In life, we all have to deal with emergencies and crises, and more often than not, we might find that we are in a situation where a substantial sum of money is required. In this case, there are several different options open to us, but one that is becoming more and more common to people in the UK is the concept of selling their home and then renting it back. What is this system and why is it becoming so prevalent in the real estate landscape? Take a look below to get a good grasp on this phenomenon and what it can do for you.

Sell and rent back is the opportunity for the home owner to sell their house to a company and then rent it back from them at the going rate or at a pre discussed lower rate. You would not even have to pack your bags and move out it is all sorted out via paperwork and through the solicitors with both parties being able to agree on certian terms.

Why sell and rent back? There are many situations where you will simply need the capital that you can only get from doing something like selling a home. You might under stress from repossession orders, or you might require capital to deal with mortgage arrears, and with this solution, you can do it all without having to move or relocate. While in this case, you will typically be selling your home for less than it is worth, you will also manage to avoid repossession and large personal debts if you simply don’t have the money.

What are the advantages? There are several advantages to taking a firm up on this offer. Many firms who participate in sell and rent back setups will be able to complete all processes in a few weeks, with none of the problems and stress that goes with selling a house. You’ll also find that many sell and rent back firms state that most people only receive 85% of the worth of their homes when they sell conventionally, and that they will offer between 70% and 80% of the worth of the home, based on a surveyor’s professional opinion.

One of the biggest things that firms who sell and rent back homes offer, though, is discretion. Neighbours won’t be clued in by repossession men showing up, and there will be virtually no disruption in your lives. You’ll continue living as you have before, and it can be a real blessing not to force your children to change schools.

Take a look at some of the facts and think about whether this option is the right one for you. When you are looking for good financial solutions, you need to consider every possible solution, so don’t let the option to sell and rent back your house slide by.

Taking out a secured loan, or remortgaging the property is a decision faced by many individuals looking to refinance their home to raise money. Which one is better for you is not always clear and depends on different considerations. An early payment penalty is typically the most significant factor and usually kicks in if you pay off your mortgage early.

With some lending institutions charging 7.5% or higher as a penalty for paying off a mortgage early, you need to be careful whether this will apply to you. Yes you may have seen remortgage rates that are much less than rates on secured loans, however if you have to pay a large penalty to do the refinancing, your out of pocket expense will be greater.

Consider whether you currently have a discount mortgage, with a discounted floating or fixed rate for the first two to three years. These types of mortgages are particularly likely to carry a prepayment penalty. While not very common, it is also possible that this type of common mortgage would also impose a prepayment penalty even after the discount period.

If you are lucky enough to not be face with a hefty penalty for paying off your mortgage early, then you should start to look at the fees associated with a secured loan transaction. A key aspect for you to think about is that the the rate on a second charge loan will tend to be much higher than what you typically have on a mortgage. This may make the remortgage option appear more attractive on a straight interest rate comparison, but there is more to it than that.

Don’t forget that the overall cost of your loan consists of more than just the interest due on the outstanding principal. There are costs associated with valuing, administering and getting the deal passed by a lawyer and the lender, as well costs to cover the title and broker charges. The majority of these costs, barring the final two, are generally not applicable in a secured loan transaction.

And don’t forget that mortgages are generally taken out on a much larger total sum, and therefore the APR of the mortgage may well be less than what is being suggested for the secured loan, nonetheless if it is higher than your previous mortgage rate, the overall cost of borrowing, discounted over time, could greatly exceed the savings from the lower transaction cost secured loan.

The repayment terms of the loans are a very important part of the process, and you should examine each of the offers you have very carefully in this regard. In particular, if you find yourself locked into a repayment plan for a secured loan spanning several years, you may not be able to pay off the loan early, even if you are able to do so, and this can cost you quite a bit of money. Note as well that individuals with recent bad credit problems may have more luck with the secured loan approach.

If you don’t have the luxury of time, a remortgage may not be the best option for you. The approval process for a mortgage typically takes several weeks and it may even be months before the funds are actually deposited into your account. A secure loan, on the other hand, can be approved in two weeks in a best case scenario, so this may be a significant factor for you to consider.

