The TecBlast Blog

North Cyprus is poised for one of the greatest property booms in recent times; prices there are as little as a third of those in the Republic of Cyprus, but they are expected by many to rise well beyond levels there if the island manages to reunite over the coming year. And that looks likely. Mehmet Ali Talat was the first TRNC president to actively promote the idea of reunification to his people, and it was his urging as prime minister that led to a defiance of former president Denkash’s promotion of islation at the anna Plan Referendum voting days in 2004. He was joined this year by Dimitris Christofias, who as Republic of Cyprus president became the first communist leader to hold a seat in the E.U. He actively promotes the necessity of community in the flourishing of a nation, and so heartily welcomes a return to a unified island. The benefits for that on the people of Cyprus are obvious; the Republic of Cyprus will see some of the revenue from the North Cyprus Property boom and tourist industry, and North Cyprus will enjoy the return to European affairs that the end of the partition will bring for them. But Europe as a whole stands to benefit from the unity, and from the rising prices of property in North Cyprus; the E.U, which as a collective body is only as strong as the sum of its part, will be able to boast the inclusion of an island that is flourishing in so many areas, but particularly in the North Cyprus Property Boom. And that will have knock on effects for the E.U because trade with the island will strengthen relationships and economies for all parties, and it will also strengthen the diplomatic and ideological commitments of the e.U, whose motto remains ‘united diversity’; the unification of a literally divided island into a cogent and fully cooperational political order will embody perfectly the continuing work of the European Union, but also the improving success of their political outlook and framework. So the North Cyprus property boom - which stands at the symbolic pinnacle of the reversal of fortunes for the now flourishing North Cyprus - has also come to represent the strength in the face of adversity that will make the island of Cyprus - as a united entity - such a welcome asset to the European Union. With turkey’s E.U membership, further, relying on its compliance with trade protocol concerning the Republic of Cyprus - which it is unlikely to cede - being only truly resolvable once the Cyprus problem is resolved, the E.U would gain not one fully fledged and unified state, but two; the reunification of the island will allow the E.U to successfully grant turkey - a country with a previously uneasy European relationship - membership to its club. So the North Cyprus property boom stands to benefit a number of parties, from North Cyprus and the Republic of Cyprus, to turkey and the E,U itself.

Making the decision to refinance a home equity loan is an important choice which should involve a great deal of consideration. The following are ten key points for homeowners to consider when making this important decision of securing a second mortgage loan:

1. The purpose for which the liquid funds will be used should be considered. The loan could be used for debt consolidation, investments, college tuition, buying a vacation home, home repairs or additional home construction to the current home.

2. The method which will be used to refinance the home equity loan should also be considered. Will it be a fixed interest rate equity loan or a variable rate credit line?

3. The next consideration should be the length of term over which the loan will be paid off. The length of the loan agreement combined with the interest rate dictates the amount the homeowner will be paying in interest over the course of the loan. Most home equity mortgages will have terms ranging from 15 to 30 years. Longer terms will have lower payments, but over the life of the loan you will pay alot more interest with longer terms.

4. The next consideration should be to compare the higher closing cost of fixed rate mortgages to the savings on lower or no closing cost with variable rate credit. If you keep the loan for a few years, typically fixed rates with fees will cost you a lot less than a free revolving credit line that has a high interest rate.

5. Pre-payment penalties should also be considered. Fixed rate second mortgages usually do not carry a pre-payment penalty beyond 3 years. Variable rates with little or no closing cost can carry a substantial early closure fee or penalty if the line is closed out in the first few years.

6. The type of loan is another important consideration. Total mortgage refinancing or just refinancing the home equity loan are two of the options available. Monthly payments should also be considered with particular interest to whether a second mortgage on the home at a fixed rate will provide less monthly cost than a line of credit at a variable rate. In a line of equity credit the amount borrowed is available but no debt is incurred until the proceeds are used. The home equity line of credit can save money if the funds are to be released periodically.

7. Another consideration is whether the homeowner wants the loan to be repaid interest and principal or interest only. The homeowner’s current financial situation as well as his future financial goals will dictate this decision.

