Rental Property Management Ten Questions

Writen by Steven Gillman

Why hire rental property management? Because doing it all yourself is the surest way to make your real estate investment experience a bitter one. You also have more time to find the next deal when there is someone taking care of the details for you. Hire a good property manager, but first ask the following questions.

1. How much is the fee? Fees vary around the country from as low as 4% of gross rents for larger buildings, to as high as 12% for single family homes. Be sure the fee is clearly stated and understood.

2. What other properties do they manage? It is best if they handle rental properties that are similar to yours. It is also helpful to drive by their other properties to see how they are maintained.

3. Who will actually handle your property? It is best if one person handles your building all the time. They should also have some experience. Get their name.

4. What costs extra? Is it extra for showings? Do evictions cost extra (beyond the legal fees)? Any other extras?

5. How is the fee collected and when? Will you be billed, or will it be deducted from your account directly? Monthly? Quarterly?

6. What type of advertising? How do they advertise the units and what does it typically cost you?

7. Cost and time to prepare units? What is the typical cleaning fee on a vacancy, and how long will it normally be before it’s rented out again?

8. What needs owner approval? What dollar amount needs your authorization, and is this negotiable?

9. Hours of operation? What are their business hours, and who takes weekend calls?

10. Accounting? What reports do they send? How often? How are accounts set up?

There are probably other questions you’ll have as well, based on your particular needs and the particular property. Ask everything up front, and you’ll have fewer misunderstandings. With good rental property management, real estate investing is a lot less stressful.

Steve Gillman has invested real estate for years. To learn more, and to see a photo of a beautiful house he and his wife bought for $17,500, visit http://www.HousesUnderFiftyThousand.com

10 Frequently Asked Short Sale Questions

Writen by D.C. Fowler

1. What happens to the seller’s credit rating when they allow an investor to short sell their property?

What typically happens is the loan will show up as “paid” on their credit report; however there will be a notation that says “settled for less than originally owed” or something along these lines. It is more favorable for a homeowner to short sell than to have a foreclosure on their credit report.

2. Where do you find investors for Short Sales?

Depending on where you live, you may see investors who advertise with bandit signs or in your local newspaper. Call the investors directly and ask them if they are experienced in doing short sales and if they would be interested in working with you. Another good place is your local real estate investors club meeting.

3. Define Short Sale?

A short sale is really a form of pre foreclosure sale and occurs when the mortgagee agrees to accept less than the loan amount to avoid foreclosure. A negotiated short sale results in a discounted purchase price for the buyer. The buyer would finance the acquisition much the same as in any conventional realty acquisition… but without the luxury of time.

4. Can an owner profit from a Short Sale?

The seller cannot profit (monetarily) from a pre foreclosure short sale..But there are always exceptions to the rule.

5. How do bankruptcies affect the possibility of doing a short sale?

Most mortgagees won’t consider a short sale if the homeowner is in bankruptcy…why? Because negotiating a short sale payoff is considered a collection activity. Collection activities are prohibited in bankruptcy.

6. Can somebody tell me what documents do I have to include in a Short Sale package?

Documents depend on the lender. Each lender has different requirements. It is typical to require hardship letter, purchase and sales contract, ECOR,settlement statement (HUD 1), net sheet, pay stubs, bank statements,personal financial sheet (monthly budget), amongst other things.

7. What percentage of mortgage companies send someone out for an appraisal on a possible short sale?

All lenders order a BPO or full appraisal of the property before making their decision to accept or reject the short sale offer. This is there only way of assessing the value of the property.

8. How late in the pre foreclosure process can you start a short sale?

Try to allow a window of at least 90 days to effectuate a mortgagee approved, pre foreclosure short sale.

