Fee Simple or Leasehold Ownership in Hawaii Fee Simple FS: Ownership of land and the buildings on such land (as opposed to leasehold where property reverts to the owner when the lease expires) A Fee Simple (or fee simple absolute) is an estate in land a form of freehold ownership. It is the most common way real estate is owned in common law countries, and is ordinarily the most complete ownership interest that can be had in real property . LEASEHOLD - LH "Leasehold Condominiums" where the development is built on leased land ( based on Ground Lease contract between Landowner )Lessor) and Buyer(Lessee ). Leaseholds are properties where an owner/landlord (Lessor) leases real estate to buyers (Lessees) for specific time periods. The lessee is permitted to occupy the property for the lease period and pays the lease rent.The lessee is also responsible for paying the property taxes,maintenance fees,AOAO or HOA fees,etc. The Lessee Does NOT own the Land! LEASEHOLD - FA - Fee Available or FP - Fee Purchase The Landowner's interest in LH property is called Lease Fee Interest. The Conversion of Leasehold Property to Fee Simple property involves purchasing of the landlord's leased fee interest(s) and/or any potential sandvich lease.The past average Fee Interest purchase for Waikiki 1 bedroom LH condo unit was $70,000 to $100,000 What to Know when Buying Leasehold Property in Hawaii 1.Check the time period remaining on the lease. Leases that started 50 or 99 years ago may be nearing the end of their lease terms. Leasehold property prices generally decline as their lease terms approach expiration. If you see a condo on the market for $50,000, it may have just a few years left on the lease. 2.Lease renegotiation dates. When a property was initially built, for example a building constructed in the 1960's, the monthly lease rent may have been $50. Periodically, the lease terms can be renegotiated, based on market values. The lease rent for that same property today might be $350 or more. 3.If you anticipate needing a loan for the purchase, check with your lender to see if they will make a loan on the property. Mortgage companies usually require that the lease be at least five years longer than the loan. For example, to get a 30 year mortgage on a leasehold property, the lender would want to see at least 35 years remaining on the lease term. 4.Find out if the lessor offering the fee simple interest. If the fee is available, what's the price? 5.Monthly lease rent. Find out how much it will cost per month. For Example: The Kahala Beach Honolulu condo $2,200+/m lease rent can cover purchase mortgage payments for $400,000 2 bedroom Waikiki or Honolulu Fee Simple condo. 6. Expiration of the Lease Most Common Outcomes: 1.The property reverts to the lessor. The lessee must surrender the property and move out by end of the lease period. 2.The lessor sells the fee interest to the lessee and the lessee become the fee simple owner of the property. Not all leaseholds are bad and vary from building to building. Long lease properties with cheap lease rent are good for rental investment cash flow or to control fixed Hawaii housing expenses. Aloha, Karel Kon - Principal Broker http://www.BestRealtyInc.com Add Comment Hawaii VA Loan Eligibility 02/08/2010
VA LOANS ELIGIBILITY REQUIREMENTS You may be eligible for VA home loan veteran benefits if you served on active duty in the US Army, Navy, Air Force, Marine Corps, or Coast Guard and were discharged under conditions other than dishonorable after either:
VA Purchase Loans in Hawaii,BAH,COLA,etc 02/08/2010
Basic Allowance for Housing (BAH) is money given by US Goverment to uniformed service members based on geographic duty location, pay grade, and dependency status. Many service members are unaware of these wealth building opportunities and strategies for purchasing Hawaii real estate properties using BAH & COLA for VA,FHA or USDA Purchase Loans Payments. Let Us show you how to use your BAH+COLA to make your Hawaii Dream Home Purchase a Reality. Start building your HOME equity Now with BAH . You may check BAH Calculator at http://www.defensetravel.dod.mil/perdiem/bah.html VA Home Loan Benefits
Tips to Prevent ID Theft 02/08/2010
ID Theft Protection Tips: 1) Protect your Social Security Number. Do not carry your SSN in your wallet or write on your checks. Do not give it to anybody unless absolutely necessary (Job Application, Opening Bank Account ,Closing Real Estate Transaction,) 2) Destroy (shred) any financial documents before you discard them. 3) Do not give out personal info to the strangers on the phone, through mail or over the internet. 4) Keep your personal info in secure location in home or in safe deposit box (bank). 5)Monitor your credit report at least 2 times a year for unauthorized activities. 6) Never click on links sent in unsolicited emails, instead type in a web address you know. Use anti-virus software, firewalls, anti-spyware, etc. Use automatic update for your software. 7) When using internet, please do not use an obvious password like birth date, same numbers (1111,12345) last four digit of your SSN , mother's maiden name, family names, etc. For more info visit http://www.OnGuardOnline.gov and http://www.ftc.gov/idtheft Other helpful links: Do Not Call Registry: 888-382-1222 or http://www.donotcall.gov/ To stop direct mail visit the Direct Mail Association website http://www.dmaconsumers.org/consumerassistance.html Opt-Out and reduce your Junk Mail by visiting http://www.optoutprescreen.com/ to reduce the number of unsolicited offers of credit and insurance. 888-5-OPT-OUT How to contact FTC: Federal Trade Commission Consumer Response Center Room 130 600 Pensylvania Ave N.W. Washington DC 20580 Or voice you concern by calling your Congressional Representative at 202-224-3121 Loan Application and Required Documents 02/08/2010
What types of documentation do I need for the Universal Loan Application (1003)? Based on the loan program you choose, the exact documents required will vary. In general, you should bring the following:
