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The recent proposal by UAE Central Bank to introduce a mortgage loan-to-value (LTV) cap – 75% for expats and 80% for UAE nationals – is one of the many measures that the government is working on to deter excessive borrowing, check the proliferation of cash buyers in the market who make up the majority of property purchasers in Dubai. Cash purchases have long since dominated Dubai’s real estate market – with cash-rich buyers usually acquiring properties to lease them out or sell them at an immediate profit – in contrast with end users who buy homes to live in.

Today, with sale prices and rents accelerating, people looking to are looking for better value for money – not just lower interest rates, but terms and conditions and exit fees. Mortgage companies are also ensuring that clients are thoroughly vetted before lending to them. While further information regarding the mortgage cap is expected to be announced in the fourth quarter of this year, industry professionals have shown skepticism regarding the negative effects the decree may have on the real estate and mortgage industry. Hence, it is imperative that a balance is achieved between keeping mortgage opportunities attractive enough to encourage end users to buy Dubai property and at the same time act cautiously to keep speculators at bay.

In another turn of events, Dubai Islamic Bank (DIB) announced in August that it would offer UAE nationals mortgages worth 100% of their property’s value with regard to the Mohammad Bin Rashid Housing Establishment for a 25-year period. On a similar note, the government-owned Tourism Development and Investment Company partnered with Abu Dhabi Islamic Bank to offer investors 100% mortgages for luxury residences on Saadiyat Island.

This year also saw for the first time, home financing of select off-plan properties to non-residents who wish to buy a property in Dubai as a holiday home or simply invest in a second home. Mortgage providers have also been extra cautious, examining and checking all aspects of a customer’s credibility and that of the developer’s as well. However, with the number of off-plan property purchases on the decline as compared to figures before 2008, this doesn’t seem to be a cause for concern.

Throughout the course of his year, the government has made tenacious efforts to build checks and balances into the system and arm mortgage providers with the information they need to make sound lending decisions. A good example would be the recent proposal by the Dubai government to set up a judicial panel to oversee the liquidation of stalled property projects in the emirate. Such a move will offer investors a viable alternative to time consuming and expensive court procedures and enhance investor confidence.

At the end of the day, people like to invest in a market where they know their rights are protected. While there is no doubt that Dubai’s property market is maturing and the double-digit growth a reason to cheer, the 2008 downturn has surely taught us that slower and steadier progress is far better than faster, unsustainable growth.

Whether you are importing goods from China or buying an overseas property, you will want to know that you got the cheapest money transfer deal. You may have already planned popping into your own bank to arrange the necessary transfers, but did you know that they won’t offer you the best deal?

The truth is that high street banks are one of the most expensive ways to arrange a money transfer. It’s a much better idea to use a specialist foreign exchange company. They will have access to a higher rate than your bank and can also give you advice on the best way to transfer your money. Let’s take a look at those facts in more detail.

1. Expensive Bank Rates

By using a foreign money transfer service you could make typical savings of 5% compared to transferring the same amount with your own bank. That’s because a specialist money service has access to exchange rates that are very close to the Interbank rate – this is the rate that the banks use to lend money to each other. When you use a foreign money transfer service you get access to live rates and not the static rates that the banks set each morning. As a first step, compare exchange rates online so you can be sure of getting the best deal when you transfer your money overseas, especially when moving around large sums of money.

2. Benefits Of Using a Foreign Exchange Specialist

Not only will you get access to the best rates when you call a non-bank foreign exchange company. You will also get access to the best service and advice. Because exchange services focus on one specific aspect of finance, they have an excellent grasp of what is happening in the currency market and will aim to get you the most beneficial deal on your transfer.

3. Smart Forward Thinking With a Forward Contract

If you know you are going to be transferring regular sums of money overseas, it makes sense to consider a forward contract. Worrying about fluctuating exchange rates can keep you up at night when you are transferring large sums, but with a forward contract, your rate is set in stone for a set period of time – that period is usually 12 months. During this time you can enjoy that exchange rate and the extra money it can give you compared with the current exchange rate if there are adverse currency fluctuations.

