Things to think about before Buying and Selling Property

From a property market perspective, we live in strangely contradictory times. While the level of growth in the market has risen at an exponential rate over the course of the last 18 months, for example, it remains extremely difficult for buyers (particularly first-timers) to invest in real estate while achieving value for money. The market also seems to be undermined by fragility, despite its continued growth and pivotal role as an economic engine in Great Britain.

3 Financial things to consider when buying or selling Property

This myriad of factors provides challenges to both buyers and sellers, especially in terms of optimising value and making the most of their money. With this in mind, here are three factors that potential buyer and sellers must consider when looking benefiting their finances: –

The Misleading Nature of Value

The surge is UK housing prices has been well-documented, but a rise in the nationwide average is encouraging some home-owners to inflate prices beyond what the market can bear. While the average cost of a UK home now stands at £224,242, for example, it is important to note that inflated prices in London continue to distort the national figures. Additionally, a lack of housing supply is enabling vendors to drive bidding wars, artificially increasing house prices and forcing buyers to pay over the odds. Both buyers and sellers need to be wary of this, especially if they hope to complete a quick and mutually beneficial deal.

The Importance of Location

Location is also an important consideration, especially for home-owners or buyers who wish to resell their property for a profit in the near-term. The region in which your home resides will have a huge impact on its initial value, while it will also influence its resale value both in the short and long-term future. It is therefore crucial that vendors establish a fair and well-researched price point that strikes the balance between profitability and incentive, for example, while buyers with an investment mind-set must look to purchase homes in areas that are likely to increase in value over a specified period of time. To understand this further, take a look at this article on detailing the worst places to live in the UK.


The Cost of Buying and Selling Property

Whether buying or selling a home, you will have to consider a number of financial costs and charges before completing a transaction. From surveying fees to conveyancing charges, these costs can quickly accumulate alongside the fee that is being paid to an individual estate agent. This is why those keen on improving their financial circumstances continue to partner with online estate agents and quick house sale firms, as these entities usually charge a one-off fee and maintain a simplified and transparent operation.

source: 20smoney.com

China mulls allowing individuals to invest more abroad

SHANGHAI - China is considering relaxing limits to allow individuals to invest overseas in stocks and property, the central bank said, which would potentially unleash a flood of money if the government loosens strict capital controls.

The country keeps a tight grip on outflows of funds due to worries capital flight could disrupt the economy and weaken its control.

The People's Bank of China said it was studying letting "qualified" individuals invest abroad in industry, property and financial products through the Shanghai Free Trade Zone, according to a statement released Friday.

"These policy initiatives are another important step toward complete capital account liberalisation," Zhou Hao, a senior economist at Commerzbank in Singapore, was quoted by Bloomberg News as saying.

China's premier free trade zone in the commercial hub Shanghai was set up in 2013 with the promise of a range of financial reforms, but foreign investors especially have expressed disappointment over the pace of change.

Chinese citizens are now only allowed to convert the equivalent of $50,000 from the domestic yuan currency under an annual quota, state media said, which creates a limit on overseas investment though many evade the barrier.

Individuals are allowed to legally invest in stocks in Hong Kong, a special administrative region of China, through a special link with accounts on the Shanghai stock exchange.

The central bank announcement, which gave no timetable for the move, followed a top-level Communist Party meeting which discussed the country's development plans for the next five years.

China also wants the yuan to join the International Monetary Fund's "special drawing rights" basket of currencies and is pursuing reforms to help gain the coveted status.

In August, the central bank suddenly devalued the yuan, allowing it to lose nearly five percent of its value over a week, in a move which raised alarm over the state of the world's second largest economy.

source: www.abs-cbnnews.com