If you’re in financial straits and aren’t sure what to do, you might be considering short selling your house. Before you try a short sale, though, you need to understand exactly what a short sale is, how it might affect your credit, and what other options may be available to you.

What is a short sale?

A short sale is when you sell your house “short” of the loan that you have taken out against it. If you own a house currently worth $200,000 but owe $225,000 on your mortgage, you may be able to sell your house and clear the debt for the $200,000. The bank or lien holder will simply absorb the cost of the short sale.

Short sales are becoming more common for a few reasons. For one thing, with the collapse of the housing market and plummeting home values, many homeowners find themselves underwater on their homes – owing more than their homes are worth. When they need to get out of the home, they can’t afford to pay off the balance of the loan by simply selling the house, so they opt for a short sale.

Also, many people are struggling on the edge of foreclosure. Banks can often get more money out of a short sale, especially if the value of the house isn’t too much short of the value of the loan, than they are to get out of a foreclosure.

How does it affect your credit?

According to the credit bureau Experian, the effects of a short sale are actually similar to those of a foreclosure when it comes to your credit. Many individuals think that a short sale is different credit-wise from a foreclosure, so they might try to get a short sale because of this.

However, Experian notes that short sales are very negative to your credit because the lender doesn’t mark your mortgage as paid when reporting to the credit bureaus. Instead, the lender reports that the account has been settled. This lets future lenders know that you failed to finish out the loan and instead paid off less than you owed, which is obviously bad news.

Even though a short sale might hurt your credit just as much as a foreclosure, there are some credit advantages. For one thing, with a short sale, things tend to move faster, which mean you can start getting your credit score back up more quickly. Also, lenders will often consider you for a new mortgage two years after you’ve completed a short sale, rather than the up to seven years you may have to wait before getting a new mortgage after a foreclosure.

Other Options to Consider

If you absolutely have to lose your home, a short sale is usually a better option than foreclosure – if you can work it out with your lender. However, there are some other options you might try:

• Ask for forbearance. Sometimes lenders will give you a little extra time to catch up on your payments if you give them a call. The key here is to call the lender as soon as you know you’re going to have a problem meeting mortgage payments. With forbearance, you may be able to avoid some of the late fees that might otherwise overburden your financial situation even more. It’s always worth calling your lender to ask!
• Set up a repayment plan. If you’ve only missed one or two payments, you may be able to set up a repayment plan with your lender so that you don’t have to make up those payments all at once. For instance, if you pay your lender $1200 per month on your mortgage, you might just add in a payment of $100 per month for the next twelve months to catch up on your mortgage.
• Try refinancing. There are many different reasons to refinance a home, and missing payments is one of them. If you have good equity in the home and if your lender agrees, you can sometimes roll the missed payments into your overall loan balance and then get a new payment schedule.
• Use some credit wisely. Some homeowners have success in getting low interest credit cards, which they can then use to cover some of their living expenses while catching up on the mortgage. If your mortgage lender is unwilling to work with you on a repayment plan or a refinance, using a low interest card for a while can be helpful. Just make sure that you are using the card wisely and only spending money on necessities until you get your finances back in order.

Daniela Baker is a social media advocate and blogger at CreditDonkey. While sometimes a short sale is unavoidable, it’s best to try to avoid one if at all possible. Don’t fall into the trap of seeing a short sale as a quick and easy way to get out of your home if you’re underwater on your loan. It can have long-term consequences for your credit that you should definitely consider first. If you get into credit trouble, consider contacting a reputable counseling organization such as the U.S. Cooperative Extension System.

So why haven’t you closed the deal on the house yet?

There are a number of factors why your house, enchanting though it may be, hasn’t been snapped up by a decent buyer just yet. In the first place, an ailing economy is not the best backdrop for making rash financial decisions, so people are naturally cautious before putting their hard-earned cash on any one house. This doesn’t mean that your property won’t sell—you just have to take control of the situation and understand why people are not tripping over one another with offers to buy your home.

Here are five of the most common reasons why a perfectly beautiful house is still languishing on the market.