As a home stager, I am continually surprised at the number of misconceptions about what my profession entails. When I receive calls from home sellers inquiring about my services, I know that I will have to field many questions regarding just how my services will translate into results for them.

Let me discuss what home staging is NOT

Expensive – A good stager will be willing and able to work within your budget. Creativity and inventiveness are an integral part of the home stager’s job description. A stager should offer sellers the option of either providing the actual staging services or a comprehensive staging report that the home seller can do themselves.

A Realtor’s Job – Real Estate agents have enough on their plates without the added responsibility of staging their clients’ homes. The primary job of the realtor is to market the home, not prepare it for showing! By hiring a professional home stager, you can achieve that vital excellent first impression your home will make after being staged.

For Exclusive Homes Only – It doesn’t matter what the price of the home ishome staging can benefit homes in all price ranges. Creating a memorable atmosphere for potential buyers is the ultimate goal of a home stager. Regardless of the value of the home, the home stager will focus on the goal of selling your home quickly and for the highest price possible.

A Homeowner’s Job – As a home stager, I frequently make recommendations to my clients regarding changes that can be made to best highlight the positive features of the exterior and interior of their homes. It is not unusual to hear, “These are changes that I never would have thought to make. My house looks so much better!” The point is that the longer we live in a house, the harder it is to view it objectively. A home stager views a home through the eyes of the prospective buyer. They are therefore able to make and implement recommendations that will show the house in the best possible light.

Interior Design – Designing an interior is done for those who intend to live in the home for a period of time. The homeowner has a desire to personalize their home for living. Home staging, on the other hand, is for those who are moving and de-personalizing the home is necessary in order to maximize the appeal to potential buyers.

Only For Model Homes – Many associate staging with the model home look. While staging is certainly an essential part of making vacant homes show better, it is just as important for occupied homes. Home stagers will work with sellers’ furnishings and accessories to create an appealing environment that will appeal to many buyers.

I hope this helps readers understand what home staging is and what it isn’t. For those anticipating selling their homes, home staging can make a significant difference in the time your home remains on the market, as well as the ultimate selling price. For those whose homes have been on the market for a while and a price reduction seems inevitable, call a home stager before you take this step! Keep this in mind: The cost of hiring a stager will be significantly less than the price reduction.

Some people may feel it is extreme when their tax liability is lowered, but when you consider the years of taxes paid at a higher assessment rate, you are better off paying an attorney with knowledge and a proven record of accomplishment than paying several thousand dollars over the course of many years. Property assessments are not done every year and when they are done, they very rarely go down, but rather they go up. This will cause problems if you decide to sell your property. Many people look for the assessed value as well as the fair market value.

The property tax attorney will need all the available documents. The attorney will more than likely ask a private company to do another assessment of the property. This just ensures that you have grounds for an appeal. If the private company finds the assessment to be accurate, you might need to reconsider your appeal.

The property tax money

When you pay your property tax, it is paid to the clerk’s office where it is then placed into a special account until it is divided up between school districts, city and townships, and the county. There is a portion of the tax dollars that is directed to other districts, which might include a nursing home owned by the city, county, or something similar that requires tax dollars to operate. Fire, ambulance, parks, libraries, and others receive a portion of the tax dollars as well. How much each group receives is different for every state and community. However, the highest pay goes to the school districts and then the city, county and townships.

Different states choose a committee for their property tax matters. The committee then votes on the use of the money, either grants or denies the use of the funds. In some cases, a small portion of the funds requested may be released depending on how the committee votes. All funds are voted on before being released to any district that has money set aside.

What is it that really affects taxes?

One thing that affects your property taxes is the assessed value of your property. Many states call this the market value of your property. Although fair market value and the assessed value of your property are different, this does affect your property tax. If your property is compared to other properties of the same structure in your area that have sold or been built, you may see an increase in you assessed value of the property, which when used for calculations will raise your property tax. This makes some property owners outraged because they know they could never sell the property for that amount of money.

