Don't Get Complicated On Me

To me, real estate and its transactions are relatively "simple". There is nothing more than looking for a house, liking a house enough to write up an offer for me, getting the offer accepted, then finishing up the rest of the way with financing and title work. Sounds pretty simple to me...

Even short sales are pretty "simple". There are lots of channels to navigate. It's lengthy, but it's not complicated.

The word that scares me ALOT in real estate is CREATIVE FINANCING. Some sophisticated purchasers like to use "such" fancy words. But in my simple mind, that just means you can't get qualified the "normal" way, you don't have money yet you still want to buy real estate - that could potentially sink you.

I worked with many investors in the past and in the end, end up getting burnt with the time I invested. I serve mostly buyers who intend to occupy the properties. Every once a while, I serve real estate "investors". Those I work for just have the additional surplus cash to sit on for when the storm hits.

So, should you qualify for real estate the "traditional" way? There are lots of legitimate loans out there: FHA, Conventional, VA, USDA, etc.

So, what if you couldn't get qualified on these terms? Should you still buy anyways?

Real estate should be purchased with commitment. In real estate, commitment is shown with upfront cash and a good credit score.

You will run into trouble if you do not have cash reserves besides your down payment and closing costs. If you did, that would mean you are living at high stakes.

Would you survive? Some do. But many don't.[Hint: The mortgage situation we're in now.]

Perhaps I am getting older. The thought of finding "lucrative money making schemes" do not appeal to me anymore, especially those contacts who want to talk to me about making 5-figure additional monthly income without working. If you think it's that easy, just send me the darn check. No need to call me. I'd cash any check sent to me in my name. Have you had those jokesters call you?

 

At the end of the day, real estate is an awesome avenue to grow wealth. But I like it done the simple way. No complication or sophistication necessary. Got money, buy house. No money, don't buy house.

 

PS: This is my blog and hence, the opinions above are entirely mine. I'd love to hear what you think and I welcome a healthy, constructive debate.

 

 

 

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Contact:

Loreena Yeo
Realtor®/ Broker of 3:16 team REALTY
(214) 783-2210
loreena@loreenayeo.com

 

Super-serving Plano, Plano, Dallas, McKinney, Allen, Little Elm, Prosper, Celina, Richardson, Dallas M-Streets, Dallas White Rock Lake area communities and other surrounding areas.

 

 

Copyright © 2010 by Loreena Yeo (3:16 team REALTY).
Don't Get Complicated On Me