9. What is a Due on Sale Clause?

“Due on Sale” Clause (DOS) Provision in a mortgage or deed of trust calling for the total payoff of the loan balance in the event of a sale or transfer of title to the secured real property. A contract provision which authorizes the lender, at its option, to declare immediately due and payable sums secured by the lender’s security instrument upon a sale of all or any part of the real property securing the loan without the lender’s prior written consent. For purposes of this definition, a sale or transfer means the conveyance of real property of any right, title or interest therein, whether legal or equitable, whether voluntary or involuntary, by for deed, leasehold interest with a term greater than three years, lease option contract or any other method of conveyance of real property interests. Standard language which states that the loan must be paid when a house is sold.

10. Will banks allow a short sale when the owner has some or a good amount of equity?

If a property has what the lender would consider a substantial amount of equity, chances are they would consider allowing the property to foreclose and then reselling it closer to the retail value. Focus on homes that do not have much equity. Your job will be to create the equity in the home by negotiating a successful short sale.

Mr. Fowler has been a real estate investor for over 15 years specializing in the area of pre foreclosure/short sale investing. He has bought and sold over 200 homes in Georgia, Florida, Louisiana, and Tennessee using the same short sale techniques that he teaches in his course, Making Money with Short Sales: The Complete Guide to Acquiring Property Pre Foreclosure. Mr. Fowler currently resides in Atlanta Georgia. He also spends many hours per month teaching his creative real estate investing techniques to other aspiring investors across the country.

http://www.ShortSaleDeals.com

Home Inspections: No Guarantees

Writen by Gil Strachan

Since we opened our doors in 1994, we have taken a very liberal approach with clients who claim to be unhappy with our service. But over recent years we have seen a steady shift in some of our clients’ expectations. Their demands are higher, which is fine but the number of clients with unrealistic expectations has grown from maybe one in five hundred, to one in fifty.

These are the people who renegotiate their house purchase based on the inspection results - then anything, and we mean anything, that goes wrong after they move in is the home inspector’s fault! They argue that they could have negotiated a lower purchase price if they’d been aware of the problem (or perceived problem.)

“Had you told me, I would have had the seller fix it.” Lists of “problems” include items such as a missing latch on a screen door, missing caulking around a window, and a broken electrical outlet behind the china cabinet. These “problems” all cost less than $100 but the client insists the inspector should have noted them. And they would like the home inspector to pay!

Then there are the clients who bought an older home with original, but serviceable windows. They have called four window contractors and guess what? All four say they need new windows. How could the home inspector miss this $10,000.00 “problem?”

Still others find hidden problems which they readily admit the seller effectively concealed, but which the home inspector should have nonetheless discovered. “Why else would they put down new carpet? Didn’t the fresh paint make you suspicious? You should have predicted they were hiding something!” On one occasion a homebuyer asked an inspection firm to pay $22,000 to dig up around his house to waterproof it and replace the drainage tiles. His basement was not wet but he claimed it “felt” damp. Three waterproofing contractors had all insisted “excavation is the only way to fix this problem.”

We are convinced that the quality of our inspections has not slipped. We firmly believe that this is a shift in customer expectations and philosophies.

We had a choice to make. We could have taken a very heavy handed approach to our inspections. This would include coming down hard on every potential problem and writing “cover your butt” reports. We could never offer “most likely scenarios”, but only “worst possible case” predictions, if we offered any predictions at all.

During the course of a home inspection, we are offering more than just the facts. We are offering a professional opinion. If we offered just the facts, it would go like this: “The furnace is working today.” (We would have no opinion as to how old it is or how long it might last, or what your options are when it comes time to replace it, or what a new one might cost.) We might conclude “The basement is dry today.” (However we would have no opinion as to what it will be like in the spring, or what minor improvements you should make to avoid a future problem.)

Our opinions will sometimes be wrong because we don’t have all the pieces of the puzzle. Often, some of the pieces are concealed. If we were allowed to tear the house apart, we might sometimes come to different conclusions. Other times, our opinion might simply vary from another expert or a contractor.

Instead of writing heavy handed or no opinion reports, we decided to keep our reports as even handed as possible and make sure every client signs a detailed contract. The contract is intended to protect us against the unreasonable client.

