Commercial Mortgage Strategies – 1031 Exchange Seasoning of Ownership Limitations

Commercial mortgage lenders will frequently have very specific requirements stipulating that purchase funds must have been in a verifiable account for a specific period of time, often 3-6 months or longer (this is called seasoning because it is tantamount to requiring that the funds have matured by being in the same place for a while). Seasoning of ownership for commercial mortgage loans is similar to seasoning of funds, except this requirement involves the minimum time someone has owned a commercial property before they can refinance the property. Most traditional banks require a minimum holding period (usually a year or more) before a commercial mortgage loan can be refinanced. That minimum period is the ownership “seasoning limitation”, and if it is one year then it means that a commercial mortgage loan cannot be refinanced for at least a year.That is not a particularly troubling limitation EXCEPT in the case of refinancing after a 1031 Exchange. In the case of Commercial 1031 Exchange properties, commercial borrowers should benefit from commercial mortgage loans for 1031 Exchange Refinancing without seasoning of ownership limitations , and there are a limited number of sources which do not impose ownership seasoning limitations on refinancing 1031 Exchange Properties.WHAT IS UNIQUE ABOUT THE 1031 EXCHANGE REFINANCING SCENARIO?In simplified terms, with a 1031 commercial real estate exchange, owners are required to reinvest their equity in a subsequent qualified purchase. Commercial mortgage borrowers who have properly completed 1031 Exchanges might want to tap into some of their equity shortly after a 1031 Exchange is completed via 1031 refinancing. These borrowers will usually encounter seasoning of ownership limitations from most lenders that will effectively prevent such a refinancing. If a commercial mortgage borrower wants to consider 1031 Exchange refinancing and has recently completed the 1031 Exchange, they should seek out a lender without seasoning requirements or limitations. However, there are many technical issues surrounding a 1031 Exchange and 1031 refinancing that will require commercial borrowers to consult with a qualified 1031 Exchange advisor before proceeding with refinancing of commercial 1031 Exchange properties.Copyright 2005-2006 AEX Commercial Financing Group, LLC. All Rights Reserved.

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How to Invest Money and Where to Invest It For 2014 and 2015

Hold your breath, but no one really knows how to invest money or where to invest for 2014, 2015 and beyond. Asset allocation is the name of the game for investors both large and small, and the near future looks challenging. Your success will depend on whether or not you know where and how to invest money across the asset classes.Think of asset allocation as HOW to invest. You can be conservative, moderate, or aggressive in pursuit of a long term financial goal like retirement. As to WHERE to invest, think of mutual funds if you are an average investor. The question is which funds and how much to allocate to each. Your three basic choices, in order from safe to risky are: money market funds, bond funds, and stock funds.Now, why will knowing how to invest money for 2014, 2015 and beyond be challenging for investors? The reason is that none of the average investor’s three fund choices look attractive. With record low interest rates in the economy, safe interest-paying options (like money market funds) are paying next to nothing; and quality bonds (and bond funds) are only earning interest in the 3% range. Stocks and stock funds have been winners for 5 years running, in a lackluster economy that may be slowing down. Asset allocation and knowing how and where to invest is a tough call when none of the three basic asset classes looks attractive.In hindsight, where and how to invest money actually was a pretty simple call up until 2014. An asset allocation of 50% to 60% in stocks with most of the rest going to bonds worked just fine for most of 30 years, and risk was moderate. Bonds and bond funds were steady performers, and often acted to offset losses for investors when the stock market got ugly. Actually, knowing where to invest and how to invest money has been a relatively simple proposition since the early 1980s. That’s when inflation and interest rates peaked… and then basically declined for over 30 years.Memorize this: bonds and bond funds go up in value when interest rates fall. That’s the way they work, and that’s why they performed well for most of 30-plus years.Looking at 2014, 2015 and beyond… investors could be in a whole new ball game if or when inflation and/or interest rates go up significantly. In 1981: short term CDs, mortgages, and high quality bonds and bond funds were all at 15% or more. Money market funds peaked at 20%! Compare that with today’s record low rates. How would a significant increase in interest rates affect your asset allocation decisions in terms of how to invest money and where to invest it?An asset allocation of 60% stocks and 40% bonds would no longer carry just a moderate risk because rising interest rates would guarantee that bonds and bond funds would LOSE money. Higher rates mean lower bond prices (values). At the same time, it would be too aggressive for most average investors to load up on stocks and stock funds. The bull (up) market in stocks is more than 5 years old. Plus, rising interest rates can hurt corporate sales and profits – which tends to lead to lower stock prices. On top of that, if you are too conservative and safely sit on the sidelines, sooner or later you’ll need to decide how to invest money and where to invest it. Otherwise, you’ll never get ahead and achieve the growth necessary to reach your financial goals.Average investors need a moderate asset allocation that they can be comfortable with in 2014, 2015 and beyond. Splitting your money between just stock funds and bond funds could be too risky for you going forward. The simple answer to where to invest hasn’t changed: money market funds (or another safe option), bond funds, and stock funds. But you might want to modify your strategy for how to invest money across these asset classes, in order to lower your level of risk.A simple solution to how to invest money: spread your money equally across the three asset classes, one-third each. If you want to take things one step further, consider adding alternative investments like gold, oil, and other natural resources to your asset allocation mix. This fourth level of alternatives has sometimes been the answer to where to invest when the stock market gets ugly. There are specialty stock funds available to average investors that specialize in these sectors: gold funds, energy funds, and natural resources funds.Above all else, realize that 2014, 2015 and beyond could be a different playing field if interest rates go up as many market watchers forecast. No one will really know how to invest money or where to invest it if rates take off – but by positioning yourself with a moderately conservative asset allocation you can avoid heavy losses. Then, when the dust starts to settle, you can start accumulating bond funds and stock funds when share prices are cheap.

