Archive for August, 2007

by Dave Jackson
Of all the items man has used as currency, gold has far been the most prominent. It doesn’t matter if it is the most valuable, or the rarest. What does matter is that man has chosen this commodity to be a standard as a world yardstick for wealth. As a matter of fact, gold is one of the few metals that is so cherished by so many.

Today it’s easy to find the latest price of gold, from the Internet, the financial section in the morning paper, market news on TV, and even as a text message on your cell phone. But it wasn’t always like that. For decades the price of an ounce of gold was quite steady - so investors didn’t see the value in following the price changes.

But recently, the price gold has been changing, and a lot of interest has kindled for the precious metal. What once was under a hundred dollars in the 1940’s is now over 600 dollars. This has brought investors around in great numbers.

The price of gold is linked to how strong the US dollar is. Because of the great increase of gold over the last ten years, many investors believe it is a good time to buy and speculate. But remember that gold is a commodity, and doesn’t sit and earn interest like a bond in the bank. Your profit will be based on if the selling price is higher than the price you purchased it for, less any brokerage fees.

So when the price of gold goes up, you should be concerned about the value of the US dollar. This is because gold increases as the value of the dollar goes down. Since we are at the 600 dollar per ounce levels, you can be sure the value of the US dollar is fairly low. This is called a lack of confidence.

Should you invest in gold today? We believe it is a pretty safe bet. Given current world conditions, and the time now before the US elections in 2008, gold will be only increasing in value.

Gold Investments is authored by Dave Jackson who bought gold back in 1985. He writes about gold and silver profits and how you can cash in on them.

Article Directory: Article Dashboard

by Dave Jackson
A country’s economy is reflected by the current gold prices it has. In all actuality the difference in gold prices has nothing to do with how much gold there is. It is actually more of the result of the events in peoples mind’s correlating with events in the world pertaining to the country. When you hear of people saving money and investing money, you usually hear they invest in gold. Gold offers security, safety and liquidity in times of high inflation or currency deflation, as what happens in many third world and developing countries.

Gold is supposed to be one of the safest investments on the market and trading bullion has been a very traditional business. Depending on the day or if any crises happen current gold prices may fluctuate a little or dramatically. People tend to buy gold because it is safe, and they use this knowledge in case of a stock market crash or a recession.

Naturally, A rush to buy physical gold under any unforeseen circumstances would change current gold prices. Something that doesn’t usually happen with other commodities happens quite often with gold sales; as demand rises so does the price in gold. Trading in gold takes place all over the world and the price in any country can vary if its international investors buy or sell their gold. Many countries have to maintain the price of the gold and often make sure it varies to keep up with their reserve stock of gold.

How to Monitor Current Gold Prices

The Internet is filled with web sites that are all about current gold prices all over the globe. Most of them depict charts of daily changes, and can also show the history of gold prices in a particular area over a specific period of time. For example, it is very simple to determine the current gold price in France, to find out how it has changed in the past thirty days, or where it was last year.

Also, it is possible to buy gold from several well-known companies from their web sites. These web sites give information about gold that is invaluable, and offer to sell gold in the form of coins or bars. It is advisable however to buy gold from a known or highly reputed source. There are rules set in place for buying gold and whether it is from a store or online they are the same and unchanged. Online trading in various bullion markets is also feasible, just as it is possible too so in the stock market. Fortunes are made or lost with political, social, or economic changes in a country.

Other investors have an unfair advantage? When working in gold, it make great sense to hear different opinions. One such opinion is at http://www.lxmart.com on Gold Investments.

Article Directory: Article Dashboard

by lancastersuites
Considering retirement in a Tropical Climate? For many British, Australians and Americans, retirement time is just around the corner. At home, with low interest rates and high cost of living, the prospect of trying to live on a pension, in old age, is a daunting one unless you are preapred to substantially downscale your lifestyle. For some, moving to retire in another country is an option which has been successful in the past with Spain, Portugal, Mexico and Puerto Rico being among some of the more popular destinations. But why not consider retiring in the Philippines?

