I look around this little chunk of realestate called North America, and I see that “we the people” have been given everything we need to keep us from becoming inovative. It seems that no one has a real need to make things that could make the easy life we live in, even easier. If you want to realise why society wasnt obese in the old old days , then just picture this world without fossil fuels and electricity….imagine the world if it went through a magnetic pulse where every mechanical and solid state, man made invention, that was dependant on electricity to operate, right down to a simple digital wrist watch or solar powered calculator,was no longer of any use……we would be free….., then I think about that statement for a second and grin. We would still be owned by our governments like always. Peace
February 5, 2010
October 11, 2009
Buy Owner Financed Homes and Keep Your Money
Buy Owner Financed Homes and Save Bundles of Cash
Buying owner financed homes, or homes seller financed is not new, however most people has no clues the various ways a seller financed deal is setup. More importantly, owner financed homes do not normally require application fees, mortgage insurance protections, or qualification using debt to income ratios.
This article is going to explore the potential cost savings of an owner financed home versus standard bank lending.
The first item you can save is an application fee. Application fees are different with different banks, and can oftentimes be hidden via other terms. This is most often a nonrefundable charge that is charged to the borrower for the benefit of reviewing your loan application. This fee can go from $100 to $500.
The second area the can be eliminated by buying a home with seller financing is my means of not paying points. Points are usually calculated as 1% of the loan, and the greater money you pay toward points, the lower your rate of interest. Alternatively, less points you pay, greater will your rate of interest be. Most owner carry transactions do not tell you how many points you need to pay.
The 3rd fee that does not need paid during a seller financed sale is a residential home appraisal. Fees for a home appraisal can fall in the window of $250 to $450, or even more if the property is nontypical (like a commercial or multi-unit). The main reason you would pay this fee in an owner financed transaction is if you want one for the peace of mind. Oftentimes, sellers are able to raise the sales price for being your lender. Thus, the appraisal, which is based on a “cash type” transaction may be lower than what you agree. However, nothing is ever set in stone and an appraisal is not the end of the world.
The final savings topic for this post is the payment of PMI. PMI is a type of insurance that the borrower is required to pay on “low down” loans. As the housing collapse continues, these costs are getting higher for potential home buyers, and must be included when calculating what your monthly house payment can afford.
In summary, owner carry is an awesome method to not only have a better than the banks interest rate, it can also substantially reduce the amount of money you need up-front to purchase the home.
Want to buy Owner Financed Homes?
October 7, 2009
Keep Your Property In Good Shape: Stay Profitable
However, you do not require thousands of dollars for that. Only a little amount of cash will do. This little expenditure will eventually turn out to be a highly profitable investment, as it will attract your tenants, and you will be able to bargain a higher rent from them.
Replacing The Old, Ugly Switch Plates
One of the common mistakes that most real estate investing landlords and rehabbers do is that they paint the entire unit except for the old ugly switch plates. Ridiculously, sometimes, they even paint over them. Do not overlook such things, and get them replaced by new ones. It may cost you as little as about 40 cents each. Even if you have to replace the switch plates in the entire house, it will cost you somewhere around $15 only. While you do this, try to be creative and innovative. Consider nice brass plates for the foyer, living room, and other obvious areas. For that, even if you go for the most expensive ones, it will not cost you more than $4 each.
Improving The Condition Of Doors
Doors can be another inexpensive replacement. For example, if you have ugly brown doors, it is always a great idea to replace them with decent white doors. If you do not at all want to expense that much, for real estate investing rental purpose, you should at least consider replacing the downstairs doors.
Replacing The Door Handles
Just imagine an old door handle, especially with crusted paint on it. If you let it remain unrelated, what impressions will its drab look create on your real estate investing tenants? If you do not want to spend expense on that, consider replacing them with new brass finished handles. It will not cost you more than $10 overall.
Painting The Trim
If you do not want to paint the entire interior of the house, you should consider painting the trim at least. It will substantially enhance the look of the real estate investing house. If your house is one of the new, modern, custom homes with typical beige or off-white walls, with bright white trim, painting the trim with a semi-gloss bright white paint will certainly be a great idea. The same goes with the floor trim.
Improving The Foyer Area
Besides the front door, it is the foyer area that creates the first impression for the real estate investing tenants. You should consider gracing the same with linoleum floors. A good one will not cost you more than $100 in materials.
Kitchen Cabinets
I will not suggest to you to replace the complete kitchen cabinet, but you can at least consider painting them. If you have style wooden cabinets in a lovely dark brown shade, paint them using a semi-gloss white and finish them with colorful plastic knobs. However, it is not necessary to paint the inside of them.
Do Some More
If you have done everything to improve the look, do some more. How about adding a nice colorful mailbox instead of the usual old black one? Your tenant will be impressed with the creative look this adds to the house.
Always remember, in real estate investing business, you never get a second chance to build a first impression.
James Klobasa, once broke with no job and $20,000 in debt made a choice that changed his life forever. That choice was investing in Real Estate. With the founder of, The Little Building Co. you too, can learn at Real-Real Estate Investing