Tag: real estate

Ways to Finance an Investment Property

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The world has gotten to the point where every income-oriented person is always looking for ways to make extra income, whether passively or actively. Many people love having passive income streams because they give them the chance and time to work on a lot of other things, especially if they have a regular job. One of the best ways to earn passive income is through investment property. And besides providing you with a source of income, you can increase your assets, stabilize your financials through investment property.

However, knowing how to buy an investment property in your name is always the first step. Buying the property is the hardest part, except, of course, you already have the cash lying around in the bank or a rich family member who is going to give you the money. If you are just an average Joe who wants to invest in properties, below are some options that you can use to finance an investment property.

  1. Apply for a bank loan

For investors just starting out in the world of investing, getting a bank loan is the most common go-to option. The only difficulty that many of these investors grapple with is the insistence of banks on up to 30% of the property’s value as a down payment. This could be a bit difficult for an investor who is just getting into the business. Some of the other limiting factors, including poor credit scores and a bad debt-to-income ratio, which make the banks tag them as bad bet and refuse them loans.

But if you can swing it, a bank loan is one of the best ways to finance an investment property. You can get good rates, and once the property begins to yield some income, servicing the loan becomes easy.

  • Tap into your home’s equity

Financially, we do not usually advise using your existing home’s equity, but if you are trying to buy an investment property, it could be a great idea. You have different options, which include using the home equity loan to get the amount you need or extending your mortgage or even cashing out all the equity that you have on your home. Whichever it is you choose, this is a viable option to finance your investment property.

  • Get a hard money loan

Not all investment properties are meant to be kept long-term to yield income. Sometimes you can get a “hard-money” loan in which the property will serve as the security. Lenders that provide loans like this will use the after-repair estimated value of the property to determine their risk. This kind of loan does not use your credit score or debt-to-income ratio to check your loan eligibility.

If you have your sights set on investment property and the whole process is overwhelming for you especially in the area of financing, it is time you talked to experts. Get in touch with Chang Legal LLC Attorneys at Law. Call 847 907 4971 to talk to a lawyer.

Things You Should Know About Buying a Vacant Land

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Sometimes it’s better to build your home than buy one, not necessarily because one is cheaper than the other, but largely because instead of remodeling a house to your taste, you get to build from scratch, be a part of the process and build to your taste. But for any of that to be possible, you have to, first of all, get land on which to build your home. And in every sense, purchasing vacant land can be very tricky, but the aim of this article is to highlight some simple tips that can get you started on buying vacant land.

  1. Have your money ready

Having your cash ready for payment is important because your chances of getting a bank loan to purchase a vacant property are quite slim. This is because there is not enough guarantee for the bank, just in case they have to foreclose or sell it. However, getting a construction loan from the bank is relatively easier. But to purchase the land, you are most likely going to pay with your own money, before starting the process of buying a vacant property, ensure that you have your money ready.

  • Do all necessary checks

Before shelling out the cash for empty land, it is important that you hire a surveyor to survey the land. You should also carry out environmental testing on the land to see if problems like fuel pipelines, toxic waste, poor quality of soil, etc. may affect your proposed building project. Also, if you don’t understand zoning, invite the local zoning authorities to help explain zoning better. With all these in place, it guarantees your safety in your new home and neighborhood, and in case you have to sell the property in the future, you have great features as negotiating tools.

  • Is the land accessible?

Accessibility is just as important as the land itself. And by accessibility, it means two things – easy access to utilities and road. A piece of land may seem the perfect place to build a home, but problems with access to utility lines and good roads can be the things that will make it a challenge to live in the property. Accessibility does not only help you as the homeowner or occupant, it also increases the value of the property in case you have to sell the property.

  • Consider the neighborhood 

Just in case you ever have to sell in the future, ensure that your home is built in a good neighborhood. Nearness to markets, good school area, residential area with low crime and violence rates are some of the essentials that you need first as an occupant and later, in case you have to sell.Buying a vacant property is extremely difficult when compared to buying an existing home, and if at all you have to tow that path, make sure you get all the possible assistance at your disposal. Chang Legal LLC Attorneys at Law is your go-to property lawyer. Get in touch today.

Dealing with Issues that borders on Ownership of Commercial Properties

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Despite trying your best to avoid it, disputes are sometimes inevitable when it comes to commercial property ownership. In most cases, this disagreement can be difficult to deal with, especially when it has to do with boundaries between two properties. What matters most when this kind of issue arises is that it should be effectively dealt with to prevent future reoccurrence. 

