Fine Homes

When it comes to buying property, Costa Blanca is a fantastic location for property investment as it has a perfect combination of awe-inspiring natural beauty and a cultural legacy. Costa Blanca is well known for its resorts such as Benidorm and Elche, the palm tree capital of the world. Golf lovers flock to the area to enjoy year round golf thanks to a climate that provides over 300 sun filled days a year. Food connoisseurs enjoy meals that have been influenced by Costa Blanca’s Moorish agricultural past and rice is a main ingredient in many dishes, which includes the famous paella. Many people enjoy a glass of fine wine produced in the area, to compliment their food.

Besides being one of the most beautiful and sought after destinations, Costa Blanca has many different types of properties that are suitable for most people’s budget. Buying property in Costa Blanca is all about location, location, location. If you have a large budget, then properties along the seafront would be ideal as they tend to be more expensive then else where. Seafront properties are known as real estate paradise as they are sought after areas with holiday makers and the properties can bring in some healthy rental income for the entrepreneurial property investor. If you are looking for a property as a rental income, it is advisable to choose one that has some beautiful natural sights and is near attractions like a Water Park and an Animal Park. Being located near a shopping mall and public transport can also increase your asking price for rent, and add value to your property when it comes to reselling.

For some property investors the seaside properties are too expensive, so they are traveling inland where the property prices are easier on the pocket. This is proving to be a popular choice for people relocating to Spain as not only are property prices cheaper, but the way of life tends to more ‘Spanish’ then places along the seafront that have had a heavy British influence for many years.

Once you’ve decided you’re going to buy a property, set a budget and stay with it.

In Costa Blanca property prices vary with the seasons. Therefore, when you are buying property in Costa Blanca consider the time of year as the off-peak season can provide you with property that is cheaper than at the height of the tourist season. Visit the property at least twice before you make a decision, and visit it at different times of the day. Talk to the neighbours about the area and listen carefully to what they say. Also check what amenities the property has, such as electricity, water and gas, so you don’t have any surprises once you’ve bought the property.

Having some knowledge of the property market in Costa Blanca is an important aspect to consider when buying property as the market is different than the UK. For example the buyer is liable for a transfer tax (IVA) and the rate is dependent on whether the property is a new build or a second-hand property. There are online service providers providing legal advice as well as up-to-date details of available real estate. Confirmation of the reputation and knowledge of the real estate consultant is a must to ensure reliable information about the property you want to buy. It is also important to have a legal advisor to check ownership of the property and any outstanding debts on the property before you sign any paperwork.

In conclusion, if you are looking for an overseas property investment, buying property in Costa Blanca has a lot to offer investors –great weather, popular with tourists, rich with culture, and different types of properties to suit all budgets.

Finding perfect Mallorca property that can fulfill your necessities can be a difficult journey with the surplus of real estate firms and greedy brokers. Online companies offer a collection of Mallorca property. Mallorca Property for sale and rent marketplace offers the purchaser an exclusive selection of new or “off-plan” around to “second hand” or “resale” property. The sort of Mallorca property for sale in each way can be split into apartments, town houses or duplex, villas or also fincas and ruins.  Spain is a beautiful place and a perfect place to buy a second home as a second home to reside on!Online Mallorca property firms are presumably presents best resorts of Mallorca property. Mallorca Property for sale offers real estate investment opportunities such as flights, hotels and car hire to eating out in well known restaurants, you will get online. No spectacle it remains a favorite with relatives decides to buy Spanish property in the beautiful resorts.Buying from Mallorca Property for sale and renting properties out a erudite villa right on the Pine Walk or a Spanish country house with large swimming pool. The Mallorca property market in Spain leaves one of the most famous picks for overseas purchasers, particularly from European countries like UK but the Spanish property market in many areas of Spain has growing up year by year. Purchasing property in Spain can be so ease in many ways than purchasing in any other country, however, it is not a conclusion or method to take lightly since a huge amount of money is booked as venture. In order to secure your pursuits, and i want to suggest you through all possible problematical land or property issues, i will suggest you to search legal guidance erstwhile to purchasing a property in Spain.Online Mallorca property for sales is the best place the holiday maker, the renter or the ability purchaser a numerous collection of Mallorca properties to opt from, putting you in perfect manner and then contact with the seller or his representative protect your funds. If you are going to sale property in Mallorca or looking Mallorca property for sale you may just use internet and you will get a lot service provider there offering services like Mallorca property for sale or property in Mallorca. Mallorca property for sale online is a premier marketplace for purchasing property in Spain. Presently, due to low interest rates and good economic conditions, as well as of course, the desire to take advantage of the sun, sand and lifestyle that Spain has to offer. Online investors can find Mallorca property in many different areas for each type of property purchase. Whether it is for investment, a holiday home or villa, commercial or new development property in Spain, you can get all types of Spanish properties which suits every expenditure. You will also find experienced staff to suggest you on all legal and financial concerns pertaining to buying Property in Spain.Purchasing property in Mallorca is neither a difficult process nor a specific unusual one to those who have, for example, buying property in the United Kingdom. There are many correlations from negotiating a cost and finalizing an “offer and acceptance”; undertaking searches; checking the title; ascertaining all relevant confirmations are in place for the Spanish property; checking it’s condition; agreeing any third party finance for the purchase etc.

