Charleston South Carolina Real Estate

Charleston SC is one of the best places to invest your money in real estate. The city is known for the richness of its culture and history and has therefore become very popular in terms of real estate. The city’s popularity is encouraging the buying and selling of properties in Charleston.

Buying and selling land, houses or any other type of real property is not child’s play. At its simplest, buying and selling real estate involves taking a few natives’ points of view, checking a few locations and catalogues, deciding which one is best, and determining the right price. However, it is more difficult a task than this, as all properties are not the same. Addresses differ, streets differ, and construction differs – as do the costs, contract terms and financing schemes. In this, professional advice and suggestions matter a lot. You should find someone who not only understands your requirements but also your budget and can get you one of the best deals.

If you are also thinking to buy a home in Charleston you can contact the various agents or realtors. You can also go through the websites of the agents, which give you the complete and detailed listings. Get informed, so that it is all in front of you when you make a choice.

Such professional guidance in terms of real estate helps you to get the best property or home within your budget. It will guide your investment and, most important, it will help to determine what your future will look like.

1031 Tax Exchange Opportunities

The best thing about Section 1031 is that its benefits are available to large, medium, and small investors. The general misconception is that this section only provides opportunities to defer taxes on capital gains for owners of large commercial properties. But the fact is that if one has a qualified intermediary, then all kinds of investors can benefit from this section.

There is no dearth of real estate firms that provide an exhaustive list of 1031 properties. These firms generally also provide the services of a qualified intermediary. There are “simple gains” calculators available on the Internet that can help one to calculate the capital gains tax one would be able to save through the tax exchange transaction of a real estate property. Over the last one and one-half decades, there has been a phenomenal growth in transactions that qualify under the tax exchange laws. The IRS has also tried to make things easier by simplifying this law and plugging loopholes. Those who have lost out on the opportunity of utilizing this provision to save taxes can attend any of the seminars, which are regularly held in various cities to explain how to avail the opportunities under this section.

Prior to 1990, this section was quite complex and difficult to understand. But now, an individual can easily make out how this section operates. It is still advisable, however, that before you go for exchange you should consult your attorney or a qualified intermediary. There are certain issues pertaining to the partnerships, tenants-in-common, and transaction between spouses that need to be taken care of before you make a final decision.

However, large numbers of properties are now available in the markets that qualify under this section, and there are several firms that are exclusively dealing with the sale and purchase of such properties.

Beverly Hills

Beverly Hills is a popular city in the state of California. The city originally was a land grant. As years went by the city was developed to what it looks like today. Now, Beverly Hills is a must visit city for the tourists. It is a city that is occupied largely by film stars. The city offers shopping, tours, restaurants, famous hotels and so on. Many prospective tourists confuse Beverly Hills with Hollywood. People come to Hollywood expecting to see their favorite stars, experience luxurious hotels, restaurants and shopping but are disappointed instead because the city of Hollywood is far from glamorous. It is in Beverly Hills where the stars actually stay, dine and shop. Beverly Hills is just a few minutes’ drive from Hollywood.

Beverly Hills offers all the charm and wealth that one would wish for. One could go shopping on the famous Rodeo Drive. Most of the rich and famous do their shopping here. The tourists visit here hoping to spot their favorite celebrities on the street. Almost all the famous designers have a boutique on Rodeo Drive. If one is not into shopping or stargazing, one can go for peaceful walks in the gardens. The lovely paths, fountains and blooming flowers definitely make one want to take a stroll in the gardens.

Beverly Hills also offers large and expensive hotels, for which Beverly Hotel is famous worldwide. It is believed that there would be no Beverly Hills if there wasn’t a Beverly Hills Hotel. The city grew up around the Hotel.

Another noteworthy factor is Crescent Drive and the Santa Monica Boulevard, where four famous buildings intersect. The city also offers restaurants that offer food to satisfy any palate.