Unrealistic clients don’t view a home inspection report as a professional opinion. They view it as an insurance policy with a zero deductible and no annual renewal costs! To allow us to continue to provide good quality, even handed reports to the forty nine out of fifty people who deserve them, we have been forced to utilize a contract that makes our clients know, in no uncertain terms, that the inspection is an opinion and not a warranty or a guarantee.

Gil Strachan is a professional home inspector, representing Electrospec Home Inspection Services in east central Ontario, Canada since 1994. Visit http://www.allaroundthehouse.com to learn more about home inspections.

Arizona Homes A Community for Dreamers

Writen by Reg Gustin

Finding a home that meets all of your criteria of a “dream home” can sometimes be challenging. In many areas of the country, a new home is often a starter home - merely the best you can afford at the time. You may not like the home, the neighborhood, your commute, the neighborhood schools, etc.

The good news is that you don’t have to continue to settle for something you don’t love. You’ll find the house and community of your dreams in Arizona.

There are lots of reasons Arizona is quickly becoming a target for people planning to relocate:

• Breathtaking scenery that combines the desert with mountains and beautiful open skies.
• A business climate that seems to be constantly growing, becoming stronger and offering unlimited employment potential.
• A low cost of living, affordable housing and a relaxed lifestyle.

Arizona is growing at an almost unprecedented rate. In fact the Phoenix area is rapidly becoming the fifth largest metropolitan area. Yet despite this rapid growth, Arizona homes are affordable and plentiful.

Housing divisions are being developed at an almost frenetic rate - but these homes aren’t thrown up quickly. These developments offer easy access to recreational opportunities (like professional level golf courses), quality school systems, and a diverse balance of people. Many of the recent developments are planned carefully for regional growth and will soon take advantage of Phoenix planned light rail commuting system or supporting commuting services.

Although Arizona home prices have been stable if not increasing at a steady rate, value, homes are still quite affordable. In fact, Arizona home prices consistently rank almost 10 percent below other national metropolitan communities.

Arizona may have earned a reputation for a haven for retirees in the past. It still is a wonderful area for those looking to escape harsh winters. But more importantly, Arizona is an energetic and thriving area, with new residents that take advantage of the natural beauty, recreational and cultural opportunities.

It’s hard to imagine a community that meets the same standards for beauty, affordability, and opportunity as Arizona. It truly is a community that can make all your dreams come true.

Reg Gustin is a senior loan officer with Sun American Mortgage and specializes in helping families and their financial lending needs.

Click here and get a free copy of The Greater Phoenix Area Housing Appreciation Report, as compiled by Arizona State University with your free subscription to his monthly ezine, Arizona Fun Facts.

Visit us at http://www.central arizona homes.com

Are Signs Important?

Writen by Barry Milteer

Signage, though quite fundamental in nature, plays an important role in the home selling process. The Yard Sign should be two sided, easy to read, and look great (defaced or worn signs can negatively impact curb appeal). For more upscale properties, consider a Colonial Sign Post instead of a yard sign. Directional Signs should be placed at all major intersections in the property’s immediate vicinity and situated so they “direct” traffic towards the property.

If you live in an active neighborhood, add an Outside Flyer Box with sales brochures. Though your neighbors will take note of your sales price, if reasonable, neighborhood referrals can work wonders for your sales effort, especially if it’s a relatively close knit and stable area. If you’re selling your home, place an Inside Flyer Stand with ‘Sellers’ Disclosure Statement’ on the kitchen counter.

This document conveys much needed assurance and also provides a basis for negotiation. For rental homes, include a good copy of the lease or rental agreement. Use the link below to review and find additional details on these items.

Lastly, if you’re not available to show the property, get a Shurlok Lock Box. Off loading this responsibility on a friend or neighbor is ill advised, since they are typically not aware of the property’s specifics.

Barry M. Milteer
President
Real Estate Signs & Accessories We sell quality real estate signs and accessories.