How To Find Tenants And How To Keep Your Rental Property Occupied

Key tips and tricks for landlords to keep your rentals fully occupied

By Lex Levinrad Copyright © 2008

The most frequent question that I am asked is “How do you keep your properties rented”. Since I am an active landlord with many rental properties I decided to put my “system” down on paper so that other potential landlords might benefit.

 Advertise

In order to find tenants, they will need to know about your property. The only way that they will know is if you advertise. Putting a sign in the yard is not advertising. The only people that will see a for rent sign in the yard are people that live on that street.

Advertising should be both offline and online. Traditional classified ads are still a great place to look for a rental (especially on Sundays). However newer online venues are also a fantastic way to find new tenants. Since approximately half of your potential tenant base might not have access to a computer you are going to need to advertise utilizing both mediums.

 Classifieds

You should advertise your property in the regional newspaper, the Penny Saver, and the local newspaper. You should also be aware of any other free publications and magazines where you can place an ad for free. The more ads you place, the more people will see your property for rent

 Online Ads

There are free sources and paid sources for online advertising. I use both. For example the most effective online source is Craigslist . Since Advertising is free you should post an ad on Craigslist as soon as you have a rental property available. Other free online sources include Kijiji , Yahoo groups, Google groups, and many other online web sites related to rental properties. If you look enough you will soon find many sites where you can place a for rent ad for free. Just type in to your google search the name of your city and house for rent and you will find many websites that you can utilize.

Website

You have to have your property online on a website. You can create your own website or you can use companies that allow you to advertise properties like Postlets and many other similar companies. The most important thing is that you have to have a website. All of your offline ads including classified, display, and flyers will mention your website where additional pictures can be found. You should always put view pictures at (your website address) so potential renters will be able to see pictures of your house online.

Digital Pictures

In order to have pictures online you are going to need to have a digital camera. You can use the least expensive camera that you can find since the newer 5 megapixel cameras produce pictures that are far too large for online websites. Your pictures should be uploaded to your website and you should have as many pictures as possible. You should have a picture of each room in the house including the kitchen, bathrooms, living room, dining room, bedrooms, garage and utility room. You should also have an exterior photo of the front of the house, back of the house and the yard.

How To Write Your Ad

Be brief, factual and concise but make sure that you have all of the relevant information. You should also try and highlight the positives. If your property has a large yard, nice kitchen or anything that stands out as a positive feature you should mention it. For example remodeled bathroom, new kitchen, new appliances, new tile, swimming pool, central air, are all positives which make your property stand out.

 Here is an example:

 Port St Lucie House for Rent

3 Bedroom 2 Bathroom House

Central Air, Huge Fenced Yard

Good, Quite Neighborhood

2249 SE Main St

Port St Lucie Fl, 34952

Pets Okay

 $795 Per Month + $795 Security Deposit

$1,590 total to move in

Available Immediately

Call 561-123-1234

View more picturess and other rental properties at

Your Web Site Address

Flyer

You should have a full color flyer with color pictures. Your Flyer should mention the same information about your ad but you should include at least 4 color photos. This flyer should be taped on the inside front window of your rental property and should be visible to anyone that walks up to your property to take a closer look. Since you are not at the property you want to make sure that they have an idea of what the inside looks like.

This flyer can also be pasted in prominent public places like supermarket windows, coin operated laundries, and any other public place that will let you put up a flyer. This flyer should also be inside an info tube which should be attached to your for rent sign. Make sure you have at least 50 copies since you don’t want your flyer to run out.

