By Jason Gambi
I hope you’re not one of those people who paid full-price for a timeshare! Here are some basic rules to save (your cash.
Rule number one – Don’t buy from a company unless it is a genuine closeout. The very first timeshare I ever bought was from a promoter that had nearly sold out the entire resort and had a few weeks remaining during which he wished to close out so he could start a new development somewhere else. I paid $1999 for a week that in the previous year was being sold for $15,999 by the same company!
Try not to be scared by sales tactics on timeshare tours where they start out very high on the price and then magically find ways to keep discounting the price until you feel that it’s a great deal you can’t possibly refuse. Up to 70% of the cost of a timeshare is marketing costs. It is not uncommon for a developer to hire a marketing company and give them 50% of the sale proceeds. Unfortunately, in spite of promises made by salespeople, most timeshares resell for only 10-30% of their original purchase price. But this can sometimes be an opportunity for savvy buyers!
Always do your homework. Are you seeking to own a timeshare simply for exchange purposes or do you intend to use the resort? It really does make a difference. If you are seeking a timeshare for exchange it is important to understand the rules of the exchange companies (like Interval International). Each companyhas similar rules concerning exchanges. As a general rule, last minute exchanges are “first come, first serve”. It makes minor difference whether you are trading an expensive high season week or an inexpensive off season week. So, that week you buy on livingoffdividends.com/store for $100 may do the job as well as a $9000 high season week if you have the flexibility to travel on short notice and choose from a variety of locations and destinations available.
On the other hand, if you want to exchange into top notch resorts in high season it becomes more important to own something that is in high demand. Exchange companies operate under the principle of “comparable exchange” meaning they try to match the vacation experience provided by what you own to where you will exchange to. So, if you owned a 2 bedroom, 2 bath condo at a 5 star resort in Waikiki, Hawaii in the peak of season a comparable exchange would be to a 2 bedroom, 2 bath, 5 star in Cancun, Mexico in February.
In other words, you have to match what you purchase to the vacation experience you are seeking.
Where to buy? A great places to buy is http://livingoffdividends.com/store/Real-Estate/Timeshares-for-Sale. It is not unusual to find timeshares for under $100. The important thing is to know what you are buying. Contact the resort and find out about the unit and week you are interested in. As the new owner you are liable for any back taxes, unpaid maintenance fees and assessments. Do a search on the internet for “timeshare user groups” and search for the resort you are interested in to see if there are any problems you should be aware of.
Another source of inexpensive weeks is from homeowner associations at resorts. Contact resorts you are interested in and inquire about homeowner association weeks for sale. These are weeks that are owned by the homeowners usually because they were signed over to them in exchange for releasing the owner from back maintenance fees and taxes owed. Usually the association only wants to recoup the back fees owed and is not terribly interested in making a profit. See if the resort has a website for owners. There will usually be weeks listed for sale there. If there is an owner’s forum it will provide you with a window on how well the property is managed and experiences that owners want to share.
Buy Timeshares very cheaply and Buy Land Cheaply.
Buying Real Estate: Moving into Your New Home
By HilltonAngela
So, you were able to buy real estate? (http://realestate.ozfreeonline.com/) You now have your own piece of property. The next step is to move in. Moving isnt just about transporting all your things from one place to another; its about uprooting your life and rearranging it. As such, you need to prepare to do the following:
Prepare a checklist of things you need to do to move out of your current home. Include the items that you will take with you, those you will leave behind and those you will donate to charity.
Hire a mover. While you can do this yourself, professionals will make the job so much easier. Shop around for a good service provider and check if the price includes packing and insurance.
Get the floor plan of your new home and decide where the major furniture and items need to go before you move.
Make sure you get all the keys to your new home from your real estate agent.
Have your electricity, water, gas and telephone from your old house disconnected and make sure you get them set up in your new home before you move in.
Redirect your mail at the post office.
Advice all the parties that need to be informed of your new address. This includes friends, family, credit card providers, banks, solicitor, schools and even your company.
Change the address on your drivers license.
Cancel all regular deliveries that you get (ie newspaper, groceries) as well as items you ordered for shipping that have not yet been delivered.
Check the locks and smoke alarm in your new home. You might want to change the locks just to be safe.
If you have children, make sure everything is child-safe. Stock up the medicine cabinet as well.
If you have pets, start pet-proofing your new real estate property.
Buying a new real estate property is a major event. Moving in, though tiring, is even more exciting the property purchase.
Angela Hillton
http://realestate.ozfreeonline.com/
Level 1, 179 Barkley Street
St.Kilda, Victoria
Melbourne, Australia 3142
HilltonAngela@gmail.com
Tips on Buying a Home After Bankruptcy
By Richard Hewitt
Experienced bankruptcy lately? You may wonder if you will still will be able to get a home loan. You may also be wondering if buying home after bankruptcy is a good idea for you.
While bankruptcy can make your mortgage loan approval difficult, it is still possible to get approved. In fact there have been more and more, bad credit loans coming out all the time.
They are called the Subprime lenders; they are focusing more on helping individuals with poor credit in buying home after bankruptcy.
This is happening mostly because bankruptcies are still on the rise and there is an increasing number of people with bad credit who are looking for home financing.
Just to give you a bit of an overview here are some very good reasons to consider after bankruptcy buying home:
Increase your credit rating. When you make your payments on a regular basis, you will be able to develop your credit rating. Once your pre-payment penalty is done, you should be able to refinance your credit loan for a much lesser interest rate.
After your bankruptcy has been for ended 2-3 years, you ought to have a much easier time qualifying for a lesser interest rate mortgage loan.
You will be able to own an asset. If you are just renting a home then you are absolutely throwing your monthly payments away. Why not just buy a home, over time, its value will increase and you are working you way towards owing an asset.
Once you have bought your house, as soon as 6 months or so later, you might be able to take out an equity loan on your home and consolidate any other debt that you might have since your bankruptcy or debt that could not be included in your bankruptcy.
Taxes and student loans will not be discharged in a bankruptcy. You may also want to use the extra cash to invest in a business venture or for needed home improvement.
It is very tempting to buy an new home, new car, do some renovations, etc., after bankruptcy discharge you have no debt left. You will probably feel like you can afford a larger house payment due to the financial experience that you have.
But it is not that easy so here are some factors to consider before committing yourself to a new house payment.
The Pre-payment penalty. This penalty is usually about 6 months worth of house payments. And usually lasts from 2-3years. Once you sign those mortgage papers you absolutely have to make those payments. If you don’t have the amount of the pre-payment penalty in savings, you are locked into making the payments or losing the house.
The Two Year Mark. Keep in mind that after 2-3 years from the date of the bankruptcy discharge, mortgage loans will be much easier to get. With a small down payment, you might even be able to get a mortgage loan without a pre-payment penalty.
So, if you are within 6 months or so from the 2 year mark. It would be smart to wait it out and have more mortgage loan options.
Borrowing Too Much. This is the most common mistake that we usually get into. If you do decide to buy a house, buy one that you know you will be able to afford. Don’t max yourself out on credit, living right up to the edge of your income.
If your income suddenly drops, you’ll want to make sure that you can still afford your house payment. Be conservative with how much home you need to buy.
Most of us always think that bankruptcy is the end of our credit life. But don not despair because I know some people that have been in to bankruptcy but has been able to get up again and rebuild there credit quickly most of them has even been able to buy a new house.
Bankruptcy will show up on your credit report for 10 years. That means that every mortgage lender will certainly see that fact when evaluating your mortgage application.
Although it may be difficult to find a bank to give you a mortgage it’s certainly not impossible. Banks want to make money and you may find one that’s willing to take the risk.
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