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That's right!....it's a great time to buy now.   There are so many opportunities out there so if you are one of the few that is qualified for a mortgage or have cash, then you are in the driver's seat.  Honestly, Jon and I wish that we had endless supply of money because we would buy many properties and hold on to them especially that there is a high demand for rentals because most people can't get a mortgage.  So, either you go out there shopping or give us the money and we'll make sure you get a nice return on your investment while we do all the work. 

Happy Investing,

Randy Z

Do you qualify?

The new bill contains a provision for a TAX CREDIT for first time buyers. The credit is for $7,500 as long as the home that was purchased is $75,000 or more.
Here is how it works and who is eligible:
1) Must be a First Time buyer which is defined as anyone that has not owned a home in the past 3 years.
2) An individual qualifies for the full credit if their income is $75,000 or less. They qualify for a partial credit as long as their income does not exceed $95,000. Details on the phase out between $75K and $95K will be provided ASAP. A couple can earn up to $150,000 for full credit and the phase out applies with income up to $170,000.
3) This is an actual credit not a deduction. This means a First time buyer that has paid in $7,500 or more in federal tax will get back an extra $7,500 when they file their 2008 tax return.
4) Program expires 7/1/09. So buyers must buy and close before 7/1/09. This is meant to motivate buyers to act now.
5) THE CATCH IS, The additional credit given by the government must be repaid over the next 15 years or $502.50 per year interest FREE.

Hope this clarifies things for everyone and happy house hunting.  It's a great time to buy so don't be fooled. 

This is great news for all rehabbers and investors:

FHA waives 90-day waiting period for resales
by Matt_Carter from Inman News.  www.inman.com

In an attempt to help lenders speed the process of getting real estate-owned properties off their books, the Federal Housing Administration will temporarily lift a 90-day waiting period for property resales financed by FHA-guaranteed loans.
The 90-day waiting period -- instituted in 2003 to counter predatory lending and house flipping -- never applied to properties sold by Fannie Mae, Freddie Mac, or state- and federally chartered financial institutions.
Click here to read more on this site

http://www.inman.com/news/2008/06/13/fha-waives-90-day-waiting-period-resales

Hi all

We are half way through March already and Easter is right around the corner.  We hope all of you have a safe and family oriented holiday.  Just wanted to give you a quick update on the market.  Well, we feel that things are stablizing a bit now and more buyers are out there searching for homes.  Interest rates are very appealing and there is lots of inventory to pick from.  However, most buyers are looking for deals and there are many of those.  Just be patient and you might be able to buy with 20K to 30K in instant equity at closing.  Most of these kind of purchases could be acquired through short sales where banks are taking a discount to let the homeowner sell the house.  That's where the patient buyer steps in and gets a great deal in this market.  If you don't know what a short sale is, please click on the short sale tab on the left, which explains it in more detail.  Also, we have many of these types of short sales right now that we are working on and they are called pre-foreclosures.  You can also click on the Pre-foreclosure tab on the left and all of the listings will be displayed.  So don't be afraid of the market, it's a great time to buy right now so go out there and hit the streets.

As active real estate investors and agents, the market could not be better.  Something to keep in mind though while you invest...., be very conservative.  Be carefull how you buy properties if you are thinking of rehabbing it and selling it for a profit.  Keep in mind that prices might still drop in the near future so leave enough profit for you so you don't loose your shirt.  We are very conservative in this market as we buy properties because we understand that you make your money when you buy.  On the other hand, if you are buying your first home to live in, the opportunities are endless to find a great deal. Just make sure you are working with someone that understands the market and could tell you if you are getting a great deal or not.  There is no reason for anyone to pay full retail value right now especially if you are handy and could do some cosmetic work yourself.  You can be easily in a property with $30K to $40 in equity at day of the closing.  The time could not be better for qualified buyers, inventory is endless and the rates are low.  So go ahead......go on now.....don't delay.....get moving......and find that perfect house. 

I read this recently and I thought I should share it with you guys.  There are many myths when it comes to credit cards and how your credit score gets affected.  One of them is that you should always close old credit card accounts.  Well, that is not true because closing an account actually leaves you with less available credit but doesn't reduce your outstanding balances,which can hurt your score instead.  Another one is that as an authorized user on my parent's credit cards, you will inherit their credit history.  Unfortunately, not anymore, because the Fair Isaac is changing its FICO score formula to ignore authorized-user accounts.  Then, the myth that closing an account with a negative history will help my score is not true since your score includes both open and closed accounts.  Negative information can stay on your record for up to seven years.  Lastly, you might think that only your loans and credit accounts affect your score. However, even unpaid parking tickets or library fines can be sent to collection. A debt in collection is consiedered seriously delinquent and could drop your score by 100 points.

Well, we hope this was very informative.

Drop us a line....Come on.

I came across this article about Radon Testing today as I was eating lunch and I thought it would be a good idea to make everyone aware of it.  Not too many of us really perform this test when we buy properties and it might actually make sense to do so to be safe.  Radon gases are invisible and you can't smell it so it's hard to tell if you have it in your house until you run the test.  The test itself is fairly simple and not expensive at all.  It can cost about $15 to $50 to do it yourself or $50 to $200 to hire a certified professional.  That is a cheap price to pay to have the peace of mind that your health is not being affected by these gases.  Radon gases have been linked to many cases of lung cancer and it's not something that should be taken lightly.  If you want, read the whole article about this story here: http://www.app.com/apps/pbcs.dll/article?AID=200771128066

Until next time,

Randy