For Rent Sign

Try and put as much information on your sign as you can but the most important items are number of bedrooms and bathrooms, monthly rent, security deposit, and move in. If you don’t include this information you will get many phone calls asking you how much the rent is and how much to move in. You want to avoid this so make sure you have the price on your sign. Many landlords do not do this which is a big mistake. Don’t forget your phone number which needs to be big enough to see from the street. Make the phone number big and all the other details can be smaller.  Do not reuse old signs with writing on the back or any information that might confuse a tenant.

You should also have another For Rent Sign on the inside window next to the flyer. The reason is because if someone steals your yard sign people will still know that your property is for rent. People steal yard signs all the time. Sometimes kids pull the signs to be mischievous.

Phone Number

This is without a doubt the second worst mistake that landlords make. If you spend money advertising a property and creating flyers then you need to have a system to make sure that your phone is answered when potential tenants call. You can do this by using a cell phone and answering all incoming calls. If you are on the other line, let the potential tenant know that you are on the other line and will call them right back. Do not delay calling tenants back.

The tenant is looking at the Sunday classified ads and he is calling every house that is for rent within his or her price range. If you don’t answer the phone then the next landlord will. Don’t complain that you can’t rent out your property if you are not answering the phone. Potential tenants will usually not leave voicemails. They have one day off from work to try and find a place to rent and you want to make sure that you answer their call. Unless you have a really tight rental market in your neighborhood another landlord will negotiate a lease with them before you even get back to them. This is the second most important point to remember. If you cannot answer the phone then you can use a company like Ring Central which will set up a system for you to capture all the phone numbers that call and give them detailed information about the rental, the price and other relevant information.

Pricing Your Rental

I have saved the best for last. This is without a doubt the biggest mistake that landlords make. You need to look at the local paper, and the regional paper in order to see what prices other houses are renting for. Try and find the most comparable house that has the same number of bedrooms and bathrooms as your house. Then write down how many rental houses there are that are the same size and write down the prices. If your rental is not the cheapest then it will not be the ad that is called the most.

Consider this information. If other landlords are trying to rent out their 3 bedroom 2 bathroom houses for $875 per month then that would be considered the going rate. If you lowered your rental house to $825 then your ad would be called much more than the other ads since your house would appear to be a deal. If you found a tenant immediately because your house was so cheap then you would be better off than waiting a month to get a tenant for $875. You would actually make more money.

Here is the math:

$825 x 12 = $9,900

Compared to:

$875 x 11 = $9,625

And in addition to saving money you would also have someone taking over the utility bill one month sooner which would mean a lower utility bill. You would also not be responsible for maintenance such as mowing the lawn on a vacant property.

Finally you won’t have to worry about vandalism. Vacant houses do get vandalized. Children walking past vacant houses get kicks out of throwing stones through windows. If your house is vacant long enough people will try and break into it. You need to get your property rented as soon as possible. Having friendly neighbors helps since they can keep an eye out on your property. Make sure that you say hi to the neighbors and be friendly. Give them your card and let them know that you are renting out the house and looking for a tenant.

Remember that every day that goes by you are losing money if your property is vacant. A property that rents for $875 per month is costing you over $29 per day. Advertise effectively, lower the rent and get your vacancy filled as soon as possible.

If you cannot afford to lower the rent because your mortgage payment is too high then you have overpaid for the property. There is not much you can do about that now. The old 1% rule of thumb works well in most areas. Don’t pay more than 100 times the monthly rent for a rental property.

If you cannot afford to rent the property for less than your mortgage then sell it. If you want to hold on to the property for the long term then rent the property. But be realistic about what market rents are and make sure that your house that is for rent is priced accordingly compared to similar houses for rent.  

The best way to find a tenant is to lower the rent until the telephone starts ringing. Just make sure that you are there to answer the phone.

Having a business is most people dream. The people dreamt of this because being a businessman is very tempting. They can work when they like and they did not have to pretend to their boss. The pressure from the boss is often making the people stress at work and they cannot work optimally.

To open a business, it is a little bit difficult. Someone may be having an idea of the business, but when they want to open the business, they are confused to find the money as the capital. If you deal with the same thing, you are able to visit Ezunsecured.com. At this website, there are business loans that you can apply. The business loan will cover the money that you need to open your business. One more thing that you should know, don’t you ever think that your business is the same thing as your personal life. You must think about your business finance.