If your county has any type of referendum to vote on that can raise taxes and it is voted for, this is also going to affect your taxes. It could raise your tax liability a small amount depending on what it is for and what amount is needed. This is the main reason that most referendums that come up for vote by the voters is voted out. Property owners do not want to pay more than what they are already paying in property taxes.

Your home auction has finished and the buyer has made an offer for your home and has written an ‘offer to purchase’ agreement. If you have not seen a real estate contract, it might be a good idea for you to look at one. By studying a blank real estate contract it will give you some knowledge of its workings and this will make the buyer’s offer easier to understand. You will be able to recognize terms being used by the buyer, which may not be standard or may be unusual in some way. Understanding makes the whole process easier for you.

If the buyer of your home auction has added to the “special clause” box, placed above the signature, you will want to read and understand these special demands. For example the buyer may ask you to cover some of the closing costs, which the seller is not usually responsible for, or the buyer may want you move by a particular date specified in the box. Whatever you do check for this- you don’t want to be out on the streets if your new home is not ready. And whatever you do check the special clause box as well!

There are some demands in the buyer’s agreement that you might want to watch out for: whether or not the buyer has to sell before he can complete on the purchase of your home auction selling success; whether the buyer wants a lot of time to obtain financing to buy your home; if the earnest money is unusually small.( ‘Earnest money’ is the term given to the deposit which shows your buyer is in earnest, is serious, and it can be as high as 2% of the cost of your home. A normal amount is from $500-$2000.) ; if a penalty is enforced if you cannot move by the buyer’s preferred date; if the buyer wants you, the seller to pay the buyer’s mortgage costs. All these things could cause delays in the sale of your home and even more costs to you.

Make sure that your buyer has been pre-approved or pre-qualified for a mortgage loan large enough to buy your home. If the buyer is making the offer before gaining either one of these, do not sign the offer.

After you have considered very carefully the buyer’s offer, you have a number of alternatives. You can accept the offer. Just sign the offer agreement making it a contract. Additionally some states require you sign a separate agreement, which is called a “binder”.

Another choice would be to make an alternative proposition. Make notes on the sales agreement and cross out conditions on the offer which you believe to be unreasonable and unacceptable. Alternatively you could just fill out your own sales agreement enabling you to stipulate the conditions you want in place.

The last option is to reject the offer all together.

You will want to consider if the offered price is lower than you had in mind. If it is look very closely at the offer. Are there conditions, which will compensate for the lower price

Some home auction sellers will not sign an offer agreement until they have received a minimum of $500 earnest money, however if you have judged the buyer to be a serious buyer, you can do without the earnest money. but make sure you judge accurately or you’ll be left high and dry. The earnest money check should be made out to you, but held by a third party such as your real estate attorney or the buyer’s real estate agent). This check is non-refundable should the buyer default on the contract.

Even though you have signed an offer, you can accept a backup offer. The buyer with the backup offer must know about the current pending contract on the house with the first buyer.

So after you’ve completed selling your home by auction follow all these steps and all should end happily! Good luck!!

An apartment leasing agreement should include a check in and check out section. This is where you and the property owner do a walk through to examine the condition of the property. If you notice anything not on the list, it should be added for your protection. This part of the leasing agreement is vital when renting an apartment as well as a home, commercial property or a mobile home. Everything should be noted even the condition of the attic, basement and living quarters. If you forget something and sign the lease, you can be held responsible for the problem that was forgotten on the agreement.

Once you have your required documented papers in an envelope then you are ready to go. This envelope will have a postmark that will verify the date and condition of the apartment when you moved into it. It may be wise to send one to the property owner as well, so there are no misunderstandings. Anything you see that might present a problem with you living there should be reported to the property owner right away. If something needs fixing, see that this is done before you move into the rental or very soon after to keep good communications between the two of you.

