Anti-Flip Rule Suspended Again!`

Anti-Flip Rule Suspended Again!

FHA has again suspended the Anti-Flip Rule until January 2012. What does that mean?  It means that if you are an investor (and do not intend to occupy the property), you can purchase an FHA (or HUD) home and rehab and then sell with in 90 days with FHA's full approval!  FHA wants investors to buy these homes that need repairing.  And we need for investors to buy homes and repair them!

With low interest rates and high demand for rental properties, what a great way to see a great turnaround on an investment.  Here in Georgia, homes can be
purchased for well under $50K with little repair work needed.

As in the past, FHA requires that the HUD homes purchased were required to be
held for 90 days or longer; regardless, this is
great news.

Call if you are interested in investing in Real Estate.  Many of my
investors have a ROI of 20% and more.

http://www.janejohnsonjustsold.com/
janejohnson2004@gmail.com

Did you Know?

Did you know?

Here are some interesting facts per the National Association of Realtors. 

1. For every additional 1,000 home sales, about 500 jobs are added to the economy. 

2. Every home purchase pumps $60,000 into the economy.

3. Housing accounts for more than 15% of the national gross domestic product.

4. Home owners pay 80-90% of all federal income taxes.

5. 8 of the last 10 recessions have ended as a result of robust housing markets.  The other two ended as a result of war spending. (No brainer right?)

6. Right now Congress is debating whether to keep the Mortgage Interest Deduction.  What does that mean?  It means that if you are a home owner, the interest paid on your mortgage annually will no longer be tax deductible.  It also means that there is not as big incentive to be a home owner, one of the things our economy needs most right now!


(stats courtesy of National Assoc of Realtors)

So, How's the Market?

Every day I am asked, "How's the market now?"  I see both hope and fear in the eyes of the asker.  Hope that I answer with positive confidence and fear that I will answer with a doomed and destructed mentality.

But what I actually see in the market is opportunity.  There is so much real estate to be had for such an incredible bargin!  Add to that the unbelievably low interest rates (lower than in 1960!), and you can buy more house for the money than in 60 years.  A buyer is actually saving on the front end (with lower prices) and the back end with a low interest rate, saving tens of thousands of dollars! 

So how does this benefit you as a seller?  Well if you are thinking about moving up, you will have the same savings when you are the buyer.  Sometimes this means that it is okay to take a loss on your "first home," but you will make your money once you have purchased your next home. 

This means that there are buyers out there ready to buy your home now-- qualified and very motivated buyers.  But just like in 2005 and 2006, they are very demanding!  They want a great price.  They are willing to do some repairs, but the price is the total driving factor in today's market.

"Take a loss? Really?!" Is this your reaction? Well, think of it this way: It is not really a loss at all. Example: If you paid $135k for your home and it sells for $125k, then you purchase one for $175k, but it was discounted $50k (most homes in Atlanta devalued at least 30% at the start of the "slump" in the economy), you actually "saved" $40k just on the price.    Now add to that the low interest rate and you will save monthly with lower payments and overall with less paid after thirty years.

Now you tell me: How's the Market?