of costs and conditions

As always, your feedback and loan enquiries are most welcome.
 

Chris Dowdeswell

Direct: 01428 684452

Email: chris@cdpropertyfinance.com

Web: http://www.cdpropertyfinance.com/  

While Voice over IP Telephony has proven to be a viable and cost saving alternative to the traditional telcos for the small business community, there are some drawbacks that the residential consumer should consider before making the switch.

Power Outages

Because your VoIP service utilizes a broadband connection and the hardware plugs into the wall, if a power outage should occur, you would have no telephone service. If you are using a cable modem and your ISP experiences an outage, you would also have no phone service. However, many VoIP providers offer call forwarding at no extra charge, thus allowing the call to be automatically forwarded to your cell phone.

In the case of extreme disaster situations, i.e. a hurricane or tsunami, even cell phone service could be disrupted, but so probably would traditional landline telephone service.

Emergency Services

Most networks, including your broadband Internet service provider, employ the DHCP protocol, dispersing dynamic IP addresses to the nodes on the network. While your IP address will usually remain the same when you are online, if you turn off your computer for any amount of time, your address will more than likely change. It is for this reason that makes it difficult to pin down devices on a network to a specific geographic location.

The most serious drawback of VoIP in the household is that your service provider may not be able to map emergency service calls such as 911 to your physical address, or to properly route the call to your local call center. Indeed, so serious is this matter that the FCC has mandated that service providers deal with it by implementing enhanced 911, and they are doing so in their own ways.

Cable and telephone companies usually deal with fixed residences and know your address already, making it easier to comply with the FCCs mandate. The pure play providers, such as Vonage or Packet8, provide the consumer with the ability to have phone numbers in different area codes, and deal with a much more mobile road warrior type of consumer. An advantage of the nature of VoIP prized by many.

The pure plays could just pay to connect to the already established local phone companies 911 systems, but many have balked, preferring to develop their own E911 technology. For now, most providers do offer 911 services to fixed addresses by having the customer activate 911 at sign up.

Local Listings

If you choose a pure play provider for your residential VoIP, more than likely, you will not be listed in your local white pages, but check to be sure. Of course, if you choose your local phone company as your provider, you will be. Check with your cable company if you are considering them as your provider to see if you will be listed in your local white pages.

There are many white page directories on the internet, not the same thing, but an option nevertheless. The yellow pages are a paid directory, so if you have a business, you still can exercise this option.

Faxing over VoIP

Faxing a document involves scanning it, converting the data into sound, and transmitting the sounds over a copper telephone line to their destination. Sounds do not travel well over the internet. In IP telephony, the standard T.38 was developed to convert the fax sound into sendable data, much like VoIP converts the human voice. Another standard called T37 can send faxes as either an email attachment or a remote printout using the Internet Printing Protocol. Many providers offer a separate fax line for an extra charge.

Choosing VoIP over traditional telephone services has its pros and cons just like anything else. It is up to the consumer to weigh the advantages and disadvantages, and to come to a conclusion with eyes wide open.

You’ve seen steel roofs on barns, but how often have you seen them on residential property? It’s very likely you’ll be seeing them a whole lot more around the country. With wildfires, hurricanes, hail and other extreme conditions damaging houses, an increasing number of homeowners are taking advantage of the benefits of metal roofing.

Steel roof installations have more than doubled in the last five years and will continue to grow 15 percent per year, according to the Metal Roofing Alliance (MRA). There is no material more capable of protecting a home from destructive weather conditions.

Benefits of Metal Roofing:

DURABILITY

A metal roof will last at least two to three times longer than an asphalt roof, or 40 to 60 years. In the warm, humid Southern states, metal is virtually immune to the unsightly mildew stains that often form on asphalt shingles. Properly installed, a metal roof won’t leak or rust and can withstand wind gusts up to 140 miles per hour.

Shane Scott, a real-estate entrepreneur from LaGrange, Georgia, renovates and resells older homes. He installed a metal roof for his own home in 2000 and was so pleased with it he’s purchased metal roofs for all the homes he’s refurbished since then.

