Tuesday, January 8, 2008

Monaco Realtors in Last Chance Saloon
The annual yacht show in Monaco always guarantees Europe's second smallest country's hotels are full, and this year will be no exception.
The show has grown in popularity over the fifteen years since it began, and this year will see Monaco's Port Hercules play host to over ninety of the world's finest yachts and five hundred of the world's best yachting companies.
The luxury yachting market has tripled in the last eight years, and helped along by orders from Russia's 'nouveau riche', the industry has seen an increase in orders of over a quarter in the last year alone.
But while luxury and Monaco are often associated, poor sales and a possible drop in property prices haven't been seen in the Prinicpality's real estate sector for over a decade.
Monaco Real Estate
In contrast to the highly successful Yacht Show, property sales in Monaco have been unusually slow in 2005. Although only a square mile in size there are over a hundred estate agencies battling for buyers to choose their services, and at times it seems that every third or fourth retail unit has been commandeered by a property company in Monte Carlo, the best known and most sought after area of Monaco.
According to Monte Carlo property specialist Henri Boulanger some estate agents are being squeezed, and are viewing the yacht show as the last opportunity to turn a dismal year into a good one.
'The yacht show attracts a wealthy clientele in considerable numbers, and the type of person who might be buying a luxury yacht might well be thinking about buying a property in Monaco as well.
While it wouldn't be etiquette to actively pursue buyers, many estate agents in Monaco are desperately hoping to see their doors open and for one or two potential buyers to call into their offices.
With good two bedroom apartments starting at over a million Euros, and penthouses with Mediterranean views often over five million and some of them over ten million, it can take just one sale to turn a bad year into a good one.'
Monaco's property price inflation has often risen by over ten per cent a year in the last decade, but a combination of events have conspired this year with a possible stagnation in prices for 2005, and potentially even a fall.
The passing earlier this year of the popular Prince Rainier, Europe's longest reigning monarch, cast a cloud over the area which it is just emerging from, but economic factors have also played a significant role in the downturn of the real estate market.
'The strength of the Euro against the American dollar has led many of our potential buyers from the US to delay their viewing visit from this year to next, and earlier this year another source of important buyers from the UK held back until after the election to see what the outcome would be', explains Henri, adding 'and now with the uncertainty of the economy after the recent tragedy of Hurricane Katrina it is quite possible that some US buyers will delay their visit even more, or possibly to cancel buying in Monaco altogether'.
Monaco Grand Prix
No surprise then that while the tourists will be in Monaco in the same and possibly increased numbers than last year, the prospect of several dozen potential property buyers descending upon Monaco and staying in her best hotels over a few days is seen as an opportunity not to be missed by the realtors.
But what is surprising perhaps is that the Yacht Show is viewed as a better opportunity than the Monaco Grand Prix for her realtors.
'The Grand Prix attracts tens of thousands of people to Monaco every May', explains Henri, 'And every April we get a lot of new enquiries for property in Monaco, with the buyers asking to view apartments in Monte Carlo with views of the race circuit during the Monaco Grand Prix weekend. But what they don't realise is that many of the apartments for sale have been rented out for the weekend, and viewing is impossible.
Even if an apartment hasn't been rented out for corporate hospitality it would take all day to get from one apartment to another. The Grand Prix is a great tourist event for Monaco, and some of the estate agents go away for a few days. They won't be doing that during the Yacht Show!'

The fifteenth annual Monaco Yacht Show is being held this year from September 21 to 24. Full details can be found at www.monacoyachtshow.com
and Monaco hotel details
http://www.yourmonaco.com/hotels

For a guide including a Monaco map, Monaco weather, direct contact details for hotels in Monaco including the Hotel de Paris and Columbus hotels and the Monaco Grand Prix can be found at
yourmonaco.com

Details of Monaco Real Estate can be sent upon request at
www.monacoproperty.net


FREE Tenancy Agreements
Are you looking to download a FREE tenancy agreement? Finding a free tenancy agreement that you can download is fairly easy. But what you need to check is exactly what level of protection it would provide you and your tenants with. It is also worth considering what level of value there is in a product that is being readily available without a cost? Besides, this legally binding document is to help you protect your investment property so is it worth spending a little bit more to ensure that you get a fully comprehensive solicitor prepared assured shorthold tenancy agreement to give you maximum protection?

If you are busy and don't always have time to get out to the solicitors or stationers then it is still possible to buy an on-line Tenancy Agreement that is prepared by a qualified solicitor. As a landlord and also as a tenant it is important that there is a comprehensive tenancy agreement in place to protect both parties. Don't be tempted with purchasing off the shelf do it yourself tenancy agreements. Some may be Free, but they do not necessarily give you the level of protection you need. It really is worth investing in a fully comprehensive solicitor prepared assured shorthold tenancy agreement .

Tenancy agreements

Tenancy agreements are a legally binding document which protects both a landlord and the tenant when renting out property.

Amount of Rent

A landlord will determine the level of rent based on market conditions and level of rent expected on the type of property in question.

New landlord renting for the first time

If you are a new landlord renting your property for the first time it is essential that you purchase a comprehensive tenancy agreement. Never, believe that trust is enough. This is a business relationship to help protect your investment property.

Damage deposits

It is important for landlords to take a damage deposit from the tenants. The amount set is determined by the landlord. However, it is a worthwhile investment to purchase a landlord inventory now as this will detail the condition of the property and contents prior to the tenants moving in which can be signed by all parties. When the tenants vacate this landlord inventory can be used to determine whether any of the deposit needs to be retained for repair/maintenance work created by the tenants.
Evicting tenants

It is never an incident that a landlord wants to exercise but on occasions it is necessary to evict tenants. There are certain procedures that a landlord must take to do this. In the first instance it is worth consulting a solicitor to find out how to execute this.

