Multi-Family Properties Might Be The Way To Multi-Millions

In the current commercial real estate market, investing in multi-family homes should be on the radar. Multi-family properties don’t always have to be 20 floor sky rise apartments in a big city. They can be smaller duplexes, town homes Read more

New Real Estate View: Why The Homeless Are Big Business In New York

It's a grim scenario: In New York, there are more than 50,000 homeless. Of that number, 21,000 are children, an increase of 21 percent from last year, according to a report by the Coalition for the Homeless, a New Read more

Red Is the New Green – Chinese Investors Eye US Assets

***This blog entry is a guest post from Elton Steinberg, Marketing Associate at United Realty*** American fund managers should be aware of current and future trends that may make the Chinese account for a more significant portion of overall foreign Read more

Gimme Shelter - Foreign Investors Seek Returns and Safe Haven in US Real Estate

***This blog entry is a guest post from Elton Steinberg, Marketing Associate at United Realty*** Foreign investment has been a significant driver of the US real estate market recovery. Investors from across the globe have been responding to negative stimuli Read more

Commercial Real Estate

Multi-Family Properties Might Be The Way To Multi-Millions

In the current commercial real estate market, investing in multi-family homes should be on the radar. Multi-family properties don’t always have to be 20 floor sky rise apartments in a big city. They can be smaller duplexes, town homes or small condos. These smaller properties are recommended for startup investors.

Investing in multi-family homes is a great way to enter the real estate market. As opposed to investing in single family homes, the cash flow of multi-family homes is increasing due to lower property values, mortgage cost and rent increases. This can lead to many advantages for an investor. There is also less risk and less cost as opposed to owning five single family homes where you have to maintain five different properties. With all five families in the same building, there is only one roof to maintain and the tenants are in the same location.

With many unable to afford homes in the suburbs, the demand for multi-family homes is increasing. Also, the construction on new multi-family apartments is bouncing back. Many are having trouble finding stable jobs so they are leaning toward renting apartments as opposed to buying single family homes. The baby boomer generation is starting to live more frugally because they realize that they don’t have enough saved for retirement. As a result, they are spending less and recognizing that they can’t live their current lifestyles. They are working longer and see renting as a more cost efficient option. With the overall increase in demand, this inevitably leads to an increase in rent which makes investing in multi-family homes very attractive.

Now speaking of rent, if an investor is going to rely on rent to cover the property’s debt and operating costs, it is necessary for the investor to choose an area where the rent demand is high and the vacancy rates are down. Depending on the right location, a larger apartment can rent faster than a smaller one. Location is critical for a successful multi-family home to reap high rewards.

As new investors, starting off investing in multi-family properties is a good foundation for a strong and diverse portfolio. It is important to know all the “ins and outs” of the market. Evaluating past transactions and possible properties for transactions is essential. A small investment in a multi-family complex can be the outlet for a cash flow gaining investment. The right multi-family properties are income producing assets that provide great long term returns.

 

Posted on by Jacob Frydman in Commercial Real Estate, Guest Blog Post, Housing Market, multi-family, News, Residential Real Estate Comments Off

Refinance Mortgage Without Any Appraisal: Is It Possible?

Mortgage Calculator

The article was contributed by Selena Cowell. She is mainly associated with MortgageFit Community since 2005. She is an author and a expert blogger who contributed a lots of articles on real estate, mortgage, refinance, home buyers tips, loan modifications and more on the web. 

Are you wondering whether some of the expenses like appraisal, inspection and title fees are wiped out while refinancing your mortgage? If so, then read the article to know whether appraisal required while refinancing. In this tough economic situation, most of the people are planning to refinance before they default on payment. Fortunately, though, mortgage rates are not only at all-time lows but now refinance programs do not require appraisals. Therefore, a large number of people can be benefited from refinancing as they can obtain an appraisal free loan. These loans are available through the FHA, VA, USDA and HARP programs.

Here are some of the programs that you can consider in order to refinance your mortgage without any appraisal:

1. VA IRRRL Mortgage Program:

The Veterans Administration designed a streamlined refinance for Veterans and people serving in the military on active duty through their Interest Rate Reduction Refinancing Loan (IRRRL) program. Generally, this particular refinance program for VA loans does not require an appraisal. You can refinance the loan even after not currently residing in the home.

