The methods and sources of funding used to acquire, develop, or invest in real property.
Alternative Funding Non-conventional loans, also known as non-traditional mortgages, offer alternative financing options for borrowers who may not qualify for conventional loans, or who have unique financial needs. These loans are often insured or guaranteed by government agencies such as the Federal Housing Administration (FHA), the Department of Veterans Affairs (VA), or the U.S. Department…
Mortgage Insurance Premium Mortgage insurance premiums (MIP) are an important consideration for homeowners, especially those who are planning to obtain a loan with a low-down payment. Understanding the ins and outs of MIP can help potential homebuyers make informed decisions and potentially save money over the life of their mortgage. Here’s an in-depth look at…
The 1031 Exchange The 1031 exchange, also known as a like-kind exchange, is a powerful tax deferral strategy used by real estate investors to postpone paying capital gains taxes on an investment property when it is sold. Named after Section 1031 of the U.S. Internal Revenue Code, this provision allows the proceeds from the sale…
Government Loans Many investors find themselves challenged by high down payments, strict credit requirements, and location restrictions. In response to these hurdles, the U.S. government offers a range of loan programs designed to open the doors of homeownership and real estate investment wider. These programs not only make homeownership more attainable, but also offer distinct…
Private Mortgage Insurance Private Mortgage Insurance, commonly referred to as PMI, is a type of insurance that protects lenders in the event a borrower defaults on their mortgage payments. It’s important to note that PMI does not offer any protection or benefit to the homeowner; rather, it serves as a safeguard for the lender against…
Conventional Loans Conventional loans, also known as traditional mortgages, involve borrowing funds from a lender to buy property, using the property as collateral. They usually have lower interest rates and longer repayment periods, making them ideal for investors looking for stable, long-term investments. These are home loans that are not insured or guaranteed by a…