Rent Arrears may need to get a county court judgement

Many landlords will collect rent via direct debit from their tenants own bank accounts. It is important that tenants pay the rent on time and the full amount so as to avoid getting into rent arrears. If this does happen the landlord may have to apply for a county court judgement to resolve the rent arrear issues.

Before you evict you need to know which notice to serve

As a landlord needing to evict tenants it is important to know which eviction notice to serve. There are a number of good information sources available to find this information, but it is always worth contacting a solicitor to ensure that it is done in the correct legal manner.

Each party has certain obligations that they must meet. These can include:

The Landlord

- Adhering to Safety Requirements
- Collecting Rent
- Attending to repairs on the property
- Enabling the tenants to live peacefully in the property you have provided
- Not harassing the tenants. This can include visiting the property without prior notice, builders/tradesman arriving at the property without prior notice and generally leaving the property in a poor condition for the tenants.

The Tenant

- Paying Rent on time
- Ensuring that bills are paid and on time
- Contacting the Landlord notifying of any repairs needed
- Issuing the Landlord with the correct period of notice before they leave

When both parties have signed the tenancy agreement it is very rare that it can be changed unless the tenant and the landlord agree mutually. For example if a tenant has signed an Assured Shorthold Tenancy Agreement for a minimum period of six months and the tenant wanted to leave after just three months, then they may be liable to pay the remaining three months unless a break clause is written into the original tenancy agreement signed.

As a tenant there are certain steps that they need to take to terminate their tenancy agreement. Under normal circumstances they would give the landlord notice that they are leaving. Even if this is not written into the tenancy agreement, it is common courtesy to let the landlord know so that the landlord can begin necessary preparations to source new tenants when they vacate.

Different Types of Tenancy
If a tenant pays rent to a private landlord and live in a flat or house that is not shared with the landlord, the tenants are likely to have:
• an assured shorthold tenancy
• an assured tenancy, or
• a regulated tenancy
This applies even if the tenants have a room in a house that is shared with other people. The type of tenancy also depends on the date the tenants moved in.
Assured shorthold tenants
If tenants moved in after 27 February 1997, they are more likely to be on an assured shorthold tenancy agreement. Although it is still worth checking as tenants may be on an assured tenancy agreement if the landlord said that the tenancy would be an assured tenancy rather than an assured shorthold tenancy before they moved in.
An assured shorthold tenancy agreement gives the landlord a guaranteed right to repossess the property at the end of the term. This is the most common tenancy agreement used for most residential tenancies.
Assured tenants
If tenants move in after 15 January 1989 but before 28 February 1997 and the landlord didn't give notice stating that the tenancy agreement was to be an assured shorthold tenancy agreement, then it is likely that the tenants may have an Assured Tenancy. Although the landlord may have given the tenants a notice stating that the tenancy agreements is an assured tenancy rather than assured shorthold tenancy.
You may also be an assured tenant if you became the tenant because the tenancy was passed to you after a regulated tenant died.
Regulated tenants
If the tenants moved in before 15 January 1989, it is likely that the tenants will be on a regulated tenancy. A regulated tenancy can remain in place even if the landlord changes or the tenant moves to another property owned by the same landlord.


Finding Structural Problems During Escrow – Small Rural Home Example
In rural home purchases, the transaction is often subject to a satisfactory home inspection being done. Any imperfections are usually corrected during escrow. Now and then, however, a home inspection uncovers severe structural problems. What happens then?
Structural Problems – Small Rural Home
With a small rural home purchase, the discovery of structural problems can be more problematic. Typically, neither the seller nor buyer has sufficient funds to undertake major repairs. Still, solutions such as the following one can be found.
The house was a 3 bedroom, one bath, rambler built on a crawl space set on a one-acre lot in a rural setting. The sellers were a husband and wife both of who were disabled. I'm not talking about a "slipped on a banana peel" trumped up disability here. The husband had been electrocuted at work, spent 14 days unconscious and suffered a massive heart attack. The wife suffered from a progressive problem with arthritis. The buyer was a young widow with 3 children.
The home inspection turned up old termite and water damage. The termites had been killed and the drainage problem fixed, but the sill plates and floor joists were seriously damaged. The floors were somewhat soft and sagged in various areas. The young widow could not afford and did not want to deal with the problem. She asked to be released from the contract.
To complicate matters, the husband's former employer had declared bankruptcy and had not paid his medical bills. The husband was borrowing money to pay the bills, but the medical bills were still growing. The sellers discussed the situation. They understood the buyer's point of view, but did not know how to fix the problem. Their mortgage lender declined to make a second loan and the sellers didn't have any savings left.
A business friend suggested the sellers ask a young builder friend to evaluate the structural damage. The goal was to get a ballpark idea of the cost to repair before throwing in the towel. It turned out that the builder couldn't remedy the problem because the house needed to be raised to give room for new sill plates and floor joists. The builder suggested a house-moving firm make suggestions.
The business friend also gave the sellers the name of a lender who had been useful to people in uncomfortable circumstances. The sellers contacted the lender and were able to get the necessary loan. The house moving firm and builder worked out a reasonable deal and the loan was used to get the necessary work done. The deal closed, the sellers paid off the loan, paid down bills and the buyer was happy.
The moral of the story? No matter what happens, don't get angry, don't lose your cool and don't give up. If you can keep your head, behave like a reasonable adult, and keep communication lines open, your chances of holding your deal together are amazingly good.
Raynor James is with FSBOAmerica.org - FSBO homes for sale by owner. Visit our "sell my home" page to list your home for sale.