Breaking an apartment lease when renting

Breaking an apartment lease agreement can lead to money complications for you and the property owner. As for the property owner, in some cases the property owner will have you pay to place the new advertisement in the paper because you are breaking the lease agreement. This is small amount of money to spend and you should not argue over this small inconvenience since the owner is being nice enough to let you break the lease. You need to make every available effort to help the property owner find a replacement tenant or you become liable for the rest of the rent due.

It is always best to communicate everything as you go forward. The property owner is going to be more willing to make adjustments if he or she sees that you are doing everything possible to help get the place rented. This might include some extra cleaning or making the place look more inviting for potential renters when they come to check the place out. You never want to point out the negatives about the place.

The renting eviction notice

To avoid receiving the renting eviction notice, you should always pay your rent on time, follow set guidelines in the rental agreement and if you decide to vacate the premises because toy cannot pay, talk the property owner and try to arrange to pay any rent that may be due. This not only keeps the case out of court, but also puts you in better standings with the property owner.

You could choose to fight an eviction notice or even ask for more time. If you are located in a state that has a winter law that states that families cannot be evicted during certain months during the colder season, you will be safe for a little while, but then the property owner can and more than likely will sue you for the rent money and court costs.

The Minister of the Interior may grant a permit only if the Immigration Control Board confirms that the applicant falls under one of the following categories and meets the necessary criteria. (a) Farming. He possesses adequate land or a permit to acquire it and at least CYP250.000.(b) Mining. He possesses a mining permit and at least CYP200.000. (c) Trade. He has capital of at least CYP150.000,(d) Retirement. He has a secure income of about CYP5.000 per person and he and hid dependants will not work.

Permission to purchase a property must be obtained from the Council of Ministers by written application. This must be submitted by the non-Cypriot purchaser after the agreement has been signed. However, the permission is granted more or less as a matter of course to all bona fide buyers. In the meantime purchasers may take possession of their property without restriction.

The Minister of the Interior may grant a permit only if the Immigration Control Board confirms that the applicant falls under one of the following categories and meets the necessary criteria. (a) Farming. He possesses adequate land or a permit to acquire it and at least CYP250.000.(b) Mining. He possesses a mining permit and at least CYP200.000. (c) Trade. He has capital of at least CYP150.000,(d) Retirement. He has a secure income of about CYP5.000 per person and he and hid dependants will not work.

With the increasing complexity of the property market and the constant introduction of new concepts and measures new for the island (although not so in the European countries) it is advisable that the potential purchaser seeks professional advice prior to concluding a deal in order for hardships and disappointments to be avoided. This advice is specially useful to the foreign purchaser who has to encounter the problem of different laws and local attitudes. For this reason this firm has prepared the following tips which may be useful to the local property purchaser.

It is recommended that a building permit be secured first before works commence, although works such as excavations etc may begin prior to the issue of the building permit. In this case, your architect must consult with the Appropriate Authority to see whether there are any major objections to the drawings.

The Cyprus Property market is one of the fastest growing markets within Europe. Purchasers are attracted by the potential growth in terms of returns on investment of property in Cyprus compared to other countries in Europe and the UK. The climate (340 days of sunshine a year), along with easy access to the UK, Europe and other destinations is also a significant plus factor when considering the purchase of property to buy in Cyprus.

Cyprus is the lead nation that joined the European Union in 2004 which is another factor affecting the growth and prices in the property for sale market of Cyprus. It is expected that in the run-up to becoming a member of “the club”, prices of property for sale in Cyprus will continue to rise at an estimated growth rate of around 20% per annum.The climate of Cyprus makes the island one of the healthiest places in the world. With 340 days of bright sunshine annually.

For those who want to buy a plot of land and put up a building there, there are certain major points they have to bear in mind. As a rough and general rule, and provided there is a “satisfactory” access, a single house can be erected on a plot of land. If more than one house is required, then water must be provided. The water supply may be either from a public or private source. In the event of private water supply (usually a borehole) its quantity and quality are tested by the Water Development Department.

