Found 22 blog entries tagged as Investment Property.

If you want to make the most the of your Santa Cruz home as an asset, I have one word for you: patience.

If we’ve learned anything over the last years in the real estate market, it’s that get-rich-quick schemes can just as easily turn out to be get-poor-quick scenarios. We are very much back to the good old days of seeing real estate as a long-term investment. And as a long-term investment, it continues to be a solid one. 

Here are a few other tips on how to make the most of your largest asset:

• Go long – It bears repeating: long-term ownership is the key. Build equity, allow the property to appreciate and minimize the costs that come with buying and selling property. 

• Buyer beware – Before you even enter into the world of homeownership,…

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Remodeling and updating Santa Cruz real estate makes a lot of sense in today’s market. Even if you’re planning on staying in your home for years to come, don’t make the mistake of spending your home improvement dollars unwisely. You never know when something like illness, unemployment or a job opportunity in another city may force you to sell.

You don’t want to sink a lot of money into expensive upgrades or additions that you won’t recoup when it’s time to sell. So here are five tips to make sure your investment makes good financial sense.

1. Keep pace with the neighbors, but don’t pass them. Any real estate expert will tell you that it’s hard to get the maximum value out of a home when it’s the nicest one in the neighborhood.

2. Remodel instead…

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When considering whether you should purchase a new Santa Cruz home, you want to take into consideration the five-year rule. That’s the minimum number of years many experts believe you need to own a home in order to break even on it when you sell it.  Some experts are now suggesting seven years, but in this article I’ll be talking about the five-year rule.

What happens if you own your Santa Cruz home for less than five years? Often, you’ll lose money because:

1. You pay thousands of dollars in closing costs each time you buy property. That money does not build equity or increase the value of your home in any way.

2. In the first five years of your home loan, a much higher percentage of your monthly mortgage payment goes toward interest than toward…

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Your home is usually the most important and sizable investment you will ever make. Whether you’re buying a starter home or the home of your dreams, you can’t afford to invest in Santa Cruz real estate that won’t steadily increase in value over time.
In order to assess a home’s potential and maximize your profit when it comes time to sell, we’ve compiled a list of five helpful questions to ask when choosing a property.

1. Are businesses investing locally? Ask your potential neighbors about new businesses in the area and check the local papers. If businesses are investing, it’s a good sign that the neighborhood will continue to enjoy financial stability.

2. What amenities are in the area? Buyers will pay a premium to be near amenities such as parks,…

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If you've ever dreamed of purchasing investment property, owning a vacation home or buying a home in Santa Cruz for a family member, this could be the year to check that off your bucket list.  With record low interest rates and decreased prices, it is a buyer’s market, particularly in the second-home market. 

Before you sign on the dotted line of another mortgage, be it for a beach condo in Florida or a home in Santa Cruz that you plan to rent, be sure to:

• Check your credit. The same rules apply for a getting a mortgage on a second home as on a first.  Good credit means better loan terms.

• Save for a down payment. The more money you can put down, the lower your mortgage.  If you put 20% down, you can save money by avoiding Private Mortgage…

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If you’re closing up your summer vacation home to head for warmer climates or leaving your home in Santa Cruz for an extended period, follow these tips to safeguard your home from harsh weather, pests and vandalism:

1. Trim bushes, shrubs and hedges. This isn’t to make your yard prettier. It’s to improve your home’s security by providing an unobstructed view of your doors and windows.

2. Prune tree limbs and branches. You don’t want any branches hanging over your house. They provide easy access to rodents and robbers and could fall during storms, damaging your home in Santa Cruz.

3. Bring in outdoor furniture and decorations. Don’t chance having your outdoor chairs, tables or decorations destroyed during winter storms.

4. Securely store…

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Investing in real estate is not a get-rich-quick scheme by any means.  Late night infomercials claim to show you how to retire in months after trying their methods for investing in real estate. Unfortunately, the only ones getting rich are them.

But, you can build for your future by investing in the right Santa Cruz real estate in the right way. Here are five tips to give you some guidance on how to buy that second, third or even fourth piece of real estate as an investment:

1. Shop smart. Look for homes or land in desirable neighborhoods or in up-and-coming neighborhoods.

2. Keep your property. You should not buy Santa Cruz real estate for the purpose of flipping it.  That was a short-lived fad that ended up costing many people thousands of…

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In the recent downturn of the economy, many homes nationwide as well as homes in Santa Cruz have taken a dive in value. As a result, they may not be the nest eggs that potential retirees were hoping for. Now, retirees need to know their options and what to do with their homes in Santa Cruz.

If you find yourself in this predicament and aren’t sure what to do, speak with your financial expert and review the following options for your financial future so that you can retire on time — and enjoy it!

• Wait it out. Most retirees want to try this tactic and are hoping that the housing market will rebound. However, if your property’s upkeep costs, such as taxes, insurance and utilities, continue to rise, you might need to consider other options.

• Pay…

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You’ve taken the leap, purchased Santa Cruz real estate as rental property and become a landlord.  Congratulations!  Now, you have to decide who’s going to manage your rental property… you, a resident manager or a property management company.

Hiring a property management company can be expensive.   To help you determine if that’s the best business decision for you, here are some instances in which you may want to hire a property management company for your Santa Cruz real estate:

• You have many properties and rental units, and you don’t have time to do it all yourself.

• You live far away from your rental property.  Many problems that arise with rental properties need immediate attention.

• You don’t want the hassle of having employees. …

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You know that you can lend money to your child to help him or her buy Santa Cruz real estate.  But you’d like to explore some other financial arrangements to determine which option is the most advantageous for you and your child.

Here are four additional ways to help your child buy Santa Cruz real estate:

1. Give the down payment as a gift.

Before deciding whether to make the money a gift or a loan, consider what moral message you may be sending.  You don’t want your child to develop a sense of entitlement and take for granted that he or she can come to you any time money is needed.

If you decide you do want to give part or all of the down payment as a gift, consult with your financial adviser to determine the amount you can give away without…

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