1.Choose the wrong mortgage: With the advent of instant refinancing, home loans are no longer the lifetime obligations they used to be. Still, you don’t want to be saddled for even a short period of time with the wrong one. Investigate all your options, then lay your choices side-by-side and do the math, making sure to compare worst-case scenarios. Be sure to look at initial interest rates, future interest rates and payments (if different), and the possibility of prepayment penalties.

2. Confuse “pre-approved” and “pre-qualified” with a loan commitment: These are debatable terms in real estate because not all lenders apply the same definition to each expression. In fact, one leading real estate dictionary contains neither expression because their definitions are uncertain. According to one school of thought, however, when you are “pre-qualified,” the lender is making an educated guess about how much you can borrow based on information you’ve provided. When you are “pre-approved,” the lender has verified everything you have told him or her and is offering to lend you up to a given amount at current interest rates — under certain conditions. Whether pre-qualified or pre-approved, final clearance and a check at closing — a loan commitment — are subject to an appraisal satisfactory to the lender, good title, a last-minute credit check, and other verifications. When meeting with lenders, always ask how they define each term and what additional steps will be required to obtain a loan.

3. Have too much credit: Excessive credit is almost as bad as no credit or even bad credit. Even if you pay your bills on time, lenders tend to focus just as much on how much credit you have available to you as they do on timeliness. So being up to your ears in car loans and credit cards is a sure way to be turned down for a mortgage. Postpone any big ticket purchases until after you buy your house.

4. Lie on your loan application: Exaggerating your income on a mortgage application or putting down other untruths can be a federal offense. Lenders rarely prosecute liars. But if they find out later, they can call your loan due and payable. Don’t ever sign your name to a loan application that is not completely filled out, either. Loan officers have been known to stretch the truth to get a client approved, but it’s the borrower who ends up paying the price, often in the form of monthly loan payments he can’t afford.

5. Hide if you can’t make your payments: The worst thing you can do is ignore phone calls and letters from your lender when you are behind on your payments. Lenders have many options at their disposal to help keep borrowers from losing their homes to foreclosure. But they can’t do anything for you unless they can talk to you about your difficulties. Lenders are the enemy only if you give them no other choice.

6. Skip a home inspection: Failing to make your purchase contingent on a satisfactory home inspection could be a costly mistake. Independent home inspectors examine houses from stem to stern. They’ll be able to tell you whether the roof and/or basement leaks, whether the mechanical systems are in good shape and how long the appliances should last. They can’t report on things they can’t see, but at least their trained eyes are better than yours. So don’t pass just to save $300-$400; that’s money well spent.

7. Hire just any agent to sell your house: All real estate agents are not the same. You want to look for those who specialize in your neighborhood and are top producers. Ask your candidates how they plan to market your house, what you can do to make the place more attractive to prospects and how much you should ask. If you don’t like any of the answers, looks elsewhere. And above all, stay away from relatives. Unless Aunt Bessie or Nephew Nick fit the description above, keep looking.

8. Fail to check out a remodeler: Never, ever hire a contractor who knocks on your door or says his prices are good for only a few days. Reputable remodelers don’t solicit door-to-door, and they don’t cut prices just because they happen to be in your neighborhood. Check out a potential contractor thoroughly by calling several of his past clients, your local better business bureau, his bankers and suppliers, and your local consumer affairs agency.

9. Pay too much upfront: If a contractor asks for more than a third of the contract price as a downpayment, chances are something’s wrong. At worst, he’s a scam artist who has no intention of returning after he cashes your check. At best, he’s undercapitalized and can’t afford to purchase materials on his own. Or, in between, he could be using your money to pay workers on another job. Never give a contractor cash, either.

10. Burn your mortgage: It’s a wonderful feeling when you make your last house payment. After all, the place is now yours, all yours. Many people celebrate by holding a mortgage burning party. But they torch the original document. Don’t. Make a copy and burn that instead. Keep all your loan docs in a safe place.

With that advice in hand, home buyers can rest assured that they will make wise investments at the right time.

Consider the following points:

Check your current financial situation. You have waited for years for this day to come; if need be, you can wait for another couple of years. Don’t rush into any lucrative deal that a real estate developer offers you.
Do not invest all your savings in your new house or do not take a big loan, which you cannot afford to repay with your current income. You wouldn’t want to live in your new home with the burden of paying a monthly repayment that leaves you with nothing.
Make visits to the locality in which you will be staying, as it is important for your family to live in a clean and healthy environment in all aspects. Ensure that the building and construction is up to scratch.
When you are ready to invest in your new home, take the time to search for an agent who fulfils all your requirements. Agents with big brand names aren’t always the best ones available. Enquire in your circle. Ask everyone, including your friends, family members and work colleagues. Remember, finding an agent is really important. Do not make a deal with someone who only cares about selling a house to you. He should be prepared to provide you appropriate service—after all, buying a house is an important decision.