Over the past decade, the Philippines has become a retirement haven for thousands of foreigners, particularly the Japanese, Korean, and Northern Europeans. Along with Thailand and Malaysia, the Philippines developed communications, infrastructure, and service delivery systems specifically geared to meet the needs of foreign retirees. Better yet, unlike most European Countries and South America, nearly everyone speaks ENGLISH in the Philippines.

The Philippines offers a significantly lower cost of living. The Philippine Peso (PhP) exchange rate is approximately PhP 45 to $ 1.00 or PhP 92 to 1 Pound [Sterling (GBP)]. Housing, food, and labor costs are quite reasonable. A One bedroom condominium can be purchased for around $ 72,000 or GBP 37,000 or a Studio for only $ 45,000 or GBP 22,800 and one can dine out on average at a three star restaurant for less than PhP 500. If you hire domestic help, a private driver’s salary is approximately PhP 10,000/month, while trained housekeepers earn approximately -PhP 5,000/month. These salaries are lower if you live in the provinces.

Cable Television, Hi-Speed Internet and Satellite Communications are cheap. One can hire an air-conditioned taxicab for eight hours for less than $25.00. In a country where a provincial Governor’s salary is only PhP 28,000 per month, and a Presidential Cabinet Under-Secretary earns PhP 35,000, your pension can go a long way. So, if you have a retirement income of approximately $1,500 to $2,000 per month ( PhP 80,000 to 100,000) you can live quite well in the Philippines.

As for health care, most U.S. Health Management Organizations pay for medical expenses incurred in the Philippines. Check with your HMO. The Philippine Department of Foreign Affairs presently has a task force headed by former Secretary Roberto Romulo working to have the U.S. government accredit a number of first class Philippine hospitals for Medicare reimbursement. The Makati Medical Center, one of the nation’s best already has such accreditation. Unbeknown to many is that for years, citizens of nearby countries such as Thailand, Nauru, Tonga, Indonesia, and Malaysia have flocked to the Philippines for medical care, particularly sensitive surgical procedures. The quality of medical care at the better Manila hospitals such as the Asian, St. Luke’s, Medical city, Cardinal Santos, Philippine Heart Center for Asia, National Kidney Institute, and Makati Medical Center meets international standards.

A Japanese company is building a medical facility in Tagaytay city exclusively for Japanese nationals within the year. There are now close to 10,000 Japanese retirees in the country, and the number is growing annually. The British government recently acquired a large tract of land in Fort Bonifacio to build a new Embassy. The British ambassador explained the larger facility is meant to help serve the growing number of British nationals retiring there as well. Japanese and Korean investment groups are buying homes and condominiums in Manila, and tracts of provincial land for retirees. This has caused a mini- Real Estate boom in the country. A retirement village exclusively for Japanese nationals already exists in Tagaytay, and more are planned. These are strong indicators of what is on the horizon

English is the Philippines’ official business language. Most of the people you will meet, from hotel workers, taxi drivers, sales or service people, government employeesa all speak English, or have a working understanding of it. The middle class speak English, without exception. All major newspapers, and major broadcast companies use English. An English speaking visitor will never get lost in the Philippines. It is the universal use of that language that has been a strong incentive to foreigners. As well, communications links within the country and to other countries via the various commercial gateways is up to international standards. For example, the use of cell phones and text messaging is so common that housemaids, street vendors and food hawkers can be seen using their celphones incessantly.

One will never want for adventure and sights to experience in the Philippines. There is always a colorful Fiesta, pageants, street festivals, and open public events going on. Lush with bountiful natural resources, one can enjoy the numerous beaches, resorts, golf courses, and play just about any sport, except skiing. There is an ice skating rink in Manila, though. Scuba diving and fishing are among the sports which draw the most number of foreigners to the rich aquatic offerings.