According to the program, you can manage to include closing costs in your refinance. You can also obtain up to $6,000 in additional money to spend on energy efficiency improvements. If you’re looking for this type of loan, then you need to find lender who follows VA guidelines and does not require an appraisal.

2. FHA Streamline Refinancing:

FHA streamline loans are commonly known as IRRRL loans. Borrowers with FHA mortgages usually opt for FHA streamline loans for refinancing. Therefore, you can effortlessly manage to refinance your mortgage with the help of FHA streamline as well as include the closing costs. You have an option to choose a 30- or 15-year fixed mortgage or a 5-year adjustable rate mortgage.

Presently, the credit standards are not rigid from regular lending and borrowers are not required to get an appraisal. You can qualify for refinancing through FHA, only if you’re current on your existing mortgage. Therefore, refinancing can help to reduce your monthly payment.

3. HARP Loans: 

If your mortgage loan is sold either to Fannie Mae or Freddie Mac, then you can refinance your loan with the help of the Home Affordable Refinance Program (HARP). In order to qualify for the HARP loans, you’re not required to have set credit score or no minimum income requirement. Your property may not be appraised if you refinance the loan through HARP loans.

You can effortlessly manage to refinance your second home by using a HARP loan. But you need to be cautious while taking out a HARP loan as the lender may include additional requirements. Therefore, it is advisable to compare the rates before applying for refinancing.

It is definitely possible to refinance without any appraisal. Once you refinance on better terms, you can manage to pay off your debts with ease.

 

Posted on by admin in Guest Blog Post Comments Off

Top 5 Biggest Commercial Mortgage Loans In NYC From January to April 2012

***This blog entry is a guest post from PropertyShark.com and contains data developed by their analysts. PropertyShark.com aggregates real estate data and listings from hundreds of public and proprietary sources into an easy-to-use yet comprehensive property research website covering a dozen major markets.***

A recent survey done by loan officers at Federal Reserve informs us that since the beginning of February 2012, banks — domestic banks in particular — have started to ease loan standards for the commercial real estate sector. At PropertyShark.com, we searched for the biggest five commercial mortgage loans in NYC from January to the end of April 2012 and compared them to the loans secured during the same period last year to see what the changes are.

The data shows that waters remained rather still this year except for two blockbuster loans in April. The rest of the loan activity stayed within last year’s patterns, when none of the commercial loans surpassed $175,000,000.

The biggest mortgage loan this year amounted to $520,000,000, with New York State Fund Housing Agency as lender. With it, real estate developer Gotham Organization is set to bring a change in the West Side’s residential landscape, as the massive housing project at 550 West 45th Street is expected to offer more than 1,000 affordable and luxury residential units at one address.

The second was secured against the 53-story tower at 1515 Broadway. Right before media giant Viacom paid a whopping amount to renew the lease of this entire building, the landlord, SL Green, obtained a loan of more than $320,000,000 from the New York branch of Bank of China. This is not the first mortgage SL Green, the largest office landlord in NYC, receives from the Chinese lender.

Are these two loans going to set a trend? It might be too early to tell, but they sure rocked the boat a little.

As a lender, Deutsche Bank has proven quite active during this time. In March 2012, it added to its lending books a $142,148,560 mortgage secured against the 7-story office building at 10 East 52nd Street, Manhattan, after one of its subsidiaries, the German American Capital Corporation, had financed in February a $125,000,000 loan going to The Solow Building in Manhattan.

Last year during the period January-April the highest mortgage loan was the $175,000,000 associated with The Milford Plaza Hotel in Manhattan. Foreign banks competed again with the domestic ones, Deutsche Bank appearing once more as one of the main lenders, with a $125,000,000 mortgage loan going to The Sheffield at 322 West 57 Street, one of the most sought-after condo buildings in Midtown Manhattan.

Here are the rankings for the highest commercial mortgage loans for January-April 2011 and 2012:

NYC Top 5 New Mortgages in January 2012-April 2012


 

 

 

 

 

 

 

 

 

NYC Top 5 New Mortgages in January 2011-April 2011



Posted on by Jacob Frydman in Commercial Real Estate, Guest Blog Post, Hotels, News Leave a comment