Tim is a long time guest blogger here and we are always happy to have his market insight!

It’s a standard component of the American Dream for citizens of this country to someday own their own house. Those fortunate enough are able to capitalize on the actual acquisition of property, and it’s a massive investment that deserves an extremely calculated decision. Not only is buying real estate a very expensive choice, but it’s also one that comes with a mortgage often lasting 15-30 years. It’s a large-scale commitment that people need to assess on all levels before putting the pen to the paper.
The steps that people take to locate, view and purchase a house are vast and also varied by individual situation. What one particular family finds critical in their decision may be an afterthought for another family. While these differences between prospective home buyers are more than common, there is a similarity between many home buyers that needs attention: children. Believe it or not, children play a large role in real estate investment. If you are a prospective homeowner with children, there are some important factors to consider before signing off on a house. They’re listed below.

1. The age of children

It’s a fact that many people base real estate decisions on the size of their family. While it’s without a doubt the right decision to consider the number of people that will be living in a residence, it’s also important to consider the age of the children that will be residing in the property.
For instance, paying an extra $75,000 for a house with two extra bedrooms is realistic. Parents often want their children to have their own space to develop, and at the very least they strive for a room that children can share in the early years.
However, the age of children needs to be considered heavily when an investment of this scale is being made. If a family has two girls that are sophomores in high school, it may not be worth reaching deep into the bank account for the five bedroom house. Is it possible to settle on a four, or even three bedroom? With the girls close to becoming women and eventually moving out, it makes sense to seriously consider whether a larger house is necessary when the nest will most likely become empty on short order.
Highlight: It may be worth a second look if you’re planning on buying an over sized house, particularly if your children are nearing the age of moving out. Extra rooms inflate a listing price and they also fail to serve a legitimate purpose when uninhabited. It’s always nice to have extra space, but when this magnitude of an investment is being considered, it’s wise to look carefully at the age of any children involved.

2. Living situation

Buying real estate is more than purchasing a physical structure. Property investment is an all-encompassing decision that requires careful analysis of the prospective living situation, among other factors. When children are involved, any house that a parent or set of parents settles on will surely be influenced by the kids in their life.
Children can make a neighborhood or house the right decision, and contrastingly, the very wrong decision. For instance, parents with young children should focus very closely on the school district that their prospective lot will fall within. The school system they end up going through can change them for the rest of their life. Even if someone finds a dream property that falls within an average school district, it’s important to not compromise at all on a child’s education. It’s too important.
Additionally, it’s important to analyze any prospective property and make a decision as to whether it fosters an environment that caters to children. For instance, if a family has young children, does the house have a yard? Is it secure? Is it close to major roadways?
Highlight: When you’re deciding whether or not to push forward on a real estate transaction and you have children, make sure to consider the overall living situation and how the young people will influenced by it. Will the place you’re looking at provide a safe environment for them? How will your family dynamic operate in the new house? How long will your children even be there? Does the house cater to grown children? These are all things to consider.

Buying a house is a situation that deserves the respect of a large-scale investment, because it is one. Children are a critical factor to focus on throughout the process. They will be influenced by, and also influence, the future in the house and it’s important to acknowledge this early in the decision.

Tim Richmond writes about the mortgage industry, real estate, green building, personal finance and home ownership. He currently writes for the Native American mortgage specialists 1st Tribal Lending.

If you’re looking to invest in property, you’re likely hoping to both make some money and maintain a clean, safe living space. The neighborhood is a major component to consider when purchasing properties, because you want to ensure that there is a high real sale value. Read on to find out exactly what you need to know to be successful in the real estate game.

School District

In some areas of the country, the school district does not necessarily coincide with the town. For example, let’s consider two towns named Town A and Town B. Since these two towns border each other, a small portion of the children who live in Town A might be sent to the Town B school. You want to pick properties that fall into the better of the two school districts in this scenario because parents are generally concerned with this aspect.

Community Safety

A few major problems could result if you buy in a town that has a high rate of crime. Property damage might be a common occurrence. Furthermore, in a large house, you might inadvertently wind up renting our rooms to a ring of drug dealers or people involved in other sketchy activity. Certainly, it will be very difficult to manage this type of property. Additionally, people are not going to want to buy the house down the road if the area continues to get worse and worse.