8. Another consideration would be a hybrid 2nd mortgage that offers a fixed rate for 3 or 5 years.

9. A secured mortgage is one in which collateral is used to secure the loan. The loan is limited to 75% of the collateral used to secure the loan. There are no closing cost or pre payment penalties involved.

10. Lastly, the main consideration is how much am I saving monthly? Homeowners should evaluate whether the monthly savings are sufficient to justify refinancing.

Taking out an additional lien on your property should always be taken seriously. These are secure loans, and repayment of the loan will be essential for maintaing ownership of your home. Home equity loans can be very beneficial, but always consider looking at loan from several perspectives.

Mortgage banks are the set of companies that sell loans to other companies and loan investors. They allow for mutually beneficial relationships between borrowers and lenders - the borrower gets money now, and the lender gets the interest that will accrue.

Mortgage bankers work by creating a huge resource base consisting of loans of various types. Loans may be serviced by mortgage bankers and most of them operate through wholesale lending departments. Most banks, non-banking financial organizations and loan investors pick up loans from the market. This is because loans are often considered long-term investments.

According to the performance of the economy, the fortunes of mortgage bankers vary. Most mortgage bankers buy out loans when the outlook of the economy is stable or is witnessing steady growth. In contrast, primary lenders often provide loans to customers when the economy is down, unemployment high, and there is demand for money in the market. This lender sells off these loans to mortgage bankers when the economy gets back on track. Often the primary lender charges a premium for each loan that he sells to a mortgage banker.

Some mortgage transactions may also involve mortgage brokers. These brokers often act as intermediaries in sale of loans to mortgage bankers. Mortgage bankers act as wholesale lenders and cater to mortgage brokers for obtaining loans from the primary market. Some mortgage bankers offer loans to brokers at below market rates. These brokers then lend the money to a customer and charge a fee in between. Thus the client ends up getting money at market rates.

First Mortgage provides detailed information on first mortgage, first mortgage loans, first mortgage options, first mortgage rates and more. First Mortgage is affiliated with First Home Buyer Mortgages.

As an ASP Home Stager® I know how important curb appeal can be in making
that critical first impression when selling your home. However, with the growth
of real estate advertising over the web, there is another first impression that
you should consider when marketing your property. Web impression. Does your
property have a great one?

Over the past few months I have spoken with realtors and home sellers who have
all been saying the same thing. “The listing is getting a lot of web traffic
but there hasn’t been much buyer interest”. They say this without
even realizing that they have just contradicted themselves. The web traffic
that the listing is receiving actually is buyer interest. If the number of home
showings isn’t as high as expected compared to the web traffic received,
there must be something from the web listing that is turning the buyer off.
It could be price. It could be location. But it may also be that the pictures
of the property have given a poor web impression.

I hesitate in using the saying “a picture is worth a thousand words”
but it is. It is also worth something else, in this case. Buyer interest. I’ve
suggested it to the realtors and home sellers that I spoke of earlier and I’ll
suggest it to you, now. If the photos of your house, which are out there for
all to see, are not showing your property at its best, you should re-shoot.
Make sure the rooms are dressed and gleaming and then simply re-shoot.

When Barb Schwarz created the concept of preparing a house for sale, she called
it Home Staging® because of the similarities it has with setting a movie
stage. Imagine you are setting the stage® for your home’s movie debut.
Be the director of a best seller. Before your cameraman sets up, make sure your
stage is set. Remove the clutter, put out your best towels and bedding, turn
on all the lights, draw up the curtains and then let the cameras roll, preserving
the image for all to see over the World Wide Web.

Of course re-shooting, not only, takes extra time and money, but you may not
be able to regain the interest of those who have already passed the listing
by. If your house isn’t quite ready for its debut, I strongly advise waiting
until it is before shouting action.

Staging® is a Federally Registered Trademark
of StagedHomes.com
Accredited Staging Professional (ASP) is a Trademark of StagedHomes.com

Amie Walton is the president and founder of Xstream Realty, a Virtual Agent for managing private real estate sales over the internet.
As an Accredited Staging Professional, Amie also operates Xstream
Staging, a Home Staging® business located in Nova Scotia, Canada.