Real estate investing certainly carries a hefty price tag. It takes a considerable amount of up-front cash to buy a property, make the necessary improvements, and get everything ready for your property to start making money for you. If you don’t have all the cash you need on hand, don’t give up hope! There are multiple ways that you can get your hands on the money that you need to get your real estate investment up and running.
Government-Backed Investor Loans
Certain loan types, such as FHA or VA loans, which are backed by the federal government, often require smaller down payments ranging anywhere from 0% to 3.5% down. While that percentage may go up depending on your credit score, as long as you’re above a 580 on your credit score, you should be able to obtain the loan for a minimal down payment. However, these loans are only available to owner-occupants of the home. To be able to get a federally backed loan, you have to commit to living in the property for at least twelve months before you begin using it as an investment. Depending on what type of renovation your subject property needs, you may be able to start working on the property while you live in it.
Home Equity Line of Credit
Often referred to as a HELOC, a home equity line of credit is a solid choice if you don’t have access to six months worth of cash or liquid assets needed to back an investment property. To get a HELOC you basically let your home stand as collateral for the loan, which means you are at risk of losing the property if you can’t make the payments. To secure the investment in some capacity, you can consider only taking out a loan for the portion of the money you need, which will minimize your risk.
Private Money Financing
Instead of financing through an institution, a private money financing option puts you in touch with a private person who has access to the funds that you need. Depending on your relationship with the lender, they may be willing to finance all or a portion of the money you need to secure your investment property. The interest rate and repayment requirements will vary from private lender to private lender, so you’ll want to be well informed before you come to any agreements.
The Seattle real estate market is one of the hottest markets in the country. Over the past few months, home prices have started to accelerate even more quickly. The economy of Seattle is strong, and this is encouraging many people to move to the area. Not only that, but there is less traffic in Seattle than other major cities.
The biggest driver behind higher housing prices in Seattle is a lack of inventory. It is fairly common for a home to sell within a day or two of going on the market. There are many people who want to buy a home in the area. The problem is that there are few homes within an affordable price range.
The good news is that many building companies are working on new homes. However, it is going to be several years before the new homes will catch up with demand from buyers. Over time, this should be an issue that gets worked out with more homes being built.
As a buyer in the Seattle market, reacting quickly is essential. If you see a property that you are interested in, you need to submit an offer quickly in order to be considered.
Over the past year, home prices in Seattle have increased by more than eight percent. This is a massive increase in prices during one year. Many real estate experts believe that this trend is going to continue into 2018. With more demand from buyers than ever before, sellers have an incentive to continue increasing the list price on their home.
Real Estate Investors
Investing in real estate is a great financial decision over a long period of time. There are many real estate investors who are looking in Seattle for a property to purchase.
This is another factor that is increasing the overall cost to live in the area. Real estate investors typically react quickly when a home goes on the market. Seattle is a great market to find a rental property in because of all the population growth. Rent prices in Seattle have also been rapidly increasing in recent years.
Although Seattle is a great place to live, many people are having a hard time finding a home in the area. Some people are starting to look at cities around Seattle in order to find more affordable homes to purchase. The inventory shortage in Seattle will continue in the next year.
If you’ve tuned into HGTV recently, you’ve likely stumbled upon one of their many shows about tiny homes. These small accommodations have swept the nation, and many people are now looking to downsize for their next home buying endeavor. These small houses have made such an impact on not only people’s personal well-being but the nation as a whole. Many cities around the world have embraced the concept of tiny homes as a solution to homelessness. Whether it’s for personal or communal gain, these tiny homes have swept the nation and are likely not leaving anytime soon.
There are an abundant amount of reasons that people are choosing to live small. The main benefit to having a smaller home is the financial savings it provides. People who have downsized to tiny homes have saved money in the buying process and beyond. Tiny homes average selling point is between $19,000 and $50,000, over half the cost of a standard single-family home. Due to its size, these homes also save on almost all utility bills. For those who have a stationary tiny home, you are looking at an average savings of 50% on your electric and gas bills. For those with the ability, splurging on items such as cars and vacations becomes more feasible when living in a tiny home. There are endless benefits that come with being a tiny home owner. Everything from sustainably to eliminating clutter is achievable when choosing to downsize to a tiny home.
Our very own Seattle is making great strides at putting the tiny house phenomenon to a good use. As affordable housing is a constant concern for many cities around the world and such locations are struggling to find answers. Seattle is making strides, through tiny homes, to improve homelessness. Earlier this year, it was found that there were only around 100 affordable housing apartments available in the Seattle area. This was nowhere near enough to accommodate the number of homeless citizens in our city. Seattle city council members agree that tiny homes are a more appropriate solution to homelessness. The tiny homes that the city is providing for its homeless residents are sustainable and sufficient living situation. As of now, there are five communities that exist. The tiny homes cost around $2,000 and are assembled by volunteers. If the expansion of tiny home communities continues, the city can expect to a decrease in homelessness. This means fewer people sleeping in tents or cars and more people getting their lives back.