Another major attraction in the city is the Beverly Hills Public Library, which is considered to be a treasure trove of exquisite books and renowned paintings, sculpture, prints and photographs.

With Rodeo Drive offering world-class shopping, family activities at the Farmers’ Market, concerts at the Plaza and the lovely gardens, the city offers a range of activities that any visitor would want to experience.

Adjustable Rate Mortgage Calculators

Before you agree to an adjustable rate mortgage, you should use an adjustable rate mortgage calculator to help you determine what your payments will be if and when the interest rates rise and fall. Having this information will help you make an informed decision about whether an adjustable rate mortgage is what you need or not.

Using an adjustable rate mortgage calculator, you should be able to accurately determine what your monthly mortgage payments will be at the current interest rates and at different interest rates as well. Basically, these tools give you an accurate idea as to what your initial payments will be, and make an estimate as to what your future payments will be.

It is very important that you understand that the future payments are just estimates. Since nobody really knows what the market is going to do, there is no way to determine exactly how much future interest rates will rise or fall. To use adjustable rate mortgage calculators, you must know the initial interest rate, the mortgage index, and the margin. Your financial advisor or lender should be able to provide you with this information. You will not be able to use the calculator and get accurate information without that information, and guessing at that information often proves to be a mistake.

Adjustable rate mortgage calculators can be found in a variety of places. Many websites have these calculators, and they are also found in money management software, such as Quicken and Microsoft Money. In most cases, the numbers that these calculators give you are accurate and can be depended on. However, use caution when using Web-based calculators found on the websites of mortgage companies. If possible, use several different Web-based adjustable rate mortgage calculators instead of just depending on the calculators found at one website.

1031 Exchange Services

In a 1031 Exchange, the main services come from a qualified intermediary (QI), also known by names like facilitator or accommodator. The services are offered on fee-for-service basis. The services from the QI include paperwork, oversight, escrow services and making a bona-fide exchange agreement under section 1031 of the Internal Revenue Code.

For Deferred Exchange treatment, the IRS and the Treasury Department have very rigid requirements. Therefore, to pass these requirements, the services from an experienced professional are essential.

To get the services right, it is essential to ascertain the credentials of the service provider before hiring. In a 1031 Exchange, physical possession or receipt of the money resulting from sale of the property is not allowed, and money is held by the QI only. Therefore, his credibility in terms of bonding, background, reputation and financial strength of are crucial.

The QI is supposed to put the exchange fees in a separate account for the taxpayer, and not commingle that money with any other exchange.

There are several private agencies that maintain a database of qualified intermediaries across the United States. They can be of use in selecting the right intermediary with a good reputation, high level of bonding, competitive fee schedule, financial strength, expertise and integrity.

In the exchange process, the quality of the services is marked by speed, accuracy and safety. A good QI will have concern for the safety of the client’s funds. Through unique exchange accounts he can ensure that the funds cannot be deposited or withdrawn without signatures from both the exchanger and the company. Many taxpayers had the bitter experience of exchange funds misused by unscrupulous intermediaries. Every aspect of the exchange has to be managed according to the IRS rules and regulations.

The build-to-suit exchange is now becoming popular, where the QI is a major player. Also called construction or improvement exchange, this variant has the QI himself acquiring fee ownership of the replacement property and making improvements to it.

After the necessary improvements are done, within the exchange period of 180 days, the ownership is then transferred to the Exchanger.

This new variant of the exchange gives the investors a high degree of flexibility and the opportunity to improve upon an existing property or construct a new replacement property itself. Thus, the range of services provided by the QI and associates are unlimited from the word go.

1031 Exchange Forms

Typically, the 1031 Exchange involves forms like brokers’ price opinion, exemption and nonresident waivers, affirmation of residency, declaration of trust, IRS 8824 like kind exchanges, lien waivers, mortgage interest deductions, multifamily mortgage applications, notice of trustees sale, personal financial statements, power of attorney, promissory note, quit claims, schedule of income property, signature affidavit AKA statement or tax information release forms.