Commercial Real Estate Prospects in India

Writen by Larry Jone

Commercial real estate in India has picked up real fast over the last 5 years and has transformed the Indian architecture in a major way.

Commercial Real Estate India as a trend setter

1. A population of 1.1 billion and a workforce of 496.4 million serve a great potential for real estate investors in India. The talent pool of intellectual capital and cost effectiveness gives India a competitive edge in the real estate scene.

2. A growth rate of 30% and a 30% average rate of returns look lucrative for future prospects in the realty sector.

3. Latest research data estimates increase in revenue generation from $14 billion to $102 billion over the next 10 years. For NRIs investing in real estate India. the return has been more than profitable. They feel India in this regard has not even tapped 20% of market.

4. Moreover with the relaxation of FDI rules and tax incentives for NRI s the Government has sure encouraged in increasing foreign capital. Global investors investing in real estate India can certainly look for a 25% ROI!

The peaks of commercial real estate in India

Organized retail: With the increase in mass consumption, shifting trends in the pattern of consumption of luxury goods and purchasing power corporate houses have ventured into retail in a big way. Take the case of RPG Spencer’s largest presence in South India with FoodWorld, MusicWorld and Health and Glow. Apart from this there have been other major players like Birlas, Tatas and now Reliance is thinking on similar lines. This explains the mushrooming retail projects and shopping malls.

Entertainment: The need for entertainment, fun and leisure has transformed the urban architecture with multiplexes, hotels and a commercial real estate India boom.

Job scenario: India not only promises better workforce in terms of intellectual capital but also cheap labor. This has welcomed thousands of IT, telecomm and ITES Companies to set up offices here in India.

Why should investors be encouraged to invest in real estate?

According to Grant Thomton, a leading international and audit firm, India ranks number one out of 30 countries having medium sized business beating China and Europe. Surprised? Think about free market, liberalization and open FDI policies which have attracted some of the major brands, investors and realtors from abroad.

India has more experience when it comes to lending and raising capital compared to China. Take a look at the rising boom of Bombay Stock Exchange and existence of major banks like ICICI and HDFC. These pointers have been a major encouragement to global players like Morgan Stanley which has invested $68 million in real estate India.

Conclusion

India has raised the bar in investment scene so far real estate is concerned. The country has immense scope of building infrastructure and increasing returns on investment by 50%. The yield on commercial real estate India have been larger than global real estate which makes this country such a popular destination in terms of real estate investment.

Larry Jone is an associated editor to the website http://www.indianground.com Indianground is dedicated to explain queries for commercial property India, real estate in Mumbai,India properties, with the latest news updates. Your feedback and comments will be highly appreciated at “larryjone@gmail.com”.

Las Vegas Real Estate: Overpriced or Underpriced?

Writen by Shirley Simmons

Because Las Vegas real estate prices have grown at such a high rate, many people are asking, are Las Vegas real estate properties overpriced? The question is difficult to answer, and in the end you must decide if the properties you are considering are appropriately priced or not.

But consider this. As the entertainment capital of the world, Las Vegas has almost unlimited economic potential. It is the epitome of the capitalistic system; a true market. Everything that you could ever want can be found here - for a price. As long as people have money, and long as they want to exchange their money for a little fun, Las Vegas will thrive. What that means, of course, is that the prices of Las Vegas property will rise.

Most real estate professionals believe that there is still a significant room for growth in the Las Vegas real estate market. They make this prediction in spite of (or perhaps because of) the rapid growth rates of the last few years. And with more and more entrepreneurs (and even some billionaires) pouring their money into Las Vegas, it seems that it has nowhere to go but up.

Investing is important at this stage to make sure you get the most out of your investments.

Check out the buyer realtors of Las Vegas at LasVegasBuyerAgent.com

10 Tips for Successful Real Estate Property Investment

Writen by Rhiannon Williamson

Just because real estate prices seem to have hit a temporary ceiling in many countries around the world, that doesn’t mean that profits from property investments are hard to come by.

