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New York has begun doing what any major city does when it runs out of real estate, but with great success. It has started increasing the rent for up to $5000 for a single bedroom apartment, not a better deal for an average family earning $100K a year. And to date there are no witnesses of slowing in the growth of the rental prices in this city.

The ever-taller high rises, extremely profitable to the owners relative to the forecasted construction costs, provide homes for escalating population. While single family homes that are put up for rent are typically larger, with private yards, the condos are barely 1000 sq. ft. but with views of the city and scenery to die for. Extra features such as gym, playgrounds, club house and concierges provide an interesting alternative to living here.

A two bedroom single family home in the heart of the city can cost around $6000 and as low as $750 in a suburban area outside the city, almost double the cost of what it was two decades ago. The downtown part has a rent of anywhere from $1500 to $2200 for a studio, and $3000 for a 2 bedroom, while upper east side-the affluent area where most skyscrapers are-can go as high as $10,000. Although the outskirts have seen a slight decrease in the influx of people after the recession, the very wealthy area have done very well in maintaining this price over the last ten years.

Reasons for Rent Increases :
There are various theories behind what is really causing the rental prices to increase in New York. And most prices are driven by owners and their agents convincing people to rent while justifying that they are seeing a completely rational price in comparison with the cost of owning a home. One can note that the recent rental boom has not been limited to New York but has been in full swing in other states such as California, Washington and North Carolina. The wealthiest cities and neighborhoods have experienced the greatest home appreciation recently, and these increases have outstripped rental growth in such markets.

Let us look at some of the theories that is driving the rental price here:

Theory 1: Demand and Supply:
People who are on an edge of buying houses in NY are seeing that housing and mortgage markets are imperfect, with real estate agents not representing the buyers interest and appraisers being paid to justify exorbitant prices. They are realizing that homes under this scenario are not worth what they were worth previously. Land is scarcer in the most exclusive communities and people renting would pay large premium for living in such communities.

Theory 2: Renting is Cheaper than Owning:
Renting is one way of showing that home prices cannot escape the fundamental forces that drive them in the long term-income. The housing prices have grown exponentially with respect to renting, and in this massive economy people are unable to pay large portion of their paycheck toward their house. People fearing the real trouble meeting their obligations in the future such as divorce, job loss and medical emergencies, want to post-phone buying and just rent for a while.

Theory 3: Population Growth and Immigration:

Probably the most popular reason as to why rent prices has seen an increase in recent years. Most new immigrants are renters and prefer to rent as long as they could save money to buy a home, resulting in more demand for rental properties.

Theory 4: Escalating Construction Cost:
Even though home builders are on the sell side of the market, they are unable to fair given the high cost of construction, compelling them to increase the price of houses to a level not reachable by an average middle class family- another economic reason that people are renting rather than buying. More so, builders claim that it is the zoning and building restrictions that are the culprit in higher rental prices.

Where The Current Rental Market is Heading:
Even homeowners with less leverage in their homes are now feeling relatively safe renting the houses given the current trend. Considering the shaky economy and no real income growth, people are beginning to dedicate their resources and attention to rent in an attempt to avert a real disaster from buying a house.

David Haynes is a writer who searched for the Lettings Bristol had to offer when choosing his home.

When you are in the market for a new loan, there are a number of things you need to take into consideration when making your comparisons. With so many different lenders and loan products however, this comparison can be stressful, time consuming and confusing – but unfortunately it needs to be done because a loan is definitely not a financial product you want to get wrong. The wrong loan can be costly, it can be frustrating, it can put your security at risk and you can be stuck with it for many years.

Fortunately there is a way to make all of these comparisons a little easier. You can’t and shouldn’t avoid spending the time comparing loans, but what you can do is make the comparisons you need to with your current bank, and save yourself some time and save your sanity.

1 – Type of loan

Each lender will offer a number of different loans, but most lenders will specialise in a certain type of loan. Whether a lender is a small business specialist, a teacher’s credit union or a financial institution which specialises in bad credit cases, they will have these specialities to allow them to better understand and cater to their particular client, and offer more comprehensive services for their target customer.

If you can find a lender who specialises in your type of loan, then you will save yourself time in the approvals process because you won’t apply to a high profile lender when you need a bad credit specialist for example, who can offer you alternative verification procedures. Similarly, if you are a small business owner, you want to be dealing with a lender who is a specialist in low doc loans.

Therefore, when you first applied for your current loan, transaction or savings account you should have sought out a lender based on your needs and the type of product you were after, as well as the type of person you are. As a result, your current bank should already be perfectly matched to your needs and situation, and should therefore be the perfect financial institution to tailor a loan to your needs.

