There can be no two more important phrases in the investors’ lexicon than diversification and asset allocation. Many folks pay lip service to diversification without really grasping its essential tenet: To achieve maximum risk reduction, you must diversify your wealth over assets with returns that are poorly or negatively correlated with each other. In other words, Read More…

The term “property development” encompasses a fairly wide range of activities, most of which require financing. A good framework to think about property development loans involves the starting stage. In some cases, you’ll want to start by acquiring raw land and will need a loan for land purchase. Land loan financing is often accomplished with Read More…

When you apply for a property loan, the lender must assess (or underwrite) your ability to repay it in order to decide whether to grant the loan, how much to offer and what terms to require. Depending on the type of lender, the underwriting process might evaluate: The value of the property (before or after Read More…