The Real Estate Market in 2012

The real estate market has two sectors one is the investment oriented real estate and the other principle residence. The rental real estate is nothing but the investment real estate of buying a property to get rent. The fiscal policy has a great hindrance to buying a primary residence. The suppression of floating interest loan will also heavily impact on the real estate market especially on the first time buyers. The first time buyers are the vital tonic for the healthy market.
 The favorable tax exemption may increase the demand for the new home market. The taxation strategy should be changed; the taxation on real estate capital gains realized on additional housing units should be exempted. Stamp duties on real estate market should be revised and the evolution of the property and some protocols should be user friendly.
 If at all revised; the real estate market will be pushed in to the bear market. Since the government has changed its policy the banks are reluctant to finance the purchase of properties which could lead to the crash of the real estate sector. Apart from rich investors the common public cannot afford much in the current scenario. The sellers are reluctant to lower their price and the buyer expects the price may go down; hence the market is pushed for high inertia. The people are willing to invest in a tangible asset and they are more focused on the properties than the stocks or the banks this is the supporting factor which hold the real estate market now.

Fixed rate home equity loan – Important facts that you must not miss about this option

Guest Post Written By: Melissa Grace , Senior Editor,   Mortgagefit.com

Did you fall short of cash when you wanted to renovate your home or repay your high interest credit card debt? If you’re looking for a secured loan option that you can take resort to whenever you fall short of cash, taking out a fixed rate home equity loans may be considered. This is one of the most inexpensive ways of borrowing money and using it for various financial purposes. In the present market conditions, taking out a fixed rate home equity loan is perhaps the best way to guard you from sudden rise in the interest rates of personal loans. Since the credit downgrade, there have been predictions that the interest rate will rise on all personal loans and therefore, if you’ve accumulated enough equity in your home, you’re lucky enough in this market situation. Read on to know more on such loans.

What are fixed rate home equity loans?

This particular lending option is for the cash-strapped but house-rich people who want to repay their debt obligations without having to take out any unsecured loan. When you take out a mortgage loan and start repaying the loan, the amount that you pay back is the equity in your home, which is rather the amount that you owe on your home. There are two types of home equity loans, fixed rate loans and home equity lines of credit. The fixed rate loan is a single lump sum payment that is made to the borrower and repaid over a fixed period of time with an interest rate that is agreed-upon. The monthly payments and the interest rates will remain same throughout the term of the loan.

What are the benefits that the consumers may get by taking out home equity loans?

Home equity loans are an effortless way of getting access to immediate cash. You must be aware of the fact that the interest rates on the home equity loan are much higher than that of a first mortgage loan but when compared to that of the credit cards, they are much lower. If you have accrued a huge amount of debt on your credit cards, you can take out a home equity loan and consolidate all your high interest debts within the loan. The repayment term will be longer and you can also get tax-breaks on the interest rate that you pay on a home equity loan.

Are there any pitfalls of taking out home equity loans?

Well, as such there are no such pitfalls of using home equity loans for repaying your high interest debt or renovating your house, but the only important thing that you need to remember is to make timely payments on your loan. As your house will be used as collateral, you will require remaining very careful about defaulting on the loans as slight carelessness may lead to a foreclosure.

Therefore, if you’re someone who is in need of immediate cash and you’ve accumulated enough equity in your home, you can take out a fixed rate home equity loan. Make timely payments on the loans so that you forestall losing your home to a foreclosure.

Operational Risk Identification

This phase is to identify and structure the operational risks that ultimately will be presented in support of hazard mapping.

There are several approaches to achieve this result.

* Approach the process: it is made from the process mapping an inventory of the various operational risks associated with tasks that make up these processes. For this, an analysis is required on the inputs, the transformation process and outputs delivered to the end of each process.
* Approach the interview operational: this process allows questionnaires from pre-established list the operational risks identified by the business as those who actually or potentially affect their operations.

Whatever the approach used to identify risks, it should be complemented by a comparison with a benchmark sector wise operational risk.

The result of this work should be formalized in a holder who submits a mapping type of process risks.

The risk assessment
From the operational risks established, it should conduct an assessment of risks. For this, a definition of criteria for risk assessment should be performed to objectify the evaluation process.

Observation of practices established in this field identifies the following criteria:

* Severity: is the maximum impact of the exposure or potential exposure to risk situations. This is the concept of gross exposure.
* Detection / Management: This is the company's ability to identify and respond to risk events. This is the concept of risk management device.
* Occurrence: This is the probability of occurrence of risk situations. This is the concept of frequency of events. To determine this probability should identify incidents occurring over the period and form the basis of historical intervene in the decision process.

In summary, the assessment of operational risk should be against these criteria, completed the evaluation of residual risk for the net risk.

This evaluation process of operational risk should be integrated as a milestone and indispensable in the process of establishment of the life cycle of projects and products.

Risk Monitoring

This phase is the establishment of a monitoring and control of the risk profile of the company. It starts with the determination of the tolerable level of risk for the company. This tolerance is defined not only in terms of maximum risk but also in terms of risk atypical. Of course, the threshold defined by the company must be a regular challenge to ensure its relevance to the evolution of endogenous factors (trade policy, training ...) and exogenous (regulation, competition ...).

The monitoring device as defined by the company and driven by the risk management objectives are to:

* Increase the visibility of the risks;
* Better organize and improve processes;
* Preserve the results or business performance;
* Optimize the load management;
* Assign more effectively equity.

To achieve these objectives, the company has a network of "corresponding risk" in charge of a "portfolio risk" associated with the activities. This will be for this team:

* Implement the actions for the detection of risk (term limits ...)
* To analyze the causal factors of risk events (no audit clauses in contracts ...)
* Ensure the implementation of corrective actions and the definition of operational contingency plans (follow the recommendations ...).

To complement this, it is necessary to define indicators for the management of major risks that may be presented to all levels of the company (management, legislative and executive).

These sets of provisions are the minimum needed to ensure accountability, awareness and training of stakeholders on issues of risk.

Invest In Gold Online

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Most of the countries over print the paper currencies and they crash which badly affects the traditional way of investments and savings. At the same time the investor holding precious metals like gold emphasize tangible value of his asset. Hence this is the right time to change over from currency based investment to investment on gold and other precious metals. Investing in gold bullion is the easy way of investment and you are enjoying the direct owner ship and the physical possession of your asset. The gold bullions are specifically minted for the purpose of investment. Chinese Panda gold coins, British Sovereign gold coins and French Franc are the globally recognized investment. There are twenty eight varieties of panda gold coins available. Other easy of investment is investing in British Sovereign gold coins and they are of superior quality. The French Franc gold coins are popular for their unique and exquisite designs. Investing in French Franc gold coin is the smart way of investment and these affordable coins come with the strong guarantee from the government.

You can directly purchase these assets and take physical delivery else it will be safely packed and delivered at your door steps. Each type of gold purchase has different benefits so it is best to call 1-877-962-1133 to find out which one best suite your investment objectives.