“When buyers are considering a home, they’re always concerned about the condition of the roof,” notes Scott. “With metal, they know they won’t need to do anything to it for at least 50 years. With an asphalt roof, they’ll need to replace it within 15 to 20 years.”

PROTECTION

Most metal roof systems have passed UL 2218 Impact Resistance testing at its most severe level, Class IV. As a result, homeowners in hail-prone states who choose metal roofing may be eligible for discounts on their insurance premiums.

Ed Parker, a retired homeowner from Sharpsburg, Georgia agrees. “We’ve gone through two or three asphalt roofs on our home over the years and they discolor and rip off during wind storms, or leak due to hail storms,” Parker said. “Metal is much more durable.”

ENVIRONMENTALLY FRIENDLY

The National Association of Homebuilders Research Center estimates that 20 billion pounds of asphalt roofing is taken to landfills every year. Metal’s longevity removes the need for frequent roof replacements. Better still, it can be laid over the current roof, eliminating the costs of shingle removal and land-fill fees. If a metal roof is ever removed, it can be recycled.

Steel is the best choice for “green” buildings, where the goal is to reduce or eliminate chemical substances, according to the American Iron and Steel Institute (AISI). Unlike wooden shakes or some other traditional materials, steel is not vulnerable to insects, mold or rot. Therefore, it does not require the application of insecticides or other hazardous chemicals.

ENERGY EFFICIENT

Time-tested metal roofs save energy and reduce your cooling costs by as much as 40 percent, depending on location, says the MRA. The advent of new reflective paints with energy-saving properties has revolutionized the residential roofing industry.

While asphalt and cedar shingles absorb heat, the new cool pigment technology can reflect up to 85 percent of the sun’s radiant energy. Now, even dark colors achieve the “cool” attributes. An Energy Star roof can stay up to 100 degrees cooler on its surface than other roofs, so less heat is transferred into the building.

Wilmer Dykes, a homeowner from Cochran, Georgia, noticed a decrease in his energy bill of at least 25 percent after installing his metal roof. Dykes believes keeping his old roof on his home helped save energy. “By building the new metal roof over it, we created an air pocket between the two roofs, giving us an added layer of insulation,” he said.

LOW MAINTENANCE

A metal roof won’t crack, curl, split, rot or lose impact resistance with age. The only maintenance recommended for a metal roof is an annual inspection, clearing the roof of accumulated leaves or other debris and checking roof top ancillaries and air conditioners to ensure that they are properly drained and supported.

TAX AND INSURANCE SAVINGS

The U.S. Energy Policy Act of 2005 allows for a tax credit for homeowners who install qualified energy-efficient improvements to an existing home, including metal roofs that meet the Energy Star program requirements. For more information, go to www.energystar.gov.

AESTHETICS

For some, a stigma still remains from the old, ugly metal barn roofs. However, a host of new colors, finishes and profiles has drastically improved the look over the last 10 years.

Don Smith, another homeowner from Cochran, said that aesthetics was one of the most important factors in his decision to purchase a metal roof. “I had seen steel roofs in the high-end subdivisions and really liked the look,” he said. “Now, strangers stop in my driveway and ask me questions about my roof because they like the look of it too.

Casey Paulk, owner of Paulk Landscaping serving central Georgia, agrees. “In my business, I see a ton of homes, so I’m always comparing, contrasting and making mental notes,” he said. “When I built my new home, I did a lot of research. I decided to go with a metal roof primarily for the aesthetics – I love the way metal looks.”

BE WARY OF YOUR WARRANTY

Finding a warranty that offers complete protection is harder than most consumers realize, says Clay Smith, owner of Mid-GA Steel and Supply (www.midgasteelandsupply.com), headquartered in Grantville, Georgia. “There is no way to tell if two metals lying side by side have any difference in quality,” he said. “Unscrupulous manufacturers can make 25-year warranty claims for cheap metal that actually has just a five year life before fading.”