Real estate is quickly becoming one of the most desired professions around the country. There is a major process involved when it comes to being a realtor. Making the decision to become an agent can end up becoming one of the most rewarding experiences. Nothing compares to the feeling of helping people find the home they will make many memories in. Once you have decided that real estate is your calling, follow these steps to obtain a real estate license in the state of Washington.
The state of Washington requires anyone seeking a real estate license to complete 90 hours of education. This education is broken down into two parts. The first part is 60-hour course regarding the Fundamentals of Real Estate. Across the country, realtors must complete this portion of the course. The second part of the course, which is only applicable in certain states teaches Real Estate Practices. Fortunately, you are able to complete these courses online. Organizations such as, Kaplan Education offer online programs for those seeking their license. Once you have completed all of the necessary educational course you can continue onto the exam portion.
Washington has a specific provider that proctors the exam. The Broker’s exam can be taken with Applied Measurements Professionals Inc (AMP). The school where you completed your education can pass along your proof of completion to the testing organization. Once AMP has received your credentials you are then able to apply to take the exam. You can apply for the exam online, via phone, or mail. There are various testing sites around the state. Find the one closest to you by visiting AMP’s website.
- License and Background Check
Once you have successfully passed the exam you are then able to apply for your real estate license! During your exam, you are given a fingerprinting card. With this card, you must go to one of the designated centers and get your fingerprints done. Upon receiving your clearances, you can submit your application for your license. Finally, upon receiving your license, you are allowed to start your exciting new career!
Before putting your home on the market this summer, there are several things to keep in mind in order to give the best impression to both potential homebuyers and real estate agents. Following the eight essential steps below will help you maximize success during the home selling process.
Whether it is adding some hanging wall flowers on the tree or applying a new layer of mulch in front of the house, little details can enhance the overall look of the. Basically, well-kept landscape signals to both buyers and guests that not only do the owners prize themselves
Prep the deck or patio
A deck or patio is definitely an important feature in a home, so assessing any way you can fix up tiny cracks or offering a new coat of paint can be a great way to improve your home’s aesthetic. If you haven’t already, you can dress the patio up with a new seating area, a few flower pots, or plants to make it look even nicer.
Keep up with clean-up
Ideally, outdoors are should be cleaned at least once a year with a power washer to remove any dirt on the exterior parts of your home. Walking through your yard and thoroughly evaluating what to keep/remove on your property is absolutely necessary.
Especially during the summer, taking the necessary steps to properly clean your windows is also a nice touch. Cleaning your windows to remove debris not only makes the house seem cleaner, but it also allows natural light to accent the internal beauty of your home.
Taking a rainy weekend to sift through clutter will also help you better prepare for when potential homebuyers and real estate agents come to visit the house. Not only is cleaning up clutter a great stress reliever, but it also allows you to get rid of items on a mass scale.
Also, connecting with your real estate agent to see what else should be done before putting your house in the market this season is ideal. She/he can provide insight on how to improve your home by focusing on overlooked tasks that may have escaped you.
While exciting, it can no doubt be overwhelming when individuals, families or couples are on the market looking for a new home. Amidst all the meetings with real estate agents and open houses, there comes a time when it is necessary to sit down, gather your thoughts, and set a solid plan to move forward in this process.
Speaking with a professional
The first tip is to remember that you are not alone through this process. Keeping in contact and working with a real estate agent will help you organize your thoughts during this journey. Using the professional resources around you will help you gear your search towards long-term success.
Clear your mind
As you see homes you may a long list of features you would like to have in your new home. However, if you like to live in an area that is generally family friendly with a great school system, it may be really difficult to find your dream house with everything you want. Opening your mind to become more flexible when looking for a new home is essential instead of becoming disappointed if certain features are not incorporated.
One way to get a great idea to see how much you can afford to put towards a home is to evaluate how comfortable you are spending outside your budget. Just to better understand the situation, be sure to start small and purchase a small home. This way, if your partner happens to lose his or her job, you can avoid spending money beyond your means.
Take your time
Try to focus on the task at hand and avoid letting the excitement overtake you during the process. Take the time to weigh out all the advantages, disadvantages and areas of improvement in every home you look at. Basically, organize your thoughts you have about each house so you can consider all your options.
Preparing for the long hall
Figuring out how you will pay your expenses (either upfront or within your loan) will reduce any nervousness or anxiety you may have. Having some extra money on the side that factors in extra expenses such as moving costs, additional future you may need, and other micro-investments that could arise are ideal ways to prepare for anything unexpected.
Using these tips to the best of your ability will ease this strenuous process both at the day to day and higher levels.