1. Your house costs too much

You may have the most enthusiastic real estate agent, the most fabulous lighting fixtures to accentuate interesting corners of your home and the most ostentatious for-sale sign on your lawn, but all these things won’t help sell your property if you pegged the price way beyond a sane buyer’s budget.

Selling your house means compromising with the buyer on how much you and he think the property is worth. It doesn’t mean that you have to practically give away your house and foregoing a profit. If your house is overpriced by as little as 5%, buyers will immediately start looking for other houses to check.

The chances of your house getting sold diminish further when you consider the competition. You may have pegged your home at $300,000 when it is actually just worth $250,000, but buyers will immediately see that it’s not at par with homes that are really valued at your asking price.

2. Your house is in a less-than-ideal neighborhood

House hunters know that they are not merely buying a piece of property—they’re also buying into what the location can or cannot provide for them. Do you live near reputable schools, commercial districts, public parks or hospitals? Does your street have good drainage, ample lighting and large lawns? If yes, then your house should bag a good price for you. If not, then you can say forget selling it for a big profit margin.

You can ‘facelift’ your house as much as you want, but you can’t change the nature of the location where it sits. Your real estate agent may suggest that you lower the price a bit and be happy that someone actually wants to take the property off your hands, or else offer incentives like seller financing.

3. Your marketing is ineffective or nonexistent

Good marketing can highlight the positive aspects of your home and downplay the negatives. These days, it’s not enough to simply open your house to strangers and let them wear your brand-new shag carpet. You have to be aggressive about selling your house, and that means making newspaper, TV and online ads, conducting weekend open houses and listing fliers and placements in local publications. It means really reaching out to buyers and making them pay attention to your home.

You shouldn’t be content with simply having your property placed in the multiple listing service because this won’t attract as many serious buyers as going on an all-out marketing campaign.

4. Your listing agent is not doing his job

The brunt of the job is definitely on your listing agent, so he must exert every effort to put a positive spin on your property and get buyers interested in it. A lousy real estate will cost you much in terms of time, money and effort. Just keeping your place show-ready 24/7 can get tiring, especially if your agent marches one unqualified or half-hearted buyer after another for weeks on end.

Your agent’s personality also plays a part on your chance to close a deal immediately. Ideally, he should be sincere, honest, helpful and patient with both you and the prospective buyers. He should give you useful advice on how to make your house more attractive to buyers or how to get more exposure in the market. If he doesn’t, perhaps it’s time for you to look for a new listing agent.

5. Your house doesn’t show well

Every home needs the occasional visit from the plumber, painter and electrician, and unless yours is brand-new, it is not exempted.

To sell your home successfully, you have to get inside the heads of your prospective purchasers and view the property from their eyes. If you were in their shoes, would you buy your home? You don’t have to shell out a lot of money to make it more pleasant or attractive. You should give the walls a fresh coat of paint and wipe the grime off the windows. Buying a few pieces of nice but affordable new furniture can also give the interior a cheerier atmosphere. Fixing the porch screen and replacing your worn carpets should just about do the trick.

This article was written by Justin Toladro from Life Insurance Finder, A comparison website that helps you compare life insurance policies that best suit you and your family.

Dubai Encourages Travelers and Tourists

The UAE, especially Dubai is a perfect place to spend a family vacation. Some hotels even have special menus for children. If you want to get a hotel room on rent in Dubai and need baby sitting services then contact hotel management as they have all these kinds of services. In Dubai, you will find many activities for children in almost all 5 star and other popular hotels. There are amusement parks, play land, and open playgrounds for children. Children under 12 years also get discounted tickets for almost all rides.

Must-see Tourist Attractions

Dubai is choking full of tourist attractions and offers various spots, which catch the eye of every tourist in Dubai. Dubai is known to be the city of gold with massive markets of retail jewellery. Dubai Gold Souk is one such example. This market is full of shops which sell pure and high karat gold which makes it the best for gold lovers as Dubai is the cheapest place in the world as far as gold rates are concerned. This market is a tax-free haven for gold buyers and is the hub of the Middle Eastern jewellery market. Global Village Dubai is located in Dubailand and is the largest place for tourists, offering loads of opportunities for leisure and entertainment. It is one of the few places offering a unique mix of cultures, arts, theaters, commerce and cuisines from around the world.

