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Your Investment Property Loan Options

If you don’t have sufficient funds to sustain your investment property, you can still have an opportunity to get an investment property loan. Your money may not be sufficient for an investment fund and you may need a big sum to add some capital to buy a real estate property. You may be able to pay for a down payment but the rest can be provided through an investment property loan. If this is the road you would want to take, then its time to check at different alternatives available for you. Here are the few examples that you can look into:

1. The Flexible Interest Only Loan

An interest only loan is one alternative you can take to fulfil your monetary needs. This is specially applicable for properties that you will see to have a huge potential. With this kind of investment property loan, you will just be paying for the interest as part of you payment each month. Needless to say, there is no need to make payments for the principal sum just yet. It is merely at the end of the term that you will be required to pay the full amount of the loan.

The core benefit of this loan is flexibility that you can have on a monthly basis. If you don’t have cash at the time, you only have to pay off the minimum interest due and you will be good to go. On the other hand, if you have some cash, you can start paying extra for the principal balance. So if you think that this kind of set up will work well for you, then you should go for it.

2. The Reliable Fixed Payment Loan

Another loan opportunity that you may consider is the fixed payment loan, from a typical lender. As usual, an exact amount is set to be paid monthly until the full loan is paid off. This one gives you enough stability to make room for other endeavors. The good thing about this is that, not only will you have a fixed payment, but you will also be able to pay to the loan balance. The difference between this sort of loan and the “interest only” is that your payment every month can help you pay off your debt by the end of the term. While “interest only” will require you to pay off the lump sum at the end in order to be done with the loan.

3. The Amiable Private Loan

This one is provided by a private investor and this is one more kind of investment property loan that you can look into. There are individuals that have a lot of extra resources and they use it to fund the other investors. Some of them may even take interest in helping you buy an investment property. Considering that they work on their own, you will discover them easier to deal than a bank. They are flexible and easier to work with that’s why there are a lot of people who are drawn to getting a private loan.

Learning From Snowboarding Games

Let’s face it – snowboarding is a dangerous sport especially for children so parents are understandably hesitant about letting their kids enjoy the extreme sport; snowboarding has higher risks for injuries than alpine skiing. Fortunately, kids can still enjoy the extreme sport without risking their limbs and lives, thanks to the wide range of flash snowboarding games available in online sites.

Plus, kids can learn many lessons about snowboarding, safety in the sport, and sportsmanship as a snowboarder when playing these games. Just imagine the benefits that come from playing a single game for 30 minutes a day – play, after all, encourages learning.

Snowboarding as a Sport

Of course, flash snowboarding games are based on the extreme sport of snowboarding with designers adding elements that add to the realism of the games. Think of white snow, high slopes and safe snowboarding equipment, all of which are captured in great details in the games.

Kids, the more avid players of snowboarding games, will be encouraged to learn more about snowboarding just so they will have a better idea of the sport. Parents, in turn, can provide information about the sport, which can serve as another bonding moment for the family.

Snowboarding is a winter sport developed in the United States in 1960s although it was only included in the Winter Olympics in 1998. Snowboarders descend a slop covered in snow while standing on a board; the latter is attached to the rider’s feet with special boots set into its mounted binding. Think of skiing, sledding and skateboarding, all of which served as the inspiration for the sport, albeit with specialized equipment.

Snowboarding Styles

When playing snowboarding games, kids will also learn that snowboarding has several styles. Each of these styles involved specialized equipment, a fact reflected in the choices provided by game designers from the style to the equipment.

The most popular styles are:

• Jibbing. This involves riding, sliding and jumping on any surface other than snow such as rails, benches, and concrete ledges, thus, its popularity in venues like snowboard resort parks.

• Free riding. This refers to all-around snowboarding because of its emphasis on using the random flow of the terrain to the rider’s advantage. This is also the more common style used in snowboarding games because of the challenges presented to the player/rider.

• Freestyle. This involves the performance of tricks wherein the rider uses both natural and manmade features (i.e., logs, rocks, and rails) to perform tricks. This is different from alpine snowboarding because of the creativity that comes with it.

• Slopestyle. This is probably the most exciting style, thus, its popularity in snowboarding games. Riders perform tricks while descending down a slope or down terrain features (i.e., moving around, across, over, up and down).

• Big air. This is just as it sounds – riders perform tricks in the air (i.e., big air) while striving to achieve substantial height and distance from the jump-off point.

• Half-pipe. This is snowboarding over a semi-circular ditch while performing tricks. Riders are supposed to perform tricks while zipping from one side to the other as well as while in the air.

• Snowboard racing. Among all the snowboarding games, this is the most popular among kids for obvious reasons – a winner can easily be determined, for example.

And then there’s also the fact that playing snowboarding games encourages the value of sportsmanship among kids. Being a graceful winner or loser matters more than winning the gold medal, after all.

Things One Must Know Before Investing

If you are thinking of investing in residential property, you are on the road to earning big bucks in the coming years in return of your long term investments. If you actually spend your money cleverly you can actually earn a lot of returns without even taking big risks. The first thing that one must do for residential investment is take the right investment loan.

Everybody must have borrowed money even before, so everybody must be already well versed about the dos and don’ts of taking a loan. But since the investments loans are a little different than other loans one must know about the key facts that one must take care about while selecting an investment loan.

So if you want are investing in property, you will need a larger amount of money than what you must have needed when you were buying your own house. Since the sum is large, it may be a little difficult for you to get the loan sanctioned from the bank.

Most of the people who take these loans are ones who do it professionally for commercial business. But private individual who want to take a large amount of loan from the banks for these purposes have to learn from the commercial business people. As this will make you well versed with the process before you actually go to the bank.
One must know the three ratios that are taken onto consideration when sanctioning a loan and the way to calculate them. These are loan to value, debt service and debt ratio.

The debt service ratio is commonly known as DSCR. It determines the repaying capacity of the person. The equation is calculated as follows.

Net operating income/ annual debt service = DSCR

Annual debt service is referred to all the payment that will be made to the bank that is the principal as well as the interest. It must be at least one. If it is lesser than that, it will mean that the investment will not be able to generate that much income as is needed for the repayment of the loan. Anything that is less than one means, that the income from the property will not be able to pay hundred percent of the mortgage.

And if the DSCR is 1.15 then it means that the investment is also making a profit of fifteen percent other than paying the loan. The LTV is basically the amount you have to repay. It is calculated with the help of the equation that is given below. Loan amount/ purchase price = LTV.

If one subtracts the down payment from the purchase price then one will get the loan amount. Debt ratio is very simple. This is just the ratio of debt you have when compared to the assets you have. It is calculated by the equation given below. Total debt/ total assets = Debt ratio.

The Debt Ratio is the simplest of all. It is the amount of debt you have compared to the amount of your assets. If you do the calculations beforehand, you will know how much loan you need and how much you can take.