Shopping is the Filipinos’ second most popular activity, the first is eating. Manila is Asia’s undiscovered shopping Mecca. You will love the golden purple sunsets, the fragrance of the flowers at dusk, and the wonderful array of fruit and food. I used to enjoy watching the Sun set from the bar at the Philippine Cultural Center. There, you can listen to the Symphony, check out a play, or enjoy Grand Opera. There is just so much to explore and discover, specially in terms of nature, culture, and history. If you’re a betting man, there’s horse racing, the Jai Alai, numerous first class casinos, and of course, cok-fighting. Manila is well known for its exciting night life.

The Philippines offers affordable real estate and good investment opportunities for those seeking a retirement haven.

For further info please do not hesitate to contact us:

Beth Collingz

PLC International Marketing Networks

Pacific Concord Properties Inc., Manila Head OfficeShaw Boulevard, Mandaluyong City. Metro Manila. PhilippinesPhone: Manila [632] 717 1958Fax: Manila [632] 718 1828Pacific Concord Properties Inc., Cebu OfficeLapu-Lapu City, Mactan. Cebu. PhilippinesPhone: Cebu [6332] 340 0721Fax: [6332] 495 4938EMail: plcsales@pldtdsl.nethttp://www.lancastersuites.comhttp://www.plcglobalpinoy.comhttp://www.condotel-rentals.com

Article Directory: Article Dashboard

by alexisamerson
Everyone will agree that debt is one of the worst situations one can be in, it limits you so much and people might no longer trust you. It is important that you first understand debt, before you try and get yourself out of it or not get into it at all. Debt can take control of people’s lives, and this is why you should understand it, so it cannot get a hold of your life. When you learn more about the interest rates and how they are calculated as well as all the different types of debt one can encounter, you will be able to make more detailed decisions regarding your money.

Besides the fact that you have no money but owe people thousands, there are also other side effects of debt, some of which include foreclosure, eviction, wage garnishment, bankruptcy and emotional troubles that may lead to suicide. This is very sad as debt can take lives and this is even more reason for one to stay out of it.

If you already are in debt and you don’t know what to do, the first thing that has to be done is you need to see a financial advisor right away. Speak to someone that knows what they are talking about and that will lead you in the right direction, you cannot do this alone. They will also be able to assist you with bankruptcy advice and whatever other financial advice you may require. But go to a professional, not just someone who claims they know what they are talking about.

Try and come to some sort of agreement with the creditors’, arrange to pay them off, but do it before they take the matter to the courts, as this is where your problems will get worse. You should also go for debt counseling as this will help you to understand debt even more and you won’t feel so alone.

Written by Alexis Amerson. Find the latest Debt Advice or find out more information on Bankruptcy Advice.

Article Directory: Article Dashboard

by
In 2004 a man went onto the internet and offered to trade a paperclip for a house. Of course, no one took him up on it, but they did trade him for something a little larger. This man kept trading up, the trade rarely had much monetary value. Sometimes its only value lay in the fact that it was part of the scheme.

The man now lives in his house in western Canada. The house he traded up from a paperclip.

There are many investment strategies for managing a bullion or precious metals portfolio. It is one of the most secure ways of investing small and building up. And, it is easy to trade.

You can trade bullion for almost anything — at a profit. The desire to own gold is so strong that many people will undervalue their own services or products in an effort to obtain gold bullion.

If only they knew how easy it was to buy on the internet.

The trick is to stick to the large trading houses. While there is a coin, or bullion trading company in every small city, there are different qualities and grades of gold. Even the slightest variation in weight can change a ‘good deal’ to a con.

The important thing to remember is that investing in coins, and investing in bullion are two different things. A coin has a fixed value attached to it. This value increases, or decreases, depending on how many people want to buy that particular coin.

The value has everything to do with the country that ‘minted’ the coin. It has nothing to do with the quality, or quantity, of precious metal in the coin.

Bullion on the other hand has no markings. Its value is 100% dependent on the quantity, and purity of the metal. It is not held by the constraints of the dollar.

However, as the dollar drops, the value of gold increases, because the lower the value of a dollar, the more of it is needed to buy an ounce of gold. This is good news for bullion investors.