2 – Staff

When there is a problem with your account or you have a question you don’t want to be endlessly on hold and you want to speak to someone who will listen and be able to help you. If you already have a number of accounts with a certain lender you will know the level of customer service you receive and whether your questions are answered promptly and easily.

It is also important for a bank to have a well qualified loan officer on their staff who is able to look at your situation and tell you upfront whether you will qualify for a loan, and whether there is anything you can do to improve your chances of approval. If you already have a loan with your current bank then you will have dealt with the loan officer previously, and they will know your financial history in detail. This can help reduce the perceived risk to the bank of lending you more money, as they can see the intricate details of your loan history and how reliable you are with your repayments.

Going back to the small business example, if your current bank is a small business specialist, they will also likely have a small business advisor as part of their staff. Having specialist staff to meet your needs means you can discuss exactly why you need the loan, and your goals for your business, to make sure that a loan is the right option.

3 – Access

Successfully managing your finances means always knowing what is going on with your accounts. Therefore, whether you prefer to check your balances online, on your smart phone, by calling the phone banking number of popping into a branch on your way to work, you will have established routines with your current accounts. This not only means you can stay on top of your accounts, but it also means you know the best ways to avoid unnecessary fees.

Even if you are getting a loan with your existing bank you will likely have to go into the branch to complete the paper work, and this gives you a chance to discuss your loan needs. However, there is no doubt that online banking is much faster and convenient than a branch visit could ever be, and by applying for a new loan with your current lender you don’t need to learn any new online banking systems, or remember any new online banking passwords, because you can access all of your banking products in the one place.

4 – Reputation and relationship

The reason word of mouth advertising is so successful is because it is devoid of any marketing hype or spin, and simply tells the true story of a real personal experience with a service provider. When you are shopping around for anything new, chances are you’ve asked your friends and family which product or service they use, and whether they are happy, to help you narrow down your search and choose a reputable and reliable product. However, the danger when relying too heavily on word of mouth advertising when it comes to banking products lies in how different your financial situation is to that of your friends and family.

There is usually a lot more going on with other people’s finances than they’ll let on, so one person’s experience with a bank may not necessarily reflect another’s. However, that doesn’t mean you can’t rely on word of mouth advertising at all when looking for a lender, because you can ask yourself about your experiences with your current bank, and receive an honest and relevant answer. Ask yourself whether you are happy with the service, whether it is easy to do your banking with your current bank, and whether the products are reasonably priced and fully featured. This will give you a good indication of whether it is worth you taking out a new loan product with your current bank – whom you already know everything about.

Plus, when you have an existing relationship with your bank, it is often possible to have loan application fees waived, and you may even be able to negotiate on any ongoing fees, or qualify for a lower interest rate because you are known to the lender.

Alban has been blogging about personal loans for the last 3 years. He has also contributed several articles on savings accounts and credit cards.

Is there anybody who would not love to have financial securities during his or her retirement? Certainly not, because whatever we do more or less has connection with our future security. Well, having a secured financial life is a dream of many but a few can turn it into reality. If you are tensed about how to get financial independence in your retired life, then I must say that you should start your planning now. Go for deferred annuities for enjoying a happy retired life.

Accumulate a good sum of amount for your post retirement days, because little pension amounts always fail to support your additional requirements, like medical, familial and other such needs. Well, deferred annuities help you to recover yourself from these financial issues during your post-retirement life.

What are deferred annuities?

Well, this is a part of annuities, which is done in two phases. One phase is the accumulation phase, in which the annuitant invest the money either in little installments every month or a single payment in a year. Another phase is the income phase, in which the annuitant starts receiving the accumulated amount.

There is a gap between these two phases and the return of the installments totally depends upon the decision of the annuitant.

What are the benefits of deferred annuities?

This type of annuity plans support the requirements of the retirees in a better way.
This annuity plan gives retirees the freedom to decide the time, when they want to receive their repayments. It is surely of great help for the retirees.
This annuity plan comes with death benefits for the beneficiary of the annuitant. Therefore, the annuitant also gets security for his or her family.
This makes the annuitants live a better life, because he or she gets the facility to have a fixed income for the post-retirements life.
This also allows them to save maximum amount, because no tax deductions are made upon the accumulation phase, until the annuitant wants to withdraw it.

What are the types of deferred annuities?

There are two types of annuities, such as:

Deferred fixed annuity

It offers the annuitant a fixed income throughout his life and never changes depending upon the market condition or other problems.

Deferred variable annuity

It offers the annuitant different amount of installments depending upon the market condition. If the market is going good, annuitants get good installment. When the market degrades, the installments rates also change according to that.

Well, if you are still some years left before your retirement, this is the best time for you to go for the deferred annuities, so that you can retire at your ease.

Therefore, plan to accumulate a good amount of money with deferred annuities and give your life a chance to smile upon you forever.