An important piece of advice: talk to your attorney before closing any deal. Obviously, you do not want to land into legal hassles—real estate is full of such complexities. So prepare yourself, and don’t land yourself in such situations—there are quite a few unscrupulous real estate developers waiting to trap you in their ‘lucrative’ building/construction deals.

In order to find a lender that will fit your needs you can talk with your own bank, talk with friends and relatives, search through the telephone book, and talk with your realtor. Realtors have a list of lending companies their clients have used in the past and this may be one of the best and easiest ways to find a lender.

If you are wondering what other costs you will be liable for once, you have purchased a new home that you may not have had to pay while renting; you had better be prepared to pay all kinds of other bills. In some cases, when you rent you may not be responsible for all the utilities that will now be your responsibility. You will have to of course, pay your mortgage payment, along with electric, gas, water, sewage, telephone, and cable. You will also have a yard to care for and will need to keep your lawn up or hire a company to mow your yard.

If you choose a home in a community, in some cases, the homeowners association requires a monthly or yearly fee so certain things they maintain such as the upkeep of the pool, community areas, storage facilities, and lawn care. Not all homeowner association fees are the same so you will need to read your bylaws to understand what your fees are being used for and what you will still be responsible for when it comes to your property.

Other things you will need to pay are property taxes and insurance on the home. Some lending companies include these in your mortgage payment. The majority of times you mortgage payment will cover the amount you borrowed to buy the home, the interest which is the money the lending company is charging you on the money they loaned you to buy the home, insurance for the home and property, and taxes that are paid to the city or county.

When you apply for a mortgage loan with a lending company you will need to provide such things as the social security numbers of yourself and your spouse, information for the last 6 months from your savings or checking accounts, information on all other assets including bonds or stocks, paycheck stubs for proof of income, credit card information, outstanding loan information, two years income tax statements, and references for employment.

What does it do?

Your belongings in the home such as clothing, furnishings and even the wallpaper would be protected with home contents cover and this includes everything you would take if you moved. Buildings insurance cover would cover permanent fixtures such as a fitted kitchen, bathroom suites and the bricks and mortar.

Having contents and buildings insurance cover means that you have peace of mind that if the worst should occur, you would at least not have to find the money yourself for replacement or repairs.

Contents insurance cover and buildings insurance cover would mean that you are able to start over again in the case of your home or belongings being totally destroyed, damaged or stolen, as well as many other perils.

Getting low cost cover

Check the cost of home insurance online to get among the best value cover. Do not forget to check what the policy includes as each will have different exclusions and could provide cover for different eventualities.

The excess is one way you can keep down the cost of your insurance cover. By offering to pay a voluntary excess on top of the standard excess, you will often be offered lower premiums; however you have to remember that you would have to find the money for the excess out of your own pocket if you make a claim.

Another great savings tip to keep down how much you have to payout each month is by making sure your home is as safe as possible. If you have a burglar alarm, deadlocks on the doors and windows, this makes it harder for thieves to break in. Insurance cover companies do take such things into account when deciding how much your premiums would be.

When deciding how much your contents are worth when taking out home contents insurance cover then do so with care as the figure you insure against will go towards setting how much the premium will be as well defining how much you will receive should you need to make a claim.

Do make sure that you do not undervalue your possessions, as you will lose out financially in the event of a claim.

Another common mistake that homeowners make when buying home insurance is to automatically renew with their current insurer. Renewing with your current insurer without first shopping around is one of the worst things you can do year after year. Your provider might have been the cheapest when you first took the cover but the chances are that the premiums have been raised over the years.

When taking out insurance cover for the home always look at the details of the policy. Usually you would have to pay for extra cover if you had valuable jewellery or expensive collections that you wanted to insure, so check that any high value items are covered.

Often taking out contents and buildings insurance cover together can give you the cheapest deal on home insurance so check out any special offers providers might have.

When it comes time to decide which holiday home insurance to choose, there are a few things that you should consider. If your second home is overseas or abroad, there can be different requirements to holiday homes in the UK. For instance, your property may have external buildings that are part of the main property, or your property may have a covered or indoor swimming pool. These things are not necessarily automatically included in the average holiday home insurance.

