September 2010

Data.gov – A Cool Site With Lots Of Great Info

http://www.Data.gov I just found this site and wanted to share it.  It has a ton of info and reports.  If you have a project or just an “inquiring mind”, this is sure to be a hit.  Check it out and get the data you need.

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Investment Property In Rochester Minnesota

By Lyndsey Payzant

Why invest in property?

Just as any other investment, investing in real estate has its pluses and minuses. No investment is ever a sure bet of financial success, but investing in property has the best return out of almost any kind of investment. Buying investment property is a great way to diversify your assets, and it is a much more reliable thing to invest in than stocks since the real estate is not going anywhere. By investing in the purchase of property, you can not only gain capital, but you also receive tax advantages. Don’t be fooled by the myth that you must live on the property in order to own investment property–you can live elsewhere, even in a different state. All you have to do is rent out the property and you are on your way.

How to make money from your investment property

As your property appreciates in value, you make money from it. This is called capital growth. You also get tax benefits from your investment property by deducting the costs of owning the property from your income. The mortgage payments you make are the biggest part of this deduction, but you can also claim such expenses as property management fees, loan costs and repairs. This stems from the loan you received in order to purchase the property, so accordingly it will benefit you more if you have a higher income. The more money you borrow to finance your property, the higher your monthly payments will be and therefore you will be able to receive a greater tax deduction–but this will only work if you can afford to make the higher payments.

Buying the property

One benefit to buying property for investment purposes only is that it takes a lot of the emotion out of the process. It’s much easier to become emotionally involved in the process of buying a home when you plan to live in that home, and hence, easier to make a financially unsound decision. The most important thing to look for when choosing property is to make sure you buy in a growth area. A good rule of thumb for finding growth areas is to look in suburbs within ten kilometers of a major metropolitan area. Your renters will want close access to shopping, schools, churches and the like, so make sure you know the proximity to these places from your property.

Units are much easier to rent and manage than an actual home. If you buy a unit, you won’t have to worry about landscaping and outside maintenance costs like you would in a home. If anything goes wrong with the property, like a broken pipe, the expense is shared among the tenants of the unit complex. Make sure the property looks like it is already well taken care of and in a nice part of town before purchasing–get a feel for the area. You don’t want to get stuck with a lemon piece of property because you didn’t check things out thoroughly before purchasing.

Inside Rochester MN Real Estate [http://rochester-minnesota.inside-real-estate.com/investment-property.html] is a network entirely devoted to real estate information. The entire Inside Real Estate network has more than 100,000 pages of real estate for cities allover the United States. Inside Real Estate covers several topics from the basic “how to’s” of real estate to city-specific real estate information.

Article Source: http://EzineArticles.com/?expert=Lyndsey_Payzant
http://EzineArticles.com/?Investment-Property-In-Rochester-Minnesota&id=74301

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Investing Considerations

By M. Shane

The process of real estate investment has evolved into one of the most lucrative investment markets in this country. Year after year, people are consistently making more money on real estate than most other areas of investment. Why is it that real estate is showing a higher ROI than other areas?

Perhaps the main reason that this is true is the fact that homes generally do not depreciate. Think about it, when you bought your first home, what did you pay for it? If you sold it now, what would you ask for it? The evidence is right there. The accumulation of equity is almost fine tuned to additional real estate purchases. Once you have the equity from one home, it can be utilized to purchase another, and so on. This is really no secret, but it pays to remember this and plan ahead.

The biggest decision you have to make at this point is whether you are going to flip the home or rent it long term. There are bonuses to both. In flipping homes the general practice is to buy the home at as low a price as possible, renovate or update the home then sell for a profit. If you know how to interpret the local real estate market there can be some real money in this strategy. The downfall comes when the home does not sell quickly, and it languishes on the market not making any money. This is the advantage to renting for the long term. In renting the home you can use the monthly rent to pay off the financing you received to purchase the home. Plus, the equity from the rental property can again be utilized. The risks you take must be calculated in order for this process to bear fruit. But being risky can pay off in the end.

REW Writers Team. A collective publication network facilitated by Real Estate Webmasters. Each article is contributed by a member of our real estate community. This particular article was submitted on behalf of Century 21 Vista. The Gold Standard in Minnesota real estate

Article Source: http://EzineArticles.com/?expert=M._Shane
http://EzineArticles.com/?Investing-Considerations&id=432996

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