The Current Market

As many people know, the climate of the real estate market is not great right now; however, the specifics vary from place to place. Buying a home in a crumbling community is not the best idea right now because the market price could continue to decrease through the years. Look for a neighborhood that has a lot of properties selling at their market value; it’s generally fairly easy to find this type of information online. If you’re willing to do a few improvements around the house, then you can likely turn the house around and make a decent profit down the road.

Weather

What exactly does weather have to do with anything when it comes to investing in a property? Envision a home that is constantly being destroyed by severe floods from hurricanes or high winds from tornadoes. Picking a property in one of these communities, especially right after a devastating storm has just hit, is not the best idea. First of all, the resale value is probably going to, unfortunately, drop. On top of that though, you will now need to deal with all of the weather conditions. Having a house right on the water might seem glamorous, but it is not always the most practical decision in a place that experiences such weather issues.

Considering all of the aforementioned factors is necessary when you’re choosing the neighborhood in which to purchase a property. Indeed, you’ll certainly have some extra work to do now. However, a few years in the future, you’ll likely be able to make a lovely profit on that house and will be happy you put in the extra work.

Michael Jonas writes about business and finance. His recent work is about how to find the .Best Business Schools Online

All around you, you’ve been hearing about how terrible the real estate market currently is. However, this news is usually for sellers. Houses are not selling at very high prices. For buyers, purchasing a house or investment property right now is a smart idea – and here’s why.

A Buyer’s Market

Another idea that you’ve probably heard about is the fact that it’s currently a buyer’s market. Essentially, since the prices of houses have stayed low for awhile, it is easier to purchase a home. Of course, this concept varies depending on where you are living. Some parts of the country are still extremely expensive. If you do have the money to do it, you likely won’t see such low prices for too many more years. It’s likely that you will be able to make money on the house down the road.

Picking Up Again

People are generally unhappy with the state of the real estate market. It can be a huge struggle for people to sell their homes, and they are desperately trying to reduce the price without doing a short sale or going into foreclosure. Fortunately, for these individuals and people who want real estate investments, everything will eventually pick up again. You cannot have a specific time limit set on when the market is going to turn around. If you are buying a house or piece of investment property, then you need to be prepared to hold onto it for awhile.

Renting Spaces

Whether you are buying a true investment property or a house that you plan to rent out in the near future, you do have this option available. You can also tailor the rented spaces to fit with the area. For example, let’s say that you purchase an investment property that is near the ocean. This place is sure to draw a lot of attention in the warmer months, so be sure to put it on a site that particularly targets vacationers. Part of making a return on these properties is knowing how to advertise them and to whom to advertise.

Place for You

Ultimately, you might buy an investment property and rent it out for years or even decades. This home might be in a place that you’ve always dreamed of living but can only realistically go to on vacation right now. Once retirement comes, your entire situation could be different. Finally, you can move to this home that you love, and you will be able to enjoy all of the benefits it can provide. Yes, when it comes to properties, people often want to know about the financial gains they can receive, but other types of benefits exist as well.

No matter what the market is like, buying a piece of real estate or an investment property is always going to have at least a little bit of a risk attached to it. Do not become frustrated though. Now is an excellent time to add that secondary property you’ve always wanted.

Ashley Rink writes about all aspects of finance and business. Her recent work is about the Top 10 Best Online Business Schools.

What are my other housing costs outside of the loan?

As you make the financial decision to purchase a new home, you need to know what all of the included costs are going to be. Outside of the loan that you will most likely need, there are many costs that can vary and make your home pricier than you originally expected. What are some of these costs?

There are two upfront costs that you will have to pay when you purchase a home, these are the down payment and the closing costs for the loan. The down payment is usually a percentage of the selling price, typically between 10 and 20%. Closing costs vary depending on the lender; some charge certain fees for the loan.

When considering a home you will want to have it inspected to ensure it is up to code. This is also going to cost you some money. The amount you pay is going to depend on what checks you want to do on the home, if you want to check the structural integrity of the home, the heating and water systems, pests, lead paint, etc.