Because of this risk, it’s important to find a manufacturer that puts its steel vendors’ coil numbers on their warranties, which connects the buyer with the vendor and the exact metal purchased. “This will ensure that the warranty will be fully honored throughout its duration,” Smith said. “Without the coil number on your warranty, you have no protection, regardless of what your warranty might imply.”

A LONG TERM INVESTMENT

Often one of the barriers to purchasing a metal roof is the cost, which is two to three times that of a shingle roof. However, buyers who realize a metal roof is a one-time investment versus an ongoing, life-long expense understand the considerable value it offers.

Asphalt roofs typically need to be replaced approximately every 15 years due to deterioration. Conversely, a metal roof is a permanent, extremely low-maintenance roof. “Although the up-front costs are considerably more than an asphalt roof, over the long term the durability of a metal roof makes it well worth it,” said Mr. Paulk.

THE FINAL SOLUTION

The rapid increase in the number of metal roofs nationwide will likely continue to intensify, as consumers better understand the durability and both the short and long-term savings metal roofs offer. Add to that the beauty of metal roofs seen in their own neighborhoods, and it’s easy to understand the surge in growth. The market is ripe; as baby boomers pay off their homes and settle into retirement, they are looking for a roof solution that lasts a lifetime.

A piece of land has taken your sleep but money shortage is turning down your morale. Still, you make efforts to grab the opportunity of securing your dream piece of land. You sell you old home, but it will take time, as you are not getting the desired price. This sort of financial crisis can be met with Residential Bridging Loan. The loan is especially designed for such kind of purposes and that is why, it is known as short-term secured financial facilitator. Secured it is because borrowers have to arrange collateral.

This type of loan is really a very short-term mortgage. Like a mortgage, bridging loan is a loan that is secured against your property. However, unlike a mortgage, this loan can run for anything from a month to three years. This loan enables you to use the property as collateral in the credit repayment, therefore reshuffle the process of checking credit scores and employment records. The requirements are that the borrower must be 18 or above and must be a resident of the UK.

You can take benefits of the money provision for your multi-purposes. Temporary funding for the purchase of property, to allow a business to raise money, to fund the purchase of an overseas property etc., are some of the generally usages of this kind of short-term money provision.

Residential bridging loan comes in open and closed bridging loan. Open loan is available when you have not yet finalized the terms on which you are selling your own home, but are e going ahead with the e one you are buying. Closed loan is available when you have agreed the terms on the home that you are buying and the one that you are selling, but there is a delay in moving.

As the lending on commercial bridging finance is typically only for a very short time, the interest rates are likely to be higher than for a standard commercial mortgage as the lender will covet to make sure a satisfactory profit over the shorter period involved.

For all of your purposes, you can apply the loan as per your convenience. There are numerous lending options available for you online and offline. However, for your fast processing, you can apply the provision online too. Online accessing is simple and convenient. Only that much you will have to do is to fill in a simple online application form and at the next hour the amount you need is available for you.

You will benefit from using residential wiring diagrams if you plan on completing electrical wiring projects in your home. An electrical wiring diagram can be as simple as a diagram showing how to install a new switch in your hallway, or as complex as the complete electrical blueprint for your new home.

Although household electricity is nothing to play around with, in many ways, wiring is simpler than other repair and remodeling skills such as carpentry. Once you’ve learned some basic skills such as installing boxes, running cable, and splicing, you just need to determine which wire goes where. This is why a good wiring diagram is important for wiring your home safely. Keep your diagrams near-by. You’ll want to refer to them often as you work on your project.

Wire Colors:

Electrical wiring diagrams that are in color have an advantage over ones that are black and white only. The wires will be colored the same as the actual wires you will be using. Commonly, the green wire is ground, white or off-white is neutral, and black, red or other colors indicate the hot wire. In some instances, such as some switch legs, the function of the wires will be indicated by colored electrical tape.

