Real Estate Loan
Real estate loan is the common loan that you will need to borrow when venture your investment into property. Before start up your investment, make sure you have done your home works. Study and understand the loan process and how it works is the must for every investors.
Always remember that the profit of real estate is not dedicated by you, there are many factors to determined the property's price and how much it worth. The factors are market rates, timing, condition of your property, costs of renovation and refurbishment & etc. Although the real estate will not depreciate, but you could fail in your investment if you never factor in other costs.
Please refer to the following tips to get a best deal when taking this loan :-
1) Never depend on one lender, get at least 3 lenders to quote for you at the same amount and loan term.
2) When obtained the quotes from lenders, beware of the validity period. It could be a week, a month or 45 days. Make sure you have sufficient time to proceed the comparison before it expire.
3) Nowadays most lender required a 'toxic report' of the property, If lender foreclosure on the environmentally contaminated property, they will charge a 'clean-up-cost' against borrower. Unless borrower had provided toxic report to them at initial stage.
4) Take the loan with a reliable and reputable lender, there are many con men masquerade as a lender and stealing application fees of borrowers.
5) The closer the better - in normal case, a local banks or lenders will offer more favorable loan package to local peoples. So put your priority on local lenders.
6) If you are owning a company with sufficient cash flow running through your bank account, you may use the promise of a deposit relationship to negotiate a better commercial loan.
For more information about home & mortgage loan, please check out
Home Loan Guide instead of Real Estate Loan
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