Waikiki is located in Hawaii,Island of Oahu and is part of Honolulu City in Honolulu city & County - Island of Oahu. Waikiki means "Spouting Water" in Hawaiian language. Waikiki is a beautiful,fascinating,cosmopolitan island-within-an-island,home of the world's famous Waikiki Beach.Waikiki can be celebrated from sunrise until sunset and through warm tropical nights.Dawn is one of my favorite times.You may see the Dawn Patrol of surfers rushing to the Pacific Ocean to catch that special wave with their names.Visitors and locals meet at the McDonald's across Pacific Beach Hotel ordering the coffee while sharing yesterday's gossip and adventures.While you relax in the shade of the beach pavilion,you can observe a lot of characters. Chess and bridge players,swimmers,surfers,beach goers,folks from the Minnesota soaking up the sun and eating cheeseburgers in paradise.At the end of day you can enjoy colorful sunset ,while you stroll along the beach under Diamond Head crater,enjoying cool tropical breeze and smelling fragrant blossoms. You may take a souvenir photo of the Hula dancers performing at the Kuhio Beach under the majestic Banyan tree. Waikiki is in Honolulu County in the Honolulu Metro Area.The latitude of Waikiki is 21.282N. The longitude is 157.829W Karel Kon- Best Realty Inc PB For more info please visit http://www.bestrealdeal.com Big Island Real Estate Update 02/08/2010
Multifaceted real estate found on the Big Island of Hawaii offers an excellent opportunity for prospective buyers to realize their dreams. So far this year, there has been much more sales activity than anticipated as people continue to seek those available Bargains and Bank and Short Sales. Present sales data indicate that there are still many great buys even though the market appears to be leveling off. You can Buy 8,000 sf lot in Nanawale Estates Subdivision close to Pahoa Town and Kapoho Vacation Land starting from $5,000 and single family homes from $150,000 NOW IS THE TIME TO BUY . Offers are still being seriously considered and property owners' needs are changing everyday. The previous prediction of gloom and doom has not really materialized or affected over-all sales. This means that investments in the Big Island real estate sector are a perfect venture to make a profit in the future. Hawaii Mortgage Loan money is still hard to obtain, but many property owners are prepared to carry-the-paper facilitating many purchase money contracts,agreement of sales,land contracts or accepting VA Purchase loan financing or FHA Loans. The Puna area is also eligible for USDA Loans as well. There are still state-of-the-art condos to historic homes for new owners. There is a great deal of movement in Big Island vacant land. Small and large North Hilo,South Hilo,Kau and Puna farms,Kailua Kona Coffee Farms in addition to Hawaii ranch properties adorned by rivers, mountains and majestic waterfalls with ocean views in the background, are available. Best Realty will provide you with the access and advantages of the Hawaii Information Service (MLS) Updates together with Honolulu Oahu MLS . I specialize on the east side of the Hawaii Island in Puna, Kau and Hilo land, lots & homes, Hilo residential and commercial sales, Kapoho vacation properties, Hawaii coffee and fruit farms, HPP Land, Ainaloa, Hawaii Beaches and other Kau,Puna,Hilo and Hamakua Land Lots including new home construction in Nanawale Estates ,Pahoa and Volcano area. In today's competitive HI real estate market, timing is everything. Beat other home buyers to the hottest new homes for sale in Hawaii Big Island with my New Listings Notification. If you own Hawaii real estate that you're thinking of selling, I would be happy to provide you with a FREE Home Evaluation and the Best Marketing Package. Aloha,Wally Chastain(RA) Hawaii Big Island 808-965-6101 http://www.MlsBigIsland.com Big Island Real Estate-Hawaii Jungle 02/08/2010
My personal feelings about the Big Island are based on my past experience. After living in 7 different jungles around the world, it is my opinion that the east side of Hawaii is the most agreeable jungle area in the world. We checked out the whole island before deciding to move here during one month. This area is not like any jungle that I have ever lived in. It is cool and extremely pleasant. We find that the island size is very nice and you are 11 or 12 Eco-climates here. It is a mystical place. To show my age, I saw the movie, The Bird of Paradise, with Debra Padget while in high school on the mainland. It was filmed here using the volcano as the backdrop. We have a lot of rainfall. In my 28 years overseas, this has been one of the most pleasant places that I have ever been. And here we will stay. Our home in northern New Mexico on the Colorado border is located on a small river with a stream in front. When my wife looked outside the front door in 2003, there was 40 inches of snow and it was 16 below zero. She said we are leaving. That is the Mana we find here in Hawaii. Hawaii has suffered since late 2006 a set-back in prices of real estate. I call it a period of adjustment. Here on the Big Island, one can still find affordable properties and there is more land to be developed. There are problems as a result of USGS classifications concerning lava flow and the possibility of volcanic activity, Tsunamis, hurricanes and tropical storms. Yet with the altitude of the highest peaks, Mauna Loa and Mauna Kea (13,000 plus), it does not happen. This means that the altitude seems to disrupt extreme weather activity. I only have six properties listed that offer terms(PMM or land contract). They are from three to five year to pay off at 7%. We do need private monies to take advantage of this part of the market. There are other opportunities for investment in short sales, bank/lender owned properties and foreclosures. There are no funds available to purchase vacant land due to the market situation. Please let me have the parameters of what you and your private money people are interested in. In today's marketplace, NOW IS THE TIME TO BUY. Investment now will mean good profits in the future. As you can see, I am interested in only the Big Island. This is the only Hawaiian island with a huge expandable future in the real estate development. We are now seeing a process of stabilizing prices. You should come over here and look at at what is we have and the future potential. Aloha, Wally Chastain (RA) http://www.MlsBigIsland.com 808 965-6101 Direct First Post! 02/08/2010
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