Dan diBartolomeo said in 2007: “While the gold price is the single most influential force in determining the behavior of gold mining shares, gold stocks are not nearly as sensitive to gold prices as current financial models suggest they should be.”

“Putting realistic numbers into the formula, the remarkable aspect begins to take shape. Assuming that the price of gold is $400 per ounce and direct mining costs are $300 per ounce. The gross profit is $100 per ounce. Note that the value is linearly related to this gross profit. If the price of gold changed to $500 per ounce (a 25% increase), the gross profit would be $200 per ounce, and the forecast price of the stock would rise 100%.

The percentage change in valuation of the equity position is four times as great as the percentage change in value in the commodity asset.”

The strategy is to purchase gold, at real value, and trade it for commodities which are normally purchased with paper money and currency. This type of trading gives the bullion investor more leverage when making a purchase.

Another way to invest is by buying futures and speculating on the market. At the moment, speculators have gold about $700 (summer 2007), but you can purchase gold coins for $500. Speculating is a gamble, but when dealing with bullion, the ‘losses’ are predictable.

As the world becomes more wealthy. As third world countries enter the manufacturing sectors, and as the standard quality of living increases around the world, bullion will become more valuable.

Mark Walters is a third generation investor who guides others to financial independence through the Creating Wealth Club http://www.CreatingWealthClub.com

Article Directory: Article Dashboard

by Charley Huang
With all the options available at both traditional brick-and-motor and the newly-emerging internet banking services, consumers now have more power than ever to compare savings accounts.

While emergent technology makes the process easier, the time-tested factor of comparing savings accounts is still the same — look at the rate of interest first. Interest rates are always fluctuating making it difficult for the average consumer to stay on top of what the rates are for that current date and time. To give the consumer more predictability in what their savings account will yield many banks offer savings account calculators to help their clients predict how much a given investment will earn over a particular amount of time. Using the financial institution’s current rate of interest and these estimated calculations clients can easily and quite accurately gauge the gain on their investment.

Because of the reduced costs internet banking services bring to a financial institution; these wired financial institutions often are able to attract more customers with higher interest rates than their brick-and-mortar counterparts with additional overhead expenses. Some internet-only institutions like ING Direct, can boast a consistently higher interest rate than many more traditional bank. Several financial internet websites like moneycentral.msn.com or CNNmoney.com offer current rates of banking institutions to help consumers compare savings accounts to make informed decisions as to who they will choose for their banking needs.

Factors such as minimum balances a bank requires to open account as well as required monthly minimum balances are also to be considered along with the interest rate in order to select the best bank for your money. For some financial institutions, the minimum balance to open account with the “premier” or “premium” status and subsequent high interest rate may be thousands of dollars — which may be top dollar and too much for the person who wishes to save for the short-term.

Depending on the purpose and time period of the investment, one may want to compare savings accounts to favor either a high rate of interest or low fees assessed. With so many choices available, it is becoming easier to find the right banking institution if one spends just a little time on research before taking their money to the bank.

Read what we have on our site on savings accounts and if you need more material on this you can always go to the world wide web again to finish up on your studies. In this information age, there is a lot of options for increasing your knowledge base. Check the links below for more information on Compare Savings Account and other related information.

For more information on http://www.easysavingsaccounts.com, a popular website that offers information on Savings Accounts.

Article Directory: Article Dashboard

by Mai Fadzilah
There are actually many ways to invest in gold to take advantage of its bullish fundamental activations. You could buy gold itself, buy gold stocks, or buy gold derivatives. Just as any other sector, there are gold investments possibilities out there to meet the unique risk tolerance and capital development of a potential gold investor. Before you invest in gold, you should carefully consider what percentage of your overall portfolio you are willing to risk in gold- related investments. If you are totally new to gold and you are just getting your feet wet, protect allocations of under 5% of your capital will be great plenty. Later as you investigate gold become more familiar with the gold world, you can increase your capital allocation to gold investments.

