Posts Tagged ‘Buy homes’

Rantings On Mortgage Money. Just Do It Now.

Sunday, October 3rd, 2010

We have gone from fogging a mirror to get a loan to blood type and perfect credit.

We should never have had the first. It just led to misuse, greed, corruption and financial ruin. Who is to blame?  Well, the financial institutions under federal mandate to have everyone own a home and then the almost manic lending practices instituted by these same institutions.  It was out and out greed on their part to make as much money as quickly as they can. As competition for this market increased the crazy ideas to lend went even farther.  Try to get an 80/20 loan now. What was that? When it was first announced I knew it was the beginning of the end.  Life is just not 100% free without some serious strings attached.

Since the debacle we are back to 20% down or FHA 3.5% down.  The trouble now is the pendulum has swung to the other direction.  The mortgage process is arduous at best.  By the time people even with good credit finally get their loan they are so stressed, angry and frustrated the excitement of their new home has been destroyed.

  1.  The appraisals are often very low due to the crazy foreclosures and condition of properties. Prices on similar homes can vary 30% or more. The appraiser then takes the lowest and adjusts to that. The appraisers have taken the blame for much of this down market and now their rules have tightened. THIS IS THE FIRST AND OFTEN FATAL HURTLE.
  2. b.      The old saying “Dot the I and cross the T” is taken to new heights. Here are just two examples. A Physician with and established practice was asked for a copy of his license. A senior VP transferred every year for the past three years had rented because of the transfers. They asked for 15 months of cancelled checks (front & back). After receiving those wanted 3 more months. AND ON AND ON AND ON!

 

I don’t know when things will get back to “NORMAL”.   I just hope it will be soon!

Now that you know the bad let’s look at the good news. That would be: Interest rates are at an incredible all time low rate. Take advantage. What are you waiting for?  Extremely low prices and extremely low interest rates are here now.  Have you done the numbers? It is a WOW!   Sign up for automatic searching in your area or desired area at www.TwoCityLink.com

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RENT VS. BUY IN CAPE CORAL

Friday, August 13th, 2010

Renting has several benefits;

Renting leaves you free to move frequently.

When renting the owner is responsible for repairs on the building.

A big plus right now is rents are low in Cape Coral and choices are plentiful at the moment.  In uncertain times it may be your best option.

A negative to renting is not knowing an owners intentions of keeping the home. You have to ask the question if the seller is upside down in his property it may not be a good place to rent. When your lease is up you might have to move. If your owner is in financial trouble and going into a short sale or foreclosure you might have to move unexpectedly.

But, if you are employed with decent credit or have cash, this is the ideal time to buy.

When have you seen mortgage rates under 5%? They haven’t been this low in a half century.

When have you seen housing priced below replacement cost?  This is definitely time to buy!

If you are staying in the home for more than 5 years, this is the time to make it happen. Tax breaks, freedom to be in control of your own environment. You can paint any color you want; remodel, etc.

You can get a nicer place, and monthly costs are stable as long as property taxes stay stable and that should happen.

There are a few dangers. If something breaks you have to fix it.

If you can, BUY NOW! This opportunity won’t come around again in our life time.

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