Often people think that insurance is insurance, and you might as well just opt for the cheapest insurance. After all… it’s just insurance, right? Wrong. Insurance can be a very complex thing to deal with, particularly when it comes to out of the ordinary cover. To be sure that you get the best and most comprehensive cover you must employ the services of specialist in holiday home insurance. Only through a specialist can you be guaranteed to get the most comprehensive cover at the best price.

Holiday homes located abroad and overseas are a favourite choice for many people buying their holiday properties with countries like France, Spain and Portugal being the most popular. Because the destinations have local brokers or notaries, the impulse is to use one of these to speed up the process and make it easier. This can often be a false economy. Because the notary is local does not mean they understand the insurance properly or are the best person to deal with. I you decide to use a broker or notary local to the area, make sure that they are totally versed in holiday home insurance, and that they speak English fluently.

The language used with insurance policies is often long-winded, complicated and not particularly easy to understand. While this is necessary for legal reasons, this does little to help the average customer or person in the street gain a good understanding of their policy and coverage. An important aspect of your holiday home insurance is that your policy is written in plain English and is easy for you to understand.

We all want to get the best deal when it comes to buying something, and holiday homes insurance is no different. Follow these simple steps and you can’t go far wrong. 1). Make sure you use and expert or authority on the subject. 2) make sure that your policy is written in plain English that is easy for you to understand. 3). if you decide to use a foreign notary or broker, make absolutely certain that they are fluent English speakers.

Advertising the Property

UK home sellers have a number of options when choosing how their home will be marketed.  Traditionally the majority of property sales are made via estate agents with as much as 90% of all homes being sold in this way.  Using an estate agent can be advantageous as they commonly offer a full range of services including setting a valuation, marketing the property and arranging viewings.  For these services estate agents will charge a fee.  In many cases the fee charged will be set at a percentage of the selling price of the property usually amounting to 1-3%.  There is however a different type of agent known as fixed fee estate agents who charge a set fee regardless of the value of the home.  Selling a property with a fixed fee estate agent can mean significant savings.

Some home owners choose not to use estate agents and instead prefer to try to sell their house privately.  There are a number of property sites that will enable people to advertise their home for sale online.  This can be a good way to sell property as research has shown that many people searching for a new home to buy will look on the internet.

A third option for home sellers is to make the home available at a property auction.  Property auctions can be a good way to ensure a quick sale however it is generally homes that have been repossessed or are in need of a great deal of repair that are sold in this way.

Home Information Packs

Home Information Packs (HIPs) were first introduced into UK property sales in August 2007.  It is now compulsory for all home sellers to make a Home Information Pack available to potential buyers of their property.  Every HIP contains a number of documents relating to important aspects of the property being sold along with information about its energy efficiency.

People selling their home should have a HIP prepared as soon as they put the property on the market.  There are now many organisations offering to prepare Home Information Packs.  These organisations range from estate agents and solicitors to specialist HIP providers.   When choosing a HIP provider home sellers need to consider both price and more importantly quality.  Research has shown that some Home Information Pack providers are producing packs which contain inaccuracies or are incomplete.  So that their money isn’t wasted it is important that people selling their home choose a reputable organisation for their HIP.

What am I covered for?

Generally, all home insurance policies cover two main areas; Property and liability. Property insurance includes your house and any detached structure located on your premises such as a shed or garage. Your family’s personal items and contents are covered whether damaged in your home, car, or temporarily away from your residence. Valuables such as art, jewelry and paintings may require additional coverage. Ask your broker if supplementary coverage is needed.

Liability insurance is the second major component of your homeowner’s policy. If deemed responsible, this section will cover negligent acts you commit, anywhere in the world, which cause harm to others.

What situations am I protected against?

Home insurance policies can vary slightly, but most cover damages to the structure of your home and your personal contents caused by:

· Fire, Lightning or Smoke

· Explosions

· Lightning

· Riot or civil commotion

· Impact by aircraft or land vehicles

· Theft or Vandalism

· Falling Objects

· Freezing of pipes

How do I choose the right policy for my home?

The following coverage definitions of home insurance policies will help you understand and determine your current coverage:

Dwelling Building: Covers your house, attached structures, and permanent fixtures in the home, such as a dishwasher or air conditioning systems. The dollar amount of coverage listed should equal the cost to rebuild your home if a disaster occurred.

Detached Structures: Insures any structure that is not permanently attached to your main residence. Coverage extends to your fence, driveway, trees and shrubs.