Everything is need effort, including growing your business. So, you must do small business financing. Separating between the business and the personal life is the best you can do. Small business finance is easy to do; you just need to check the website. You can also apply personal loans here.

When it comes to property investment, repossessed properties are a great way to reaping substantial benefits especially when bought below market value. Here are some ways you can find repossessed properties to convert into property investments.
Have you been waiting for the right time to buy your next investment property? If so, there is no better time than to do it now. The reason? The number of repossessed properties put up for sale under the hammer is rising even higher than anticipated due to financial instability. As repossessions escalate, there will be more below market value properties available for your picking.
Why buy repossessed properties?
Lenders continue to shift repossessed properties and keep selling them at low prices so they can recover their funds as quickly as possible. Property investors will continuously be able to bag significant bargains which they can add to their portfolio.
Repossessions are normally preferred because they allow investors to earn a profit by purchasing them at low prices and reselling them at a higher price that matches current market values. As a sophisticated property investor, you know that this is the secret to a good investment. And when you purchase from distressed sellers who want a quick sale, you will even earn higher returns.
Where to find repossessed properties
There are a number of ways of finding repossessed properties. The most common are through:
* Advertisements. Check advertisements provided by estate agents. Some lenders transact through asset management firms who usually choose local estate agents to sell their properties for them. These adverts are typically placed in local property papers.
* Property auctions. One of the most popular alternatives for finding repossessed properties, property auctions offer hundreds to thousands of homes sold at prices lower than their true market value. Since lenders have a legal obligation towards their borrowers not to undersell their properties, they turn repossessed properties over to auction houses.
Buying below market value from distressed sellers
A distressed seller is a homeowner anxious to sell his house quickly – even at a price below the property’s true market value. You may ask yourself why anyone would even dream of selling his property below market value. The reason is that these sellers may be:
* Embroiled in a situation where they need to sell their property quickly. Such situations may include a divorce, relocation, family and/or inheritance issues, death, or job matters.
* Frustrated because their properties have been sitting on the market for some time – some as long as four months – with no imminent sign of a sale; or,
* Engaged in other important pursuits and do not want to be bothered with property maintenance.
Property investors who have become successful in their line of business understand that the key to their achievement is to find bargain properties especially from distressed sellers. If you want to buy a property, rent it out and earn additional income, be sure to buy cheap – which is possible through repossessed properties.

A thing of beauty is a joy eternally. Nothing can be more persuading than a beautiful piece of property. And you can have a look at some of the most charming properties of Spain by visiting online. Spain is a land of nature, beauty, tradition and motley. And if you want to see a lovely mural of all these aspects of Spain, there can be no place better than Mallorca. And the best part about the Mallorca property accessible on Spanish properties the beauty and diversity of Mallorca come united with interest rates on finance and other remunerative choices that make the entire process smooth and simple.

The Mallorca property are listed on the web which is big Real Estate Network as you can think of. The properties are primed all across Mallorca, which gives you a wide range options. Be it luxury villa, an apartment, or a commercial property, you will find great deals on many popular website on the web. And such Mallorca property is not only for sale, you can take the properties on rent too! Furthermore, the collection is so wide that it is certain that you would find something or the other, which suits your taste as well as budget. You can take full advantage of the sun, sand and lifestyle of Spain relaxing in your own comfortable place in Mallorca.

Mallorca property sale and renting are the services provided by many real estate Spanish firms. Mallorca property also offers the best rates in Europe for Mallorca property mortgages with the probability to finance up to 80% of the taxation value of the property. If you are searching for the best international property destinations one place that is well worth lucubrating is Spain which has recently been voted one of the best countries in the world to invest in property.

The forecast growth for Mallorca property for sale over the next ten years has been put at 284% by well known UK Property programmed a place in the sun.

Mallorca is Europe’s most famous vacationer’s end-point with thousands of visitors thronging this heaven on earth around the year. Mallorca property consists the bewitching locales and picturesque landscapes, and immeasurable cherish of natural beauty. Online property industry offers Mallorca property for sale in many of the serenely areas of the island. With your predilections of locations on Mallorca properties, excellent guidance are offered to suitable properties from detailed online database profiles to meet every requirement and budget. You can assist the low interest rates and propitious economic conditions to buy Mallorca properties of your dreams.