Apart from the hustle and bustle of Dubai, the city also caters to those looking for the magnificence of desert with its Desert Safari. There are action-packed trips available for half, full day and/or night. In these trips, tourists can fully enjoy the varying topography ranging from mountains to deserts on dirt jeeps and camel. There is everything for tourist in Dubai, as the Sky Dubai has up to 400 meters long skiing area with various difficulty levels. Wild Wadi Water Theme Park is really the wildest park ever. The park has a total are of 12 acres full of adrenalin pumping rides and pure fun.

Pleasant Ambiance

One of the main concerns of every tourist is cleanliness of the environment, while in Dubai you do not have to worry at all as buildings, institutes, hotels and beaches are clean and sanitized. If you are on a recreational or short visit then it is a wise idea to get a room on rent in Dubai in advance. However, if you have plans to stay there for more than a month then getting a studio or an apartment will be more suitable and affordable.

Author Bio:
Susan Smith has a passion to write on Dubai Properties and Real Estate marketing related topics. She is keen to explore different aspects of real estate & tourism sector including property management, Dubai rental situation and much more.

Whether you’re looking for a permanent, full or part-time position or something temporary, staffing agencies are there to make the change an easy one. Agencies offer recruitment services to help job seekers find a great position.

Types of Agencies

There are two types of staffing agencies. The first are employment places. They will match people with direct-hire positions. The second is temporary help for people who are looking for temporary jobs.

What They Do

Many people don’t always realize this, but staffing agencies work for two groups of people: The companies and the job seekers.

They serve as human resources for many companies. Staffing agencies will screen potential employees by checking their resumes, interviewing them and running backgrounds. They will take the people they feel are the most qualified and present them to their clients (the companies looking to fill positions).

Staffing agencies also work with their clients (job seekers) who are contacting them because they need help finding a job.

Requirements

Like with any type of job, there are requirements when seeking employment. Most employers require a high school diploma or higher education. There are temporary companies, however, that will hire workers even if they don’t have a high school diploma. It really depends on the type of position you’re looking for.

When it comes to permanent, full-time positions the minimum requirement is often a bachelor’s degree and a few years of experience. Each requirement will always depend on the type of position, no matter the type of agency you’re working with.

Benefits of Using Recruitment Services

There are many benefits to using staffing agencies. They will help get your résumé in order and guide you in the right direction to finding the perfect position. If they have jobs available and you meet the requirements, they’ll present you to the client and set up an interview for you.

Some agencies will even coach you in the application process. They offer interview advice, what you should include on your résumé and answer any questions you might be intimidated to ask the employer.

Staffing agencies offer many recruitment services that are beneficial to anyone looking to find a position or start a new career. The job market is rough and there’s a lot of competition. Everyone can use some help when looking for a job, and staffing agencies are there to help you find the perfect position.

About the Author: Richard Niggemann is an employment specialist who loves helping people find new or better work. Recruitment services offer plenty of great opportunities many would not be able to find on their own.

But which is the better investment – a house or a townhome?

Houses

There are definitely benefits to buying a house. Historically, houses have appreciated better than townhomes. You can also find some fixer-uppers for a great deal and if you’re handy with the tools, you can clean it up nicely and then sell it later for a hefty profit.

A house will almost always return a higher profit because land and lot size typically bring in the greatest value. Townhomes aren’t built on large lots so unless they are kept well-maintained and updated regularly, in 30 years, they aren’t likely to be worth as much as a house on a large lot where the homeowner can make any upgrades they want.

Townhomes

Many people feel that townhomes are better for renting out than houses, because they cost less to maintain, but keep in mind that townhomes also often have monthly fees associated with maintenance, snow removal, lawn care, sanitation, water/sewer, and hazard insurance on the property. If you have plans for renting out your townhome, you should also make sure that the association management allows it. Some properties don’t allow it all and some have very strict restrictions.