Gold is a proven way to preserve wealth when your local currency may be loosing its value. Gold is also valuable for things beyond investments and this is demonstrated by the ever growing demand for gold. In fact, over the last decade, consumption of gold has actually exceeded production. And since the production of gold is controlled by relatively few companies, whenever the price of gold dips below current production cost, these companies ceases operations. Also gold is a good way to diversify or hedge an investment portfolio since the price of gold does not necessarily move with stock prices.

For example, investing in jewelry can be profitable. The purchases and holding of gold jewelry for investment purposes is much more common outside of the United States. This is an expensive way to collect gold since a premium will be paid for the craftsmanship associated with making gold jewelry. Along with higher inflation and global instability, important driver of the gold prices this year is expected to be increasing demand for jewelry in developing countries. Jewelry accounts for 70% of total demand of gold. Specifically, women see gold jewelry as both a fashion item to enhance emotional well- being and as an intrinsically valuable investment.

Now a combination of factors, including a weakening dollar are aligning to drive gold prices higher as gold had been loosing investment. Meanwhile, the demand is surging. Markets such as Indian and China with gold ownership have largely been confined to jewelry. Gold was in use as a form of money, in one form or the other. Gold are assets that are both tangible and liquid too.

Gold is a long term, low risk yet profitable investment. Gold is a must in every serious investor’s portfolio. But what if you don’t have knowledge, experience, skill or time to invest in gold by yourself? Then you should leave it to the expert like us. By leaving it to us, we ensure you’ll make profit of 2% monthly, 112% after six months or 124% per annum. Find out more here GenuineGold.biz

Article Directory: Article Dashboard

by Stephanie Harkey
Section 529 Plans- Prepaid
This is a college savings plan that guarantees increases in value at the same rate as college tuition. Prepaid tuition plans are operated by state governments, with the tuition guarantee based on an enrollment-weighted average of in-state public college tuition rates.

A prepaid tuition plan functions by purchasing units — each unit corresponds to a % of tuition or contracts — a specific number of years of tuition. Anyone can contribute including grandparents, friends and family. Prepaid 529 plans are great because they lock in tuition at the current rates (hedge against inflation). There is no guaranteed admission. Contributions receive tax deferred growth and tax free withdrawals if funds are used for qualified higher education expenses (tuition, room and board, fees, books, supplies and equipment). If the child dies or decides to not go to college, the plans can be transferred to another member of the family. This plan can also be used out-of state but is geared toward in state college attendance and the account owner or beneficiary must be a state resident when the account is opened. If a student chooses to attend a different college, the parents are responsible for paying the difference between the average public state college and the college of choice. Penalties and reductions in investment returns for non qualified withdrawals and cancellations exist. Some colleges require contributions for a 10-year time period from the date of expected college entrance or high school graduation. The funds must be used by the time the beneficiary reaches age 30.

Section 529 Plan — Savings
Section 529 college savings plans are tax-exempt college savings vehicles with a low impact on need-based financial aid eligibility. Unlike prepaid tuition plans, there is no lock on tuition rates and no guarantee. Investments are subject to market conditions, and the savings may not be sufficient to cover all college costs. Section 529 college savings plans are considered assets of the account owner and not the beneficiary. Contributions receive tax deferred growth and tax free withdrawals if funds are used for qualified higher education expenses (tuition, room and board, fees, books, supplies and equipment). Investments should start aggressive and switch to more conservative strategy as college approaches. No restrictions on choice of college, other than that it must be an accredited post-secondary institution. There is also no date by which funds must be used. If you cancel and receive a refund you must pay federal income taxes on earnings, a 10% penalty and any nonqualified withdrawals are taxed as ordinary income to the account owner. There may also be state and local income taxes and penalties as well as plan penalties. However, you can change the beneficiary at any time to another family member.

For more information goto www.financialfreedomgrp.com

Article Directory: Article Dashboard

by Martyn Witt
When thinking of overseas property for investment purposes the British have invariably and predominantly looked to Spain and France in the past. More recently Bulgaria,The Czech Republic, Poland, Latvia, Croatia and with their accession into the EU on the first of January 2007 Romania now seems a viable option and alternative. For some of the more pioneering Americans Eastern Europe is also a favourable choice for affordable real estate, offering a low cost and comfortable standard of living. Furthermore the majority of the emerging economies within the Eastern bloc and real estate markets are pro active and working hard to attract foreign investment.