With Mallorca Property you will find proper guidance to your dream property pretty easily. Investors can also find professional advisors and real estate agents on our web, and who are fully equipped with the best resources to offer you with that perfect Mallorca Property. Find Mallorca property from a great range of beautiful, top value Mallorca properties consisting of villas, townhouses and apartments. You must have enquire properly to avoid ambiguities while purchasing Mallorca properties that are priced in an optimum manner.

UK property investment can provide an enormous sense of gratification that you simply cannot find with other forms of investment. UK Property investment is now enhancing a far more mainstream investment vehicle, available to investors with the knowledge and foresight to spot effective investments before the competition can. Yet while they linger comparatively open and accessible, the road to prosperous property investment and land investment is littered with those who have made a multitude of investment and other mistakes and paid the price.So, you can realize your dreams of UK property investment find the right investment opportunities and avoid the pitfalls along the way. By protecting up-to-date with the current news and articles featured on this website, you will gain the proficiencies necessary to make a profit from your investment. Buying cheap UK property from tormented sellers in the UK for investment objective is quickly becoming popular for many property investors. Experts in the property field unremittingly claim that an investor’s money is made when he buys cheap UK investment property. The reason is that when you buy such a property, you can turn it into an lucrative asset and therefore enjoy the profits it offers while benefiting from genuine built in equity from first day.The popularity investment in UK property to rent it out or turn it into a buy-to-let vehicle hinges on the issue that investors can earn a advanced returns with careful property selection and controlled borrowing. Estimations have showed that investing a property in UK has made 66,000 investors into millionaires, according to Midas Estates.For a time, few persons demand that now may not be such a good time to plan a UK property investment, many experienced investors know that now is an excellent point in the property cycle to pick up bargains. With the stabilizing of property prices in the UK, many people deem that the price adjustments present a good opportunity for property investors who are in for the long haul. A long-term approach to property investment is touted as an effective means of ensuring a more financially secure future because of the capital growth the property accrues over a long period of time. As property investors put it, the longer you’re in it, the higher your return.Finding cheap propertiesEvery year thousands of UK properties are sold at under market value. Many of UK property investment are released through property auctions regarded by many as one of the best ways to locate cheap properties. Now is particularly a good time to scour auctions with the market experiencing an evening out of prices which means you have a lot less competition. Often properties in auctions are sold cheaply because they require modernizations, renovation or development.To generate wealth through UK property investment, you must search property in areas where capital growth and a good cash flow are possible such as those areas where demand outstrips supply.

Property investing is a hugely popular pursuit in the UK even in a stabilising environment. As opposed to some people’s notion that the current situation is not a good one for property investments, there has never been a better time to start investing in property than now. Why? This is because of the overabundance of cheap properties in the UK today.
As has always been reiterated, buying cheap properties is the key to being a successful property investor. The chief reason for this is that when you purchase properties at below market value prices you are able to take advantage of genuine built in equity from day one. And when you convert the property into an income-producing asset such as a buy to let, you are then set to profit from its rental yields on top of capital appreciation.
Finding cheap properties at auctions
Thousands of properties in the UK find their way to property auctions where they are often sold below market value. Now is a particularly good time to go scouting auction houses for cheap properties due to the evening out of prices – which means you have less competition in the field. Most often properties at auctions are being put up for sale on the cheap because they require modernisation, renovation or development.
Buying below market value (BMV)
As mentioned previously, buying properties below market value is the key to earning substantial returns. In general, the best method of obtaining BMV properties is to purchase from motivated sellers who are on the lookout for a quick sale so much so that they agree to a price significantly lower than its market value.
Motivated sellers refer to homeowners who are in dire need to dispose of their properties immediately due to various reasons. These include repossession, divorce, illness, relocation, the need to go out of the country and bereavement in the family.
If you want to learn more about below market value properties and how to find cheap properties in the UK, then you might want to enroll in courses offered by property experts. Property clubs are also great sources of in-depth information on how to buy investment properties without having to resort to your own financial resources – a good move for an astute property investor.
Provided that you make a wise and careful choice when buying properties, investing in property allows you to earn remarkable returns. This is evidenced in the Midas Estates’ data showing 660,000 investors have become millionaires after investing successfully in properties. With prices in the property market evening out and the glut of cheap properties, you are presented with more opportunities for prosperous investments especially if you’re in it for the long haul.
When you begin investing in property with a long-term approach, the capital appreciation that your property accrues over a long period of time will allow you to enjoy a financially stable future. Like many sophisticated property investors put it, the longer you’re in it, the higher your returns.