In these circumstances, promises and the willingness of locals to help may meet the Authority’s objections. A more serious consideration however is section 4A of the Streets’ and Buildings’ Regulations. This amendment of the Law states that, in certain cases, no building permit will be granted to plots of land which are the result of field subdivision. Therefore, the derivation of the site’s title must be examined and verified by the District Lands’ Office.

The seashore protection zone is independent of the town planning zones. It is a zone which extends from the sea and it usually (but not always) has a width of approximately 300 feet. Within this zone no building can be allowed, even a small hut, ice cream shed or a swimming pool. When there are ancient monuments close to your plot, be careful to examine whether the Director of Antiquities has any objections to a building project. If a plot of land is classified as an ancient monument area, the Director’s approval must first be sought.

Self-employed persons must possess academic or professional qualifications, which are in demand in Cyprus and do not crate competition to the local population. People of Cypriot origin or the foreign wives of Cypriot citizens are not regarded as foreigners. Residence permits are issued to the following providing that certain criteria are met.

The quality of construction is another problem. Normally the developer’s reputation and a visit to a previous project will give you an idea of what you can expect. Show a preference to blocks utilising low maintenance materials: sprits finish to a block as opposed to decoration is an advantage; the use of timber windows as opposed to plastic ones is a disadvantage; a poor quality lift will cause you major future difficulties etc.

The transfer of the title can be effective once the Council of Ministers’ permission is obtained along with confirmation of receipt of the foreign funds. Upon transfer and registration in the purchasers name the district Land Registry Office will charge transfer fees which are based on the market value of the property at the time of purchase – as follows: Value up to CY50,000 – 3% CY50,001 – CY100,000 – 5% CY100,000+ – 8%

The legal fees usually charged by a lawyer are approximately CY500 and cover the review and alteration if required of the Sale Agreement, revision of the General Agreement (which regulates the use of common areas, where applicable) and submission to the land registry for specific performance.Stamp duty is due at the time of signing the contract. This is levied at the rate of CY1.50 per CY1,000 up to CY100,000 and thereafter at the rate of CY2 per CY1,000. The purchase contract must be stamped within 30 days of its dated signature or a fine will be imposed.

Developers usually offer two-storey villas with three to four bedrooms, with two bathrooms, living/dining room and kitchen with breakfast area. Often the option of a swimming pool is also given.Prices vary according to the location and area of land involved.

The Town Planning Act. This law (expected to be fully enforced very soon) regulates development and it will supersede the liberal town planning zoning which exists at present. It requires the preparation of local plans for development and prior to any acquisition/development of property, the inspection of these plans is a must. Any development in the future will require a Planning Permission as well as a Building Permit.

The next step is to appoint an architect to carry out the design. There is an abundance of well qualified architects on the island and many capable technicians as well. We suggest that you appoint an architect for the purpose (not an engineer or technician). Architect fees range from 4%-6% (on the building cost) but you can agree also on a fixed fee. The prevailing fees are 3.8% on the building cost for a complete set of architectural plans and 1.6% for supervision (including the issuing of certificates).

The direct approach (find out who the owner is of the plot you are interested in and ask him if he wants to sell) may prove to be the best one. Bear in mind that it is the seller who pays for the commission of the agents and not the purchaser and for this reason agents have the owner’s interest at heart and not yours.

Firstly, a preliminary contract is signed. This binds both the vendor and the purchase to buy and sell the property on terms and conditions that have been mutually agreed. This is subject to the purchaser being able to receive good title to the property and obtaining the necessary permits from the Cypriot government.At this stage, a deposit is lodged with a Lawyer or a Notary.The purchases lawyer will now carry out the searches at the District Land Registry to ensure that the vendor of the property is indeed, the owner and ensures that the purchaser obtains good title to the property.

Non-Cypriot citizens requires permission from the Council of Ministers to purchase property in Cyprus. If this has not been yet obtained then the purchaser should now apply to the council for the permission. This normally takes between 8 and 14 months to be granted, and without this the Title Deeds of the property cannot be made available to the purchaser. The final contract is only entered into when the searches have proved satisfactory.