Another drawback to townhome ownership is that insurance costs can rise drastically, fees can change if property management changes and if the property needs repair, for example the roofs, you and everyone else in the community will have to pay a large assessment to fix it. The board determines these fees and they are costs that you can’t plan for.

Don’t completely toss out the idea of a townhome just yet though. Your first home isn’t likely going to be the home you live in for the rest of your life. Townhomes are usually more affordable than a house and you will see equity in ownership, which can later be used to help you purchase an even nicer home down the road. Townhomes are often easy to sell because they usually have many amenities and require less work for the tenant, but the ease of resale also depends greatly on the location.

Other Considerations

Whether you decide to buy a house or townhome, there are other factors that may affect the re-sell value for both types of property.

• Are there plans for new development within the 5-7 miles of the home?
• Is the home in a nice area?
• Is the home near schools or are there plans for new schools?
• Are there airports or railroad tracks?
• Is there an HOA? (HOAs keep neighborhoods nice, but people like freedom)

With real estate prices still dropping fast in many areas, professionals are saying that the days of fixing and flipping houses are over. Fix-and-flip investments still work, but are better suited to someone with experience or who is willing to learn everything there is to know in that industry. Instead, you should look at your real estate purchase as a long-term investment and buy the home that makes you happy, because that’s what’s most important.

Have You Considered Renting?

If you aren’t ready to purchase a home just yet, there’s absolutely nothing wrong with renting.

Renting provides financial flexibility and stability. If you run into financial trouble you can make quick changes to your living expenses and you’ll never have to worry about paying for unexpected repairs. It’s the landlord’s job to take care of maintenance so that you can use your time more wisely.

If you don’t plan on living in the same place for a lengthy amount of time, say for example your career interests change; it’s also much easier to pick up and go.

While renting doesn’t offer the potential reward of selling a home for profit, it also doesn’t result in the risk of loss you might take if you need move and the market isn’t working in your favor.

Alex Juel is a freelance writer and online marketing specialist working with Planned Property Management, a property management company providing apartments in Chicago in 28 buildings throughout three neighborhoods.

1. Going to Auction

Auctions are always a good bet for property addicts, there is a very high chance of acquiring an investment property bargain, but very much like a game of poker you need to make sure you do not bid with your emotions or let yourself be carried away with the flow.

2. Location issues

Location is always important, the type of property being prospected needs to be suited to its particular audience, particularly if buying to let or fixing up to sell. Being close to schools, public transport and green areas are always great pluses when it comes to selling. Many of the best property developers specialize in buy in areas considered the worst possible locations, when in fact they are great locations for developing property. The art is being able to spot the areas on the up.

3. Do your Homework

While property could make you a fortune it can also be risky and could land you heavily in financial debt for bad investments. Check your research and your sums to make sure that you are covered financially if anything should happen Property development is very capital intensive and you have to get your sums right. If it was that easy, everyone would be property millionaires.

4. Keep looking

This may sound strange but just driving around the neighborhood that you are interested in investing may highlight some gems. Too many times we take the easy route of picking up the property paper to find prospects. Everyone is doing this so good value properties would be difficult to come by. Do something different!

5. Never pay the asking price

There are always margins in any price tag, through seller commission or owners just being greedy. The way to swing things in your favor is to find someone who needs to sell more than you need to buy. Look out for motivated seller such as people going through divorces or people in financial difficulties, who want a quick and painless sale.

As with all things involving finance, following your head as opposed to your heart is the way to go if you are looking to succeed. It is this trait which separates the millionaires from those hoping to do well.

Alan Ng a guest writer for IPINglobal.

While holding banks accountable is a good thing, the delay is not good news for huge numbers of homeowners who are dealing with an upside down mortgage; in many cases they are holding on with the hopes of a market recovery, instead of strategic default or negotiating a short sale or home loan modification.

Industry watchers now believe the backlog will weigh on the real estate market for decades. In Connecticut and Maryland, for example, the turnaround could take another 20 years. In Illinois and Florida, it’s projected to take 8 to 10 years before home prices recover.