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How Social Media Allies and Upsides Your SEO Efforts?

SMM and Search Engine Optimization are usually given a separate space in the digital marketing arena.

And, quite reasonably, they are the two most decisive factors in the online marketing sphere.

But what we fail to understand is why many businesses do not acknowledge social media marketing as one of SEO’s most influential allies.

Do we intend to say that social media directly encourages your Search engine rankings?

The simple answer could be NO!

You must recognize that social metrics like Facebook likes and Twitter followers indicate social profile authority but have no hand in directly circumscribing the search engine rankings.

Surely, our straightforward answer is confusing. However, we completely believe that SEO and smo are powerful collaborators whose association must be leveraged for digital marketing success.

Let’s dig deeper and express how SMM can merit and warrant your SEO strategy.

The Relationship Between Social Metrics & SEO

Let’s assume that there might have been experiments conducted in the past that determine the use of social-media metrics such as social mentions and engagement level for search engine rankings.

But due to the unpredictable and unstable nature of smo and the weak signals generated, professionals might have dropped the attempts.

This was well elaborated by Matt Cutts back in 2014 in a Webmasters video. He was the Head of Google’s Webspam Team back then, and he revealed that social media provided incomplete signals.

Also, search engine algorithms can’t ascertain the reliability and authority of the smo posts and the profile.

Nevertheless, is there an Indirect way that social media influences search engine rankings?

And, this was embellished in the Cutt’s video itself.

He said that Google treats all social media websites like any other website on the Internet, which means that the same rules apply to Facebook, Twitter and so on as it applies to other websites.

Benefits of Social Media for Business

A Linkable Opportunity

As most social media consists of links to other websites, site owners and content creators can use it to promote their content.

You can employ a particular mixture of organic and paid promotions strategy to maximize your audience base.

Here’s how this happens-

As you use social media, there might have been countless times that some articles impacted you.

The impression an article made is evident in the things you share and communicate on social media. You might often use the information from the article in your other works, giving the source article a reference.

Understand that people cannot relate to something unless they know about it. Social media gives the perfect opportunity to content creators to prompt the audience and share link-worthy content.

You might well concede that SMM has given attention to many websites and individuals who were not known before. Creating Brand Mentions

Now, suppose someone or something (brand, product, service, individual, business, etc.) that has not yet been identified by Google suddenly notices many remarks online. In that case, it will influence Google to categorize them as an “entity”.

These are some unique circumstances that can boost your search engine rankings. This is bound to the context you are being mentioned or how people are talking about you online.

Understand that you are not adjudicated for how high you rank for a thing but what you entail as an entity.

So your website might not be getting a mention for a specific thing right now, but seeing the number of people who put trust in you, they can well start recognizing your business for that particular piece.

This is called the power of positive mentions.

Nevertheless, you need to make sure that positive mentions are not just on social media but on all public forums.

You can spring your brand marketing with your true audience base and inspire positive reinforcement and communication on social media.

Social Media For Searches

You cannot miss the fact that people use social media to search for a particular product or brand, and your audience base is just not limited to Google or Bing.

As you operate Twitter, you will realize that the social media channel with its trends, hashtags, insights and other tools give you a perfect opportunity to collude with the potential customers, making your content visible to the users.

You will find similar responses to Pinterest and Instagram.

Also, if anyone wants to know more about your company, he/she will likely ascertain your presence on Facebook, Instagram, Twitter channels- do a quick search and decide upon if he/she wants to deal with your business or not.

In 2016 Mark Zuckerberg had mentioned that “Now people are doing more than 2 billion searches a day between looking up people, businesses, and other things they care about.”- source Techcrunch.

Facebook had earlier retreated on a semantic graph search engine and launched a true keyword search, which landed in more search queries for media channel.

Twitter, since its onset, has been the leading destination for the population to flock for searches, especially in the event of big global news. Full post search appeared to have worked for Facebook and have expedited query volume.

Changing The Idea Of SEO

We have reached the phase where SEO is not just centered till Google optimization. We need to realize that search engine optimization is extending and converging on smo.

Also, if Google has been unclear about its stand, Bing, on the other hand, has been quite positive in including social metrics in its search engine algorithms.

You may well agree that the audience that reaches the company website, lurking through digital media channels, has already interacted with the company in a very pragmatic sense.

Also, digital media gives users the capability to engage more powerfully and compellingly. Hence, it will be only effective to broaden your social, media capacities and elicit brand awareness and growth.

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