Even during a real estate market slowdown, stagnation or depression profits can be made locally and overseas. This article shows you the top ten tips that real estate investors apply to their property portfolio building strategy to ensure success from their investments.

1) Research the curve the concept of a property market cycle existing is not myth it’s a fact and is generally accepted to be based on a price income relationship. Check the recent historical price data for properties in the area of the country you’re considering purchasing in and try to determine the overall feel in the market for prices currently. Are prices rising, are prices falling or have they reached a peak. You need to know where the curve of the property market cycle is at in your preferred investment area.

2) Get ahead of the curve - as a basic rule of thumb, professional real estate property investors seek to buy ahead of the curve. If a market is rising they will try and target up and coming areas, areas that are close to locations that have peaked, areas close to locations experiencing redevelopment or investment. These areas will most likely become ‘the next big thing’ and those who by in before the trend will stand to make the most gains. As a market is stagnating or falling many successful investors target areas that enjoyed the best levels of growth, yields and profits very early on in the previous cycle because these areas will most likely be the first areas to become profitable as the cycle begins turning towards positive once more.

3) Know your market - who are you buying property for? Are you buying to let to young executives, purchasing for renovation to resell to a family market or purchasing jet to let real estate for short term rental to holiday makers? Think about your market before you make a purchase. Know what they look for in a property and ensure that is what you are going to be offering them

4) Think further afield - there are emerging real estate property markets around the world where countries’ economies are going from strength to strength, where a growing tourism sector is pushing up demand or where constitutional legislation has been or is about to be changed to allow for foreign freehold ownership of property for example. Look further afield than your own back yard for your next property investment and diversify that real estate portfolio for maximum success.

5) Purchase price - set yourself a budget that will realistically allow you to purchase what you’re looking for and profit from that purchase either through capital gains or rental yield.

6) Entry costs - research fees, charges and all expenses you will incur when you buy your property - they differ from country to country and sometimes even from state to state. In Turkey for example you should add on an additional 5% of the purchase price for all fees, in Spain you will need to factor in an average of 10% and in Germany fees and charges can be in excess of 20%. Know how much you will have to incur and factor this amount into your budget to avoid any nasty surprises and to ensure your investment can become profitable.

7) Capital growth potential - what factors point to the potential profitability of your real estate property investment? If you’re looking overseas at an emerging market, which economic or social indicators exist to suggest that property prices will increase? If you’re buying to let out are there any indications to suggest that demand for rental accommodation will remain strong, increase or even decline? Think about what you want to achieve from your investment and then research and find out whether your expectations are realistic.

Exit costs - if you will incur substantial capital gains taxation liability if you sell your property investment for profit, will that render the investment profitless? In Spain a foreign buyer can incur up to 35% capital gains tax, in Turkey on the other hand property sales are capital gains tax free if the underlying real estate has been owned for four or more years.

9) Profit margins - what levels of capital growth can you realistically gain on your property investment or how much rental income can you generate? Work out these facts and then work backwards towards your initial budget to work out your potential profit margins. At all times you have to keep the bigger picture in mind to ensure that your real estate investment has good potential for profit.

10) Think long term - unless you’re buying property off plan and intending to flip it for resale and profit before completion you should view real estate investment as a long term investment. Real estate is a slow to liquidate asset, cash tied up in property is not simple to free up. Take a long term approach to your property portfolio and give your assets time to increase in value before cashing them in for profit.

Rhiannon Williamson is a freelance writer whose articles about property investing and emerging real estate markets have appeared in publications around the world. She is currently working on a brand new property investment resource http://www.amberlamb.com/

Foreclosure in California

Writen by Gerald Justice

First quarter foreclosure activity in California increased to the highest level in more than two years and lenders sent 18,668 default notices to California homeowners during the January to March period. That was up 23.4 percent from the prior quarter and up 28.7 percent from 2005’s first quarter, according to DataQuick Information Systems.

Home sales and appreciation have slowed, a larger number of homes are available, California has lost several large employers to other states, interest rates have risen sharply in the last two years, rising consumer debt, and creative financing are all contributing to the ever increasing number of foreclosures.