4. Shop Around Online For The Best Transfer Deals

It really does pay to shop around for most things online and money transfer deals are no exception. The good news is that you could find the best deal for your situation and currency in moments when you use an online comparison site. Don’t always assume that the first deal you find is the best deal even if it is listed at the top of your Google search results. When you are transferring hefty sums of money around it pays to spend a few minutes, or indeed hours, researching the most beneficial rate.

5. Make Sure Your Currency Company Is FCA Accredited and Regulated

Of course, you need to be sure that any money transfer company you use is legitimate and authorised to be carrying out such transactions. Any UK payment services company that is transferring money and which is not regulated by the FCA is breaking the law. These regulations provide customers with a high level of protection and therefore it pays to look for an authorised company.

Home owners are able to cash in on the value of their property through an equity release scheme. They can do this without actually having to sell their property and find a new home. Two schemes exist to make this possible:

• Reversion schemes
• Lifetime mortgages

When you decide to release the equity of your home, deciding which option to go for is but one of many decisions you will have to make. This is why comparing equity release schemes is so important. You should seek not just financial advice, but legal advice as well. When you take money out of the value of your home, this could have a serious financial consequence and you have to be prepared for that.

Equity Release

Equity is surplus value in your property. A home that is worth £200,000 with a £100,000 mortgage has £100,000 in equity. However, equity release schemes aren’t available for anybody, but usually only to older people (over 55 for a lifetime plan and over 60 for a revision plan), who are unlikely to have a regular income.

Most people choose a lifetime mortgage. Here, you essentially take a loan out on the property, which remains yours. The debt has to be repaid when you die or go into long term care, meaning no monthly payments are needed. However, the interest does accumulate, which means you will owe a lot more than you originally owned. So, a £45,000 loan could turn into £152,387 after 25 years.

The drawdown version is the most popular lifetime mortgage. This is for those who don’t need a huge lump sum straight away. Instead, they can dip into a pot of money as and when needed. No interest is paid on the money that is not released.

The other option is the revision scheme. Only very few people use this. Here, you sell your home or part of it to a company, but you retain the right to live in that home. When you die or go into a home and sell the property, you only receive money on the percentage of the home you still own, which is often nothing. You also generally have to pay rent to the company that has purchased your home or part of your home from you.

Do bear in mind that releasing equity in your home can be costly. Usually, you will have to make at least a £1,500 fee and your financial adviser and solicitor will have fees as well.

It is obvious that any person with adequate saving usually thinks about investing in something. However, if a person is going to put investment factor into proper consideration, will definitely wonder how to start and what type of investment of course to consider. If you are one of those people planning to invest and you do not know how, commercial property investment can be an ideal choice. To earn with commercial property is one of the best investment or thing one can consider to be part of in these days. Currently, there are so many commercial real estates that are overflowing with properties in many areas across the world.

There are always several ways one can use to invest and earn with commercial property. Some of them are as follows:

Before earning with commercial property investments, it is important to know that this type of investment needs a huge amount of money. Therefore, it is basically a huge investment than just a personal property investment. It is very essential for investors to ascertain that their investment is accurate and easy in order to earn adequate gains from it at the end.

In this case, an individual is required to posses full information about the location, maintenance cost, market trends, competition, existing lease just to name a few so as to make a highly lucrative investment. There are several other factors, which need to put into proper considerations in order to make commercial property investment premium form.

There are also various factors that are linked to commercial property investment. Investors must always consider all available market factors, the location of the property, its limitations, and several such means, in order to ascertain that they can possibly make a very lucrative commercial property investment. In short, any investor must ensure that all factors involved are adequately covered to hold an investment, which is actually lucrative.

Another important thing to know, as a real estate investor is that commercial property sector must always have an excellent value level. Investors must consider all property details and invest for their money carefully and wisely, in order to ascertain that they can be able realize more gains without any problem coming on their way. In addition, investors must also invest money in a commercial property sector, which can possibly deliver them with finest gains and very much rewarding. Lastly, on this point, investors should invest in a properly maintained commercial property.