In the mean time, banks continue to trample homeowner rights in their quest for profits and federal loan modification programs have been less than successful–largely because banks would rather foreclose than work with owners. Criminal investigations in all 50 states have been launched after foreclosure defense firms revealed predatory lending practices and forged or fraudulent documents from banks in foreclosure cases from Florida to Washington State.

In some cases, banks have granted temporary modifications, only to later reject a permanent modification. Mortgage companies have then used the resulting arrears to file a foreclosure action on the homeowner! In other cases, banks have agreed to the terms of a short sale, only to file a deficiency judgment, which attempts to collect from the homeowner the balance between what was owed on the loan and what a property brings at sale. A Miami-Dade real estate attorney can help protect the rights of homeowners by negotiating away the rights of a bank to file such actions after accepting the terms of a short sale.

Banks are moving faster in states where court action isn’t required. Thankfully, attempts to remove the courts from the foreclosure process have failed in the Florida legislature.

“It’s a question of whether you rip the Band-Aid off quickly or slowly,” says Herb Blecher, of LPS Applied Analytics, which tracks mortgage data.

In addition to the USA Today story, the Miami Herald reports the process in South Florida continues to pick up steam. Filings were up 52 percent in October 2011 – nearly 10,000 foreclosures were filed in Miami and Broward counties.  Most of the increase is attributed to stalled cases that are finally being put up for auction.

In the wake of the revelations about the unethical and illegal bank practices, struggling homeowners are finding the tide can be turned in their favor. Consulting with an experienced attorney can protect your rights and the future financial well-being of you and your family. In many cases, you can stay in your home throughout the foreclosure process, which can provide time rent-free to save money for a new beginning.

In other cases, you can save your home or minimize the financial consequences of a foreclosure. Those who stand and fight are often able to force the banks to the negotiating table.

Bio: Rick Neustein is an attorney at the Neustein Law Group which focuses on foreclosure defense and commercial litigation cases in South Florida.

Here are 5 red flags to look for when viewing homes.

1. Poor neighborhood curb appeal. Not only should the home you are viewing have a warm and inviting feel from the outside, but the other homes in the neighborhood should have a similar feel. It does your home’s value no good to be pristine and appealing if the neighbor’s homes have you wanting to run and hide.

2. Neglect. Signs of superficial neglect – cracked paint, overgrown yards, and unhinged doors – are often indicative of neglect on a larger scale. Sure, all of the superficial flaws may be easily fixed . . . but what else lurks underneath?

3. Foundation problems. Look for a lawn that slopes down toward the house, and for noticeable cracks in viewable parts of the foundation. Foundation problems are a serious issue, and probably one you want to steer clear from unless you’re ready to make a big investment (on top of the home purchase, that is).

4. Faulty wiring. As you do the walk-through, check that all of the light switches work. Also, look for flickering lights and for unused outlets. These are all signs of faulty wiring – especially in an older home – which can be a very expensive and time-consuming problem to fix.

5. Off-limits areas. A home viewing is never complete unless you see the entire home – closets, storage rooms and all. A closed and locked door during a viewing is a major red flag. Demand to see what is behind the door, or move on to another home.

Your home purchase is quite possibly the largest investment you will make in your lifetime. Take that investment seriously by knowing exactly what you are getting into before you even get into it. There are some obvious signs that a home for sale might not be for you. Know those signs and pay close attention for them next time you attend a home viewing.

About the Author: Von Eslinger loves writing about real estate. He enjoys sharing tips about renting, purchasing, and using sites like Tenant Hunter to help manage your properties.

Unfortunately, this means spending cuts at a time when many people are gearing up to retire and enjoy their golden years. In order to prepare for this it is prudent to become informed about what this may mean for senior citizens and their quality of life.

Many individuals do not have enough savings to live comfortably and are now relying on credit cards to make bill payments and purchase necessities. It is good to plan ahead and pay off credit cards, as well as figure out a budget that is sustainable during the retirement years.

