How Can I Invest in Affordable Housing?
By definition (according to the U.S. Department of Housing and Urban Development), housing is affordable if it requires no more than 30% of a household's income. The determination of affordability is based on an area's median income when reports are made about how much affordable housing is available.
What is Asset-Level Risk?
Asset-level risk analyzes risk associated with a specific property. This analysis isn’t just about the property and its investment structure. Asset-level risk also involves the surrounding properties and various local economic trends. No analysis is complete without factoring in general market risk as well. In this article, we’ll go over in detail what asset-level risk is and the type of analysis needed to help quantify and identify risk at this level.
How to Calculate Liquidity Risk?
Real estate isn’t known for its liquidity. But what is liquidity, and why should real estate investors care? Liquidity is the ability to discover the current market price of an asset and immediately convert the asset to cash at that price. To discover the current market price, buyers and sellers need to be readily available at that price. Real-time price discovery allows an investor to convert their asset into cash. There are many levels to that statement. In this article, we’ll unpack them and go through why we think it is important to consider liquidity risk.
How to Find Investment Properties
Investing in real estate is recognized as potentially one of the most successful paths toward wealth accumulation. No investment is guaranteed, and even real estate can lose value, but rental properties may offer both appreciation and passive income for the investor. As you prepare to enter the investment property arena or expand your interests, consider some options.
Can a Townhouse Be a Good Investment Property?
Buying a townhouse as an investment property might be your first step into real estate investing, or a way to branch out once you have some experience with single-family homes. Perhaps you are already renting out condos and are wondering about the distinction between a condo and a townhouse. There are several:
Can a Tenant in Common (TIC) Be Ousted?
If you’re buying a property with one or more people, you have options in how the property is titled. One of these options is a tenancy in common. Becoming a tenant in common, or a TIC, is one way for investors to have rights to the entire property while only holding a fractional interest.
Ways to Invest in Senior Housing
Senior housing has become a mainstream commercial real estate asset in recent years with both institutional and private investors jockeying for position in advance of the pending “gray wave” of elder Baby Boomers, commercial real estate brokerage CBRE reports.
How are Investment Properties Taxed?
Owning an investment property provides another option when seeking to accumulate wealth. Real estate assets have the potential to be a source of income, and property can appreciate. Both methods of earning money are subject to tax assessments.
Can a VA Loan Be Used on a Rental Property?
Millions of current and former service members have used VA home loans to become homeowners. These loans are from private lenders at competitive rates, and oftentimes veterans aren’t required to come up with a down payment or pay for private mortgage insurance.
Do I need Homeowners Insurance for a Rental Property?
Homeowners insurance is typically required for owners of property that the person is living in. The coverage will protect the resident against losses and damage, and most lenders require a mortgage holder to maintain such coverage as a condition of financing the loan. If the loan has an escrow account, the homeowner’s insurance premiums may be paid from that account, along with the property taxes (and mortgage insurance, if applicable).
