Invest in a Home and See Your Money Grow!

Purchasing a home can be a fantastic investment, especially as home values continue to grow. Besides looking at a home as The American Dream or a place for you and your family to live, realize what an outstanding investment it is!
Some people get so caught up in the need to purchase a house and how that is the greatest purchase they are going to make, they often forget about the investment part of the deal. I know that seems odd, but with an increasing shift towards purchasing a home with little to no money down, and creative mortgages, equity is literally ripped from the home owner, as they often owe a lot more than the property is actually worth. Building the equity in a home is a long term commitment, especially when the mortgage principal is a large amount.
It is important for home buyers to understand why purchasing a home is so important, and not just something they are supposed to do.
The reason why property is such a great investment is that it can increase in value over the years. So you purchase a home at a certain price, and in the years that follow, the value is greater than the purchase price and you have just turned your original amount of money into more!
There are instances where property valued and purchased at $300,000 has been appraised for $600,000 10 years later! You have just doubled your investment! In reality, you could sell the house and make an additional $300,000! Some homes will appreciate faster or slower than others and the area the house is in and development around it usually help determine how much a home will appraise for.
Of course this all depends on your mortgage and interest rate. The more you can pay off the mortgage, the more equity is in the home. Also, when the value increases, you have money you can take out of the house and use it for personal use.
Many people choose to take money out of the house and use it for home improvements and renovation, making it even more valuable! Upgrades, quality materials, and additions can greatly increase the value of a home with little investment.
So looking at home your as an investment that will give you a decent return on your money, it may important for you to buy in an area that is going to quickly appreciate in value. You may also look at how long you are going to stay in the home. If it is going to be short stay and you are planning on purchasing another home in a few years, you may want to look in an area that will appreciate very quickly. By the time you move, you will have a house worth more than you bought!
If you are planning on staying in a home for a long time, perhaps appreciation is not as important, because it will appreciate no matter what, even if it is not as quickly as you would like it too. You may allow certain things like appreciation time as not as important if this is a home you are going to live in for a long time. You may look to amenities, yard, square footage and so on as more important than appreciation.
All these things will help determine the type of mortgage you will get too. Generally, the longer you are going to stay in a home, the longer the life of the mortgage can be. As is the opposite, you should have a shorter term mortgage is you are not planning on living there for very long. Do realize, the shorter the life of a mortgage, the more quickly you can build up equity in your home, and less money you will pay in interest. You can save yourself thousands of dollars by accepting a shorter term mortgage.
The faster you can pay off the money owed on your home, the closer you are to owning your home free and clear, and have full ownership of the property and the equity in it. As the home appreciates, you can see your initial investment grow! A lot of the time, your money is better in a safe and steady market such as real estate, as opposed to the stock market.
So buying a home can mean many things for many people. It all depends on their motivation and intent for buying a home. Is it status? Or maybe a dream home? How about a safe and comfortable place to provide the family? Or maybe it can be a great investment that will have a solid return. Whatever a home means to you, don t forget the investment aspect of it and try not to give up too much equity to a lender. Pay back your mortgage quickly and timely, and you will reap one of the best benefits of owning a home: a return on your investment.
John R Blakefield is a mortgage and real estate specialist. For more information, articles, news, tools and valuable resources on home mortgages or investment loans, refinancing, debt solutions, visit this site: http://www.scourtheweb.com/mortgage/.



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Regulation may aid Indian property market

India has been one of the rising stars in the world economy in recent years, booming in industry, IT, filmmaking and numerous other ways, one of the two big beasts, along with China, of the developing world.
The http://india.assetz.co.uk/">Indian property market has been booming alongside this overall development in various ways, be it http://india.assetz.co.uk/">real estate India as new building takes place, or the buy-to-let that is made possible by the growth of the middle class and the popularity of many areas with tourists.
Among India s advantages is that it is the world s largest democracy. Among the disadvantages is a lack of regulation in key areas, including real estate. This, of course, can cause problems for builders, which in turn can impact the property market in the country.
However, this is all about to change, reports Forbes, as the government has responded to calls for better legal protection in this area. S Jaipal Reddy, the urban development minister, told reporters this week: "A quasi-judicial regulator is required in big cities as both consumers and builders may need protection," adding that "we will set up a regulator in Delhi which would serve as a model for other states to emulate."
The report adds that the body will be set up inside the next six months, although it will not be a nationwide body as, Mr Reddy noted, land regulation is a matter of state-level jurisdiction. However, the pressure to eliminate malpractice throughout India is likely to grow, according to Jonathan Yap, chief executive officer of Singapore-based Ascendas Trust Fund.
He said: "If India wants public investment, fiscal regulation needs to be in place. There needs to be a clear structure for taxes and proper titles. There s a fair bit of things to do."
Yet India does appear to be moving in the right direction in this regard. It has just moved up 12 places in the rankings of the nations listed in the World Bank s 2008 edition of Doing Business, reports the Economic Times.
This still places it 120 out of 178 on the list, which indicates it has some way to go, not least with China well ahead at 83. But, the report notes, it has provided better credit access for business, better cargo rights and electronic registry for security rights. In short, business regulation is improving and should continue to do so. World Bank investment policy specialists Sabine Hertveldt told the paper: "We expect the India ranking to go up further next year, since a lot of the reform processes are pending."
So with the prospects looking good for improvements in regulation and legal protection, those involved in the property market in India may find that the amount of red tape and difficulty drops for them too.
Opportunities abound in India for investors. For example, Homesgofast.com reported yesterday that deals available include off-plan two-bedroom apartments starting at 23,958 in Rudrapur, just as a special economic zone is being set up just outside the city that could help the properties appreciate rapidly in value.
Thus the investor in Indian property may be able not only to enjoy grabbing some bargains now, but having easier and better systems to deal with as their involvement with the country continues into the future.



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