When many people hear the term ‘property investment’ they automatically think of what they have read in the papers: falling house prices, fluctuating interest rates and the failing economy.They see this press. Take it to its word. And forget that hidden beneath its outer exterior the property investment market has got a lot to offer. It is not inaccessible either. All it takes to access the true potential of the property market is the knowledge to know where to look and ‘know how’ to make it happen.  Remember, despite all the hype, property is still an investment vehicle. A vehicle that gives investors – we mean you – the flexibility to control your involvement and how much time you invest within them.Take a look at stocks. Do you really understand how they work? Not many of us do, but we still invest in them because we know there is profit.But imagine what you could achieve with an investment that you could completely control? No worries. No fear. But knowing exactly where you.Well with property you can. Your choices will be endless.Real Estate Stocks and Mortgage instrumentsNow if you wanted to be a passive investor this is the route to take. Here you can place funds into the stock market in the form of equities of major national homebuilder firms, and they will do the rest for you.Or alternatively you can follow another investment strategy: discounted notes.The rules to this investment are simple.  Sellers quite often are quite happy to accept a mortgage from a buyer to begin with but later want to convert it to cash. To do this they need to sell the note to an investor – you – at a discount. And the rest? Well. Whilst they are free of the mortgage, you will be receiving monthly repayments from the buyer – when you have never even seen the house. How simple is that?Appreciation of property valuesThis one is the more traditional routes and one we’d most recommend if you plan to sell your properties later on.Take the current financial climate. You can now invest in properties at 70-80% of their original value without a second thought. Giving you instant free equity.Now consider this. After investing you decide to either rent your property out or live in it yourself. Over time, your property investment will begin to appreciate in value, and if it is anything like what we have experienced before, you will have access to a property that is greater in value than the top properties of 2007.And if you do eventually sell, you will not only experience a return on your investment… you’ll have that initial extra equity to boot too.General Price inflation in the economyEven if your properties are not appreciating in value – as properties are doing now – this is not the end of your property investment. No. Their value can also be affected by economic inflation.So let’s just say for example that you are developing some properties. If the cost of labour and materials is continually rising, then the cost to build an identical property could be more than the original. And if each property you build in one area is costing a bit more each time, then in turn their value as a complete development site will have risen.Meaning at the end your property values will be higher than they were to begin with.Cash flow and mortgage repaymentsCompared to traditional investments that require some money on your part to maintain and pay for them, with rental properties you don’t have to deal with that. Your tenants will essentially pay your repayments for you, whilst giving you an additional positive cash flow each and every month too.With figures like these it is easy to see why property is considered a stronger investment than stocks and a bank account – the gains are much more profitable.And here is the best part. Even if your rental income covers only the mortgage repayments. No more. No less. You will still have the joy of watching the equity in your property grow over time.Buying below market valueLook in the papers and you’ll read many reports of investors who are selling up in the current financial climate in order to maintain their profits. This is a big mistake on their part, but one you can take advantage of. You see they will be so keen to access the equity from it, they will be happy to sell it to you for below value. Great!Then there are other cases when a property has gone into a foreclosure. To sell the property and get their money back, lenders will often take less than the market value so that they can avoid any further marketing expense and begin again with a clear slate.Now here is the advice you have been waiting for… Find one of these properties and you will immediately enter into an equity position, purely based on profits.So if you do spot one… gets investing and buys low. The long terms profits will be incredible.Converting the use of your propertyImagine investing in a run down 5 bed property and being able to convert it into student accommodation or 2 apartments. You could potentially increase your rental income and benefit from having multiple tenants all within one property. Meaning there will always be someone living in your rental property.This is what is so great about property investment. You can do a similar thing to any type of property. Take for example this concept. You have just invested in some apartments that currently have low rental yields.With a little remodelling, you can convert these said apartments into condominiums, and nearly double your rental yields.Create new valueEvery region or neighbourhood goes through a price fluctuation at some point. So spotting a potential hot spot – before its property prices have increased – can be quite profitable.In this one area you can build up your property portfolio and sit back and watch as your properties appreciate in value. Perfect!Get the picture – property investment can offer you consistent ‘positive’ cash flows every single month, plus can come in all shapes and forms for you to choose from.So if you are looking to invest in rental properties consider your options for a moment. There is more to property investment than meets the eye.