You also need to add up all of the fees that go along with buying a home. Fees are based on credit profiles, the amount of the loan in relation to property value, your personal situation, and the type of home that you are purchasing. Service fees charged by the lender cover credit reports, appraisals, documentation and administrative costs. Property taxes are also something that you need to take into consideration, every homeowner needs to pay property taxes and you might even owe the previous owners for property taxes if they already paid.

After considering these outside costs of purchasing a home, you aren’t done with payments other than your mortgage. Many new homeowners forget about the maintenance costs that come with owning a home. Utility costs go up significantly if you have a large home, have a pool, or any other feature that causes utility bills to rise. Unlike renting, you are responsible for any repairs your house is going to need. As the house ages, it will require more repairs and more upkeep for it to stay structurally sound.

Insurance is also a priority when owning a home. The costs vary greatly, depending on the state of your property, location, and the type of mortgage you have. In order to get a mortgage you will need homeowner’s insurance for both the property and the contents. Additional insurance to cover natural disasters might be something to look into if the location is prone to certain natural disasters such as floods, earthquakes and tornados. Private Mortgage Insurance might also be required for the home, as well as title insurance which offer protection for if you discover that who sold you the home didn’t actually own it.

There are many hidden costs to purchasing a home that home buyers don’t consider up front. Fees, closing costs, insurance, utilities and repairs are just some of the most important costs that come with purchasing property.

About the Author:
Cherry Hills Real Estate Agent, Sandy Weigand is pleased to bring you this article on what are my other housing costs outside of the loan? Sandy has been in real estate for nearly 30 years, and works primarily in Cherry Hills, and Greenwood Village Real Estate. If you are interested in learning more, check out her website today.

Wade Myer has worked on houses for much longer than he’d care to admit, and he’s even been able to sell a few while he’s been at it. He’s currently working on Crown Point custom homes in Northwest Indiana with Steiner Homes.

Selling your home is never an easy process, and if you want to get the best deal everything needs to go as planned and a bit of luck needs to happen along the way. You can influence some of this luck by putting in the extra work to have not only your property, but the surrounding property as well, show off and impress the buyer. While the home is important, there are many factors that go into the final purchase; the location, neighborhood, neighbors, all can play a major factor on the offer’s you’ll get.

Measured by the Company You Keep
Fresh coats of paint and perfectly manicured lawns on the house you’re trying to sell won’t go very far if it’s flanked my poorly maintained properties. After all, the new owners will be looking out of the windows all the time if they should move in. If you’re in good standing with the community then bake some brownies and go ask your neighbors to be mindful while you try to sell your home. If you have a showing coming up let your neighbors know and ask them to refrain from their regular nude sunbathing or other unsettling hobbies.

Going the Extra Mile
While this might sound silly, I’ve gone as far as to mow my neighbor’s lawns, and have even stained or painted their fences before a showing. In my opinion, a well maintained lawn is a huge sign that the homeowner takes care of their property both inside and out and that it won’t be an eyesore. Of course my neighbors knew exactly why I wanted to do their yard work, but that doesn’t mean they didn’t like me pitching in and helping out. This could even be a great way to mend some bad blood with a neighbor you’ve had confrontations with. Offer out the olive branch first, then ask them to please park their lifted 4×4 with a custom flame decal away from your curb for the weekend.

Start Early
It may be years down the road, but you could already be thinking that you’ll want to sell the house eventually. This is the optimum time to spearhead community involvement and to keep homes on the block looking great. Start a mini homeowner’s association that promotes upkeep of the property and work together to help each other out. This doesn’t have to be anything expansive or official, even just something on the street where you all help pitch in can have a positive influence. Plus, you’ll be more likely to become friendly with your neighbors and they’ll be more willing to help out when it does come time for you to sell. Not to mention that most home buyers love to hear that there is a strong community involvement.

While there is plenty that is out of your control when it comes to selling your home, there is still a lot you can do to help turn the tide in your favor. Putting in the extra effort within your neighborhood might sound like a long shot, but it can have a noticeable difference when it comes time for the showing.

A few years ago, investing in real estate was a bandwagon which everyone was joining. Property prices apparently were unstoppably on the rise, and it seemed to be a game in which nobody could lose. Now the bubble appears to have burst, and many are wondering if it is such a smart idea after all.

