Apartment Building Investments Are Easy and Profitable

Investing In Apartment Buildings Today

In today’s volatile financial markets the savvy investor needs to look beyond traditional financial vehicles such as stocks and bonds to ensure long term capital growth and security. Ownership of a multi-family apartment building can be a great investment strategy as part of a larger well diversified portfolio. Unfortunately, many novice commercial real estate investors have been deterred from apartment building investment with thoughts of weekends spent painting or even trying to collect past rent from overdue tenants. Nothing could be further from the truth. There are some surprising facts about apartment building investments that will completely change the way you view this unique investment vehicle.

Warren Buffet once famously said that he prefers to invest in a market “when there is blood in the street”. In other words, the investment guru looks for opportunities while others are looking away. Residential real estate markets across the United States are in a tail spin. Foreclosure rates are at record highs in many metropolitan markets.

Nobody knows if there is an end in sight or if more families will be pushed from their homes due to rising mortgage payments and an economic slowdown. Instead of buying into a weak residential housing market while prices are still declining, a strategic investment made in a medium sized apartment building allows the investor to provide much needed housing, to a potential base of millions of displaced people.

Even with a slowing economy and business cutbacks people always will need a place to live. Demand for rental property has never been higher. According to a recent United States census, currently one-third or 36 million of all households in the United States are renter-occupied. In fact, a full 83% of all households under age 25 rent and 55% of households between 25 and 35 are renters. The growing population of senior citizens will also continue to depend on rental housing as a less expensive and less burdensome alternative to home ownership.

In contrast to residential homes, many multi-family properties can be purchased for a price that is well below he replacement cost. This makes older, well run multi-family properties more competitive with newly constructed properties that must charge higher rents to cover their mortgage payments. In addition, newly constructed multi-family buildings can bring up the value of existing properties and increase the value of your investment.

One of the greatest advantages of an investment in an apartment property is the fact that you will be able to leverage your investment. Even as the sub prime residential mortgage market is crumbling, banks are more than eager to lend money on a good apartment building. Banks will generally lend up to 80% of the purchase price and in some cases will actually allow the existing owner to hold up to 10% of the purchase price in the form of an owner financed second mortgage. This allows the investor to purchase the property for as little as 10% down. Try getting a bank to loan you 80% for the purchase of common stocks.

As with any real estate investment, apartment buildings not withstanding, leverage is one of the primary benefits to ownership. A bank will supply you with 80% of the purchase price on an apartment building. For example, if you purchase an $800,000.00 property with a $600,000.00 mortgage and $200,000.00 cash, and the property increase in value by $24,000.00 after one year, that’s a 3% increase in value but a 12% increase on your $200,000.00 investment.

Don’t forget about cash flow when tallying your potential rates of return on an apartment building investment. Cash flow is simply the money left over each month after you pay your operating expenses and mortgage. You can put that money in an interest bearing account to increase your overall rate of return or make improvements on the property to increase its value.

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Illinois Health Insurance Companies

The state of Illinois has several private health insurance companies that provide attractive insurance options to its citizens. There are also public insurance plans like the CHIP, but private insurance plans are very popular.

Some of the most popular health insurance companies in Illinois are: Assurant Health, Celtic, Unicare, Fortis Health, Blue Cross/Blue Shield, Golden Rule Insurance, Aetna, AIG, Allianz, Fort Dearborn, Guardian, HPA, Humana, ING, John Hancock, Metlife, Pacific Life, Transamerica, United Healthcare, Zurich and United Security Life and Insurance Co. Most of these companies have several health insurance options, such as family and individual, group health plans, children’s health plans, temporary/short term health insurance, self-employed health insurance, student health insurance, discount medical plans, Medicare supplement, international health insurance and long term care plans.

Illinois health insurance companies offer competitive options and rates for Illinois citizens. Quotes can be obtained directly from the insurance company by submitting some basic information. There are also several health insurance brokerage companies that offer health insurance options from multiple companies. There are literally hundreds of health insurance plans to choose from. These brokerage firms offer advice on the best kind of plan to choose, options for reducing premiums, different deductible options, and other aspects such as co-payments and co-insurance. They can also provide special assistance for people with special needs. Information about special state programs such as COBRA, the Trade Adjustment Assistance Reform Act, Medicaid and Illinois KidCare, CHIP, Medicare, Illinois’ High-Risk Pool for People with Health Problems and many other state programs can also be obtained from these companies.

It is always better to use a brokerage company or an insurance agent because of the availability of so many plans. An agent would be able to suggest the best kind of policy. Most of the Illinois health insurance companies can also be reached through the phone or online. Quotes can also be requested online or by phone.

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Hiring a Professional For Mortgage and Finance Needs is Worth the Investment

Today, selling or buying a home is one of the largest commitments that one will take on in their lifetime. The complicated and confusing process can be made easier with assistance from the staff of a mortgage broking firm.

When shopping for a new home, it is crucial that you prepare yourself before starting the search. Money and valuable time should not be wasted and following the advice provided by professionals will make your home search experience much smoother and simpler.

Only when you are fully informed should you implement your real estate search, and eventually the mortgage process, with the help of a professional. The small cost of working with professionals will pay off in the end as you won’t suffer the mistakes and errors that many first time homeowners experience. Let people with the appropriate level of knowledge and expertise guide you through the many steps to help you achieve the ultimate “American Dream”-owning your very own home.

In these economic times, it is truly a buyer’s market. With today’s low mortgage rates and a variety of financing options, the friendly staff at a mortgage broking company will help make your home ownership goals a reality. Whether you are looking to refinance your current home, or going through the home buying process for the first time, professionals are here to assist you in choosing the right program. Purchasing a home will most likely be the most significant purchase of your lifetime. For zero regrets, let knowledgeable loan officers assist you in your mortgage needs.

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3 Aspects of a Business Plan

You probably want to write a: Focused, Intentional and Successful Small Business Plan.

That’s where a business entrepreneur coach (like me) comes in.

The first thing to know about writing your plan is that it’s not about the money.

  • What is it about, then?

1. It’s about energy and talent.

2. It’s about commitment and enthusiasm.

3. It’s about having the ability to get the job done.

But it’s not about the money or getting wealthy. You must know that if you are only thinking of money, your plan will not flow.

· It is your vision

· Your dream.

· Writing down what you want, need to do, and achieving it.

No Matter What!

If this is the right time, then start writing your business plan now!

What is important about writing your plan for your business?

  • It is the feeling you have and that you put into it.

This is fabulous news for the independent entrepreneur.

It means that when you feel very strongly about the success of your business, it will outshine any faults your business venture strategies might have. You business plan will grow and change.

Your goal, when writing a business plan – is to feel what it will be like to be living your dream and let that feeling of success shine through.

  • Talking this through with a coach can make your job a lot easier. Between the two of us, we can create a pretty fabulous small business plan for your business.

So let’s get going and create your small business plan – step by step.

A small business can be an exciting, soul-searching and fun pursuit for many of you.

  • A road map is needed for the heady and ‘nerdy’ new techniques.
  • Innovative income streams, new ways of marketing, building relationships and reaching your clients.
  • Starting up right means targeting for success in some familiar and yet, new ways, and a whole lot more effectively, than ever before.

Coaching business entrepreneurs has shown me the importance of their business plan and how to make it an enjoyable process together.

Now use your imagination and become the leader of a thriving, business where your message reaches your target audience, getting clients through attraction marketing.

The Secret?

It is Building a Strong Foundation with Your Plan

You can establish a planning business strategy process to help win and grow your business. Think and act strategically every time… You can be intentional about growing your business.

Take action consistently and persistently.

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