New Program for Investors, 10% Down Available

This Just in!  Investors can now get back in the game with the new Fannie Mae Homepath Program – Loans available with just 10% down and NO mortgage insurance!  Also, closing costs are much lower that other investor programs out there.

Not all homes qualify so call for a current list.  Here are the details…

Fannie Mae, the agency sponsored by the U.S. government to help make housing more affordable to all Americans, now offers HomePath, a special new home loan to finance the sale of its current real-estate owned (REO) properties across the country.

Lower down payments and relaxed requirements mean more homeshoppers can become homebuyers. HomePath helps you sell more homes!

Here are the key benefits of a HomePath Mortgage Loan:

• Only 3% down required on a primary residence property
• No mortgage insurance required
• No property appraisal required
• Only 10% down on 1-2 unit investment properties
• Get up to 6% in seller concessions on primary residence properties

In addition only select lenders are approved to offer the HomePath loan, we’re experts with REO transactions.

This is a great opportunity to take advantage of the market and lock in a new home or investment property

Buying Real Estate in a Down Ecomomy

Barbara Corcoran

Do you know who Barbara Corcoran is?  Well, back in the 90s she took a $1000 loan and turned it into a 5 Billion Dollar Real Estate Business.  She is now the Real Estate Guru for the Today Show.  Last week she was on and gave her rules for buying in a down economy.  Her main point was that now is a great time to buy and invest.  The biggest fortunes are made in times like this, not during the good times.

Rule 1
Find a good beginner property and stick to what you know.  Invest in your own backyard – not halfway across the country.

Rule 2
Start small – all the big guys started this way.  Get you feet wet on something reasonable.

Rule 3
Buy the block, not the house – tenants rent in a pretty environment.

Rule 4
Examine the rent receipts not just the leases.  Make sure they are actually paying!

Rule 5
Always remember that it costs $$$ when a tenant moves in and out – budget for this.

Rule 6
Partner with an opposite of yourself – someone with different talents than you.  Don’t buy an investment with a friend but with someone who compliments what you bring to the table.

Rule 7
Don’t call your prospective tenants current landlord – call the one before the current one.  This is where you will get the true story.

Rule 8
Don’t rent to a tenant who can move in tomorrow.  A quick move-in means a quick move-out.

She concluded with the advice not to miss this golden opportunity to start your real estate fortune.   I was at a conference last week where David Bach was a panelist (he is a noted author of several financial advice books).  He made the point that the investment property you buy in the next year could fund your retirement.  Don’t buy just to buy but invest in what makes sense.

Note:  We have access to properties now that allow an investor to buy with only 10% down, no mortgage insurance.  Call for more details.