Help

I really have nothing to say. I read and try to understand the logic of what the government is trying to do, that may be an oxymoron. I don't think any one in a position of power has a clue as to the base causes and issues and like the Ostrich feel so much safer with their heads buried in the sand or (fill in)......................................???? And I for one am getting frustrated .

You Have to be kidding???

Believe it or not some Mortgage lenders are telling their clients NOT to pay their mortgages for 3 monthes. Even if they have never missed a mortgage payment but their credit score is below 700 and they don't qualify as a result for the new lower refi rates. If they don't pay their mortgage then they slide to the " in danger " status and can now qualify with no penalty for public payola at a much much lower rate. And these lenders are in fact on the already paid out bail out list.

Missed the Mark

Been ill. I don't think the congress has a clue. Every thing they do in for knee jerk sound bites. Freddie and Ginny have upped (again) the credit score required to underwrite. Now these are quasi governmental agencies and very close to being the last PMI guarantor left. In other words rather than helping the average American with a credit score between 650 and 750 they are "willing" to insure those that don't really need help. You know....those "qualified buyers" you hear about on TV ads. What it amounts to is taking money out of the Banking system. Write call or E mail your representatives....get smart and help not pose for the cameras in indignant huff.

Credit

Despite government intensions in the mortgage industry I think the big miss here is to get consumer credit debt under control...Credit Cards... do you know it costs less in late fees to miss a mortgage payment than a credit card payment. National usuary laws need to be established and those that don't comply get punished. It will relieve massive consumer debt and allow most to hopefully get more dollars to pay down debt.

Single vs. Multi

I am constantly asked in this market whether it is a wise investment to buy a single family dwelling as a rental unit. Why buy someone else's problem? Obviously if you buy it low it has been on the market for an extended time, so the value is not there. Also if you have a vacancy you are 100% vacant with only holding costs and NO cash flow. Buying a multi-unit existing that has a proven track record may cost more up front but it will minimize your risk and hopefully you can buy an existing solid tenant base. In fact this is how I got my son involved buying an owner occupied multi. It got him in at a lower down stroke with reduced interest plus being on site he took care of the day to day maintanance another cost savings. Check with your lender/accountant etc. and understand before you buy.

Money

There are Banks in a position to lend. However some of the "new" guidelines amke LLPs and LLCs almost undoable. Some of the new guidelines require 100% personal guaranties from all members of either and the ability to pay in case of default. It makes no sense if the Loan to Value is good and the property is marketable.

Dumbies

Why...in this economic climate would any one with any intelligence stay in the Stock Market?? You own some paper. nothing tangible. You are at the mercy of the Boardroom and a market driven by fear. Invest in Real Estate and still realize steady returns, cash flow, equity growth, and if you decide to someday sell roll it over in a Tax Defered Exchange. There are still wonderful buys to be had, just look in the right places with the right people.