A growing number of US citizens are choosing to move north to Canada where real estate can be cheaper,taxation can be lower, healthcare is far cheaper and the standard of living as high as in America. Countries such as Mexico, Panama and Belize are well known as lower cost locations for US citizens seeking an affordable overseas location. Living costs, real estate and taxation are all low. However the main consideration is the affordability and accessibility of healthcare and of necessary treatment and care, each of the three countries mentioned fails in one way or another. Furthermore, younger Americans may struggle to find decent employment or education for their children in Mexico, Panama or Belize.

The British have always been obsessed with property and the expression ‘an Englishman’s home is his castle’ has never rung more true. With the cost of housing within the UK out of the reach of most first time buyers and those first time buyers continually vying for property with buy to let investors more of the early twenties are putting down roots in more affordable countries. As always though anyone considering these locations are advised to act sooner rather than later.

The Sofia Echo in early January reported that developers have worked on entire apartment and villa complexes in smaller and less popular regions with significant funds allocated to such projects. Investors, it seems, showed more interest in getting a new apartment close to a major city, rather than an old house to refurbish. as a result of continual development the price of property in such regions remained almost unchanged throughout 2006. In some regions, the price of property even went down. Varna region registered a 15 per cent price decrease. The average price per square metre in the region dropping from 600 to 510 euro. Supply also brought down the prices of property in the Bourgas region.

With the advent of cheap air flights this has further enhanced the idea of a dream home in the sun. However can accessibility be correlated directly to sustainable investment potential. Thailand is approximately 10000 miles from the US and approximately 6000 miles from the UK, With flying times of approximately 21 hours and 11 hours respectively. Perhaps not suitable to the masses and ensuring a restricted and select ex-pat presence.

Thailand has three main seasons per year. Northern climatic conditions are preferred by Thais countrywide as the coolest and most comfortable. Generally northern temperatures are between 3-5 degrees lower than the rest of the country, Chiang Mai city is a favoured location and the climate is perfect for visitors. Cool mountain air and bright sunny days ensure that this Shangri-la setting will remain a favourite for many years to come. The North also differs during the rainy season and continuous rainfall is quite rare. It will usually rain heavily for a period between 30 minutes to one hour, once or twice a day and soon dries up after the sun appears. The area is then left feeling fresh and cool. The average temperature throughout the year being approximately 26 degrees.

Chiang Mai has a significant expat community and some figures put the number of “farangs”, or westerners at 5,000. Chiang Mai is much of what Bangkok is not. Instead of the flatness of the Maenam Valley one is treated to ranges of forested mountains that sweep northward to Burma. Hill tribes in colorful costumes are common sights hawking their handicrafts around the night market. As Bangkok has no definite city centre, Chiang Mai’s is clearly defined by a moat.

Chiang Mai is certainly easier to negotiate than Bangkok. Walking, bicycling and motorcycling are realistic alternatives to driving. Or if you prefer, tuk-tuks are prolific. A relatively well organized system of songtaews (pickup trucks with benches and canopies) run a sort of shared service around greater Chiang Mai. Some can be hired much as a taxi service. Chiang Mai stands on the banks of the Maenam Ping (river) and quite a number of good restaurants are perched along the banks.

There is also a strong emphasis on healthcare and Chiang Mai has several quality hospitals including Chiang Mai Ram,Chiang Mai University and the McCormack Hospital. Along with the presence of US and UK consulates. ATMs are everywhere and currency exchanges are commonplace. Interest earned on fixed deposit accounts is taxable at 15% and collected by the banks.

Mortgage-Loan-UK is a premier resource for personal finance information along with an extensive collection of mortgage related calculators. For more information on luxury Thailand property and especially chiang Mai property offering resort style living visit us now.