Types of Commercial Property Dispute 

Dispute, at times, are unavoidable when selling, buying, or developing a property. Issues might spring up at any stage. You need to have the idea of the various types of disputes within a commercial structure. This information will enable you to protect yourself against such issues.  Some of the notable Commercial property disputes include the following: 

  • Boundary Dispute 

In some cases, a dispute may arise over land boundaries. There might be contention over land or property “spilling” into another person’s land. In this case, the individuals involved can work out a settlement. This issue can last for several months or years if both parties are not willing to find common ground.  

  • Landlord/Tenant Dispute 

Landlord/Tenant dispute revolves around premise conditions, contract, agreement, rent, among others. This type of dispute is likely to occur when there is no personal contact between the tenant and the landlord. For instance, a landlord may have many tenants and so not get to know them personally.  Such landlords can fix this issue by employ a realtor to handle tenants. This way, chances of disputes arising will be low as the agency will deal with all problems and queries coming from tenants.  

  • Purchasing Land 

Disputes over land acquisition that come up when you intend to buy land. This kind of issue can result from border disputes, compulsory purchases, as well as breach of contract.  

  • Construction Disputes 

Construction might be stopped halfway or before it takes off by a neighbor that has a problem with the proposed planning of the structure.  Also, there could be a complaint about environmental or noise pollution, disturbances, among others. 

Dealing with Commercial Property Ownership

The approach to solving this issue solely hinges on the type of dispute.  The fact is that commercial dispute resolution can be quite simple and straightforward.  You can engage the service of resolution lawyers who are highly skilled in resolving such disputes. Before you employ the services of a qualified lawyer, it is advisable to resolve the issue first via an ADR method (Alternative Dispute Resolution).  Here are some ADR methods that you need to know: 

  • Contacting the Council 

You will have to provide a detailed plan of your property if you are trying to resolve a boundary dispute.  This will serve as evidence of the boundaries around your property. This is also essential when developing a property, or you might send the plan to the council providing a comprehensive explanation of what you intend to do before commencing work fully. 

  • Mediation

This involves individuals that are related directly to the property.  All parties involved will be required to come together to iron out the issue. 

Court Proceedings 

In this case, the judge will give the final decision concerning the commercial property dispute. Court proceedings may not always fall in your favor. It is, therefore, essential to resolve disputes personally, using any of the ADR methods. For further advice on how to get disputes around your commercial property resolved, contact Chang Legal today. 

Why is Trespassing a Serious Offence

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Many people do not regard trespassing as a serious offense.  It is not seen as a high-profile case. But, the law considers trespassing a serious offense, so it does not treat such offense lightly.  Anyone guilty of trespassing has committed a criminal act, which is punishable under the law.  In this article, we will be considering the reasons why trespassing is a criminal offense.

The Issues with Trespassing Charges 

In most cases, people trespass without having the intention to do so.  For instance, the law does not mandate anyone to put up a “No Trespassing” notice on their private property.  When you know that a property is private, it is logical to stay clear of it.  However, the problem surfaces whenever an individual is found on a property with unknown status, whether it is private or not.  This case is known as accidental trespassing.  However, accidental trespassing does not exonerate someone from being tried in court. 

Classification of Trespassing 

According to the law, there are three types of trespassing. We have the first-degree trespassing, second-degree trespassing, and third-degree trespassing.  The first degree is the most serious class of trespassing, while the lightest is the first-degree trespassing.  

  • Third Degree Trespassing 

This type of trespassing is also called the class three misdemeanors. Third-degree trespassing has to do with entering and staying at a private property after the law enforcement agent or property owner had made a reasonable request.  Also, forcefully entering a private property that bears “No Trespassing” falls under this category.  The law also opined that entering or remaining on switching or storage yard, right-of-the-way tracks, or rolling stock of a railroad company falls under the third-degree trespassing. 

  • Second Degree Trespassing 

You are guilty of second-degree trespassing if you are caught entering a fenced or non-residential property. This case will be treated as a class two misdemeanor. One of the major reasons for fencing a property is to avoid keep intruders off. Therefore, entering a fenced property without permission is an offense.  Be aware that second-degree trespassing is a punishable offense.  

  • First Degree Trespassing  

Anyone that trespasses on private residential property is guilty of first-degree trespassing. In this case, trespassing charges will be treated as felonies or misdemeanors.  

Here are the acts that need to occur before trespassing can be considered a misdemeanor: 

  • An individual enters or remains in a residential yard that is fenced 
  • A person violates the owner’s right to privacy by entering and look around the residential property 
  • An individual enters or remains on a property without claim, and work is intended to start on property.