Symbols:

When looking at any residential wiring diagram, start by familiarizing yourself with the symbols that are being used. The electrical symbols will not only show where something is to be installed, but what type of device is being installed. Make sure you understand the symbols on your diagram before beginning your project. There should be a chart on your diagram showing the different symbols being used, much like a legend on a map.

For example, a surface ceiling light will be shown by one symbol, a recessed ceiling light will have a different symbol, and a surface fluorescent light will have another symbol. Each type of switch will have a different symbol and so will the various outlets. You’ll even find symbols showing the location of smoke detectors, your doorbell chime, and the thermostat.

Switches:

When it comes to household electricity, there’s a lot more to consider than simply turning a switch On and Off. Some of the most common questions electricians receive involve switches. Once you understand the different types of switches and follow a good wiring diagram, you should be able to install a new switch in your home.

Here are some of the more common switching configurations:

A Single-Pole Switch provides switching from one location only. “Single-Pole” may sound simple, but there are different ways to wire a Single-Pole Switch and a set of electrical wiring diagrams will explain each of them to you clearly.

3-Way Switches are used to control one or more fixtures from two locations. This is a common configuration in hallways and staircases. There are many ways to wire a 3-Way Switch. The power can start at a fixture or either of the two switches. Without a wiring diagram it can be very easy to make a serious mistake.

A wiring diagram will even take the mystery out of wiring a 3-Way Dimmer Switch. What a great way to enjoy softer light and a reduced energy bill!

One of the most complicated wiring configurations is a 4-Way Switch. These switches enable you to control one or more fixtures from three or more locations. It would be almost impossible to write the instructions in a way that you could simply read them and complete your project. However, a good wiring diagram will make it possible for you to successfully and safely tackle wiring 4-Way Switches.

As important as electrical wiring diagrams are to the successful completion of your wiring project, safety and respect for electricity are essential. Never work on live circuits. Before you begin your project, identify the circuit you’re working on and then turn off power to that circuit at the main panel. Then confirm that the power is off with a voltage tester. If at any time you feel unsure about what you’re doing, please call a licensed electrical contractor.

When investing in residential property one of the key factors to consider is your net return on monies invested. This will be a primary indicator on whether or not to proceed.

To assess the net return you will have to compare it with the average returns for similar properties. Too low a return may mean that alternative investments should be reviewed, while a very high relative yield may mean there is an accompanying risk factor that is higher than normal.

Please remember areas that produce lower yields predominately have a higher capital gain and at the end of the day that is what its all about when investing your money in property.

The yield is calculated by starting with the purchase price. This is the denominator. The numerator is your net yearly income.

To figure out the net income you take your yearly gross rent and subtract your outgoings. Outgoings for residential properties include your managerial fees paid to the letting agent, council and water rates for the year, estimated repairs and maintanence and land tax if applicable.

You should set aside a yearly amount for repairs and maintenance, since big expenses occur periodically and not necessarily yearly.

When investing in property plan to hold the property a minimum of five to seven years. This accounts for economic cycles and changing conditions.

Rental returns are still on the increase due to short supply of investors, particularly within 20km to the Sydney CBD. Several leading commentators of the real estate market have spoken out recently regarding this issue.

Steve Martin, President of the Real Estate Institute of New South Wales has spoken recently in the media about the rental crisis and has called for changes to taxation for property investors.

With winter here buyers are probably thinking let’s hibernate until spring time, well don’t. I have always found that in winter it is usually the vendors that have to sell putting their properties up for sale.

With a downturn in the market, and in most cases less competition through this period, you could be looking at a three to five percent difference in your purchase price, maybe even more.

There is no doubt that during winter you have a little less variety to choose from than you would during spring, but it is still worth getting out there.

Please remember buyers by the time you search, negotiate and settle your property you are looking at a minimum of around four to six months. If you need to sell a property you could even be looking at longer. So make sure you plan way ahead when you are buying and selling.

DO HOME-BUYERS ACTUALLY LEVERAGE THIER COLLECTIVE BUYING ABILITY?