Since a larger number of us might be experiencing foreclosure at some point or know someone else who is already involved in one, it is more important than ever to understand the foreclosure process in California.

Background

California has an unusual foreclosure process that all lenders must follow. Much of this process is unique because a Deed of Trust is used to secure a Real Estate Mortgage.

A Trust Deed is a written instrument legally conveying real property to a Trustee and is used to secure a mortgage or promissory note. Under this system, there are three parties to the Deed: the “Trustor” (the borrower), the “Beneficiary” (the Lender) and the “Trustee” (the Lender’s representative for this particular transaction). Trustees are typically other companies that specialize in providing those services.

In California, lenders may foreclose on loans in default using either a judicial or a non judicial process.

Judicial Foreclosure

The Judicial Foreclosure is used when the Mortgage or Deed of Trust does not contain a Power of Sale and it involves filing a lawsuit to obtain a court order to foreclose. It is uncommon with most commercially available real estate loans and more typically occurs where a private party loaned the money rather than a traditional lender like a bank.

Typically, once the court authorizes the foreclosure, a property is auctioned to the highest bidder. With a Judicial Foreclosure, a lender may seek a Deficiency Judgment to recoup some of their losses. That simply means that when the high bid on the property is less than the amount owed to the lender, a judgment may be entered against the foreclosed owner for any remaining balances. That lender could then pursue other assets and/or garnishments against the original owner to satisfy the deficiency. The court may also issue a 1099 to the Borrower for the difference because the deficiency amount is taxable as income.

Non Judicial Foreclosure

The Non Judicial Foreclosure is used when the Mortgage or Deed of Trust includes a Power of Sale clause where the borrower has pre authorized the lender to sell the property to satisfy the loan should they default. That power may be performed by the lender or the Trustee.

Non Judicial Foreclosure Process

The stages of the Non Judicial Foreclosure process include:

Notice of Default (NOD) - After the property owner fails to make the loan payments as scheduled; the foreclosure process begins by the Lender or the Trustee filing a NOD with the County Recorder in which the property is located. This document serves to provide public notice of the foreclosure as required by law. It is simply a written notice notifying the Borrower that he/she has not met his/her obligations under the loan contract and that the lender may take legal action for enforcement. The owner may be delinquent anywhere from 15 days to 12 months or more, but it is quite common that the first NOD will be filed after a loan is delinquent for three months. Once the NOD is recorded, the borrower and any junior lien holders are also given proper notification and the Borrower has 90 days to bring the account current with the lender.

Notice of Trustee Sale (NTS) - If the loan default is not resolved within the 90 days, the Lender will instruct the Trustee to record a NTS with the County Recorder’s office. By law, the NTS must contain the date, time, and place for the auction, the property address, a statement that the property will be sold at public auction, and the Trustee’s name, address and telephone number. The NTS must also be published in a local newspaper and posted on the property.

Trustee’s Sale - After the NTS has been recorded and the requisite waiting period, a public auction of the property can be held. At the auction, the property may be sold to a third party bidder or it may revert back to the Lender for the outstanding balance of principal, interest, late fees, legal expenses, etc. In order to qualify for bidding on the property, a bidder must present cashier’s checks for an amount equal to or greater than the Lender’s opening bid. Each bidder will be qualified by the auctioneer before bidding can begin and the full payment is due at the time of the sale.

Disbursement of Funds - Once the auction is completed and if the property sells to a third party bidder, all funds owed to the Lender will be forwarded. If the property reverts to the Lender, a Trustee’s Deed Upon Sale will be issued in favor of the Lender who then has ownership of the property.

Lenders may not seek Deficiency Judgments in the Non Judicial Foreclosure process and the Borrower has no rights of redemption.

If you become involved in a foreclosure or know someone that has, it is important to not delay dealing with it right away because options may become more limited as time passes.

