Bt Investments Blog

This past year I have been on a quest to find the best real estate investing training at the lowest price available. I’ve been successful in tax lien investing, but now I want to use my profits from tax lien investing and put my money into real estate deals. Real estate investing is something that I have wanted to do for a long time. I just found it easier to invest in tax liens.

I believe that 2009 is the opportune time, both to get involved with tax lien or tax deed investing, if you’ve been sitting on the fence and to purchase investment real estate. The problem that I have found in learning how to invest in real estate without getting burnt is, that there are tons of programs out there. How do you know which one is right for you? And most of the trainings, boot camps, and home study courses cost an arm and a leg. Instead of putting $10,000 down on your first property, it’s not uncommon to spend that on training – I know I did. And where did it get me? We’ll it didn’t make me a millionaire. It didn’t even get me my first deal.

My husband and I got our first deal at an auction. And then we were shocked to find out that we needed to put 20% down in order to get the financing for this deal. We only had 30 days till closing and the contract was not contingent on getting the financing. Fortunately we had financing lined up and had just enough money to put down 20% instead of the 10% that we were expecting to need. Now we knew that if we were going to do any more real estate deals we would have to use other methods to find and buy properties: Methods that required little or no money down.

The good news is that now I have found a couple of real estate experts that I can honestly say offer an excellent value for the price of their training. I will be working with these 2 women this year to maximize my efforts in real estate investing. That’s right, these 2 experts that I have found are women, in a field that is dominated by men. And these 2 women are more successful at real estate investing than most of the men out there.

One of them has been in the business for over 20 years – since she was 21, she is an extremely successful real estate investor. She even became a real estate broker and runs 3 successful real estate offices. And she travels the country giving very successful real estate trainings and boot camps. The other expert started her real estate investing business less than 10 years ago, and she has built one of the most successful internet marketing businesses as well as several successful real estate training programs and a very successful real estate business.

Join me on my Tax Lien Lady Recommends blog at www.TaxLienLadyRecommends.com in 2009 as I review the coaching and training programs from these 2 incredible ladies and keep you updated on my progress. Stay tuned for the next article in this series to find out who these ladies are and how you can have access to them.

FANNIE MAE HOMEPATH APPLIANCE INCENTIVE

Fannie Mae recently announced a sales incentive to encourage the sale of their REO properties.  This applied to purchase agreements signed on or after January 28, 2010, and closing before May 1, 2010.  During the offer and negotiation of the purchase, Fannie Mae is offering buyers an incentive of up to 3.5% of the final sales price to be used towards the purchase of new Whirlpool® appliances by Fannie Mae.
 
We have lenders that are participating with the incentive as follows:

If the buyer wishes to utilize any portion of funds towards the purchase of new appliances, the maximum appliance allowance is limited to 3.5% of the final sales price.  Borrowers may take advantage of additional seller contributions towards closing costs and prepaids.
 
Total appliance allowance plus seller contributions to closing costs and prepaids may not exceed 6% of the final sale price.  Any instances where the terms “up to” or “not to exceed” included in the purchase agreement will utilize the included dollar amount as the intended contribution and counted towards the maximum 6%.

How does the lender know what option has been selected by the borrower?  Section 38 of the Real Estate Addendum will note what funds are used for closing costs and what amount is used for appliances.  If the borrower changes how they wish to utilize the incentive during the course of the processing of the loan, the Real Estate Addendum must be amended and submitted to underwriting.  If the language includes “up to” or “not to exceed” for either closing costs or appliances, and the actual amount is less than the amount stated in the agreement, an amendment is not necessary.  However, if the funds were previously divided between appliances and closing costs and change to all appliances or to all closing costs (or vice versa), an amendment would be required.

Property Eligibility:
        Primary Residence.
        Second home.

Ineligible:
        Investment property.
        Conventional agency financing.

Your local Wisconsin, Illinois, Minnesota and Florida Mortgage Bankers:

Kelly Rydzik
Toll Free: 877-240-5810 x105
kelly.rydzik@madisonmortgageguys.com
www.madisonmortgageguys.com
 
Visit my blog at http://www.madisonmortgageguys.com/blogs_kelly_rydzik/