The author, Aalina Jones here provides smart suggestions on deferred annuities. This article will certainly help people gather plenty of information regarding annuities.

A question that has been considered for decades is whether it is better to invest in property or stocks. Both markets are increasing in value and have been for many years so where is the wisest place to invest your money? This article will consider the pros and cons of investment property vs. stocks.

The Pros of Real Estate

• Real estate investment is accessible to everyone. Everyone needs a home in which to live and everyone is able to gain access to a loan if they approach it sensibly. Whilst most people are not exposed to stocks and bonds as a child everyone is exposed to a plethora of different properties and buildings. This enables people to build a knowledge base over the years and gain an automatic insight into investing in property.

• It is a tangible investment. Property is something you can physically see and touch whereas stocks and bonds are not.

• It is difficult to defraud someone who is buying real estate. The buyer can turn up and see the property and can run property valuation software from home so they know the true value of the property when they buy it.

• Using debt, you can make a much larger investment than you have the means for. This enables a larger initial investment than could be managed in other forms of investment.

The Cons of Real Estate

• When compared to stocks real estate can take a lot of time to manage. If a water main bursts at midnight then it will be you who gets a phone call and you will have to deal with it straight away.

• If the property is unoccupied for any reason then it will effectively be costing you money each month. Mortgage repayments will be due regardless of whether you were able to find a tenant.

The Pros of the Stock Market

• The greatest wealth creator in the history of finance is that of stock trade. Despite occasional crashes which could see large losses, the investment and reinvestment in stocks is the single greatest creator of wealth in the world.

• Ownership of stocks and shares does not require any input from you. Once you own the stocks you are able to sit back and watch the company improve and grow along with your investment.

• You will receive cash dividends every year. Unlike the housing market which could cost you each month, dividends will provide you with cash every year.

• Stocks enable diversity of investment. Unlike a house which requires huge input all at once, stocks can be bought in small amounts when you are able to and they will still have the same effect.

• Stocks can be sold easily and rapidly. If you need cash or want to get out of your share position then it is easy to sell your stocks rapidly. Those who make the most money from stocks often buy and resell stocks within a single day.

Cons of the Stock Market

• Despite their steady growth over the years, stocks are able to crash without warning. Global financial changes can cause stocks and shares to drop in value dramatically within just a few minutes. This means that your solid investment could crash at any time leaving you without your funds.

• The price of stocks can fluctuate massively in short periods of time even when there is no financial crash. The nature of stocks means that within a day there can be huge fluctuations in the value of stocks, making it a very uncertain place in which to invest.

If you have a new car, you’re amongst the lucky as purchasing a new car isn’t an easy thing to do. New cars come with a big price tag and you need to have a big budget if you want to make the dream of owning a car come true. However, overtime, as other things have become easier to do, purchasing a car is not that big of a problem for anyone who wants to get it, all thanks to several online lending groups. There are several types of auto loans that you can choose from to get a car loan but the decision is yours to make; either you can get a new car loan or acquire loan for used cars; it depends on how much you can pay.

Choosing an auto loan is the tricky part. Many people think that since they will have to pay the loan back in monthly payments, it shouldn’t be an issue to get an expensive car, which otherwise would have been out of their reach. It is better if you stay realistic and be practical and choose an auto loan according to your purchasing power capability. For instance, if you can’t afford paying monthly installments for a new car, DON’T go for it, rather choose something that you can easily afford to pay.

Submitting an application for a used car loan is relatively simpler if you’re doing it online. Several lenders are present online that provide the quote of their loans free of charge. You should start by gathering information on quotes from several online lending groups available out there and once you have collected the rates, it is advisable that you then compare and contrast to select the one that is best for you.

In order to calculate the amount of money that you will be required to pay out every month and to assure if you can really get a new car, use an auto loan calculator which will help in clearing out the picture in your mind as to how much money will be escaping your pocket every month to finance your car loan.

There is however, a common problem amongst buyers which arises because of online lenders charging hate rates of APR or interest rates. If you come across this problem, you should resort to a refinance auto loan. What the refinance auto loan does is that it assists you in saving money when you are paying back money of the acquired car loan. Refinancing will help in reducing your monthly payments. Moreover, there is also an option of you paying out the entire remaining balance of your loan if you want to after paying some installments initially. Tip for choosing a refinance loaner is that you need to search for a good rated company which also has a good repute. They will require you to put your signature on some papers and go through the terms of paying the balance off. If things go smooth, the company you have taken the refinance from will pay out the remaining balance of yours left with your previous lender and provide you a new loan at better terms and rates.

It is advisable for you to go through different sources before you select an auto refinance loan providing company. To get the car loan, you will have to make the choice yourself. Do the math and choose the best option for yourself.