IRS Form 8824 has three purposes. It is not very complicated to fill if the three main purposes are understood correctly. The first one is to help the taxpayer report the dates of sale and replacement property closings, together with identification dates. This is to verify 45/180 date requirements. This information has to be in Part One.

Second is for the taxpayer to highlight their sale and purchase numbers (sale price, selling expenses, adjusted basis, depreciation taken, cost of replacement property) in order to make clear whether there was a full or partial exchange. This information should go in Part Three.

The third purpose is to show the new tax basis of the replacement property. The exchange being a deferral of taxes, the gain incurred by the taxpayer in the old property has to show up in the new property through an equal amount of lesser basis. This information must be there in Part Four.

The information in IRS Form 8824 makes the job of the IRS easy, to review a taxpayer’s prior 8824 Forms to ascertain the appropriate amount of taxable gain and see whether taxes are paid as and when the taxpayer decides to sell and not exchange.

But the exchanger or investor need not be baffled by the forms. The companies hired by the investor would provide the guidance and assist them in filling them out. The follow-up is also their responsibility.

Other forms include General Forms and the Official Identification Form to identify Replacement Properties to be returned not later than 45 days after the close of the Relinquished Property. W-9 Form is to request a Taxpayer ID for the investor. Form 593-C is meant for California Residents doing any sort of exchanges.

Forms related to funding issues include Request for Verification of Funds. This is to obtain a statement of the balance in the account, for the client himself or third parties, lenders, etc. The Miscellaneous Disbursement Request form is for releasing disbursements for appraisals, inspection fees, loan fees, etc.

Request for Return of Exchange Funds is for releasing the remaining exchange funds after the exchange is completed, and not for requesting closing money. Earnest Money Deposit Request is for the closing agent, and not for requesting closing money.

There are two major forms of tax-deferred exchanges–simultaneous exchange and delayed exchange. Numerous variations of these two fall into one category or the other.

The most basic type of exchange is the simultaneous exchange, known as In Lieu Exchange. To illustrate, in simultaneous exchange, the seller wants to sell the property A, agreeing to accept Property B in lieu of cash payment. If the Buyer already owns Property B, then the two parties simultaneously transfer their respective properties adhering to the value rules.

In the case of the buyer not owning property B, the buyer must purchase Property B and transfer it to the seller simultaneously with transfer of Property A to the buyer. To preserve the tax-deferred status of the transaction for the seller, he must not receive any cash or debt relief.

The other is delayed exchange known as a Starker exchange. This delayed exchange is done using a Qualified Intermediary (QI). In this type, the seller closes the sale of his property and escrows the proceeds of the sale with a QI. Here the seller is handicapped from taking possession of the proceeds in order to enjoy the tax-deferral status of the transaction.

After closing the sale of his property, the seller gets 45 days to identify the property or properties to be exchanged and should submit that in writing to the QI. The identified properties have to be purchased within 180 days of the sale of the relinquished property.

1031 Exchange

Section 1031 in the Internal Revenue Service is a boon for a prospective investor, selling an investment property and wanting to make a profit by reinvesting in a similar property elsewhere in the country. This wonderful concept works on the principle of gain rolling from the old to the new.

There is widespread ignorance on the modalities about this exchange; as a result, 30-40 percent of property owners end paying tax during the sale. Exchange 1031 not only fructifies into essential tax savings, but also makes possible the swapping of property in the fairest manner at places of choice. No wonder that the 1031 Exchange excites the property market so much.

The new income-generating replacement property gives the investor the double gain of added income and savings from tax that would have otherwise gone to the IRS coffers.

Besides saving the buyer from a huge tax burden coming in the guise of capital gains, the instrument offers maximum immunity and flexibility in reinvesting the money gained from the sale in a replacement property within a given period.

The exchange being time-bound is no kid’s play either. In every exchange of this kind, Qualified Intermediaries (QI) plays a crucial role connecting the buyer and seller. The Federal Tax Code makes service of QI mandatory since 1991 in any exchange.

