My thoughts on Buying houses for cheap prices

[Equity]

I wrote an article for my website a few days ago about the techniques I use to buy houses cheaper than what they are really worth. I think this is very important because if you can gain immediate equity on a purchase you are well on your way getting a great property deal.

Please read my article and post comments on what you think. Thanks.
Link:
http://www.use-your-equity.com/BuyingHousesatadiscount.html

[sidieachic]

not to sound ignorant but those rules still apply to PNG? I myself am interested in "rehab" homes. And was wondering if PNG would have a good real estate market to invest into

cheers
susa samarai

[kugaua]

market prices for housing is very expensive, but not so comparative to overseas currency, if you are aware of the exchange rate. You are in the US, am I not right? Prices for houses in high covenant areas (Example: Korobosea, Boroko) will cost at a minimum K200,000 and above. Typical houses contain 3 bedrooms. I think those tips you got from that web site were just handy tips on how to purchase a house or real-estate property, and they were not intended as "..rules.." but more as guidelines. That's the way I read it, and it sure is helpful information to the formerly "unwary" sort like me who's beginning to get interested in real estate.

[Shofar]

Can anyone in the know shed some more lights on this please?

Attached is a loan calculator that was worked out from the Bank of South Pacific's (BSP) website.

If my simple arithemetic serves me right, then a whopping 271.55% profit is absolutely mind boggling indeed.

244,399.18/90,000.00 x100 % = 271.55% profit for the bank

Note that this is a typical amount of loan one would get from the bank in view of the current loan promotions that the bank is advertising and campaigning on.