Personal Property: This section provides insurance for all the personal property you and your family owns. Coverage for your personal contents is guaranteed no matter where you are in the world.

Additional Living Expenses: Should your home be unlivable due to an unforeseen event such as a fire, this section covers living expenses if you can not live in your home while repairs are undertaken.

What insurance options do I have?

Home insurance policies usually come in three forms. The Basic homeowner’s package is ideal for individuals looking to save a little bit of cash. This package provides coverage for your house, contents and liability. Basic home insurance provides coverage on a named perils basis.

If the basic homeowners coverage seems inadequate, you can upgrade to the Broad homeowners package. This policy provides all risk insurance coverage to your home and named perils coverage to your contents. This package is priced in the mid-level range.

The most inclusive home insurance package is titled Comprehensive homeowners. This policy provides all risk insurance coverage to your home and contents. Review the policy wordings as there are certain situations or exclusions under all risk insurance

Obtaining enough insurance coverage for your home is the only way to protect your most valuable asset. Your local broker is the best source for all your home insurance needs and questions. Make sure you understand what you are buying. It’s important to know who or what is covered, exclusions and policy limitations, how much coverage is provided and how to report a loss or claim. Remember to not confuse what you paid for your house with rebuilding costs. Insurance does not cover market value or the land.

Online Free Ads
One great way that you can get started in selling commercial real estate as an agent is to use inexpensive methods of advertisement. One great way to get the word out there about the property you are trying to sell is to use free online ads. There are a variety of different websites that are available for you to post classified ads on that list a property, or even multiple properties for sale, and the great thing is, you will not have to pay a penny. Not only is this a cheap way of exposure, but it is also a quick way to get your property noticed. Many times, your ad will be seen quicker when you put it on the web and by many more people. Local newspapers take more time and money to get you the exposure and only reach a local group of people, while advertising with free online ads can get your world wide exposure and help you sell the commercial property.

Free Real Estate Publications
Another way that newer real estate agents can get their commercial properties noticed is to advertise them in free local real estate publications. Whether it is a publication specifically for real estate or a publication that only includes real estate, this is a great way to advertise your property for free. This is an excellent way to gain local exposure, not only for the commercial property you are trying to sell, but also for you as an agent. Make sure that you continue to run ads for your property in these types of publications. Even though at first you may not see results, remember that many times it takes awhile for commercial real estate to sell, but perseverance can lead to a large pay off when you finally sell the property.

Quality Signs
If you are trying to sell a commercial property, especially one that is near a well traveled road, you may want to invest in a quality sign to advertise the commercial property. A small unprofessional sign may not attract any attention at all, but a larger sign that is well crafted and attractive can get the attention of many people who are driving by. You never know who may drive by the property and see your sign. While it will take a bit of money to get a great sign, it will be worth the money that you spend to get your property noticed. One never knows when a local business will need a new site, or someone with money to invest will be looking for an opportunity, and your sign will make sure that they will see your property when they drive by, which may lead to a sale.

Establish Business Connections
As a new real estate agent, one of the best things that you can do is to start establishing business connections with a variety of different people. Speak with other real estate agents that are successful in selling commercial real estate and learn from their mistakes and their successes. Also try to get involved with local business people and know the market that you are trying to sell in. Often, if you can get the word out that you have a great piece of commercial property, it may spread to the right business people that will want to check it out. A great deal of being successful in the commercial real estate market has to do with the connections that you have, so work on making various business connections.

Find Your Own Leads
Even if you are working in a broker’s office, you should not expect the leads to be coming your way within the office. More than likely any leads within the office will be given to someone with more experience in commercial real estate until you have proven yourself to excel in this field. You will have to take the initiative to get the job done, and it is possible with a great deal of hard work. Check out the Chamber of Commerce in your area and find out who the business people are. You may also want to attend local zoning meetings where you will meet prospective investors who are looking for great properties. Even hitting up your local golf courses can help you make friends with local business people who may be prospective clients.

While it may be difficult to get started as an agent in commercial real estate, it is definitely possible if you are willing to work hard. Using the internet to advertise as well as free local publications can get the word out quickly and inexpensively so you will save money and get a broader base of exposure for what you are selling. Signs will also provide great exposure and show that you are serious about the commercial real estate business. Also important is making the right contacts and finding your own leads so you can excel in this business and prove to be a great commercial real estate agent. There is a great deal of money to be made in the commercial real estate industry, and hard work, dedication, and patience on your part can help you become successful.