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Understanding Foreclosures: supply & demand (Part 1)

Real Estate is all about supply and demand.  In my area, almost all short sales and foreclosures are listed through our multiple listing service.  These homes are available on the market, just like all the other homes in the area.  Good investors do not like to get caught in bidding wars.  That defeats the purpose and the good deal usually goes right out the window.

If that property has not sold under the normal market conditions, what makes you think you are getting a good deal at the auction?  Continue reading “Understanding Foreclosures: supply & demand (Part 1)”
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Understanding Foreclosures: Buying Foreclosure (Part 2)

There is a misconception out there.  Many beginning investors and homebuyers automatically think foreclosures are a good deal.  Unfortunately, I’m here to tell you they rarely live up to the “hype” and they are certainly not easy.

Sellers who go into foreclosure will stop making payments for a variety of reasons.  Continue reading “Understanding Foreclosures: Buying Foreclosure (Part 2)”
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Understanding Foreclosures: How Long? (Part 3)

If you are considering buying a property at a tax foreclosure auction, there are many RISKS you should be aware of.  Remember, auctions are BUYER BEWARE sales.  I can’t stress that enough.  The County will make no representation about anything regarding that property, so it’s up to you to deal with the issues and do your homework.

There are different types of foreclosures.  The type I’ll address here are tax foreclosure sales in Washington State, specifically Snohomish County.  Continue reading “Understanding Foreclosures: How Long? (Part 3)”
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How to Be a Savvy Loan Shopper

Be a Savvy Loan Shopper… by Jen Hudson, GRI

 

When buying a car, you want go out and compare the best deals available, right?  If you find a car that is a “steal,” then you know you should look a little closer at the details and ask why.  Are they offering a warranty, a dealer incentive or maybe you are trading something else in.  Would you agree that these different details could drastically impact your final sales price?

Well, the same principal applies when shopping for a home loan.  You certainly don’t want to wind up with a lemon, so learn to be a savvy shopper.  Here are some tips and common mistakes people make when shopping for a home loan. Continue reading “How to Be a Savvy Loan Shopper”
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3 Considerations Before Investing

3 Factors to Consider Before Investing

 

Investing in real estate can certainly be a lucrative investment, but only when done right!  The flip side of that is that it can also turn out to be not only a financial nightmare but a huge burden emotionally when done wrong.

Before you even start thinking about investing, you need to do your homework.  I don’t mean just looking at returns like most “investors” do.  There is so much more than the $/sf, the cap rate today or even the purchase price and interest rate you’ll pay on the loan!

There are 3 main categories you must consider when analyzing real estate investments.  Continue reading “3 Considerations Before Investing”
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Be the Bank

Let’s admit it.  Making money in real estate during times of appreciation and free flowing financing does not take skill, negotiation or fluent understanding of the market.  For the last decade, you could have pretty much bought something with your eyes closed and still made money the next year.  Did you notice that “real estate investors” started coming out of the woodwork?  Of course, now we have “foreclosure specialists” and “short sale experts,” but that discussion is for another day.

 

Today’s market takes skill, knowledge, creative thinking and… hard work…  so, where did those guys go? Continue reading “Be the Bank”
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Mortgage Debt Forgiveness

Mortgage Debt Forgiveness

If your mortgage debt is partly or entirely forgiven during tax years 2007 – 2013, you may be able to claim special tax relief and exclude the debt forgiveness income.

Normally, debt forgiveness results in taxable income. However, under the Mortgage Forgiveness Debt Relief Act of 2007, you may be able to exclude up to $2 million of debt forgiven on your principal residence. The limit is $1 million for a married person filing a separate return. Continue reading “Mortgage Debt Forgiveness”