The federal nature of the 1031 Exchange regulations make the Qualified Intermediary play a wizard in guiding and structuring the exchange, satisfying all parameters and suiting the goals of the clients. It is the QI who does the paperwork required by the IRS to document the exchange. The QI carefully prepares all documents and serves the parties with copies of the exchange agreement, novation agreement and escrow instructions.

The Exchange Agreement reads like a contract between the Exchanger and a Qualified Intermediary. The Exchanger explicitly agrees to transfer his old property to the Intermediary, in lieu of a new property to be supplied by the latter within 180 days. The contract outlines all terms and conditions under which the exchange of properties should take place.

For a 1031 Exchange to take effect, both the old property as well as the new property should be in the category of investment property, capable of generating income. The examples could be rental property, bare land, vacation homes or more.

As soon as the old property is sold, within 45 days the seller has to come out with a list containing two or three probable properties fit for replacement. And the whole process of purchasing the new property or replacement property from the list must be over in a period of 180 days.

The exchange becomes bona-fide only when the title stays intact and whosoever held title to the old relinquished property gets the title of the new property.

In between the sale and purchase of property, the seller of the old property would get no access to the money he accrued from the sale, as the money will be vested with the ‘Qualified Intermediary’ till the exchange gets over.

This 1031 Exchange process has matured and had many names in the past including Like Kind Exchange, Deferred or Delayed Exchange, Simultaneous or Concurrent Exchange, Starker Trust or Exchange, Alderson Exchange, Reverse Exchange, Two, Three, or Four Party Exchange and Baird Exchange.

1031 Exchange Companies

The easiest method to begin a 1031 Exchange transaction is to contact a good Exchange Company. The information concerning the exchanger, time and place of the closings, and a copy of the contract to sell the relinquished property are the preliminary papers to start the process.

From this information, the company makes exchange documents and forwards them to the attorney or customer. The lowest fee charged on a standard deferred exchange is $600.

A 1031 Exchange, like any real estate transaction, involves balancing competing pressures in speed and quality. Therefore, companies in this line recognize pressures and design their service to satisfy both.

Good companies manage all aspects of the exchange. They provide service that is quick, easy to use and backed by experience. In good companies, experienced attorneys are the managers. The senior staff will be rich in experience with regard to investment property transactions. The specialized team of attorneys mainly deals with more complex reverse and build-to-suit exchanges.

The main parameters that distinguish a good and bad exchange company are speed, service and the security they offer the client. Speed lies in the pace at which the company prepares the document. The documents are then sent to the closing table, allowing the seller to close and proceed with the exchange. Service is the dexterity in preparing all documents required for the exchange, including reminders of 45 and 180-day time limits and extensive complimentary consultations.

Security comes in the form of an unconditional guarantee on exchange funds from Insurance Companies: high value fidelity bond coverage and Professional Liability insurance cover.

These days, banks are working with Exchange Service providers. The Cole Taylor Bank of Chicago is one of the largest independent banks in Chicago, and joined hands with Nationwide Exchange Services (NES) of Cupertino in California in a strategic alliance for handling Cole Taylor’s tax-deferred 1031 Exchange business. This Chicago bank specializes in serving the business banking, real estate lending and wealth management of closely-held and family owned small and mid-sized businesses. Cole Taylor Bank is an Equal Housing Lender.

Nationwide Exchange Services is a leading Qualified Intermediary for Tax-Deferred 1031 Exchanges and has conducted thousands of successful 1031 Exchange transactions. It is applying advanced technologies and secure business processes to enhance standards of financial security, visibility and customer service to establish new standards for products and services in 1031 tax-deferred Exchanges.

The alliance enabled the Bank to become part of the NES team and benefited in becoming the primary financial custodian for NES in the Midwest Region. The alliance also helped the bank to offer their customers an expanded set of tax-deferred 1031 Exchange products, such as reverse and build-to-suit exchanges, at the most competitive cost structure.