Class one demeanor is punishable under the law with a fine of $2500 and up to six-month imprisonment.  

Class six felonies are the most severe trespassing cases; it involves: 

  • An individual enters or stays on a residential property illegally 
  • An individual enters or remains on a public services facility illegally
  • A person enters a private property illegally and destroys, burns, or defaces religious symbols without the permission of the owners. 

 For more information, reach out to us at Chang Legal Today. 

4 Ways to Save Money When Buying Your First Home

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When you are buying a new house, chances are you want your deal to the best one possible. Finances are always important when trying to buy a home. It is therefore essential that you consider the following ways to save money so that you can buy your first home without being overly stressed out.

  1. Hire a seasoned and local real estate agent

Nobody knows the area like a real estate agent that works there. Using a local and experienced real estate agent will save you money because they know the business of buying homes in that area. They also have information relevant to the market that will help them negotiate a good contract that will protect you and save you money. The best way to find good local realtors is to ask for referrals from friends and family or check online on websites like Trulia and Zillow.

  • Have a great Credit Score

The higher your credit score is, the lower your mortgage interest rate will be. This also means that you will pay less in lenders fees and therefore have a cheaper loan. Before starting to home purchase process, you should first ensure that all your credit card balances are paid off. You also need to try to maintain a balance below 15% of credit limit on all your credit cards. You should also not apply for any new credit facility or loan while trying to improve your credit score because they require hard inquiries of your credit report which will cause your credit score to drop.

  • Shop around for better loan rates

There are many lenders in your area that are willing to give you a mortgage. It is in your best interest to ensure that you go through as many of them to make sure that you compare rates. This will help you to know which one is the cheapest in its entirety. Sometimes a low interest rate does not mean that it is the cheapest option for you. Speak to your realtor to check what the final figure comes to with fees and charges and this will help you get the best possible deal for your home.

  • Shop for homes in the winter period

The housing market is least aggressive in the winter because there aren’t a lot of people selling. You may not have as much choice, but you will certainly have sellers in the market that will offer you fair prices. You can actually save up to $20,000 on the price of your first home if you shop in the winter.

For more information or any questions regarding sales tips for real estate agents, contact Chang Legal today.

Decorating Your Front Porch – Improving Curb Appeal

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Do you need to improve your home’s curb appeal? Making your home look more inviting by decorating your front porch is easier than you may think. Some of these decor ideas may work better for you than others depending on the given space of your porch.

Plants

Plants are one of the easiest ways to add decor to your front porch while giving it an extra pop of color. You can use a variety of pots or containers for a more whimsical or use the same color/style to create a symmetrical look on both sides of the door. A great benefit to having potted plants is that you don’t need to worry about digging up your yard.

Create a Seating Area

If you have a larger porch to work with, creating a seating area is a great option. You can add a bench or a set of chairs along with a side table. This is perfect to have on warmer days so you can relax or lounge outside while reading a book or having a conversation with friends or family. Alternatively, you can hang a swinging bench if you have an appropriate place to secure it. Add patterned or solid colored pillows to your preferred seating option for extra color and comfort.

Front Door

Even your front door could use some decorating! Painting the front door of your home is a great way to add a bold pop of color without needing to add much extra decor on your porch. Not wanting to turn this into a painting project? No worries- alternatively you can get a hook for over the door to hang other decor from like a flower wreath or seasonal pieces.

Welcome Mat

Doormats are good to have because they help prevent bringing in moisture and debris into your home. Without one, you may find yourself cleaning the foyer or front area of your home more often than you’d like. For outdoor mats, it’s best to choose one that is rough on the top to help scrape dirt off shoes.

For more information or any questions regarding sales tips for real estate agents, contact Chang Legal today.

New Construction Buyers Say They Need Agents Too

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With mortgage rates at extremely low rate and median prices moving closer to what middle-income buyers can afford, newly constructed homes are enjoying their best sales year in more than a decade.

The process of buying new construction has some tough spots for shoppers, especially first-timers. In addition to searching for and financing a home, they’re trying to visualize what that home and the surrounding community will look like, evaluate a builder and select a floor plan and finishes.

Since there are so many moving parts, most new construction buyers (76%) work with agents to find their home, and that 84% of new construction buyers who work with an agent and visit a building/sales center want their agent to help communicate with the builder. 

Half of those buyers (50%) want their agent to handle some communication with the building/sales center, and 34% want their agent or broker to handle all communications with the builder. Only 16% don’t want their agents involved.

