Insula Capital Group LLC

The real estate market in the US is continuously changing. It has seen dramatic ups and downs during the pandemic. Real estate investors and developers are wondering if it’s the right time to invest in real estate. This directly impacts their ability to obtain a quick private money loan  as well. The current demand and supply gap  has created uncertainties for real estate investors. Our experts suggest it’s a good time to invest in the real estate business. Whether you’re looking to finance a fix and flip project, buy and hold, or invest in a multifamily property, here’s what to look for. It’s a Buyer’s Market The best time to invest in real estate is when the conditions favor the buyers’ purchasing power. There are several factors such as low-interest rates, low rentals, low mortgage rates, and fluctuating real estate prices that increase investors’ earning opportunities. While you don’t have to wait for all the above signs to appear concurrently, these conditions can signifi...

    When you don’t have your accounts in order, there’s no telling how well or poorly your rental property portfolio is performing to make targeted improvements. If you haven’t started already, here’s how to record your real estate investments. Don’t Take a Day Off on Transactions Decide when and how you’re going to record your properties’ financial transactions. Randomly writing them down on your computer one day and a journal the next is not how you should be taking them into account. Make an excel spreadsheet if you will, or find another way to keep everything organized. Update this file at least once a week, but don’t do it randomly. While recordkeeping for residential rental properties isn’t a daily job, you shouldn’t skip the one hour per week designated to them. Stay On Top of Tax Deductions Real estate investors may be eligible for  deductions  on the interest paid on a mortgage, property tax and insurance, ongoing repair expenses, hiring independent contract...

Mortgage and home equity are secured loans that you take out by offering collateral to the private lenders in case you’re unable to pay back an installment. As of 2018 , both residential debts are liable to a tax deduction of up to $750,000. With the similarities out of the way, let’s get into the differences between a mortgage and home equity. Hard Money on Mortgage A mortgage  is a loan you take out on a property in which you hold no stake at the time of purchase. Most mortgages have a fixed rate on a 30-year loan, but the terms might be softer with private money loans with shorter durations and room for flexibility in the monthly or annual rate. Hard Money on Home Equity You can only sign up for a home equity loan  if you own a property. On occasions where you’re still paying your mortgage installments, home equity is regarded as a second mortgage you take by offering up the paid amount on the same property as collateral. For example, if you have yet to pay $100,000 on a mi...