The systems from NES combined with the bank Cole Taylor’s financial security and brand recognition has spurred confidence in the customers. Collaboratively, they bring distinct advantages to all 1031 customer sets, right commercial developers and corporate entities to individual investors.

California Real Estate Agents

Consumer purchase power has increased despite inflation. Easy and hassle-free mortgage plans have helped numerous people pay for their own property rather than opt for rented property. This progressive consumer pattern has been a boon for the real estate trade. Services of real estate agents in California could be advantageous to clients when considering the purchase, sale, rental, or lease of a property.

Real estate agents are qualified specialists who are well versed with real estate trading. Agents have in depth knowledge regarding the property they deal with and are well versed with legalities involved in California real estate deals. Real estate agents may be able to satisfy customer queries related to property costs, appraisal, and motive of sale. They are well informed about property sizes, maintenance costs, and legal restrictions.

In order to select an appropriate California real estate agent, clients may approach any of the real estate firms or private brokers in the locality or online. Agents and clients may be able to discuss specific requirements, budgets, and other legalities at meetings or online. California real estate agents can provide information in relation to mortgage types for outright purchases. They may also recommend names of banks and financial institutions that may provide funds upon the presentation of their credentials.

California real estate agents work through a widespread system and may deal in property all over California or in a certain area within a particular city. They act as mediators for buyers, sellers, and rental agencies. Very often, clients do not meet until a property deal is settled upon. Real estate agents are often authorized to negotiate a deal if one party lives outside California. Real estate dealers prefer to hire agents as it helps in increasing the volume of sale. A number of California real estate businesses hire agents as salaried staff. Agents also receive additional payments for deals closed by them. These commissions are paid from service charges paid by clients.

California Mortgage Loans

A Mortgage is a long-term loan for a large amount, commonly taken for a property or a house. It is a kind of home loan except that it is termed for longer. Mortgages are available through a bank, private lenders, or property sellers. Unlike personal and home loans provided by banks and financial institutes, long-term mortgages stretch for up to 50 years at a time, while the usual mortgages last for as long as 30 years. The minimum duration for a Mortgage is 15 years.

California mortgages are similar to mortgages anywhere else in the country, except that they need to be insured against earthquake and floods. This is an extra liability that needs to be considered before mortgaging any property in California. Mortgage rates change frequently, more so in California, depending on the real estate market value. Loan rates at that moment also make a difference in the Mortgage rates in California. If the Mortgage offered is very low then it would be a big advantage to the customer, as the repayment option would be quite feasible and the equity allows for a second Mortgage on the same property.

Many financial institutions specialize in mortgages, along with a number of private lenders in the state of California. Californian Mortgage lenders are offering varied options to their customers right now. Even so, the best time to go for a Mortgage is when the rates are at the lowest, unless the money is required without further delay. A Mortgage lender, Mortgage broker or financial adviser would be the correct person to help an individual decide on the correct plan of action.

Private lenders and third party investors also offer mortgages on property. One advantage with the private lenders is that they are ready to give the Mortgage loans even to people who are not otherwise able to get a Mortgage through financial institutions or banks. This is mostly in cases when the client has a record of bankruptcy or history of non-repayment of loans, a bad credit rating or other such issues that do not bode well with banks and financial organizations. Private Mortgage brokers usually work in situations of individual mutual advantage to both parties. Private brokers usually keep the property as security, in the event the customer absconds after receiving the money.

Shopping around might produce some interesting answers for all the questions, along with some good deals on mortgages. Although the rates are pretty standard, some private lenders and financial institutes might offer a little extra if the customer does some good business with them.

Getting a Mortgage Loan in California is a simple and easy process. An individual just needs to take into account his financial situation and what he can afford before entering into a contract with any Mortgage company. Online Mortgage calculators would help to determine all these with the least amount of effort, and individuals looking for a Mortgage on property might find these to be very useful.