Let me make this outrageous statement at the beginning of this post – “Most…… (Please note that I am not generalizing) Most consumers or retail investors in the residential realty segment don’t have an idea on what they look for, what they are bargaining for and what exactly to expect. They pretend to be experts with their source of knowledge or expertise being another one of them”.

I will explain the above. Give me some time to draw an analogy. These very consumers, when they go out to buy cars, they don’t pretend to know much more than the car manufacturer.  When these very clients visit a doctor, they don’t try to throw their limited acquired knowledge on the domain of medicine at the specialist. Likewise, when it comes to real estate, we have more pretending specialists than real ones, ON BOTH SIDES OF THE TABLE.

As a member of the CERTES REALTY business group, I have had the opportunity to meet a few client groups, who wanted to go out and source investment opportunities for themselves. Some small groups, some larger. If I have to fix up a percentage to such deals fructifying, I am afraid that it won’t be more than 5%…. just five percent? WHY?

In the first place, these groups attempt to source, compare, negotiate and close the deal, all by them. THEY DO NOT HAVE AN OUTSIDE EXPERT AGENCY TO HANDLE THE ASSIGNMENT. I would deal with the handicaps and threats of this approach, ahead on the article.

As a direct assignment, I interact with these groups of buyers, mostly corporate executives in the age group of 30- 40 from the private sector, and 35-45 from PSUs & government sector. The following are some of the salient observations on my interactions.

Most groups try and nominate a few enterprising fellow employees to spearhead the discussions, with developers / agents. These members need not always be the most competent, diligent or even the needy, as far as that particular investment is concerned.

The groups are large when formed. But with the progress of time, and lack of visible success, the attendance dwindles.
Hardly are any ladies nominated as members. There surely must be a reason!!!
There are no clear leaders, and division of specialization, or responsibility.
There are no clear mandates, and defined time-lines, price points & specs, at the start of the short listing process.
Most discussions start with pricing and every discussion meanders to price per sq.ft.
Having said the above, the groups would like to consider all product categories, including land, even if for academic sake only.
NO FINANCIAL COMMITTMENTS TAKEN, in the absence of the above.
Every order is worth more than 100 apartments, OR, almost 50 crores of sales.

I have also noted that whoever has invited CERTES REALTY into such the first meeting / credential presentation does draw a larger audience, and everyone is hopeful of the experts delivering some immediate solution at price points 30-40% below the market price. Unfortunately, it doesn’t happen that way. More often than not, the members of my team, at the conclusion of the meeting would still be thinking of defining the requirement, rather than delivering the solution.

Having said the above, it is extremely critical that any such assignment is always structured in a win-win situation for all three involved in the deal – The developer, the buyers & the connected parties like Banks, Investors etc. We always endeavour to achieve a higher success rate on such assignments.

In the section above, we looked at ‘what-not-to-do”. It would be imperative to focus on “what-to-do-right”, and ensure that everyone’s aspirations are fulfilled.

a)    The first & foremost advice that I normally volunteer to clients is – “Don’t try to do it yourselves. Had you been an expert on every related field, there would not have been space for professional organizations“. Now, there is no vested interest here. This advice is purely on professional basis. You see, time is money and money saved can only be on the basis of ‘what you know, rather than whom you know’. I have seen people take judgemental calls based on one of their members knowing someone, or having interacted with a brochure, or an individual from a developer organization.

b)    Define what you want, rather than accept what is available – Most groups I have interacted do mention in the first meeting itself that they have the ability to buy a 1000 apartments if it is available @ Rs. XXXX per sq. Ft. That to me is a flawed way of considering a capital acquisition. Pricing of a product is a function of values – Tangible & intangibles. Without recognizing your need, one cannot define the price. In my experience, most such orders fall to below 10% of the initially projected numbers, once the details are under circulation.

c)    Recognize the handicaps & weaknesses – Many a times, the enthusiasm and optimism overrides. Many groups don’t recognize the fact that realty projects take 2-4 years to complete, and they cannot afford undivided attention to the follow up of the progress of their project. This leads to slips in follow up & eventually, the quality of the agreed deliverable.

