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Greetings!
Hello Members! I hope 2013 is shaping up to be a terrific year for you.
Hope you remembered
Valentine's Day with that special gift that says I love you..... See you soon, Paul
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REAL ESTATE UPDATE:
I ATTENDED A FULL DAY CONFRENCE on Real Estate last month. Also present were banks, title companies and foreclosure attorneys. Here is the down and dirty of what went on.
People in the title industry are very concerned about a backlash of title problems from poor foreclosure producing. They are concerned they will be taking the blame for bad bank deals. They were saying how they love short sales as the owner, not the bank, is selling the house and title is stronger. So make sure your deals and title insurance are good. If you're buying bank properties read the title commitment thoroughly to make sure they have not weaseled out of anything. You don't want to be left holding the bag.
Property Tax Proration:
A couple of investors have told me they received letters from the buyers of their properties with a bill requesting payment for increased taxes on the houses. All had signed "as is Contracts" and thought the sale was a done deal. But it appears they all signed paperwork from the title company that said if the tax amount was different from what was on the HUD they would agree to split per your proper proration. Also in one case the signature page was separate from the written page so the seller did not even see this section. The cost was over $600.00 and he was advised to just pay it. But this proves my adage that you should never close without YOUR ATTORNEY looking over the deal. So watch out for this one: it could come back and bite you in the butt.
Home Owner Insurance:
Wow, just got my property insurance bill for 2013 and we got a 26% increase so I am not too happy. I am being told that most people got an increase. But this could cause major issues with your deals. It is more important now than ever to make sure the homes you're buying will have the best possible insurance rate. The age of the house and of the roof are the big issues. Just handled a sale for one of my investors who was selling a home build in the 70's and when the buyer tried to get insurance the cost was over $ 3800 per year. That's $316.00 per month not including taxes or the payment. If your buyer is FHA or is close to the debit to income ratios the insurance may just put them over the limits and you will have to discount the house to make the deal. Or have to pay for the first year insurance to get it to the closing table. So it would be wise to check on the insurance rates of houses you are going to buy before you close on them.
Doris Corner:
Hello Members! Hope you're doing well. This month we are going to talk a bit about Short Sales. They are being approved at record numbers according to the local paper. We have a number of them approved and ready to close. If you are not aware, we use Kristi Service from the Service Firm to handle all our short sales. Kristi's team is fantastic: they have a 90% close ratio with our customers and they can do these anywhere in the US. So if you want your short sales to get to the closing table call Kristi at 941-748-5484. Thanks and have a great month.
Dori.
Quotes Of The Month
Quotes of the Month, by Abraham Lincoln, to honor President's Day this month
These capitalists generally act harmoniously and in concert to fleece the people, and now that they have got into a quarrel with themselves, we are called upon to appropriate the people's money to settle the quarrel.
Allow the President to invade a neighboring nation, whenever he shall deem it necessary to repel an invasion, and you allow him to do so, whenever he may choose to say he deems it necessary for such purpose, and you allow him to make war at pleasure.
The true rule, in determining to embrace, or reject any thing, is not whether it have any evil in it; but whether it have more of evil, than of good. There are few things wholly evil, or wholly good. Almost every thing, especially of governmental policy, is an inseparable compound of the two; so that our best judgment of the preponderance between them is continually demanded.
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