To attract and meet a huge number of commercial property buyers, it is also an important and vital factor for anyone planning to earn with commercial property investments. In order to gain profits on commercial property business, potential buyers of the property are also a vital feature to look for in this sector as well. It is recommendable to invest in the commercial property sector which is can possibly meet all its future needs without forcing any future changes and that is promising as well.

Anyone planning to invest in real estate business in order to earn with commercial property, must also consider making an investment in the sector, which is termed as an appealing one. An attractive or appealing commercial property makes it possible for an investor to earn the amount of income as well as making sure that the maximum level of profits are gained with ease.

For the commercial property sector to meet its commercial requirements must also comprise features, which can provide them with some outstanding gains. These can be additional amenities such as pools, rest rooms and more of those amenities in order to offer commercial property sector with a more appreciation value.

If you are looking forward to earn with commercial property, these can be a few essential factors, which should be considered by you in order to make the finest commercial investment of real estate with much ease. You should always avoid all sorts of issues from happening while ensuring that you are capable of making an investment, which is exceedingly rewarding to you. If you do not have adequate knowledge in this industry, then it is important to look for a professional real estate agent to handle your issues in a professional way.

In conclusion, with commercial property investment, investors can possibly secure huge gains in this sector, if they follow these guidelines in a right manner. It is also important to be aware that purchasing decent commercial properties is a daunting task. Knowledge is really formidable in this field.

Many people want to purchase a home, but also have a difficult time coming up with the down payment. While income may be good, everyday and monthly living expenses make it almost impossible to save the amount of funds that are necessary to obtain a mortgage. However, when searching for down payment options for a home purchase, they may find that it is actually possible.

1. Conventional mortgages require a down payment of 20% which can be a large sum of money for the first time home buyer to save. There is a minimum down payment requirement of 5 to 10% which will depend on the individual lender. Any amount below 20% will require that the borrower pay private mortgage insurance along with the monthly mortgage payment. With a conventional loan, putting the most down as possible is important because it will result in a better loan and lower mortgage rate.

2. Government loans offer better options when it comes to down payments. FHA loans require a low 3.5% down payment with a minimum credit score of 620 and maximum debt to income ratio of 43% for automated underwriting. In addition, FHA offers borrowers many other benefits, such as 6% seller concessions. These loans are also assumable which means they can be assumed by the buyer, who must be approved, when the borrower decides to sell the home. FHA loans also have an upfront mortgage insurance premium paid at closing and an annual mortgage insurance premium that must be paid for the life of the loan or until the loan is refinanced with a conventional or other type of loan.

3. VA loans have no minimum down payment requirement. In fact, most VA loan borrowers use this as a means of 100% financing. However, a borrower must be eligible according to VA guidelines. VA loans do have a one time VA funding fee.

4. FHA mortgages offer sweat equity loans which allow a borrower to perform their own work in lieu of a portion of the down payment.

5. FHA mortgages also offer bridal registry loans which allows others to deposit funds to a bridal registry that will be used to fund the down payment of the mortgage.

6. Gifts are an acceptable part of obtaining a mortgage and are often used with FHA loans. However, gifts must meet the program’s guidelines for approval. The gift can be from family, friends and even employers. There are specific rules that must be followed regarding proof, sourcing and transfer of funds.

7. Many states, counties and cities offer housing initiatives to assist with the down payment for first time home buyers. These funds are usually in the form of low interest loans or bonds. Each one has its own guidelines for repayment with some having no repayment as long as the borrower remains in the home.

8. Some employers offer down payment assistance as a benefit after the employee has worked a certain period of time.

9. For second homes or investment properties, some borrowers will use the equity that is available in their primary residence for the down payment.

While saving the down payment funds for a home purchase can take some time, home buyers should keep up to date with what additional avenues of assistance are available to them. Since most down payment assistance programs are refunded on a regular basis, borrowers should keep in touch with the latest updates in their area or state. It is also not unusual for new local programs to crop up unexpectedly. The important thing is to keep saving, keep looking and not give up.