d)    It is expertise that you pay for – You need expertise for the due diligence of the land, the approvals, the design, the developer credentials and every facet of the project. If the spread is analyzed, the cost of enlisting an expert organization is less than the cost of a one dinner date with the family. Is it wise to save that?

e)    Charge & pay for services – We always request client groups to form a small society, association or service group and seek a notional amount between Rs.3, 000 to 5,000 from each of the intending members. Whenever these groups have sent our circulars amongst employees, there is a horde of ‘ayes’ for housing. When a membership is proposed, 60& drop out. Why??????? That exemplifies the seriousness. A few enterprising members take on the responsibility for interacting with possible partners. Do they have to pay the costs & expenses from their pockets? DO they make personal commitments to service providers to take them on board? A better way would be to accumulate a small corpus and cover the costs. Also, pay small expenses through this fund. Remember, one would derive a much better valuation by paying Rs. 3000 towards the corpus when you are intending to buy a capital asset valuing more than 30 lakhs.

In our case, we seek a minimalist Rs. 10,000 from a corporate, as token recognition of our effort, the receipt of which signifies the client need. No other fee is leviable at a later date.

Let us not ignore the facts as they remain in the real estate sector

– The success rate is not more than 3%!!!

Having said the above, there are instances of success stories in the Delhi NCR region, on such deals. The moot question to ask is:-

WHAT DID THEY DO DIFFERENTLY?
HOW DID THEY GO ABOUT?
AREN’T THEY HAPPY THAT THEY RELIED ON PROFESSIONAL FACTS, NOT ON PRESUMPTIONS?

Homeowners who are not able to sell their home quickly have the option of either waiting for a good buyer to come or renting out their property. While there may not be as many buyers in sight, an ideal choice would be to lease the home. At least with this option, the homeowner is assured of a steady income in the coming months compared to not getting any cash at all. 

Of course, as in any transaction involving real estate, a contract or agreement needs to be accomplished to make everything legal. The contract in this case is referred to as a residential lease agreement which binds the landlord and tenant. The landlord can either be the real homeowner or somebody assigned by the owner to manage the property. It is used to inform a tenant of all the terms and conditions of the rental so that all parties involved are aware of their responsibilities.

Some important provisions included in this type of agreement are the following:

Lease premises. This refers to the property itself and identifies its location.
Terms of lease. This pertains to the extent a tenant can use the property while he or she is occupying it.

Length of stay. This refers to the date the tenant starts occupying the place and the termination date.

Rental payment. This specifies the amount of rent to be paid by the tenant on a monthly basis.
Late fees. Should a tenant fails to pay his or her rent on time, landlords normally charge penalties for late payment.

Security deposit. This provides for the amount of security deposit and specifies the conditions on which it will be returned.

Quiet enjoyment. This is usually a promise that the tenant may enjoy the premises in a peaceful way.
Assignment and subletting. This defines the conditions of assignment and subletting the property.
Names of parties. The full names of the landlord and tenant including their signatures should be on the agreement.  

Condition of the property. This portion states if the property is in good condition or has some defects.

Pet policy. This should let the tenants know if they are allowed to keep a pet or not. The type of animal and its size must be specified.

Other details that may be included are the repairs covered or not covered, activities allowed and restricted and the right of entry.

It is important to note that the residential lease agreement prohibits the two parties involves from changing any of the terms during the lease period. A common lease period is one year or more. However, month-to-month tenancy is also allowed and may be for an indefinite period of time with the rental fee still being paid on a monthly basis. Although an oral agreement may be made, it’s always best to put everything in writing especially when fees or refundable deposits are involved.

Keep in mind that a written lease agreement will ensure that the owner’s rights are protected. Be sure to have the right knowledge on the laws of your state that concerns renting out properties. There are some states that require a lease agreement to provide a warning on the use of lead-based paint for homes built before 1978.