SIP-one of the best investments in the current situation

Systematic investment plan (SIP), this is not actually very older schemes in the investment market. In fact, this has been a new plan which has taken from the Mutual Fund bank ground. A mutual fund requires Rs. 5000 of minimum investment and all the common people may not be able to purchase when it comes into the investment market. So the fund managers had a plan to implement it in the investment market to help the common people a way to make money. Now a day, banks are gradually decreasing the interest rates which used to be the investment formula when interest rates were high. If you consider stock exchange market or unit link policies or mutual funds where a person require to put lot of money at a time and there is no guarantee for that money under the current marketing situations.

So the fund managers had a good idea to pick the SIP’s of different big companies like Reliance, Tata and some banks are also involved like UTI, ICICI etc. The system is well designed because an investor don’t need to put a lot of amount at one time but require small amounts on a monthly basis and purchase the no. of units for the equal value. There are some people who never able to afford lot of money at a time but they can afford a small amounts on a regular basis. This is designed for a certain period of time, on the contrary, an investor can stop at any point of time and get back the deposited amount. The return value will be based on the company’s performance and the % of profit by that time. Overall a minimum of 20% can be expected from the company if the scheme continues for long time.

This has been a very popular and famous investment plan and people are very attractive to this scheme since there is no restriction for payments and investment limits. A minimum investment in this scheme is Rs. 1000 and period depends on the investor and it can be broken at any point of time.

Title Insurance Policy

It means insurance policy is done for the property. Title means a personal right on a certain property. Any problem in the title can lead to a fail transaction. This part actually comes into the picture after the approval of the mortgage loan. Because a borrower needs to keep his property documents at the lenders place till the time the borrower pay off the full loan amount. So the borrower wants to be made an insurance against the property and he is the responsible to pay the insurance amount. Even the lender wants to be in the safer side. It is important to have insurance policy to the property so that the owner can remain safe from any kind of property related issues.

There are so many title insurance companies are there in the United States of America. They actually examine the property and then allow the borrower and some times a lender can also pay the insurance policy amount. Title insurance is important for every lending institution. So it is good for the buyers to have insurance policy against the property. It looks like additional expenses at certain point of time but insurance against the property can avoid any type of problems.

This document prepares after the mortgage or deed of trust. This document contains all the policy related information including the effective date which is called the policy date and policy amount. Some times a borrower may not do policy for complete property. He may insure half of the property as he wishes

Consolidation of the Mortgage

Combine two or more mortgage loans and make one single mortgage called consolidated mortgage. After consolidation a fresh mortgage loan will be prepared with all the details start with different norms and details like a fresh note called promissory note with different interest rate, mortgage details, county recording details, of course the mortgage amount etc. All the details like a fresh mortgage has to be prepared. This mortgage shows same lender until and unless it assigns. If this mortgage assigns while consolidate with other mortgage, the mortgagee (current lender) will change as per the assignment of the mortgage.

In the United States of America, particularly in the New York state, the requirement of the mortgage is something different from the process of other state mortgages. This state requires complete history of the mortgage. Actually in which year the mortgage loan has started, how many times it has been changed hands called assignments and currently who is holding the actual lien of the mortgage and complete recording details of all the documents. This state requires complete history of the mortgage loan from the date of approval of the mortgage till the time. There is every possibility of changing hands during the period and more than one combined mortgages. Some times it might occur more than twice or thrice. The most important thing is every county of the state requires complete history of the mortgage details and this is the reason why the documentation of the mortgage in this state is very big. So the borrower needs to understand the complete process and finally payoff the mortgage to the last lender who currently holds the rights of the property.

Gold is the current best investment

Far the last 12 months or so, the economical conditions of the whole world has drastically been effected. Every investor has started to thinking about the future prospects out of the incoming sources available in the market. Now everyone has scared to invest in any of the investments such as Mutual funds, stock market trading, Unit link policies, Systematic Investment Plans etc. All the sectors in the stock exchange are proved maximum lose, because who ever invested in any of the sectors have reached to bottom. But if we study the market carefully there is only one investment which has been given good results in terms of consumption and growth.

Whoever invested their money in gold and other precious metals are under profit side. Doesn’t matter from any part of the world, investment in gold has proved been the best investment under current conditions. Even today the market price of the gold is increasing whereas the other stocks and trading is running in the loser side. Gold has got its maximum usage in other fields but its impact in the market as the number one investment source is also appreciable. This is because people find no investment future in any portfolio and every investment source has been failed and it may continue to be the same till the end of the 3rd quarter of 2009 as per the market analyst’s views. So this is the one of the strongly supported reasons why the price of gold is breaking all the records and reaching sky high.

Modification of the Mortgage

When a borrower feels hard to continue with the current mortgage norms and regulations and his financial conditions are not permitting to continue with the mortgage loan, he may go for modification of the mortgage. There are many alternatives to foreclosure and loan modification is the best way to avoid foreclosure. To some extent it depends on the lender who allows the borrower to modify his mortgage. Before a borrower decide to modify his mortgage need to qualify for modification guidelines. Your financial condition should fall under modification guidelines. Basically a lender wants to continue with the same borrower even if his financial conditions do not permit him. So a lender always looks to create an affordable situation based of the borrower’s financial condition.

Every lender has his own mortgage modification guidelines. These will check the borrower’s net income, his capacity to repay the loan amount, equity of the property which has been used as the mortgage collateral. Most of the people avoid this process due to lack of knowledge about the modification of the mortgage and what types of forms are available to work out with the modification and most importantly people do not know about the exact guidelines of all the lenders.

The biggest advantage of this modification is to continue with the same norms but the payment will be adjusted like affordable to the borrower. The interest rates will be adjusted in such a way so that the borrower can afford the payments under his current financial conditions.