The fact is that real estate will never stop being a worthwhile investment prospect. The clue is in the name — that is, real. Unlike stocks and shares, which depend entirely on the market, property consists of bricks and mortar, and people will always need somewhere to live. Of course, the market still has a part to play, and you have to learn how the property market operates. You will only succeed if you avoid the errors that nine out of ten people make.

One of the biggest errors is assuming that what happened yesterday is bound to happen tomorrow, especially in the current unpredictable state of the market. The most common reason for people to get involved in property investment is because they have seen someone else make a lot of money. Buying property for short-term appreciation is a big gamble, and you need a back-up plan in case the market does not keep rising.

Another error is buying purely on the — often bogus — advice of some self-styled guru, when you yourself actually have no knowledge of the subject. Real estate is almost the only type of investment in which success is in direct proportion to your level of knowledge. The more understanding you have of investment techniques, acquisition and finance, not forgetting your local market conditions, the more likely you are to recognize a good deal, and the more your risk will be reduced.

Yet another very common error is made by people who are seduced by the invitation to buy property with no money down, as a way of getting started, even if they have no cash in reserve. It is actually quite easy to find ways of buying with no money down, but you cannot survive in this or any other business with no cash reserve. Apart from anything else, you need cash for repairs, rehab, paying property taxes, and maintaining the property during vacancies.

You can find more mistakes to avoid at http://www.reiclub.com/articles/9-mistakes-new-real-estate-investors-make. It is certainly not true that investing in real estate only makes sense when the market is on the rise. No time is a bad time, as long as you know what you are doing. Keep a cool head, learn the rules of the game, then stop thinking and take action — and you will succeed.

A. Jimenez writes for many online establishments that deal with real estate and personal finance. She’s currently guest blogging in behalf of Jensen and Company, a real estate establishment in Park City, Utah.

Tips on Getting Mortgage Loans

Upon deciding to purchase your first home, you’re likely very excited. Soon, you’ll be going to open houses and checking out all of the possible spaces where you can live. It’s not quite that simple though; you’ll also need to procure a mortgage loan. What are some tips to assist you in that endeavor?

Get Pre-Approval
Obtaining pre-approval is such an important part of the mortgage process. While it’s absolutely not a requirement, it is a wise idea. Essentially, a pre-approval tells you how much house you can afford. Let’s say you do not get a pre-approval; you would likely wind up looking at some houses that are way out of your price range. With the pre-approval, this problem will not occur.

Fixing Credit Scores
Your credit scores are going to be a huge factor considered when the bank is deciding if you are eligible for a loan, how much that loan can be, what the interest rates will be and so forth. Pull a copy of your credit report right now, and start doing damage control if necessary. Of course, you want to dispute any problems that are wrongfully listed on the report. Aside from that, you also need to work on paying off those credit card bills that have been hanging over your head forever. These tactics will help bring your score back up.

The Down Payment
Another factor that will come into play when you’re getting approved for a home is the amount of down payment that you have saved up. It’s often recommended that you aim for 20 percent of the purchase price of the home, but that is often an impossible task, especially for young couples. An FHA loan will generally let you put as little as 3.5 percent down. Remember though, the more money you are able to put down, the bigger house you will be able to afford and the lower your monthly payments will be. Instead of immediately purchasing a new home, consider staying in your current home a bit longer or renting until you can save a larger down payment.

Be Patient
This process is not one that is going to happen in the snap of a finger. Still though, be sure to file all of your paperwork at the appropriate time, and keep in contact with the person or company in charge. You need to expect some sort of wait time though. Once you have received the pre-approval, keep in mind that the interest rate will generally expire in a set time frame. Therefore, you want to start looking at houses and making some decisions as soon as you are able to do so.

Now that you know the major tips about getting a mortgage loan, it’s time to get out there and start working on that pre-approval. Once you have that squared away, you can begin finding the dream home that you have always wanted in that neighborhood you’ve had your eye on for the past several years or so!

Author Jason Harter is a mortgage loan officer who also enjoys blogging. He is a contributing author for Best Finance Schools.