Sorry to rain on your weekends (it’s raining as I write this email), however, the news about ALL of the homeowners who were going to be saved by the latest, “Underwater Refi Scheme”, is not working out as planned. The largest drop off is in the FHA and HUD sponsored programs…the ones who were coming to SAVE the unfortunate homeowners.
APPRAISALS are the largest sticking point. Appraisers think the market is still heading downward and are throwing the proverbial; “Monkey Wrench” in the Fed’s saving the homeowner works.
I apologize but I think we are looking at another down trend in real estate as the market struggles to absorb all of the “Phantom Market” (homes which are foreclosed and sitting vacant or sitting with former owners waiting for eviction…for years) over-supply of properties.
No matter what “happy talk” you hear…we’re STILL in Elvis mode.
If someone you know needs or wants to sell, especially if they are having loan troubles or are in foreclosurte…”It’s Now Or Never”. Have them call me now!!!
CNBC Real Estate Reporter and Analyst Diana Olick has the full story below...
If you have a friend whose house is “Under Water” (the loan is larger than the sale value of the house), advise them to consider selling NOW. Get the price right and sell on a Short Sale…Jamie Dimon’s company…Chase Bank is paying up to $30,000 in moving expenses “Walking Away Money” if the seller cooperates in a short sale and doesn’t damage the home or obstruct the sale.
QUOTE: J.P. Morgan (Chase) CEO Jamie Dimon acknowledged the stricter mortgage qualification standards..quote from the CNBC Interview:
“WE HAVE GONE BACK TO OLD FASHIONED UNDERWRITING. REALLY VERIFYING INCOME.”
SIX MILLION HOMEOWNERS ARE IN SOME FORM OF DEFAULT ON THEIR MORTGAGES.
American home prices have already fallen farther and faster than the Great Depression price crash for homes in the 1930s. The farther down the property values descend during this economic slowdown (the Great Recession of 2006-2020?) the more properties which will fall below the "underwater line". This means that the loans on the property are larger than what can be paid by selling the property at current market value (CMV).
INVESTOR PATRIOTS MUST STEP UP TO THE PLATE AND PROVIDE DECENT HOUSING FOR THE DISPLACED!
California has a 900 mile coastline and NO ONE is capable of building anymore coastline. The Los Angeles Basin is bordered by the mountains on the east, the Pacific Ocean on the west, San Diego on the south and Malibu on the north. The warm desert breezes run into the cool ocean breezes and create a Mediterranean climate that everyone in the world to aspires to experience. However, right now, California real estate is experience the same downturn that every place in America is currently experiencing.
Apartment Building Investments in Orange County CA are going to be a spectacular move in the very near future and will begin their upside value appreciation as the single family market continues to deteriorate.
The more homeowners who lose their homes to foreclosure or short sale, the more apartments will be needed. Building new apartments in North Orange County, CA is nearly out of the question because the cost of small vacant parcels makes the cost of new construction prohibitive.
Over the past 20 years the Cities have created such stringent "off street" parking restrictions that most of the older 4 Plex sized parcels no longer qualify without a costly building code "variance".
So, buy Orange County Apartment Buildings before the prices and interest rates go up, again.
Call me Now!