Article Directory: Article Dashboard

by Martyn Witt
After a series of five interest rate rises in eleven months buy to let lenders are still insisting that buy to let even today is still a sound bet. Should consumers be viewing this as merely feelgood propaganda in a time of uncertainty and should the realisation of the bandwagon having passed by that it may well be too late, or does the great British love affair with property underpin the whole ideal.

The buy to let positives can be typically drawn from lenders commentaries and confirm that the average total return for a buy to let investor was 13.0 per cent over the past year to June 2007, exclusive of fees and mortgage interest costs. The price of the typical buy to let property in the UK increased by 7.3 per cent over the year to June 2007 and house price growth rose slightly over the past year from 6.0 per cent in June 2006.

UK Buy To Let rental yields have fallen marginally over the past year to 5.5 per cent in June 2007 from 5.7 per cent in June 2006. Nationally, the average rent increased to £651 per month in June 2007, compared with £623 per month in June 2006.

By region, total returns for buy to let investors were highest in Northern Ireland over the year to June 2007, followed by Scotland and the South East. The lowest returns seen in the East Midlands. rental voids (the time a property is empty) have fallen for the last nine months and is at 2.8% confirming strong tenant demand. Voids have remained somewhat stable between 2.6 and 3.0 weeks for the majority of the last four years but have declined over the first half of 2006.

Most Investors though simply want to cover costs as their property investments are seen as long-term. Intimating that an investment into bricks and mortar is the preferred route than into a pension. Accepting that there will always be peaks and troughs and to weather the storm. Landlords who bought ten years ago will no doubt be more comfortable with this scenario than novice landlords. Landlords entering the market today will also be greeted with lender arrangement fees of up to 2.5% of the advance compared with a standard arrangement fee over a year ago of between £300 to £500.

More lenders have also entered the market with relaxed criteria increasing loans to 90% of the property value and reducing rental income cover in some cases to between 100% and 115%. One lender no longer looks at rental income at all and/or earned income, justifying the decision by saying rental income was not a robust test, as many lenders accepted the word of a letting agent on rental achieved.

Tenant deposit protection schemes were launched on Friday 6 April. Under new regulations, all landlords will be required to protect their tenants’ deposit using one of three government-authorised schemes alongside two insurance-based schemes which allow landlords to retain the full deposit amount themselves. These schemes require a fee to join, and a premium is payable for each protected deposit. Only any disputed amount is passed to the scheme at the end of the tenancy period. Landlords of properties that house five or more tenants and are at least three storeys high (House of multiple occupancy) from April 6 2006 have to apply for a mandatory license from their local authority and meet a raft of criteria. Including upgrading fire and safety regulations to installing wash basins in every bedroom, this latter criteria was branded as ‘daft’ by the Council of Mortgage Lenders (CML). The license fee is set by individual councils and will not be uniform. Around 10 per cent of the 2.6m private rented UK households are defined as houses of multiple occupancy.

Reports also suggest that Revenue & Customs are stalking 80,000 landlords over incorrect payment of tax. The buy-to-let market is coming under fire for rendering the housing market even more unattainable for first time buyers. In its annual plan for 2005-06 the OFT identified and prioritised attention to landlords who ignore legislation. The OFT guidance outlines why some standard contract terms used in tenancy agreements are considered to be potentially unfair. While landlords also have a potential green tax to look forward to in 2008.

Many entrepreneurial landlords are now looking further afield to enjoy the previous returns while also securing their own piece of paradise. Current developments in Thailand and The Dominican Republic offer guaranteed rental yields of 8% and ten years of tax incentives and no purchase tax. while the term ‘off plan’ within the UK property market may well have lost some resonance and compounded by the wettest summer since records began, the incentives along with sharing paradise with 10 people per acre is realising significant demand.

Mortgage-Loan-UK is a premier resource for personal finance information along with an extensive collection of mortgage related calculators. For more information on Best buy to let mortgage deals and Caribbean property for sale visit us now.

Article Directory: Article Dashboard