Some of the things they might need help with include:

  • Negotiate price
  • Book a tour
  • Explore upgrade options
  • Compare new construction values with existing home values

For more information or any questions regarding sales tips for real estate agents, contact Chang Legal today.

Younger Buyers Shifting Stance on Home Sharing and Renting as an Income Source

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Young home buyers have been quite keen at home sharing and renting as a source of income, which is quite a change from the older generations.

A somewhat shocking share of buyers under age 40 are fine with the idea of renting out their homes, or at least space in them, for future rental income or to help pay the mortgage.

Nearly half (48%) of Gen Z buyers and 40% of millennial buyers who purchased a home in the past year say the opportunity to rent out the entire home for future rental income is very or extremely important to them

A significant share of Gen Z, ages 18-24, and millennials, ages 25-39, also say they want the opportunity to rent part of their home while they live in it: 42% of Gen Z and 35% of millennials say the ability to do that is very or extremely important to them.

For more information or any questions regarding sales tips for real estate agents, contact Chang Legal today.

Essential Methods On How To Become A Better Real Estate Agent

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As a real estate agent it can be hard to please your clients. From zoning issues to non-negotiable prices, it is difficult to achieve what your client desires. However, Chang Legal is here to help you with the top sales tips for real estate agents, including the following:

Be Helpful

As a real estate agent, your client is going to you first if there is an issue or concern. Always having a positive mindset with the willingness to help others will keep you as the number one resource for help.

Be Persistent, Not Annoying

One thing that clients dislike most is when a real estate agent is overly persistent. However, keeping in constant communication and setting dates to meet is essential to close a sale.

Be Honest

Although you want to be the best you can be for each and every one of your clients, you don’t have all the answers. In real estate, your greatest asset is your reputation, don’t pretend to know the answer to every question. Reassure your client that you will find the answer and take action.

Advertise Your Name/Brand

Nobody knows who you are until you put yourself out there. The sales are not waiting for you. If you invest money into advertising, you will make a profit back once clients know what your company has to offer.

For more information or any questions regarding the top five sales tips for real estate agents, contact Chang Legal today.

The information contained in this Website is provided for informational purposes only, and should not be construed as legal advice on any subject matter.  The transmission of the Website, in part or in whole, and/or any communication with us via Internet e-mail through this site does not constitute or create an attorney-client relationship between us and any recipients.

Recognizing The Disputes Surrounding Boundary and Property Lines

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When moving into your first home, it is important to have a friendly relationship with your neighbors. In addition, it is essential to have a clear sense of boundary and property lines with your next-door neighbors to prevent the risk of a dispute. The land you own is one of the most valuable things to you, as it is to your neighbor, this is why it is so crucial to establish property lines to avoid heated arguments. It can be very difficult to determine the land you specifically own, it can be a technical error where your deed states you own the land that your neighbor’s deed states they own. Proper communication and understanding the issue together will help solve these problems.

What Are Boundary And Property Lines?

Boundary and property lines are particularly the cut-off lines of the land you own. The county’s tax map defines each parcel of land and what you specifically own. A property line in a residential home can be hard to spot, as the climate could have changed overtime. Determining the property line is generally where your lawn and your neighbor’s lawn meets together, something as little as building a walkway in the wrong area can disrupt this and cause complications.

When Should Legal Assistance Step in?

If you and your neighbor can not solve the dispute regarding the boundary line of the properties, it may be time to contact your real estate attorney and file a lawsuit. However, this may not be a good idea since it may create an awkward tension between you and your neighbor for the years you live next to each other. Generally there are two types of causes of action you have the ability to take when filing a lawsuit concerning the boundary lines of your property and your neighbor’s land, which include:

Ejection: In a lawsuit with the boundary lines of your property, you may sue your neighbor for ejection, or trespassing, where a state judge may order the neighbor to remove him or herself and any possessions from the property. In addition, you may win money damages if your neighbor disrupted the value of your property.

Declaratory Judgement: Declaratory judgement is a process where a state judge determines if you or your neighbor are legally subject to the specific piece of land. This type of lawsuit will not result in any money damages, it is more of a neutral jurist making a determination on the deeds and the legal documents presented with the properties.

For more information and to help you with your boundary and property line dispute, learn more about the support we can offer you by emailing Chang Legal at contactus@changlegal.com or by calling 847-907-497.

The information contained in this Website is provided for informational purposes only, and should not be construed as legal advice on any subject matter.  The transmission of the Website, in part or in whole, and/or any communication with us via Internet e-mail through this site does not constitute or create an attorney-client relationship between us and any recipients.