Everyone has at least heard of real estate once. In the world of investing, there are many different models. Real estate property is one of the many investment models. Their rates of return are as high as the profits from stock market. Of course, every investment comes with a certain amount of risk. Investing with real estate is no different from that fact.
If you’ve been paying rent or have a mortgage now, a good way to do things is to look at what happened last month and how you felt about it. If you’re a renter, don’t forget to include the tax benefits (you don’t pay taxes on the interest portion of your monthly payments and you can depreciate your home). Consult with your accountant to figure out if you yourself can do that. Generally speaking, if you get the deduction and depreciation, you can spend about 33% more on house payments (mortgage, property taxes, property insurance) than you did on your rent and end up in the same place financially.
While checking out the gutters, take a look at your roof. Notice such things as damaged flashing, missing shingles, blistering, buckling, rotting, or growth of algae. Taking a look at your roof during spring cleaning activities will allow you to address any small issues and prevent them from becoming larger. If a new roof is what is needed, then you can schedule and plan for it before it becomes a liability.
Many www.listedpropertyinsure.co.uk policies have the Replacement Cost (RC) Endorsement on the policy that covers the contents. The claims process for your Contents is the trap laid by the insurance companies. Don’t think that your insurer wouldn’t do that to you.they ALL do it.
You pay less if you take reasonable steps to improve the quality and strength of your roof. This is particularly true if you reside in the East where high winds are a major threat. If you want to know how to strengthen your roof and get discounts for doing so, ask your agent. One simple way is to fix heavier shingles.
A.Evaluate your risk tolerance. Investment advisors typically discuss the concept of risk with their clients, but don’t face reality. Investments come with a significant chance that value will decrease significantly.
There are two ways to decrease the cost of your home insurance. The first thing you should do is put a security system in place. This will potentially reduce your annual premium by 5%. Keep in mind that the insurer will want proof that your security system is operational, and they may request a bill or a service contract. The second thing is to put smoke detectors around your home. This could save you as much as 10% per year.
But there are BIG, BIG problems with mortgage escrow accounts. These problems are happening with much greater frequency than just a couple years ago. Foreclosures are only PART of the problem, and that’s a topic for another article.
The information that you get from home insurance comparisons can be very helpful in the shopping process. Make sure you include everything that you want covered in your policy, and check that you know what basic are covered and what contents you may need to add. Such as if you have a hot tub, swimming pool or extra storage buildings that are not attached to the house. All of these things are considered extras and can raise the price of the plan.Read More