Those with homes that are mortgage-free or close to having the mortgage paid off may want to think about selling their home. The large infusion of cash that can be obtained by doing this is a quick way to pay off all outstanding debts and have a large amount of capital left over for retirement costs.

Many people have a hard time paying their house taxes once they have retired. This is especially the case in neighborhoods where the houses are high-priced.

The money obtained from the sale of a home can be put into conservative investments that will continue to accrue dividends over the coming years. It is prudent to sit down with a qualified financial planner and make arrangements that will continue bringing in an income even after retiring.

There are many safe investments that can bring in a substantial chunk of money for the investor. The money accrued through interest can be withdrawn regularly to help with the monthly bills, or it can be left to compound over several years.

Many retired individuals find that cutting down on the expenses associated with owning a home makes a big difference in their finances. Seniors are finding that living in apartments is a lot easier than managing a home.

If something breaks down the apartment manager will handle the repair costs and there are no yearly house tax bills to worry about. A lot of retired people have taken this route and find that they are enjoying the freedom that living in an apartment often affords.

There are suitable retirement communities in most parts of the country. Paying off credit cards with part of the money from the sale of the home will ensure that the monthly bills are cut down to more manageable levels.

For those who do not own their own home, there are still things that can be done. People who are near retirement age need to plan ahead for the coming years. It is never too late to start saving.

Relying entirely on the government during retirement is never a wise decision. Budget cuts and tax raises can cut into the amount of disposable income that seniors on a fixed budget have.

The best time to start saving is while the earning power is still high. Putting something aside each month is a good way to have a fund in case of emergency. As a rule there should always be enough money saved to be able to live for six months if all other forms of income stop for whatever reason.

Now is the time to put some money aside for wise investments. Using credit cards less frequently and paying off bills immediately is important now.

It is a good idea to sit down and go through monthly expenses to determine what is necessary and what is not. Retiring does not have to mean an end to all luxuries if the retirement is planned carefully ahead of time.

1.  Find the House

Look for a house that is appropriately priced in a neighborhood where houses are selling. Buying a house in a neighborhood where houses are not selling does not make sense. Furthermore, buying a house that is priced too high will make it difficult to make any money. Buyers want a house similar to those around it. Look for a house that has not been taken great care of, but that can be easily remodeled.

2.  Get a Home Inspection

Hire a trained professional to do a home inspection. Listen carefully to what problems he finds. If the repairs cost you thousands of dollars, then the house will be too expensive to consider as an investment property. If the current home owner does not allow you to have your own inspection done, do not buy the property. Run away, as they are trying to cover up something they know will be discovered. The current home owner may go a long way to cover up a problem that he or she does not have the resources to fix.

3.  Plan the Repairs

Decide what repairs must be done to the house. Remember that the most money is made when the repairs are done quickly and the house is sold again. This is not the place to make a dream home. It is the place to get in, do the mandatory repairs, and get out. People like open spaces, neutral colors and two car garages. Putting in new appliances is often a good investment. Move quickly on developing your plan. Many people start out to flip a house, buy the house, and then procrastinate. Do not let this happen to you.

4.  Start the Repairs

After making your list of repairs, get in there and get it done. Do not procrastinate. Move quickly so that you can get the house listed on the market again. Decide what you want to do yourself and what you will hire others to do. Remember that many communities require you to hire a licensed plumber or electrician to do some repairs. Again, many people buy the house, plan the repairs and then put the project on the back burner. Do not let this happen to you. The house will then cost you money, instead of making you money.

5.  Sell The House

After you get the basic repairs done, get the house back on the market. Research what houses in the market are selling for and price this house to move. Be willing to negotiate so that you can move on to flipping the next house. Remember that taking a lower price will often increase your profits, if you have borrowed the money to buy the house. Get it gone quickly.

Money can be made in this real estate market. Where many people fail is that they buy the house and then procrastinate about getting the work done. This will drain your wallet. Get in there and get the work done very quickly. Sell the house quickly and move on to the next project.

Stephanie Kurtz is a guest writer for www.iowacityrealestate.com.