Comparable Sales Method

Under Prop 8, California property taxes must not be imposed on more than the fair market value of a residence as of January 1st, each year.  You may use the closing sales price of homes similar to your own to prove this (i.e. Comparable Sales).  Ideally, these homes will be in close proximity and have similar characteristics to your home (e.g. square feet, lot size, view, bedrooms etc.).

If you can demonstrate that Comparable Sales of homes like yours, sold for less than your home’s Assessed value, then your property tax assessed value should be reduced along with the related property tax costs.  You may only use Comparables Sales dating March 31st, and prior to support your appeal.  If there are material differences between your home and the Comparable Sales, you can make reasonable adjustments to the sales price of each Comparable Sale.   For example, if a similar home to yours was sold with a pool, a downward adjustment to the Comparable Sale would be an appropriate adjustment if your home does not have a pool. 

Deadline

Homeowners in California only have until either September 15th or November 30th, 2008 to request a formal property tax appeal and dates vary by County when informal property tax appeals are due.  The confusion about appeal dates stems from the differences between the formal and informal process for a property tax reduction.  The informal appeal is handled through each County’s Assessor’s office.   This is the most expeditious means of appealing your property’s assessed value.  Generally, Counties have an informal property tax appeal form used to prepare a temporary reduction in value request.  Generally, you supplement this form with Comparable Sales from your neighborhood that will be evaluated by the Assessor.  If a reduction is granted, then you’ll get a refund or a smaller property tax bill.  

Since the process is informal, the published dates are not locked in stone and vary considerably by County.  While informal appeals should be your first step, you should also file a formal property tax appeal if the Assessor’s response will not be known before the formal appeal deadline.  Unless you file a formal appeal, then you’ll have to accept the Assessor’s opinion.  With a formal appeal “Request for Changed Assessment”, you’ll have the advantage of an independent review by either a Hearing Officer or the Assessment Appeals Board.  Generally, it makes sense to request a Hearing Officer and not go through the formalities of the Assessment Appeals Board for a residential property appeal. 

The disadvantage of a formal appeal is that it will take longer, estimated to be at least 6 to 9 months.  However, you don’t have to go on to the formal appeal if you can reach agreement with the Assessor before the hearing.  If you reach agreement with the Assessor or if you go to the Hearing and a lower value is granted, you will get a refund with interest.  Since all formal appeals must be filed by September 15th or November 30th, 2008, you should consider filing both appeals at the same time. 

Property Tax Valuation Workbook

Although a Property Tax Valuation Workbook is not necessary to file a Property Tax Appeal, using the industry standard method for supporting an appeal will put you in a much stronger position with the Property Tax Assessor in an Informal property tax appeal or with a Hearing Officer in a Formal property tax appeal. 

The goal of a Property Tax Valuation Workbook is to automate the collection, computation and presentation of your property tax appeal in an industry standard format.  Although the Property Tax Assessor enjoys an advantage in valuation expertise, no one knows your home and your neighborhood better than you do.  Automating the workbook presentation format and computations, helps neutralize the Assessor’s valuation advantage, while allowing you to focus on your strength, hands on local knowledge!   Using Comparable Sales, photos of your property and providing narrative explanations puts you in position to make a compelling case for a property tax reduction. 

Market Value Methodology

The basic steps in developing your property tax appeal include:

1)      Comparable Sales from the correct time frame—Gather Comparable Sales to your property from for the correct time frame. 

2)      Select your (3) three best comps–Review your Comparable Sales and rank them in the most appropriate and beneficial order 1, 2, 3.

3)      Organize Comparables into Three Columns–Organize the Comparable Sales in the format traditionally used to support a Comparable Sales Market Value calculation.  The three Comparable Sales should be presented in three columns with specific information summarized about each property (e.g. square feet). 

4)      Calculate the Average Comparable Sales Price–Averaging the closing sales price of these three Comparable Sales provides a good indication of what your home’s Market Value is for property tax purposes.

5)      Lowering the Average Comparable Sales Price–You can lower the average value of the three comparable sales by identifying features each of these homes have that your home does not have.  For example, if a Comparable Sale home has a special view and your home does not, you should enter a downward adjustment to the Comparable Sale price of that property to appropriately adjust the value of the Comparable Sale. 

Since Prop 8 requires the Tax Assessor to reduce your property taxes to Market Value, you can reduce your property taxes by obtaining and adjusting Comparable Sales in your neighborhood for the right time frame.  Present this material in the industry standard format supplemented with information about your property and the Comparable Sales along with photo’s and you’ll have a compelling case for property tax reduction.