Investment Property

The 1031 Exchange

A 1031 exchange, also known as a like-kind exchange or a tax-deferred exchange, is a provision in the U.S. Internal Revenue Code (Section 1031) that allows real estate investors to defer capital gains taxes when they sell a property and reinvest the proceeds into another like-kind property. This provision applies to both federal taxes and, […]

Investment Property Mortgage Loans

Financing Investment Property

Financing an investment property typically involves obtaining a mortgage loan or using alternative financing options specifically tailored for real estate investors. Here are some common methods for financing investment properties: Conventional Mortgage Conventional mortgages are widely available from banks, credit unions, and mortgage lenders.Investors typically need to make a higher down payment, often ranging from […]

Investment Property

Ins & Outs of House Flipping

Flipping houses is a real estate investment strategy where an investor purchases a property with the intention of renovating or improving it and then selling it for a profit. Here’s a breakdown of the ins and outs of flipping houses: Finding the Right Property Successful flipping starts with finding the right property at the right […]

Refinance

10 Reasons You May Want to Refinance

Refinancing can be a smart financial move for various reasons: 1. Lower Interest Rates Refinancing allows you to replace your current loan with a new one at a lower interest rate. This can significantly reduce your monthly payments and the total interest you pay over the life of the loan. 2. Reduced Monthly Payments By […]

Debt Consolidation HELOC

Mortgage vs Credit Card Financing

Mortgage interest and credit card interest are compounded differently, and this impacts how much interest you end up paying over time. MORTGAGE INTEREST 1. Frequency of Compounding Mortgage interest is typically compounded monthly, although some mortgages may compound interest more frequently (such as daily or annually) depending on the terms of the loan agreement. The […]

Property Tax RealtorĀ® Resources

Property Tax Relief for California Homeowners

Props 60 and 90: Property Tax Relief for California Homeowners Proposition 60 and Proposition 90 are California laws that provide property tax relief to homeowners who are 55 years of age or older and wish to move to a different home within the state without experiencing a significant increase in their property taxes. Here’s an […]

Mortgage Loans

How a Mortgage Can Improve Your Tax Situation

Maximizing Tax Benefits: How a Mortgage Can Improve Your Tax Situation A mortgage can have several implications for your tax situation, and it typically involves deductions that can lower your taxable income. Here’s how: Mortgage Interest Deduction One of the most significant tax benefits of having a mortgage is the ability to deduct the interest […]

Mortgage Loans

Understanding Common Loan Terms

1. Principal The principal is the initial amount of money borrowed from a lender. It’s the baseline amount upon which interest accrues. For example, if you take out a loan for $10,000, the principal amount is $10,000. 2. Interest Interest is the cost of borrowing money, expressed as a percentage of the principal amount. It’s […]

Buyers RealtorĀ® Resources

Navigating the Home Buying Process in California

Navigating the Home Buying Process in California: A Comprehensive Guide Purchasing a home in California involves several key steps and considerations. Here’s a breakdown of the process: Financial Preparation Assess your financial situation, including your credit score, income, savings, and debt-to-income ratio.Determine how much you can afford to spend on a home, factoring in your […]

Credit Report

A Step-by-Step Guide to Repairing Your Credit History

Repairing your credit history can be a gradual process, but it’s entirely achievable with patience and diligence. Here are steps you can take: By following these steps consistently and responsibly managing your finances, you can gradually improve your credit history and increase your creditworthiness over time. You and Your Credit Everything You Should Know About […]