DISCLAIMER:

Although knowledgeable about the foreclosure process, the author is not an attorney and provides this general information only to help readers better understand how it works and how to safely cope with their own legal needs. However, legal information is not the same as legal advice. The application of law varies with every individual’s specific circumstances. Although great lengths have been expended to make sure this information is accurate and useful, it is strongly recommend that you consult a lawyer if you want professional assurance that this information, and your interpretation of it, is appropriate to your particular situation.

For more information, visit www.ocforeclosurehelp.com or call (949) 963 9021 for 24 hour recorded information.

Gerald G. Justice is CEO of JP Investment Holdings LLC, with offices in San Clemente, California and Las Vegas, Nevada. The firm primarily invests in residential real property with a particular emphasis on financial distress situations. For more information, visit our website or call (949) 963 9021.

Buying Real Estate Property In Spain

Writen by Rhiannon Williamson

It’s high time someone advocated the use of common sense and suggested that those people looking for that dream home in Spain actually apply a cautious approach to buying!

After all, real estate is such a significant purchase for most people that you’d think people would be only too ready to think twice and long and hard before committing to purchase - especially when buying abroad where the rules and customs differ greatly to what we may be used to.

But it seems that so many people are seduced by the sunshine in Spain and by aggressive and slick agents and developers that they are willing to purchase unseen, to buy off plan or even remotely via the internet and to basically purchase without the slightest clue about just what it is they’re getting for their money.

People are buying Spanish property without the completion of surveys, without employing independent legal advice, without considering the long term investment potential of their property and without considering the practicalities of owning a second home in an overseas locationand what’s more worrying is the fact that due to Spain’s universal appeal more and more people are doing so every year.

So, the time has come to promote the idea of applying a cautious approach to buying property in Spain starting with don’t leave your brain on the plane

When you arrive in Spain you will undoubtedly be seduced by the surroundings of your chosen destination, you will be able to immerse yourself in the dream of owning a home in the idyllic location and living a holiday like lifestyle all year round should you so chooseand these feelings will leave you elated but vulnerable to the traps and pitfalls that are there at every stage of the property buying process. Remember, those traps and pitfalls exist in every country in the world and do not change just because you’ve change country!

Therefore, before you even travel to Spain you have to arm yourself to deal with buying a property. If you get your mindset right and you set yourself a realistic budget based on the research you do into the types of property you’re interested in and the region you’re interested in you will step off the plane prepared.

Employ defensive tactics know that if something looks like a bargain and is selling at a price that is ‘too good to be true,’ chances are you should walk away! Remember how you would behave if you were buying back home and while I’m definitely not suggesting you set out determined to see the bad in everyone and convinced that each person you speak to is trying to rip you off, I am telling you that not everyone you come across will have your best interests at heart!

Find out how the property buying process works in the region of Spain you’re interested in, you need to know whether you will be asked for a securing deposit when you register an interest in a property, you need to know how much this will likely be. You have to know whether an offer is legally binding, you need to understand how property law works in your region of choice. All this research can be done before you even set foot on the plane! If you arm yourself with solid basic facts then you will be in a strong, confident position and you will be less likely to fall for estate agent exaggerations.

Don’t be rushed into making a decision or parting with cash. Make sure you employ independent and qualified legal support to ensure your interests are protected. If you are unsure of the meaning of any paper work you are asked to sign make sure you get it translated. Pay attention to detail - make sure boundaries are marked on the contract you sign, make sure your solicitor confirms them with the local land registry office.

Never ever assume anything; never ever accept it when someone assures you of a factget facts and assumptions confirmed by having them written into the legally binding contract. Don’t become a victim of the Spanish property market by failing to do your homework and by being a passive purchaser.

Do your comprehensive and boring homework and approach buying a property in Spain in the same way you would approach buying a property back home - it really is that simple!

Rhiannon Williamson is the publisher of http://www.shelteroffshore.com the online resource for investment property abroad, offshore investing and living overseas articles, guides and resources.

Click the following link for Spanish property and moving to Spain articles, guides, resources and recommended reading.